Florida Senate - 2014                                    SB 1654
       
       
        
       By the Committee on Appropriations
       
       
       
       
       
       576-02230-14                                          20141654__
    1                        A bill to be entitled                      
    2         An act relating to tax administration; amending s.
    3         212.03, F.S.; providing that charges for the storage
    4         of towed vehicles that are impounded by a local,
    5         state, or federal law enforcement agency are not
    6         taxable; amending s. 212.07, F.S.; conforming a cross
    7         reference to changes made by the act; providing
    8         monetary and criminal penalties for a dealer’s willful
    9         failure to collect certain taxes or fees after
   10         receiving notice of such duty to collect from the
   11         Department of Revenue; amending s. 212.12, F.S.;
   12         deleting provisions relating to the imposition of
   13         criminal penalties after Department of Revenue notice
   14         of requirements to register as a dealer or to collect
   15         taxes; making technical and grammatical changes to
   16         provisions specifying penalties for making a false or
   17         fraudulent return with the intent to evade payment of
   18         a tax or fee; amending s. 212.14, F.S.; modifying the
   19         definition of the term “person”; authorizing the
   20         department to adopt rules relating to requirements for
   21         a person to deposit cash, a bond, or other security
   22         with the department in order to ensure compliance with
   23         sales tax laws; making technical and grammatical
   24         changes; amending s. 212.18, F.S.; providing criminal
   25         penalties for a person who willfully fails to register
   26         as a dealer after receiving notice of such duty by the
   27         department; making technical and grammatical changes;
   28         reenacting s. 212.20, F.S., relating to the
   29         disposition of funds collected, to incorporate changes
   30         made by the act; amending s. 213.13, F.S.; revising
   31         the date for transmitting funds collected by the
   32         clerks of court to the department; amending s. 213.21,
   33         F.S.; increasing the compromise authority for closing
   34         agreements with taxpayers which can be delegated to
   35         and approved by the executive director; creating s.
   36         213.295, F.S., relating to automated sales suppression
   37         devices; defining terms; subjecting a person to
   38         criminal penalties and monetary penalties for
   39         knowingly selling or engaging in certain other actions
   40         involving a sales suppression device or phantom-ware;
   41         providing that sales suppression devices and phantom
   42         ware are contraband articles under the Florida
   43         Contraband Forfeiture Act; amending s. 443.131, F.S.;
   44         imposing a requirement on employers to produce records
   45         for the Department of Economic Opportunity or its tax
   46         collection service provider as a prerequisite for a
   47         reduction in the rate of reemployment tax; amending s.
   48         443.141, F.S.; providing a method to calculate the
   49         interest rate for past due employer contributions and
   50         reimbursements, and delinquent, erroneous, incomplete,
   51         or insufficient reports; increasing the number of days
   52         for an employer to protest an assessment; providing
   53         effective dates.
   54          
   55  Be It Enacted by the Legislature of the State of Florida:
   56  
   57         Section 1. Subsection (6) of section 212.03, Florida
   58  Statutes, is amended to read:
   59         212.03 Transient rentals tax; rate, procedure, enforcement,
   60  exemptions.—
   61         (6) It is the legislative intent that a every person is
   62  engaging in a taxable privilege who leases or rents parking or
   63  storage spaces for motor vehicles in parking lots or garages,
   64  including storage facilities for towed vehicles, who leases or
   65  rents docking or storage spaces for boats in boat docks or
   66  marinas, or who leases or rents tie-down or storage space for
   67  aircraft at airports.
   68         (a) For the exercise of this privilege, a tax is hereby
   69  levied at the rate of 6 percent on the total rental charged.
   70         (b)Charges for parking, docking, tie-down, or storage
   71  arising from a lawful impoundment are not taxable. As used in
   72  this paragraph, the term “lawful impoundment” means the storing
   73  of or having custody over an aircraft, boat, or motor vehicle
   74  by, or at the direction of, a local, state, or federal law
   75  enforcement agency which the owner or the owner’s representative
   76  is not authorized to enter upon, have access to, or remove
   77  without the consent of the law enforcement agency.
