Senate Bill 0700
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 1999                                   SB 700
    By Senator Forman
    32-533-99
  1                      A bill to be entitled
  2         An act relating to the tax on sales, use, and
  3         other transactions; amending s. 212.08, F.S.;
  4         expanding the exemption for veterans' groups;
  5         providing an effective date.
  6
  7  Be It Enacted by the Legislature of the State of Florida:
  8
  9         Section 1.  Paragraph (o) of subsection (7) of section
10  212.08, Florida Statutes, 1998 Supplement, is amended to read:
11         212.08  Sales, rental, use, consumption, distribution,
12  and storage tax; specified exemptions.--The sale at retail,
13  the rental, the use, the consumption, the distribution, and
14  the storage to be used or consumed in this state of the
15  following are hereby specifically exempt from the tax imposed
16  by this chapter.
17         (7)  MISCELLANEOUS EXEMPTIONS.--
18         (o)  Religious, charitable, scientific, educational,
19  and veterans' institutions and organizations.--
20         1.  There are exempt from the tax imposed by this
21  chapter transactions involving:
22         a.  Sales or leases directly to churches or sales or
23  leases of tangible personal property by churches;
24         b.  Sales or leases to nonprofit religious, nonprofit
25  charitable, nonprofit scientific, or nonprofit educational
26  institutions when used in carrying on their customary
27  nonprofit religious, nonprofit charitable, nonprofit
28  scientific, or nonprofit educational activities, including
29  church cemeteries; and
30         c.  Sales or leases to the state headquarters of
31  qualified veterans' organizations and the state headquarters
                                  1
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 1999                                   SB 700
    32-533-99
  1  of their auxiliaries when used in carrying on their customary
  2  veterans' organization activities. If a qualified veterans'
  3  organization or its auxiliary does not maintain a permanent
  4  state headquarters, then transactions involving sales or
  5  leases to such organization and used to maintain the office of
  6  the highest ranking state official are exempt from the tax
  7  imposed by this chapter.
  8         2.  The provisions of this section authorizing
  9  exemptions from tax shall be strictly defined, limited, and
10  applied in each category as follows:
11         a.  "Religious institutions" means churches,
12  synagogues, and established physical places for worship at
13  which nonprofit religious services and activities are
14  regularly conducted and carried on. The term "religious
15  institutions" includes nonprofit corporations the sole purpose
16  of which is to provide free transportation services to church
17  members, their families, and other church attendees. The term
18  "religious institutions" also includes state, district, or
19  other governing or administrative offices the function of
20  which is to assist or regulate the customary activities of
21  religious organizations or members. The term "religious
22  institutions" also includes any nonprofit corporation which is
23  qualified as nonprofit pursuant to s. 501(c)(3), Internal
24  Revenue Code of 1986, as amended, which owns and operates a
25  Florida television station, at least 90 percent of the
26  programming of which station consists of programs of a
27  religious nature, and the financial support for which,
28  exclusive of receipts for broadcasting from other nonprofit
29  organizations, is predominantly from contributions from the
30  general public. The term "religious institutions" also
31  includes any nonprofit corporation which is qualified as
                                  2
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 1999                                   SB 700
    32-533-99
  1  nonprofit pursuant to s. 501(c)(3), Internal Revenue Code of
  2  1986, as amended, which provides regular religious services to
  3  Florida state prisoners and which from its own established
  4  physical place of worship, operates a ministry providing
  5  worship and services of a charitable nature to the community
  6  on a weekly basis.  The term "religious institutions" also
  7  includes any nonprofit corporation which is qualified as
  8  nonprofit pursuant to s. 501(c)(3), Internal Revenue Code of
  9  1986, as amended, the primary activity of which is making and
10  distributing audio recordings of religious scriptures and
11  teachings to blind or visually impaired persons at no charge.
12  The term "religious institutions" also includes any nonprofit
13  corporation that is qualified as nonprofit pursuant to s.
14  501(c)(3), Internal Revenue Code of 1986, as amended, the sole
15  or primary function of which is to provide, upon invitation,
16  nonprofit religious services, evangelistic services, religious
17  education, administration assistance, or missionary assistance
18  for a church, synagogue, or established physical place of
19  worship at which nonprofit religious services and activities
20  are regularly conducted.
