Florida Senate - 2008 SB 2788

By Senator Haridopolos

26-04335-08 20082788__

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A bill to be entitled

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An act relating to tax administration; amending s. 72.011,

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F.S.; revising the time for commencing actions to contest

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a tax matter; amending s. 192.0105, F.S.; revising the

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list of tax-related forms that a taxpayer has a right to

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keep confidential; amending s. 201.02, F.S.; revising

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provisions relating to forms for indicating nonprofit

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status; amending s. 201.022, F.S.; revising provisions

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relating to the filing of tax returns resulting from the

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sale of real property; amending s. 212.07, F.S.;

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conforming a cross-reference; providing penalties for

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knowingly failing to collect taxes due; amending s.

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212.08, F.S.; revising provisions relating to the tax

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exemption for building materials used to rehabilitate real

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property in enterprise zones; amending s. 212.12, F.S.;

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revising penalties for failing to report taxes due;

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amending s. 212.18, F.S.; revising penalties for failing

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to register as a dealer; amending s. 213.053, F.S.;

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revising provisions relating to confidentiality;

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authorizing the Department of Revenue to send certain

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general information to taxpayers by electronic means;

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deleting a provision that allows the disclosure of certain

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information to the Chief Financial Officer; authorizing

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the department to provide taxpayer information to the

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Division of Hotels and Restaurants; providing an

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additional exception from the public-records exemption;

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authorizing the Department of Revenue to publish a list of

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delinquent taxpayers; authorizing the department to adopt

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rules; creating s. 213.0532, F.S.; requiring financial

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institutions to enter into agreements with the department

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to conduct data matches to identify delinquent taxpayers;

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providing definitions; requiring the department to pay a

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fee to cover the cost to the institution; providing

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immunity from liability for certain actions by the

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institution; authorizing the department to institute civil

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actions; authorizing the department to adopt rules;

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amending s. 213.25, F.S.; clarifying that the department's

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authority to reduce tax refunds or credits by the amount

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of other taxes owed applies to unemployment compensation

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taxes; amending s. 213.67, F.S.; revising the time for

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commencing actions to contest a tax levy; creating s.

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213.691, F.S.; authorizing the Department of Revenue to

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issue or file integrated warrants and judgment lien

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certificates; creating s. 213.692, F.S.; authorizing the

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department to file a single consolidated tax warrant for

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multiple taxes due and to revoke a taxpayer's certificate

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of registration if the taxpayer owes any taxes to the

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state; requiring a cash deposit or other security for

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issuing a new certificate of registration; authorizing the

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department to adopt rules; authorizing emergency rules;

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creating s. 213.758, F.S.; assigning tax liability when

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property is transferred; requiring a taxpayer who quits

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the business without benefit of a purchaser to make a

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final return and full payment within a specified period;

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providing for the Department of Legal Affairs to issue an

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injunction; specifying a transferee's liability for tax,

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interest, and penalties; authorizing the Department of

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Revenue to adopt rules; amending s. 220.21, F.S.; revising

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provisions relating to the electronic filing of corporate

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taxes; providing for retroactivity; amending s. 336.021,

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F.S.; revising the order for distributing the local option

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fuel tax revenues; amending s. 443.1215, F.S.; revising a

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cross-reference; amending s. 443.1316, F.S.; conforming

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provisions to changes made by the act; amending s.

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443.141, F.S.; providing penalties for erroneous,

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incomplete, or insufficient unemployment compensation tax

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reports filed by employers; providing a statute of

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limitation on liens for the collection of unpaid

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unemployment taxes; amending s. 509.261, F.S.; authorizing

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the Division of Hotels and Restaurants to find, suspend or

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revoke a license for violating state tax laws; amending s.

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624.509, F.S.; deleting the alternative salary tax credit

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calculation for mutual holding companies; repealing s.

