Bill Text: FL S0050 | 2021 | Regular Session | Engrossed
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Taxation
Spectrum: Bipartisan Bill
Status: (Passed) 2021-04-20 - Chapter No. 2021-2 [S0050 Detail]
Download: Florida-2021-S0050-Engrossed.html
Bill Title: Taxation
Spectrum: Bipartisan Bill
Status: (Passed) 2021-04-20 - Chapter No. 2021-2 [S0050 Detail]
Download: Florida-2021-S0050-Engrossed.html
CS for CS for SB 50 First Engrossed
202150e1
1 A bill to be entitled
2 An act relating to taxation; providing a short title;
3 amending s. 212.02, F.S.; revising the definition of
4 the term “retail sale” to include sales facilitated
5 through a marketplace; conforming a provision to
6 changes made by the act; amending s. 212.05, F.S.;
7 conforming provisions to changes made by the act;
8 amending s. 212.054, F.S.; requiring marketplace
9 providers and persons located outside of this state to
10 remit discretionary sales surtax when delivering
11 tangible personal property to a county imposing a
12 surtax; amending s. 212.0596, F.S.; replacing
13 provisions relating to the taxation of mail order
14 sales with provisions relating to the taxation of
15 remote sales; defining the terms “remote sale” and
16 “substantial number of remote sales”; providing that
17 every person making a substantial number of remote
18 sales is a dealer for purposes of the sales and use
19 tax; authorizing the Department of Revenue to adopt
20 rules for collecting use taxes from unregistered
21 persons; requiring marketplace providers and persons
22 required to report remote sales to remit discretionary
23 sales surtax when delivering tangible personal
24 property to a county imposing a surtax; creating s.
25 212.05965, F.S.; defining terms; providing that
26 certain marketplace providers are dealers for purposes
27 of the sales and use tax; requiring certain
28 marketplace providers to provide a certain
29 certification to their marketplace sellers; specifying
30 requirements for marketplace sellers; requiring
31 certain marketplace providers to allow the Department
32 of Revenue to examine and audit their books and
33 records; specifying the examination and audit
34 authority of the Department of Revenue; providing that
35 a marketplace seller, rather than the marketplace
36 provider, is liable for sales tax collection and
37 remittance under certain circumstances; authorizing
38 marketplace providers and marketplace sellers to enter
39 into agreements for the recovery of certain taxes,
40 interest, and penalties; providing construction and
41 applicability; amending s. 212.05965, F.S.; requiring
42 marketplace providers to collect and remit certain
43 additional fees at the time of sale; authorizing
44 marketplace providers and marketplace sellers to
45 contractually agree for marketplace sellers to collect
46 applicable taxes and fees; specifying requirements for
47 marketplace sellers who collect such taxes and fees;
48 providing for liability of sellers who fail to collect
49 or remit such taxes and fees; amending s. 212.06,
50 F.S.; revising the definition of the term “dealer”;
51 conforming provisions to changes made by the act;
52 amending s. 212.07, F.S.; conforming a cross
53 reference; amending s. 212.11, F.S.; requiring certain
54 marketplace providers or persons required to report
55 remote sales to file returns and pay taxes
56 electronically; amending s. 212.12, F.S.; deleting the
57 authority of the Department of Revenue’s executive
58 director to negotiate a collection allowance with
59 certain dealers; deleting the requirement that certain
60 sales and use taxes on communications services be
61 collected on the basis of a certain addition;
62 requiring that certain sales and use taxes be
63 calculated based on a specified rounding algorithm,
64 rather than specified brackets; conforming provisions
65 to changes made by the act; amending s. 212.18, F.S.;
66 requiring certain marketplace providers or persons
67 required to report remote sales to file a registration
68 application electronically; conforming a provision to
69 changes made by the act; amending s. 212.20, F.S.;
70 providing applicability of requirements for refund of
71 taxes adjudicated unconstitutionally collected to
72 taxes levied or collected pursuant to marketplace
73 provisions; requiring certain amounts to be deposited
74 into the Unemployment Compensation Trust Fund during
75 specified periods; specifying requirements for the
76 Department of Revenue in reducing distributions by
77 certain refund amounts paid out of the General Revenue
78 Fund; requiring the Office of Economic and Demographic
79 Research to certify to the Department of Revenue
80 whether the trust fund balance exceeds a certain
81 amount; providing for contingent future repeal;
82 amending s. 443.1216, F.S.; conforming a cross
83 reference; amending s. 443.131, F.S.; specifying, at
84 certain periods, multipliers to be applied to employer
85 chargeable benefits for purposes of calculating
86 employer reemployment assistance contribution rates;
87 excluding reemployment benefits paid during a certain
88 timeframe and certain COVID-19-related benefits paid
89 from being included in a variable rate calculation;
90 requiring that contribution rates in certain years be
91 calculated without applying a trust fund positive
92 adjustment factor; excluding reemployment benefits
93 paid during a certain timeframe and certain COVID-19
94 related benefits paid from being calculated in the
95 noncharge benefits and excess payments adjustment
96 factors; requiring the tax collection service provider
97 to reissue rates for a certain year; specifying
98 requirements for employers and the Department of
99 Revenue; requiring a refund of excess paid amounts
100 under certain circumstances; specifying requirements
101 for calculating and assigning contribution rates for
102 certain years; specifying requirements for the
103 Department of Economic Opportunity and the tax
104 collection service provider; providing for contingent
105 future repeal of modified rate calculations;
106 specifying requirements for calculating adjustments to
107 a benefit ratio multiplier; conforming a cross
108 reference; providing retroactive applicability;
109 amending s. 443.191, F.S.; adding a specified source
110 of revenues to the Unemployment Compensation Trust
111 Fund; amending ss. 212.04 and 212.0506, F.S.;
112 conforming provisions to changes made by the act;
113 amending s. 213.015, F.S.; conforming a cross
114 reference; authorizing taxpayers to use one of two
115 methods for calculating sales tax for a specified
116 timeframe; providing construction; amending s. 213.27,
117 F.S.; conforming provisions to changes made by the
118 act; reenacting s. 212.055(2)(c), (3)(c), (8)(c), and
119 (9)(c), F.S., relating to discretionary sales
120 surtaxes, to incorporate the amendment made to s.
121 212.054, F.S., in references thereto; providing
122 applicability; providing relief to certain persons for
123 liability for tax, penalty, and interest due on
124 certain remote sales and owed on certain purchases
125 that occurred before a certain date; providing
126 applicability; prohibiting the department from using
127 data received from marketplace providers or persons
128 making remote sales for certain purposes; providing
129 applicability; providing construction; authorizing the
130 department to adopt emergency rules; providing for
131 expiration of that authority; authorizing the
132 department to contract with a qualified vendor for
133 certain purposes without using a competitive
134 solicitation process; providing an appropriation;
135 providing for severability; providing effective dates.
136
137 WHEREAS, during the 2020 calendar year, the United States
138 economy was significantly strained by the COVID-19 pandemic, and
139 such economic stress is continuing in the 2021 calendar year and
140 may have impacts in later years, and
141 WHEREAS, the State of Florida was in full lockdown during
142 April 2020 and then began to reopen the Florida economy in a
143 measured manner thereafter, and
144 WHEREAS, the financial strain of lockdowns and reduced
145 economic activity caused some Florida businesses to close
146 permanently and others to terminate portions of their workforce,
147 and
148 WHEREAS, in the 6-month period before April 2020, Florida’s
149 average monthly reemployment assistance benefits expense was
150 $27.2 million, and
151 WHEREAS, beginning in April 2020, Florida’s monthly
152 reemployment assistance benefits expense increased by 800
153 percent over the prior 6-month average, and at times, the
154 increase exceeded 2,000 percent, and
155 WHEREAS, in the current time of recovery, Florida’s
156 reemployment assistance benefits expense remains 473 percent
157 over the 6-month average benefit amount before April 2020, and
158 is estimated to continue at elevated levels for the foreseeable
159 future, and
160 WHEREAS, to the fullest extent possible, the Legislature
161 intends to relieve individual Florida businesses of increases in
162 the Reemployment Assistance Tax which are due to increased
163 reemployment assistance benefits resulting from the pandemic,
164 and
165 WHEREAS, the Legislature intends to ensure that the
166 Unemployment Compensation Trust Fund remains solvent for the
167 purposes of providing benefits to Floridians impacted by these
168 extraordinary events, and
169 WHEREAS, the Legislature intends to equalize the tax
170 collection responsibilities of retailers both inside and outside
171 Florida who make sales of taxable items to Florida residents,
172 NOW, THEREFORE,
173
174 Be It Enacted by the Legislature of the State of Florida:
175
176 Section 1. This act may be cited as the “Park Randall
177 ‘Randy’ Miller Act.”
178 Section 2. Paragraph (e) of subsection (14) of section
179 212.02, Florida Statutes, is amended, and paragraph (f) is added
180 to that subsection, to read:
181 212.02 Definitions.—The following terms and phrases when
182 used in this chapter have the meanings ascribed to them in this
183 section, except where the context clearly indicates a different
184 meaning:
185 (14)
186 (e) The term “retail sale” includes a remote mail order
187 sale, as defined in s. 212.0596(1).
188 (f) The term “retail sale” includes a sale facilitated
189 through a marketplace as defined in s. 212.05965(1).
190 Section 3. Section 212.05, Florida Statutes, is amended to
191 read:
192 212.05 Sales, storage, use tax.—It is hereby declared to be
193 the legislative intent that every person is exercising a taxable
194 privilege who engages in the business of selling tangible
195 personal property at retail in this state, including the
196 business of making or facilitating remote mail order sales;, or
197 who rents or furnishes any of the things or services taxable
198 under this chapter;, or who stores for use or consumption in
199 this state any item or article of tangible personal property as
200 defined herein and who leases or rents such property within the
201 state.
202 (1) For the exercise of such privilege, a tax is levied on
203 each taxable transaction or incident, which tax is due and
204 payable as follows:
205 (a)1.a. At the rate of 6 percent of the sales price of each
206 item or article of tangible personal property when sold at
207 retail in this state, computed on each taxable sale for the
208 purpose of remitting the amount of tax due the state, and
209 including each and every retail sale.
210 b. Each occasional or isolated sale of an aircraft, boat,
211 mobile home, or motor vehicle of a class or type which is
212 required to be registered, licensed, titled, or documented in
213 this state or by the United States Government shall be subject
214 to tax at the rate provided in this paragraph. The department
215 shall by rule adopt any nationally recognized publication for
216 valuation of used motor vehicles as the reference price list for
217 any used motor vehicle which is required to be licensed pursuant
218 to s. 320.08(1), (2), (3)(a), (b), (c), or (e), or (9). If any
219 party to an occasional or isolated sale of such a vehicle
220 reports to the tax collector a sales price which is less than 80
221 percent of the average loan price for the specified model and
222 year of such vehicle as listed in the most recent reference
223 price list, the tax levied under this paragraph shall be
224 computed by the department on such average loan price unless the
225 parties to the sale have provided to the tax collector an
226 affidavit signed by each party, or other substantial proof,
227 stating the actual sales price. Any party to such sale who
228 reports a sales price less than the actual sales price is guilty
229 of a misdemeanor of the first degree, punishable as provided in
230 s. 775.082 or s. 775.083. The department shall collect or
231 attempt to collect from such party any delinquent sales taxes.
232 In addition, such party shall pay any tax due and any penalty
233 and interest assessed plus a penalty equal to twice the amount
234 of the additional tax owed. Notwithstanding any other provision
235 of law, the Department of Revenue may waive or compromise any
236 penalty imposed pursuant to this subparagraph.
237 2. This paragraph does not apply to the sale of a boat or
238 aircraft by or through a registered dealer under this chapter to
239 a purchaser who, at the time of taking delivery, is a
240 nonresident of this state, does not make his or her permanent
241 place of abode in this state, and is not engaged in carrying on
242 in this state any employment, trade, business, or profession in
243 which the boat or aircraft will be used in this state, or is a
244 corporation none of the officers or directors of which is a
245 resident of, or makes his or her permanent place of abode in,
246 this state, or is a noncorporate entity that has no individual
247 vested with authority to participate in the management,
248 direction, or control of the entity’s affairs who is a resident
249 of, or makes his or her permanent abode in, this state. For
250 purposes of this exemption, either a registered dealer acting on
251 his or her own behalf as seller, a registered dealer acting as
252 broker on behalf of a seller, or a registered dealer acting as
253 broker on behalf of the purchaser may be deemed to be the
254 selling dealer. This exemption shall not be allowed unless:
255 a. The purchaser removes a qualifying boat, as described in
256 sub-subparagraph f., from the state within 90 days after the
257 date of purchase or extension, or the purchaser removes a
258 nonqualifying boat or an aircraft from this state within 10 days
259 after the date of purchase or, when the boat or aircraft is
260 repaired or altered, within 20 days after completion of the
261 repairs or alterations; or if the aircraft will be registered in
262 a foreign jurisdiction and:
263 (I) Application for the aircraft’s registration is properly
264 filed with a civil airworthiness authority of a foreign
265 jurisdiction within 10 days after the date of purchase;
266 (II) The purchaser removes the aircraft from the state to a
267 foreign jurisdiction within 10 days after the date the aircraft
268 is registered by the applicable foreign airworthiness authority;
269 and
270 (III) The aircraft is operated in the state solely to
271 remove it from the state to a foreign jurisdiction.
272
273 For purposes of this sub-subparagraph, the term “foreign
274 jurisdiction” means any jurisdiction outside of the United
275 States or any of its territories;
276 b. The purchaser, within 90 days from the date of
277 departure, provides the department with written proof that the
278 purchaser licensed, registered, titled, or documented the boat
279 or aircraft outside the state. If such written proof is
280 unavailable, within 90 days the purchaser shall provide proof
281 that the purchaser applied for such license, title,
282 registration, or documentation. The purchaser shall forward to
283 the department proof of title, license, registration, or
284 documentation upon receipt;
285 c. The purchaser, within 30 days after removing the boat or
286 aircraft from Florida, furnishes the department with proof of
287 removal in the form of receipts for fuel, dockage, slippage,
288 tie-down, or hangaring from outside of Florida. The information
289 so provided must clearly and specifically identify the boat or
290 aircraft;
291 d. The selling dealer, within 30 days after the date of
292 sale, provides to the department a copy of the sales invoice,
293 closing statement, bills of sale, and the original affidavit
294 signed by the purchaser attesting that he or she has read the
295 provisions of this section;
296 e. The seller makes a copy of the affidavit a part of his
297 or her record for as long as required by s. 213.35; and
298 f. Unless the nonresident purchaser of a boat of 5 net tons
299 of admeasurement or larger intends to remove the boat from this
300 state within 10 days after the date of purchase or when the boat
301 is repaired or altered, within 20 days after completion of the
302 repairs or alterations, the nonresident purchaser applies to the
303 selling dealer for a decal which authorizes 90 days after the
304 date of purchase for removal of the boat. The nonresident
305 purchaser of a qualifying boat may apply to the selling dealer
306 within 60 days after the date of purchase for an extension decal
307 that authorizes the boat to remain in this state for an
308 additional 90 days, but not more than a total of 180 days,
309 before the nonresident purchaser is required to pay the tax
310 imposed by this chapter. The department is authorized to issue
311 decals in advance to dealers. The number of decals issued in
312 advance to a dealer shall be consistent with the volume of the
313 dealer’s past sales of boats which qualify under this sub
314 subparagraph. The selling dealer or his or her agent shall mark
315 and affix the decals to qualifying boats in the manner
316 prescribed by the department, before delivery of the boat.
