Florida Senate - 2015                                    SB 1230
       
       
        
       By Senator Hays
       
       
       
       
       
       11-01405A-15                                          20151230__
    1                        A bill to be entitled                      
    2         An act relating to the tax on commercial real
    3         property; amending s. 212.031, F.S.; providing certain
    4         exemptions from the tax imposed on rental or license
    5         fees charged for the use of commercial real property;
    6         providing for the future repeal of s. 212.031, F.S.,
    7         relating to the imposition of a tax on the rental or
    8         license fees charged for the use of commercial real
    9         property; amending ss. 212.0598, 212.0602, 288.1258,
   10         338.234, and 341.840, F.S.; conforming provisions to
   11         changes made by the act; conforming cross-references;
   12         providing effective dates.
   13          
   14  Be It Enacted by the Legislature of the State of Florida:
   15  
   16         Section 1. Section 212.031, Florida Statutes, is amended to
   17  read:
   18         212.031 Tax on rental or license fee for use of real
   19  property.—
   20         (1)(a) It is declared to be the legislative intent that
   21  every person is exercising a taxable privilege who engages in
   22  the business of renting, leasing, letting, or granting a license
   23  for the use of any real property unless such property is:
   24         1. Assessed as agricultural property under s. 193.461.
   25         2. Used exclusively as dwelling units.
   26         3. Property subject to tax on parking, docking, or storage
   27  spaces under s. 212.03(6).
   28         4. Recreational property or the common elements of a
   29  condominium when subject to a lease between the developer or
   30  owner thereof and the condominium association in its own right
   31  or as agent for the owners of individual condominium units or
   32  the owners of individual condominium units. However, only the
   33  lease payments on such property shall be exempt from the tax
   34  imposed by this chapter, and any other use made by the owner or
   35  the condominium association shall be fully taxable under this
   36  chapter.
   37         5. A public or private street or right-of-way and poles,
   38  conduits, fixtures, and similar improvements located on such
   39  streets or rights-of-way, occupied or used by a utility or
   40  provider of communications services, as defined by s. 202.11,
   41  for utility or communications or television purposes. For
   42  purposes of this subparagraph, the term “utility” means any
   43  person providing utility services as defined in s. 203.012. This
   44  exception also applies to property, wherever located, on which
   45  the following are placed: towers, antennas, cables, accessory
   46  structures, or equipment, not including switching equipment,
   47  used in the provision of mobile communications services as
   48  defined in s. 202.11. For purposes of this chapter, towers used
   49  in the provision of mobile communications services, as defined
   50  in s. 202.11, are considered to be fixtures.
   51         6. A public street or road which is used for transportation
   52  purposes.
   53         7. Property used at an airport exclusively for the purpose
   54  of aircraft landing or aircraft taxiing or property used by an
   55  airline for the purpose of loading or unloading passengers or
   56  property onto or from aircraft or for fueling aircraft.
   57         8.a. Property used at a port authority, as defined in s.
   58  315.02(2), exclusively for the purpose of oceangoing vessels or
   59  tugs docking, or such vessels mooring on property used by a port
   60  authority for the purpose of loading or unloading passengers or
   61  cargo onto or from such a vessel, or property used at a port
   62  authority for fueling such vessels, or to the extent that the
   63  amount paid for the use of any property at the port is based on
   64  the charge for the amount of tonnage actually imported or
   65  exported through the port by a tenant.
   66         b. The amount charged for the use of any property at the
   67  port in excess of the amount charged for tonnage actually
   68  imported or exported shall remain subject to tax except as
   69  provided in sub-subparagraph a.
   70         9. Property used as an integral part of the performance of
   71  qualified production services. As used in this subparagraph, the
   72  term “qualified production services” means any activity or
   73  service performed directly in connection with the production of
   74  a qualified motion picture, as defined in s. 212.06(1)(b), and
   75  includes:
   76         a. Photography, sound and recording, casting, location
   77  managing and scouting, shooting, creation of special and optical
   78  effects, animation, adaptation (language, media, electronic, or
   79  otherwise), technological modifications, computer graphics, set
   80  and stage support (such as electricians, lighting designers and
   81  operators, greensmen, prop managers and assistants, and grips),
   82  wardrobe (design, preparation, and management), hair and makeup
   83  (design, production, and application), performing (such as
   84  acting, dancing, and playing), designing and executing stunts,
   85  coaching, consulting, writing, scoring, composing,
   86  choreographing, script supervising, directing, producing,
   87  transmitting dailies, dubbing, mixing, editing, cutting,
   88  looping, printing, processing, duplicating, storing, and
   89  distributing;
   90         b. The design, planning, engineering, construction,
   91  alteration, repair, and maintenance of real or personal property
   92  including stages, sets, props, models, paintings, and facilities
   93  principally required for the performance of those services
   94  listed in sub-subparagraph a.; and
   95         c. Property management services directly related to
   96  property used in connection with the services described in sub
   97  subparagraphs a. and b.
