Governor Rick Scott today kicked off a statewide victory tour celebrating the end of Florida’s sales tax on manufacturing equipment. The first stop on the governor's two day trip around the state was the Johnson and Johnson Vision Care plant here in Jacksonville.
The new law, which takes effect July 1st, lets companies make equipment purchases without worrying about the added cost of state sales tax. Governor Rick Scott says this means the 17,500 manufacturers in Florida will have more money to invest in the state."When a manufacturing company doesn't have to pay this sales tax any longer, when they buy machinery and equipment one, they can put more dollars into hiring more people", Scott said. "They can put more dollars into marketing, more dollars into research and development."
The head of Johnson and Johnson Vision Care, Dave Brown, says the tax savings will make a big difference.
"When considering where to make key investments, costs are an important part of the decision making process", Brown said. "This new tax break could help off-set the high cost of new machinery which is vital to innovation and growing our business."
The vision care plant in Jacksonville makes Accue-Vue contact lenses.
Opponents of the new law say eliminating the tax will reduce money going to counties. It’s possible it could face a legal challenge because it did not get the two-thirds vote required for bills that affect local government tax revenue.
The governor’s 2-day victory tour also includes stops in Miami and Orlando.