317 (I) The department is hereby authorized to charge dealers a
318 fee sufficient to recover the costs of decals issued, except the
319 extension decal shall cost $425.
320 (II) The proceeds from the sale of decals will be deposited
321 into the administrative trust fund.
322 (III) Decals shall display information to identify the boat
323 as a qualifying boat under this sub-subparagraph, including, but
324 not limited to, the decal’s date of expiration.
325 (IV) The department is authorized to require dealers who
326 purchase decals to file reports with the department and may
327 prescribe all necessary records by rule. All such records are
328 subject to inspection by the department.
329 (V) Any dealer or his or her agent who issues a decal
330 falsely, fails to affix a decal, mismarks the expiration date of
331 a decal, or fails to properly account for decals will be
332 considered prima facie to have committed a fraudulent act to
333 evade the tax and will be liable for payment of the tax plus a
334 mandatory penalty of 200 percent of the tax, and shall be liable
335 for fine and punishment as provided by law for a conviction of a
336 misdemeanor of the first degree, as provided in s. 775.082 or s.
337 775.083.
338 (VI) Any nonresident purchaser of a boat who removes a
339 decal before permanently removing the boat from the state, or
340 defaces, changes, modifies, or alters a decal in a manner
341 affecting its expiration date before its expiration, or who
342 causes or allows the same to be done by another, will be
343 considered prima facie to have committed a fraudulent act to
344 evade the tax and will be liable for payment of the tax plus a
345 mandatory penalty of 200 percent of the tax, and shall be liable
346 for fine and punishment as provided by law for a conviction of a
347 misdemeanor of the first degree, as provided in s. 775.082 or s.
348 775.083.
349 (VII) The department is authorized to adopt rules necessary
350 to administer and enforce this subparagraph and to publish the
351 necessary forms and instructions.
352 (VIII) The department is hereby authorized to adopt
353 emergency rules pursuant to s. 120.54(4) to administer and
354 enforce the provisions of this subparagraph.
355
356 If the purchaser fails to remove the qualifying boat from this
357 state within the maximum 180 days after purchase or a
358 nonqualifying boat or an aircraft from this state within 10 days
359 after purchase or, when the boat or aircraft is repaired or
360 altered, within 20 days after completion of such repairs or
361 alterations, or permits the boat or aircraft to return to this
362 state within 6 months from the date of departure, except as
363 provided in s. 212.08(7)(fff), or if the purchaser fails to
364 furnish the department with any of the documentation required by
365 this subparagraph within the prescribed time period, the
366 purchaser shall be liable for use tax on the cost price of the
367 boat or aircraft and, in addition thereto, payment of a penalty
368 to the Department of Revenue equal to the tax payable. This
369 penalty shall be in lieu of the penalty imposed by s. 212.12(2).
370 The maximum 180-day period following the sale of a qualifying
371 boat tax-exempt to a nonresident may not be tolled for any
372 reason.
373 (b) At the rate of 6 percent of the cost price of each item
374 or article of tangible personal property when the same is not
375 sold but is used, consumed, distributed, or stored for use or
376 consumption in this state; however, for tangible property
377 originally purchased exempt from tax for use exclusively for
378 lease and which is converted to the owner’s own use, tax may be
379 paid on the fair market value of the property at the time of
380 conversion. If the fair market value of the property cannot be
381 determined, use tax at the time of conversion shall be based on
382 the owner’s acquisition cost. Under no circumstances may the
383 aggregate amount of sales tax from leasing the property and use
384 tax due at the time of conversion be less than the total sales
385 tax that would have been due on the original acquisition cost
386 paid by the owner.
387 (c) At the rate of 6 percent of the gross proceeds derived
388 from the lease or rental of tangible personal property, as
389 defined herein; however, the following special provisions apply
390 to the lease or rental of motor vehicles:
391 1. When a motor vehicle is leased or rented for a period of
392 less than 12 months:
393 a. If the motor vehicle is rented in Florida, the entire
394 amount of such rental is taxable, even if the vehicle is dropped
395 off in another state.
396 b. If the motor vehicle is rented in another state and
397 dropped off in Florida, the rental is exempt from Florida tax.
398 2. Except as provided in subparagraph 3., for the lease or
399 rental of a motor vehicle for a period of not less than 12
400 months, sales tax is due on the lease or rental payments if the
401 vehicle is registered in this state; provided, however, that no
402 tax shall be due if the taxpayer documents use of the motor
403 vehicle outside this state and tax is being paid on the lease or
404 rental payments in another state.
405 3. The tax imposed by this chapter does not apply to the
406 lease or rental of a commercial motor vehicle as defined in s.
407 316.003(13)(a) to one lessee or rentee for a period of not less
408 than 12 months when tax was paid on the purchase price of such
409 vehicle by the lessor. To the extent tax was paid with respect
410 to the purchase of such vehicle in another state, territory of
411 the United States, or the District of Columbia, the Florida tax
412 payable shall be reduced in accordance with the provisions of s.
413 212.06(7). This subparagraph shall only be available when the
414 lease or rental of such property is an established business or
415 part of an established business or the same is incidental or
416 germane to such business.
417 (d) At the rate of 6 percent of the lease or rental price
418 paid by a lessee or rentee, or contracted or agreed to be paid
419 by a lessee or rentee, to the owner of the tangible personal
420 property.
421 (e)1. At the rate of 6 percent on charges for:
422 a. Prepaid calling arrangements. The tax on charges for
423 prepaid calling arrangements shall be collected at the time of
424 sale and remitted by the selling dealer.
425 (I) “Prepaid calling arrangement” has the same meaning as
426 provided in s. 202.11.
427 (II) If the sale or recharge of the prepaid calling
428 arrangement does not take place at the dealer’s place of
429 business, it shall be deemed to have taken place at the
430 customer’s shipping address or, if no item is shipped, at the
431 customer’s address or the location associated with the
432 customer’s mobile telephone number.
433 (III) The sale or recharge of a prepaid calling arrangement
434 shall be treated as a sale of tangible personal property for
435 purposes of this chapter, regardless of whether a tangible item
436 evidencing such arrangement is furnished to the purchaser, and
437 such sale within this state subjects the selling dealer to the
438 jurisdiction of this state for purposes of this subsection.
439 (IV) No additional tax under this chapter or chapter 202 is
440 due or payable if a purchaser of a prepaid calling arrangement
441 who has paid tax under this chapter on the sale or recharge of
442 such arrangement applies one or more units of the prepaid
443 calling arrangement to obtain communications services as
444 described in s. 202.11(9)(b)3., other services that are not
445 communications services, or products.
446 b. The installation of telecommunication and telegraphic
447 equipment.
448 c. Electrical power or energy, except that the tax rate for
449 charges for electrical power or energy is 4.35 percent. Charges
450 for electrical power and energy do not include taxes imposed
451 under ss. 166.231 and 203.01(1)(a)3.
452 2. Section 212.17(3), regarding credit for tax paid on
453 charges subsequently found to be worthless, is equally
454 applicable to any tax paid under this section on charges for
455 prepaid calling arrangements, telecommunication or telegraph
456 services, or electric power subsequently found to be
457 uncollectible. As used in this paragraph, the term “charges”
458 does not include any excise or similar tax levied by the Federal
459 Government, a political subdivision of this state, or a
460 municipality upon the purchase, sale, or recharge of prepaid
461 calling arrangements or upon the purchase or sale of
462 telecommunication, television system program, or telegraph
463 service or electric power, which tax is collected by the seller
464 from the purchaser.
465 (f) At the rate of 6 percent on the sale, rental, use,
466 consumption, or storage for use in this state of machines and
467 equipment, and parts and accessories therefor, used in
468 manufacturing, processing, compounding, producing, mining, or
469 quarrying personal property for sale or to be used in furnishing
470 communications, transportation, or public utility services.
471 (g)1. At the rate of 6 percent on the retail price of
472 newspapers and magazines sold or used in Florida.
473 2. Notwithstanding other provisions of this chapter,
474 inserts of printed materials which are distributed with a
475 newspaper or magazine are a component part of the newspaper or
476 magazine, and neither the sale nor use of such inserts is
477 subject to tax when:
478 a. Printed by a newspaper or magazine publisher or
479 commercial printer and distributed as a component part of a
480 newspaper or magazine, which means that the items after being
481 printed are delivered directly to a newspaper or magazine
482 publisher by the printer for inclusion in editions of the
483 distributed newspaper or magazine;
484 b. Such publications are labeled as part of the designated
485 newspaper or magazine publication into which they are to be
486 inserted; and
487 c. The purchaser of the insert presents a resale
488 certificate to the vendor stating that the inserts are to be
489 distributed as a component part of a newspaper or magazine.
490 (h)1. A tax is imposed at the rate of 4 percent on the
491 charges for the use of coin-operated amusement machines. The tax
492 shall be calculated by dividing the gross receipts from such
493 charges for the applicable reporting period by a divisor,
494 determined as provided in this subparagraph, to compute gross
495 taxable sales, and then subtracting gross taxable sales from
496 gross receipts to arrive at the amount of tax due. For counties
497 that do not impose a discretionary sales surtax, the divisor is
498 equal to 1.04; for counties that impose a 0.5 percent
499 discretionary sales surtax, the divisor is equal to 1.045; for
500 counties that impose a 1 percent discretionary sales surtax, the
501 divisor is equal to 1.050; and for counties that impose a 2
502 percent sales surtax, the divisor is equal to 1.060. If a county
503 imposes a discretionary sales surtax that is not listed in this
504 subparagraph, the department shall make the applicable divisor
505 available in an electronic format or otherwise. Additional
506 divisors shall bear the same mathematical relationship to the
507 next higher and next lower divisors as the new surtax rate bears
508 to the next higher and next lower surtax rates for which
509 divisors have been established. When a machine is activated by a
510 slug, token, coupon, or any similar device which has been
511 purchased, the tax is on the price paid by the user of the
512 device for such device.
513 2. As used in this paragraph, the term “operator” means any
514 person who possesses a coin-operated amusement machine for the
515 purpose of generating sales through that machine and who is
516 responsible for removing the receipts from the machine.
517 a. If the owner of the machine is also the operator of it,
518 he or she shall be liable for payment of the tax without any
519 deduction for rent or a license fee paid to a location owner for
520 the use of any real property on which the machine is located.
521 b. If the owner or lessee of the machine is also its
522 operator, he or she shall be liable for payment of the tax on
523 the purchase or lease of the machine, as well as the tax on
524 sales generated through the machine.
525 c. If the proprietor of the business where the machine is
526 located does not own the machine, he or she shall be deemed to
527 be the lessee and operator of the machine and is responsible for
528 the payment of the tax on sales, unless such responsibility is
529 otherwise provided for in a written agreement between him or her
530 and the machine owner.
531 3.a. An operator of a coin-operated amusement machine may
532 not operate or cause to be operated in this state any such
533 machine until the operator has registered with the department
534 and has conspicuously displayed an identifying certificate
535 issued by the department. The identifying certificate shall be
536 issued by the department upon application from the operator. The
537 identifying certificate shall include a unique number, and the
538 certificate shall be permanently marked with the operator’s
539 name, the operator’s sales tax number, and the maximum number of
540 machines to be operated under the certificate. An identifying
541 certificate shall not be transferred from one operator to
542 another. The identifying certificate must be conspicuously
543 displayed on the premises where the coin-operated amusement
544 machines are being operated.
545 b. The operator of the machine must obtain an identifying
546 certificate before the machine is first operated in the state
547 and by July 1 of each year thereafter. The annual fee for each
548 certificate shall be based on the number of machines identified
549 on the application times $30 and is due and payable upon
550 application for the identifying device. The application shall
551 contain the operator’s name, sales tax number, business address
552 where the machines are being operated, and the number of
553 machines in operation at that place of business by the operator.
554 No operator may operate more machines than are listed on the
555 certificate. A new certificate is required if more machines are
556 being operated at that location than are listed on the
557 certificate. The fee for the new certificate shall be based on
558 the number of additional machines identified on the application
559 form times $30.
560 c. A penalty of $250 per machine is imposed on the operator
561 for failing to properly obtain and display the required
562 identifying certificate. A penalty of $250 is imposed on the
563 lessee of any machine placed in a place of business without a
564 proper current identifying certificate. Such penalties shall
565 apply in addition to all other applicable taxes, interest, and
566 penalties.
567 d. Operators of coin-operated amusement machines must
568 obtain a separate sales and use tax certificate of registration
569 for each county in which such machines are located. One sales
570 and use tax certificate of registration is sufficient for all of
571 the operator’s machines within a single county.
572 4. The provisions of this paragraph do not apply to coin
573 operated amusement machines owned and operated by churches or
574 synagogues.
575 5. In addition to any other penalties imposed by this
576 chapter, a person who knowingly and willfully violates any
577 provision of this paragraph commits a misdemeanor of the second
578 degree, punishable as provided in s. 775.082 or s. 775.083.
579 6. The department may adopt rules necessary to administer
580 the provisions of this paragraph.
581 (i)1. At the rate of 6 percent on charges for all:
582 a. Detective, burglar protection, and other protection
583 services (NAICS National Numbers 561611, 561612, 561613, and
584 561621). Fingerprint services required under s. 790.06 or s.