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213.054, F.S., relating to a report naming persons who

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claim a deduction for the net earnings of an international

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banking facility; providing for retroactive application of

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specified provisions; 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 (2) of section

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72.011, Florida Statutes, is amended to read:

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     72.011  Jurisdiction of circuit courts in specific tax

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matters; administrative hearings and appeals; time for commencing

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action; parties; deposits.--

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     (2)(a)  An action may not be brought to contest an

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assessment of any tax, interest, or penalty assessed under a

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section or chapter specified in subsection (1) if the petition is

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postmarked or the action is filed more than 60 days after the

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date the assessment becomes final. An action may not be brought

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to contest a denial of refund of any tax, interest, or penalty

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paid under a section or chapter specified in subsection (1) if

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the petition is postmarked or the action is filed more than 60

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days after the date the denial becomes final.

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     Section 2.  Effective January 1, 2009, paragraph (a) of

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subsection (4) of section 192.0105, Florida Statutes, is amended

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to read:

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     192.0105  Taxpayer rights.--There is created a Florida

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Taxpayer's Bill of Rights for property taxes and assessments to

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guarantee that the rights, privacy, and property of the taxpayers

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of this state are adequately safeguarded and protected during tax

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levy, assessment, collection, and enforcement processes

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administered under the revenue laws of this state. The Taxpayer's

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Bill of Rights compiles, in one document, brief but comprehensive

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statements that summarize the rights and obligations of the

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property appraisers, tax collectors, clerks of the court, local

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governing boards, the Department of Revenue, and taxpayers.

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Additional rights afforded to payors of taxes and assessments

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imposed under the revenue laws of this state are provided in s.

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213.015. The rights afforded taxpayers to assure that their

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privacy and property are safeguarded and protected during tax

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levy, assessment, and collection are available only insofar as

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they are implemented in other parts of the Florida Statutes or

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rules of the Department of Revenue. The rights so guaranteed to

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state taxpayers in the Florida Statutes and the departmental

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rules include:

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     (4)  THE RIGHT TO CONFIDENTIALITY.--

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     (a)  The right to have information kept confidential,

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including federal tax information, ad valorem tax returns, social

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security numbers, all financial records produced by the taxpayer,

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Form DR-219 Return for Transfers of Interest in Real Property,

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returns required by s. 201.022 for documentary stamp tax

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information, and sworn statements of gross income, copies of

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federal income tax returns for the prior year, wage and earnings

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statements (W-2 forms), and other documents (see ss. 192.105,

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193.074, 193.114(5), 195.027(3) and (6), and 196.101(4)(c)).

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     Section 3.  Effective January 1, 2009, subsection (6) of

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section 201.02, Florida 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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     (6) Taxes imposed by this section do shall not apply to any

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assignment, transfer, or other disposition, or any document,

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which arises out of a transfer of real property from a nonprofit

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organization to the Board of Trustees of the Internal Improvement

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Trust Fund, to any state agency, to any water management

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district, or to any local government. For purposes of this

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subsection, "nonprofit organization" means an organization whose

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purpose is the preservation of natural resources and which is

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exempt from federal income tax under s. 501(c)(3) of the Internal

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Revenue Code. The return required by s. 201.022 shall provide a

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place The Department of Revenue shall provide a form, or a place

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on an existing form, for the nonprofit organization to indicate

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its exempt status. The following notation must be placed on the

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document assigning, transferring, or otherwise disposing of the

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property, adjacent to the official records stamp of the county,

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at the time of its recording in the public records: "This

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document is exempt from documentary stamp tax pursuant to s.

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201.02(6), F.S."

