Florida's Marine Jobs Bill already paying off

The Florida Yacht Brokers Assoc (FYBA), the trade association that drove the sales-tax cap legislation, has very promising reports thus far on this precedent-setting legislation. You may remember that this was the jobs bill that capped sales tax on all recreational boats at $18,000.

For the first six months (ending Jan 1, 2011), the Florida Dept of Boating, which is the agency that collects the tax, says that 85 boats have paid the $18,000 tax rendering $1,530,000 in taxes collected. Contrast that number with the taxes collected for the 12 months preceding the new legislation, which was $1,400,000, and you can see that this is a huge win for the state's coffers.

Additionally, the unofficial count is up to 145 boats/$2,600,000 for the first 10 months.

More importanly, the brokers report that the sales also have resulted in conversion of many boats to US flagged from foreign flagged. The implication is these boats will spend additional money without having to leave once their cruising permit expires.

So far, it all adds up to a win for the state of Florida, a win for the boat owner and a win for all businesses both marine and non marine supplying products and services.