   78         Section 2. Effective July 1, 2014, paragraph (b) of
   79  subsection (1) and subsection (3) of section 212.07, Florida
   80  Statutes, are amended to read:
   81         212.07 Sales, storage, use tax; tax added to purchase
   82  price; dealer not to absorb; liability of purchasers who cannot
   83  prove payment of the tax; penalties; general exemptions.—
   84         (1)
   85         (b) A resale must be in strict compliance with s. 212.18
   86  and the rules and regulations, and any dealer who makes a sale
   87  for resale which is not in strict compliance is with s. 212.18
   88  and the rules and regulations shall himself or herself be liable
   89  for and must pay the tax. Any dealer who makes a sale for resale
   90  shall document the exempt nature of the transaction, as
   91  established by rules adopted promulgated by the department, by
   92  retaining a copy of the purchaser’s resale certificate. In lieu
   93  of maintaining a copy of the certificate, a dealer may document,
   94  before prior to the time of sale, an authorization number
   95  provided telephonically or electronically by the department, or
   96  by such other means established by rule of the department. The
   97  dealer may rely on a resale certificate issued pursuant to s.
   98  212.18(3)(d) s. 212.18(3)(c), valid at the time of receipt from
   99  the purchaser, without seeking annual verification of the resale
  100  certificate if the dealer makes recurring sales to a purchaser
  101  in the normal course of business on a continual basis. For
  102  purposes of this paragraph, “recurring sales to a purchaser in
  103  the normal course of business” refers to a sale in which the
  104  dealer extends credit to the purchaser and records the debt as
  105  an account receivable, or in which the dealer sells to a
  106  purchaser who has an established cash or C.O.D. account, similar
  107  to an open credit account. For purposes of this paragraph,
  108  purchases are made from a selling dealer on a continual basis if
  109  the selling dealer makes, in the normal course of business,
  110  sales to the purchaser at least no less frequently than once in
  111  every 12-month period. A dealer may, through the informal
  112  protest provided for in s. 213.21 and the rules of the
  113  department of Revenue, provide the department with evidence of
  114  the exempt status of a sale. Consumer certificates of exemption
  115  executed by those exempt entities that were registered with the
  116  department at the time of sale, resale certificates provided by
  117  purchasers who were active dealers at the time of sale, and
  118  verification by the department of a purchaser’s active dealer
  119  status at the time of sale in lieu of a resale certificate shall
  120  be accepted by the department when submitted during the protest
  121  period, but may not be accepted in any proceeding under chapter
  122  120 or any circuit court action instituted under chapter 72.
  123         (3)(a)A Any dealer who fails, neglects, or refuses to
  124  collect the tax or fees imposed under this chapter herein
  125  provided, either by himself or herself or through the dealer’s
  126  agents or employees, is, in addition to the penalty of being
  127  liable for and paying the tax or fee himself or herself, commits
  128  guilty of a misdemeanor of the first degree, punishable as
  129  provided in s. 775.082 or s. 775.083.
  130         (b)A dealer who willfully fails to collect a tax or fee
  131  after the department provides notice of the duty to collect the
  132  tax or fee is liable for a specific penalty of 100 percent of
  133  the uncollected tax or fee. This penalty is in addition to any
  134  other penalty that may be imposed by law. A dealer who willfully
  135  fails to collect taxes or fees totaling:
  136         1.Less than $300:
  137         a.For a first offense, commits a misdemeanor of the second
  138  degree, punishable as provided in s. 775.082 or s. 775.083.
  139         b.For a second offense, commits a misdemeanor of the first
  140  degree, punishable as provided in s. 775.082 or s. 775.083.
  141         c.For a third or subsequent offense, commits a felony of
  142  the third degree, punishable as provided in s. 775.082, s.
  143  775.083, or s. 775.084.
  144         2.An amount equal to $300 or more, but less than $20,000,
  145  commits a felony of the third degree, punishable as provided in
  146  s. 775.082, s. 775.083, or s. 775.084.
  147         3.An amount equal to $20,000 or more, but less than
  148  $100,000, commits a felony of the second degree, punishable as
  149  provided in s. 775.082, s. 775.083, or s. 775.084.
  150         4.An amount equal to $100,000 or more, commits a felony of
  151  the first degree, punishable as provided in s. 775.082, s.
