In one-sided fight, Haridopolos pummels 'swap'

Sen. Mike Haridopolos opened his hearing this morning on the proposed tax swap as if he were Paul Harvey. "I'll be the first to admit, it sounded great," he said of the plan to replace most school property taxes for a 1 cent sales tax increase and other revenue sources.

"Now the rest of the story ..."

And so Haridopolos proceeded to trash the proposal, saying it would result in the largest tax increase in Florida history. (see the jump for the details) The Melbourne Republican has been battling the Taxation and Budget Reform Commission for answers about the plan. Getting nowhere, he decided to hold his own hearing.

He cast it as a chance to hear from regular folks, but the room was packed with lobbyists who, like Haridopolos, abhor the idea of a higher sales tax and a services tax. "We believe the people have been sold a bill of goods," said Barney Bishop, president of Associated Industries of Florida. Carol Dover, of the Florida Restaurant & Lodging Association, said it would be "devastating" to the tourism economy.

Here's how Haridopolos sees the plan:

The proposal would cut $9-billion in school property taxes in 2010. The actual savings, however, would be $7.4-billion because people could write off less property taxes in federal returns. "That's the good part of the story," Haridopolos said.

But the Legislature would have to come up with $11-billion in replacement revenue because of a "hold harmless" formula to boost education spending. A penny sales tax increase would generate about $4-billion, leaving a gaping hole.

Haridopolos says all the talk about repealing sales tax exemptions to cover the rest is pure fiction, that popular targets like luxury skyboxes, make up only $4.5-million. Million. Did he mention a gaping hole?

The Melbourne Republican makes a strong argument, but leaves out out the possibility the Legislature could increase the sales tax more than a penny. And, in theory at least, sales taxes could be extended to services, such as lawyers and accountants.

But seeing how that went down in flames in 1988, that's not going to happen. And there are growing signs that the tax swap proposal itself is faltering before the TBRC. It comes up for a final vote next week.

Comments

yo haridopoloser - why don't you quit your whining and at least go after the skybox tax breaks?

the only gaping hole is the one between your head since you can't figure out that if people have more of their own money due to lower property taxes they'll be able to buy more goods to produce more sales tax revenue - it's not a zero sum game

Hari - now you should have great ideas on how to address the revenue issue - if you become Senate President - after this passes.

Hey Mikey! Sure didn't hear any better ideas come out of your big pie hole, now did we? Oh, that's right, nobody up there really wants to have to cut anything. Budgets, taxes, spending or what not. Sometimes I think the state would be better off without any of you up there at all.

[Rich]

ugh what a disgrace.

why don't we just let the retail lobby decide our tax laws.

1 cent sales tax increase would not hurt our tourism industry. this is a joke. that extra 1 cent increase didn't hurt Pinellas tourism.

sorry kids no more disney. it's going to cost an extra $1.88 to get in the park on top of the $188 disney charges.

what a joke the retail lobby is.

[Reform yes, but not like this]

Mike Haridopolos is the only one standing up to the bait and switch plan being proposed by the TBRC. His latest move has been to create a website to raise awareness of these bad judgements. www.protectfloridasfuture.com

[Tax Fanatics are Big Business lackeys]

12:24 I hear the groundswell of public support for tax "reform" fading to a whisper as the real impact on peoples' lives begins to sink in.

Go back to your Tax Watch Big Business pals and tell them its a no-go - the people of Florida saw through your spin and slogans. Lick your wounds and remember the good old days when you scammed the people of CA into Prop 13; you know before Enron burst your bubble.

[fred]

If tourism will collapse because of a 1 cent increase, I guess my tax bill will do me in pronto. Stop your nonsence and own up to your responsabilities.Give tax payers a break for once. Weve been paying through the nose long enough.Again, I'll pray for the best.

[Bill]

If Mike Haridopolos gave half a poop about Florida taxpayers, he'd be giving back all the money he's taken from Brevard Community College ($150,000 to write a book? Phah! not to mention his salary without having to actually teach) and again at U of F.

What a sham, Mikey... go back to Melbourne -- or better yet, stay the heck out of Melbourne -- and leave the taxpayers alone...

Kill the SWAP and kill my Republican Vote!

This is the wedge issue for 2008!

[terminator]

Hari's seriously damaging his Senate Presidency bid by going against the people.

Hope the Dems run a strong candidate against him in November.

We can see how much the Senate really wants tax reform!

Wasn't this the Haridopolous 527 rally meeting?

I had a hari dopolos once, but my wife shaved it and now it's no longer hairy.

Problem Solved!

[Donald Lance]

Don't swap nothing! Why do I want to take away a regressive tax and change it for a progressive one? I'll save today but tomorrow I'll pay more? No thank you!

[Floridians for Meaningful Property Tax Relief]

Sen. Mike Haridopolos,

If you don't want the tax swap to pass, I suggest you work furiously with the House & Speaker Rubio and get us a better meaningful property tax relief bill.

Otherwise, this will pass in November. We have huge supporters that will get meaningful property tax relief, one way or another.

This amendment would be great for FL.

7% instead of 6% sales tax is nothing PLUS TOURIST WILL BE PAYING NEARLY 30% OF THAT FIGURE.

Let's get it on the ballot & let the voters decide.

Girly Man to the rescue