Business Owner's Guide

Did you know?• Anyonecanenrolltofileandpaytaxonoursecurewebsite.• Wehavefreeonlinetutorialsyoucanviewatyourownpace.• Youmustfileataxreturn,evenwhennotaxisdue.

GT-300015R. 02/16

Business Owner’s Guidefor Sales and Use Tax

including general information on: • CommunicationsServicesTax• CorporateIncomeTax• GrossReceiptsTaxonUtilityServices• PrepaidWirelessE911Fee• ReemploymentTax• SolidWasteFeesandRentalCarSurcharge

Collection AllowanceOnlydealerswhoelectronicallyfile(e-file)theirreturnsandelectronicallypay(e-pay)taxtimelyareentitledtoreceiveacollectionallowance.Dealerswhofiletheirreturnsormakepaymentsbyanyothermethodarenotentitledtoacollectionallowance.FilingandpayingyourtaxusingtheDepartment’swebsiteorsoftwarefromasoftwarevendorisfast,accurate,andsecure.Visit“e-Services”onourwebsiteformoreinformationonhowyoucane-fileande-paytaxeselectronically.

BusinessOwner’sGuide,Page2

For more information visit our website at www.myflorida.com/dor

Register to File and Pay Electronically ........................................................................ 3

Information on Additional Business Requirements .................................................4-5

Frequently Asked Questions ......................................................................................5-6

Definitions ................................................................................................................... 6-7

Getting Started ...........................................................................................................7-8DealerResponsibilities,PostingYourCertificateofRegistration,UsingYourFloridaAnnualResaleCertificateforSalesTax,SalesandUseTaxFormsandCouponBooks

Sales Tax ......................................................................................................................... 8

Discretionary Sales Surtax (Local Option County Tax) ............................................... 9DiscretionarySalesSurtaxRate,DiscretionarySalesSurtaxExceptions,DiscretionarySalesSurtaxRateChanges

Use Tax ......................................................................................................................... 10

Local-Option Tourist Development Tax (Transient Rental Tax) .................................10

Applying Tax to Sales and Purchases ................................................................. 10-12ExemptSales,CalculatingandCollectingTax,AccruingUseTax

Florida Annual Resale Certificate for Sales Tax .................................................. 12-13UsingandAcceptingaFloridaAnnualResaleCertificateforSalesTax,MethodsforDocumentingSalesforResale

Electronic Filing and Payment Requirements ..................................................... 13-14

Filing Returns and Paying Tax .............................................................................. 14-16FilingFrequency,WhentoFileElectronically,WhentoFilePaperTaxReturns,FilingEvenifNoTaxIsDue,Telefiling(ifnotaxisdue),ElectronicallyFile(e-file)andPay(e-pay)toReceiveaCollectionAllowance,FilingLate(payingpenaltyandinterest),UsingtheCorrectReturn,PayingTaxUsingtheU.S.PostalService,PayingTaxElectronically,HowtoFilePaperTaxReturnsCompleting Your Tax Return ................................................................................. 16-18BasicStepsforCompletingYourReturn,TaxDeductions,SampleReturnAvoid the Top Ten Filing Errors ...................................................................................18

Estimated Sales Tax Payments ...................................................................................18

Recordkeeping ....................................................................................................... 18-19LengthofTime,TypesofRecordsAmusement and Vending Machines ..................................................................... 19-20

Changing Your Business Information ................................................................... 20-21

YourBusinessActivityorOpeningDate,OpeningAdditionalBusinessLocations,OtherBusinessChanges,TemporaryClosingorSeasonalBusiness,ChangingYourFilingFrequencyOther Taxes and Fees ............................................................................................ 21-24

CommunicationsServicesTax,CorporateIncomeTax,GrossReceiptsTaxonUtilityServices,PrepaidWirelessE911Fee,ReemploymentTax,SolidWasteFeesandRentalCarSurchargeTaxpayer Rights Advocate ...........................................................................................24



Register to File and Pay ElectronicallyWemakethewholeprocess quick and easy foryouto:• Registeryourbusinessonlinetocollectand

reporttax.• Enrollonlinetofileyourtaxreturns

electronically(e-file).• Enrollonlinetopayyourtaxelectronically

(e-pay).Alloftheaboveactivitiescanbedoneanytimeofthedayatyourconvenience.Ourwebsitewillguideyouthroughanapplicationinterviewtogetyourbusinessregisteredtocollectandreporttaxandhelpyoudeterminewhatyourtaxobligationsare.Afteryouhaveregisteredyourbusinesstocollectandreporttax,youcanenrolltofileand/orpayyourtaxelectronically.Taxpayerstellusthatfilingandpayingelectronicallyis fast, simple,and convenient.

ResourcesGotoour“Taxes”webpage,tofindhelpfulinformationandresources.Therearelinksto:

• TaxInformationPublications(TIPs)• Onlinetutorials• Taxpayereducationmaterial

Tutorials on sales and use tax canhelpyoulearnFloridataxlawsatyourownpaceandwhenit’sconvenientforyou.Belowisalistingofthesalesandusetaxtutorialsweoffer:• Overview of Sales and Use Tax for Business

Owners-Werecommendtakingthistutorialbeforeyoutaketheothersalesandusetaxtutorials.

• How to Enroll to e-File and e-Pay

• How to e-File and e-Pay Sales and Use Tax(DR-15)

• How to Complete Sales and Use Tax Returns

• How to Calculate and Pay Estimated Sales and Use Tax

• How to Calculate, Collect, and Report Your Discretionary Sales Surtax

• Motor Vehicle Dealers: How to Calculate, Collect, and Report Sales Tax

The tutorial on reemployment tax canhelpyouunderstandyourresponsibilitiesasaFloridaemployer:• Reemployment Tax Tutorial for Employers.

OtherResourcesLink:• Standardindustryguides

• Electronicfile-and-payinformation

OurForms and Publicationspagecontainsmanyindustry-specificbrochuresonsalesandusetax.Eachbrochurerelatestoaspecificbusinesstype.

Subscribe to our electronic tax publicationstostayup-to-dateontaxlawchangesandgetinformationtohelpyoufileyourtaxesaccurately,efficiently,andontime.

Information and formsareavailableonourwebsiteat:www.myflorida.com/dor

TospeakwithaDepartmentofRevenuerepresentative,callTaxpayerServices,8a.m.to7p.m.,ET,MondaythroughFriday,excludingholidays,at800-352-3671.

Forawrittenreplytoyourtaxquestions,write:TaxpayerServices-MS3-2000FloridaDepartmentofRevenue5050WTennesseeStTallahasseeFL32399-0112

GettheLatestTaxInformationSubscribetoourtaxpublicationstoreceiveduedateremindersoranemailwhenwepost:•TaxInformationPublications(TIPs)•Proposedrules,noticesofruledevelopmentworkshops,andmore

Goto:www.myflorida.com/dor/list

FollowtheDepartmentofRevenueonTwitter.Gotowww.twitter.comandfollow@MyFLDOR_TaxInfo



Information on Additional Business Requirements

IncorporationIfyoudobusinessasacorporation,partnership,orlimitedliabilitycompany(LLC),youmustregisterwiththeFloridaSecretaryofState.Formoreinformation,visittheDivisionofCorporationswebsiteat:www.sunbiz.org

Business “Fictitious” NameIfyourbusinessdoesnotoperateasacorporationandyouplantorunyourbusinessunderanameotherthanyourownfullname,youwillneedtoregisterthebusinesswitha“fictitious”name.Formoreinformation,visittheDivisionofCorporationswebsiteat:www.sunbiz.org

Business Tax CertificateBoththecityandcounty(whereyourbusinessislocated)mayrequireyoutogetabusinesstaxcertificate.Forspecificrequirements,contactyourlocaltaxingauthority.

State LicenseTheStateofFloridarequirespeopleinmanyregulatedprofessions,fromaccountantstoyachtandshipbrokers,toobtainspeciallicensesorcertificates.Formoreinformation,visittheFloridaDepartmentofBusinessandProfessionalRegulationwebsiteat:www.myflorida.com/dbpr

Personal Property TaxAllcountiestaxthepersonalpropertyorbusinessequipmentofbusinesses.Callyourlocalcountypropertyappraiserorgototheirwebsiteformoreinformation.

Federal Employee Tax InformationIfyouhireemployees,youmustwithholdpayrolltax.Formoreinformation,visittheInternalRevenueServicewebsiteat:www.irs.gov

Federal Employer Identification NumberAllbusinesses,exceptsoleproprietorshipswithnoemployees,mustregisterforafederalemployeridentificationnumber.Formoreinformation,visittheInternalRevenueServicewebsiteat:www.irs.gov

Federal Income Tax Withholding and Social Security TaxEmployersmustwithholdfederalincometaxfromthesalariesoftheiremployeesforfederaltaxpurposes.TheymustalsopaySocialSecuritytaxes.Formoreinformation,visittheInternalRevenueServicewebsiteat:www.irs.gov

Federal Unemployment TaxMostbusinesseswithoneormoreemployeesmustcontributetoafederalfundthatpaysunemploymentinsurancetoworkerswhohavebeenlaidoff.Formoreinformation,visittheInternalRevenueServicewebsiteat:www.irs.gov

Worker’s CompensationCompanieswithfourormoreemployeesmustpayintoastatefundthatcompensatesworkerswhohavebeeninjuredonthejob.Formoreinformation,visittheDivisionofWorker’sCompensationwebsiteat:www.myfloridacfo.com

Health RegulationsIfyouopen,own,oroperatearestaurant,hotel,orotherfoodservicebusiness,youmustcomplywithhealthregulations.Formoreinformation,visittheFloridaDepartmentofBusinessandProfessionalRegulationwebsiteat: www.myflorida.com/dbprandcallyourlocalcountyhealthdepartment.

ZoningBusinessownersmustmakesurethatthebusinesstheywillconductonthebusinesslocationpropertyispermitted.Calltherespectivecountyplanningdepartmentforzoninginformation.



New Employee Hire - Reporting RequirementsFederalandStatelawrequiresemployerstoreportallnewandrehiredemployeeswhoworkintheStateofFloridatowhomtheemployeranticipatespayingearnings.Employeesshouldbereportedeveniftheyworkonlyonedayandareterminated.ThisreportingrequirementispartofthePersonalResponsibilityandWorkOpportunityActof1996.Formoreinformationvisit:https://newhire.state.fl.us/fl-newhire

Florida Department of Agriculture and Consumer ServicesTherearevariousbusinessesgovernedbytheFloridaDepartmentofAgricultureandConsumerServices.Twoexamplesarepawnshopsandagriculturaldealers.Beforestartingasmallbusiness,checkwiththeDepartmentofAgricultureattheirwebsiteunderthe“BusinessServices”tabforacompleteindexofthosebusinessesandmoreinformationontherequirements.Theirwebsiteis:www.freshfromflorida.com

Theremaybeotherstart-uprequirementsthatyourbusinessmustcomplywith.Itistheresponsibilityofthebusinessownertoensurethatallofthestart-uprequirementsaremet.

