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A bill to be entitled

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An act relating to the tax on property rental fees and the

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tax on admissions; amending s. 212.031, F.S.; abrogating

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the repeal of the tax exemption on rental or license fees

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provided for certain property rented, leased, or licensed

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by a convention or exhibition hall, auditorium, stadium,

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theater, arena, civic center, performing arts center, or

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publicly owned recreational facility; amending s. 2 of

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chapter 2006-101, Laws of Florida; abrogating the repeal

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of the tax exemption provided for certain charges imposed

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by a convention or exhibition hall, auditorium, stadium,

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theater, arena, civic center, performing arts center, or

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publicly owned recreational facility upon a lessee or

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licensee; amending s. 212.04, F.S.; abrogating the repeal

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of the tax exemption for admission charges to events

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sponsored by governmental entities, sports authorities,

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and sports commissions; providing an effective date.

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

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     Section 1.  Paragraph (a) of subsection (1) of section

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212.031, Florida Statutes, is amended to read:

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     212.031  Tax on rental or license fee for use of real

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property.--

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     (1)(a)  It is declared to be the legislative intent that

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every person is exercising a taxable privilege who engages in the

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business of renting, leasing, letting, or granting a license for

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the use of any real property unless such property is:

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     1.  Assessed as agricultural property under s. 193.461.

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     2.  Used exclusively as dwelling units.

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     3.  Property subject to tax on parking, docking, or storage

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spaces under s. 212.03(6).

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     4.  Recreational property or the common elements of a

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condominium when subject to a lease between the developer or

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owner thereof and the condominium association in its own right or

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as agent for the owners of individual condominium units or the

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owners of individual condominium units. However, only the lease

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payments on such property shall be exempt from the tax imposed by

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this chapter, and any other use made by the owner or the

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condominium association shall be fully taxable under this

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chapter.

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     5.  A public or private street or right-of-way and poles,

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conduits, fixtures, and similar improvements located on such

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streets or rights-of-way, occupied or used by a utility or

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provider of communications services, as defined by s. 202.11, for

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utility or communications or television purposes. For purposes of

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this subparagraph, the term "utility" means any person providing

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utility services as defined in s. 203.012. This exception also

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applies to property, wherever located, on which the following are

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placed: towers, antennas, cables, accessory structures, or

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equipment, not including switching equipment, used in the

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provision of mobile communications services as defined in s.

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202.11. For purposes of this chapter, towers used in the

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provision of mobile communications services, as defined in s.

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202.11, are considered to be fixtures.

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     6.  A public street or road which is used for transportation

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purposes.

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     7.  Property used at an airport exclusively for the purpose

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of aircraft landing or aircraft taxiing or property used by an

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airline for the purpose of loading or unloading passengers or

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property onto or from aircraft or for fueling aircraft.

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     8.a.  Property used at a port authority, as defined in s.

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315.02(2), exclusively for the purpose of oceangoing vessels or

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tugs docking, or such vessels mooring on property used by a port

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authority for the purpose of loading or unloading passengers or

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cargo onto or from such a vessel, or property used at a port

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authority for fueling such vessels, or to the extent that the

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amount paid for the use of any property at the port is based on

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the charge for the amount of tonnage actually imported or

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exported through the port by a tenant.

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     b.  The amount charged for the use of any property at the

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port in excess of the amount charged for tonnage actually

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imported or exported shall remain subject to tax except as

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provided in sub-subparagraph a.

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     9.  Property used as an integral part of the performance of

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qualified production services.  As used in this subparagraph, the

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term "qualified production services" means any activity or

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service performed directly in connection with the production of a

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qualified motion picture, as defined in s. 212.06(1)(b), and

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includes:

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     a.  Photography, sound and recording, casting, location

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managing and scouting, shooting, creation of special and optical

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effects, animation, adaptation (language, media, electronic, or

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otherwise), technological modifications, computer graphics, set

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and stage support (such as electricians, lighting designers and

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operators, greensmen, prop managers and assistants, and grips),

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wardrobe (design, preparation, and management), hair and makeup

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(design, production, and application), performing (such as

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acting, dancing, and playing), designing and executing stunts,

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coaching, consulting, writing, scoring, composing,

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choreographing, script supervising, directing, producing,

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transmitting dailies, dubbing, mixing, editing, cutting, looping,

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printing, processing, duplicating, storing, and distributing;

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     b.  The design, planning, engineering, construction,

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alteration, repair, and maintenance of real or personal property

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including stages, sets, props, models, paintings, and facilities

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principally required for the performance of those services listed

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in sub-subparagraph a.; and

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     c.  Property management services directly related to

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property used in connection with the services described in sub-

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subparagraphs a. and b.

