Agricultural Commissioner Simpson, lawmakers propose tax cuts for farmers
TALLAHASSEE, Fla. – Agricultural Commissioner Wilton Simpson joined lawmakers Monday in announcing a constitutional amendment proposal that would create a new exemption from taxes on agricultural equipment and machinery.
Rep. Danny Alvarez, R-Riverview, and Sen. Jay Collins, R-Tampa, filed joint resolution HJR 1251 and SJR 1560.
“Food security is a national security issue, and this proposed constitutional amendment represents a pivotal step towards securing the permanent future of agriculture in Florida,” Simpson said in a press release.
The resolution adds an exemption for tangible personal property. The joint resolution includes cuts to farm machinery, equipment and implements on property classified as agricultural.
Ad valorem taxation is exempted, under current Florida law, of up to $25,000 on all property subject to tangible personal property taxes. The law covers goods, property other than real estate, and other articles of value that the owner can physically possess and have intrinsic value.
Below are examples of filed personal property tax items.
- 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
“By eliminating the burdensome multiple taxation of agricultural production, we can pave the way for sustained growth and resilience within our agricultural sector, strengthen and secure our food supply chain, support our hardworking farmers, and safeguard our state and nation’s well-being,” Simpson added.
To pass, a three-fifths vote is required in both the Florida House of Representatives and the Florida Senate. The amendment additionally needs adoption from 60% of electors voting on the measure in the 2024 general election to go into effect.
“The tax we are eliminating is flat out wrong,” Alvarez said. “Florida agriculture is the backbone of our state’s culture and economy, and in light of unprecedented attacks against our proud farmers, ranchers, and growers, we must do all that we can to defend agriculture and its future in Florida.”
According to the press release, $180 billion in revenue is generated from Florida agriculture. The industry includes 47,000 farms and ranches, 2.5 million employers, and 300 commodities.
“As a retired Army Green Beret, I know the complexities of today’s hyper competitive world and it is imperative we stabilize, revitalize and grow agriculture to ensure Florida’s footprint on the world stage,” Collins said.