Frequently Asked Questions

Q. When do I begin reporting sales and use tax to the Florida Department of Revenue?A.Whenyouneedtostartreportingyoursalesandusetaxdependsonwhichfilingfrequencyyouraccountissetupfor.WhenabusinessfirstregisterswiththeDepartment,weusuallysettheaccountuptofileandpaytaxeveryquarter.TheduedateofyourfirstquarterlyreturnisbasedonthedateyousaidthatyourbusinessfirstopenedonyourFlorida Business Tax Application(FormDR-1).Yourfirstquarterlyreturnisdueonthe1stdayofthemonthfollowingthequarteryoufirstopenedyourbusiness.Ifyourtaxisnotpaidbythe20thofthatmonth,itislate.Youcanfindmoreinformationinthesection,“FilingReturnsandPayingTax.”

Q. What if my business did not open on the date I indicated it would?A.IfyourbusinessdidnotopenonthedateyoulistedonyourFlorida Business Tax Application(FormDR-1),and

youhavenotnotifiedtheDepartmentofthischange,areturnisstilldue,evenifnotaxableactivityhastakenplace.Moreinformationiscoveredinthesection,“ChangingYourBusinessInformation.”

Q. Do I have to file a return even if I don’t owe any tax?A.Yes.Floridalawrequiresataxreturntobefiledforeachreportingperiod,evenifnotaxisdueforthat

period.Ifyouowenotax,penalty,orinterestandifyouarenotclaiminganydeductionsorcredits,youmaytelefilebycalling800-550-6713.Seesection,“FilingEvenifNoTaxisDue.”

Q. What will happen if I don’t complete the back of the return?A.Ifyoudon’tcompletethebackofyoursalesandusetaxreturn,youmaybesubjecttopenaltiesforfilinganincorrectorincompletereturn.Youarerequiredtoreportdiscretionarysalessurtax(countytax)thatyoucollectonthebackofyourreturn.TheDepartmentdistributestaxmoneybacktocountiesbasedoncollectionsreportedandpaidbysalesandusetaxdealersaswellasthespecificinformationthatthedealersreportedonthebackoftheirreturns.Ifthebackofyourreturnisincompleteorincorrect,thiscannegativelyimpacttheamountoftaxmoneydistributedbacktoyourcounty.

Q. What is the penalty for filing my return late or paying my tax late?A.Ataxpayerwhofilesalatereturnorislatepayingtheirtaxduewillbeassessedalatepenaltyof10percentoftheamountoftaxowed,butnolessthan$50.The$50minimumpenaltyappliesevenwhenthereturnreportsnotaxisdue.Penaltywillalsobeassessedifthereturnorpaymentissubmittedontimebutisincomplete.Interestisalsodueonlatepayments.InterestischargedatafloatingratethatiscalculatedusingaformulasetbyFloridaStatutes.Interestisassessedontheunpaidtaxfromthedatetaxisdueuntilthedateitispaid.Formoreinformation,seesection,“FilingLate(payingpenaltyandinterest).”



Q. Where do I get my sales and use tax returns?A.Assoonasyoursalesandusetaxaccountnumberisassigned,youwillbemailedreturnsunlessyouenrolledtoe-fileande-pay.Yourcouponbookispersonalizedandshouldarrivebymailapproximatelyonemonthafteryouregister.Ifyouhavenotreceivedyourbookbythen,contactTaxpayerServicesoryournearestservicecenter.

Q. May I file my return and pay tax electronically?A.Youcanfilereturnsandpayyourtaxesbyusingourfreeandsecurewebsite,oryoumaypurchasesoftwarefromasoftwarevendor.

Definitions

Bracket system –Therequiredmethod(byFloridaStatutes)forcalculatingtheamountoftaxdueontransactionslessthanwholedollaramounts.AlltaxabletransactionsinFloridaaretaxableatthebaserateof6percent.Sixpercentischargedoneachwholedollarofprice.However,ontheamountsinbetweenwholedollaramounts,onemustusetheappropriatebracketcardtodeterminethecorrecttaxonanypartialdollaramounts.See“Totaltaxrate”definitionbelowand“CalculatingTax”inthe“ApplyingTaxtoSalesandPurchases”sectionformoreinformation.

Business activity (or opening) date –Thedateabusinessbeginstaxablebusinessactivityandisrequiredtobeginreportingsalestax.Thisdatealsodetermineswhenthefirstreportingperiodbegins.

Collection allowance –Dealersonlyreceiveacollectionallowanceiftheye-fileande-paytimely.Thecollectionallowanceis2.5%(.025)ofthefirst$1,200ofthetaxdue,nottoexceed$30.

Taxpayerswhoe-fileande-paymaydonatetheircollectionallowancetotheEducationalEnhancementTrustFund.Aboxisprovidedontheelectronicsalesandusetaxreturntoindicatetheywishtodonatetheircollectionallowance.Formoreinformation,seeTaxInformationPublication(TIP)#12A01-03.

Discretionary Sales Surtax –ThisisacountytaximposedbymostFloridacountiesandappliestomosttransactionssubjecttosalestax.ThesellingdealermustcollectthesurtaxinadditiontoFlorida’sgeneralsalestaxof6percent.Thereareafewcountiesthatdonotimposeasurtax.TheDepartmentdistributesthesalessurtaxcollectedbacktothecountiesthatlevythesurtax.Countiesusethesefundstohelppayforlocalauthorizedprojects.

e-File – FilingyourtaxeselectronicallyusingtheDepartment’ssecurewebsiteorbyusingsoftwarepurchasedfromasoftwarevendor.

e-Pay –PayingyourtaxeselectronicallyusingtheDepartment’ssecurewebsiteorbyusingsoftwarepurchasedfromasoftwarevendor.Electronicpaymentsmustbemadeatleastonebusinessdaybeforeeachpaymentisdue.Weprovideacalendarofduedatesonourwebsite(FormDR-659).

Registered sales and use tax dealer or business – AbusinessthathasregisteredwiththeFloridaDepartmentofRevenuetocollectandreportsalesandusetaxes.

Registration effective date – Thepostmarkdateorreceiptdateofanapplicationforcertificateofregistration.Thisdateisusedtodeterminewhenthebusinessiseligibletomaketax-exemptpurchasesorrentalsofpropertyorservicesforresale.

Reporting period – Thecalendarmonthormonthsthatmustbereportedonaparticulartaxreturn.

State fiscal year –The12-monthperiodthestateusesforbookkeepingpurposes.ThestatefiscalyearbeginsonJuly1andendsonJune30.



Tangible personal property –Personalpropertythatmaybeseen,weighed,measured,touched,orisperceptibletothesenses.

Total tax rate –Thestatesalestaxratepluscountydiscretionarysalessurtaxrate.

State Sales Tax Rate + County Discretionary Sales Surtax Rate = Total Tax Rate

Note: Fortherentaloflivingaccommodations(transientrentals),theapplicablecountylocaloption touristdevelopmenttaxalsoappliesandmustbeaddedtotheTotalTaxRate.

Getting StartedYoucanregisteronourwebsite(nofee),whereyouwillbeguidedthroughastep-by-stepregistrationinterviewthatwillhelpyoudetermineyourtaxobligations.However,ifyoudonothaveInternetaccess,youcancompleteapaperFlorida Business Tax Application(FormDR-1)andwitha$5feeeithermailtheapplicationortakeittoaservicecenternearyou.

AfteryouregisterwiththeDepartment(eitheronlineorwithapaperapplication),youwillreceivebymail,orperhapsyouhavealreadyreceived:

• YourCertificate of Registration(FormDR-11)• YourFlorida Annual Resale Certificate for

Sales Tax(FormDR-13)• Aninitialsupplyoftaxreturns(FormDR-15)

ifyouareusingpaperformsinsteadoffilingelectronically

• ASales Tax Rate Table(FormDR-2X)• AbrochureentitledBeginning Your

Relationship with the Florida Department of Revenue (brochureGT-800054)

• Discretionary Sales Surtax Information (FormDR-15DSS)

Note:IfyourbusinessdoesnotopenonthedateyouoriginallyindicatedonyourFlorida Business Tax Application (FormDR-1),contactyourlocalservicecenterorTaxpayerServicesimmediately.(See“ContactUs”section.)

Dealer ResponsibilitiesAsaregisteredsalestaxdealer,youactasanagentofthestateandareresponsiblefor:

• Collectingsalestaxoneachtaxabletransaction.

• Payingusetaxonitemsusedbyyourbusinessthatwerepurchasedtax-exemptorremoved

frominventoryandnotresold.• Sendingthetaxyouhavecollectedandthe

usetaxowedtotheFloridaDepartmentofRevenue.YoucanfileandpayonlineorsendacompletedSales and Use Tax Return(FormDR-15orFormDR-15EZ)withacheck.

• Keepingcompleteandaccuraterecordsofallsalesandpurchases.

The tax dollars you collect belong to the state at the moment of collection.YouserveasthetrusteeorcustodianofthesefundsuntilyousendthemtotheFloridaDepartmentofRevenue.You must keep accurate records and maintain a separate accounting of these funds.Copiesofyourfiledtaxreturns,cancelledtaxpaymentchecks,anddocumentationtosupportalltransactionsmustbekeptforaminimumofthreeyears.

Note:Mostlocalgovernmentsalsohaveregistrationorlicensingrequirements;contactthembeforestartingbusiness.Alistofpotentialregistrationorlicensingrequirementsislocatedatthebeginningofthispublication.

Posting Your Certificate of RegistrationYourCertificate of Registration(FormDR-11)containsyour:

• Businessnameandlocation• Certificatenumber(yourofficialsalesanduse

taxaccountnumber)

FloridalawrequiresyoutopostyourCertificate of Registrationatyourbusinesslocationinaconspicuousplace.(Fleamarketvendorsandotherdealerswithtemporarylocationsmusthavetheircertificateintheirpossessionatthelocation.)ItisimportantthatyourcustomersseeyourCertificate of RegistrationandknowthatyouareauthorizedtocollectFloridasalestaxfromthem.



Using Your Florida Annual Resale Certificate for Sales Tax YouarealsoresponsibleforusingyourFlorida Annual Resale Certificate for Sales Tax(FormDR-13)correctly.Onlypropertyorservicesthatwillberesoldorre-rentedmaybepurchasedtax-exemptusingyourFlorida Annual Resale Certificate for Sales Tax.DonotuseyourFlorida Annual Resale Certificate for Sales Taxtobuyofficeequipment,computers,orothersuppliesusedbyyourbusinessoperation.FloridalawprovidesforcriminalandcivilpenaltiesforthefraudulentuseofaFlorida Annual Resale Certificate for Sales Tax.

