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Florida’s business rent tax sunsets for good

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Florida has stood alone for years as the only state charging a business rent tax. But that ended Wednesday morning as a tax reform package went into effect.

After years of slow chipping at the unpopular tax, the Republican-controlled Legislature voted to phase it out completely. It was a move celebrated by business advocates who long argued Florida made itself less attractive to businesses by collecting the levy on commercial leases.

“The elimination of Florida’s business rent tax is a major victory for employers across the state,” said Brewster Bevis, Associated Industries of Florida President and CEO. “Beginning October 1, businesses will no longer shoulder this uniquely burdensome tax. Repealing it permanently delivers $1.6 billion in savings that can instead be reinvested into jobs, growth and Florida’s economy.”

But that means governments throughout Florida will also lose that much revenue — and then some.

Jeff Scala, a lobbyist with the Florida Association of Counties, took issue with the Legislature imposing the consequence of killing that tax on local governments. He said county governments have supported eliminating the tax but wanted to retain local sales taxes, most of which were approved by voter referendums, on business rents. The Legislature’s tax relief plan limits local governments’ ability to collect that.

“This measure will impact not only local revenue sharing but will also significantly affect revenues anticipated from the collection of local option sales taxes,” Scala said in a wrap-up webinar after the close of Session.

The reason for the concern is that the rent tax — unlike property taxes assessed against the appraised value of land — is technically itself a sales tax on rent. In counties that have approved other sales taxes — school penny taxes, for example — the local option tax has been charged in addition to the business rent tax. But without the rent tax charged in the first place, the other sales taxes won’t be added on.

That means savings — and revenue losses — far beyond the $1.6 billion collected in the business rent tax.

Still, Florida’s stand-alone status has put the tax in crosshairs for decades. First imposed in 1969, lawmakers have taken steps to phase out the tax, sometimes replacing the revenue source as it did with approval of online sales tax collection in 2021.

The issue has been especially troublesome in North Florida counties, where economic development officials are often competing with the rent tax-free business climate in other states.

Rep. Wyman Duggan, a Jacksonville Republican who chaired the House Ways and Means Committee this year, said the commercial real estate industry in Northeast Florida has been deeply concerned with the tax for at least 15 years.

“We are competing with Georgia and Alabama for businesses to expand and relocate,” he said.

“If a business is leasing space, Georgia could try and use absence inducement to locate in Georgia rather than Florida. So we are saying Florida has no income tax and a low regulatory environment, but Georgia then comes and says, you are paying less every month because of this tax on commercial leases so just move to Kingston.”

And even after tense communication between the Legislature and Gov. Ron DeSantis this year, the Republican Governor voiced enthusiasm about killing the business rent tax when he signed the budget.

“The Legislature has also done something that I’ve been asking for many years, and that’s eliminating a tax that only Florida has, of all 50 states, and that’s taxing business rent,” DeSantis said. “It’s not good for our economy. It’s not good for business growth. And so that tax is being sunsetted. How many times do you hear governments eliminating a tax?”

But some lawmakers remain concerned about whether the drive to cut more taxes each year has its own cost on the attractiveness to live and work in Florida. The state is also considering whether to slash sales taxes or to eliminate property tax altogether.

“It’s important government not get involved in controlling our speech and freedoms, but the government should be there as an asset and vessel for success. But we don’t have resources to do that,” said Rep. Anna Eskamani, an Orlando Democrat.

“I look at our budget, and we may not have deficits. But we are one of the most economically constrained states in the country, and that shows up in low teacher pay, in heavy traffic, in neighborhoods getting flooded that shouldn’t get flooded. All these things are measures of quality of life, and those deficits still matter.”

Still, even those reluctant to make broad tax cuts would not defend the business rent tax, a toll hated by small and large businesses alike.

Several Democrats voted against the tax reform package but pointed to other issues like a tax holiday on firearms and ammunition. Eskamani said she would have supported the tax cut package if it simply eliminated the business rent tax.

The same goes for Rep. Christine Hunschofsky, a Parkland Democrat in line to lead the Democratic caucus after the 2026 election cycle.

“I’ve always supported getting rid of business rent tax,” Hunschofsky said. “It’s more de facto sales tax.”

Small-business owners have opposed the tax for years, she said, and with economic uncertainty on the horizon, she voices support for easing a financial burden.

“It’s not common to have a sales tax on rent,” she said.



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Last Call for 1.19.26 – A prime-time read of what’s going down in Florida

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Last Call – A prime-time read of what’s going down in Florida politics.

First Shot

Did Christina Pushaw break the law by asking gubernatorial candidate James Fishback to delete text messages the two exchanged in recent months?

Maybe.

Pushaw, who earns a $179,000 tax-funded salary as a senior management analyst for Gov. Ron DeSantis, all but confirmed the authenticity of texts between her and Fishback in which she appears to have written, “I need you to confirm that you deleted everything with my name on it.”