  152  775.083, or s. 775.084.
  153         (c)The department shall give written notice of the duty to
  154  collect taxes or fees to the dealer by personal service, by
  155  sending notice to the dealer’s last known address by registered
  156  mail, or both.
  157         Section 3. effective July 1, 2014, paragraph (d) of
  158  subsection (2) of section 212.12, Florida Statutes, is amended
  159  to read:
  160         212.12 Dealer’s credit for collecting tax; penalties for
  161  noncompliance; powers of Department of Revenue in dealing with
  162  delinquents; brackets applicable to taxable transactions;
  163  records required.—
  164         (2)
  165         (d) A Any person who makes a false or fraudulent return and
  166  who has with a willful intent to evade payment of any tax or fee
  167  imposed under this chapter is; any person who, after the
  168  department’s delivery of a written notice to the person’s last
  169  known address specifically alerting the person of the
  170  requirement to register the person’s business as a dealer,
  171  intentionally fails to register the business; and any person
  172  who, after the department’s delivery of a written notice to the
  173  person’s last known address specifically alerting the person of
  174  the requirement to collect tax on specific transactions,
  175  intentionally fails to collect such tax, shall, in addition to
  176  the other penalties provided by law, be liable for a specific
  177  penalty of 100 percent of any unreported or any uncollected tax
  178  or fee. This penalty is in addition to any other penalty
  179  provided by law. A person who makes a false or fraudulent return
  180  with a willful intent to evade payment of taxes or fees
  181  totaling:
  182         1. Less than $300:
  183         a. For a first offense, commits a misdemeanor of the second
  184  degree, punishable as provided in s. 775.082 or s. 775.083.
  185         b. For a second offense, commits a misdemeanor of the first
  186  degree, punishable as provided in s. 775.082 or s. 775.083.
  187         c. For a third or subsequent offense, commits a felony of
  188  the third degree, punishable as provided in s. 775.082, s.
  189  775.083, or s. 775.084.
  190         2. An amount equal to $300 or more, but less than $20,000,
  191  commits a felony of the third degree, punishable as provided in
  192  s. 775.082, s. 775.083, or s. 775.084.
  193         3. An amount equal to $20,000 or more, but less than
  194  $100,000, commits a felony of the second degree, punishable as
  195  provided in s. 775.082, s. 775.083, or s. 775.084.
  196         4. An amount equal to $100,000 or more, commits a felony of
  197  the first degree, punishable and, upon conviction, for fine and
  198  punishment as provided in s. 775.082, s. 775.083, or s. 775.084.
  199  Delivery of written notice may be made by certified mail, or by
  200  the use of such other method as is documented as being necessary
  201  and reasonable under the circumstances. The civil and criminal
  202  penalties imposed herein for failure to comply with a written
  203  notice alerting the person of the requirement to register the
  204  person’s business as a dealer or to collect tax on specific
  205  transactions shall not apply if the person timely files a
  206  written challenge to such notice in accordance with procedures
  207  established by the department by rule or the notice fails to
  208  clearly advise that failure to comply with or timely challenge
  209  the notice will result in the imposition of the civil and
  210  criminal penalties imposed herein.
  211         1. If the total amount of unreported or uncollected taxes
  212  or fees is less than $300, the first offense resulting in
  213  conviction is a misdemeanor of the second degree, the second
  214  offense resulting in conviction is a misdemeanor of the first
  215  degree, and the third and all subsequent offenses resulting in
  216  conviction is a misdemeanor of the first degree, and the third
  217  and all subsequent offenses resulting in conviction are felonies
  218  of the third degree.
  219         2. If the total amount of unreported or uncollected taxes
  220  or fees is $300 or more but less than $20,000, the offense is a
  221  felony of the third degree.
  222         3. If the total amount of unreported or uncollected taxes
  223  or fees is $20,000 or more but less than $100,000, the offense
  224  is a felony of the second degree.
  225         4. If the total amount of unreported or uncollected taxes
  226  or fees is $100,000 or more, the offense is a felony of the
  227  first degree.