Sales and Use Tax Forms and Coupon BooksIfyoudonotchoosetofiletaxreturnselectronically(e-file)youwillbemailedaninformationpacketandsometaxreturnswithinafewdaysafteryouregister.

Wewillmailyourpersonalizedcouponbookapproximatelyonemonthafteryouregister.Itwillcontainallthecoupon-sizetaxreturnsyouneedthroughtheendofthecurrentcalendaryear.Ifyoudonotreceiveyourbookwithinsixweeksafteryouregister,pleasecontactTaxpayerServicesoraservicecenternearyouforhelpingettingyourcouponbook.Youarenotexcusedfromyourfilingrequirementsbecauseyouhavenotreceivedtaxreturnsoracouponbook.Itisyourresponsibilitytoobtainareturnifyoudonotreceiveone.

Whenyoureceiveyourcouponbook,checkyourbusinessname,address,certificatenumber,reportingperiods,andotherpersonalizedinformation.Ifanyoftheinformationisincorrect,contactTaxpayerServicesoryournearestservicecenter.

Aslongasyouremaininbusinessyouarerequiredtoreportandpaysalesandusetax,aFlorida Annual Resale Certificate for Sales Taxwillbeissuedtoyoueachyear.EachyearinNovember,aFlorida Annual Resale Certificate for Sales Taxforthenextcalendaryearwillbeavailableonourwebsiteatwww.myflorida.com/dor.Fromourhomepage,select“PrintAnnualResaleCertificates.”

Ifyoufileyourreturnselectronically,youwillneedtologintoyouraccounttodownloadorprintyourcertificate.Ifyoufilepapersalesandusetaxreturns,yourcertificatewillbeavailableonlineandwillbeincludedinyourannualcouponbookorprovidedwithyourpaperreturns.Ifyouneedassistance,contactTaxpayerServicesat800-352-3671.

Sales TaxSalestaxappliestothesale,rental,lease,orlicensetousecertainpropertyorgoods(tangiblepersonalproperty)andcertainservicesinFlorida,unlessthetransactionisspecificallyexempt.Thesalestaxisaddedtothepriceofthetaxablegoodsorservicesandcollectedfromthepurchaseratthetimeofsale.Forexample,salestaxisaddedasaseparateitemtothepriceof:

• Retailgoods(newandused)• Preparedfoodsandmeals• Admissiontogames,sportsevents,

performances,andamusementparks• Rent,lease,orlicensetousecommercial

property• Transient(sixmonthsorless)rentalofliving

orsleepingaccommodationssuchashotelandmotelrooms,condominiumunits,beachorvacationhouses,campgroundsites,andtrailerorRVparkaccommodations

• Servicessuchasdetectiveorburglarprotectionservices,nonresidentialcleaning,andnonresidentialpestcontrol

Sales Tax RateFlorida’sstatesalestaxrateis6percent.See“CalculatingTax”formoreinformation.However,otherratesmayapplybasedonthetypeofsale.Examplesinclude:

• 4percentonamusementmachinereceipts.• 6.95percentonthesaleorpurchaseof

electricpowerorenergy.

Mostcountiesimposeadiscretionarysalessurtax,sometimescalledalocaloptioncountytax,ontransactionsthataresubjecttosalesandusetax.



Discretionary Sales Surtax (Local-Option County Tax)Thediscretionarysalessurtaxisalocal-option,county-imposedtax.Salestaxdealersmustcollectdiscretionarysalessurtaxalongwiththe6percentstatesalestaxandsendbothtaxestotheDepartment.TheDepartmentthendistributesthediscretionarysalessurtaxtothecountiesforuseinfundingauthorizedlocalprojects.Theamountofmoneydistributedbacktoacountyisbasedoncollectionsreportedandsentinbysalesandusetaxdealersaswellasthespecificinformationreportedonthebackoftheirreturns.Therefore, it is very important that you accurately collect, record, and report this surtax and surtax information on the back of your tax return.

Discretionary Sales Surtax RateThediscretionarysalessurtaxratevariesfromcountytocounty.Discretionarysalessurtaxmustbecollectedwhenthetransactionoccursin,ordeliveryisinto,acountythatimposessurtax,andthesaleissubjecttosalesandusetax.Somecountiesdonotimposethistax.FindcurrentdiscretionarysalessurtaxratesinFormDR-15DSSonourwebsite.FormDR-15DSSisalsomailedwithyourcouponbookpackage.

Note: Floristsshouldusethesurtaxrateofthecountywherethefloristtakingtheorderislocated.Motor vehicle and mobile home dealersshouldusethesurtaxrateofthecountywherethemotorvehicleormobilehomewillberegistered.

Discretionary Sales Surtax ExceptionsOnlythefirst$5,000ofasinglesaleoftangiblepersonalpropertyissubjecttodiscretionarysalessurtaxifthepropertyissold:

• Asasingleitem,• Inbulk,or• Asaworkingunitorpartofaworkingunit.

The $5,000 limit does not apply to commercial rentals, transient rentals, services, or prepaid calling arrangements.

Writtenpurchaseordersoragreementsbetweensellingdealersandpurchaserscanqualifyforthe$5,000limitifthewrittenpurchaseorderoragreementisforaspecificquantityoftangiblepersonalpropertytobedeliveredwithinadefinitespecifiedtime.Thetangiblepersonalpropertymustbeitemsthatarenormallysoldinbulkoritemsthatcompriseaworkingunitwhenassembled.Thepurchaseorderoragreementmayallowitemstobedeliveredandinvoicedininstallmentsandstillqualifyasasinglesale.

Example: $7,000diningroomsetdeliveredtoacountyimposinga1%discretionarysalessurtax. $7,000 x 6% = $420-statesalestax $5,000 x 1% = $50-countysurtax Total Tax Due = $470

Discretionary Sales Surtax Rate ChangesNewsurtaxratesbecomeeffectiveonJanuary1ofeachyearandmayterminateonDecember31ofeachyearasprovidedinthelocalordinance.TheeffectiveexpirationdatesarelistedonFormDR-15DSS.Asaregisteredsalestaxdealer,youareresponsibleforcollectingthecorrectrate.YoushouldchecktheeffectivedatesandexpirationdatesthatarelistedonFormDR-15DSStoensureyouarecollectingtaxatthecorrectrates.Thecurrentformispostedonourwebsite.

Remember:Ifyouarearegisteredsalestaxdealerandsalesorusetaxappliestoatransaction,thentheapplicablediscretionarysalessurtaxwillalsoapply.

When and at What Rateto Collect Discretionary Sales Surtax (Local Option County Tax) on Taxable Sales

IfasellingdealerlocatedinanyFlorida county

withadiscretionarysurtax sells&delivers

intothecountywherethesellingdealerislocated

surtaxiscollectedatthecountyratewherethedelivery is made


withorwithoutadiscretionarysurtax

sells&delivers

intocountieswithdifferentdiscretionarysurtaxrates



withorwithoutadiscretionarysurtax

sells&delivers

intocountieswithoutadiscretionarysurtax

surtaxis notcollected

Ifanout-of-statesellingdealer sells&delivers

intoaFloridacountywithadiscretionarysurtax


Ifanout-of-statesellingdealer sells&delivers

intoaFloridacountywithoutadiscretionarysurtax

surtaxis notcollected



Use Tax

Did you know?• Most businesses have a use tax

liability.

• The most frequent assessments made in audits involve unreported use tax.

Usetaxisduewhentaxablegoodsorservicesarepurchased,taxisnotpaidatthetimeofpurchase,andthetaxablegoodsorservicesareusedorconsumedbythebuyer.Salestaxandusetaxareverysimilarinhowtheyapplytoapurchase:

• Theusetaxrateandthediscretionarysalessurtaxrate(local-optioncountytax)bothapplyinthesameway.

• UsetaxandsurtaxapplytopurchasesoftaxablegoodsorservicesthatarebroughtintoFloridauntaxedortaxedataratelessthantheFloridasalesandusetaxrate.

• Usetaxandsurtaxalsoapplywhenyoupurchaseitemsforresalewithoutpayingtaxtoyoursupplierandthenusetheiteminyourbusinessorforataxablepurpose.

• Itemsthatarespecificallyexemptfromsalestaxarealsoexemptfromusetax.

IfyoubuytaxableitemsorservicesthroughtheInternetoramail-ordercatalogcompany,oryoumakepurchasesinanotherstatethatareshippedtoFlorida,youwillprobablyoweusetaxandsurtax.Someitemscommonlypurchasedfromout-of-stateretailersthataresubjecttousetaxandsurtaxare:

• Officesupplies. • Businessfurniture. • Computersoftwareandhardware.

Usetaxandsurtaxarealsoduewhenyoubuyanitemtax-exemptforresalepurposesandthenusetheiteminyourbusinessorforsomeothertaxableuse.Forexample,anofficesupplystorebuysaboxofcashregistertapestax-exemptforresale.Later,anemployeetakesarolloftapeofftheshelfandusesitinthestore’sregister.Taxisdueonthestore’scostofthetape.Ifyouremovetaxableinventoryitemsforpersonaluse,youwillalsooweusetaxandsurtax.Forexample,theownerofaclothingstoretakesashirtfrominventoryforpersonaluse.Becausetheshirtwasinitially

purchasedtax-exemptforresale,taxisdueonthecostoftheshirt.

GoodspurchasedinanotherstateandusedinanotherstateforsixmonthsormorearenotsubjecttoFlorida’susetaxwhenthegoodsarelaterbroughtintothisstate.

Local-Option Tourist Development Tax (Transient Rental Tax)Somecountiesimposealocal-optiontouristdevelopmenttax(inadditiontosalestaxanddiscretionarysalessurtax)ontheleaseorrentalofshort-term(sixmonthsorless)livingaccommodationssuchashotels,motels,condominiums,timeshareresorts,apartments,beachhouses,orvacationhomes.Thistaxisoftencalledatransientrentaltaxorbedtax.

Sometraveltrailercamps,mobilehomeparks,andrecreationalvehicleparksmayqualifyforanexemptionifmorethanhalfoftherentalunitsareoccupiedbytenantswhohavecontinuallyresidedthereforoverthreemonths.

Rentalsoflivingaccommodationsinmigrantlaborcampsarenotsubjecttothistax.

Inmanycountiesthatimposeatransientrentaltax,thedealerisrequiredtoreportandpaythelocal-optiontouristdevelopmenttaxdirectlytothelocalcountytaxingauthority.However,insomecounties,theDepartmentcollectsthetaxforthecounty.Ifyourbusinessinvolvestransientrentalsandyouareunsureofwhetheryourcountyimposesatransientrentaltaxandwheretosendit,contactyourlocaltaxcollector.

