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House reduces motorist tax cut and creates new clash with Senate

by John Kennedy | April 26th, 2013

Already deadlocked on health insurance and a pension overhaul, Florida lawmakers added another bit of tension to the Legislature’s homestretch, with the House budget panel Friday opening the session’s final week by breaking ranks with the Senate on a plan to cut vehicle tag and title fees.

The House Appropriations Committee rejected the Senate’s proposal to eliminate a 26-year-old tax break for the insurance industry to cut $220 million in motorist fees paid by Floridians. The Senate’s plan would erase half the 2009 increases that had been imposed by lawmakers hustling to patch a recession-drive budget hole.

Instead, the House would phase-in the reductions over five years, starting by a modest $44 million cut next year. Drivers would save about $2.40 next year on vehicle registrations, under the House plan — which leaves the tax credit untouched for the powerful insurance industry.

Rep. Steve Crisafulli, R-Merritt Island, defended the House stance, saying it was important to not eliminate anything that could hurt job creators in Florida. Since 1987, the insurers have drawn a 15 percent tax credit on the insurance premium tax as an incentive to open offices in Florida.

Senate Budget Chief Joe Negron, R-Stuart, said the industry now looks “robust” and the tax break is no longer needed.

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4 Responses to “House reduces motorist tax cut and creates new clash with Senate”

  1. OBIWAN Says:

    This ‘daily newspaper’ continues creating false news about the divergence of ideas that is normal, healthy and entirely necessary to the democratic Florida Legislative effort.

    They never share the fully transparent process that allows full discussion, contemplation, amending, fine honing, tabling rather than mediocre compromise and robustly standing on principles whether totally valid or illusionary?

    Quite unlike the Pelosi/Reid midnite shenanigans where no one is allowed to discuss anything, no minority party involvement let alone amendments, crammed down the throats and then unapologetically dumbfounded when their ‘unintended consequences’ are found out later. As in 2,700 pages of BARAMAcare that continued the decades BIG LIE Democrats pursue to nationalize everything they can’t ruin otherwise?

    Thank you Florida Legislators for accomplishing the state’s business, fulfilling the true intent generally of the super majority and balancing our budget without massive tax confiscation!

    The Washington DC Money Laundry needs to examine and copy for at least the 100 Most Obvious Welfare Programs To Eliminate! Start with ‘Commodities for Families’ that was replaced in the late 1970′s by Food Stamps, which was replaced by in mid-90′s by SNAP, which was ‘liberalized’ in the past five years to be Generaltional Poverty Income Redistribution for poor and low income Democrats voting for ‘more free stuff’?

  2. Searcher1 Says:

    More CORPORATE WELFARE for Insurance companies. I assume the insurance companies are profitable so this just adds to their profits. Meanwhile the middle class suffers since thy don’t have LOBBYISTS!

  3. WannyOB Says:

    This “job creator” stuff is getting real old. Insurance company profits are obscene. They won’t be hurt in the least bit.

  4. gatorcane Says:

    The House found a way to reduce license tag fees without increasing insurance premiums while at the same time preserving jobs and helping the Florida economy. Looks like they got it right to me!

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