| 1 | A bill to be entitled |
| 2 | An act relating to exemptions from the tax on sales, use, |
| 3 | and other transactions; amending s. 212.08, F.S.; |
| 4 | providing that provision by nonprofit cooperative hospital |
| 5 | laundries of certain supplies and services pursuant to a |
| 6 | written emergency plan of operation does not invalidate a |
| 7 | certificate of exemption or cause such a certificate to be |
| 8 | denied; requiring member divestiture of interests and |
| 9 | participation in such laundries for a change in federal |
| 10 | tax exempt status or ownership status; providing an |
| 11 | effective date. |
| 12 |
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| 13 | Be It Enacted by the Legislature of the State of Florida: |
| 14 |
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| 15 | Section 1. Paragraph (ii) of subsection (7) of section |
| 16 | 212.08, Florida Statutes, is amended to read: |
| 17 | 212.08 Sales, rental, use, consumption, distribution, and |
| 18 | storage tax; specified exemptions.--The sale at retail, the |
| 19 | rental, the use, the consumption, the distribution, and the |
| 20 | storage to be used or consumed in this state of the following |
| 21 | are hereby specifically exempt from the tax imposed by this |
| 22 | chapter. |
| 23 | (7) MISCELLANEOUS EXEMPTIONS.--Exemptions provided to any |
| 24 | entity by this chapter do not inure to any transaction that is |
| 25 | otherwise taxable under this chapter when payment is made by a |
| 26 | representative or employee of the entity by any means, |
| 27 | including, but not limited to, cash, check, or credit card, even |
| 28 | when that representative or employee is subsequently reimbursed |
| 29 | by the entity. In addition, exemptions provided to any entity by |
| 30 | this subsection do not inure to any transaction that is |
| 31 | otherwise taxable under this chapter unless the entity has |
| 32 | obtained a sales tax exemption certificate from the department |
| 33 | or the entity obtains or provides other documentation as |
| 34 | required by the department. Eligible purchases or leases made |
| 35 | with such a certificate must be in strict compliance with this |
| 36 | subsection and departmental rules, and any person who makes an |
| 37 | exempt purchase with a certificate that is not in strict |
| 38 | compliance with this subsection and the rules is liable for and |
| 39 | shall pay the tax. The department may adopt rules to administer |
| 40 | this subsection. |
| 41 | (ii) Nonprofit cooperative hospital laundries.--Also |
| 42 | exempt from the tax imposed by this chapter are sales or leases |
| 43 | to nonprofit organizations that are incorporated under chapter |
| 44 | 617 and which are treated, for federal income tax purposes, as |
| 45 | cooperatives under subchapter T of the Internal Revenue Code, |
| 46 | the whose sole purpose of which is to offer laundry supplies and |
| 47 | services to their members, which members must all be exempt from |
| 48 | federal income tax pursuant to s. 501(c)(3) of the Internal |
| 49 | Revenue Code. The provision of limited laundry supplies and |
| 50 | services to nonmembers pursuant to a written emergency plan of |
| 51 | operation shall not invalidate or cause the denial of a |
| 52 | consumer's certificate of exemption as required by this |
| 53 | subsection. Any member that changes its Internal Revenue Code s. |
| 54 | 501(c)(3) status or ownership status shall divest, within 30 |
| 55 | days after such change, all interest or participation in the |
| 56 | nonprofit cooperative hospital laundry. |
| 57 | Section 2. This act shall take effect upon becoming a law. |