  228         Section 4. Effective July 1, 2014, subsection (4) of
  229  section 212.14, Florida Statutes, is amended to read:
  230         212.14 Departmental powers; hearings; distress warrants;
  231  bonds; subpoenas and subpoenas duces tecum.—
  232         (4) In all cases where it is necessary to ensure compliance
  233  with the provisions of this chapter, the department shall
  234  require a cash deposit, bond, or other security as a condition
  235  to a person obtaining or retaining a dealer’s certificate of
  236  registration under this chapter. Such bond must shall be in the
  237  form and such amount as the department deems appropriate under
  238  the particular circumstances. A Every person failing to produce
  239  such cash deposit, bond, or other security is as provided for
  240  herein shall not be entitled to obtain or retain a dealer’s
  241  certificate of registration under this chapter, and the
  242  Department of Legal Affairs is hereby authorized to proceed by
  243  injunction, if when so requested by the Department of Revenue,
  244  to prevent such person from doing business subject to the
  245  provisions of this chapter until such cash deposit, bond, or
  246  other security is posted with the department, and any temporary
  247  injunction for this purpose may be granted by any judge or
  248  chancellor authorized by law to grant injunctions. Any security
  249  required to be deposited may be sold by the department at public
  250  sale if it becomes necessary so to do in order to recover any
  251  tax, interest, or penalty due. Notice of such sale may be served
  252  personally or by mail upon the person who deposited the such
  253  security. If by mail, notice sent to the last known address as
  254  it the same appears on the records of the department is shall be
  255  sufficient for the purpose of this requirement. Upon such sale,
  256  the surplus, if any, above the amount due under this chapter
  257  shall be returned to the person who deposited the security. The
  258  department may adopt rules necessary to administer this
  259  subsection. For the purpose of the cash deposit, bond, or other
  260  security required by this subsection, the term “person” includes
  261  those entities defined in s. 212.02(12), as well as:
  262         (a)An individual or entity owning a controlling interest
  263  in a business;
  264         (b)An individual or entity that acquired an ownership
  265  interest or a controlling interest in a business that would
  266  otherwise be liable for posting a cash deposit, bond, or other
  267  security, unless the department has determined that the
  268  individual or entity is not liable for the taxes, interest, or
  269  penalties described in s. 213.758; or
  270         (c)An individual or entity seeking to obtain a dealer’s
  271  certificate of registration for a business that will be operated
  272  at the same location as a previous business that would otherwise
  273  have been liable for posting a cash deposit, bond, or other
  274  security, if the individual or entity fails to provide evidence
  275  that the business was acquired for consideration in an arms
  276  length transaction.
  277         Section 5. Effective July 1, 2014, subsection (3) of
  278  section 212.18, Florida Statutes, is amended to read:
  279         212.18 Administration of law; registration of dealers;
  280  rules.—
  281         (3)(a) A Every person desiring to engage in or conduct
  282  business in this state as a dealer, as defined in this chapter,
  283  or to lease, rent, or let or grant licenses in living quarters
  284  or sleeping or housekeeping accommodations in hotels, apartment
  285  houses, roominghouses, or tourist or trailer camps that are
  286  subject to tax under s. 212.03, or to lease, rent, or let or
  287  grant licenses in real property, as defined in this chapter, and
  288  a every person who sells or receives anything of value by way of
  289  admissions, must file with the department an application for a
  290  certificate of registration for each place of business. The
  291  application must include, showing the names of the persons who
  292  have interests in such business and their residences, the
  293  address of the business, and such other data reasonably required
  294  by as the department may reasonably require. However, owners and
  295  operators of vending machines or newspaper rack machines are
  296  required to obtain only one certificate of registration for each
  297  county in which such machines are located. The department, by
  298  rule, may authorize a dealer that uses independent sellers to
  299  sell its merchandise to remit tax on the retail sales price
  300  charged to the ultimate consumer in lieu of having the
  301  independent seller register as a dealer and remit the tax. The
  302  department may appoint the county tax collector as the
  303  department’s agent to accept applications for registrations. The
  304  application must be submitted made to the department before the
  305  person, firm, copartnership, or corporation may engage in such
  306  business, and it must be accompanied by a registration fee of
  307  $5. However, a registration fee is not required to accompany an
  308  application to engage in or conduct business to make mail order
  309  sales. The department may waive the registration fee for
  310  applications submitted through the department’s Internet
  311  registration process.