585 790.062 are not subject to the tax. Any law enforcement officer,
586 as defined in s. 943.10, who is performing approved duties as
587 determined by his or her local law enforcement agency in his or
588 her capacity as a law enforcement officer, and who is subject to
589 the direct and immediate command of his or her law enforcement
590 agency, and in the law enforcement officer’s uniform as
591 authorized by his or her law enforcement agency, is performing
592 law enforcement and public safety services and is not performing
593 detective, burglar protection, or other protective services, if
594 the law enforcement officer is performing his or her approved
595 duties in a geographical area in which the law enforcement
596 officer has arrest jurisdiction. Such law enforcement and public
597 safety services are not subject to tax irrespective of whether
598 the duty is characterized as “extra duty,” “off-duty,” or
599 “secondary employment,” and irrespective of whether the officer
600 is paid directly or through the officer’s agency by an outside
601 source. The term “law enforcement officer” includes full-time or
602 part-time law enforcement officers, and any auxiliary law
603 enforcement officer, when such auxiliary law enforcement officer
604 is working under the direct supervision of a full-time or part
605 time law enforcement officer.
606 b. Nonresidential cleaning, excluding cleaning of the
607 interiors of transportation equipment, and nonresidential
608 building pest control services (NAICS National Numbers 561710
609 and 561720).
610 2. As used in this paragraph, “NAICS” means those
611 classifications contained in the North American Industry
612 Classification System, as published in 2007 by the Office of
613 Management and Budget, Executive Office of the President.
614 3. Charges for detective, burglar protection, and other
615 protection security services performed in this state but used
616 outside this state are exempt from taxation. Charges for
617 detective, burglar protection, and other protection security
618 services performed outside this state and used in this state are
619 subject to tax.
620 4. If a transaction involves both the sale or use of a
621 service taxable under this paragraph and the sale or use of a
622 service or any other item not taxable under this chapter, the
623 consideration paid must be separately identified and stated with
624 respect to the taxable and exempt portions of the transaction or
625 the entire transaction shall be presumed taxable. The burden
626 shall be on the seller of the service or the purchaser of the
627 service, whichever applicable, to overcome this presumption by
628 providing documentary evidence as to which portion of the
629 transaction is exempt from tax. The department is authorized to
630 adjust the amount of consideration identified as the taxable and
631 exempt portions of the transaction; however, a determination
632 that the taxable and exempt portions are inaccurately stated and
633 that the adjustment is applicable must be supported by
634 substantial competent evidence.
635 5. Each seller of services subject to sales tax pursuant to
636 this paragraph shall maintain a monthly log showing each
637 transaction for which sales tax was not collected because the
638 services meet the requirements of subparagraph 3. for out-of
639 state use. The log must identify the purchaser’s name, location
640 and mailing address, and federal employer identification number,
641 if a business, or the social security number, if an individual,
642 the service sold, the price of the service, the date of sale,
643 the reason for the exemption, and the sales invoice number. The
644 monthly log shall be maintained pursuant to the same
645 requirements and subject to the same penalties imposed for the
646 keeping of similar records pursuant to this chapter.
647 (j)1. Notwithstanding any other provision of this chapter,
648 there is hereby levied a tax on the sale, use, consumption, or
649 storage for use in this state of any coin or currency, whether
650 in circulation or not, when such coin or currency:
651 a. Is not legal tender;
652 b. If legal tender, is sold, exchanged, or traded at a rate
653 in excess of its face value; or
654 c. Is sold, exchanged, or traded at a rate based on its
655 precious metal content.
656 2. Such tax shall be at a rate of 6 percent of the price at
657 which the coin or currency is sold, exchanged, or traded, except
658 that, with respect to a coin or currency which is legal tender
659 of the United States and which is sold, exchanged, or traded,
660 such tax shall not be levied.
661 3. There are exempt from this tax exchanges of coins or
662 currency which are in general circulation in, and legal tender
663 of, one nation for coins or currency which are in general
664 circulation in, and legal tender of, another nation when
665 exchanged solely for use as legal tender and at an exchange rate
666 based on the relative value of each as a medium of exchange.
667 4. With respect to any transaction that involves the sale
668 of coins or currency taxable under this paragraph in which the
669 taxable amount represented by the sale of such coins or currency
670 exceeds $500, the entire amount represented by the sale of such
671 coins or currency is exempt from the tax imposed under this
672 paragraph. The dealer must maintain proper documentation, as
673 prescribed by rule of the department, to identify that portion
674 of a transaction which involves the sale of coins or currency
675 and is exempt under this subparagraph.
676 (k) At the rate of 6 percent of the sales price of each
677 gallon of diesel fuel not taxed under chapter 206 purchased for
678 use in a vessel, except dyed diesel fuel that is exempt pursuant
679 to s. 212.08(4)(a)4.
680 (l) Florists located in this state are liable for sales tax
681 on sales to retail customers regardless of where or by whom the
682 items sold are to be delivered. Florists located in this state
683 are not liable for sales tax on payments received from other
684 florists for items delivered to customers in this state.
685 (m) Operators of game concessions or other concessionaires
686 who customarily award tangible personal property as prizes may,
687 in lieu of paying tax on the cost price of such property, pay
688 tax on 25 percent of the gross receipts from such concession
689 activity.
690 (2) The tax shall be collected by the dealer, as defined
691 herein, and remitted by the dealer to the state at the time and
692 in the manner as hereinafter provided.
693 (3) The tax so levied is in addition to all other taxes,
694 whether levied in the form of excise, license, or privilege
695 taxes, and in addition to all other fees and taxes levied.
696 (4) The tax imposed pursuant to this chapter shall be due
697 and payable according to the algorithm provided brackets set
698 forth in s. 212.12.
699 (5) Notwithstanding any other provision of this chapter,
700 the maximum amount of tax imposed under this chapter and
701 collected on each sale or use of a boat in this state may not
702 exceed $18,000 and on each repair of a boat in this state may
703 not exceed $60,000.
704 Section 4. Paragraph (c) of subsection (4) of section
705 212.054, Florida Statutes, is amended to read:
706 212.054 Discretionary sales surtax; limitations,
707 administration, and collection.—
708 (4)
709 (c)1. Any dealer located in a county that does not impose a
710 discretionary sales surtax, any marketplace provider that is a
711 dealer under this chapter, or any person located outside this
712 state who is required to collect and remit sales tax on remote
713 sales but who collects the surtax due to sales of tangible
714 personal property or services delivered to a county imposing a
715 surtax outside the county shall remit monthly the proceeds of
716 the surtax to the department to be deposited into an account in
717 the Discretionary Sales Surtax Clearing Trust Fund which is
718 separate from the county surtax collection accounts. The
719 department shall distribute funds in this account using a
720 distribution factor determined for each county that levies a
721 surtax and multiplied by the amount of funds in the account and
722 available for distribution. The distribution factor for each
723 county equals the product of:
724 a. The county’s latest official population determined
725 pursuant to s. 186.901;
726 b. The county’s rate of surtax; and
727 c. The number of months the county has levied a surtax
728 during the most recent distribution period;
729
730 divided by the sum of all such products of the counties levying
731 the surtax during the most recent distribution period.
732 2. The department shall compute distribution factors for
733 eligible counties once each quarter and make appropriate
734 quarterly distributions.
735 3. A county that fails to timely provide the information
736 required by this section to the department authorizes the
737 department, by such action, to use the best information
738 available to it in distributing surtax revenues to the county.
739 If this information is unavailable to the department, the
740 department may partially or entirely disqualify the county from
741 receiving surtax revenues under this paragraph. A county that
742 fails to provide timely information waives its right to
743 challenge the department’s determination of the county’s share,
744 if any, of revenues provided under this paragraph.
745 Section 5. Section 212.0596, Florida Statutes, is amended
746 to read:
747 (Substantial rewording of section. See
748 s. 212.0596, F.S., for present text.)
749 212.0596 Taxation of remote sales.—
750 (1) As used in this chapter, the term:
751 (a) “Remote sale” means a retail sale of tangible personal
752 property ordered by mail, telephone, the Internet, or other
753 means of communication from a person who receives the order
754 outside of this state and transports the property or causes the
755 property to be transported from any jurisdiction, including this
756 state, to a location in this state. For purposes of this
757 paragraph, tangible personal property delivered to a location
758 within this state is presumed to be used, consumed, distributed,
759 or stored to be used or consumed in this state.
760 (b) “Substantial number of remote sales” means any number
761 of taxable remote sales in the previous calendar year in which
762 the sum of the sales prices, as defined in s. 212.02(16),
763 exceeded $100,000.
764 (2) Every person making a substantial number of remote
765 sales is a dealer for purposes of this chapter.
766 (3) The department may establish by rule procedures for
767 collecting the use tax from unregistered persons who but for
768 their remote purchases would not be required to remit sales or
769 use tax directly to the department. The procedures may provide
770 for waiver of registration, provisions for irregular remittance
771 of tax, elimination of the collection allowance, and
772 nonapplication of local option surtaxes.
773 (4) A marketplace provider that is a dealer under this
774 chapter or a person who is required to collect and remit sales
775 tax on remote sales is required to collect surtax when the
776 taxable item of tangible personal property is delivered within a
777 county imposing a surtax as provided in s. 212.054(3)(a).
778 Section 6. Section 212.05965, Florida Statutes, is created
779 to read:
780 212.05965 Taxation of marketplace sales.—
781 (1) As used in this chapter, the term:
782 (a) “Marketplace” means any physical place or electronic
783 medium through which tangible personal property is offered for
784 sale.
785 (b) “Marketplace provider” means a person who facilitates a
786 retail sale by a marketplace seller by listing or advertising
787 for sale by the marketplace seller tangible personal property in
788 a marketplace and who directly, or indirectly through agreements
789 or arrangements with third parties, collects payment from the
790 customer and transmits all or part of the payment to the
791 marketplace seller, regardless of whether the marketplace
792 provider receives compensation or other consideration in
793 exchange for its services.
794 1. The term does not include a person who solely provides
795 travel agency services. As used in this subparagraph, the term
796 “travel agency services” means arranging, booking, or otherwise
797 facilitating for a commission, fee, or other consideration
798 vacation or travel packages, rental cars, or other travel
799 reservations; tickets for domestic or foreign travel by air,
800 rail, ship, bus, or other mode of transportation; or hotel or
801 other lodging accommodations.
802 2. The term does not include a person who is a delivery
803 network company unless the delivery network company is a
804 registered dealer for purposes of this chapter and the delivery
805 network company notifies all local merchants that sell through
806 the delivery network company’s website or mobile application
807 that the delivery network company is subject to the requirements
808 of a marketplace provider under this section. As used in this
809 subparagraph, the term:
810 a. “Delivery network company” means a person who maintains
811 a website or mobile application used to facilitate delivery
812 services, the sale of local products, or both.
813 b. “Delivery network courier” means a person who provides
814 delivery services through a delivery network company website or
815 mobile application using a personal means of transportation,
816 such as a motor vehicle as defined in s. 320.01(1), bicycle,
817 scooter, or other similar means of transportation; using public
818 transportation; or by walking.
819 c. “Delivery services” means the pickup and delivery by a
820 delivery network courier of one or more local products from a
821 local merchant to a customer, which may include the selection,
822 collection, and purchase of the local product in connection with
823 the delivery. The term does not include any delivery requiring
824 more than 75 miles of travel from the local merchant to the
825 customer.
826 d. “Local merchant” means a kitchen, a restaurant, or a
827 third-party merchant, including a grocery store, retail store,
828 convenience store, or business of another type, which is not
829 under common ownership or control of the delivery network
830 company.
831 e. “Local product” means any tangible personal property,
832 including food but excluding freight, mail, or a package to
833 which postage has been affixed.
834 3. The term does not include a payment processor business
835 that processes payment transactions from various channels, such
836 as charge cards, credit cards, or debit cards, and whose sole
837 activity with respect to marketplace sales is to process payment
838 transactions between two or more parties.
839 (c) “Marketplace seller” means a person who has an
840 agreement with a marketplace provider that is a dealer under
841 this chapter and who makes retail sales of tangible personal
842 property through a marketplace owned, operated, or controlled by
843 the marketplace provider.
844 (2) A marketplace provider that has a physical presence in
845 this state or who is making or facilitating through a
846 marketplace a substantial number of remote sales as defined in
847 s. 212.0596(1) is a dealer for purposes of this chapter.
848 (3) A marketplace provider that is a dealer under this
849 chapter shall certify to its marketplace sellers that it will
850 collect and remit the tax imposed under this chapter on taxable
851 retail sales made through the marketplace. Such certification
852 may be included in the agreement between the marketplace
853 provider and the marketplace seller.
854 (4)(a) A marketplace seller may not collect and remit the
855 tax under this chapter on a taxable retail sale when the sale is
856 made through the marketplace and the marketplace provider
857 certifies, as required under subsection (3), that it will
858 collect and remit such tax. A marketplace seller shall exclude
859 such sales made through the marketplace from the marketplace
860 seller’s tax return under s. 212.11.
861 (b)1. A marketplace seller who has a physical presence in
862 this state shall register and shall collect and remit the tax
863 imposed under this chapter on all taxable retail sales made
864 outside of the marketplace.
865 2. A marketplace seller who is not described under
866 subparagraph 1. but who makes a substantial number of remote
867 sales as defined in s. 212.0596(1) shall register and shall
868 collect and remit the tax imposed under this chapter on all
869 taxable retail sales made outside of the marketplace. For the
870 purpose of determining whether a marketplace seller made a
871 substantial number of remote sales, the marketplace seller shall
872 consider only those sales made outside of a marketplace.
873 (5)(a) A marketplace provider that is a dealer under this
874 chapter shall allow the department to examine and audit its
875 books and records pursuant to s. 212.13. For retail sales
876 facilitated through a marketplace, the department may not
877 examine or audit the books and records of marketplace sellers,
878 nor may the department assess marketplace sellers except to the
879 extent that the marketplace provider seeks relief under
880 paragraph (b). The department may examine, audit, and assess a
881 marketplace seller for retail sales made outside of a
882 marketplace under paragraph (4)(b). This paragraph does not
883 provide relief to a marketplace seller who is under audit; has
884 been issued a bill, notice, or demand for payment; or is under
885 an administrative or judicial proceeding before July 1, 2021.
886 (b) The marketplace provider is relieved of liability for
887 the tax on the retail sale and the marketplace seller or
888 customer is liable for the tax imposed under this chapter if the
889 marketplace provider demonstrates to the department’s
890 satisfaction that the marketplace provider made a reasonable
891 effort to obtain accurate information related to the retail
892 sales facilitated through the marketplace from the marketplace
893 seller, but that the failure to collect and remit the correct
894 amount of tax imposed under this chapter was due to the
895 provision of incorrect or incomplete information to the
896 marketplace provider by the marketplace seller. This paragraph
897 does not apply to a retail sale for which the marketplace
898 provider is the seller if the marketplace provider and the
899 marketplace seller are related parties or if transactions
900 between a marketplace seller and marketplace buyer are not
901 conducted at arm’s length.
902 (6) For purposes of registration pursuant to s. 212.18, a
903 marketplace is deemed a separate place of business.