Applying Tax to Sales and PurchasesExempt SalesSalestaxdealersareresponsiblefordeterminingifatransactionistaxableorexempt.Allsalesoftangiblepersonalpropertytoyourcustomersaretaxableunlesstheitemsarespecificallyexemptfromtax.Dealersmustmaintaindocumentationtosupportallexempttransactionsforaminimumofthreeyears.Examplesofproperdocumentationare:



• CopiesofFlorida Annual Resale Certificates for Sales Tax

• Copiesofcertificatesofexemption• Documentsthatsupportshipmentof

merchandisetoout-of-statelocations• Signedstatement(asrequiredbylaw)to

supporttheexemptionItemsthatarespecificallyexemptfromsalesandusetaxincludemedicines,mostservices,andmostgroceries.Fooditemsaregenerallyexemptfromsalestaxwhensoldingrocerystorestobetakenhomeandprepared.Someexamplesofexemptgroceryitemsaremilk,butter,cereal,frozengoods,andcannedgoods.Examplesoftaxableitemsincludesoap,papergoods,cleaningproducts,andcandy.Wehavealistofthenontaxablemedicalandgroceryitemspostedonourwebsite.Gotothe“FormsandPublications”pageandlookforNontaxable Medical and General Grocery List(FormDR-46NT).

TheFloridaTaxHandbookisanexcellentsourceofinformationaboutFlorida’staxesincludingpastandcurrenttaxrates,localoptiontaxes,andacomprehensivelistofitems,transactions,andservicesthatareexemptfromsalesandusetax.Visithttp://edr.state.fl.usandsearchfor“TaxHandbook.”

Federal,state,andlocalgovernmentsandqualifyingnonprofitorganizationsthathavebeenissuedaConsumer’s Certificate of Exemption(FormDR-14),canpurchaseitemswithoutpayingtax.Certificatesofexemptionexpireeveryfiveyears.PurchasersmustprovideyouwithacopyoftheirConsumer’s Certificate of Exemption;otherwise,youshouldcollectthetax.Inaddition,paymentmustbemadewithfundsoftheorganizationnamedonthecertificate.Employees of exempt organizations paying with personal funds are not exempt from sales tax, even if they will be reimbursed by the exempt agency.

Calculating TaxSalestaxiscalculatedatthetimeofeachtransaction.Whensalestransactionsfallbeloworinbetweenwholedollaramounts,youmustusethebracketsystemtocalculatethetaxbetweenwholedollaramounts.Underthebracketsystem,theactualtaxcollectedmaybemorethanastraightpercentageofthetotalsalesmadeduringthereportingperiod.Thelistofourmostcommontax

ratesispostedonourwebsitealongwithindividualbracketratesheetsforeveryratecombination.

Example #1: (based on 6% rate)One Individual

Transaction Tax Collected

Total Sale $11.00 Total Tax Due .66One taxable transaction at $11.00 total sale. Total tax collected equals 66 cents. The total tax collected (66 cents) is due.

Bracket System at a 6% Rate (use for Example #2)Amount of Sale Tax

.10-.16 .01

.17-.33 .02

.34-.50 .03

.51-.66 .04

.67-.83 .05.84-1.09 .061.10-1.16 .07

Example #2: (using the bracket system at a 6% rate)

Ten Individual Transactions Tax Collected

1.10 .071.10 .071.10 .071.10 .071.10 .071.10 .071.10 .071.10 .071.10 .07

+1.10 +.07Total Sales $11.00 Total Tax Due .70

Ten separate taxable transactions at $1.10 each equals total sales of $11.00. Total tax collected equals 70 cents, or 7-cents sales tax for each $1.10 transaction. The total tax collected (70 cents) is due.

Example #3

Joe’s convenience store (located in a county with no discretionary sales surtax) had 100 separate taxable sales transactions that cost 69 cents each. Using a 6% bracket card, Joe’s collected 5 cents sales tax on each transaction. The total sales tax Joe’s collected was $5.00. Joe’s must report and pay the actual amount of tax collected. If Joe’s were to use a straight percentage calculation (total taxable sales x tax rate) to calculate the amount of tax collected, the incorrect amount of $4.14 would result.

Right: Actual Tax Collected and Remitted = $5.00 ($.05 x 100)

Wrong: Calculated Tax Collected = $4.14 ($.69 x 100 x .06)



Collecting TaxThefullamountofsalestaxmustbecollectedatthetimeofthetransaction.Salestax,includinganycountysurtax,mustbeseparatelystatedonthesalesslip,chargeticket,invoice,orotherevidenceofsale.Salestaxdealersmaynotadvertiseorindicatethatalloranypartofthesalestaxwillbeabsorbedorpaidbythedealer.Dealers are liable for any tax not collected.

Thefullamountoftaxoncashsales,creditsales,installmentsales,orsalesmadeunderanykindofdeferredpaymentplan,isdueatthetimeofsale.

Example:AfurnituredealersellsasofaonJune7for$1,000andallowsthecustomertopayonadeferredpaymentplan(90dayssameascash).ThesalestaxisdueonJuly1(onthesalestaxreturnfortheJunereportingperiod),eventhoughthedealermaynotreceivefullpaymentforthesofauntilSeptember.

Thecollectionoftaxonrealpropertyrentalsandtransientlivingaccommodationsisslightlydifferentthanothertaxabletransactions.Forthesetypesoftransactions,salestaxisduewhenthepaymentisreceivedratherthanatthetimeofsale.For reporting periods when you collect no payments, you must still file a zero (“0”) return even though no tax is due.

Accruing Use TaxAsaregisteredsalesandusetaxdealer,youareresponsibleforaccruingandpayingusetaxanddiscretionarysalessurtaxonyourtaxablepurchases.Refertoour“UseTax”sectionforanexplanationofusetax.Youoryourbookkeepershouldsetupasystemtorecordandpayusetaxonyourtaxablepurchases.Itmaybeause-taxaccrualaccountorotherrecord-keepingsystemwherepurchasessubjecttousetaxarerecorded.Foritemsoriginallypurchaseduntaxedforresale,usetaxanddiscretionarysalessurtaxmustbereportedonthereturnforthereportingperiodduringwhichtheitemwasused.Keepyourrecordsasabackuptoyourreturn.

Themostcommontaxablepurchasesare:

• TaxableitemsyoupurchasedthroughtheInternet,amail-ordercompany,oranout-of-stateretailerthatwerenottaxedbytheseller.

• Itemsyoupurchaseduntaxedforresalepurposesfromyoursuppliersthatwerelaterusedinyourbusinessorbyyouoryouremployees.

• Taxableitemsyoupurchasedinanotherstateuntaxedthatwereshipped(orbrought)intoFlorida.

• Taxableservicesyoupurchaseduntaxedfromanout-of-statecompanybutusedinFlorida.

Florida Annual Resale Certificate for Sales TaxFlorida Annual Resale Certificates expire each year on December 31.Aslongasyouareanactive,registereddealer,youwillbeabletodownloadyournewFlorida Annual Resale Certificate for Sales Tax(FormDR-13)fromtheDepartment’swebsite.

YourFlorida Annual Resale Certificateallowsyoutomaketax-exemptpurchasesorrentalsforresale.Yourcertificatemaybeusedif:

• Thepurchasedorrentedgoodswillberesoldorre-rentedinyourregularbusinessoperations.

• Thegoodswillberesoldasacomponentpartofanotherproductbeingsold.

• Theserviceswillberesoldinyourregularbusinessoperations.

• Therentalswillbere-rentedasrealpropertyortangiblepersonalproperty.

YourFlorida Annual Resale Certificatemay notbeusedtobuygoodsthat:

• Willbeusedratherthanresoldorrented.• Willbeusedpriortosellingorrentingthegoods.• Willbeusedbyyourbusinessorforpersonal

purposes.ProvideaphotocopyoranelectroniccopyofyourFlorida Annual Resale Certificatetoyoursuppliertomaketax-exemptpurchasesofitemsorservicesthatyouwillresell.

Using Your Florida Annual Resale Certificate for Sales TaxWhenyoubuygoodsusingyourFlorida Annual Resale Certificate,itisyourresponsibilitytoensurethegoodsareactuallypurchasedforresale.Ifthegoodspurchasedarenotintendedtoberesold,youmusteitherpaysalestaxatthetimeofpurchaseorreportandpayusetaxonthem.

IfyouknowinglyuseyourFlorida Annual Resale CertificateforSalesTaxtobuyitemsthatwillnotberesold,youwillowetaxpluspenaltyandinterestonthetransaction.Floridalawprovidesforcriminalandcivilpenaltiesforthefraudulentuseofa



Florida Annual Resale Certificate for Sales Tax.Aspartoftheauditprocess,resaletransactionsareexaminedtoensuretheyarelegitimatepurchasesforresale.

Accepting a Florida Annual Resale Certificate for Sales TaxOthersalestaxdealersmaybuygoodsfromyoutaxexemptforresalebyprovidingyouwithacopyoftheircurrentFlorida Annual Resale Certificate.YoushouldnotacceptaFlorida Annual Resale Certificateifyouknoworhavereasontobelievethegoodsarebeingpurchasedforreasonsotherthanthosestatedonthecertificate.

Ifthenatureofthecustomer’sbusinessissuchthatthegoodspurchasedwouldnotnormallyberesold,youshouldquestiontheuseofthecertificate.Forexample,aFloridaAnnual Resale Certificatefromacardealershipshouldnotbeacceptedforthepurchaseofofficesuppliesorsimilaritemsnotnormallysoldbycardealerships.You must keep documentation of annual resale certificates that you accepted from purchasers until sales tax may no longer be assessed.

Methods for Documenting Sales for ResaleYoucanuseanyofthefollowingoptionstodocumentatax-exemptsaleofgoodsforresale:

1. Youmayobtainacopyofacustomer’sFlorida Annual Resale Certificateeachyear.Donotdiscardcopiesfromprioryears.

2. Ifyoudonothaveacustomer’sresalecertificateonfilebutthecustomerknowshis/hersalestaxnumber,youcancalltheDepartment’stoll-freehotlineat877-FL-RESALE(877-357-3725).YoucanalsouseourInternetverificationsystemtocheckuptofivesalestaxnumbersatonetime(dor.myflorida.com/dor/gta.html).Youwillreceiveanauthorizationnumbervalidonlyforthattransaction.Recordthisnumberonthesalessliporinvoiceandkeepforyourrecords.

3. TheDepartment’sFLTaxmobileappcanverifyFloridasalestaxcertificatenumbersandprovideatransactionauthorizationnumberforvalidcertificatenumbers.Formoreinformation,visitdor.myflorida.com/dor/mobile.

4. Ifacustomerbuys“onaccount”fromyouonaregularbasis,youmaykeepacopyofthe

customer’sFloridaAnnual Resale Certificatethefirsttimethecustomermakesatax-exemptpurchase.Youarenotrequiredtoaskforanothercopyofthecertificate,aslongasthebusinessrelationshipremainsunchanged.

