Local Business Taxes
House Finance and Tax Subcommittee (conceptual)


Summary
: The draft language embodies concepts with an overarching purpose to replace the current local business tax structure in ch. 205, F.S., with a simplified version of the tax that is more consistent across various business types and among taxing jurisdictions. This is accomplished by:
  • Establishing a uniform classification system.
  • Establishing a flexible rate structure.
  • Grandfathering certain local taxing jurisdictions to allow taxation under the current structure to continue under specified circumstances.
  • Eliminating “overlap” of city and county taxes.
  • Retaining current local administration of the tax.
  • New structure would become effective October 1, 2014, with a transition process from the current structure to the new structure, and allowing taxing jurisdictions to replace revenues raised under the prior system.
Status
  • The draft bill language is still in the development stages, however it is expected that a proposed committee bill containing the above concepts will be heard in committee during week two, however the official language has not been filed as of 3-7-2013.
     

E-911 Fees
HB 807 (R. Stuebe)/SB 1070 (S. Hays)

Summary:  Currently, prepaid communications are not included in the base of services subject to the application of E-911 fees which fund E-911 operations in Florida Counties. The bills include prepaid communications in the base of E-911 fee assessments.
StatusThree referrals in House and Senate; Scheduled for review by the Revenue Impact Conference on Friday, March 8, 2013.

Internet Sales Tax
Summary:

  • HB 505 (R. Rehwinkel-Vasilinda) relating to Streamlined Sales and Use Tax Agreement
  • SB 88 (S. Margolis) relating to Mail Order Sales
  • SB 316 (S. Detert) relating to Taxes
  • HB 497 (R. Moskowitz) relating to Small Business Fairness Act
  • A common goal is to address the taxation (Florida sales tax) of sales by out-of-state retailers conducted over the Internet.  Although this concept is expected to produce a positive fiscal impact, some of the bills also employ reductions in other taxes to create a revenue neutral scenario.
    • Status
    • SB 316 has passed its first committee of reference and has three additional committee hearings scheduled.
    • The revenue estimating conference returned an indeterminate fiscal impact for S 316 by S. Detert on 3-1-2013.
    • Other bills have not been heard by their respective first committees of reference. 
    • House Finance and Tax Subcommittee held a workshop on related concepts and could potentially produce a committee bill.

Commercial Rentals
HB 629 (R. O’Toole)/SB 656 (S. Hukill)


Summary:  Currently, commercial rentals are taxed at 6% at the state level, plus the local discretionary surtax. Bills would phase out the sales and use tax on commercial rentals by reducing the tax rate by 1% per year and completely repealing both state and local sales and use taxes in the year 2019.

  • Status:
    Three referrals in House and Senate; workshopped in H. F&T