| 1 | A bill to be entitled |
| 2 | An act relating to communications services tax; amending |
| 3 | s. 202.16, F.S.; requiring that a dealer compute the |
| 4 | communications services tax based on a rounding algorithm; |
| 5 | providing criteria; providing for application of the tax; |
| 6 | providing options to the dealer for applying the rounding |
| 7 | algorithm; removing the provision requiring the Department |
| 8 | of Revenue to make available tax amounts and applicable |
| 9 | brackets; providing that the provisions of the act are |
| 10 | remedial in nature and apply retroactively; providing that |
| 11 | the act does not provide a basis for assessment of any tax |
| 12 | not paid or create a right to certain refunds or credits; |
| 13 | providing an effective date. |
| 14 |
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| 15 | Be It Enacted by the Legislature of the State of Florida: |
| 16 |
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| 17 | Section 1. Subsection (3) of section 202.16, Florida |
| 18 | Statutes, is amended to read: |
| 19 | 202.16 Payment.-The taxes imposed or administered under |
| 20 | this chapter and chapter 203 shall be collected from all dealers |
| 21 | of taxable communications services on the sale at retail in this |
| 22 | state of communications services taxable under this chapter and |
| 23 | chapter 203. The full amount of the taxes on a credit sale, |
| 24 | installment sale, or sale made on any kind of deferred payment |
| 25 | plan is due at the moment of the transaction in the same manner |
| 26 | as a cash sale. |
| 27 | (3)(a) A dealer must compute the tax due on a sale of |
| 28 | communications services imposed pursuant to this chapter and |
| 29 | chapter 203 based on a rounding algorithm that meets the |
| 30 | following criteria: |
| 31 | 1. The tax computation must be carried to the third |
| 32 | decimal place. |
| 33 | 2. The tax must be rounded to a whole cent using a method |
| 34 | that rounds up to the next cent whenever the third decimal place |
| 35 | is greater than four. |
| 36 | (b) The rounding algorithm must be applied to the local |
| 37 | communications services tax imposed pursuant to this chapter |
| 38 | separately from its application to the communications services |
| 39 | taxes imposed pursuant to s. 202.12 and gross receipts taxes |
| 40 | imposed pursuant to s. 203.01. |
| 41 | (c) A dealer may apply the rounding algorithm to the taxes |
| 42 | imposed pursuant to ss. 202.12 and 203.01 in one of the |
| 43 | following manners: |
| 44 | 1. Apply the rounding algorithm to the combined taxes |
| 45 | imposed pursuant to ss. 202.12 and 203.01. |
| 46 | 2. Apply the rounding algorithm to the communications |
| 47 | services taxes imposed pursuant to s. 202.12(1) and apply the |
| 48 | rounding algorithm separately to the combined gross receipts |
| 49 | bracket system. Notwithstanding the rate of tax on the sale of |
| 50 | communications services imposed pursuant to this chapter and |
| 51 | chapter 203, the department shall make available in an |
| 52 | electronic format or otherwise the tax amounts and brackets |
| 53 | applicable to each taxable sale such that the tax collected |
| 54 | results in a tax rate no less than the tax rate imposed pursuant |
| 55 | to this chapter and chapter 203. |
| 56 | Section 2. This act is intended to be remedial in nature |
| 57 | and applies retroactively. This act does not provide a basis for |
| 58 | an assessment of any tax not paid or create a right to a refund |
| 59 | or credit of any tax paid under s. 202.16, Florida Statutes, |
| 60 | before July 1, 2011. |
| 61 | Section 3. This act shall take effect July 1, 2011. |