Senate Bill sb0666

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    Florida Senate - 2005                                   SB 666

    By Senator Posey





    24-673A-05

  1                      A bill to be entitled

  2         An act relating to surcharges and taxes on

  3         alcoholic beverages; amending s. 561.501, F.S.;

  4         eliminating the surcharge imposed on the sale

  5         of alcoholic beverages for consumption on the

  6         premises; providing for the future expiration

  7         of provisions governing imposition of the

  8         surcharge; amending s. 561.121, F.S.; requiring

  9         that a portion of the proceeds from certain

10         excise taxes on alcoholic beverages be

11         deposited into the Children and Adolescents

12         Substance Abuse Trust Fund within the

13         Department of Children and Family Services;

14         amending s. 561.025, F.S., relating to the

15         Alcoholic Beverage and Tobacco Trust Fund;

16         conforming provisions to changes made by the

17         act; providing an effective date.

18  

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

20  

21         Section 1.  Section 561.501, Florida Statutes, is

22  amended to read:

23         561.501  Surcharge on sale of alcoholic beverages for

24  consumption on the premises; penalty.--

25         (1)  Notwithstanding s. 561.50 or any other provision

26  of the Beverage Law, a surcharge of 3.34 cents is imposed upon

27  each ounce of liquor and each 4 ounces of wine, a surcharge of

28  2 cents is imposed on each 12 ounces of cider, and a surcharge

29  of 1.34 cents is imposed on each 12 ounces of beer sold at

30  retail for consumption on premises licensed by the division as

31  an alcoholic beverage vendor. However, the surcharges imposed

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    Florida Senate - 2005                                   SB 666
    24-673A-05




 1  under this subsection need not be paid upon such beverages

 2  when they are sold by an organization that is licensed by the

 3  division under s. 561.422 or s. 565.02(4) as an alcoholic

 4  beverage vendor and that is determined by the Internal Revenue

 5  Service to be currently exempt from federal income tax under

 6  s. 501(c)(3), (4), (5), (6), (7), (8), or (19) of the Internal

 7  Revenue Code of 1986, as amended. Effective July 1, 2005, this

 8  surcharge shall no longer be imposed.

 9         (2)  The vendor shall report and remit payments to the

10  division each month by the 15th of the month following the

11  month in which the surcharges are imposed.  For purposes of

12  compensating the retailer for the keeping of prescribed

13  records and the proper accounting and remitting of surcharges

14  imposed under this section, the retailer shall be allowed to

15  deduct from the payment due the state 1 percent of the amount

16  of the surcharge due. Retail records shall be kept on the

17  quantities of all liquor, wine, and beer purchased,

18  inventories, and sales.  However, a collection allowance is

19  not allowed on any collections that are not timely remitted.

20  If by the 20th of the month following the month in which the

21  surcharges are imposed, reports and remittances are not made,

22  the division shall assess a late penalty in the amount of 10

23  percent of the amount due per month for each 30 days, or

24  fraction thereof, after the 20th of the month, not to exceed a

25  total penalty of 50 percent, in the aggregate, of any unpaid

26  surcharges.  The division shall establish, by rule, the

27  required reporting, collection, and accounting procedures.

28  Records must be maintained for 3 years. Failure to accurately

29  and timely remit surcharges imposed under this section is a

30  violation of the Beverage Law.

31  

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    Florida Senate - 2005                                   SB 666
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 1         (3)(a)  The division may compromise a taxpayer's

 2  liability for the surcharge imposed by this section upon the

 3  grounds of doubt as to liability for or collectibility of such

 4  tax.  A taxpayer's liability for penalties as prescribed by

 5  this section may be settled or compromised if the division

 6  finds that the noncompliance is due to reasonable cause and

 7  not to willful negligence, willful neglect, or fraud.  The

 8  division shall maintain records of all compromises, and the

 9  records must state the basis for the compromise.

10         (b)  The division may enter into agreements for

11  scheduling payments of taxes, interest, and penalties

12  prescribed in this section.

13         (c)  The division shall establish by rule guidelines

14  and procedures for administering this section.

15         (4)  If any vendor fails to remit the surcharge, or any

16  portion thereof, by the 20th of the month following the month

17  in which the surcharges are imposed, there shall be added to

18  the amount due interest at the rate of 1 percent per month of

19  the amount due from the date due until paid. Interest on the

20  delinquent tax shall be calculated beginning on the 21st day

21  of the month following the month for which the surcharge is

22  due.

23         (5)  All penalties and interest imposed by this section

24  are payable to and collectible by the division in the same

25  manner as if they were a part of the tax imposed.  The

26  division may settle or compromise any such interest or penalty

27  under paragraph (3)(a).

28         (6)  This section expires July 1, 2008.

