| 1 | The Committee on Appropriations recommends the following: |
| 2 |
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| 3 | Committee Substitute |
| 4 | Remove the entire bill and insert: |
| 5 | A bill to be entitled |
| 6 | An act relating to the annual intangible personal property |
| 7 | tax; amending s. 199.032, F.S.; reducing the tax rate for |
| 8 | one year; providing for reversion of the tax rate; |
| 9 | providing construction; providing an effective date. |
| 10 |
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| 11 | WHEREAS, in 1998, the Legislature enacted chapter 98-132, |
| 12 | Laws of Florida, which raised the minimum payment of intangible |
| 13 | tax due from $5 to $60, exempted one-third of accounts |
| 14 | receivable from the tax, and expressed the Legislature's intent |
| 15 | to completely exempt accounts receivable from the tax, and |
| 16 | WHEREAS, in 1999, the Legislature enacted chapter 99?243, |
| 17 | Laws of Florida, which reduced the rate of the tax to 1.5 mills, |
| 18 | increased the exemption for accounts receivable to two-thirds, |
| 19 | and again expressed the Legislature's intent to completely |
| 20 | exempt accounts receivable from the tax on January 1, 2001, and |
| 21 | WHEREAS, in 2000, the Legislature enacted chapter 2000-173, |
| 22 | Laws of Florida, which further reduced the rate of the tax to 1 |
| 23 | mill and completely exempted accounts receivable from the tax, |
| 24 | and |
| 25 | WHEREAS, in 2001, the Legislature enacted chapter 2001?225, |
| 26 | Laws of Florida, which increased the exemption against the |
| 27 | annual tax to $250,000 for each natural taxpayer and each |
| 28 | spouse, and created a $250,000 exemption for all other taxpayers |
| 29 | commencing January 1, 2002, and |
| 30 | WHEREAS, financial circumstances in December 2001 resulted |
| 31 | in the Florida Legislature delaying the effective date of the |
| 32 | changes enacted in chapter 2001?225, Laws of Florida, until the |
| 33 | 2004 tax year, and |
| 34 | WHEREAS, through these enactments, the Legislature has |
| 35 | previously demonstrated its commitment to reducing the tax |
| 36 | burden of Floridians and to completely phasing out the tax as |
| 37 | soon as possible, and |
| 38 | WHEREAS, the current Florida Legislature is also committed |
| 39 | to the goals of reducing the intangible tax burden and phasing |
| 40 | out the intangible tax as soon as possible, and |
| 41 | WHEREAS, the Legislature is in a position to currently |
| 42 | enact a further reduction in the intangible tax, NOW, THEREFORE, |
| 43 |
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| 44 | Be It Enacted by the Legislature of the State of Florida: |
| 45 |
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| 46 | Section 1. Section 199.032, Florida Statutes, is amended |
| 47 | to read: |
| 48 | 199.032 Levy of annual tax.--An annual tax of 0.66 1 mill |
| 49 | is imposed on each dollar of the just valuation of all |
| 50 | intangible personal property that has a taxable situs in this |
| 51 | state, except for notes and other obligations for the payment of |
| 52 | money, other than bonds, which are secured by mortgage, deed of |
| 53 | trust, or other lien upon real property situated in the state. |
| 54 | This tax shall be assessed and collected as provided in this |
| 55 | chapter. |
| 56 | Section 2. The amendment of s. 199.032, Florida Statutes, |
| 57 | by this act shall expire on December 31, 2005, and the text of |
| 58 | that section shall revert to that in existence on December 31, |
| 59 | 2004, except that any amendments to such text enacted other than |
| 60 | by this act shall be preserved and continue to operate to the |
| 61 | extent that such amendments are not dependent upon the portions |
| 62 | of such text which expired pursuant to the provisions of this |
| 63 | act. |
| 64 | Section 3. This act shall take effect January 1, 2005. |