5. Ifyouwishtoverifycertificatesheldbycustomers,youmayuploadasmanyas50,000accountsatonetimetotheDepartment.Tousethisservice,visitourwebsiteat

dor.myflorida.com/dor/gta.htmlandselect“Moree-Services”andthen“verifyresaleandexemptioncertificates.”Formoreinformation,seeRule12A-1.039FloridaAdministrativeCode.

Youwillreceiveaverificationnumberforeachcustomerauthorizedtomaketax-exemptpurchasesforresale.Thenumberwillcovereverytax-exemptpurchaseforresalebythatcustomerthroughtheendofthatcalendaryear.ElectronicresaleauthorizationnumbersthatareissuedinNovemberandDecemberarevalidthroughtheendofthenextcalendaryear.

Electronic Filing and Payment RequirementsFloridalawrequirescertainbusinessestofilereturns(e-file)andpaytaxes(e-pay)electronically.Theyare:

• Taxpayerswhohaveoneaccountandpaidtaxesof$20,000ormoreduringtheprecedingstatefiscalyear(July1-June30).

• Taxpayerswhohavetwoormoreaccountswiththesamefederalemployeridentificationnumberorsocialsecuritynumberandpaidtaxesof$20,000ormoreduringtheprecedingstatefiscalyear.

• Taxpayerswhofileconsolidatedtaxreturns.

Ifyoumeetanyoftheserequirements,youwillbenotifiedpriortoNovember1andmustbeginfilingandpayingelectronicallyinJanuary.Evenifyouarenotrequiredtofileandpayelectronically,youmayvoluntarilyenrollfore-Servicesbecauseoftheconvenienceitoffers.

“E-Services”includesanyofthefollowingmethodsoftransmittinginformation,data,orfunds:

• Electronicdatainterchange(EDI)• Electronicfundstransfer(EFT)• Telephone/telefile• Internet



• AnyothertechnologydesignatedbytheDepartment

YoucaneasilyfileandpayyoursalesandusetaxbyusingtheDepartment’sfreeandsecurewebsite.Otheroptionsforfilingbyelectronicmeans,suchasvendorsoftwareproducts,arealsolistedonourwebsite.

Generally,afterenrollingsuccessfully,wewillprovideyouruserinformationtoyouimmediately.Youwillalsoreceiveaninformationpackageinthemail.Thispackagewillcontaininstructionsforelectronicfilingand/orpayment,youruserinformation,andascheduleofpaymentdates.

Onlinefiling:

• Isfast.• Isconvenient.• Issecure.• Suppliesproofthatyouhavemetfiling

requirements.• Checksyourmath.• Helpsyouavoidpenaltiesforcommonerrors.• Isfree.(Nofeeforbasice-filing.Youmaywishto

purchasesoftwarefromsoftwarevendorsthatofferadditionalfeatures.)

Electronic Payment DeadlinesElectronicpaymentsMUSTbeinitiatednolaterthan5:00p.m.,ET,onthebusinessdaypriortothe20th.Checkthecurrentcalendarofinitiationdeadlinesforelectronicfilers(FormDR-659).Returnsmustbeelectronicallydatestamped(submissionortransmissiondate)onorbeforethe20th.Electronicpaymentsmustbesubmittedonorbeforetheinitiationdeadlines.Keepyourconfirmationnumberoracknowledgmentinyourrecords.

Filing Returns and Paying TaxFiling FrequencyThesalestaxfilingfrequenciesare:monthly,quarterly,semiannual,orannual.Yourfilingfrequencyisbasedontheamountofsalesandusetaxyoucollect.Mostnewbusinessesaresetuponaquarterlyfilingfrequency,unlessanotherfrequencyisrequested.

Quarterlyfilersarerequiredtofilereturnsfourtimesayear.Refertothechartonpage15forfilingdatesandreportingperiods.

Filing Frequency LimitsSales Tax Collected During

State Fiscal YearReturn and PaymentFiling Requirement

$100orless Annual

$101-$500 Semiannual

$501-$1,000 Quarterly

Morethan$1,000 Monthly

Ifyouqualifyandwouldliketochangeyourfilingfrequency,pleasecontacttheDepartment.

When to File ElectronicallyYoumustsubmityourreturnandreceiveaconfirmationnumberbefore5:00p.m.,ET,ontheduedate.Ifyousubmitareturnandpaymenttogether,youmustfollowtheelectronicpaymentdeadlines(seeFormDR-659).

When to File Paper Tax ReturnsReturnsandpaymentsaredueonthe1standlateafterthe20thdayofthemonthfollowingyourreportingperiod.Returnsandpaymentspostmarkedorhand-deliveredafterthe20tharelate.However,ifthe20thfallsonaSaturday,Sunday,orstateorfederalholiday,returnsandpaymentsarenotconsideredlateifpostmarkedorhand-deliveredonthefirstbusinessdayfollowingthe20th.

Filing Even if No Tax is DueYou must file a return for each reporting period, even if you did not collect sales tax or owe use tax during that time.Thereturnmustbefiled,telefiled,orsubmittedelectronicallyontimetoavoidpenalty.

Telefiling (if no tax is due)Ifyouowenotax,penalty,orinterest,andifyouarenotclaiminganydeductionsorcredits,youmaytelefilebycalling800-550-6713.Telefileisavailable24hoursaday,7daysaweek.Pleasehaveyourcertificatenumberreadywhencallingandwaitforyourconfirmationnumber.Ifyoutelefile,donotmailyourpaperreturntotheDepartment.

Note: Ifyouareobligatedtoe-file,youcannottelefile.



Quarterly Filing ChartQuarter 1 2 3 4ReportingPeriod January-March April-June July-September October-DecemberMonthsIncluded Jan.,Feb.,March April,May,June July,Aug.,Sept. Oct.,Nov.,Dec.ReturnisDue April1 July1 October1 January1ReturnisLateAfter April20 July20 October20 January20

Electronically File (e-file) and Pay (e-pay) to Receive a Collection AllowanceYoumuste-fileande-paytimelytoreceiveacollectionallowance.Thecollectionallowanceis2.5%(.025)ofthefirst$1,200ofthetaxdue,nottoexceed$30.

Onlytaxpayerswhoe-fileande-paymaydonatetheircollectionallowancetotheEducational Enhancement Trust Fund.Thisfundisusedtopurchaseup-to-datetechnologyforclassroomsinlocalschooldistrictsinFlorida.Aboxisprovidedontheelectronicsalesandusetaxreturntoindicatetheywishtodonatetheircollectionallowance.Youmustmakethischoiceoneachoriginalandtimelyfiledelectronicreturn.Youcannotmakethischoiceafteryourelectronicreturnisfiled.

Remember:Ifyoufileorpaybyamethodotherthane-fileore-pay,youarenotentitledtoacollectionallowance.

Filing Late (paying penalty and interest)Returnsandpaymentsareconsideredlateifpostmarkedafterthe20thdayofthemonthfollowingthereportingperiod.Youmustalsocalculateandaddpenaltyandinteresttotheamountoftaxdue.Penaltyandinterestarecalculatedfromtheoriginal“lateafter”date(asshownonyourreturn)tothedatethereturnisfiledandtaxispaid.

Penalty -Ataxpayerwhofilesalatereturnorislatepayingthetaxduewillbeassessedalatepenaltyof

10percentoftheamountoftaxowed,butnolessthan$50.

The $50 minimum penalty applies even if no tax is due. Penaltywillalsobeassessedifthereturnorpaymentissubmittedontimebutincomplete.

Interest - Afloatingrateofinterestappliestolatepaymentsandunderpaymentsoftax.TheinterestrateisupdatedonJanuary1andJuly1ofeachyearusingtheformulaestablishedintheFloridaStatutes.Thereisnolimitontheamountofinterestthatmayaccumulateonanyunpaidtaxdue.Interestrateinformation(currentandhistorical)ispostedonourwebsiteandcanbefoundbysearchingfor“InterestRates.”

Using the Correct ReturnWhenusingthepersonalizedtaxreturnsfromyourcouponbook,besuretosubmitthecorrectreturnforeachreportingperiod.Ifyousendthewrongreturn,youraccountwillnotbeproperlycreditedandyoucouldreceiveadelinquencynotice.

Yourcouponbookalsocontainsreturnsmarked“TaxpayerCopy”foryouruseinkeepingarecordoftheinformationfiledonyouroriginalreturn.Ifyoumisplaceordamageanoriginalreturnorneedtofileanamendedreturn,youcanusea“TaxpayerCopy”asanoriginalreturn.Whenyouusea“TaxpayerCopy”toamendareturn,besuretoselectthereturnforthesamereportingperiodasthereturnyouwanttoamend.YoucanalsoobtainareplacementreturnfromaservicecenternearyouorcontactTaxpayerServices.

Paying Tax Using the U.S. Postal ServiceTaxmustbepaidinU.S.fundsonly.Donotsendcashinthemail.UseacheckormoneyorderpayabletotheFloridaDepartmentofRevenue.Besuretheamountofyourcheckormoneyordermatchestheamountdueonyourreturn.Writeyourcompletesalesandusetaxcertificatenumberonthecheckormoneyorder.

Paying Tax ElectronicallyYoumustsubmityourpaymentandreceiveaconfirmationnumberbefore5:00p.m.,ET,on

thebusinessdaybeforethedatethetaxisdue.PaymentdeadlinesarelistedontheFlorida e-Services Calendar of Due Dates (Form DR-659).

How to File Paper Tax ReturnsMailyourreturnandpaymentinthepreaddressedenvelopeprovidedwithyourcouponbookorreturn.Ifyoumisplaceyourpreaddressedenvelope,sendyourpaymentto:



FloridaDepartmentofRevenue5050WTennesseeStreetTallahassee,Florida32399-0120

Youcanalsomailorhand-deliveryourreturnandpaymenttoyournearestservicecenter.

Completing Your Tax ReturnHere are some basic steps for completing your return, whether you are filing online or with paper. Line-by-line instructions for completing your DR-15 tax return are included with your coupon book.

Basic Steps for Completing Your ReturnStep 1: Determine your gross sales.Indeterminingyourtotalgrosssalesforthereportingperiod,youwillneedtoaddyourexemptandtaxablesalestogether.Do not include tax collected in your gross sales.Ifyouincludethetaxyouhavecollectedingrosssales,itwillincreasetheamountoftaxdueandyouwillprobablyreceiveabillforadditionaltaxdue.

Reportyourgrosssalesforthereportingperiodbythesaletypeonthecorrectlineofyourreturn.Grosssalesmayhavedifferenttaxratesdependingonthetypeofsaleandlinetheyarereportedon.Ifyouenteryourtransactionsonthewrongline,youcouldreceiveabillforadditionaltaxdue.Onthefrontofyourreturn:

• ReportmosttaxablesalesandtaxableservicesonLineA(Examplesoftaxableservicesarecommercialpestcontrol,commercialcleaningservices,andburglarprotectionanddetectiveservices.)

