• The Heritage Network
    • Resize:
    • A
    • A
    • A
  • Donate
  • The Tax on Mother’s Day Flowers

    With Mother’s Day around the corner, you better look out. It’s going to cost more than usual to send your mom a bouquet of flowers this year.

    Earlier this year, Congress allowed the Andean Trade Preference and Drug Eradication Act (ATPDEA) to expire. As a result:

    • U.S. flower importers face higher prices. Taxes on flowers imported from Colombia, which provides 70 percent of all cut flowers sold in the United States, are now at the highest rate in 18 years.
    • There are fewer U.S. jobs in industries that rely on imported flowers. According to Christine Boldt, executive vice president of the Association of Floral Importers of Florida:

    In this economy, if prices go up, consumers will buy fewer flowers. This isn’t a product like milk where you can just pass on the cost. In the first 15 days of the ATPDEA coverage lapse in February, our businesses had to pay more than $850,000 in tariffs that no one had anticipated or budgeted for. You can’t go to the bank to borrow the money as many banks aren’t loaning money for working capital needs. We’ve already had several floral companies close their doors.

    The proposed U.S.–Colombia Trade Promotion Agreement would remove almost all taxes on trade between people in the United States and Colombia, making Mother’s Day flowers more affordable in the future. But there’s an even better reason to support such trade agreements: As The Heritage Foundation’s Index of Economic Freedom shows, countries with low trade barriers have higher living standards and less poverty than countries with high trade barriers. Whether someone lives in Bogota or Boston, that’s a result to be desired.

    Posted in Economics [slideshow_deploy]

    4 Responses to The Tax on Mother’s Day Flowers

    1. Chris Bernat says:

      We import a specialized type of performance apparel from Colombia and are now subject to duties. We have grown 30 domestic jobs in Charleston SC in a very tough economy. The last thing my people need is this right now on top of commodity price increases. As the 18th fastest growing company in our state you would think congress would wantus to feed more growth not slow our progress

    2. Bobbie says:

      Totally agree, Chris. WHY? And WHY behind the backs of the businesses? Where's the representation? What, we don't get TAX REPRESENTATION anymore? We can't expect anything from the President but burden? And forced TO ACCEPT THAT????? Somebody needs to stand up and stop this unethical manner within government control!

    3. Pingback: Smart Small Business Tax Deductions « Save On Taxes – Tax Talk On How to Save On Taxes

    4. James, Maine says:

      I truly believe our administration has all the bases covered. They know exactly what will create jobs, and what will hurt the economy. The agenda continues with unfettered progress.

      November, 2012 is our last chance to salvage what is left of that place called America.

    Comments are subject to approval and moderation. We remind everyone that The Heritage Foundation promotes a civil society where ideas and debate flourish. Please be respectful of each other and the subjects of any criticism. While we may not always agree on policy, we should all agree that being appropriately informed is everyone's intention visiting this site. Profanity, lewdness, personal attacks, and other forms of incivility will not be tolerated. Please keep your thoughts brief and avoid ALL CAPS. While we respect your first amendment rights, we are obligated to our readers to maintain these standards. Thanks for joining the conversation.

    Big Government Is NOT the Answer

    Your tax dollars are being spent on programs that we really don't need.

    I Agree I Disagree ×

    Get Heritage In Your Inbox — FREE!

    Heritage Foundation e-mails keep you updated on the ongoing policy battles in Washington and around the country.

    ×