904 (7) A marketplace provider and a marketplace seller may
905 agree by contract or otherwise that if a marketplace provider
906 pays the tax imposed under this chapter on a retail sale
907 facilitated through a marketplace for a marketplace seller as a
908 result of an audit or otherwise, the marketplace provider has
909 the right to recover such tax and any associated interest and
910 penalties from the marketplace seller.
911 (8) This section may not be construed to authorize the
912 state to collect sales tax from both the marketplace provider
913 and the marketplace seller on the same retail sale.
914 (9) Chapter 213 applies to the administration of this
915 section to the extent that chapter does not conflict with this
916 section.
917 Section 7. Effective April 1, 2022, subsections (10) and
918 (11) are added to section 212.05965, Florida Statutes, as
919 created by this act, to read:
920 212.05965 Taxation of marketplace sales.—
921 (10) Notwithstanding any other law, the marketplace
922 provider is also responsible for collecting and remitting any
923 prepaid wireless E911 fee under s. 365.172, waste tire fee under
924 s. 403.718, and lead-acid battery fee under s. 403.7185 at the
925 time of sale for taxable retail sales made through its
926 marketplace.
927 (11) Notwithstanding paragraph (4)(a), the marketplace
928 provider and the marketplace seller may contractually agree to
929 have the marketplace seller collect and remit all applicable
930 taxes and fees if the marketplace seller:
931 (a) Has annual United States gross sales of more than $1
932 billion, including the gross sales of any related entities, and
933 in the case of franchised entities, including the combined sales
934 of all franchisees of a single franchisor;
935 (b) Provides evidence to the marketplace provider that it
936 is registered under s. 212.18; and
937 (c) Notifies the department in a manner prescribed by the
938 department that the marketplace seller will collect and remit
939 all applicable taxes and fees on its sales through the
940 marketplace and is liable for failure to collect or remit
941 applicable taxes and fees on its sales.
942 Section 8. Paragraph (c) of subsection (2) and paragraph
943 (a) of subsection (5) of section 212.06, Florida Statutes, are
944 amended to read:
945 212.06 Sales, storage, use tax; collectible from dealers;
946 “dealer” defined; dealers to collect from purchasers;
947 legislative intent as to scope of tax.—
948 (2)
949 (c) The term “dealer” is further defined to mean every
950 person, as used in this chapter, who sells at retail or who
951 offers for sale at retail, or who has in his or her possession
952 for sale at retail; or for use, consumption, or distribution; or
953 for storage to be used or consumed in this state, tangible
954 personal property as defined herein, including a retailer who
955 transacts a substantial number of remote sales or a marketplace
956 provider that has a physical presence in this state or that
957 makes or facilitates through its marketplace a substantial
958 number of remote sales mail order sale.
959 (5)(a)1. Except as provided in subparagraph 2., it is not
960 the intention of this chapter to levy a tax upon tangible
961 personal property imported, produced, or manufactured in this
962 state for export, provided that tangible personal property may
963 not be considered as being imported, produced, or manufactured
964 for export unless the importer, producer, or manufacturer
965 delivers the same to a licensed exporter for exporting or to a
966 common carrier for shipment outside the state or mails the same
967 by United States mail to a destination outside the state; or, in
968 the case of aircraft being exported under their own power to a
969 destination outside the continental limits of the United States,
970 by submission to the department of a duly signed and validated
971 United States customs declaration, showing the departure of the
972 aircraft from the continental United States; and further with
973 respect to aircraft, the canceled United States registry of said
974 aircraft; or in the case of parts and equipment installed on
975 aircraft of foreign registry, by submission to the department of
976 documentation, the extent of which shall be provided by rule,
977 showing the departure of the aircraft from the continental
978 United States; nor is it the intention of this chapter to levy a
979 tax on any sale which the state is prohibited from taxing under
980 the Constitution or laws of the United States. Every retail sale
981 made to a person physically present at the time of sale shall be
982 presumed to have been delivered in this state.
983 2.a. Notwithstanding subparagraph 1., a tax is levied on
984 each sale of tangible personal property to be transported to a
985 cooperating state as defined in sub-subparagraph c., at the rate
986 specified in sub-subparagraph d. However, a Florida dealer will
987 be relieved from the requirements of collecting taxes pursuant
988 to this subparagraph if the Florida dealer obtains from the
989 purchaser an affidavit setting forth the purchaser’s name,
990 address, state taxpayer identification number, and a statement
991 that the purchaser is aware of his or her state’s use tax laws,
992 is a registered dealer in Florida or another state, or is
993 purchasing the tangible personal property for resale or is
994 otherwise not required to pay the tax on the transaction. The
995 department may, by rule, provide a form to be used for the
996 purposes set forth herein.
997 b. For purposes of this subparagraph, “a cooperating state”
998 is one determined by the executive director of the department to
999 cooperate satisfactorily with this state in collecting taxes on
1000 remote mail order sales. No state shall be so determined unless
1001 it meets all the following minimum requirements:
1002 (I) It levies and collects taxes on remote mail order sales
1003 of property transported from that state to persons in this
1004 state, as described in s. 212.0596, upon request of the
1005 department.
1006 (II) The tax so collected shall be at the rate specified in
1007 s. 212.05, not including any local option or tourist or
1008 convention development taxes collected pursuant to s. 125.0104
1009 or this chapter.
1010 (III) Such state agrees to remit to the department all
1011 taxes so collected no later than 30 days from the last day of
1012 the calendar quarter following their collection.
1013 (IV) Such state authorizes the department to audit dealers
1014 within its jurisdiction who make remote mail order sales that
1015 are the subject of s. 212.0596, or makes arrangements deemed
1016 adequate by the department for auditing them with its own
1017 personnel.
1018 (V) Such state agrees to provide to the department records
1019 obtained by it from retailers or dealers in such state showing
1020 delivery of tangible personal property into this state upon
1021 which no sales or use tax has been paid in a manner similar to
1022 that provided in sub-subparagraph g.
1023 c. For purposes of this subparagraph, “sales of tangible
1024 personal property to be transported to a cooperating state”
1025 means remote mail order sales to a person who is in the
1026 cooperating state at the time the order is executed, from a
1027 dealer who receives that order in this state.
1028 d. The tax levied by sub-subparagraph a. shall be at the
1029 rate at which such a sale would have been taxed pursuant to the
1030 cooperating state’s tax laws if consummated in the cooperating
1031 state by a dealer and a purchaser, both of whom were physically
1032 present in that state at the time of the sale.
1033 e. The tax levied by sub-subparagraph a., when collected,
1034 shall be held in the State Treasury in trust for the benefit of
1035 the cooperating state and shall be paid to it at a time agreed
1036 upon between the department, acting for this state, and the
1037 cooperating state or the department or agency designated by it
1038 to act for it; however, such payment shall in no event be made
1039 later than 30 days from the last day of the calendar quarter
1040 after the tax was collected. Funds held in trust for the benefit
1041 of a cooperating state shall not be subject to the service
1042 charges imposed by s. 215.20.
1043 f. The department is authorized to perform such acts and to
1044 provide such cooperation to a cooperating state with reference
1045 to the tax levied by sub-subparagraph a. as is required of the
1046 cooperating state by sub-subparagraph b.
1047 g. In furtherance of this act, dealers selling tangible
1048 personal property for delivery in another state shall make
1049 available to the department, upon request of the department,
1050 records of all tangible personal property so sold. Such records
1051 shall include a description of the property, the name and
1052 address of the purchaser, the name and address of the person to
1053 whom the property was sent, the purchase price of the property,
1054 information regarding whether sales tax was paid in this state
1055 on the purchase price, and such other information as the
1056 department may by rule prescribe.
1057 Section 9. Paragraph (b) of subsection (1) of section
1058 212.07, Florida Statutes, is amended to read:
1059 212.07 Sales, storage, use tax; tax added to purchase
1060 price; dealer not to absorb; liability of purchasers who cannot
1061 prove payment of the tax; penalties; general exemptions.—
1062 (1)
1063 (b) A resale must be in strict compliance with s. 212.18
1064 and the rules and regulations adopted thereunder. A dealer who
1065 makes a sale for resale that is not in strict compliance with s.
1066 212.18 and the rules and regulations adopted thereunder is
1067 liable for and must pay the tax. A dealer who makes a sale for
1068 resale shall document the exempt nature of the transaction, as
1069 established by rules adopted by the department, by retaining a
1070 copy of the purchaser’s resale certificate. In lieu of
1071 maintaining a copy of the certificate, a dealer may document,
1072 before the time of sale, an authorization number provided
1073 telephonically or electronically by the department, or by such
1074 other means established by rule of the department. The dealer
1075 may rely on a resale certificate issued pursuant to s.
1076 212.18(3)(e) s. 212.18(3)(d), valid at the time of receipt from
1077 the purchaser, without seeking annual verification of the resale
1078 certificate if the dealer makes recurring sales to a purchaser
1079 in the normal course of business on a continual basis. For
1080 purposes of this paragraph, “recurring sales to a purchaser in
1081 the normal course of business” refers to a sale in which the
1082 dealer extends credit to the purchaser and records the debt as
1083 an account receivable, or in which the dealer sells to a
1084 purchaser who has an established cash or C.O.D. account, similar
1085 to an open credit account. For purposes of this paragraph,
1086 purchases are made from a selling dealer on a continual basis if
1087 the selling dealer makes, in the normal course of business,
1088 sales to the purchaser at least once in every 12-month period. A
1089 dealer may, through the informal protest provided for in s.
1090 213.21 and the rules of the department, provide the department
1091 with evidence of the exempt status of a sale. Consumer
1092 certificates of exemption executed by those exempt entities that
1093 were registered with the department at the time of sale, resale
1094 certificates provided by purchasers who were active dealers at
1095 the time of sale, and verification by the department of a
1096 purchaser’s active dealer status at the time of sale in lieu of
1097 a resale certificate shall be accepted by the department when
1098 submitted during the protest period, but may not be accepted in
1099 any proceeding under chapter 120 or any circuit court action
1100 instituted under chapter 72.
1101 Section 10. Paragraph (f) is added to subsection (4) of
1102 section 212.11, Florida Statutes, to read:
1103 212.11 Tax returns and regulations.—
1104 (4)
1105 (f) A marketplace provider that is a dealer under this
1106 chapter or a person who is required to collect and remit sales
1107 tax on remote sales shall file returns and pay taxes by
1108 electronic means under s. 213.755.
1109 Section 11. Paragraph (a) of subsection (1), paragraph (a)
1110 of subsection (5), and subsections (9), (10), (11), and (14) of
1111 section 212.12, Florida Statutes, are amended to read:
1112 212.12 Dealer’s credit for collecting tax; penalties for
1113 noncompliance; powers of Department of Revenue in dealing with
1114 delinquents; rounding brackets applicable to taxable
1115 transactions; records required.—
1116 (1)(a)1. Notwithstanding any other law and for the purpose
1117 of compensating persons granting licenses for and the lessors of
1118 real and personal property taxed hereunder, for the purpose of
1119 compensating dealers in tangible personal property, for the
1120 purpose of compensating dealers providing communication services
1121 and taxable services, for the purpose of compensating owners of
1122 places where admissions are collected, and for the purpose of
1123 compensating remitters of any taxes or fees reported on the same
1124 documents utilized for the sales and use tax, as compensation
1125 for the keeping of prescribed records, filing timely tax
1126 returns, and the proper accounting and remitting of taxes by
1127 them, such seller, person, lessor, dealer, owner, and remitter
1128 (except dealers who make mail order sales) who files the return
1129 required pursuant to s. 212.11 only by electronic means and who
1130 pays the amount due on such return only by electronic means
1131 shall be allowed 2.5 percent of the amount of the tax due,
1132 accounted for, and remitted to the department in the form of a
1133 deduction. However, if the amount of the tax due and remitted to
1134 the department by electronic means for the reporting period
1135 exceeds $1,200, an allowance is not allowed for all amounts in
1136 excess of $1,200. For purposes of this paragraph subparagraph,
1137 the term “electronic means” has the same meaning as provided in
1138 s. 213.755(2)(c).
1139 2. The executive director of the department is authorized
1140 to negotiate a collection allowance, pursuant to rules
1141 promulgated by the department, with a dealer who makes mail
1142 order sales. The rules of the department shall provide
1143 guidelines for establishing the collection allowance based upon
1144 the dealer’s estimated costs of collecting the tax, the volume
1145 and value of the dealer’s mail order sales to purchasers in this
1146 state, and the administrative and legal costs and likelihood of
1147 achieving collection of the tax absent the cooperation of the
1148 dealer. However, in no event shall the collection allowance
1149 negotiated by the executive director exceed 10 percent of the
1150 tax remitted for a reporting period.
1151 (5)(a) The department is authorized to audit or inspect the
1152 records and accounts of dealers defined herein, including audits
1153 or inspections of dealers who make remote mail order sales to
1154 the extent permitted by another state, and to correct by credit
1155 any overpayment of tax, and, in the event of a deficiency, an
1156 assessment shall be made and collected. No administrative
1157 finding of fact is necessary prior to the assessment of any tax
1158 deficiency.
1159 (9) Taxes imposed by this chapter upon the privilege of the
1160 use, consumption, storage for consumption, or sale of tangible
1161 personal property, admissions, license fees, rentals,
1162 communication services, and upon the sale or use of services as
1163 herein taxed shall be collected upon the basis of an addition of
1164 the tax imposed by this chapter to the total price of such
1165 admissions, license fees, rentals, communication or other
1166 services, or sale price of such article or articles that are
1167 purchased, sold, or leased at any one time by or to a customer
1168 or buyer; the dealer, or person charged herein, is required to
1169 pay a privilege tax in the amount of the tax imposed by this
1170 chapter on the total of his or her gross sales of tangible
1171 personal property, admissions, license fees, and rentals, and
1172 communication services or to collect a tax upon the sale or use
1173 of services, and such person or dealer shall add the tax imposed
1174 by this chapter to the price, license fee, rental, or
1175 admissions, and communication or other services and collect the
1176 total sum from the purchaser, admittee, licensee, lessee, or
1177 consumer. The department shall make available in an electronic
1178 format or otherwise the tax amounts and the following brackets
1179 applicable to all transactions taxable at the rate of 6 percent:
1180 (a) On single sales of less than 10 cents, no tax shall be
1181 added.
1182 (b) On single sales in amounts from 10 cents to 16 cents,
1183 both inclusive, 1 cent shall be added for taxes.
1184 (c) On sales in amounts from 17 cents to 33 cents, both
1185 inclusive, 2 cents shall be added for taxes.