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     Section 4.  Effective January 1, 2009, section 201.022,

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Florida Statutes, is amended to read:

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     201.022   Consideration for realty; filing of return

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condition precedent to recordation; penalty; compensation of

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clerks; failure to file does not impair validity.--

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     (1) As a condition precedent to recording the recordation

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of any deed transferring an interest in real property, the

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grantor or the grantee or agent for grantee shall execute and

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file a return, in a format prescribed by the Department of

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Revenue, with the clerk of the circuit court, who may accept the

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return electronically. The return shall state the actual

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consideration paid for the interest in real property and. The

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return shall state the parcel identification number maintained by

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the county property appraiser in a manner prescribed by the

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department. If the parcel is a split or cutout parcel, the return

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shall state the parent parcel identification number if the parcel

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identification number has not been assigned. The return shall not

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be recorded or otherwise become a public record and is shall be

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confidential, as provided by s. 193.074, and shall be exempt from

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the provisions of s. 119.07(1), except that the Department of

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Environmental Protection or, through the Department of

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Environmental Protection, its contract appraiser, shall have

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access to the return to verify the consideration paid for the in

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any transfer of an interest in real property if the, when such

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transfer is considered as part of an appraisal for a proposed

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land acquisition project conducted pursuant to any Department of

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Environmental Protection land acquisition program. The Department

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of Environmental Protection or its contract appraiser shall not

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disclose the contents of the return to any other public or

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private entity. The original return shall be forwarded to the

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Department of Revenue, and a copy shall be forwarded to the

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property appraiser.

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     (2)  If the return required by this section is not executed

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and filed, any person who is required by this section to execute

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and file a return with the clerk of the circuit court and who

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fails to do so is shall be liable for a penalty of $25 to be

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collected and retained by the clerk of the circuit court. The

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penalty imposed by this subsection shall be in addition to any

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other penalty imposed by the revenue laws of this state. The

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penalty may be compromised as provided in s. 213.21.

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     (3)  If the return required by this section is not executed

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and filed, the clerk of the circuit court shall is required to

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execute and file the return, on paper or electronically, with the

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department. The clerk shall be compensated 1.0 percent of the tax

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paid on deeds as the cost of processing the return required by

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this section in the form of a deduction from the amount of the

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tax due and remitted by the clerk., and The department shall

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allow the deduction to the clerk paying and remitting the tax in

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the manner provided by the department unless. However, no

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deduction or allowance shall be granted when there is a manifest

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failure to maintain proper records or make proper reports. The

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compensation provided in this subsection is herein shall be in

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addition to that provided in s. 201.11(2).

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     (4)  Failure of any grantee or the grantee's agent to

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execute and file with the clerk of the circuit court the a return

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required in subsection (1) does not impair the validity of any

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deed heretofore or hereafter recorded that transfers transferring

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an interest in real property.

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     Section 5.  Paragraph (b) of subsection (1) and subsection

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(3) of section 212.07, Florida Statutes, are amended to read:

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     212.07  Sales, storage, use tax; tax added to purchase

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price; dealer not to absorb; liability of purchasers who cannot

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prove payment of the tax; penalties; general exemptions.--

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     (1)

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     (b)  A resale must be in strict compliance with s. 212.18

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and the rules and regulations, and any dealer who makes a sale

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for resale which is not in strict compliance with s. 212.18 and

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the rules and regulations shall himself or herself be liable for

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and pay the tax. Any dealer who makes a sale for resale shall

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document the exempt nature of the transaction, as established by

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rules promulgated by the department, by retaining a copy of the

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purchaser's resale certificate. In lieu of maintaining a copy of

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the certificate, a dealer may document, prior to the time of

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sale, an authorization number provided telephonically or

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electronically by the department, or by such other means

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established by rule of the department. The dealer may rely on a

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resale certificate issued pursuant to s. 212.18(3)(d) s.

