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House Bill 0117

Florida House of Representatives - 1997 HB 117 By Representative Culp 1 A bill to be entitled 2 An act relating to tax on sales, use, and other 3 transactions; amending s. 212.08, F.S.; 4 providing that certain charitable institutions 5 which received a temporary extension of their 6 consumer's certificate of exemption shall be 7 exempt from said tax; providing an effective 8 date. 9 10 Be It Enacted by the Legislature of the State of Florida: 11 12 Section 1. Paragraph (o) of subsection (7) of section 13 212.08, Florida Statutes, 1996 Supplement, is amended to read: 14 212.08 Sales, rental, use, consumption, distribution, 15 and storage tax; specified exemptions.--The sale at retail, 16 the rental, the use, the consumption, the distribution, and 17 the storage to be used or consumed in this state of the 18 following are hereby specifically exempt from the tax imposed 19 by this part. 20 (7) MISCELLANEOUS EXEMPTIONS.-- 21 (o) Religious, charitable, scientific, educational, 22 and veterans' institutions and organizations.-- 23 1. There are exempt from the tax imposed by this part 24 transactions involving: 25 a. Sales or leases directly to churches or sales or 26 leases of tangible personal property by churches; 27 b. Sales or leases to nonprofit religious, nonprofit 28 charitable, nonprofit scientific, or nonprofit educational 29 institutions when used in carrying on their customary 30 nonprofit religious, nonprofit charitable, nonprofit 31 1 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 117 569-110B-97 1 scientific, or nonprofit educational activities, including 2 church cemeteries; and 3 c. Sales or leases to the state headquarters of 4 qualified veterans' organizations and the state headquarters 5 of their auxiliaries when used in carrying on their customary 6 veterans' organization activities. If a qualified veterans' 7 organization or its auxiliary does not maintain a permanent 8 state headquarters, then transactions involving sales or 9 leases to such organization and used to maintain the office of 10 the highest ranking state official are exempt from the tax 11 imposed by this part. 12 2. The provisions of this section authorizing 13 exemptions from tax shall be strictly defined, limited, and 14 applied in each category as follows: 15 a. "Religious institutions" means churches, 16 synagogues, and established physical places for worship at 17 which nonprofit religious services and activities are 18 regularly conducted and carried on. The term "religious 19 institutions" includes nonprofit corporations the sole purpose 20 of which is to provide free transportation services to church 21 members, their families, and other church attendees. The term 22 "religious institutions" also includes state, district, or 23 other governing or administrative offices the function of 24 which is to assist or regulate the customary activities of 25 religious organizations or members. The term "religious 26 institutions" also includes any nonprofit corporation which is 27 qualified as nonprofit pursuant to s. 501(c)(3), United States 28 Internal Revenue Code of 1986, as amended, which owns and 29 operates a Florida television station, at least 90 percent of 30 the programming of which station consists of programs of a 31 religious nature, and the financial support for which, 2 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 117 569-110B-97 1 exclusive of receipts for broadcasting from other nonprofit 2 organizations, is predominantly from contributions from the 3 general public. The term "religious institutions" also 4 includes any nonprofit corporation which is qualified as 5 nonprofit pursuant to s. 501(c)(3), United States Internal 6 Revenue Code of 1986, as amended, which provides regular 7 religious services to Florida state prisoners and which from 8 its own established physical place of worship, operates a 9 ministry providing worship and services of a charitable nature 10 to the community on a weekly basis. 11 b. "Charitable institutions" means only nonprofit 12 corporations qualified as nonprofit pursuant to s. 501(c)(3), 13 United States Internal Revenue Code of 1954, as amended, and 14 other nonprofit entities, the sole or primary function of 15 which is to provide, or to raise funds for organizations which 16 provide, one or more of the following services if a reasonable 17 percentage of such service is provided free of charge, or at a 18 substantially reduced cost, to persons, animals, or 19 organizations that are unable to pay for such service: 20 (I) Medical aid for the relief of disease, injury, or 21 disability; 22 (II) Regular provision of physical necessities such as 23 food, clothing, or shelter; 24 (III) Services for the prevention of or rehabilitation 25 of persons from alcoholism or drug abuse; the prevention of 26 suicide; or the alleviation of mental, physical, or sensory 27 health problems; 28 (IV) Social welfare services including adoption 29 placement, child care, community care for the elderly, and 30 other social welfare services which clearly and substantially 31 3 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 117 569-110B-97 1 benefit a client population which is disadvantaged or suffers 2 a hardship; 3 (V) Medical research for the relief of disease, 4 injury, or disability; 5 (VI) Legal services; or 6 (VII) Food, shelter, or medical care for animals or 7 adoption services, cruelty investigations, or education 8 programs concerning animals; 9 10 and the term includes groups providing volunteer staff to 11 organizations designated as charitable institutions under this 12 sub-subparagraph; nonprofit