29         Section 2.  Subsections (1) and (4) of section 561.121,

30  Florida Statutes, are amended to read:

31         561.121  Deposit of revenue.--

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    Florida Senate - 2005                                   SB 666
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 1         (1)  All state funds collected pursuant to ss. 563.05,

 2  564.06, and 565.12 shall be paid into the State Treasury and

 3  disbursed in the following manner:

 4         (a)1.  Two percent of monthly collections of the excise

 5  taxes on alcoholic beverages established in ss. 563.05,

 6  564.06, and 565.12 shall be deposited into the Alcoholic

 7  Beverage and Tobacco Trust Fund to meet the division's

 8  appropriation for the state fiscal year.

 9         2.  Beginning July 1, 2005, 2.2 percent of monthly

10  collections of the excise taxes on alcoholic beverages

11  established in ss. 563.05, 564.06, and 565.12 shall be

12  deposited into the Children and Adolescents Substance Abuse

13  Trust Fund within the Department of Children and Family

14  Services for the purpose of funding programs directed at

15  reducing and eliminating substance abuse among children and

16  adolescents.

17         3.2.  Beginning July 1, 2004, there is annually

18  distributed $15 million to the Grants and Donations Trust Fund

19  within the Department of Elderly Affairs, and these funds are

20  annually appropriated to support a contract with the Johnnie

21  B. Byrd, Sr., Alzheimer's Center and Research Institute at the

22  University of South Florida for the purposes of conducting

23  research, developing and operating integrated data projects,

24  and providing assistance to memory disorder clinics as

25  established in s. 430.502.

26         4.3.  Beginning July 1, 2004, there is annually

27  distributed $6 million to the Biomedical Research Trust Fund

28  within the Department of Health, and these funds are annually

29  appropriated to the James and Esther King Biomedical Research

30  Program. From these funds, up to $250,000 shall be available

31  

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    Florida Senate - 2005                                   SB 666
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 1  annually for the operating costs of the Florida Center for

 2  Universal Research to Eradicate Disease.

 3         5.4.  Beginning July 1, 2004, there is annually

 4  distributed $9 million to be paid by warrant drawn by the

 5  Chief Financial Officer upon the State Treasury to Florida

 6  State University for the School of Chiropractic Medicine.

 7  Notwithstanding the provisions of chapter 216, until the

 8  School of Chiropractic Medicine is completely staffed and

 9  fully operational, these funds may be used for any purpose by

10  the university.

11         (b)  The remainder of collection shall be credited to

12  the General Revenue Fund.

13         (4)(a)  State funds collected pursuant to s. 561.501

14  shall be paid into the State Treasury and credited to the

15  following accounts:

16         1.  Twenty-seven and two-tenths percent of the

17  surcharge on the sale of alcoholic beverages for consumption

18  on premises shall be transferred to the Children and

19  Adolescents Substance Abuse Trust Fund, which shall remain

20  with the Department of Children and Family Services for the

21  purpose of funding programs directed at reducing and

22  eliminating substance abuse problems among children and

23  adolescents.

24         2.  The remainder of collections shall be credited to

25  the General Revenue Fund.

26         (b)  For the 2004-2005 state fiscal year only, and

27  notwithstanding the provisions of subparagraph (a)1., moneys

28  in the Children and Adolescents Substance Abuse Trust Fund may

29  also be used for the purpose of funding programs directed at

30  reducing and eliminating substance abuse problems among

31  adults. This paragraph expires July 1, 2005.

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    Florida Senate - 2005                                   SB 666
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 1         Section 3.  Section 561.025, Florida Statutes, is

 2  amended to read:

 3         561.025  Alcoholic Beverage and Tobacco Trust

 4  Fund.--There is created within the State Treasury the

 5  Alcoholic Beverage and Tobacco Trust Fund. All funds collected

 6  by the division under ss. 210.15, 210.40, or under s. 569.003

 7  and the Beverage Law with the exception of state funds

 8  collected pursuant to ss. 561.501, 563.05, 564.06, and 565.12

 9  shall be deposited in the State Treasury to the credit of the

10  trust fund, notwithstanding any other provision of law to the

11  contrary.  Moneys deposited to the credit of the trust fund

12  shall be used to operate the division and to provide a

13  proportionate share of the operation of the office of the

14  secretary and the Division of Administration of the Department

15  of Business and Professional Regulation; except that:

16         (1)  The revenue transfer provisions of ss. 561.32 and

17  561.342(1) and (2) shall continue in full force and effect,

18  and the division shall cause such revenue to be returned to

19  the municipality or county in the manner provided for in s.

20  561.32 or s. 561.342(1) and (2); and

21         (2)  Ten percent of the revenues derived from retail

22  tobacco products dealer permit fees collected under s. 569.003

23  shall be transferred to the Department of Education to provide

24  for teacher training and for research and evaluation to reduce

25  and prevent the use of tobacco products by children.

26         Section 4.  This act shall take effect July 1, 2005.

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    Florida Senate - 2005                                   SB 666
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 2                          SENATE SUMMARY

 3    Eliminates, effective July 1, 2005, the surcharge imposed
      on the sale of alcoholic beverages for consumption on the
 4    premises. Requires that certain excise taxes on alcoholic
      beverages be deposited into the Children and Adolescents
 5    Substance Abuse Trust Fund.

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