Senate Bill 2402

CODING: Words stricken are deletions; words underlined are additions.



    Florida Senate - 2000                                  SB 2402

    By Senator Sebesta





    20-1643-00

  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         providing that the exemption set forth in s.

  5         212.08(7)(eee), F.S., for certain repair and

  6         labor charges applies to industries classified

  7         under SIC Code 35; provides for retroactivity;

  8         provides an effective date.

  9

10  Be It Enacted by the Legislature of the State of Florida:

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12         Section 1.  Paragraph (eee) of subsection (7) of

13  section 212.08, Florida Statutes, 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 chapter.

20         (7)  MISCELLANEOUS EXEMPTIONS.--

21         (eee)  Certain repair and labor charges.--

22         1.  Subject to the provisions of subparagraphs 2. and

23  3., there is exempt from the tax imposed by this chapter all

24  labor charges for the repair of, and parts and materials used

25  in the repair of and incorporated into, industrial machinery

26  and equipment which is used for the manufacture, processing,

27  compounding, or production, or production and shipping of

28  items of tangible personal property at a fixed location within

29  this state.

30         2.  This exemption applies only to industries

31  classified under SIC Industry Major Group Numbers 10, 12, 13,

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CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2000                                  SB 2402
    20-1643-00




  1  14, 20, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34,

  2  35, 36, 37, 38, and 39 and Industry Group Number 212. As used

  3  in this subparagraph, "SIC" means those classifications

  4  contained in the Standard Industrial Classification Manual,

  5  1987, as published by the Office of Management and Budget,

  6  Executive Office of the President.

  7         3.  This exemption shall be applied as follows:

  8         a.  Beginning July 1, 1999, 25 percent of such charges

  9  for repair parts and labor shall be exempt.

10         b.  Beginning July 1, 2000, 50 percent of such charges

11  for repair parts and labor shall be exempt.

12         c.  Beginning July 1, 2001, 75 percent of such charges

13  for repair parts and labor shall be exempt.

14         d.  Beginning July 1, 2002, 100 percent of such charges

15  for repair parts and labor shall be exempt.

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17  Exemptions provided to any entity by this subsection shall not

18  inure to any transaction otherwise taxable under this chapter

19  when payment is made by a representative or employee of such

20  entity by any means, including, but not limited to, cash,

21  check, or credit card even when that representative or

22  employee is subsequently reimbursed by such entity.

23         Section 2.  The amendment to section 212.08(7)(eee),

24  Florida Statutes, which is set forth in section 1 of this act,

25  providing that the exemption from the tax on sales, use, and

26  other transactions for certain repair and labor charges

27  applies to industries classified under SIC Industry Major

28  Group Number 35, is remedial in nature and applies

29  retroactively as if SIC Code 35 had been included effective

30  July 1, 1999.

31         Section 3.  This act shall take effect July 1, 2000.

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CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2000                                  SB 2402
    20-1643-00




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  2                          SENATE SUMMARY

  3    Provides that the exemption from the tax on sales, use,
      and other transactions which is set forth in s.
  4    212.08(7)(eee), F.S., applies to industries classified
      under SIC Code 35. Provides that this amendment is
  5    remedial and that the exemption provided in this act is
      effective retroactively from July 1, 1999.
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