It’s law: Palm Coast Chamber applauds signing of online sales tax reform

Palm Coast Observer
Real Estate

from: Palm Coast-Flagler Regional Chamber of Commerce

The Palm Coast-Flagler Regional Chamber of Commerce applauds Gov. Ron DeSantis for signing SB 50, a chamber-backed bill that will:

Require out-of-state companies who sell products to Floridians to collect the Florida sales tax and remit payment to the state,
Direct the tax revenue collected from online sales to relieve an immediate $713 million tax increase on job creators in the form of increased unemployment compensation taxes, and
Reduce the Florida-only Business Rent Tax from 5.5% to 2%, a more than 60% reduction.

“Gov. DeSantis made the right decision today forcing out-of-state online retailers to abide by the same rules as small businesses that have physical locations within our community,” said Greg Blosé, President & CEO of the Chamber. “Not only will this tax reform level the playing field for brick-and-mortar businesses in Flagler County, but it will take the increased revenue and lower taxes on all businesses in Florida.”

SB 50 will replenish the state unemployment compensation trust fund until the trust fund reaches a balance of pre-pandemic levels. Job creators were expecting a hefty increase in their annual unemployment compensation bill, according to notices sent to all businesses in late December. However, the unemployment compensation trust fund rate increase will be recalculated after this bill is signed by the Governor.

Once the unemployment compensation fund is restored, the remainder balance of the unused online sales tax will be used to reduce the Florida-only business rent tax. The business rent tax is paid by businesses that rent any commercial space. Significantly reducing this tax represents a savings of hundreds of millions of dollars to Florida businesses and removes another barrier from those considering renting commercial space in Flagler County.

The Chamber would like to thank Sen. Travis Hutson and Rep. Paul Renner for their work on supporting this bill in Tallahassee.

For more information, contact Greg Blosé, President and CEO of the Palm Coast-Flagler Regional Chamber, at 386-846-1864 or via email at [email protected].