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This exemption will inure to the taxpayer upon presentation of

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the certificate of exemption issued to the taxpayer under the

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provisions of s. 288.1258.

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     10.  Leased, subleased, licensed, or rented to a person

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providing food and drink concessionaire services within the

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premises of a convention hall, exhibition hall, auditorium,

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stadium, theater, arena, civic center, performing arts center,

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publicly owned recreational facility, or any business operated

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under a permit issued pursuant to chapter 550.  A person

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providing retail concessionaire services involving the sale of

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food and drink or other tangible personal property within the

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premises of an airport shall be subject to tax on the rental of

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real property used for that purpose, but shall not be subject to

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the tax on any license to use the property.  For purposes of this

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subparagraph, the term "sale" shall not include the leasing of

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tangible personal property.

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     11.  Property occupied pursuant to an instrument calling for

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payments which the department has declared, in a Technical

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Assistance Advisement issued on or before March 15, 1993, to be

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nontaxable pursuant to rule 12A-1.070(19)(c), Florida

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Administrative Code; provided that this subparagraph shall only

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apply to property occupied by the same person before and after

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the execution of the subject instrument and only to those

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payments made pursuant to such instrument, exclusive of renewals

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and extensions thereof occurring after March 15, 1993.

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     12.  Rented, leased, subleased, or licensed to a

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concessionaire by a convention hall, exhibition hall, auditorium,

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stadium, theater, arena, civic center, performing arts center, or

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publicly owned recreational facility, during an event at the

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facility, to be used by the concessionaire to sell souvenirs,

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novelties, or other event-related products. This subparagraph

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applies only to that portion of the rental, lease, or license

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payment which is based on a percentage of sales and not based on

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a fixed price. This subparagraph is repealed July 1, 2009.

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     13.  Property used or occupied predominantly for space

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flight business purposes. As used in this subparagraph, "space

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flight business" means the manufacturing, processing, or assembly

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of a space facility, space propulsion system, space vehicle,

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satellite, or station of any kind possessing the capacity for

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space flight, as defined by s. 212.02(23), or components thereof,

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and also means the following activities supporting space flight:

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vehicle launch activities, flight operations, ground control or

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ground support, and all administrative activities directly

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related thereto. Property shall be deemed to be used or occupied

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predominantly for space flight business purposes if more than 50

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percent of the property, or improvements thereon, is used for one

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or more space flight business purposes. Possession by a landlord,

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lessor, or licensor of a signed written statement from the

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tenant, lessee, or licensee claiming the exemption shall relieve

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the landlord, lessor, or licensor from the responsibility of

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collecting the tax, and the department shall look solely to the

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tenant, lessee, or licensee for recovery of such tax if it

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determines that the exemption was not applicable.

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     Section 2.  Section 2 of chapter 2006-101, Laws of Florida,

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is amended to read:

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     Section 2.  Notwithstanding the provisions of section 3 of

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chapter 2000-345, Laws of Florida, as amended by section 55 of

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chapter 2002-218, Laws of Florida, subsection (10) of s. 212.031,

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Florida Statutes, shall not stand repealed on July 1, 2006, as

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scheduled by such laws, but that subsection is revived and

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readopted. Subsection (10) of s. 212.031, Florida Statutes, is

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repealed July 1, 2009.

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     Section 3.  Paragraph (a) of subsection (2) of section

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212.04, Florida Statutes, is amended to read:

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     212.04  Admissions tax; rate, procedure, enforcement.--

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     (2)(a)1.  No tax shall be levied on admissions to athletic

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or other events sponsored by elementary schools, junior high

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schools, middle schools, high schools, community colleges, public

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or private colleges and universities, deaf and blind schools,

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facilities of the youth services programs of the Department of

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Children and Family Services, and state correctional institutions

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when only student, faculty, or inmate talent is used. However,

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this exemption shall not apply to admission to athletic events

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sponsored by a state university, and the proceeds of the tax

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collected on such admissions shall be retained and used by each

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institution to support women's athletics as provided in s.

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1006.71(2)(c).