21         b.  "Charitable institutions" means only nonprofit
22  corporations qualified as nonprofit pursuant to s. 501(c)(3),
23  Internal Revenue Code of 1954, as amended, and other nonprofit
24  entities, the sole or primary function of which is to provide,
25  or to raise funds for organizations which provide, one or more
26  of the following services if a reasonable percentage of such
27  service is provided free of charge, or at a substantially
28  reduced cost, to persons, animals, or organizations that are
29  unable to pay for such service:
30         (I)  Medical aid for the relief of disease, injury, or
31  disability;
                                  3
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 1999                                   SB 700
    32-533-99
  1         (II)  Regular provision of physical necessities such as
  2  food, clothing, or shelter;
  3         (III)  Services for the prevention of or rehabilitation
  4  of persons from alcoholism or drug abuse; the prevention of
  5  suicide; or the alleviation of mental, physical, or sensory
  6  health problems;
  7         (IV)  Social welfare services including adoption
  8  placement, child care, community care for the elderly, and
  9  other social welfare services which clearly and substantially
10  benefit a client population which is disadvantaged or suffers
11  a hardship;
12         (V)  Medical research for the relief of disease,
13  injury, or disability;
14         (VI)  Legal services; or
15         (VII)  Food, shelter, or medical care for animals or
16  adoption services, cruelty investigations, or education
17  programs concerning animals;
18
19  and the term includes groups providing volunteer staff to
20  organizations designated as charitable institutions under this
21  sub-subparagraph; nonprofit organizations the sole or primary
22  purpose of which is to coordinate, network, or link other
23  institutions designated as charitable institutions under this
24  sub-subparagraph with those persons, animals, or organizations
25  in need of their services; and nonprofit national, state,
26  district, or other governing, coordinating, or administrative
27  organizations the sole or primary purpose of which is to
28  represent or regulate the customary activities of other
29  institutions designated as charitable institutions under this
30  sub-subparagraph.  Notwithstanding any other requirement of
31  this section, any blood bank that relies solely upon volunteer
                                  4
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 1999                                   SB 700
    32-533-99
  1  donations of blood and tissue, that is licensed under chapter
  2  483, and that qualifies as tax exempt under s. 501(c)(3) of
  3  the Internal Revenue Code constitutes a charitable institution
  4  and is exempt from the tax imposed by this chapter. Sales to a
  5  health system foundation, qualified as nonprofit pursuant to
  6  s. 501(c)(3), Internal Revenue Code of 1986, as amended, which
  7  filed an application for exemption with the department prior
  8  to November 15, 1997, and which application is subsequently
  9  approved, shall be exempt as to any unpaid taxes on purchases
10  made from November 14, 1990, to December 31, 1997.
11         c.  "Scientific organizations" means scientific
12  organizations which hold current exemptions from federal
13  income tax under s. 501(c)(3) of the Internal Revenue Code and
14  also means organizations the purpose of which is to protect
15  air and water quality or the purpose of which is to protect
16  wildlife and which hold current exemptions from the federal
17  income tax under s. 501(c)(3) of the Internal Revenue Code.
18         d.  "Educational institutions" means state
19  tax-supported or parochial, church and nonprofit private
20  schools, colleges, or universities which conduct regular
21  classes and courses of study required for accreditation by, or
22  membership in, the Southern Association of Colleges and
23  Schools, the Department of Education, the Florida Council of
24  Independent Schools, or the Florida Association of Christian
25  Colleges and Schools, Inc., or nonprofit private schools which
26  conduct regular classes and courses of study accepted for
27  continuing education credit by a board of the Division of
28  Medical Quality Assurance of the Department of Health or which
29  conduct regular classes and courses of study accepted for
30  continuing education credit by the American Medical
31  Association. Nonprofit libraries, art galleries, performing
                                  5
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 1999                                   SB 700
    32-533-99
  1  arts centers that provide educational programs to school
  2  children, which programs involve performances or other
  3  educational activities at the performing arts center and serve
  4  a minimum of 50,000 school children a year, and museums open
  5  to the public are defined as educational institutions and are
  6  eligible for exemption. The term "educational institutions"
  7  includes private nonprofit organizations the purpose of which
  8  is to raise funds for schools teaching grades kindergarten
  9  through high school, colleges, and universities. The term
10  "educational institutions" includes any nonprofit newspaper of
11  free or paid circulation primarily on university or college
12  campuses which holds a current exemption from federal income
13  tax under s. 501(c)(3) of the Internal Revenue Code, and any
14  educational television or radio network or system established
15  pursuant to s. 229.805 or s. 229.8051 and any nonprofit
16  television or radio station which is a part of such network or
17  system and which holds a current exemption from federal income
18  tax under s. 501(c)(3) of the Internal Revenue Code. The term
19  "educational institutions" also includes state, district, or
20  other governing or administrative offices the function of
21  which is to assist or regulate the customary activities of
22  educational organizations or members. The term "educational
23  institutions" also includes a nonprofit educational cable
24  consortium which holds a current exemption from federal income
25  tax under s. 501(c)(3) of the Internal Revenue Code of 1986,
26  as amended, whose primary purpose is the delivery of
27  educational and instructional cable television programming and
28  whose members are composed exclusively of educational
29  organizations which hold a valid consumer certificate of
30  exemption and which are either an educational institution as
31  defined in this sub-subparagraph, or qualified as a nonprofit
                                  6
CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 1999                                   SB 700
    32-533-99
  1  organization pursuant to s. 501(c)(3) of the Internal Revenue
  2  Code of 1986, as amended.
  3         e.  "Veterans' organizations" means nationally
  4  chartered or recognized veterans' organizations, including,
  5  but not limited to, Florida chapters of the Paralyzed Veterans
  6  of America, Catholic War Veterans of the U.S.A., Jewish War
  7  Veterans of the U.S.A., and the Disabled American Veterans,
  8  Department of Florida, Inc., which hold current exemptions
  9  from federal income tax under s. 501(c)(4) or (19) of the
10  Internal Revenue Code.
11
12  Exemptions provided to any entity by this subsection shall not
13  inure to any transaction otherwise taxable under this chapter
14  when payment is made by a representative or employee of such
15  entity by any means, including, but not limited to, cash,
16  check, or credit card even when that representative or
17  employee is subsequently reimbursed by such entity.
18         Section 2.  This act shall take effect July 1, 1999.
19
20            *****************************************
21                          SENATE SUMMARY
22    Expands the exemption from the tax on sales, use, and
      other transactions which is provided to veterans' groups,
23    so that the exemption applies to all qualified veterans'
      organizations, as defined in s. 212.08, F.S., and not
24    just to the state headquarters.
25
26
27
28
29
30
31
                                  7