Florida Policy Institute: State Resolution Could Result in $1.47 Billion in Lost Wages for Young Workers and Foregone Sales Tax Revenue for Florida
ITEP Work in ActionFlorida, lacking a personal income tax, relies on sales tax revenue to support critical areas like education and health and human services. More than 75 percent of Florida’s General Revenue Fund, which finances most of these vital services, is comprised of sales tax revenue. Furthermore, Florida households are the highest contributors to sales tax collections, more than the amount tourists and businesses pay combined.
Yet as COVID-19 put more than 1 million Floridians out of work14 and forced them to cut back on spending, the state experienced significant drops in revenue. The familiar calls to drastically cut state programs and funding have already begun. As such, Florida cannot afford to lose any more revenue; it certainly would if SJR 854 were to pass the Legislature and the ballot.