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Efforts to Eliminate Multiple Ag Taxation in Florida

Daniel Cooper Agriculture, Florida, Legislative

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Photo by Karolina Grabowska

Florida Commissioner of Agriculture Wilton Simpson joined two state legislators Jan. 8 in announcing legislation to eliminate multiple taxation of agricultural production by annual local property taxes.

Simpson, Sen. Jay Collins and Rep. Danny Alvarez announced the filing of a joint resolution, HJR 1251 and SJR 1560. The proposed constitutional amendment creates a total tax exemption of tangible personal property — such as farm machinery, equipment and implements — on property classified as agricultural.

The Florida Department of Agriculture and Consumer Services (FDACS) reported that the constitutional amendment will:

  • Help alleviate the financial burden on Florida’s agriculture producers
  • Help incentivize the growth of agricultural production in the state
  • Ease increasing food costs to consumers by lowering the cost of production

“This proposed constitutional amendment represents a pivotal step towards securing the permanent future of agriculture in Florida,” said Simpson.

“It is imperative we stabilize, revitalize and grow agriculture to ensure Florida’s footprint on the world stage,” said Collins. 

“The tax we are eliminating is flat out wrong,” added Alvarez. 

The joint resolution in the Florida House of Representatives and Florida Senate requires support by 60% of the membership of each chamber. Then, if adopted by 60% of the electors voting on the measure in the 2024 general election, the amendment will go into effect.

Currently, state law provides an exemption from ad valorem taxation of up to $25,000 on all property subject to tangible personal property taxes. Tangible personal property is defined as all goods, property other than real estate, and other articles of value that the owner can physically possess and have intrinsic value. Examples of what is included when filing a tangible personal property tax return include:

  • Goods, chattels and other articles of value, except certain vehicles
  • Inventory held for lease
  • Equipment on some vehicles
  • Personally owned property used in the business
  • Fully depreciated items

Source: FDACS

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