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212.18(3)(c), valid at the time of receipt from the purchaser,

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without seeking annual verification of the resale certificate if

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the dealer makes recurring sales to a purchaser in the normal

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course of business on a continual basis. For purposes of this

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paragraph, "recurring sales to a purchaser in the normal course

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of business" refers to a sale in which the dealer extends credit

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to the purchaser and records the debt as an account receivable,

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or in which the dealer sells to a purchaser who has an

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established cash or C.O.D. account, similar to an open credit

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account. For purposes of this paragraph, purchases are made from

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a selling dealer on a continual basis if the selling dealer

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makes, in the normal course of business, sales to the purchaser

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no less frequently than once in every 12-month period. A dealer

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may, through the informal protest provided for in s. 213.21 and

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the rules of the Department of Revenue, provide the department

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with evidence of the exempt status of a sale. Consumer

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certificates of exemption executed by those exempt entities that

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were registered with the department at the time of sale, resale

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certificates provided by purchasers who were active dealers at

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the time of sale, and verification by the department of a

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purchaser's active dealer status at the time of sale in lieu of a

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resale certificate shall be accepted by the department when

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submitted during the protest period, but may not be accepted in

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any proceeding under chapter 120 or any circuit court action

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instituted under chapter 72.

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     (3)(a) A Any dealer who fails, neglects, or refuses to

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collect the tax or fees imposed under this chapter herein

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provided, either by himself or herself or through the dealer's

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agents or employees, is, in addition to the penalty of being

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liable for and paying the tax or fees himself or herself, commits

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guilty of a misdemeanor of the first degree, punishable as

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provided in s. 775.082 or s. 775.083.

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     (b) A dealer who willfully fails to collect the tax or fees

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imposed under this chapter after the department provides notice

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of the duty to collect the tax or fees shall, in addition to

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being liable for and paying the tax or fees and for any other

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penalties provided by law, be liable for a specific penalty of

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100 percent of any uncollected tax or fees and, upon conviction,

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for fine and punishment as provided in s. 775.082, s. 775.083, or

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s. 775.084:

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     1. If the total amount of uncollected taxes or fees is less

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than $300, the first offense is a misdemeanor of the second

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degree, the second offense is a misdemeanor of the first degree,

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and the third and all subsequent offenses are felonies of the

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third degree.

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     2. If the total amount of the uncollected taxes or fees is

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$300 or more but less than $20,000, the offense is a felony of

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the third degree.

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     3. If the total amount of the uncollected taxes or fees is

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$20,000 or more but less than $100,000, the offense is a felony

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of the second degree.

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     4. If the total amount of the uncollected taxes or fees is

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$100,000 or more, the offense is a felony of the first degree.

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     (c) For the purposes of this subsection, "willful" means a

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voluntary, intentional violation of a known legal duty.

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     (d) The department shall give notice of the duty to collect

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taxes or fees to the dealer by personal service, oral or written;

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or by sending notice to the dealer by registered mail, to the

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dealer's last known address; or by both personal service and

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mailing.

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     Section 6.  Paragraph (g) of subsection (5) of section

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212.08, Florida Statutes, is amended to read:

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     212.08  Sales, rental, use, consumption, distribution, and

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

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

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storage to be used or consumed in this state of the following are

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hereby specifically exempt from the tax imposed by this chapter.

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     (5)  EXEMPTIONS; ACCOUNT OF USE.--

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     (g)  Building materials used in the rehabilitation of real

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property located in an enterprise zone.--

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     1.  Building materials used in the rehabilitation of real

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property located in an enterprise zone are shall be exempt from

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the tax imposed by this chapter upon an affirmative showing to

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the satisfaction of the department that the items have been used

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for the rehabilitation of real property located in an enterprise

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zone. Except as provided in subparagraph 2., this exemption

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inures to the owner, lessee, or lessor at the time of the

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rehabilitated real property located in an enterprise zone is

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rehabilitated, but only through a refund of previously paid

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taxes. To receive a refund pursuant to this paragraph, the owner,

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lessee, or lessor of the rehabilitated real property located in

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an enterprise zone must file an application under oath with the

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governing body or enterprise zone development agency having

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jurisdiction over the enterprise zone where the business is

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located, as applicable. A single application for refund may be

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submitted for multiple, contiguous parcels that were parts of a

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single parcel that was divided as part of the rehabilitation of

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the property. All other requirements of this paragraph apply to

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each parcel on an individual basis. The application must include,

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which includes:

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     a.  The name and address of the person claiming the refund.

