HB 217

1	A bill to be entitled
2	An act relating to the tax on gross receipts; creating s.
3	203.08, F.S.; providing for a tax limitation applicable to
4	certain gross receipts taxes; providing definitions;
5	providing for a refund of gross receipts taxes relating to
6	the tax limitation; providing criteria, requirements, and
7	procedures; providing powers and duties of the Department
8	of Revenue; limiting obligations of electric distribution
9	companies relating to the refund; authorizing the
10	department to adopt rules; providing application;
11	providing an effective date.
12
13	Be It Enacted by the Legislature of the State of Florida:
14
15	Section 1.  Section 203.08, Florida Statutes, is created to
16	read:
17	203.08  Refund of gross receipts taxes paid on excess fuel
18	adjustment charges.--
19	(1)(a)  A tax limitation shall apply to gross receipts
20	taxes on electricity, which taxes are passed through to eligible
21	persons and attributable to increases in fuel costs for
22	electricity purchased by such eligible persons for delivery to
23	such eligible persons in this state.
24	(b)  For purposes of this section, the term:
25	1.  "Eligible person" means any person who is eligible for
26	an exemption from sales tax on electricity under s.
27	212.08(7)(ff)2.
28	2.  "Tax limitation" means the product of:
29	a.  The current gross receipts tax rate;
30	b.  The eligible person's average fuel adjustment charge
31	per kilowatt hour for a 5-year period including calendar years
32	2002 through 2006; and
33	c.  The kilowatt hours consumed by the eligible person in
34	the current calendar year.
35	(c)  Gross receipts taxes on fuel adjustment charges to
36	eligible persons in excess of the eligible person's tax
37	limitation shall be subject to refund to such eligible person as
38	provided herein. For an eligible person who does not have 5
39	years of such data, the Department of Revenue may adopt by rule,
40	pursuant to ss. 120.536(1) and 120.54, and apply an average fuel
41	adjustment charge per kilowatt hour for such person measured
42	over calendar years 2002-2006 based upon available data.
43	(2)  The benefit of the tax limitation shall be granted
44	annually to eligible persons pursuant to an annual payment of
45	revenues using the refund process set forth in s. 215.26(1)(a).
46	For purposes of this section, the term "revenues" means the
47	gross receipts tax amounts paid by an eligible person to a
48	utility during a calendar year on fuel adjustment charges for
49	electricity, purchased by the eligible person and delivered to
50	the eligible person in this state, in excess of the tax
51	limitation described in this section. Notwithstanding the time
52	periods specified in s. 215.26, payment applications submitted
53	pursuant to this section shall be submitted by eligible persons
54	on or before March 31 of each year for amounts paid in the prior
55	calendar year. The department shall review each completed
56	application and any supporting documentation and approve or deny
57	the application within 180 days after receiving the application.
58	Payments made pursuant to this section shall be charged against
59	the General Revenue Fund. Any proposed denial of an application
60	shall be subject to review under ss. 72.011 and 213.21.
61	(3)  A distribution company that sells electricity to an
62	eligible person is not responsible for determining the amount of
63	any potential refund or otherwise paying or securing such refund
64	on behalf of an eligible person.
65	(4)  The Department of Revenue may adopt rules pursuant to
66	ss. 120.536(1) and 120.54 necessary to implement this section
67	and develop an application form and procedures for refunds under
68	this section.
69	Section 2.  This act shall take effect upon becoming a law
70	and shall apply with respect to billings for electricity that
71	are dated on or after January 1, 2007.

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