  312         (b) The department, upon receipt of such application, shall
  313  will grant to the applicant a separate certificate of
  314  registration for each place of business, which certificate may
  315  be canceled by the department or its designated assistants for
  316  any failure by the certificateholder to comply with any of the
  317  provisions of this chapter. The certificate is not assignable
  318  and is valid only for the person, firm, copartnership, or
  319  corporation to which issued. The certificate must be placed in a
  320  conspicuous place in the business or businesses for which it is
  321  issued and must be displayed at all times. Except as provided in
  322  this subsection, a no person may not shall engage in business as
  323  a dealer or in leasing, renting, or letting of or granting
  324  licenses in living quarters or sleeping or housekeeping
  325  accommodations in hotels, apartment houses, roominghouses,
  326  tourist or trailer camps, or real property, or as hereinbefore
  327  defined, nor shall any person sell or receive anything of value
  328  by way of admissions, without a valid first having obtained such
  329  a certificate. A or after such certificate has been canceled; no
  330  person may not shall receive a any license from any authority
  331  within the state to engage in any such business without a valid
  332  certificate first having obtained such a certificate or after
  333  such certificate has been canceled. A person may not engage The
  334  engaging in the business of selling or leasing tangible personal
  335  property or services or as a dealer; engage, as defined in this
  336  chapter, or the engaging in leasing, renting, or letting of or
  337  granting licenses in living quarters or sleeping or housekeeping
  338  accommodations in hotels, apartment houses, roominghouses, or
  339  tourist or trailer camps that are taxable under this chapter, or
  340  real property;, or engage the engaging in the business of
  341  selling or receiving anything of value by way of admissions,
  342  without a valid such certificate first being obtained or after
  343  such certificate has been canceled by the department, is
  344  prohibited.
  345         (c)1.A The failure or refusal of any person who engages in
  346  acts requiring a certificate of registration under this
  347  subsection and who fails or refuses to register commits, firm,
  348  copartnership, or corporation to so qualify when required
  349  hereunder is a misdemeanor of the first degree, punishable as
  350  provided in s. 775.082 or s. 775.083. Such acts are, or subject
  351  to injunctive proceedings as provided by law. A person who
  352  engages in acts requiring a certificate of registration and who
  353  fails or refuses to register is also subject Such failure or
  354  refusal also subjects the offender to a $100 initial
  355  registration fee in lieu of the $5 registration fee required by
  356  authorized in paragraph (a). However, the department may waive
  357  the increase in the registration fee if it finds is determined
  358  by the department that the failure to register was due to
  359  reasonable cause and not to willful negligence, willful neglect,
  360  or fraud.
  361         2.a.A person who willfully fails to register after the
  362  department provides notice of the duty to register as a dealer
  363  commits a felony of the third degree, punishable as provided in
  364  s. 775.082, s. 775.083, or s. 775.084.
  365         b.The department shall provide written notice of the duty
  366  to register to the person by personal service, by sending notice
  367  by registered mail to the person’s last known address, or both.
  368         (d)(c) In addition to the certificate of registration, the
  369  department shall provide to each newly registered dealer an
  370  initial resale certificate that will be valid for the remainder
  371  of the period of issuance. The department shall provide each
  372  active dealer with an annual resale certificate. For purposes of
  373  this section, the term “active dealer” means a person who is
  374  currently registered with the department and who is required to
  375  file at least once during each applicable reporting period.
  376         (e)(d) The department may revoke a any dealer’s certificate
  377  of registration if when the dealer fails to comply with this
  378  chapter. Before Prior to revocation of a dealer’s certificate of
  379  registration, the department must schedule an informal
  380  conference at which the dealer may present evidence regarding
  381  the department’s intended revocation or enter into a compliance
  382  agreement with the department. The department must notify the
  383  dealer of its intended action and the time, place, and date of
  384  the scheduled informal conference by written notification sent
  385  by United States mail to the dealer’s last known address of
  386  record furnished by the dealer on a form prescribed by the
  387  department. The dealer is required to attend the informal
  388  conference and present evidence refuting the department’s
  389  intended revocation or enter into a compliance agreement with
  390  the department which resolves the dealer’s failure to comply
  391  with this chapter. The department shall issue an administrative
  392  complaint under s. 120.60 if the dealer fails to attend the
  393  department’s informal conference, fails to enter into a
  394  compliance agreement with the department resolving the dealer’s
  395  noncompliance with this chapter, or fails to comply with the
  396  executed compliance agreement.
