DeSantis signs annual package of tax breaks, including sales-tax ‘holiday’ for hurricane preparedness supplies

CAPE CANAVERAL, Fla. – Gov. Ron DeSantis on Tuesday signed House Bill 7073 which is expected to provide $1.07 billion in tax relief for Floridians this year.

Lawmakers included a series of sales-tax holidays in the package, including two periods when shoppers will be able to stock up on hurricane supplies without paying sales taxes.

The tax package will also help homeowners by providing a one-year exemption on taxes on residential property and flood insurance premiums.

The package is expected to trim state and local revenue by $439.6 million during the 2024-2025 fiscal year, according to News Service of Florida.

Tax holidays include:

• Two Disaster Preparedness Holidays;
  June 1—14 and August 24—September 6, families can prepare for hurricane season with items like tarps, batteries, and flashlights, sales tax free.
  
• The Back-to-School Sales Tax Holiday;
  July 29—August 11, families can save on pens, pencils, computers, clothing, and other school supplies.
  
• The Tool Time Sales Tax Holiday;
  September 1—7, Floridians can save on power tools, hand tools, toolboxes, and other items.
  
• The Freedom Month Sales Tax Holiday;
  July 1—31, Florida families can purchase summer items like pool floats, fishing supplies, and outdoor equipment, in addition to admissions to museums and state parks, sales tax free.

Among other savings, the tax relief package also includes a sales tax credit for businesses that employ persons with disabilities. Additionally, the bill increases the cap for the Strong Families Tax Credit Program from $20 million to $40 million, which supports organizations focused on child welfare.

For a breakdown of the tax relief package, see below:

• Insurance Premium Tax Relief
  Waives insurance premium taxes for one full year on homeowners’ insurance policies and flood insurance policies.
• Sales Tax Relief
  
  Back to School Sales Tax Holiday
  Clothing priced $100 or less.
  School supplies priced $50 or less.
  Computers or related accessories priced $1,500 or less.
  Learning aids and puzzles priced $30 or less.
  
  Two Disaster Preparedness Sales Tax Holidays
  For specified disaster preparedness supplies for families and their pets.
  
  Tool Time Sales Tax Holiday
  Tools used in skilled trades—power tools, tool belts and boxes, etc.
  
  Freedom Month Sales Tax Holiday
  For specified recreational items.
• Child Focused Tax Credits
  Increases the cap for the Strong Families Tax Credit from $20 million to $40 million, which provides tax credits to companies that make charitable contributions to child welfare organizations.
  Creates a tax credit for employers who operate or support a childcare program for their employees.
• Other Tax Relief
  Provides automatic return filing extensions for sales tax and corporate income tax in certain emergencies.
  Creates a corporate income tax credit for businesses that hire persons with disabilities.
  Limits documentary stamp tax assessments for reverse mortgages.

Visit floridarevenue.com/SalesTaxHolidays for more information on the sales tax holidays.