Senate Bill sb0696c1

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    Florida Senate - 2005                            CS for SB 696

    By the Committee on Government Efficiency Appropriations; and
    Senators Smith, Haridopolos, Fasano, Argenziano and Bullard




    593-2336-05

  1                      A bill to be entitled

  2         An act relating to an exemption from the tax on

  3         sales, use, and other transactions for farm

  4         equipment; amending s. 212.02, F.S.; revising

  5         definitions; amending s. 212.08, F.S.; making

  6         total a partial exemption for certain farm

  7         equipment; amending s. 212.12, F.S.; correcting

  8         a cross-reference to conform; providing an

  9         effective date.

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

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13         Section 1.  Subsections (30) through (34) of section

14  212.02, Florida Statutes, are amended to read:

15         212.02  Definitions.--The following terms and phrases

16  when used in this chapter have the meanings ascribed to them

17  in this section, except where the context clearly indicates a

18  different meaning:

19         (30)  "Power Self-propelled farm equipment" means

20  moving or stationary equipment that contains within itself the

21  means for its own propulsion or power and, including, but not

22  limited to, tractors.

23         (31)  "Power-drawn farm equipment" means equipment that

24  is pulled, dragged, or otherwise attached to self-propelled

25  equipment, including, but not limited to, disks, harrows, hay

26  balers, and mowers.

27         (32)  "Power-driven farm equipment" means moving or

28  stationary equipment that is dependent upon an external power

29  source to perform its functions function, including, but not

30  limited to, conveyors, augers, feeding systems, and pumps.

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    Florida Senate - 2005                            CS for SB 696
    593-2336-05




 1         (31)(33)  "Forest" means the land stocked by trees of

 2  any size used in the production of forest products, or

 3  formerly having such tree cover, and not currently developed

 4  for nonforest use.

 5         (32)(34)  "Agricultural production" means the

 6  production of plants and animals useful to humans, including

 7  the preparation, planting, cultivating, or harvesting of these

 8  products or any other practices necessary to accomplish

 9  production through the harvest phase, and includes

10  aquaculture, horticulture, floriculture, viticulture,

11  forestry, dairy, livestock, poultry, bees, and any and all

12  forms of farm products and farm production.

13         Section 2.  Subsection (3) of section 212.08, Florida

14  Statutes, is amended to read:

15         212.08  Sales, rental, use, consumption, distribution,

16  and storage tax; specified exemptions.--The sale at retail,

17  the rental, the use, the consumption, the distribution, and

18  the storage to be used or consumed in this state of the

19  following are hereby specifically exempt from the tax imposed

20  by this chapter.

21         (3)  EXEMPTIONS, PARTIAL; CERTAIN FARM

22  EQUIPMENT.--There shall be no tax on taxable at the rate of

23  2.5 percent the sale, rental, lease, use, consumption, or

24  storage for use in this state of power self-propelled,

25  power-drawn, or power-driven farm equipment used exclusively

26  on a farm or in a forest in the agricultural production of

27  crops or products as produced by those agricultural industries

28  included in s. 570.02(1), or for fire prevention and

29  suppression work with respect to such crops or products.

30  Harvesting may not be construed to include processing

31  activities. This exemption is not forfeited by moving farm

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    Florida Senate - 2005                            CS for SB 696
    593-2336-05




 1  equipment between farms or forests. However, this exemption

 2  shall not be allowed unless the purchaser, renter, or lessee

 3  signs a certificate stating that the farm equipment is to be

 4  used exclusively on a farm or in a forest for agricultural

 5  production or for fire prevention and suppression, as required

 6  by this subsection. Possession by a seller, lessor, or other

 7  dealer of a written certification by the purchaser, renter, or

 8  lessee certifying the purchaser's, renter's, or lessee's

 9  entitlement to an exemption permitted by this subsection

10  relieves the seller from the responsibility of collecting the

11  tax on the nontaxable amounts, and the department shall look

12  solely to the purchaser for recovery of such tax if it

13  determines that the purchaser was not entitled to the

14  exemption.

15         Section 3.  Subsection (11) of section 212.12, Florida

16  Statutes, is amended to read:

17         212.12  Dealer's credit for collecting tax; penalties

18  for noncompliance; powers of Department of Revenue in dealing

19  with delinquents; brackets applicable to taxable transactions;

20  records required.--

21         (11)  The department shall make available in an

22  electronic format or otherwise the tax amounts and brackets

23  applicable to all taxable transactions that occur in counties

24  that have a surtax at a rate other than 1 percent which

25  transactions would otherwise have been transactions taxable at

26  the rate of 6 percent. Likewise, the department shall make

27  available in an electronic format or otherwise the tax amounts

28  and brackets applicable to transactions taxable at 2.5 or 3

29  percent pursuant to s. 212.08(3), transactions taxable at 7

30  percent pursuant to s. 212.05(1)(e), and on transactions which

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    Florida Senate - 2005                            CS for SB 696
    593-2336-05




 1  would otherwise have been so taxable in counties which have

 2  adopted a discretionary sales surtax.

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

 4  

 5          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
 6                              SB 696

 7                                 

 8  The committee substitute made the following changes to SB 696:

 9  Provides a definition for "power farm equipment" which
    includes all farm equipment currently subject to the reduced
10  sales tax rate. The definition also includes generators, which
    were in SB 696 and adds power units used to power irrigation
11  equipment.

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