   98  
   99  This exemption will inure to the taxpayer upon presentation of
  100  the certificate of exemption issued to the taxpayer under the
  101  provisions of s. 288.1258.
  102         10. Leased, subleased, licensed, or rented to a person
  103  providing food and drink concessionaire services within the
  104  premises of a convention hall, exhibition hall, auditorium,
  105  stadium, theater, arena, civic center, performing arts center,
  106  publicly owned recreational facility, or any business operated
  107  under a permit issued pursuant to chapter 550. A person
  108  providing retail concessionaire services involving the sale of
  109  food and drink or other tangible personal property within the
  110  premises of an airport shall be subject to tax on the rental of
  111  real property used for that purpose, but shall not be subject to
  112  the tax on any license to use the property. For purposes of this
  113  subparagraph, the term “sale” shall not include the leasing of
  114  tangible personal property.
  115         11. Property occupied pursuant to an instrument calling for
  116  payments which the department has declared, in a Technical
  117  Assistance Advisement issued on or before March 15, 1993, to be
  118  nontaxable pursuant to rule 12A-1.070(19)(c), Florida
  119  Administrative Code; provided that this subparagraph shall only
  120  apply to property occupied by the same person before and after
  121  the execution of the subject instrument and only to those
  122  payments made pursuant to such instrument, exclusive of renewals
  123  and extensions thereof occurring after March 15, 1993.
  124         12. Property used or occupied predominantly for space
  125  flight business purposes. As used in this subparagraph, “space
  126  flight business” means the manufacturing, processing, or
  127  assembly of a space facility, space propulsion system, space
  128  vehicle, satellite, or station of any kind possessing the
  129  capacity for space flight, as defined by s. 212.02(23), or
  130  components thereof, and also means the following activities
  131  supporting space flight: vehicle launch activities, flight
  132  operations, ground control or ground support, and all
  133  administrative activities directly related thereto. Property
  134  shall be deemed to be used or occupied predominantly for space
  135  flight business purposes if more than 50 percent of the
  136  property, or improvements thereon, is used for one or more space
  137  flight business purposes. Possession by a landlord, lessor, or
  138  licensor of a signed written statement from the tenant, lessee,
  139  or licensee claiming the exemption shall relieve the landlord,
  140  lessor, or licensor from the responsibility of collecting the
  141  tax, and the department shall look solely to the tenant, lessee,
  142  or licensee for recovery of such tax if it determines that the
  143  exemption was not applicable.
  144         13. Rented, leased, subleased, or licensed to a person
  145  providing telecommunications, data systems management, or
  146  Internet services at a publicly or privately owned convention
  147  hall, civic center, or meeting space at a public lodging
  148  establishment as defined in s. 509.013. This subparagraph
  149  applies only to that portion of the rental, lease, or license
  150  payment that is based upon a percentage of sales, revenue
  151  sharing, or royalty payments and not based upon a fixed price.
  152  This subparagraph is intended to be clarifying and remedial in
  153  nature and shall apply retroactively. This subparagraph does not
  154  provide a basis for an assessment of any tax not paid, or create
  155  a right to a refund of any tax paid, pursuant to this section
  156  before July 1, 2010.