• ReportusetaxonLineB• ReportcommercialpropertyrentalsonLineC• ReporttransientrentalsonLineD• ReportfoodandbeveragevendingonLineE

Step 2: Determine your exempt sales.Addupanyexemptsalesincludedingrosssalesandenterthetotalexemptsalesonthecorrectlinesofyourreturnbytypeofsale.Exemptsalesincludesalesforresale,salestoexemptorganizations,salesshippedoutofstate,andsalesofitemsspecificallyexempt.

Step 3: Determine the taxable amount.Calculatethetaxableamountofyourgrosssalesbysubtractingexemptsalesfromgrosssales.

Note:Ifyouarefilingthe“EZ”versionoftheSales and Use Tax Return(FormDR-15EZ),addtaxablepurchasesintothetaxableamount.

Step 4: Calculate the tax collected.Youmustreportthetotaltaxyoucollected,includingcountytax,foreachsaleortransactionthatoccurredduringthereportingperiod. The tax collected is NOT intended to be a straight percentage calculation of the taxable amount, and it should NOT be calculated by multiplying your taxable sales by the tax rate for your county.

Becausetaxiscomputedoneachsaleortransactionconductedduringthereportingperiodusingthebracketsystemonallsalesamountsbetweenwholedollars,theactualtaxcollectedmaybemorethanastraightpercentageofthetaxableamount.Seeexamplesoftaxcalculationusingthebracketsysteminthe“CalculatingTax”section.

Fortaxablepurchases,determineyourtotalusetaxaccrued,includingdiscretionarysalessurtax.

Step 5: Calculate the discretionary sales surtax (local option county tax).Toaccuratelycompletethediscretionarysalessurtaxportionofyourreturn,youmustcollectandcalculatethefollowingtransactioninformation:

• Forsingleitemssoldorpurchasedover$5,000,reportthetotalamountinexcessof$5,000.Remember,surtaxiscollectedonlyonthefirst$5,000ofeachindividualsaleorpurchase.The$5,000limitdoesnotapplytorentalsofrealproperty,transientrentals,ortaxableservices.

• Totalsalesorpurchasesnotsubjecttothesurtax(exempt).

• Totalsalesorpurchasessubjecttosurtaxataratedifferent thanyourcountysurtaxrate.

• Totalsurtaxamountsdue.

Remembertocompletethediscretionarysalessurtaxportionofyourreturn,whichislocatedonthebackofthereturn.

Tax DeductionsSincethefullamountofsalestaxisduewhenthetransactiontakesplace,claimingataxdeductiononthereturnallowsyoutorecovertaxespaidoncancelledsales,returneditems,repossessions,orbaddebts.Inmostinstances,ataxpayerwhoisentitledtoasalestaxrefundmustobtainthe



ExampleSamownsanantiquesstoreinLeonCounty,whichhasacombinedtaxrateof7.5%(6%staterateplus1.5%discretionarysalessurtax[county]rate).ForthequarterendingMarch31,Samsold$4,500ofantiquestohiscustomersofwhich$500wereexemptsalesforresale.Duringthisreportingperiod,Samboughta$200computermonitoronlineforbusinessuse.Samfiledhisreturnforthefirstquarter(January-March)onApril14.Itlookedlikethis:

Actual amount of tax collected is more than

7.5% of Taxable Amount

refundfromyou.After you have refunded the tax to the customer,youcandeducttherefundedtaxonyournexttaxreturn.EntertheamountonLine6ofyourFormDR-15,orLine5ofyourFormDR-15EZ.

Forrepossessionsorbaddebts,youmayclaimadeductionforonlythatportionofthetaxapplicabletotheunpaidbalanceofthecontract.Thedeductionmustbetakenwithin12monthsofthetimetherepossessionsorbaddebtsarewrittenoff

forfederalincometaxpurposes.Taxmustbepaidagainonanyaccountsthatarelatercollected.

Othertransactionsthatcreatepossibletaxdeductionsinclude:

• Taxrefundedbecauseofrescindedsales• Taxonallowancesfordamagedmerchandise• Taxchargedinerror• Taxpaidbyyouonpurchasesofgoodsintended

foruseorconsumptionbutresoldinstead• Anyotherdeductionsallowedbylaw

Sample Return

Actual amount of tax collected is more than

7.5% of Taxable Amount



“zero.”)Whenclaimingdeductions,donotsendsupportingdocumentswithyourreturn.However,youmustkeepthesupportingdocumentationonfilebecauseyoumaybeaskedtoprovideitatalaterdate.

Estimated Sales Tax PaymentsDealerswhopaidsalesandusetaxof$200,000ormore(excludingdiscretionarysalessurtax)duringthestate’spriorfiscalyear(July1throughJune30)mustmakeestimatedsalestaxpaymentsbeginningthenextcalendaryear.TheestimatedpaymentsbeginwithyourDecemberreturndueJanuaryofthenextcalendaryear.Newdealersandquarterlyfilersarenotnormallyrequiredtopayestimatedsalestax.EstimatedsalestaxisreportedonLine9ofyourDR-15.Formoreinformationaboutestimatedsalestaxpayments,gotoourwebsiteorcontactTaxpayerServices.

Avoid many of the most common filing errors by filing your tax returns and paying your tax electronically. Youcanuseoursecurewebsiteorpurchasesoftwarefromasoftwarevendor.

RecordkeepingLength of Time Recordssupportingalltransactionsinthereportingperiodmustbekeptforatleastthreeyearsfromthedatethereturnwasfiledorwasrequiredtobefiled,whicheverislater.AllrecordsanddocumentsmustbemadeavailabletotheDepartmentuponrequest.

TheDepartmentmayauditforperiodslongerthanthreeyearsifyoufailedtofileareturnorfiledasubstantiallyincorrectreturnorunderpayment.Ifyoufailtoproducerecordsorsubmitagrosslyincorrectorfraudulentreport,youcouldbesubjecttocriminalorcivilpenalties.

Types of RecordsCompleteandaccuraterecordsofallsalesandpurchases,whethertaxableornot,mustbekept.Theserecordsinclude:electronicfiles,generalledgersandjournals,cashreceiptanddisbursementjournals,purchaseandsalesjournals,registertapes,invoices,andstatements.Dealersmustalsokeepcopiesofsalesandusetaxreturns,cancelledsalestaxpaymentchecks,proofofelectronicfilingandpayment,andany

Avoid the Top 10 Filing Errors:1. Filing Late– Youmustfileontimeforeach

reportingperiod,evenifnotaxisdue.Whenyoue-fileande-payon time,youcanclaimupto$30asacollectionallowance.

2. Not Fully Completing the Front and Back of the Return–Completeallinformationonyourreturn,includingyoursignatureandyourpreparer’ssignature.

3. Not Filing for Each Reporting Period–Fileaseparatereturnforeachreportingperiod.Donotskipreportingperiodsoraddapartialreportingperiodtothenextreturn.

4. Not Providing Discretionary Sales Surtax Information on Back of the Return–Ifyouarereportingdiscretionarysalessurtax(countytax)collected,youmustcompletethebackofyourreturn.

5. Inaccurately Computing Tax–Computethecorrectsalestax,includingdiscretionarysalessurtax(countytax),ifany,usingtheappropriatebracketcard.

6. Including Tax Collected with Gross Sales–Taxcollectedshouldneverbeincludedingrosssales.Ifyouincludethetaxcollectedingrosssales,itwillincreaseyouramountoftaxdueandyouwillreceiveabillforadditionaltaxdue.

7. Entering Transactions on the Wrong Lines–SalesreportedonlinesAthroughEoftheDR-15mayhavedifferenttaxrates.Ifyouenteryourtransactionsonthewronglines,youcouldreceiveabillforadditionaltaxdue.

8. Incorrectly Calculating a Collection Allowance–Whenyoue-fileande-payontime,yourcollectionallowanceislimitedto2.5percent(.025)ofthefirst$1,200oftaxdue.Themaximumcollectionallowanceis$30.Iflessthan$1,200intaxisdue,yourcollectionallowancewillbelessthan$30.

9. Not Computing Penalty and Interest–Ifyourelectronicreturnorpaymentislate,youcannottakeacollectionallowanceandyoumustpaypenaltyandinterestonthetaxowed.Aminimumpenaltyof$50applies,evenifnotaxisdue.

10. Not Filing a Return to Report No Tax Due –Fileareturnforeachreportingperiod,evenwhennotaxisdue.Thiswillhelpyouavoidpenaltiesandfollow-upcontactsfromtheDepartment.

Ifyourdeductionsexceedthetaxdueonyourreturn,youcanclaimtheremainingbalanceonyournextreturn.(Yourtaxduecannotbelessthan



documentationneededtoverifytheamountsenteredonthetaxreturns.Salestaxexemptioncertificates,Florida Annual Resale Certificates for Sales Taxacceptedfromotherdealers,transactionresaleauthorizationnumbers,andelectronicresaleverificationsmustbekept.

Ifyourbusinessisincorporatedororganizedasapartnership,copiesofyourFloridacorporateincometaxreturns(FormF-1120orFormF-1120A)mustalsobekept.

Amusement and Vending MachinesSalestaxisdueonfood,beverages,tobacco,andotheritemssoldthroughvendingmachines,andonchargesfortheuseofamusementmachines.Taxdueiscalculatedby:

1) Dividingthegrossreceiptsfromthemachinebyadivisor(refertothetaxtableinthissection)tocomputetaxablesales.

2) Subtractingtaxablesalesfromgrossreceiptstoarriveattheamountoftaxdue.

Owners/operatorsofvendingoramusementmachinesmustberegisteredineachcountyinwhichtheyhavevendingoramusementmachineslocated.

Themachineoperatorisresponsibleforsendinginthetaxonthegrossreceiptsfromthemachine.Themachineoperatoristhepersonresponsibleforremovingthereceiptsfromthemachine,withoneexception.Inthecaseofamusementmachinesonly,ifawrittenagreementbetweenthemachineownerandthelocationownerdoesnotspecifywhoisresponsibleforpayingthetax,thelocationownerisresponsibleforpayingthetax,regardlessofwhoisresponsibleforremovingthereceiptsfromthemachine.

Ifthemachineoperatoristhemachineowner,inadditiontopayingthetaxonthereceiptsfromthemachine,theoperatorisalsoliablefortaxontherentorlicensefeepaidtothelocationownerfortheuseoftherealpropertyonwhichthemachineisplaced.ThelocationownermustcollectthetaxfromthemachineownerandsendthetaxtotheDepartment.Therentorlicensefeeisthepercentageoftheproceedsfromthemachinepaidtothelocationowner.

Ifthemachineoperatoristhelocationowner,inadditiontopayingthetaxonthereceiptsfromthemachine,theoperatorisalsoliablefortaxonthepurchaseofthemachineorontherentalofthemachinefromthemachineowner.Therentalfeeisthepercentageoftheproceedsfromthemachinepaidtothemachineowner.