  397         (f)(e) As used in this paragraph, the term “exhibitor”
  398  means a person who enters into an agreement authorizing the
  399  display of tangible personal property or services at a
  400  convention or a trade show. The following provisions apply to
  401  the registration of exhibitors as dealers under this chapter:
  402         1. An exhibitor whose agreement prohibits the sale of
  403  tangible personal property or services subject to the tax
  404  imposed in this chapter is not required to register as a dealer.
  405         2. An exhibitor whose agreement provides for the sale at
  406  wholesale only of tangible personal property or services subject
  407  to the tax imposed under in this chapter must obtain a resale
  408  certificate from the purchasing dealer but is not required to
  409  register as a dealer.
  410         3. An exhibitor whose agreement authorizes the retail sale
  411  of tangible personal property or services subject to the tax
  412  imposed under in this chapter must register as a dealer and
  413  collect the tax imposed under this chapter on such sales.
  414         4. An Any exhibitor who makes a mail order sale pursuant to
  415  s. 212.0596 must register as a dealer.
  416  
  417  A Any person who conducts a convention or a trade show must make
  418  his or her their exhibitor’s agreements available to the
  419  department for inspection and copying.
  420         Section 6. Effective July 1, 2014, for the purpose of
  421  incorporating the amendment made by this act to subsection (3)
  422  of section 212.18, Florida Statutes, in a reference thereto,
  423  paragraph (c) of subsection (6) of section 212.20, Florida
  424  Statutes, is reenacted to read:
  425         212.20 Funds collected, disposition; additional powers of
  426  department; operational expense; refund of taxes adjudicated
  427  unconstitutionally collected.—
  428         (6) Distribution of all proceeds under this chapter and s.
  429  202.18(1)(b) and (2)(b) shall be as follows:
  430         (c) Proceeds from the fees imposed under ss. 212.05(1)(h)3.
  431  and 212.18(3) shall remain with the General Revenue Fund.
  432         Section 7. Subsection (5) of section 213.13, Florida
  433  Statutes, is amended to read:
  434         213.13 Electronic remittance and distribution of funds
  435  collected by clerks of the court.—
  436         (5) All court-related collections, including fees, fines,
  437  reimbursements, court costs, and other court-related funds that
  438  the clerks must remit to the state pursuant to law, must be
  439  transmitted electronically by the 10th 20th day of the month
  440  immediately following the month in which the funds are
  441  collected.
  442         Section 8. Paragraph (a) of subsection (2) of section
  443  213.21, Florida Statutes, is amended to read:
  444         213.21 Informal conferences; compromises.—
  445         (2)(a) The executive director of the department or his or
  446  her designee is authorized to enter into closing agreements with
  447  any taxpayer settling or compromising the taxpayer’s liability
  448  for any tax, interest, or penalty assessed under any of the
  449  chapters specified in s. 72.011(1). Such agreements must shall
  450  be in writing if when the amount of tax, penalty, or interest
  451  compromised exceeds $30,000, or for lesser amounts, if when the
  452  department deems it appropriate or if when requested by the
  453  taxpayer. When a written closing agreement has been approved by
  454  the department and signed by the executive director or his or
  455  her designee and the taxpayer, it shall be final and conclusive;
  456  and, except upon a showing of fraud or misrepresentation of
  457  material fact or except as to adjustments pursuant to ss. 198.16
  458  and 220.23, no additional assessment may be made by the
  459  department against the taxpayer for the tax, interest, or
  460  penalty specified in the closing agreement for the time period
  461  specified in the closing agreement, and the taxpayer is shall
  462  not be entitled to institute any judicial or administrative
  463  proceeding to recover any tax, interest, or penalty paid
  464  pursuant to the closing agreement. The department is authorized
  465  to delegate to the executive director the authority to approve
  466  any such closing agreement resulting in a tax reduction of
  467  $500,000 $250,000 or less.