  157         (b) When a lease involves multiple use of real property
  158  wherein a part of the real property is subject to the tax
  159  herein, and a part of the property would be excluded from the
  160  tax under subparagraph (a)1., subparagraph (a)2., subparagraph
  161  (a)3., or subparagraph (a)5., the department shall determine,
  162  from the lease or license and such other information as may be
  163  available, that portion of the total rental charge which is
  164  exempt from the tax imposed by this section. The portion of the
  165  premises leased or rented by a for-profit entity providing a
  166  residential facility for the aged will be exempt on the basis of
  167  a pro rata portion calculated by combining the square footage of
  168  the areas used for residential units by the aged and for the
  169  care of such residents and dividing the resultant sum by the
  170  total square footage of the rented premises. For purposes of
  171  this section, the term “residential facility for the aged” means
  172  a facility that is licensed or certified in whole or in part
  173  under chapter 400, chapter 429, or chapter 651; or that provides
  174  residences to the elderly and is financed by a mortgage or loan
  175  made or insured by the United States Department of Housing and
  176  Urban Development under s. 202, s. 202 with a s. 8 subsidy, s.
  177  221(d)(3) or (4), s. 232, or s. 236 of the National Housing Act;
  178  or other such similar facility that provides residences
  179  primarily for the elderly.
  180         (c) For the exercise of such privilege, a tax is levied in
  181  an amount equal to 6 percent of and on the total rent or license
  182  fee charged for such real property by the person charging or
  183  collecting the rental or license fee. The total rent or license
  184  fee charged for such real property shall include payments for
  185  the granting of a privilege to use or occupy real property for
  186  any purpose and shall include base rent, percentage rents, or
  187  similar charges. Such charges shall be included in the total
  188  rent or license fee subject to tax under this section whether or
  189  not they can be attributed to the ability of the lessor’s or
  190  licensor’s property as used or operated to attract customers.
  191  Payments for intrinsically valuable personal property such as
  192  franchises, trademarks, service marks, logos, or patents are not
  193  subject to tax under this section. In the case of a contractual
  194  arrangement that provides for both payments taxable as total
  195  rent or license fee and payments not subject to tax, the tax
  196  shall be based on a reasonable allocation of such payments and
  197  shall not apply to that portion which is for the nontaxable
  198  payments.
  199         1. Effective January 1, 2016, the tax imposed under this
  200  paragraph does not apply to, and shall not be imposed upon, the
  201  first $10,000 of the total rent or license fee charged by the
  202  lessor.
  203         2. Effective January 1, 2017, the tax imposed under this
  204  paragraph does not apply to, and shall not be imposed upon, the
  205  first $20,000 of the total rent or license fee charged by the
  206  lessor.
  207         3. Effective January 1, 2018, the tax imposed under this
  208  paragraph does not apply to, and shall not be imposed upon, the
  209  first $30,000 of the total rent or license fee charged by the
  210  lessor.
  211         4. Effective January 1, 2019, the tax imposed under this
  212  paragraph does not apply to, and shall not be imposed upon, the
  213  first $40,000 of the total rent or license fee charged by the
  214  lessor.
  215         5. Effective January 1, 2020, the tax imposed under this
  216  paragraph does not apply to, and shall not be imposed upon, the
  217  first $50,000 of the total rent or license fee charged by the
  218  lessor.
  219         6. Effective January 1, 2021, the tax imposed under this
  220  paragraph does not apply to, and shall not be imposed upon, the
  221  first $60,000 of the total rent or license fee charged by the
  222  lessor.
  223         7. Effective January 1, 2022, the tax imposed under this
  224  paragraph does not apply to, and shall not be imposed upon, the
  225  first $70,000 of the total rent or license fee charged by the
  226  lessor.
  227         8. Effective January 1, 2023, the tax imposed under this
  228  paragraph does not apply to, and shall not be imposed upon, the
  229  first $80,000 of the total rent or license fee charged by the
  230  lessor.
  231         9. Effective January 1, 2024, the tax imposed under this
  232  paragraph does not apply to, and shall not be imposed upon, the
  233  first $90,000 of the total rent or license fee charged by the
  234  lessor.
  235         (d) When the rental or license fee of any such real
  236  property is paid by way of property, goods, wares, merchandise,
  237  services, or other thing of value, the tax shall be at the rate
  238  of 6 percent of the value of the property, goods, wares,
  239  merchandise, services, or other thing of value.
  240         1. Effective January 1, 2016, the tax imposed under this
  241  paragraph does not apply to, and shall not be imposed upon, the
  242  first $10,000 of the total rent or license fee charged by the
  243  lessor.
  244         2. Effective January 1, 2017, the tax imposed under this
  245  paragraph does not apply to, and shall not be imposed upon, the
  246  first $20,000 of the total rent or license fee charged by the
  247  lessor.