organizations the sole or primary 13 purpose of which is to coordinate, network, or link other 14 institutions designated as charitable institutions under this 15 sub-subparagraph with those persons, animals, or organizations 16 in need of their services; and nonprofit national, state, 17 district, or other governing, coordinating, or administrative 18 organizations the sole or primary purpose of which is to 19 represent or regulate the customary activities of other 20 institutions designated as charitable institutions under this 21 sub-subparagraph. Notwithstanding any other requirement of 22 this section, any blood bank that relies solely upon volunteer 23 donations of blood and tissue, that is licensed under chapter 24 483, and that qualifies as tax exempt under s. 501(c)(3) of 25 the Internal Revenue Code constitutes a charitable institution 26 and is exempt from the tax imposed by this part. 27 Notwithstanding any other requirement of this paragraph, a 28 charitable institution which was facing revocation of its 29 consumer's certificate of exemption during the 1996 Florida 30 legislative session and which, through intervention of the 31 department's taxpayer rights advocate, received a temporary 4 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 117 569-110B-97 1 extension of its consumer's certificate of exemption to the 2 end of the 1996 Florida legislative session, including, but 3 not limited to, the Gasparilla Distance Classic Association, 4 Inc., shall be exempt from the tax imposed by this chapter. 5 c. "Scientific organizations" means scientific 6 organizations which hold current exemptions from federal 7 income tax under s. 501(c)(3) of the Internal Revenue Code and 8 also means organizations the purpose of which is to protect 9 air and water quality or the purpose of which is to protect 10 wildlife and which hold current exemptions from the federal 11 income tax under s. 501(c)(3) of the Internal Revenue Code. 12 d. "Educational institutions" means state 13 tax-supported or parochial, church and nonprofit private 14 schools, colleges, or universities which conduct regular 15 classes and courses of study required for accreditation by, or 16 membership in, the Southern Association of Colleges and 17 Schools, the Department of Education, the Florida Council of 18 Independent Schools, or the Florida Association of Christian 19 Colleges and Schools, Inc., or nonprofit private schools which 20 conduct regular classes and courses of study accepted for 21 continuing education credit by a Board of the Division of 22 Medical Quality Assurance of the Department of Business and 23 Professional Regulation or which conduct regular classes and 24 courses of study accepted for continuing education credit by 25 the American Medical Association. Nonprofit libraries, art 26 galleries, and museums open to the public are defined as 27 educational institutions and are eligible for exemption. The 28 term "educational institutions" includes private nonprofit 29 organizations the purpose of which is to raise funds for 30 schools teaching grades kindergarten through high school, 31 colleges, and universities. The term "educational 5 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 117 569-110B-97 1 institutions" includes any nonprofit newspaper of free or paid 2 circulation primarily on university or college campuses which 3 holds a current exemption from federal income tax under s. 4 501(c)(3) of the Internal Revenue Code, and any educational 5 television or radio network or system established pursuant to 6 s. 229.805 or s. 229.8051 and any nonprofit television or 7 radio station which is a part of such network or system and 8 which holds a current exemption from federal income tax under 9 s. 501(c)(3) of the Internal Revenue Code. The term 10 "educational institutions" also includes state, district, or 11 other governing or administrative offices the function of 12 which is to assist or regulate the customary activities of 13 educational organizations or members. The term "educational 14 institutions" also includes a nonprofit educational cable 15 consortium which holds a current exemption from federal income 16 tax under s. 501(c)(3) of the Internal Revenue Code of 1986, 17 as amended, whose primary purpose is the delivery of 18 educational and instructional cable television programming and 19 whose members are composed exclusively of educational 20 organizations which hold a valid consumer certificate of 21 exemption and which are either an educational institution as 22 defined in this sub-subparagraph, or qualified as a nonprofit 23 organization pursuant to s. 501(c)(3) of the Internal Revenue 24 Code of 1986, as amended. 25 e. "Veterans' organizations" means nationally 26 chartered or recognized veterans' organizations, including, 27 but not limited to, Florida chapters of the Paralyzed Veterans 28 of America, Catholic War Veterans of the U.S.A., Jewish War 29 Veterans of the U.S.A., and the Disabled American Veterans, 30 Department of Florida, Inc., which hold current exemptions 31 6 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 117 569-110B-97 1 from federal income tax under s. 501(c)(4) or (19) of the 2 Internal Revenue Code. 3 Section 2. This act shall take effect upon becoming a 4 law. 5 6 ***************************************** 7 HOUSE SUMMARY 8 Provides that certain charitable institutions, including 9 the Gasparilla Distance Classic Association, Inc., which received a temporary extension of their sales tax 10 exemption certificate to the end of the 1996 legislative session, shall be exempt from said tax. 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 7