January 29, 2010
Many Department of Business and Professional Regulation customers are small business owners who need support during this challenging economic time. This week, Governor Charlie Crist proposed strategies to support Florida's businesses and stimulate the economy through $100 million in tax relief to businesses and families. These tax cuts are a way to boost economic recovery. Governor Crist recommended a $9.7-billion investment in economic development, which includes infrastructure, workforce development, and incentives for small businesses.
One of the proposed tax cuts that would have a direct effect on small businesses is a one-percent reduction in the corporate income tax rate, from 5.5. to 4.5 percent, on the first $1 million of a corporation's taxable income. Many of you are small business owners and can appreciate that by allowing a business to keep its hard-earned income, it gives the business the resources needed to hire additional employees and make other enhancements. It will also strengthen Florida's business friendly climate and competitiveness, which will attract new business investments and provide additional jobs for Floridians. The tax cut will save businesses approximately $57.4 million.
Another key proposal intended to provide relief to Florida businesses is to delay unemployment compensation tax payment. With the increase in the unemployment rate from $8.40 to more than $100 per employee, businesses face an increase in unemployment taxes. By delaying this increase, businesses could receive much needed relief.
Those tax relief proposals are just two highlights of Governor Crist's plans to strengthen Florida's business environment and boost Florida's economy.