  248         3. Effective January 1, 2018, the tax imposed under this
  249  paragraph does not apply to, and shall not be imposed upon, the
  250  first $30,000 of the total rent or license fee charged by the
  251  lessor.
  252         4. Effective January 1, 2019, the tax imposed under this
  253  paragraph does not apply to, and shall not be imposed upon, the
  254  first $40,000 of the total rent or license fee charged by the
  255  lessor.
  256         5. Effective January 1, 2020, the tax imposed under this
  257  paragraph does not apply to, and shall not be imposed upon, the
  258  first $50,000 of the total rent or license fee charged by the
  259  lessor.
  260         6. Effective January 1, 2021, the tax imposed under this
  261  paragraph does not apply to, and shall not be imposed upon, the
  262  first $60,000 of the total rent or license fee charged by the
  263  lessor.
  264         7. Effective January 1, 2022, the tax imposed under this
  265  paragraph does not apply to, and shall not be imposed upon, the
  266  first $70,000 of the total rent or license fee charged by the
  267  lessor.
  268         8. Effective January 1, 2023, the tax imposed under this
  269  paragraph does not apply to, and shall not be imposed upon, the
  270  first $80,000 of the total rent or license fee charged by the
  271  lessor.
  272         9. Effective January 1, 2024, the tax imposed under this
  273  paragraph does not apply to, and shall not be imposed upon, the
  274  first $90,000 of the total rent or license fee charged by the
  275  lessor.
  276         (2)(a) The tenant or person actually occupying, using, or
  277  entitled to the use of any property from which the rental or
  278  license fee is subject to taxation under this section shall pay
  279  the tax to his or her immediate landlord or other person
  280  granting the right to such tenant or person to occupy or use
  281  such real property.
  282         (b) It is the further intent of this Legislature that only
  283  one tax be collected on the rental or license fee payable for
  284  the occupancy or use of any such property, that the tax so
  285  collected shall not be pyramided by a progression of
  286  transactions, and that the amount of the tax due the state shall
  287  not be decreased by any such progression of transactions.
  288         (3) The tax imposed by this section shall be in addition to
  289  the total amount of the rental or license fee, shall be charged
  290  by the lessor or person receiving the rent or payment in and by
  291  a rental or license fee arrangement with the lessee or person
  292  paying the rental or license fee, and shall be due and payable
  293  at the time of the receipt of such rental or license fee payment
  294  by the lessor or other person who receives the rental or
  295  payment. Notwithstanding any other provision of this chapter,
  296  the tax imposed by this section on the rental, lease, or license
  297  for the use of a convention hall, exhibition hall, auditorium,
  298  stadium, theater, arena, civic center, performing arts center,
  299  or publicly owned recreational facility to hold an event of not
  300  more than 7 consecutive days’ duration shall be collected at the
  301  time of the payment for that rental, lease, or license but is
  302  not due and payable to the department until the first day of the
  303  month following the last day that the event for which the
  304  payment is made is actually held, and becomes delinquent on the
  305  21st day of that month. The owner, lessor, or person receiving
  306  the rent or license fee shall remit the tax to the department at
  307  the times and in the manner hereinafter provided for dealers to
  308  remit taxes under this chapter. The same duties imposed by this
  309  chapter upon dealers in tangible personal property respecting
  310  the collection and remission of the tax; the making of returns;
  311  the keeping of books, records, and accounts; and the compliance
  312  with the rules and regulations of the department in the
  313  administration of this chapter shall apply to and be binding
  314  upon all persons who manage any leases or operate real property,
  315  hotels, apartment houses, roominghouses, or tourist and trailer
  316  camps and all persons who collect or receive rents or license
  317  fees taxable under this chapter on behalf of owners or lessors.
  318         (4) The tax imposed by this section shall constitute a lien
  319  on the property of the lessee or licensee of any real estate in
  320  the same manner as, and shall be collectible as are, liens
  321  authorized and imposed by ss. 713.68 and 713.69.
  322         (5) When space is subleased to a convention or industry
  323  trade show in a convention hall, exhibition hall, or auditorium,
  324  whether publicly or privately owned, the sponsor who holds the
  325  prime lease is subject to tax on the prime lease and the
  326  sublease is exempt.