Ifyouhaveamusementmachinesatyourbusinesslocation,youmustdisplayanAmusement Machine Certificate(FormDR-18C),whichauthorizestheoperationofaspecifiednumberofmachines.Thecostofthecertificateis$30foreachmachineateachlocationperyearandmustberenewedJuly1everyyear.Toobtaincertificates,completeanApplication for Amusement Machine Certificate(FormDR-18).

Sales and SurtaxRate

AmusementDivisor

Food andBeverage

Divisor

Other Vended Items

Divisor6.0% 1.040 1.0645 1.06596.5% 1.045 1.0686 1.07077.0% 1.050 1.0726 1.07497.5% 1.055 1.0767 1.07918.0% 1.060 1.0808 1.0833

ExampleThetotalreceiptsfromanamusementmachine(s)inacountywithacombinedsalesandsurtaxrateof6.5%total$100.00.Totalreceiptsdividedbytheamusementmachinedivisorfor6.5%equalsgrosssales.Totalreceiptsminusgrosssalesequalstaxdue,includingdiscretionarysalessurtaxdue.Grosssalesmultipliedbythesurtaxrateequalsdiscretionarysalessurtaxdue.

$100÷1.045=$95.69(grosssales)

$100–$95.69=$4.31(taxdue,includingdiscretionarysalessurtaxdue)

$95.69x.005=$.48[discretionarysalessurtaxportiontobereportedonLine15(d)]

Additionally,eachfoodorbeveragevendingmachinemustdisplayanoticecontainingtheexactwordingofthefollowingstatementintypethatisnotsmallerthan14pointboldface,andthewords“cashreward”mustnotbesmallerthan30point:



NOTICE TO CUSTOMER:

FLORIDA LAW REQUIRES THIS NOTICE TO BE POSTED ON ALL FOOD AND BEVERAGE VENDING MACHINES. Report any machine without a notice to 1(800) 352-9273. You may be eligible for a CASH REWARD.

DO NOT USE THIS NUMBER TO REPORT PROBLEMS WITH THE VENDING MACHINE SUCH AS LOST MONEY OR OUT-OF-DATE PRODUCTS.

CheckourwebsiteformoreinformationaboutamusementorvendingmachinesorcontactTaxpayerServices.BrochureGT-800020,Sales and Use Tax on Amusement MachinesandbrochureGT-800041,Sales and Use Tax on Vending Machines arepostedonourwebsiteandcontainadditionalinformation.

Changing Your Business InformationYour Business Activity or Opening DateThebeginningdateofbusinessactivityyoulistedonyourFlorida Business Tax Application(FormDR-1)isveryimportant.Thedateyoubegintaxablebusinessactivitydetermineswhenyourfirstreportingperiodbegins.Ifyourbusinessdoesnotopenbythedateyouoriginallystated,callTaxpayerServicesoryournearestservicecenterimmediatelysoourrecordscanbeupdatedtoshowyouractualopeningdate.

Quarterly Filer Example: Beginning business activity date listed on Form DR-1 is January 15. Business actually begins taxable activity on April 1.If the taxpayer did not notify us of the date change, the first return for the January - March reporting period would be due April 1 and late after April 20. This return must be filed even though no sales were made during the quarter. If the taxpayer had contacted us and we changed the opening date to April 1, the first return for the April - June reporting period would be due on July 1 and late after July 20.

Ifyoudonotcontactusanddonotfileyourfirstreturnbytheduedate,youwillreceiveadelinquencynotice.Thereisaminimumpenaltyfornotfilingareturn,evenifnotaxisdue.

Opening Additional Business LocationsIfyouopenadditionalbusinesslocations,youmustregistereachoneseparately.Youcanregisteronline(nofee).PersonswhodonothaveInternetaccesscancompleteapaperFlorida Business Tax

Application(FormDR-1).YoucandownloadFormDR-1fromourwebsiteorobtainacopyfromyournearestservicecenter.Includea$5feewhenregisteringwithapaperapplication.

Ifyouareaddingpropertiesforcommercialrental,youmustcompleteaseparateapplication(FormDR-1)foreachparcelofproperty.

Thereareoptionalreportingmethodsavailableforownerswhohavemultiplebusinesslocations.CallyournearestservicecenterorTaxpayerServicesaboutconsolidatedfiling.

Other Business ChangesNotify the Department immediately ifyouchangeyourbusinessname,locationormailingaddress,orcloseorsellyourbusiness.

Thequickestwaytonotifyusisonline.Gotowww.myflorida.com/dor,select“InformationforBusinessesandEmployers”,thenselect“Changeaddressoraccountstatus.”Tonotifyusinwritingmailaletterto:

AccountManagement-MS1-5730FloridaDepartmentofRevenue5050WTennesseeStTallahassee,FL32399-0160

Be sure to include your business partner number and your certificate numberinanywrittencorrespondencesenttotheDepartment.

Ifyoucancelyouraccountorsellyourbusiness,you must file a final return and pay all applicable taxes due within 15 daysafterclosingorsellingthebusiness.Yourfinalreturnmustcovertheperiodfromyourmostrecentreturnfilingtotheclosingdate.

Youmustsubmit a new registration online (nofee),orprintaFlorida Business Tax Application(FormDR-1)fromourwebsiteandsubmittheapplicationwitha$5feetotheDepartment,ifyou:

•moveyourbusinesslocationfromonecountytoanother;

•changeyourlegalentity;or

•changetheownershipofyourbusiness.

AftertheDepartmentprocessesanaddresschangewithinasinglecountyoranewFloridaBusinessTaxApplicationwhenyouchangeyoulegalentityortheownershipofyourbusiness,wewillsendyou:



•AnewCertificateofRegistration

•AnewFloridaAnnualResaleCertificateforSalesTax

•Anewcouponbookifyouareapaperfiler

Temporary Closing or Seasonal BusinessIfyoutemporarilycloseyourbusiness,youmustcontactuswiththeclosingandopeningdates.Ifyouhaveaseasonalbusiness,youmustprovideuswithyouropeningandclosingdatesonetime.Notifyusofbusinessactivationdates,temporaryclosingdates,orseasonalbusinessopeningandclosingdatesbyusingouronlineapplicationatthe“Change address or account status”link.

Changing Your Filing FrequencyMostnewbusinessesaresetupfirstasquarterlyfilersuntiltheyhavesomefilinghistory.Afterafilinghistoryisestablished,eachaccountisreviewedtodeterminehowmuchsalestaxwasreported.Yourfilingfrequencystatusisbasedonthetotaldollaramountofsalestaxyoureportedinthepriorstatefiscalyear.Thisreviewisusedtodetermineifyoushouldbefilingmoreorlessfrequentlybasedonthetotalamountoftaxyoureported.

The“FilingFrequencyLimits”chartfoundinthe“FilingReturnsandPayingTax”section,showsthedollarrangesforallfourfilingfrequencies(annual,semiannual,quarterly,andmonthlyfilers).Ifwedeterminethatyourfilingfrequencyshouldbechanged,youwillbenotifiedbymailandsenttheappropriateforms.

Other Taxes and Fees

Communications Services TaxThecommunicationsservicestaxisimposedonvoice,data,audio,video,oranyotherinformationorsignal.Thistaxincludescableserviceswhicharetransmittedbyanymedium.

Someexamplesofservicessubjecttothistaxare:local,longdistance,ortoll(butnotcoin-operated)telephoneservice,includingVoIP;videoservice(forexample,televisionprogramming)whetherprovidedbyacable,telephone,orothercommunicationsservicesprovider;videostreaming;direct-to-homesatellite;mobilecommunications,includingdetailedbillingcharges;privatelineservices;pagerandbeeperservices;telephonechargesmadebyahotel

ormotel;facsimiles(fax),whennotprovidedinthecourseofprofessionaloradvertisingservices;andtelex,telegram,orteletypeservices.

Servicesnotsubjecttothetaxinclude:informationservices(e.g.,electronicpublishing,web-hosting,orenduser900-numberservice);Internetaccess,electronicmail,electronicbulletinboard,orsimilaronlinecomputerservices;paytelephonecharges;andthesaleorrechargeofprepaidcallingarrangements.

Thetaxrateforcommunicationsservices,exceptdirect-to-homesatelliteservices,consistsofastateportion,agrossreceiptsportion,andalocalportion.Thetaxrateforthestateportionis4.92percent.Thetotaltaxrateforthegrossreceiptsportionis2.52percent,whichiscomposedof.15percentand2.37percent.Thecombinedstateandgrossreceiptstaxportionis7.44percent.Eachlocaltaxingjurisdictionhasaspecifictaxrate.Toverifycurrentrates,visitourwebsite.

Communicationsservicessoldtoaresidentialhouseholdareexemptfromthe4.92percentstateportionandthe.15percentgrossreceiptsportion.Residentialserviceissubjecttothe2.37percentgrossreceiptsandlocaltaxportions.Mobiletelephone,video,anddirect-to-homesatelliteservicesarefullytaxable,evenifprovidedtoaresidence.

Direct-to-homesatelliteistaxedatastateportionof9.07percentandagrossreceiptsportionof2.37percent,foratotaltaxrateof11.44percent.

Theratesareappliedtothetotalinvoiceorbillforservicesandmustbeitemizedandseparatelystatedoncustomers’bills.

Thecommunicationsservicestaxhasitsownannualresalecertificate.Itisseparatefromtheannualresalecertificateissuedforsalesandusetax.Thecertificatemaybeusedonlyfortax-exemptpurchasesofcommunicationsservicesthataretoberesold.

CommunicationsservicestaxisreportedmonthlyontheCommunicationsServicesTaxReturn(FormDR-700016).Dealersareencouragedtofileandpayelectronically.Moreinformationaboutelectronicfilingandpaymentoptionsandcommunicationsservicestaxareavailableonourwebsite.



Corporate Income TaxGenerally,allcorporations,associations,orentitiesdoingbusiness,earningincome,orexistinginFloridaarerequiredtofileaFlorida Corporate Income/Franchise Tax Return(FormF-1120orFormF-1120A).Soleproprietorships,individuals,estatesofdecedents,andtestamentarytrustsareexemptanddonothavetofileareturn.

Alimitedliabilitycompany(LLC),classifiedasacorporationforFloridaandfederalincometaxpurposes,mustfileaFloridacorporateincometaxreturn.AnLLC,classifiedasapartnershipforFloridaandfederalincometaxpurposes,mustfileaFlorida Partnership Information Return(FormF-1065)ifoneormoreofitsownersisacorporation.Inaddition,thecorporateownerofanLLCthatisclassifiedasapartnershipforFloridaandfederalincometaxpurposesmustfileaFloridacorporateincometaxreturn.AsinglememberLLC,disregardedforFloridaandfederalincometaxpurposes,doesnothavetofileaseparateFloridacorporateincometaxreturn.However,theincomeofthecompanyisnotexemptfromtaxifacorporationownsthecompany,whetherdirectlyorindirectly.Inthiscase,thecorporationmustfileFloridaFormF-1120reportingitsownincome,andtheincomeofthesinglememberLLC.