1186 (d) On sales in amounts from 34 cents to 50 cents, both
1187 inclusive, 3 cents shall be added for taxes.
1188 (e) On sales in amounts from 51 cents to 66 cents, both
1189 inclusive, 4 cents shall be added for taxes.
1190 (f) On sales in amounts from 67 cents to 83 cents, both
1191 inclusive, 5 cents shall be added for taxes.
1192 (g) On sales in amounts from 84 cents to $1, both
1193 inclusive, 6 cents shall be added for taxes.
1194 (h) On sales in amounts of more than $1, 6 percent shall be
1195 charged upon each dollar of price, plus the appropriate bracket
1196 charge upon any fractional part of a dollar.
1197 (10)(a) A dealer must calculate the tax due on the
1198 privilege of the use, consumption, storage for consumption, or
1199 sale of tangible personal property, admissions, license fees,
1200 rentals, and upon the sale or use of services, based on a
1201 rounding algorithm that meets the following criteria:
1202 1. The computation of the tax must be carried to the third
1203 decimal place.
1204 2. The tax must be rounded to the whole cent using a method
1205 that rounds up to the next cent whenever the third decimal place
1206 is greater than four.
1207 (b) A dealer may apply the rounding algorithm to the
1208 aggregate tax amount computed on all taxable items on an invoice
1209 or to the taxable amount on each individual item on the invoice
1210 In counties which have adopted a discretionary sales surtax at
1211 the rate of 1 percent, the department shall make available in an
1212 electronic format or otherwise the tax amounts and the following
1213 brackets applicable to all taxable transactions that would
1214 otherwise have been transactions taxable at the rate of 6
1215 percent:
1216 (a) On single sales of less than 10 cents, no tax shall be
1217 added.
1218 (b) On single sales in amounts from 10 cents to 14 cents,
1219 both inclusive, 1 cent shall be added for taxes.
1220 (c) On sales in amounts from 15 cents to 28 cents, both
1221 inclusive, 2 cents shall be added for taxes.
1222 (d) On sales in amounts from 29 cents to 42 cents, both
1223 inclusive, 3 cents shall be added for taxes.
1224 (e) On sales in amounts from 43 cents to 57 cents, both
1225 inclusive, 4 cents shall be added for taxes.
1226 (f) On sales in amounts from 58 cents to 71 cents, both
1227 inclusive, 5 cents shall be added for taxes.
1228 (g) On sales in amounts from 72 cents to 85 cents, both
1229 inclusive, 6 cents shall be added for taxes.
1230 (h) On sales in amounts from 86 cents to $1, both
1231 inclusive, 7 cents shall be added for taxes.
1232 (i) On sales in amounts from $1 up to, and including, the
1233 first $5,000 in price, 7 percent shall be charged upon each
1234 dollar of price, plus the appropriate bracket charge upon any
1235 fractional part of a dollar.
1236 (j) On sales in amounts of more than $5,000 in price, 7
1237 percent shall be added upon the first $5,000 in price, and 6
1238 percent shall be added upon each dollar of price in excess of
1239 the first $5,000 in price, plus the bracket charges upon any
1240 fractional part of a dollar as provided for in subsection (9).
1241 (11) The department shall make available in an electronic
1242 format or otherwise the tax amounts and brackets applicable to
1243 all taxable transactions that occur in counties that have a
1244 surtax at a rate other than 1 percent which would otherwise have
1245 been transactions taxable at the rate of 6 percent. Likewise,
1246 the department shall make available in an electronic format or
1247 otherwise the tax amounts and brackets applicable to
1248 transactions taxable at 4.35 percent pursuant to s.
1249 212.05(1)(e)1.c. or the applicable tax rate pursuant to s.
1250 212.031(1) and on transactions which would otherwise have been
1251 so taxable in counties which have adopted a discretionary sales
1252 surtax.
1253 (14) If it is determined upon audit that a dealer has
1254 collected and remitted taxes by applying the applicable tax rate
1255 to each transaction as described in subsection (9) and rounding
1256 the tax due to the nearest whole cent rather than applying the
1257 appropriate bracket system provided by law or department rule,
1258 the dealer shall not be held liable for additional tax, penalty,
1259 and interest resulting from such failure if:
1260 (a) The dealer acted in a good faith belief that rounding
1261 to the nearest whole cent was the proper method of determining
1262 the amount of tax due on each taxable transaction.
1263 (b) The dealer timely reported and remitted all taxes
1264 collected on each taxable transaction.
1265 (c) The dealer agrees in writing to future compliance with
1266 the laws and rules concerning brackets applicable to the
1267 dealer’s transactions.
1268 Section 12. Present paragraphs (c) through (f) of
1269 subsection (3) of section 212.18, Florida Statutes, are
1270 redesignated as paragraphs (d) through (g), respectively, a new
1271 paragraph (c) is added to that subsection, and present paragraph
1272 (f) of that subsection is amended, to read:
1273 212.18 Administration of law; registration of dealers;
1274 rules.—
1275 (3)
1276 (c) A marketplace provider that is a dealer under this
1277 chapter or a person who is required to collect and remit sales
1278 tax on remote sales must file with the department an application
1279 for a certificate of registration electronically.
1280 (g)(f) As used in this paragraph, the term “exhibitor”
1281 means a person who enters into an agreement authorizing the
1282 display of tangible personal property or services at a
1283 convention or a trade show. The following provisions apply to
1284 the registration of exhibitors as dealers under this chapter:
1285 1. An exhibitor whose agreement prohibits the sale of
1286 tangible personal property or services subject to the tax
1287 imposed in this chapter is not required to register as a dealer.
1288 2. An exhibitor whose agreement provides for the sale at
1289 wholesale only of tangible personal property or services subject
1290 to the tax imposed by this chapter must obtain a resale
1291 certificate from the purchasing dealer but is not required to
1292 register as a dealer.
1293 3. An exhibitor whose agreement authorizes the retail sale
1294 of tangible personal property or services subject to the tax
1295 imposed by this chapter must register as a dealer and collect
1296 the tax on such sales.
1297 4. An exhibitor who makes a remote mail order sale pursuant
1298 to s. 212.0596 must register as a dealer.
1299
1300 A person who conducts a convention or a trade show must make his
1301 or her exhibitor’s agreements available to the department for
1302 inspection and copying.
1303 Section 13. Subsection (4) and paragraph (d) of subsection
1304 (6) of section 212.20, Florida Statutes, are amended to read:
1305 212.20 Funds collected, disposition; additional powers of
1306 department; operational expense; refund of taxes adjudicated
1307 unconstitutionally collected.—
1308 (4) When there has been a final adjudication that any tax
1309 pursuant to s. 212.0596 or s. 212.05965 was levied, collected,
1310 or both, contrary to the Constitution of the United States or
1311 the State Constitution, the department shall, in accordance with
1312 rules, determine, based upon claims for refund and other
1313 evidence and information, who paid such tax or taxes, and refund
1314 to each such person the amount of tax paid. For purposes of this
1315 subsection, a “final adjudication” is a decision of a court of
1316 competent jurisdiction from which no appeal can be taken or from
1317 which the official or officials of this state with authority to
1318 make such decisions has or have decided not to appeal.
1319 (6) Distribution of all proceeds under this chapter and ss.
1320 202.18(1)(b) and (2)(b) and 203.01(1)(a)3. is as follows:
1321 (d) The proceeds of all other taxes and fees imposed
1322 pursuant to this chapter or remitted pursuant to s. 202.18(1)(b)
1323 and (2)(b) shall be distributed as follows:
1324 1. In any fiscal year, the greater of $500 million, minus
1325 an amount equal to 4.6 percent of the proceeds of the taxes
1326 collected pursuant to chapter 201, or 5.2 percent of all other
1327 taxes and fees imposed pursuant to this chapter or remitted
1328 pursuant to s. 202.18(1)(b) and (2)(b) shall be deposited in
1329 monthly installments into the General Revenue Fund.
1330 2. After the distribution under subparagraph 1., 8.9744
1331 percent of the amount remitted by a sales tax dealer located
1332 within a participating county pursuant to s. 218.61 shall be
1333 transferred into the Local Government Half-cent Sales Tax
1334 Clearing Trust Fund. Beginning July 1, 2003, the amount to be
1335 transferred shall be reduced by 0.1 percent, and the department
1336 shall distribute this amount to the Public Employees Relations
1337 Commission Trust Fund less $5,000 each month, which shall be
1338 added to the amount calculated in subparagraph 3. and
1339 distributed accordingly.
1340 3. After the distribution under subparagraphs 1. and 2.,
1341 0.0966 percent shall be transferred to the Local Government
1342 Half-cent Sales Tax Clearing Trust Fund and distributed pursuant
1343 to s. 218.65.
1344 4. After the distributions under subparagraphs 1., 2., and
1345 3., 2.0810 percent of the available proceeds shall be
1346 transferred monthly to the Revenue Sharing Trust Fund for
1347 Counties pursuant to s. 218.215.
1348 5. After the distributions under subparagraphs 1., 2., and
1349 3., 1.3653 percent of the available proceeds shall be
1350 transferred monthly to the Revenue Sharing Trust Fund for
1351 Municipalities pursuant to s. 218.215. If the total revenue to
1352 be distributed pursuant to this subparagraph is at least as
1353 great as the amount due from the Revenue Sharing Trust Fund for
1354 Municipalities and the former Municipal Financial Assistance
1355 Trust Fund in state fiscal year 1999-2000, no municipality shall
1356 receive less than the amount due from the Revenue Sharing Trust
1357 Fund for Municipalities and the former Municipal Financial
1358 Assistance Trust Fund in state fiscal year 1999-2000. If the
1359 total proceeds to be distributed are less than the amount
1360 received in combination from the Revenue Sharing Trust Fund for
1361 Municipalities and the former Municipal Financial Assistance
1362 Trust Fund in state fiscal year 1999-2000, each municipality
1363 shall receive an amount proportionate to the amount it was due
1364 in state fiscal year 1999-2000.
1365 6. Of the remaining proceeds:
1366 a. In each fiscal year, the sum of $29,915,500 shall be
1367 divided into as many equal parts as there are counties in the
1368 state, and one part shall be distributed to each county. The
1369 distribution among the several counties must begin each fiscal
1370 year on or before January 5th and continue monthly for a total
1371 of 4 months. If a local or special law required that any moneys
1372 accruing to a county in fiscal year 1999-2000 under the then
1373 existing provisions of s. 550.135 be paid directly to the
1374 district school board, special district, or a municipal
1375 government, such payment must continue until the local or
1376 special law is amended or repealed. The state covenants with
1377 holders of bonds or other instruments of indebtedness issued by
1378 local governments, special districts, or district school boards
1379 before July 1, 2000, that it is not the intent of this
1380 subparagraph to adversely affect the rights of those holders or
1381 relieve local governments, special districts, or district school
1382 boards of the duty to meet their obligations as a result of
1383 previous pledges or assignments or trusts entered into which
1384 obligated funds received from the distribution to county
1385 governments under then-existing s. 550.135. This distribution
1386 specifically is in lieu of funds distributed under s. 550.135
1387 before July 1, 2000.
1388 b. The department shall distribute $166,667 monthly to each
1389 applicant certified as a facility for a new or retained
1390 professional sports franchise pursuant to s. 288.1162. Up to
1391 $41,667 shall be distributed monthly by the department to each
1392 certified applicant as defined in s. 288.11621 for a facility
1393 for a spring training franchise. However, not more than $416,670
1394 may be distributed monthly in the aggregate to all certified
1395 applicants for facilities for spring training franchises.
1396 Distributions begin 60 days after such certification and
1397 continue for not more than 30 years, except as otherwise
1398 provided in s. 288.11621. A certified applicant identified in
1399 this sub-subparagraph may not receive more in distributions than
1400 expended by the applicant for the public purposes provided in s.
1401 288.1162(5) or s. 288.11621(3).
1402 c. Beginning 30 days after notice by the Department of
1403 Economic Opportunity to the Department of Revenue that an
1404 applicant has been certified as the professional golf hall of
1405 fame pursuant to s. 288.1168 and is open to the public, $166,667
1406 shall be distributed monthly, for up to 300 months, to the
1407 applicant.
1408 d. Beginning 30 days after notice by the Department of
1409 Economic Opportunity to the Department of Revenue that the
1410 applicant has been certified as the International Game Fish
1411 Association World Center facility pursuant to s. 288.1169, and
1412 the facility is open to the public, $83,333 shall be distributed
1413 monthly, for up to 168 months, to the applicant. This
1414 distribution is subject to reduction pursuant to s. 288.1169.
1415 e. The department shall distribute up to $83,333 monthly to
1416 each certified applicant as defined in s. 288.11631 for a
1417 facility used by a single spring training franchise, or up to
1418 $166,667 monthly to each certified applicant as defined in s.
1419 288.11631 for a facility used by more than one spring training
1420 franchise. Monthly distributions begin 60 days after such
1421 certification or July 1, 2016, whichever is later, and continue
1422 for not more than 20 years to each certified applicant as
1423 defined in s. 288.11631 for a facility used by a single spring
1424 training franchise or not more than 25 years to each certified
1425 applicant as defined in s. 288.11631 for a facility used by more
1426 than one spring training franchise. A certified applicant
1427 identified in this sub-subparagraph may not receive more in
1428 distributions than expended by the applicant for the public
1429 purposes provided in s. 288.11631(3).
1430 f. Beginning 45 days after notice by the Department of
1431 Economic Opportunity to the Department of Revenue that an
1432 applicant has been approved by the Legislature and certified by
1433 the Department of Economic Opportunity under s. 288.11625 or
1434 upon a date specified by the Department of Economic Opportunity
1435 as provided under s. 288.11625(6)(d), the department shall
1436 distribute each month an amount equal to one-twelfth of the
1437 annual distribution amount certified by the Department of
1438 Economic Opportunity for the applicant. The department may not
1439 distribute more than $13 million annually under this sub
1440 subparagraph.
1441 g. The department shall distribute $15,333 monthly to the
1442 State Transportation Trust Fund.
1443 h.(I) On or before July 25, 2021, August 25, 2021, and
1444 September 25, 2021, the department shall distribute $324,533,334
1445 in each of those months to the Unemployment Compensation Trust
1446 Fund, less an adjustment for refunds issued from the General
1447 Revenue Fund pursuant to s. 443.131(3)(e)3. before making the
1448 distribution. The adjustments made by the department to the
1449 total distributions shall be equal to the total refunds made
1450 pursuant to s. 443.131(3)(e)3. If the amount of refunds to be
1451 subtracted from any single distribution exceeds the
1452 distribution, the department may not make that distribution and
1453 must subtract the remaining balance from the next distribution.