  327         (6) The lease or rental of land or a hall or other
  328  facilities by a fair association subject to the provisions of
  329  chapter 616 to a show promoter or prime operator of a carnival
  330  or midway attraction is exempt from the tax imposed by this
  331  section; however, the sublease of land or a hall or other
  332  facilities by the show promoter or prime operator is not exempt
  333  from the provisions of this section.
  334         (7) Utility charges subject to sales tax which are paid by
  335  a tenant to the lessor and which are part of a payment for the
  336  privilege or right to use or occupy real property are exempt
  337  from tax if the lessor has paid sales tax on the purchase of
  338  such utilities and the charges billed by the lessor to the
  339  tenant are separately stated and at the same or a lower price
  340  than those paid by the lessor.
  341         (8) Charges by lessors to a lessee to cancel or terminate a
  342  lease agreement are presumed taxable if the lessor records such
  343  charges as rental income in its books and records. This
  344  presumption can be overcome by the provision of sufficient
  345  documentation by either the lessor or the lessee that such
  346  charges were other than for the rental of real property.
  347         (9) The rental, lease, sublease, or license for the use of
  348  a skybox, luxury box, or other box seats for use during a high
  349  school or college football game is exempt from the tax imposed
  350  by this section when the charge for such rental, lease,
  351  sublease, or license is imposed by a nonprofit sponsoring
  352  organization which is qualified as nonprofit pursuant to s.
  353  501(c)(3) of the Internal Revenue Code.
  354         Section 2. Effective January 1, 2025, section 212.031,
  355  Florida Statutes, is repealed.
  356         Section 3. Effective January 1, 2025, subsection (2) of
  357  section 212.0598, Florida Statutes, is amended to read:
  358         212.0598 Special provisions; air carriers.—
  359         (2) The basis of the tax shall be the ratio of Florida
  360  mileage to total mileage as determined pursuant to chapter 220
  361  and this section. The ratio shall be determined at the close of
  362  the carrier’s preceding fiscal year. However, during the fiscal
  363  year in which the air carrier begins initial operations in this
  364  state, the carrier may determine its mileage apportionment
  365  factor based on an estimated ratio of anticipated revenue miles
  366  in this state to anticipated total revenue miles. In such cases,
  367  the air carrier shall pay additional tax or apply for a refund
  368  based on the actual ratio for that year. The applicable ratio
  369  shall be applied each month to the carrier’s total systemwide
  370  gross purchases of tangible personal property and services
  371  otherwise taxable in Florida. Additionally, the ratio shall be
  372  applied each month to the carrier’s total systemwide payments
  373  for the lease or rental of, or license in, real property used by
  374  the carrier substantially for aircraft maintenance if that
  375  carrier employed, on average, during the previous calendar
  376  quarter in excess of 3,000 full-time equivalent maintenance or
  377  repair employees at one maintenance base that it leases, rents,
  378  or has a license in, in this state. In all other instances, the
  379  tax on real property leased, rented, or licensed by the carrier
  380  shall be as provided in s. 212.031.
  381         Section 4. Effective January 1, 2025, section 212.0602,
  382  Florida Statutes, is amended to read:
  383         212.0602 Education; limited exemption.—To facilitate
  384  investment in education and job training, there is also exempt
  385  from the taxes levied under this chapter, subject to the
  386  provisions of this section, the purchase or lease of materials,
  387  equipment, and other items or the license in or lease of real
  388  property by any entity, institution, or organization that is
  389  primarily engaged in teaching students to perform any of the
  390  activities or services described in former s. 212.031(1)(a)9.,
  391  that conducts classes at a fixed location located in this state,
  392  that is licensed under chapter 1005, and that has at least 500
  393  enrolled students. Any entity, institution, or organization
  394  meeting the requirements of this section shall be deemed to
  395  qualify for the exemptions in former s. ss. 212.031(1)(a)9. and
  396  s. 212.08(5)(f) and (12), and to qualify for an exemption for
  397  its purchase or lease of materials, equipment, and other items
  398  used for education or demonstration of the school’s curriculum,
  399  including supporting operations. Nothing in this section shall
  400  preclude an entity described in this section from qualifying for
  401  any other exemption provided for in this chapter.