SCorporationsandtax-exemptorganizationsareusuallynotrequiredtofileaFloridacorporateincometaxreturniftheydonothavefederaltaxableincome.However,iftheyhavefederaltaxableincome,theymustthenfileaFloridacorporateincometaxreturnandpayanytaxdue.

Thecorporateincometaxrateis5.5percentofacorporation’sFloridanetincome.Generally,theFloridacorporateincometaxreturnisdueonorbeforethefirstdayofthefourthmonthfollowingthecloseofthetaxableyearorthe15thdayfollowingtheduedate,withoutextension,forthefilingoftherelatedfederalreturn,whicheverislater.

Moreinformationonthistaxandelectronicfilingandpaymentoptionsisavailableonourwebsite.

Gross Receipts Tax on Utility ServicesGrossreceiptstaxisimposedon“distributioncompanies”thatsell,deliver,ortransportnaturalgas,manufacturedgas,orelectricity(utilityservices)toretailconsumersinFlorida.

Thegrossreceiptstaxrateis2.5percentofthedistributioncompany’sgrossreceiptsreceivedon

itssale,delivery,ortransportationofutilityservices.Thedistributioncompanymustpaythetax;however,thetaxmaybeseparatelystatedonthecustomer’sbill.

GrossreceiptstaxisremittedontheGross Receipts Tax Return(FormDR-133).Moreinformationonthistaxandelectronicfilingandpaymentoptionsisavailableonourwebsite.

Prepaid Wireless E911 FeeEffectiveJanuary1,2015,retailsellersofprepaidwirelessservicesbegancollecting40¢onthesaleofeachprepaidwirelessservicethatallowsacallertoconnecttoandinteractwiththeEnhanced911(E911)System.“Prepaidwirelessservices”arewirelessservicesthatarepaidforinadvanceandsoldinpredeterminedunitsordollarsthatmustexpireonapredeterminedscheduleordecreaseonapredeterminedbasis.Thisincludescallingcards,plans,replenishments,ordevicessoldwithprepaidwirelessservice.

Whensellingprepaidwirelessservice,theretailsellermustseparatelystateordisclosethefeeonaninvoice,receipt,orsimilardocumentprovidedtotheconsumer,orotherwisedisclosetotheconsumer.TheprepaidwirelessE911feeisnotsubjecttosalestax.

Ifaconsumermakesapurchaseofmultipleprepaidwirelessservicesinasingletransaction,eachindividualprepaidwirelessserviceisconsideredaseparateretailtransactionforthepurposesofcalculatingtheE911fee.Ifaprepaidwirelessdeviceissoldwithaprepaidwirelessserviceof10minutesorless,orfor$5orless,thesellermayelectnottoapplytheprepaidwirelessE911feetothesale.

Registration Required to Collect, Report and Pay the E911 fee:AllsellersofprepaidwirelessservicesmustregistereachbusinesslocationwiththeDepartment.RegisteredsellersmustfiletheFlorida Prepaid Wireless E911 Fee Return(FormE911-PPW)toreportandpaythefeescollected.Sellerswhofileandpaytimelyareentitledtokeepa5%collectionallowance.

TheeasiestwaytoreportandpayprepaidwirelessE911feesistousetheDepartment’sfreeandsecurewebsiteat:http://dor.myflorida.com/dor/eservices/filepay.html

Sellersmayfilereturnsusingthesamefilingfrequencyastheirsalesandusetaxreturns.Sellers



whoanticipatefeecollectionstobelessthan$50permonthmayelecttoreportfeesquarterly.TheFloridaPrepaidWirelessE911Feereturnandpaymentsaredueonthe1standlateafterthe20thdayofthemonthfollowingeachreportingperiod.

Electronicpaymentsmustbesubmittedbefore5:00p.m.,ET,onthebusinessdayimmediatelyprecedingthe20th.

SellerswillberequiredtoreportprepaidwirelessE911feesbythecountyinwhichthesalestransactionoccurs.TheDepartment’sAddress/JurisdictionDatabase,locatedathttps://pointmatch.state.fl.us,canbeusedtodetermineinwhichcountyaFloridaaddressislocated.

Reemployment TaxTheReemploymentAssistanceProgramprovidespartialtemporaryincometoworkerswholosetheirjobsthroughnofaultoftheirown,andareableandavailableforwork.

EmployerspayFloridareemploymenttaxasacostofdoingbusiness.Workersdonotpayanyportionofthistaxandemployersmaynotmakepayrolldeductionsforit.Employersfilereportsandpaytaxquarterly.Reportsmustbefiledevenifnotaxisowedortherewerenowagestoreport.Employerswhoemployedtenormoreemployeesinanyquarterduringtheprecedingstatefiscalyear(July1-June30)mustfilethewagedataandpaythetaxelectronically.

TheEmployer’s Quarterly Report(FormRT-6)isduethe1stdayofthemonthfollowingtheendofeachcalendarquarterandislateifnotpostmarkedbythelastdayofthemonth.

1st Quarter(JanuarythroughMarch)duebyApril30

2nd Quarter(AprilthroughJune)duebyJuly31

3rd Quarter(JulythroughSeptember)duebyOctober314th Quarter(OctoberthroughDecember)duebyJanuary31

Use the information below to determine the county in which a sales transaction occurs for reporting purposes:

•IfthetransactiontakesplaceinpersonbyaconsumerataretaillocationinFlorida,thereportedtransactionwouldoccurinthecountyoftheretaillocation.

•IfthetransactiondoesnottakeplaceataretaillocationinFlorida,anditemsareshippedtotheconsumer,thereportedtransactionwouldoccurinthecountyoftheconsumer’smailingaddress.

•IfthetransactiondoesnottakeplaceataretaillocationinFlorida,andnoitemsareshippedtotheconsumer,thereportedtransactionwouldoccurinthecountyoftheconsumer’saddressorthelocationassociatedwiththeconsumer’smobiletelephonenumber.

•Ifthecountyinwhichthetransactionoccurscannotbedetermined,thefeeistobereportedasnonspecific.

Determining Where a Transaction OccursOPTION 1:

OPTION 2:

If a Retail Transaction forPrepaid Wireless Service

Then the Transaction:

•takesplaceinpersonbyaconsumerataretaillocationinFlorida

occursinthecountyoftheretaillocation

•doesnottakeplaceataretaillocationinFlorida,and

•itemsareshippedtotheconsumer

occursinthecountyoftheconsumer’sshippingaddress

•doesnottakeplaceataretaillocationinFlorida,and

•noitemsareshippedtotheconsumer

occursinthecountyoftheconsumer’saddressorthelocationassociatedwiththeconsumer’smobiletelephonenumber



Alatefilingpenaltyischargedat$25foreach30daysorfractionthereofthatareportisdelinquent.Interestischargedontheunpaidtaxfromtheoriginalduedateuntilthetaxispaid.

Generally,youwillberequiredtoreportwagesandpayreemploymenttaxifyou:

• Paid$1,500ormoreinwageswithinacalendarquarter.

• Haveoneormoreemployeesforanyportionofadayin20differentweeksinacalendaryear.

• Areliableforfederalreemploymenttax.

Otherconditionsapplytoagriculturalanddomesticemployersandnonprofitorganizations.Youmayalsobeliableforthistaxifyoupurchasealiablebusiness(eitheralloraportion).

Thetaxratefornewemployersis.0270(2.7percent).Employerspayreemploymenttaxonthefirst$7,000ofwagespaidtoeachemployeeperyear.

Whenabusinessistransferred,thesuccessormayconsiderwagespaidtoanemployeebythepredecessorwhendeterminingthetaxablewagefigure.ThewagesofemployeeswhoworkinanotherstateandaretransferredtoFloridaarecountedwhencalculatingtaxablewagesreportabletoFlorida.FindmoreinformationonreemploymenttaxonourwebsiteorseepublicationGT-800002.

Solid Waste Fees and Rental Car SurchargeIfyourbusinessactivityinvolvessellingnewtiresorneworremanufacturedbatteries,youaresubjecttosolidwaste(environmentalcontrol)fees.Ifyousellnew tiresforuseonamotorvehicle,youmustpay$1 per new tireatthetimeofsale.Thefeeisduewhetherthetireissoldseparatelyorasacomponentofthevehicle.Thenew-tirefeemustbeseparatelystatedonthesalesinvoice,receipt,orevidenceofsaleandincludedintheamountsubjecttosalestax.

Ifyousellnew or remanufactured batteriesforuseinmotorvehicles(foron-roadoroff-roaduse),vessels,oraircraftyoumustpay$1.50 per battery.Thefeeisduewhetherthebatteryissoldseparatelyorasacomponentofthevehicle,vessel,

oraircraft.Separatelystatingthebatteryfeeonthesalesinvoice,receipt,orevidenceofsaleisoptional;however,ifseparatelystated,itmustbeincludedintheamountsubjecttosalestax.

Ifyouoperateadry-cleaning facility or dry drop-off facility,youmustpayagrossreceiptstaxof2percentonchargesfordry-cleaningorlaunderingofclothingorotherfabrics.However,grossreceiptstaxisnotimposedoncoin-operatedlaundrymachines,uniformrentals,linensupplyservices,andlaundrydoneonawash,dry,andfoldbasis.

Ifyourbusinessactivityinvolvesrenting or leasing motor vehicles designed to accommodate eight passengers or less,youmustcollecta rental car surcharge.SolidwastefeesandrentalcarsurchargesarereportedontheSolid Waste and Surcharge Return(FormDR-15SW).Moreinformationaboutsolidwastefees,rentalcarsurcharges,andelectronicfilingandpaymentoptionsisavailableonourwebsite.

Taxpayer Rights AdvocateTheTaxpayerRightsAdvocateisavailabletohelpyouwithissuesregardingtaxadministration.Theadvocate’sroleistofacilitatetheresolutionofproblemsthathavenotbeenresolvedthroughnormaladministrativechannels,includingcomplaintsregardingunsatisfactorytreatmentbyDepartmentemployees.However,thisprocessshallnotbeusedtocontestthemeritsofataxliabilityorasasubstituteforinformalprotestproceduresornormaladministrativeorjudicialproceedingsforthereviewofataxassessment,collectionaction,orrefunddenial.

Ifyouhaveaproblemyoufeelisnotbeinghandledfairlyoristakingtoolongtoresolve,orifyoubelievetheDepartment’snormalproceduresarenotworking,contacttheTaxpayerRightsAdvocateat850-617-8168.

Business Owner's Guide

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