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     b.  An address and assessment roll parcel number of the

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rehabilitated real property in an enterprise zone for which a

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refund of previously paid taxes is being sought.

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     c.  A description of the improvements made to accomplish the

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rehabilitation of the real property.

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     d. A copy of a valid the building permit issued by the

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county or municipal building department for the rehabilitation of

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the real property.

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     e. A sworn statement, under the penalty of perjury, from

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the general contractor, licensed in this state, with whom the

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applicant contracted to make the improvements necessary to

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rehabilitate accomplish the rehabilitation of the real property,

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which statement lists the building materials used in the

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rehabilitation of the real property, the actual cost of the

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building materials, and the amount of sales tax paid in this

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state on the building materials. If In the event that a general

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contractor has not been used, the applicant shall provide the

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this information in a sworn statement, under the penalty of

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perjury. Copies of the invoices which evidence the purchase of

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the building materials used in the such rehabilitation and the

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payment of sales tax on the building materials shall be attached

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to the sworn statement provided by the general contractor or by

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the applicant. Unless the actual cost of building materials used

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in the rehabilitation of real property and the payment of sales

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taxes due are thereon is documented by a general contractor or by

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the applicant in this manner, the cost of such building materials

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shall be an amount equal to 40 percent of the increase in

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assessed value for ad valorem tax purposes.

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     f.  The identifying number assigned pursuant to s. 290.0065

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to the enterprise zone in which the rehabilitated real property

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is located.

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     g.  A certification by the local building code inspector

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that the improvements necessary for rehabilitating to accomplish

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the rehabilitation of the real property are substantially

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completed.

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     h.  Whether the business is a small business as defined by

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s. 288.703(1).

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     i.  If applicable, the name and address of each permanent

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employee of the business, including, for each employee who is a

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resident of an enterprise zone, the identifying number assigned

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pursuant to s. 290.0065 to the enterprise zone in which the

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employee resides.

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     2. This exemption inures to a municipality city, county,

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other governmental unit or agency, or nonprofit community-based

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organization through a refund of previously paid taxes if the

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building materials used in the rehabilitation of real property

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located in an enterprise zone are paid for from the funds of a

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community development block grant, State Housing Initiatives

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Partnership Program, or similar grant or loan program. To receive

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a refund of previously paid taxes pursuant to this paragraph, a

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municipality city, county, other governmental unit or agency, or

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nonprofit community-based organization must file an application

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that which includes the same information required to be provided

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in subparagraph 1. by an owner, lessee, or lessor of

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rehabilitated real property. In addition, the application must

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include a sworn statement signed by the chief executive officer

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of the municipality city, county, other governmental unit or

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agency, or nonprofit community-based organization seeking a

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refund which states that the building materials for which a

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refund is sought were paid for from the funds of a community

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development block grant, State Housing Initiatives Partnership

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Program, or similar grant or loan program.

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     3.  Within 10 working days after receipt of an application,

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the governing body or enterprise zone development agency shall

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review the application to determine if it contains all the

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information required under pursuant to subparagraph 1. or

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subparagraph 2. and meets the criteria set out in this paragraph.

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The governing body or agency shall certify all applications that

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contain the required information required pursuant to

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subparagraph 1. or subparagraph 2. and meet the criteria set out

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in this paragraph as eligible to receive a refund. If applicable,

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the governing body or agency shall also certify that if 20

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percent of the employees of the business are residents of an

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enterprise zone, excluding temporary and part-time employees. The

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certification must shall be in writing, and a copy of the

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certification shall be transmitted to the executive director of

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the department of Revenue. The applicant is shall be responsible

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for forwarding a certified application to the department within

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the time specified in subparagraph 4.