The exchange has raised questions about whether she solicited the destruction of public records, which would be illegal if the messages involved her government duties, but likely not if they were strictly campaign-related, as she says.

Fishback posted a screenshot of the exchange following a public blowup between the two after they, according to Pushaw, spoke “frequently” since October about Fishback’s campaign.

On X, Pushaw accused Fishback of deception, writing: “Thanks for proving my point that you have no qualms about lying and revealing private messages. I truly believed that we were friends, and I feel sickened and violated by this betrayal.”

Pushaw, who has worked for DeSantis as both a campaign and government staffer, says she was never paid for advising Fishback and never told the Governor about her communications with Fishback.

In a brief phone interview on Monday, she said none of her messages with Fishback touched her state job.

“I never talked to him about government business,” she said. She declined to explicitly confirm the authenticity of Fishback’s screenshots, including one that referenced her government position.

Read more on Florida Politics.

Evening Reads

—“Donald Trump ties Greenland takeover bid to Nobel Prize in text to Norway leader” via Ellen Francis and Steve Hendrix of The Washington Post

—”Trump’s letter to Norway should be the last straw” via Anne Applebaum of The Atlantic

—”Trump’s Greenland move is one of the dumbest political decisions I have ever seen” via Chris Cillizza of So What

—”The race to build the DeepSeek of Europe is on” via Joel Khalili of WIRED

—”Three maps tell a tale of the 2026 Midterms.” via Ashley Cai and Shane Goldmacher of The New York Times

—”Orlando Sentinel 150: Remembering MLK’s only visit to Orlando in 1964” via the Orlando Sentinel

—“Jeff Brandes: Six ideas Legislature can’t afford to ignore in 2026” via Jeff Brandes for Florida Politics

—”The Indiana-Miami CFP game is the Hollywood tangle we didn’t know we needed” via Steven Zeitchik of The Hollywood Reporter

—”‘It shaped my DNA’: The very Miami story of Mario Cristobal” via Andrea Adelson of ESPN

—”Two other Hoosiers from Miami are coming home, too — and could play a big role” via David J. Neal and Jordan McPherson of the Miami Herald

Quote of the Day

“I didn’t vote for this weather.”

Marc Caputo on a frigid morning in Miami.

Put it on the Tab

Look to your left, then look to your right. If you see one of these people at your happy hour haunt, flag down the bartender and put one of these on your tab. Recipes included, just in case the Cocktail Codex fell into the well.

Even though it’s booze-free, the Duval delegation could use a Cortisol Cocktail to calm their nerves after a bomb threat landed in their inboxes.

Disney and Universal are getting an Investigators Rite, courtesy of Central Florida Democrats, who are requesting they look into a company that operates independent restaurants on their properties.

Someone should’ve sent an Out of Office for Attorney General James Uthmeier, because he picked an odd day to drop his latest opinion.

Breakthrough Insights

Tune In

Miami plays for national title at home

The Miami Hurricanes try for the program’s first national championship since 2001 when they face top-seeded Indiana at Hard Rock Stadium tonight (7:30 p.m. ET, ESPN).

Miami entered the College Football Playoff as the 10th seed and knocked off Texas A&M, Ohio State, and Ole Miss to reach the finals. The Hurricanes (13-2) have benefitted from a defense that has limited opponents to 14 points per game this season. Defensive end Rueben Bain Jr. was named the ACC defensive player of the year and is a likely Top 10 pick in the NFL Draft.

Indiana (15-0) has enjoyed the greatest season in program history. In the second season under Curt Cignetti, the Hoosiers have not only won more games than they ever have in a season, but also more than the program ever did in two consecutive seasons combined before Cignetti’s arrival.

The Hoosiers are led by Heisman Trophy-winning quarterback Fernando Mendoza.

The two programs have met twice in history, with Indiana winning the first meeting in 1964 and the Hurricanes taking the return match in 1966. The two programs have not met since.

The last time a college football team won the national championship by winning a game on its home field was the Hurricanes, who won the Orange Bowl following the 1987 season to win the program’s second of five national championships.

___

Last Call is published by Peter Schorsch, assembled and edited by Phil Ammann and Drew Wilson, with contributions from the staff of Florida Politics.





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James Fishback ordered to turn over Azoria stock, luxury items to pay $229K court judgment

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Gubernatorial candidate James Fishback’s legal woes are deepening.

A federal magistrate Judge has ordered Fishback, the founder and CEO of Azoria Capital, to turn over company stock certificates and a slate of luxury purchases to the U.S. Marshals Service by the end of the month as payment on a $229,000 judgment to his former employer, Greenlight Capital.

U.S. Magistrate Judge Martin Fitzpatrick of the Northern District of Florida granted two unopposed motions by Greenlight after Fishback failed to respond by a court-ordered deadline.