1454 (II) Beginning July 2022, and on or before the 25th day of
1455 each month, the department shall distribute $90 million monthly
1456 to the Unemployment Compensation Trust Fund.
1457 (III) If the ending balance of the Unemployment
1458 Compensation Trust Fund exceeds $4,071,519,600 on the last day
1459 of any month, as determined from United States Department of the
1460 Treasury data, the Office of Economic and Demographic Research
1461 shall certify to the department that the ending balance of the
1462 trust fund exceeds such amount.
1463 (IV) This sub-subparagraph is repealed, and the department
1464 shall end monthly distributions under sub-sub-subparagraph (II),
1465 on the date the department receives certification under sub-sub
1466 subparagraph (III) or December 31, 2025, whichever is earlier.
1467 7. All other proceeds must remain in the General Revenue
1468 Fund.
1469 Section 14. Paragraph (a) of subsection (1) of section
1470 443.1216, Florida Statutes, is amended to read:
1471 443.1216 Employment.—Employment, as defined in s. 443.036,
1472 is subject to this chapter under the following conditions:
1473 (1)(a) The employment subject to this chapter includes a
1474 service performed, including a service performed in interstate
1475 commerce, by:
1476 1. An officer of a corporation.
1477 2. An individual who, under the usual common-law rules
1478 applicable in determining the employer-employee relationship, is
1479 an employee. However, whenever a client, as defined in s.
1480 443.036(18), which would otherwise be designated as an employing
1481 unit has contracted with an employee leasing company to supply
1482 it with workers, those workers are considered employees of the
1483 employee leasing company. An employee leasing company may lease
1484 corporate officers of the client to the client and other workers
1485 to the client, except as prohibited by regulations of the
1486 Internal Revenue Service. Employees of an employee leasing
1487 company must be reported under the employee leasing company’s
1488 tax identification number and contribution rate for work
1489 performed for the employee leasing company.
1490 a. However, except for the internal employees of an
1491 employee leasing company, each employee leasing company may make
1492 a separate one-time election to report and pay contributions
1493 under the tax identification number and contribution rate for
1494 each client of the employee leasing company. Under the client
1495 method, an employee leasing company choosing this option must
1496 assign leased employees to the client company that is leasing
1497 the employees. The client method is solely a method to report
1498 and pay unemployment contributions, and, whichever method is
1499 chosen, such election may not impact any other aspect of state
1500 law. An employee leasing company that elects the client method
1501 must pay contributions at the rates assigned to each client
1502 company.
1503 (I) The election applies to all of the employee leasing
1504 company’s current and future clients.
1505 (II) The employee leasing company must notify the
1506 Department of Revenue of its election by July 1, 2012, and such
1507 election applies to reports and contributions for the first
1508 quarter of the following calendar year. The notification must
1509 include:
1510 (A) A list of each client company and the unemployment
1511 account number or, if one has not yet been issued, the federal
1512 employment identification number, as established by the employee
1513 leasing company upon the election to file by client method;
1514 (B) A list of each client company’s current and previous
1515 employees and their respective social security numbers for the
1516 prior 3 state fiscal years or, if the client company has not
1517 been a client for the prior 3 state fiscal years, such portion
1518 of the prior 3 state fiscal years that the client company has
1519 been a client must be supplied;
1520 (C) The wage data and benefit charges associated with each
1521 client company for the prior 3 state fiscal years or, if the
1522 client company has not been a client for the prior 3 state
1523 fiscal years, such portion of the prior 3 state fiscal years
1524 that the client company has been a client must be supplied. If
1525 the client company’s employment record is chargeable with
1526 benefits for less than 8 calendar quarters while being a client
1527 of the employee leasing company, the client company must pay
1528 contributions at the initial rate of 2.7 percent; and
1529 (D) The wage data and benefit charges for the prior 3 state
1530 fiscal years that cannot be associated with a client company
1531 must be reported and charged to the employee leasing company.
1532 (III) Subsequent to choosing the client method, the
1533 employee leasing company may not change its reporting method.
1534 (IV) The employee leasing company shall file a Florida
1535 Department of Revenue Employer’s Quarterly Report for each
1536 client company by approved electronic means, and pay all
1537 contributions by approved electronic means.
1538 (V) For the purposes of calculating experience rates when
1539 the client method is chosen, each client’s own benefit charges
1540 and wage data experience while with the employee leasing company
1541 determines each client’s tax rate where the client has been a
1542 client of the employee leasing company for at least 8 calendar
1543 quarters before the election. The client company shall continue
1544 to report the nonleased employees under its tax rate.
1545 (VI) The election is binding on each client of the employee
1546 leasing company for as long as a written agreement is in effect
1547 between the client and the employee leasing company pursuant to
1548 s. 468.525(3)(a). If the relationship between the employee
1549 leasing company and the client terminates, the client retains
1550 the wage and benefit history experienced under the employee
1551 leasing company.
1552 (VII) Notwithstanding which election method the employee
1553 leasing company chooses, the applicable client company is an
1554 employing unit for purposes of s. 443.071. The employee leasing
1555 company or any of its officers or agents are liable for any
1556 violation of s. 443.071 engaged in by such persons or entities.
1557 The applicable client company or any of its officers or agents
1558 are liable for any violation of s. 443.071 engaged in by such
1559 persons or entities. The employee leasing company or its
1560 applicable client company is not liable for any violation of s.
1561 443.071 engaged in by the other party or by the other party’s
1562 officers or agents.
1563 (VIII) If an employee leasing company fails to select the
1564 client method of reporting not later than July 1, 2012, the
1565 entity is required to report under the employee leasing
1566 company’s tax identification number and contribution rate.
1567 (IX) After an employee leasing company is licensed pursuant
1568 to part XI of chapter 468, each newly licensed entity has 30
1569 days after the date the license is granted to notify the tax
1570 collection service provider in writing of their selection of the
1571 client method. A newly licensed employee leasing company that
1572 fails to timely select reporting pursuant to the client method
1573 of reporting must report under the employee leasing company’s
1574 tax identification number and contribution rate.
1575 (X) Irrespective of the election, each transfer of trade or
1576 business, including workforce, or a portion thereof, between
1577 employee leasing companies is subject to the provisions of s.
1578 443.131(3)(h) s. 443.131(3)(g) if, at the time of the transfer,
1579 there is common ownership, management, or control between the
1580 entities.
1581 b. In addition to any other report required to be filed by
1582 law, an employee leasing company shall submit a report to the
1583 Labor Market Statistics Center within the Department of Economic
1584 Opportunity which includes each client establishment and each
1585 establishment of the leasing company, or as otherwise directed
1586 by the department. The report must include the following
1587 information for each establishment:
1588 (I) The trade or establishment name;
1589 (II) The former reemployment assistance account number, if
1590 available;
1591 (III) The former federal employer’s identification number,
1592 if available;
1593 (IV) The industry code recognized and published by the
1594 United States Office of Management and Budget, if available;
1595 (V) A description of the client’s primary business activity
1596 in order to verify or assign an industry code;
1597 (VI) The address of the physical location;
1598 (VII) The number of full-time and part-time employees who
1599 worked during, or received pay that was subject to reemployment
1600 assistance taxes for, the pay period including the 12th of the
1601 month for each month of the quarter;
1602 (VIII) The total wages subject to reemployment assistance
1603 taxes paid during the calendar quarter;
1604 (IX) An internal identification code to uniquely identify
1605 each establishment of each client;
1606 (X) The month and year that the client entered into the
1607 contract for services; and
1608 (XI) The month and year that the client terminated the
1609 contract for services.
1610 c. The report must be submitted electronically or in a
1611 manner otherwise prescribed by the Department of Economic
1612 Opportunity in the format specified by the Bureau of Labor
1613 Statistics of the United States Department of Labor for its
1614 Multiple Worksite Report for Professional Employer
1615 Organizations. The report must be provided quarterly to the
1616 Labor Market Statistics Center within the department, or as
1617 otherwise directed by the department, and must be filed by the
1618 last day of the month immediately after the end of the calendar
1619 quarter. The information required in sub-sub-subparagraphs b.(X)
1620 and (XI) need be provided only in the quarter in which the
1621 contract to which it relates was entered into or terminated. The
1622 sum of the employment data and the sum of the wage data in this
1623 report must match the employment and wages reported in the
1624 reemployment assistance quarterly tax and wage report.
1625 d. The department shall adopt rules as necessary to
1626 administer this subparagraph, and may administer, collect,
1627 enforce, and waive the penalty imposed by s. 443.141(1)(b) for
1628 the report required by this subparagraph.
1629 e. For the purposes of this subparagraph, the term
1630 “establishment” means any location where business is conducted
1631 or where services or industrial operations are performed.
1632 3. An individual other than an individual who is an
1633 employee under subparagraph 1. or subparagraph 2., who performs
1634 services for remuneration for any person:
1635 a. As an agent-driver or commission-driver engaged in
1636 distributing meat products, vegetable products, fruit products,
1637 bakery products, beverages other than milk, or laundry or
1638 drycleaning services for his or her principal.
1639 b. As a traveling or city salesperson engaged on a full
1640 time basis in the solicitation on behalf of, and the
1641 transmission to, his or her principal of orders from
1642 wholesalers, retailers, contractors, or operators of hotels,
1643 restaurants, or other similar establishments for merchandise for
1644 resale or supplies for use in the business operations. This sub
1645 subparagraph does not apply to an agent-driver or a commission
1646 driver and does not apply to sideline sales activities performed
1647 on behalf of a person other than the salesperson’s principal.
1648 4. The services described in subparagraph 3. are employment
1649 subject to this chapter only if:
1650 a. The contract of service contemplates that substantially
1651 all of the services are to be performed personally by the
1652 individual;
1653 b. The individual does not have a substantial investment in
1654 facilities used in connection with the services, other than
1655 facilities used for transportation; and
1656 c. The services are not in the nature of a single
1657 transaction that is not part of a continuing relationship with
1658 the person for whom the services are performed.
1659 Section 15. Effective upon becoming a law and applying
1660 retroactively to April 1, 2020, present paragraphs (f) through
1661 (k) of subsection (3) of section 443.131, Florida Statutes, are
1662 redesignated as paragraphs (g) through (l), respectively, a new
1663 paragraph (f) is added to that subsection, and paragraphs (b)
1664 and (e) of that subsection are amended, to read:
1665 443.131 Contributions.—
1666 (3) VARIATION OF CONTRIBUTION RATES BASED ON BENEFIT
1667 EXPERIENCE.—
1668 (b) Benefit ratio.—
1669 1. As used in this paragraph, the term “annual payroll”
1670 means the calendar quarter taxable payroll reported to the tax
1671 collection service provider for the quarters used in computing
1672 the benefit ratio. The term does not include a penalty resulting
1673 from the untimely filing of required wage and tax reports. All
1674 of the taxable payroll reported to the tax collection service
1675 provider by the end of the quarter preceding the quarter for
1676 which the contribution rate is to be computed must be used in
1677 the computation.
1678 2. As used in this paragraph, the term “benefits charged to
1679 the employer’s employment record” means the amount of benefits
1680 paid to individuals multiplied by:
1681 a. For benefits paid prior to July 1, 2007, 1.
1682 b. For benefits paid during the period beginning on July 1,
1683 2007, and ending March 31, 2011, 0.90.
1684 c. For benefits paid after March 31, 2011, 1.
1685 d. For benefits paid during the period beginning April 1,
1686 2020, and ending December 31, 2020, 0.
1687 e. For benefits paid during the period beginning January 1,
1688 2021, and ending June 30, 2021, 1, except as otherwise adjusted
1689 in accordance with paragraph (f).
1690 3. For each calendar year, the tax collection service
1691 provider shall compute a benefit ratio for each employer whose
1692 employment record was chargeable for benefits during the 12
1693 consecutive quarters ending June 30 of the calendar year
1694 preceding the calendar year for which the benefit ratio is
1695 computed. An employer’s benefit ratio is the quotient obtained
1696 by dividing the total benefits charged to the employer’s
1697 employment record during the 3-year period ending June 30 of the
1698 preceding calendar year by the total of the employer’s annual
1699 payroll for the 3-year period ending June 30 of the preceding
1700 calendar year. The benefit ratio shall be computed to the fifth
1701 decimal place and rounded to the fourth decimal place.
1702 4. The tax collection service provider shall compute a
1703 benefit ratio for each employer who was not previously eligible
1704 under subparagraph 3., whose contribution rate is set at the
1705 initial contribution rate in paragraph (2)(a), and whose
1706 employment record was chargeable for benefits during at least 8
1707 calendar quarters immediately preceding the calendar quarter for
1708 which the benefit ratio is computed. The employer’s benefit
1709 ratio is the quotient obtained by dividing the total benefits
1710 charged to the employer’s employment record during the first 6
1711 of the 8 completed calendar quarters immediately preceding the
1712 calendar quarter for which the benefit ratio is computed by the
1713 total of the employer’s annual payroll during the first 7 of the
1714 9 completed calendar quarters immediately preceding the calendar
1715 quarter for which the benefit ratio is computed. The benefit
1716 ratio shall be computed to the fifth decimal place and rounded
1717 to the fourth decimal place and applies for the remainder of the
1718 calendar year. The employer must subsequently be rated on an
1719 annual basis using up to 12 calendar quarters of benefits
1720 charged and up to 12 calendar quarters of annual payroll. That
1721 employer’s benefit ratio is the quotient obtained by dividing
1722 the total benefits charged to the employer’s employment record
1723 by the total of the employer’s annual payroll during the
1724 quarters used in his or her first computation plus the
1725 subsequent quarters reported through June 30 of the preceding
1726 calendar year. Each subsequent calendar year, the rate shall be
1727 computed under subparagraph 3. The tax collection service
1728 provider shall assign a variation from the standard rate of
1729 contributions in paragraph (c) on a quarterly basis to each
1730 eligible employer in the same manner as an assignment for a
1731 calendar year under paragraph (e).
1732 (e) Assignment of variations from the standard rate.—
1733 1. As used in this paragraph, the terms “total benefit
1734 payments,” “benefits paid to an individual,” and “benefits
1735 charged to the employment record of an employer” mean the amount
1736 of benefits paid to individuals multiplied by:
1737 a. For benefits paid prior to July 1, 2007, 1.
1738 b. For benefits paid during the period beginning on July 1,
1739 2007, and ending March 31, 2011, 0.90.
1740 c. For benefits paid after March 31, 2011, 1.
1741 d. For benefits paid during the period beginning April 1,
1742 2020, and ending December 31, 2020, 0.
1743 e. For benefits paid during the period beginning January 1,
1744 2021, and ending June 30, 2021, 1, except as otherwise adjusted
1745 in accordance with paragraph (f).