  468         Section 9. Effective July 1, 2014, section 213.295, Florida
  469  Statutes, is created to read:
  470         213.295Automated sales suppression devices.—
  471         (1) As used in this section, the term:
  472         (a) “Automated sales suppression device” or “zapper” means
  473  a software program that falsifies the electronic records of
  474  electronic cash registers or other point-of-sale systems,
  475  including, but not limited to, transaction data and transaction
  476  reports. The term includes the software program, any device that
  477  carries the software program, or an Internet link to the
  478  software program.
  479         (b) “Electronic cash register” means a device that keeps a
  480  register or supporting documents through the use of an
  481  electronic device or computer system designed to record
  482  transaction data for the purpose of computing, compiling, or
  483  processing retail sales transaction data in whatever manner.
  484         (c) “Phantom-ware” means a hidden programming option
  485  embedded in the operating system of an electronic cash register
  486  or hardwired into the electronic cash register which may be used
  487  to create a second set of records or eliminate or manipulate
  488  transaction records, which may or may not be preserved in
  489  digital formats, to represent the true or manipulated record of
  490  transactions in the electronic cash register.
  491         (d) “Transaction data” includes the identification of items
  492  purchased by a customer; the price for each item; a taxability
  493  determination for each item; a segregated tax amount for each of
  494  the taxed items; the amount of cash or credit tendered; the net
  495  amount returned to the customer in change; the date and time of
  496  the purchase; the name, address, and identification number of
  497  the vendor; and the receipt or invoice number of the
  498  transaction.
  499         (e) “Transaction report” means a report that documents, but
  500  is not limited to documenting, the sales, taxes, or fees
  501  collected, media totals, and discount voids at an electronic
  502  cash register and is printed on a cash register tape at the end
  503  of a day or a shift, or a report that documents every action at
  504  an electronic cash register and is stored electronically.
  505         (2) A person may not knowingly sell, purchase, install,
  506  transfer, possess, use, or access an automated sales suppression
  507  device, a zapper, or phantom-ware.
  508         (3) A person who violates this section:
  509         (a) Commits a felony of the third degree, punishable as
  510  provided in s. 775.082, s. 775.083, or s. 775.084.
  511         (b) Is liable for all taxes, fees, penalties, and interest
  512  due the state which result from the use of an automated sales
  513  suppression device, a zapper, or phantom-ware and shall forfeit
  514  to the state as an additional penalty all profits associated
  515  with the sale or use of an automated sales suppression device, a
  516  zapper, or phantom-ware.
  517         (4) An automated sales suppression device, a zapper,
  518  phantom-ware, or any device containing such device or software
  519  is a contraband article under ss. 932.701-932.706, the Florida
  520  Contraband Forfeiture Act.
  521         Section 10. Paragraph (h) of subsection (3) of section
  522  443.131, Florida Statutes, is amended to read:
  523         443.131 Contributions.—
  524         (3) VARIATION OF CONTRIBUTION RATES BASED ON BENEFIT
  525  EXPERIENCE.—
  526         (h) Additional conditions for variation from the standard
  527  rate.—An employer’s contribution rate may not be reduced below
  528  the standard rate under this section unless:
  529         1. All contributions, reimbursements, interest, and
  530  penalties incurred by the employer for wages paid by him or her
  531  in all previous calendar quarters, except the 4 calendar
  532  quarters immediately preceding the calendar quarter or calendar
  533  year for which the benefit ratio is computed, are paid; and
  534         2. The employer has produced for inspection and copying all
  535  work records in his or her possession, custody, or control which
  536  were requested by the Department of Economic Opportunity or its
  537  tax collection service provider pursuant to s. 443.171(5). An
  538  employer shall have at least 60 days to provide the requested
  539  work records before the employer is assigned the standard rate;
  540  and
  541         3.2. The employer entitled to a rate reduction must have at
  542  least one annual payroll as defined in subparagraph (b)1. unless
  543  the employer is eligible for additional credit under the Federal
  544  Unemployment Tax Act. If the Federal Unemployment Tax Act is
  545  amended or repealed in a manner affecting credit under the
  546  federal act, this section applies only to the extent that
  547  additional credit is allowed against the payment of the tax
  548  imposed by the Federal Unemployment Tax act.
