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A bill to be entitled

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An act relating to the excise tax on documents; amending

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s. 201.02, F.S.: revising criteria determining liability

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for payment of the tax; providing requirements and methods

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for making an election regarding payment of tax under

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specified circumstances; providing requirements; providing

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for application of the act; 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.  Subsection (1) of section 201.02, Florida

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Statutes, is amended to read:

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     201.02  Tax on deeds and other instruments relating to real

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property or interests in real property.--

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     (1)(a) On deeds, instruments, documents, or writings

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whereby any lands, tenements, or other real property, or any

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interest therein, shall be granted, assigned, transferred, or

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otherwise conveyed to, or vested in, the purchaser or any other

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person by his or her direction, on each $100 of the consideration

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therefor the tax shall be 70 cents except as otherwise provided

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in this subsection. When the full amount of the consideration for

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the execution, assignment, transfer, or conveyance is not shown

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in the face of such deed, instrument, document, or writing, the

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tax shall be at the rate of 70 cents for each $100 or fractional

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part thereof of the consideration therefor except as otherwise

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provided in this subsection. For purposes of this section,

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consideration includes, but is not limited to, the money paid or

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agreed to be paid; the discharge of an obligation; and the amount

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of any mortgage, purchase money mortgage lien, or other

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encumbrance, whether or not the underlying indebtedness is

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assumed; and any increase in the value of any ownership interest

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in a grantee entity or any other entity. If the consideration

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paid or given in exchange for real property or any interest

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therein includes property other than money, it is presumed that

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there is a purchaser and that the consideration is equal to the

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fair market value of the real property or interest therein.

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     (b) If:

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     1. A deed, instrument, document, or writing grants,

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assigns, transfers, or conveys any interest in real property;

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     2. There is a mere change in form of ownership without

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effecting any change in any beneficial ownership interests; and

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     3. The only consideration given is an increase in the value

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of any ownership interests in the grantee entity or any other

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entity,

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in lieu of paying the tax due on such deed, instrument, document,

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or writing, the parties to the grant, assignment, transfer, or

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conveyance may make an election, on or before the date of the

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grant, assignment, transfer, or conveyance, on a form issued by

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the department, to not make payment of the tax due on such deed,

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instrument, document, or writing but instead to pay tax on the

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fair market value of the real property upon the subsequent change

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in any ownership interest in the real property or the subsequent

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transfer of any interest in the real property. The form on which

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such election is made shall be attached to and recorded with the

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deed, instrument, document, or writing that grants, assigns,

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conveys, or otherwise transfers any interest in the real

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property. However, when an election has been made, no tax shall

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apply to the subsequent transfer of the ownership interest in the

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legal entity, or the subsequent transfer of an interest in the

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real property, when the subsequent transfer is limited to a

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return of the identical interest in the real property by the

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grantee legal entity to the identical grantor or grantors

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resulting in no change in the beneficial ownership interests

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originally held in the real property.

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     Section 2.  This act shall take effect upon becoming a law

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and applies to transfers of property for which the first transfer

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to an artificial entity occurs after that date.