Florida sales tax

From
http://dor.myflorida.com/dor/taxes/sales_tax.html

Florida Sales and Use Tax
Do I need to collect sales tax?

What is Taxable?

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Sales Tax
Florida law provides that each sale, admission charge, storage, or rental is taxable unless the transaction is specifically exempt.
Florida's general sales tax rate is 6%, however there is an established "bracket system" for collecting sales tax on any part of
each total taxable sale that is less than a whole dollar amount. Additionally, a discretionary sales surtax is imposed by many
Florida counties. To compute the Florida sales tax rate for each county, you add the county imposed discretionary sales surtax rate
to the general sales and use tax rate.

Discretionary Sales Surtax
Under specific conditions, Florida counties are authorized to levy a discretionary sales surtax on most transactions that are
subject to sales and use tax. A dealer who sells and delivers taxable merchandise or taxable services is required to collect the
surtax at the rate imposed in the county where the merchandise or service is delivered. For motor vehicle and mobile home sales, use
the surtax rate of the county where the vehicle or mobile home will be registered.

Only the first $5,000 of a single sale of tangible personal property is subject to discretionary sales surtax if the property is
sold as a single item, in bulk, as a working unit, or as part of a working unit. The $5,000 limit does not apply to commercial
rentals, transient rentals, or services.

Use Tax and Consumption
Use tax complements and is applied in the same manner as sales tax. The use tax rate and sales tax rate are the same, including
discretionary sales surtax, if applicable. Use tax is due on purchases made out of state and brought into Florida within 6 months of
the purchase date. Also, if you purchase a product tax-exempt that you plan to sell at retail, but end up using it at your place of
business, the "use" of the product is subject to tax. If you purchase materials that are "consumed" in a manufacturing process to
create your end product but are not part of the end product, those materials are subject to tax.

The "use" component of the sales and use tax provides uniform taxation on items that are purchased outside Florida but are used or
stored in the state. If the item brought into Florida is subject to tax, a credit for lawfully imposed taxes paid to another state,
a U.S. territory, or the District of Columbia is permitted. Credit is not given for taxes paid to another country.

Who Must Register to Collect Tax?

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Before you open a business in Florida, you must first find out whether your business activity, product use, or consumption will be
subject to Florida sales tax. Some government agencies require you to register with the Department of Revenue before they will issue
a license.

Here are some examples of business activities, product uses, and consumptions requiring the collection of sales tax or the payment
of use tax:

Sales of taxable items at retail.
Repairs or alterations of tangible personal property.
Rentals, leases, or licenses to use real property (for example, commercial office space, mini-warehouses, or short-term living
accommodations).
Rental or lease of personal property (for example, vehicles, machinery, equipment, or other goods).
Charges for admission to any place of amusement, sport, or recreation.
Operating private membership clubs that provide recreational or physical fitness facilities.
Manufacturing or producing goods for sale at retail.
Importing goods from any state or foreign country, for sale at retail or for use in the business.
Selling service warranty contracts.
Ordering and using, on a regular basis, mail-order products on which no sales tax was charged.
Operating vending or amusement machines.
Providing taxable services (for example, investigative and crime protection services, interior nonresidential cleaning services, and
nonresidential pest control services).
If you are unsure whether your business is required to register to collect sales tax, contact Taxpayer Services (see "Whom to
Call").

Who Is Exempt?

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Federal, state, county, and city governments; and qualified nonprofit organizations, such as religious, charitable, scientific,
educational, or veteran organizations (as defined in section 212.08, Florida Statutes) do not have to pay sales tax on certain
purchases. If you believe your organization may qualify for an exemption, you must complete and submit an Application for Consumer's
Certificate of Exemption (Form DR-5). See below for information on obtaining forms.

The federal government is exempt from the requirement to collect sales tax. In addition, qualified religious institutions are not
required to collect and remit sales tax on the sale or lease of tangible personal property.

How Do I Register to Collect Sales Tax?

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You can register to collect and/or report tax via the Department's Internet site. Go to www.myflorida.com/dor and click on
e-Services. If you do not have Internet access, you can complete a paper Application to Collect and/or Report Tax in Florida (Form
DR-1). Obtain Form DR-1 from your local DOR service center or one of the contacts listed below.

After your registration application is approved, you will receive a Certificate of Registration (Form DR-11), an Annual Resale
Certificate (Form DR-13), and your tax return forms. The Annual Resale Certificate may be used for tax-exempt purchases or rentals
of property or services that you intend to resell or re-rent as part of your business. If the goods purchased for resale are later
used (not resold), you must report and pay use tax on those items, plus any applicable penalties and interest. There are additional
liabilities for intentional misuse of an annual resale certificate.

How Is Tax Calculated?

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Sales tax is calculated at the time of each transaction. When sales transactions fall between whole dollar amounts, use the bracket
system to calculate tax due when any part of each total sale is less than a whole dollar amount. The total tax collected must be
calculated on the total amount of the sale. The sales tax and discretionary sales surtax must be separately shown on each invoice or
other evidence of the sales transaction. Taxpayers must remit the actual tax collected which in many cases is more than a straight
percentage of the sales or untaxed purchases. You can obtain a Sales Tax Rate Table (Form DR-2X) and individual bracket cards from
your local DOR service center or one of the contacts listed below.

Electronic Filing and Payment

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The Department offers the convenience of using our free and secure Internet site to file and pay sales tax, or you may purchase
software from an approved vendor. If you would like to voluntarily file and pay taxes electronically, you may do so. However, if you
pay $20,000 or more in sales and use tax between July 1 and June 30 (the state fiscal year), you will receive instructions to begin
using electronic funds transfer (EFT) for the next calendar year.

Reference Material

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Tax Laws
Contact Taxpayer Services to request copies of the rules regarding sales and use tax. Tax laws are also available on the
Department's Internet site. Look for the Florida Tax Law Library.

Brochures
The following brochures are available from your local DOR service center, the DOR Distribution Center, or Taxpayer Services:

Looking at Business Opportunities?
Discretionary Sales Surtax
Annual Resale Certificate for Sales Tax
Industry-specific brochures are also available.

For Information and Forms

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To speak with a Department of Revenue representative, call Taxpayer Services, Monday through Friday, 8 a.m. to 7 p.m., ET, at
800-352-3671, or call the service center nearest you.
Persons with hearing or speech impairments may call our TDD at 800-367-8331 or 850-922-1115.

To receive forms by mail:
Order multiple copies of forms from our Internet site, or
Mail form requests to:
Distribution Center
Florida Department of Revenue
168A Blountstown Hwy
Tallahassee FL 32304-3761

Department of Revenue service centers host educational seminars about Florida's taxes. Visit our Taxpayer Education internet page to
get a schedule of upcoming seminars and to register.