  402         Section 5. Effective January 1, 2025, subsections (2) and
  403  (3) of section 288.1258, Florida Statutes, are amended to read:
  404         288.1258 Entertainment industry qualified production
  405  companies; application procedure; categories; duties of the
  406  Department of Revenue; records and reports.—
  407         (2) APPLICATION PROCEDURE.—
  408         (a) The Department of Revenue will review all submitted
  409  applications for the required information. Within 10 working
  410  days after the receipt of a properly completed application, the
  411  Department of Revenue will forward the completed application to
  412  the Office of Film and Entertainment for approval.
  413         (b)1. The Office of Film and Entertainment shall establish
  414  a process by which an entertainment industry production company
  415  may be approved by the office as a qualified production company
  416  and may receive a certificate of exemption from the Department
  417  of Revenue for the sales and use tax exemptions under ss.
  418  212.031, 212.06, and 212.08.
  419         2. Upon determination by the Office of Film and
  420  Entertainment that a production company meets the established
  421  approval criteria and qualifies for exemption, the Office of
  422  Film and Entertainment shall return the approved application or
  423  application renewal or extension to the Department of Revenue,
  424  which shall issue a certificate of exemption.
  425         3. The Office of Film and Entertainment shall deny an
  426  application or application for renewal or extension from a
  427  production company if it determines that the production company
  428  does not meet the established approval criteria.
  429         (c) The Office of Film and Entertainment shall develop,
  430  with the cooperation of the Department of Revenue and local
  431  government entertainment industry promotion agencies, a
  432  standardized application form for use in approving qualified
  433  production companies.
  434         1. The application form shall include, but not be limited
  435  to, production-related information on employment, proposed
  436  budgets, planned purchases of items exempted from sales and use
  437  taxes under ss. 212.031, 212.06, and 212.08, a signed
  438  affirmation from the applicant that any items purchased for
  439  which the applicant is seeking a tax exemption are intended for
  440  use exclusively as an integral part of entertainment industry
  441  preproduction, production, or postproduction activities engaged
  442  in primarily in this state, and a signed affirmation from the
  443  Office of Film and Entertainment that the information on the
  444  application form has been verified and is correct. In lieu of
  445  information on projected employment, proposed budgets, or
  446  planned purchases of exempted items, a production company
  447  seeking a 1-year certificate of exemption may submit summary
  448  historical data on employment, production budgets, and purchases
  449  of exempted items related to production activities in this
  450  state. Any information gathered from production companies for
  451  the purposes of this section shall be considered confidential
  452  taxpayer information and shall be disclosed only as provided in
  453  s. 213.053.
  454         2. The application form may be distributed to applicants by
  455  the Office of Film and Entertainment or local film commissions.
  456         (d) All applications, renewals, and extensions for
  457  designation as a qualified production company shall be processed
  458  by the Office of Film and Entertainment.
  459         (e) In the event that the Department of Revenue determines
  460  that a production company no longer qualifies for a certificate
  461  of exemption, or has used a certificate of exemption for
  462  purposes other than those authorized by this section and chapter
  463  212, the Department of Revenue shall revoke the certificate of
  464  exemption of that production company, and any sales or use taxes
  465  exempted on items purchased or leased by the production company
  466  during the time such company did not qualify for a certificate
  467  of exemption or improperly used a certificate of exemption shall
  468  become immediately due to the Department of Revenue, along with
  469  interest and penalty as provided by s. 212.12. In addition to
  470  the other penalties imposed by law, any person who knowingly and
  471  willfully falsifies an application, or uses a certificate of
  472  exemption for purposes other than those authorized by this
  473  section and chapter 212, commits a felony of the third degree,
  474  punishable as provided in ss. 775.082, 775.083, and 775.084.
  475         (3) CATEGORIES.—
  476         (a)1. A production company may be qualified for designation
  477  as a qualified production company for a period of 1 year if the
  478  company has operated a business in Florida at a permanent
  479  address for a period of 12 consecutive months. Such a qualified
  480  production company shall receive a single 1-year certificate of
  481  exemption from the Department of Revenue for the sales and use
  482  tax exemptions under ss. 212.031, 212.06, and 212.08, which
  483  certificate shall expire 1 year after issuance or upon the
  484  cessation of business operations in the state, at which time the
  485  certificate shall be surrendered to the Department of Revenue.
  486         2. The Office of Film and Entertainment shall develop a
  487  method by which a qualified production company may annually
  488  renew a 1-year certificate of exemption for a period of up to 5
  489  years without requiring the production company to resubmit a new
  490  application during that 5-year period.