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     2.a.  No tax shall be levied on dues, membership fees, and

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admission charges imposed by not-for-profit sponsoring

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organizations. To receive this exemption, the sponsoring

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organization must qualify as a not-for-profit entity under the

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provisions of s. 501(c)(3) of the Internal Revenue Code of 1954,

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as amended.

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     b.  No tax shall be levied on admission charges to an event

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sponsored by a governmental entity, sports authority, or sports

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commission when held in a convention hall, exhibition hall,

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auditorium, stadium, theater, arena, civic center, performing

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arts center, or publicly owned recreational facility and when 100

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percent of the risk of success or failure lies with the sponsor

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of the event and 100 percent of the funds at risk for the event

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belong to the sponsor, and student or faculty talent is not

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exclusively used. As used in this sub-subparagraph, the terms

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"sports authority" and "sports commission" mean a nonprofit

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organization that is exempt from federal income tax under s.

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501(c)(3) of the Internal Revenue Code and that contracts with a

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county or municipal government for the purpose of promoting and

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attracting sports-tourism events to the community with which it

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contracts. This sub-subparagraph is repealed July 1, 2009.

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     3.  No tax shall be levied on an admission paid by a

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student, or on the student's behalf, to any required place of

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sport or recreation if the student's participation in the sport

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or recreational activity is required as a part of a program or

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activity sponsored by, and under the jurisdiction of, the

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student's educational institution, provided his or her attendance

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is as a participant and not as a spectator.

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     4.  No tax shall be levied on admissions to the National

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Football League championship game, on admissions to any semifinal

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game or championship game of a national collegiate tournament, or

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on admissions to a Major League Baseball all-star game.

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     5.  A participation fee or sponsorship fee imposed by a

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governmental entity as described in s. 212.08(6) for an athletic

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or recreational program is exempt when the governmental entity by

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itself, or in conjunction with an organization exempt under s.

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501(c)(3) of the Internal Revenue Code of 1954, as amended,

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sponsors, administers, plans, supervises, directs, and controls

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the athletic or recreational program.

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     6.  Also exempt from the tax imposed by this section to the

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extent provided in this subparagraph are admissions to live

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theater, live opera, or live ballet productions in this state

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which are sponsored by an organization that has received a

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determination from the Internal Revenue Service that the

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organization is exempt from federal income tax under s. 501(c)(3)

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of the Internal Revenue Code of 1954, as amended, if the

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organization actively participates in planning and conducting the

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event, is responsible for the safety and success of the event, is

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organized for the purpose of sponsoring live theater, live opera,

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or live ballet productions in this state, has more than 10,000

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subscribing members and has among the stated purposes in its

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charter the promotion of arts education in the communities which

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it serves, and will receive at least 20 percent of the net

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profits, if any, of the events which the organization sponsors

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and will bear the risk of at least 20 percent of the losses, if

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any, from the events which it sponsors if the organization

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employs other persons as agents to provide services in connection

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with a sponsored event. Prior to March 1 of each year, such

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organization may apply to the department for a certificate of

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exemption for admissions to such events sponsored in this state

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by the organization during the immediately following state fiscal

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year. The application shall state the total dollar amount of

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admissions receipts collected by the organization or its agents

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from such events in this state sponsored by the organization or

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its agents in the year immediately preceding the year in which

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the organization applies for the exemption. Such organization

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shall receive the exemption only to the extent of $1.5 million

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multiplied by the ratio that such receipts bear to the total of

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such receipts of all organizations applying for the exemption in

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such year; however, in no event shall such exemption granted to

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any organization exceed 6 percent of such admissions receipts

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collected by the organization or its agents in the year

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immediately preceding the year in which the organization applies

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for the exemption. Each organization receiving the exemption

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shall report each month to the department the total admissions

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receipts collected from such events sponsored by the organization

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during the preceding month and shall remit to the department an

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amount equal to 6 percent of such receipts reduced by any amount

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remaining under the exemption. Tickets for such events sold by

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such organizations shall not reflect the tax otherwise imposed

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under this section.

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     7.  Also exempt from the tax imposed by this section are

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entry fees for participation in freshwater fishing tournaments.

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     8.  Also exempt from the tax imposed by this section are

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participation or entry fees charged to participants in a game,

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race, or other sport or recreational event if spectators are

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charged a taxable admission to such event.

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     9.  No tax shall be levied on admissions to any postseason

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collegiate football game sanctioned by the National Collegiate

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Athletic Association.

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     Section 4.  This act shall take effect upon becoming a law.