1746 2. For the calculation of contribution rates effective
1747 January 1, 2012, and thereafter:
1748 a. The tax collection service provider shall assign a
1749 variation from the standard rate of contributions for each
1750 calendar year to each eligible employer. In determining the
1751 contribution rate, varying from the standard rate to be assigned
1752 each employer, adjustment factors computed under sub-sub
1753 subparagraphs (I)-(IV) are added to the benefit ratio. This
1754 addition shall be accomplished in two steps by adding a variable
1755 adjustment factor and a final adjustment factor. The sum of
1756 these adjustment factors computed under sub-sub-subparagraphs
1757 (I)-(IV) shall first be algebraically summed. The sum of these
1758 adjustment factors shall next be divided by a gross benefit
1759 ratio determined as follows: Total benefit payments for the 3
1760 year period described in subparagraph (b)3. are charged to
1761 employers eligible for a variation from the standard rate, minus
1762 excess payments for the same period, divided by taxable payroll
1763 entering into the computation of individual benefit ratios for
1764 the calendar year for which the contribution rate is being
1765 computed. The ratio of the sum of the adjustment factors
1766 computed under sub-sub-subparagraphs (I)-(IV) to the gross
1767 benefit ratio is multiplied by each individual benefit ratio
1768 that is less than the maximum contribution rate to obtain
1769 variable adjustment factors; except that if the sum of an
1770 employer’s individual benefit ratio and variable adjustment
1771 factor exceeds the maximum contribution rate, the variable
1772 adjustment factor is reduced in order for the sum to equal the
1773 maximum contribution rate. The variable adjustment factor for
1774 each of these employers is multiplied by his or her taxable
1775 payroll entering into the computation of his or her benefit
1776 ratio. The sum of these products is divided by the taxable
1777 payroll of the employers who entered into the computation of
1778 their benefit ratios. The resulting ratio is subtracted from the
1779 sum of the adjustment factors computed under sub-sub
1780 subparagraphs (I)-(IV) to obtain the final adjustment factor.
1781 The variable adjustment factors and the final adjustment factor
1782 must be computed to five decimal places and rounded to the
1783 fourth decimal place. This final adjustment factor is added to
1784 the variable adjustment factor and benefit ratio of each
1785 employer to obtain each employer’s contribution rate. An
1786 employer’s contribution rate may not, however, be rounded to
1787 less than 0.1 percent. In determining the contribution rate,
1788 varying from the standard rate to be assigned, the computation
1789 shall exclude any benefit that is excluded by the multipliers
1790 under subparagraph (b)2. and subparagraph 1. The computation of
1791 the contribution rate, varying from the standard rate to be
1792 assigned, shall also exclude any benefit paid as a result of a
1793 governmental order related to COVID-19 to close or reduce
1794 capacity of a business. In addition, the contribution rate for
1795 the 2021 and 2022 calendar years shall be calculated without the
1796 application of the positive adjustment factor in sub-sub
1797 subparagraph (III).
1798 (I) An adjustment factor for noncharge benefits is computed
1799 to the fifth decimal place and rounded to the fourth decimal
1800 place by dividing the amount of noncharge benefits during the 3
1801 year period described in subparagraph (b)3. by the taxable
1802 payroll of employers eligible for a variation from the standard
1803 rate who have a benefit ratio for the current year which is less
1804 than the maximum contribution rate. For purposes of computing
1805 this adjustment factor, the taxable payroll of these employers
1806 is the taxable payrolls for the 3 years ending June 30 of the
1807 current calendar year as reported to the tax collection service
1808 provider by September 30 of the same calendar year. As used in
1809 this sub-sub-subparagraph, the term “noncharge benefits” means
1810 benefits paid to an individual, as adjusted pursuant to
1811 subparagraph (b)2. and subparagraph 1., from the Unemployment
1812 Compensation Trust Fund, but which were not charged to the
1813 employment record of any employer, but excluding any benefit
1814 paid as a result of a governmental order related to COVID-19 to
1815 close or reduce capacity of a business.
1816 (II) An adjustment factor for excess payments is computed
1817 to the fifth decimal place, and rounded to the fourth decimal
1818 place by dividing the total excess payments during the 3-year
1819 period described in subparagraph (b)3. by the taxable payroll of
1820 employers eligible for a variation from the standard rate who
1821 have a benefit ratio for the current year which is less than the
1822 maximum contribution rate. For purposes of computing this
1823 adjustment factor, the taxable payroll of these employers is the
1824 same figure used to compute the adjustment factor for noncharge
1825 benefits under sub-sub-subparagraph (I). As used in this sub
1826 subparagraph, the term “excess payments” means the amount of
1827 benefits charged to the employment record of an employer, as
1828 adjusted pursuant to subparagraph (b)2. and subparagraph 1.,
1829 during the 3-year period described in subparagraph (b)3., but
1830 excluding any benefit paid as a result of a governmental order
1831 related to COVID-19 to close or reduce capacity of a business,
1832 less the product of the maximum contribution rate and the
1833 employer’s taxable payroll for the 3 years ending June 30 of the
1834 current calendar year as reported to the tax collection service
1835 provider by September 30 of the same calendar year. As used in
1836 this sub-sub-subparagraph, the term “total excess payments”
1837 means the sum of the individual employer excess payments for
1838 those employers that were eligible for assignment of a
1839 contribution rate different from the standard rate.
1840 (III) With respect to computing a positive adjustment
1841 factor:
1842 (A) Beginning January 1, 2012, if the balance of the
1843 Unemployment Compensation Trust Fund on September 30 of the
1844 calendar year immediately preceding the calendar year for which
1845 the contribution rate is being computed is less than 4 percent
1846 of the taxable payrolls for the year ending June 30 as reported
1847 to the tax collection service provider by September 30 of that
1848 calendar year, a positive adjustment factor shall be computed.
1849 The positive adjustment factor is computed annually to the fifth
1850 decimal place and rounded to the fourth decimal place by
1851 dividing the sum of the total taxable payrolls for the year
1852 ending June 30 of the current calendar year as reported to the
1853 tax collection service provider by September 30 of that calendar
1854 year into a sum equal to one-fifth of the difference between the
1855 balance of the fund as of September 30 of that calendar year and
1856 the sum of 5 percent of the total taxable payrolls for that
1857 year. The positive adjustment factor remains in effect for
1858 subsequent years until the balance of the Unemployment
1859 Compensation Trust Fund as of September 30 of the year
1860 immediately preceding the effective date of the contribution
1861 rate equals or exceeds 4 percent of the taxable payrolls for the
1862 year ending June 30 of the current calendar year as reported to
1863 the tax collection service provider by September 30 of that
1864 calendar year.
1865 (B) Beginning January 1, 2018, and for each year
1866 thereafter, the positive adjustment shall be computed by
1867 dividing the sum of the total taxable payrolls for the year
1868 ending June 30 of the current calendar year as reported to the
1869 tax collection service provider by September 30 of that calendar
1870 year into a sum equal to one-fourth of the difference between
1871 the balance of the fund as of September 30 of that calendar year
1872 and the sum of 5 percent of the total taxable payrolls for that
1873 year. The positive adjustment factor remains in effect for
1874 subsequent years until the balance of the Unemployment
1875 Compensation Trust Fund as of September 30 of the year
1876 immediately preceding the effective date of the contribution
1877 rate equals or exceeds 4 percent of the taxable payrolls for the
1878 year ending June 30 of the current calendar year as reported to
1879 the tax collection service provider by September 30 of that
1880 calendar year.
1881 (IV) If, beginning January 1, 2015, and each year
1882 thereafter, the balance of the Unemployment Compensation Trust
1883 Fund as of September 30 of the year immediately preceding the
1884 calendar year for which the contribution rate is being computed
1885 exceeds 5 percent of the taxable payrolls for the year ending
1886 June 30 of the current calendar year as reported to the tax
1887 collection service provider by September 30 of that calendar
1888 year, a negative adjustment factor must be computed. The
1889 negative adjustment factor shall be computed annually beginning
1890 on January 1, 2015, and each year thereafter, to the fifth
1891 decimal place and rounded to the fourth decimal place by
1892 dividing the sum of the total taxable payrolls for the year
1893 ending June 30 of the current calendar year as reported to the
1894 tax collection service provider by September 30 of the calendar
1895 year into a sum equal to one-fourth of the difference between
1896 the balance of the fund as of September 30 of the current
1897 calendar year and 5 percent of the total taxable payrolls of
1898 that year. The negative adjustment factor remains in effect for
1899 subsequent years until the balance of the Unemployment
1900 Compensation Trust Fund as of September 30 of the year
1901 immediately preceding the effective date of the contribution
1902 rate is less than 5 percent, but more than 4 percent of the
1903 taxable payrolls for the year ending June 30 of the current
1904 calendar year as reported to the tax collection service provider
1905 by September 30 of that calendar year. The negative adjustment
1906 authorized by this section is suspended in any calendar year in
1907 which repayment of the principal amount of an advance received
1908 from the federal Unemployment Compensation Trust Fund under 42
1909 U.S.C. s. 1321 is due to the Federal Government.
1910 (V) The maximum contribution rate that may be assigned to
1911 an employer is 5.4 percent, except employers participating in an
1912 approved short-time compensation plan may be assigned a maximum
1913 contribution rate that is 1 percent greater than the maximum
1914 contribution rate for other employers in any calendar year in
1915 which short-time compensation benefits are charged to the
1916 employer’s employment record.
1917 (VI) As used in this subsection, “taxable payroll” shall be
1918 determined by excluding any part of the remuneration paid to an
1919 individual by an employer for employment during a calendar year
1920 in excess of the first $7,000. Beginning January 1, 2012,
1921 “taxable payroll” shall be determined by excluding any part of
1922 the remuneration paid to an individual by an employer for
1923 employment during a calendar year as described in s.
1924 443.1217(2). For the purposes of the employer rate calculation
1925 that will take effect in January 1, 2012, and in January 1,
1926 2013, the tax collection service provider shall use the data
1927 available for taxable payroll from 2009 based on excluding any
1928 part of the remuneration paid to an individual by an employer
1929 for employment during a calendar year in excess of the first
1930 $7,000, and from 2010 and 2011, the data available for taxable
1931 payroll based on excluding any part of the remuneration paid to
1932 an individual by an employer for employment during a calendar
1933 year in excess of the first $8,500.
1934 b. If the transfer of an employer’s employment record to an
1935 employing unit under paragraph (g) (f) which, before the
1936 transfer, was an employer, the tax collection service provider
1937 shall recompute a benefit ratio for the successor employer based
1938 on the combined employment records and reassign an appropriate
1939 contribution rate to the successor employer effective on the
1940 first day of the calendar quarter immediately after the
1941 effective date of the transfer.
1942 3. The tax collection service provider shall reissue rates
1943 for the 2021 calendar year. However, an employer shall continue
1944 to timely file its employer’s quarterly reports and pay the
1945 contributions due in a timely manner in accordance with the
1946 rules of the Department of Economic Opportunity. The Department
1947 of Revenue shall post the revised rates on its website to enable
1948 employers to securely review the revised rates. For
1949 contributions for the first quarter of the 2021 calendar year,
1950 if any employer remits to the tax collection service provider an
1951 amount in excess of the amount that would be due as calculated
1952 pursuant to this paragraph, the tax collection service provider
1953 shall refund the excess amount from the amount erroneously
1954 collected. Notwithstanding s. 443.141(6), refunds issued through
1955 August 31, 2021, for first quarter 2021 contributions must be
1956 paid from the General Revenue Fund.
1957 4. The tax collection service provider shall calculate and
1958 assign contribution rates effective January 1, 2022, through
1959 December 31, 2022, excluding any benefit charge that is excluded
1960 by the multipliers under subparagraph (b)2. and subparagraph 1.;
1961 without the application of the positive adjustment factor in
1962 sub-sub-subparagraph 2.a.(III); and without the inclusion of any
1963 benefit charge directly related to COVID-19 as a result of a
1964 governmental order to close or reduce capacity of a business, as
1965 determined by the Department of Economic Opportunity, for each
1966 employer who is eligible for a variation from the standard rate
1967 pursuant to paragraph (d). The Department of Economic
1968 Opportunity shall provide the tax collection service provider
1969 with all necessary benefit charge information by August 1, 2021,
1970 including specific information for adjustments related to COVID
1971 19 charges resulting from a governmental order to close or
1972 reduce capacity of a business, to enable the tax collection
1973 service provider to calculate and issue tax rates effective
1974 January 1, 2022. The tax collection service provider shall
1975 calculate and post rates for the 2022 calendar year by March 1,
1976 2022.
1977 5. Subject to subparagraph 6., the tax collection service
1978 provider shall calculate and assign contribution rates effective
1979 January 1, 2023, through December 31, 2025, excluding any
1980 benefit charge that is excluded by the multipliers under
1981 subparagraph (b)2. and subparagraph 1.; without the application
1982 of the positive adjustment factor in sub-sub-subparagraph
1983 2.a.(III); and without the inclusion of any benefit charge
1984 directly related to COVID-19 as a result of a governmental order
1985 to close or reduce capacity of a business, as determined by the
1986 Department of Economic Opportunity, for each employer who is
1987 eligible for a variation from the standard rate pursuant to
1988 paragraph (d). The Department of Economic Opportunity shall
1989 provide the tax collection service provider with all necessary
1990 benefit charge information by August 1 of each year, including
1991 specific information for adjustments related to COVID-19 charges
1992 resulting from a governmental order to close or reduce capacity
1993 of a business, to enable the tax collection service provider to
1994 calculate and issue tax rates effective the following January.
1995 6. If the balance of the Unemployment Compensation Trust
1996 Fund on June 30 of any year exceeds $4,071,519,600, subparagraph
1997 5. is repealed for rates effective the following years. The
1998 Office of Economic and Demographic Research shall advise the tax
1999 collection service provider of the balance of the trust fund on
2000 June 30 by August 1 of that year. After the repeal of
2001 subparagraph 5. and notwithstanding the dates specified in that
2002 subparagraph, the tax collection service provider shall
2003 calculate and assign contribution rates for each subsequent
2004 calendar year as otherwise provided in this section.
