Governor's Corporate Tax Plan Stalls in the Senate
April 26, 2011 | WMFE - One of Governor Rick Scott's major campaign promises ran into a roadblock in the state Senate Monday. Senators say the plan to eliminate corporate income taxes may be dead for this year's legislative session.
The proposal would gradually eliminate the corporate income tax over the next 7 years. Some members of the Senate Commerce and Tourism Committee say they weren’t getting answers on how the proposal would create jobs for unemployed Floridians.
Republican Senator Paula Dockery of Lakeland said she wants to see some type of device in the bill for measuring how many jobs are actually created. “I think we need more of a measured approach that says we’re going to give it a try and see if it results in any significant job creation.” Dockery said.
Governor Scott’s proposal would cut the corporate tax by 4.5% in its first year and increase that percentage for each of the following 6 years. He says those incentives would lure new companies to the state and stimulate job creation.
The measure would cost the state more than $300 million dollars a year and lawmakers say that’s difficult to justify when they are making deep cuts in education, health care and corrections to balance the state budget.