  491         3. Any qualified production company may submit a new
  492  application for a 1-year certificate of exemption upon the
  493  expiration of that company’s certificate of exemption.
  494         (b)1. A production company may be qualified for designation
  495  as a qualified production company for a period of 90 days. Such
  496  production company shall receive a single 90-day certificate of
  497  exemption from the Department of Revenue for the sales and use
  498  tax exemptions under ss. 212.031, 212.06, and 212.08, which
  499  certificate shall expire 90 days after issuance, with extensions
  500  contingent upon approval of the Office of Film and
  501  Entertainment. The certificate shall be surrendered to the
  502  Department of Revenue upon its expiration.
  503         2. Any production company may submit a new application for
  504  a 90-day certificate of exemption upon the expiration of that
  505  company’s certificate of exemption.
  506         Section 6. Effective January 1, 2025, section 338.234,
  507  Florida Statutes, is amended to read:
  508         338.234 Granting concessions or selling along the turnpike
  509  system; immunity from taxation.—
  510         (1) The department may enter into contracts or licenses
  511  with any person for the sale of services or products or business
  512  opportunities on the turnpike system, or the turnpike enterprise
  513  may sell services, products, or business opportunities on the
  514  turnpike system, which benefit the traveling public or provide
  515  additional revenue to the turnpike system. Services, business
  516  opportunities, and products authorized to be sold include, but
  517  are not limited to, motor fuel, vehicle towing, and vehicle
  518  maintenance services; food with attendant nonalcoholic
  519  beverages; lodging, meeting rooms, and other business services
  520  opportunities; advertising and other promotional opportunities,
  521  which advertising and promotions must be consistent with the
  522  dignity and integrity of the state; state lottery tickets sold
  523  by authorized retailers; games and amusements that operate by
  524  the application of skill, not including games of chance as
  525  defined in s. 849.16 or other illegal gambling games; Florida
  526  citrus, goods promoting the state, or handmade goods produced
  527  within the state; and travel information, tickets, reservations,
  528  or other related services. However, the department, pursuant to
  529  the grants of authority to the turnpike enterprise under this
  530  section, shall not exercise the power of eminent domain solely
  531  for the purpose of acquiring real property in order to provide
  532  business services or opportunities, such as lodging and meeting
  533  room space on the turnpike system.
  534         (2) The effectuation of the authorized purposes of the
  535  Strategic Intermodal System, created under ss. 339.61-339.65,
  536  and Florida Turnpike Enterprise, created under this chapter, is
  537  for the benefit of the people of the state, for the increase of
  538  their commerce and prosperity, and for the improvement of their
  539  health and living conditions; and, because the system and
  540  enterprise perform essential government functions in
  541  effectuating such purposes, neither the turnpike enterprise nor
  542  any nongovernment lessee or licensee renting, leasing, or
  543  licensing real property from the turnpike enterprise, pursuant
  544  to an agreement authorized by this section, are required to pay
  545  any commercial rental tax imposed under s. 212.031 on any
  546  capital improvements constructed, improved, acquired, installed,
  547  or used for such purposes.
  548         Section 7. Effective January 1, 2025, paragraph (a) of
  549  subsection (3) of section 341.840, Florida Statutes, is amended
  550  to read:
  551         341.840 Tax exemption.—
  552         (3)(a) Purchases or leases of tangible personal property or
  553  real property by the enterprise, excluding agents of the
  554  enterprise, are exempt from taxes imposed by chapter 212 as
  555  provided in s. 212.08(6). Purchases or leases of tangible
  556  personal property that is incorporated into the high-speed rail
  557  system as a component part thereof, as determined by the
  558  enterprise, by agents of the enterprise or the owner of the
  559  high-speed rail system are exempt from sales or use taxes
  560  imposed by chapter 212. Leases, rentals, or licenses to use real
  561  property granted to agents of the enterprise or the owner of the
  562  high-speed rail system are exempt from taxes imposed by s.
  563  212.031 if the real property becomes part of such system. The
  564  exemptions granted in this subsection do not apply to sales,
  565  leases, or licenses by the enterprise, agents of the enterprise,
  566  or the owner of the high-speed rail system.
  567         Section 8. Except as otherwise expressly provided in this
  568  act, this act shall take effect July 1, 2015.