Lawmakers look at taxing bottled water

As Florida lawmakers work toward the budget deadline, they’re faced with a multi-billion dollar deficit.
Hundreds of university professor jobs, thousands of catastrophically ill Floridians, and scores of children’s programs are on the line. Part of the solution could be found in bottled water.
This week a legislative panel reviews more than 240 tax exempt items, including bottled water, which could generate millions of dollars in revenue.
The bottled beverage has been exempt since 1949. It’s now probably the top-selling bottled beverage in the state. That does Florida no good, because it’s all tax free.
“I don’t think it’s very fair to tax bottled water, or tax something that they haven’t been taxing,” Bay County resident Jennifer Benton said.
Lawmakers look to patch a $6 billion hole. Taxing bottled water would generate an estimated $42.3 million dollars a year.
“Yeah, I think that should be done,” resident Robert Tate said. “Our schools are really bad as far as finances go. It’s like everything else we purchase we pay taxes on, with an exception of very few items like groceries and what have you.”
While the tax would make millions for the state, it would only amount to around six cents a bottle.
“I don’t think they’ll really notice it,” Benton said. “They probably assume they’re already paying taxes on it, so I don’t think it’ll be a big deal.”
Removing the exemption would put water on par with flavored and vitamin water, which is taxed.
“It’s not a necessity,” says Susie Dillard. “I think it’s more of a luxury that people use. I think it would be fair, too.”
Bottled water is just one of 240 tax exemptions being reviewed. According to the St. Petersburg Times, Florida gives up $63.5 million in exemptions for chartered fishing boats, $41.3 million for newspaper and magazine inserts and $5 million a year for boats temporarily docked in Florida.
The state even gives exemptions on NFL Superbowl tickets. The big game was held in Tampa this year. The exemption cost the state $5.4 million in possible tax revenue.
Lawmakers will have to act fast to get any exemption changes in before the budget deadline. The new fiscal year begins July 1.