  549  
  550  The tax collection service provider shall assign an earned
  551  contribution rate to an employer for under subparagraph 1. the
  552  quarter immediately after the quarter in which all
  553  contributions, reimbursements, interest, and penalties are paid
  554  in full and all work records requested pursuant to s. 443.171(5)
  555  have been produced for inspection and copying by the Department
  556  of Economic Opportunity or the tax collection service provider.
  557         Section 11. Effective January 1, 2015, paragraph (a) of
  558  subsection (1) and paragraph (b) of subsection (2) of section
  559  443.141, Florida Statutes, are amended to read:
  560         443.141 Collection of contributions and reimbursements.—
  561         (1) PAST DUE CONTRIBUTIONS AND REIMBURSEMENTS; DELINQUENT,
  562  ERRONEOUS, INCOMPLETE, OR INSUFFICIENT REPORTS.—
  563         (a) Interest.—Contributions or reimbursements unpaid on the
  564  date due bear interest at the rate of 1 percent per month
  565  through December 31, 2014. Beginning January 1, 2015, the
  566  interest rate shall be calculated in accordance with s. 213.235,
  567  except that the rate of interest may not exceed 1 percent per
  568  month from and after the that date due until payment plus
  569  accrued interest is received by the tax collection service
  570  provider, unless the service provider finds that the employing
  571  unit has good reason for failing to pay the contributions or
  572  reimbursements when due. Interest collected under this
  573  subsection must be paid into the Special Employment Security
  574  Administration Trust Fund.
  575         (2) REPORTS, CONTRIBUTIONS, APPEALS.—
  576         (b) Hearings.—The determination and assessment are final 20
  577  15 days after the date the assessment is mailed unless the
  578  employer files with the tax collection service provider within
  579  the 20 15 days a written protest and petition for hearing
  580  specifying the objections thereto. The tax collection service
  581  provider shall promptly review each petition and may reconsider
  582  its determination and assessment in order to resolve the
  583  petitioner’s objections. The tax collection service provider
  584  shall forward each unresolved petition remaining unresolved to
  585  the department for a hearing on the objections. Upon receipt of
  586  a petition, the department shall schedule a hearing and notify
  587  the petitioner of the time and place of the hearing. The
  588  department may appoint special deputies to conduct hearings who
  589  shall and to submit their findings together with a transcript of
  590  the proceedings before them and their recommendations to the
  591  department for its final order. Special deputies are subject to
  592  the prohibition against ex parte communications in s. 120.66. At
  593  any hearing conducted by the department or its special deputy,
  594  evidence may be offered to support the determination and
  595  assessment or to prove it is incorrect. In order to prevail,
  596  however, the petitioner must either prove that the determination
  597  and assessment are incorrect or file full and complete corrected
  598  reports. Evidence may also be submitted at the hearing to rebut
  599  the determination by the tax collection service provider that
  600  the petitioner is an employer under this chapter. Upon evidence
  601  taken before it or upon the transcript submitted to it with the
  602  findings and recommendation of its special deputy, the
  603  department shall either set aside the tax collection service
  604  provider’s determination that the petitioner is an employer
  605  under this chapter or reaffirm the determination. The amounts
  606  assessed under the final order, together with interest and
  607  penalties, must be paid within 15 days after notice of the final
  608  order is mailed to the employer, unless judicial review is
  609  instituted in a case of status determination. Amounts due when
  610  the status of the employer is in dispute are payable within 15
  611  days after the entry of an order by the court affirming the
  612  determination. However, a any determination that an employing
  613  unit is not an employer under this chapter does not affect the
  614  benefit rights of an any individual as determined by an appeals
  615  referee or the commission unless:
  616         1. The individual is made a party to the proceedings before
  617  the special deputy; or
  618         2. The decision of the appeals referee or the commission
  619  has not become final or the employing unit and the department
  620  were not made parties to the proceedings before the appeals
  621  referee or the commission.
  622         Section 12. Except as otherwise expressly provided in this
  623  act, this act shall take effect upon becoming a law.
  624