It’s the latest escalation in a dispute between Greenlight and Fishback, a former analyst for the hedge fund who has made more headlines recently for his race-baiting rhetoric in the Governor’s race, allegations of grooming, multistate voter registration and public blowup with Gov. Ron DeSantis adviser Christina Pushaw.

Greenlight told the court that Fishback still owes it money under a June 2025 court order. The firm asked the court in late November to compel Fishback to surrender his stock or share certificates in Azoria Capital, Inc., a Delaware corporation Greenlight described as founded by Fishback and controlled by him at “75% or more.”

Because Fishback did not oppose the request, the court granted it and directed him to “locate, obtain, and turn over” all Azoria stock and/or share certificates to the U.S. Marshals Service by Jan. 30.

The Marshals Service, in turn, is ordered to sell the stock for the benefit of Greenlight as the judgment creditor. Fitzpatrick warned Fishback that federal courts have inherent authority to enforce orders and cautioned that ignoring the directive could place him “in danger of being held in contempt of court.”

Fitzpatrick also granted a second motion by Greenlight seeking the turnover of personal property belonging to Fishback. The firm alleged that Fishback claimed he lacked means to pay the $229,000 judgment while making more than $37,000 in debit card purchases over 16 months through a previously undisclosed JPMorgan Chase account.

The court summarized transactions at retailers including eBay, Nordstrom, Burberry, Bucherer and others, but noted it did not know what exactly Fishback purchased. Still, Fitzpatrick described the spending as “extravagant” and found that Fishback, by not responding by the deadline, waived his chance to argue the items were exempt or not personal property.

Under the order, Fishback must turn over 43 items listed in the motion paper, along with a list, to the Marshals Service by Jan. 30. The Marshals must hold the items for 30 days, allowing Greenlight’s lawyers to retrieve and sell them as partial satisfaction of the judgment.

Fishback worked at Greenlight from 2021 to 2023, after which he and the company became embroiled in a very public dispute over how he described his role there. He said he was “head of macro” for Greenlight, while the New York hedge fund insisted no such title ever existed and that the loftiest role Fishback held was as a research analyst.

Greenlight alleged that Fishback misrepresented his position to boost credibility and attract investors for Azoria. Fishback, meanwhile, argued Greenlight’s denial harmed him with potential backers and pointed to internal communications he says support his version of events.

He did, however, admit to sharing confidential Greenlight portfolio information and agreed to pay costs to resolve a separate lawsuit.

Trustees of a white-label exchange-traded fund (ETF) under Tidal Financial Group also voted in October to liquidate two Azoria ETFs — SPXM and TSLV, which together held about $40 million in assets — after Fishback admitted to sharing the information.

Between when he launched his campaign on Nov. 24 and Dec. 31, when fourth-quarter bookkeeping closed, Fishback reported raising less than $19,000 through his campaign account and nothing through an affiliated political committee.

Fishback is seeking the Republican nomination for Governor. The race’s poll-tested front-runner, U.S. Rep. Byron Donalds, amassed $45 million last quarter.



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Anna Eskamani hits $1M fundraising milestone for Orlando Mayor race

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Rep. Anna Eskamani says she has raised more than $1 million so far as she tries to become the next Orlando Mayor.

The Orlando Democrat says she hit the milestone last week as lawmakers returned to Tallahassee for the start of the 2026 Legislative Session.

Term-limited in the House, Eskamani is running in 2027 to replace Orlando Mayor Buddy Dyer, who is not running for re-election.

“This campaign is powered by everyday Orlandoans who believe our city can be more affordable, more connected, and safer for everyone,” Eskamani said in a statement.

“Raising over one million dollars from thousands of grassroots donors sends a clear message: people are ready for leadership that listens, leads with integrity, solves problems, and puts community first. Together, we’re building a movement that reflects the heart of Orlando and delivers real results for working families.”

Her campaign has given out 900 yard signs and knocked on more than 33,000 doors in the city, according to a press release.

So far, no other established candidates have filed to run against Eskamani, although she has drawn her first competitor on the ballot: Abdelnasser Lutfi.

Lutfi, who filed to run for Mayor in late December, was not immediately available when reached for comment Monday afternoon.

Eskamani and Lutfi are running to replace Dyer, the longest-serving Mayor in Orlando’s history. Dyer was first elected in 2003.

Eskamani also said she is launching a podcast called “Twinning with Anna and Ida” with her twin sister. 

Every episode will unpack economic public policy issues that are critically important to everyone, but aren’t always well understood by the vast majority of people — often because they have been made intentionally opaque by politicians and the corporations who fund them to benefit from the complex system,” a press release said.

“But they will also have some fun along the way, from exposing a ‘grift of the month’ in Florida politics to exploring the punk rock scene in Orlando.”



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