2005 (f) Adjustment in benefit ratio multiplier.—For purposes of
2006 calculating the benefits charged for the period beginning
2007 January 1, 2021, and ending June 30, 2021, pursuant to sub
2008 subparagraphs (b)2.e. and (e)1.e., the amount of benefits paid
2009 to individuals shall be multiplied by 1, unless such calculation
2010 results in estimated total contributions of more than $475.5
2011 million for calendar year 2022 as estimated by the Office of
2012 Economic and Demographic Research, based on the preliminary 2022
2013 computed rate. If the estimated total contributions calculated
2014 are more than $475.5 million, the multiplier in sub
2015 subparagraphs (b)2.e. and (e)1.e. shall be reduced by increments
2016 of 0.05 until the estimated total contributions are $475.5
2017 million or less. The Office of Economic and Demographic Research
2018 shall provide the incremental reduction, if any, to the tax
2019 collection service provider by January 1, 2022.
2020 Section 16. Subsection (1) of section 443.191, Florida
2021 Statutes, is amended to read:
2022 443.191 Unemployment Compensation Trust Fund; establishment
2023 and control.—
2024 (1) There is established, as a separate trust fund apart
2025 from all other public funds of this state, an Unemployment
2026 Compensation Trust Fund, which shall be administered by the
2027 Department of Economic Opportunity exclusively for the purposes
2028 of this chapter. The fund must consist of:
2029 (a) All contributions and reimbursements collected under
2030 this chapter;
2031 (b) Interest earned on any moneys in the fund;
2032 (c) Any property or securities acquired through the use of
2033 moneys belonging to the fund;
2034 (d) All earnings of these properties or securities;
2035 (e) All money credited to this state’s account in the
2036 federal Unemployment Compensation Trust Fund under 42 U.S.C. s.
2037 1103;
2038 (f) All money collected for penalties imposed pursuant to
2039 s. 443.151(6)(a); and
2040 (g) Advances on the amount in the federal Unemployment
2041 Compensation Trust Fund credited to the state under 42 U.S.C. s.
2042 1321, as requested by the Governor or the Governor’s designee;
2043 and
2044 (h) All money deposited in this account as a distribution
2045 pursuant to s. 212.20(6)(d)6.h.
2046
2047 Except as otherwise provided in s. 443.1313(4), all moneys in
2048 the fund must be mingled and undivided.
2049 Section 17. Paragraph (b) of subsection (1) of section
2050 212.04, Florida Statutes, is amended to read:
2051 212.04 Admissions tax; rate, procedure, enforcement.—
2052 (1)
2053 (b) For the exercise of such privilege, a tax is levied at
2054 the rate of 6 percent of sales price, or the actual value
2055 received from such admissions, which 6 percent shall be added to
2056 and collected with all such admissions from the purchaser
2057 thereof, and such tax shall be paid for the exercise of the
2058 privilege as defined in the preceding paragraph. Each ticket
2059 must show on its face the actual sales price of the admission,
2060 or each dealer selling the admission must prominently display at
2061 the box office or other place where the admission charge is made
2062 a notice disclosing the price of the admission, and the tax
2063 shall be computed and collected on the basis of the actual price
2064 of the admission charged by the dealer. The sale price or actual
2065 value of admission shall, for the purpose of this chapter, be
2066 that price remaining after deduction of federal taxes and state
2067 or locally imposed or authorized seat surcharges, taxes, or
2068 fees, if any, imposed upon such admission. The sale price or
2069 actual value does not include separately stated ticket service
2070 charges that are imposed by a facility ticket office or a
2071 ticketing service and added to a separately stated, established
2072 ticket price. The rate of tax on each admission shall be
2073 according to the algorithm provided in s. 212.12 brackets
2074 established by s. 212.12(9).
2075 Section 18. Subsection (6) of section 212.0506, Florida
2076 Statutes, is amended to read:
2077 212.0506 Taxation of service warranties.—
2078 (6) This tax shall be due and payable according to the
2079 algorithm provided brackets set forth in s. 212.12.
2080 Section 19. Subsection (3) of section 213.015, Florida
2081 Statutes, is amended to read:
2082 213.015 Taxpayer rights.—There is created a Florida
2083 Taxpayer’s Bill of Rights to guarantee that the rights, privacy,
2084 and property of Florida taxpayers are adequately safeguarded and
2085 protected during tax assessment, collection, and enforcement
2086 processes administered under the revenue laws of this state. The
2087 Taxpayer’s Bill of Rights compiles, in one document, brief but
2088 comprehensive statements which explain, in simple, nontechnical
2089 terms, the rights and obligations of the Department of Revenue
2090 and taxpayers. Section 192.0105 provides additional rights
2091 afforded to payors of property taxes and assessments. The rights
2092 afforded taxpayers to ensure that their privacy and property are
2093 safeguarded and protected during tax assessment and collection
2094 are available only insofar as they are implemented in other
2095 parts of the Florida Statutes or rules of the Department of
2096 Revenue. The rights so guaranteed Florida taxpayers in the
2097 Florida Statutes and the departmental rules are:
2098 (3) The right to be represented or advised by counsel or
2099 other qualified representatives at any time in administrative
2100 interactions with the department, the right to procedural
2101 safeguards with respect to recording of interviews during tax
2102 determination or collection processes conducted by the
2103 department, the right to be treated in a professional manner by
2104 department personnel, and the right to have audits, inspections
2105 of records, and interviews conducted at a reasonable time and
2106 place except in criminal and internal investigations (see ss.
2107 198.06, 199.218, 201.11(1), 203.02, 206.14, 211.125(3),
2108 211.33(3), 212.0305(3), 212.12(5)(a), (6)(a), and (12) (13),
2109 212.13(5), 213.05, 213.21(1)(a) and (c), and 213.34).
2110 Section 20. (1) For the period of July 1, 2021, through
2111 September 30, 2021, a taxpayer may calculate the tax due under
2112 chapter 212, Florida Statutes, by applying s. 212.12, Florida
2113 Statutes, as amended by this act, or by applying the appropriate
2114 bracket system pursuant to former s. 212.12, Florida Statutes
2115 2020.
2116 (2) This section does not establish a right to a refund or
2117 credit of taxes already paid.
2118 (3) This section is repealed October 1, 2021.
2119 Section 21. Subsection (5) of section 213.27, Florida
2120 Statutes, is amended to read:
2121 213.27 Contracts with debt collection agencies and certain
2122 vendors.—
2123 (5) The department may, for the purpose of ascertaining the
2124 amount of or collecting any taxes due from a person making or
2125 facilitating remote sales under s. 212.0596 or s. 212.05965
2126 doing mail order business in this state, contract with any
2127 auditing agency doing business within or without this state for
2128 the purpose of conducting an audit of such person mail order
2129 business; however, such audit agency may not conduct an audit on
2130 behalf of the department of any person domiciled in this state,
2131 person registered for sales and use tax purposes in this state,
2132 or corporation filing a Florida corporate tax return, if any
2133 such person or corporation objects to such audit in writing to
2134 the department and the auditing agency. The department shall
2135 notify the taxpayer by mail at least 30 days before the
2136 department assigns the collection of such taxes.
2137 Section 22. For the purpose of incorporating the amendment
2138 made by this act to section 212.054, Florida Statutes, in
2139 references thereto, paragraph (c) of subsection (2), paragraph
2140 (c) of subsection (3), paragraph (c) of subsection (8), and
2141 paragraph (c) of subsection (9) of section 212.055, Florida
2142 Statutes, are reenacted to read:
2143 212.055 Discretionary sales surtaxes; legislative intent;
2144 authorization and use of proceeds.—It is the legislative intent
2145 that any authorization for imposition of a discretionary sales
2146 surtax shall be published in the Florida Statutes as a
2147 subsection of this section, irrespective of the duration of the
2148 levy. Each enactment shall specify the types of counties
2149 authorized to levy; the rate or rates which may be imposed; the
2150 maximum length of time the surtax may be imposed, if any; the
2151 procedure which must be followed to secure voter approval, if
2152 required; the purpose for which the proceeds may be expended;
2153 and such other requirements as the Legislature may provide.
2154 Taxable transactions and administrative procedures shall be as
2155 provided in s. 212.054.
2156 (2) LOCAL GOVERNMENT INFRASTRUCTURE SURTAX.—
2157 (c) Pursuant to s. 212.054(4), the proceeds of the surtax
2158 levied under this subsection shall be distributed to the county
2159 and the municipalities within such county in which the surtax
2160 was collected, according to:
2161 1. An interlocal agreement between the county governing
2162 authority and the governing bodies of the municipalities
2163 representing a majority of the county’s municipal population,
2164 which agreement may include a school district with the consent
2165 of the county governing authority and the governing bodies of
2166 the municipalities representing a majority of the county’s
2167 municipal population; or
2168 2. If there is no interlocal agreement, according to the
2169 formula provided in s. 218.62.
2170
2171 Any change in the distribution formula must take effect on the
2172 first day of any month that begins at least 60 days after
2173 written notification of that change has been made to the
2174 department.
2175 (3) SMALL COUNTY SURTAX.—
2176 (c) Pursuant to s. 212.054(4), the proceeds of the surtax
2177 levied under this subsection shall be distributed to the county
2178 and the municipalities within the county in which the surtax was
2179 collected, according to:
2180 1. An interlocal agreement between the county governing
2181 authority and the governing bodies of the municipalities
2182 representing a majority of the county’s municipal population,
2183 which agreement may include a school district with the consent
2184 of the county governing authority and the governing bodies of
2185 the municipalities representing a majority of the county’s
2186 municipal population; or
2187 2. If there is no interlocal agreement, according to the
2188 formula provided in s. 218.62.
2189
2190 Any change in the distribution formula shall take effect on the
2191 first day of any month that begins at least 60 days after
2192 written notification of that change has been made to the
2193 department.
2194 (8) EMERGENCY FIRE RESCUE SERVICES AND FACILITIES SURTAX.—
2195 (c) Pursuant to s. 212.054(4), the proceeds of the
2196 discretionary sales surtax collected under this subsection, less
2197 an administrative fee that may be retained by the Department of
2198 Revenue, shall be distributed by the department to the county.
2199 The county shall distribute the proceeds it receives from the
2200 department to each local government entity providing emergency
2201 fire rescue services in the county. The surtax proceeds, less an
2202 administrative fee not to exceed 2 percent of the surtax
2203 collected, shall be distributed by the county based on each
2204 entity’s average annual expenditures for fire control and
2205 emergency fire rescue services in the 5 fiscal years preceding
2206 the fiscal year in which the surtax takes effect in proportion
2207 to the average annual total of the expenditures for such
2208 entities in the 5 fiscal years preceding the fiscal year in
2209 which the surtax takes effect. The county shall revise the
2210 distribution proportions to reflect a change in the service area
2211 of an entity receiving a distribution of the surtax proceeds. If
2212 an entity declines its share of surtax revenue, such revenue
2213 shall be redistributed proportionally to the entities that are
2214 participating in the sharing of such revenue based on each
2215 participating entity’s average annual expenditures for fire
2216 control and emergency fire rescue services in the preceding 5
2217 fiscal years in proportion to the average annual total of the
2218 expenditures for the participating entities in the preceding 5
2219 fiscal years.
2220 (9) PENSION LIABILITY SURTAX.—
2221 (c) Pursuant to s. 212.054(4), the proceeds of the surtax
2222 collected under this subsection, less an administrative fee that
2223 may be retained by the department, shall be distributed by the
2224 department to the local government.
2225 Section 23. This act first applies to remote sales made or
2226 facilitated on or after July 1, 2021, by a person who made or
2227 facilitated a substantial number of remote sales in calendar
2228 year 2020. A marketplace seller shall consider only those sales
2229 made outside of a marketplace to determine whether it made a
2230 substantial number of remote sales in calendar year 2020.
2231 Section 24. (1) A person subject to the requirements of
2232 this act to collect and remit the tax under chapter 212, Florida
2233 Statutes, on remote sales is relieved of liability for tax,
2234 penalty, and interest due on remote sales that occurred before
2235 July 1, 2021, provided that the person registers with the
2236 department before October 1, 2021. This subsection is also
2237 intended to provide relief to a marketplace seller for remote
2238 sales made before July 1, 2021, which were facilitated by a
2239 marketplace provider. For a marketplace provider with a physical
2240 presence in this state, this subsection is intended to provide
2241 relief only for sales facilitated by the marketplace provider on
2242 behalf of a marketplace seller. This subsection does not apply
2243 to a person who is under audit; has been issued a bill, notice,
2244 or demand for payment; or is under an administrative or judicial
2245 proceeding as of July 1, 2021.
2246 (2) The department may not use data received from
2247 registered marketplace providers or persons making remote sales
2248 for the purposes of identifying use tax liabilities occurring
2249 before July 1, 2021, from unregistered persons who but for their
2250 purchases from the registered taxpayer would not be required to
2251 remit sales or use tax directly to the department. This
2252 subsection does not apply to a person who is under audit; has
2253 been issued a bill, notice, or demand for payment; or is under
2254 an administrative or judicial proceeding as of July 1, 2021.
2255 (3) This section does not establish a right to a refund or
2256 credit of taxes already paid.
2257 Section 25. (1) The Department of Revenue is authorized,
2258 and all conditions are deemed met, to adopt emergency rules
2259 pursuant to s. 120.54(4), Florida Statutes, for the purpose of
2260 administering this act.
2261 (2) Notwithstanding any other law, emergency rules adopted
2262 pursuant to subsection (1) are effective for 6 months after
2263 adoption and may be renewed during the pendency of procedures to
2264 adopt permanent rules addressing the subject of the emergency
2265 rules.
2266 (3) This section shall take effect upon this act becoming a
2267 law and expires July 1, 2023.
2268 Section 26. Notwithstanding s. 287.057, Florida Statutes,
2269 the Department of Revenue is authorized to contract with a
2270 qualified vendor to provide services necessary to administer
2271 this act without using a competitive solicitation process. The
2272 authority granted to the Department of Revenue by this section
2273 applies solely to the implementation and administration of this
2274 act and may not be used for any other purpose. Such authority
2275 ends, and any contract entered into pursuant to this section
2276 still in force becomes void, upon the expiration of this
2277 section. This section expires June 30, 2023.
2278 Section 27. For the 2020-2021 fiscal year, the sum of
2279 $353,000 in nonrecurring funds is appropriated from the General
2280 Revenue Fund to the Department of Revenue for the purpose of
2281 implementing this act. Funds remaining unexpended or
2282 unencumbered from this appropriation as of June 30, 2021, shall
2283 revert and be reappropriated for the same purpose in the 2021
2284 2022 fiscal year.
2285 Section 28. If any provision of this act or its application
2286 to any person or circumstance is held invalid, the invalidity
2287 does not affect other provisions or applications of the act
2288 which can be given effect without the invalid provision or
2289 application, and to this end the provisions of this act are
2290 severable.
2291 Section 29. Except as otherwise expressly provided in this
2292 act and except for this section, which shall take effect upon
2293 this act becoming a law, this act shall take effect July 1,
2294 2021.
