Manufacturing tax affects Exporting and Small Business

Manufacturing taxFlorida Governor Rick Scott plans to eliminate a state sales tax on manufacturing equipment in order to benefit exporting and small businesses in Florida.

Scott noted that other states do not charge sales tax on machinery and said the tax puts Florida at a competitive disadvantage. Currently, equipment purchased for industrial use is only exempt if it will expand a manufacturer’s output by at least 5 percent.

Florida is home to 17,500 manufacturing companies that employ more than 300,000 Floridians. “Building up Florida manufacturing is about building Florida jobs,” said Scott.

Eliminating this tax should benefit the exporting industry and small businesses and provide them with new opportunities. Exporting is a major force in Florida’s economy. There are 15 seaports in the state, and small businesses account for almost 96 percent of the state’s exporting firms and 67 percent of total exports.

If you have questions about your exporting or small business, contact Boyer Law Firm, PL, today.

Source: Florida Small Business Development Center, Manufacturing.net