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     4.  An application for a refund pursuant to this paragraph

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must be submitted to the department within 6 months after the

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rehabilitation of the property is deemed to be substantially

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completed by the local building code inspector or by September 1

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after the rehabilitated property is first subject to assessment.

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     5. Only Not more than one exemption through a refund of

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previously paid taxes for the rehabilitation of real property is

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allowed shall be permitted for any single parcel of property

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unless there is a change in ownership, a new lessor, or a new

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lessee of the real property. A No refund may not shall be granted

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pursuant to this paragraph unless the amount to be refunded

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exceeds $500. The No refund may not granted pursuant to this

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paragraph shall exceed the lesser of 97 percent of the Florida

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sales or use tax paid on the cost of the building materials used

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in the rehabilitation of the real property as determined pursuant

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to sub-subparagraph 1.e. or $5,000, or, if at least no less than

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20 percent of the employees of the business are residents of an

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enterprise zone, excluding temporary and part-time employees, the

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amount of refund may granted pursuant to this paragraph shall not

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exceed the lesser of 97 percent of the sales tax paid on the cost

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of such building materials or $10,000. A refund approved pursuant

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to this paragraph must shall be made within 30 days after of

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formal approval by the department of the application for the

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refund. This subparagraph shall apply retroactively to July 1,

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2005.

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     6.  The department shall adopt rules governing the manner

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and form of refund applications and may establish guidelines as

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to the requisites for an affirmative showing of qualification for

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exemption under this paragraph.

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     7.  The department shall deduct an amount equal to 10

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percent of each refund granted under the provisions of this

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paragraph from the amount transferred into the Local Government

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Half-cent Sales Tax Clearing Trust Fund pursuant to s. 212.20 for

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the county area in which the rehabilitated real property is

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located and shall transfer that amount to the General Revenue

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Fund.

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     8.  For the purposes of the exemption provided in this

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paragraph:

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     a.  "Building materials" means tangible personal property

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that which becomes a component part of improvements to real

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property.

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     b. "Real property" has the same meaning as in s. 192.001

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provided in s. 192.001(12).

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     c.  "Rehabilitation of real property" means the

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reconstruction, renovation, restoration, rehabilitation,

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construction, or expansion of improvements to real property.

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     d.  "Substantially completed" has the same meaning as

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provided in s. 192.042(1).

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     9.  This paragraph expires on the date specified in s.

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290.016 for the expiration of the Florida Enterprise Zone Act.

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     Section 7.  Paragraph (d) of subsection (2) of section

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212.12, Florida Statutes, is amended to read:

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     212.12  Dealer's credit for collecting tax; penalties for

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noncompliance; powers of Department of Revenue in dealing with

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delinquents; brackets applicable to taxable transactions; records

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required.--

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     (2)

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     (d)  Any person who makes a false or fraudulent return with

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a willful intent to evade payment of any tax or fee imposed under

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this chapter; any person who, after the department's delivery of

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a written notice to the person's last known address specifically

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alerting the person of the requirement to register the person's

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business as a dealer, intentionally fails to register the

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business; and any person who, after the department's delivery of

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a written notice to the person's last known address specifically

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alerting the person of the requirement to collect tax on specific

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transactions, intentionally fails to collect such tax, shall, in

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addition to the other penalties provided by law, be liable for a

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specific penalty of 100 percent of any unreported or any

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uncollected tax or fee and, upon conviction, for fine and

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punishment as provided in s. 775.082, s. 775.083, or s. 775.084.

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Delivery of written notice may be made by certified mail, or by

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the use of such other method as is documented as being necessary

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and reasonable under the circumstances. The civil and criminal

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penalties imposed herein for failure to comply with a written

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notice alerting the person of the requirement to register the

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person's business as a dealer or to collect tax on specific

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transactions shall not apply if the person timely files a written

474

challenge to such notice in accordance with procedures

475

established by the department by rule or the notice fails to

476

clearly advise that failure to comply with or timely challenge

477

the notice will result in the imposition of the civil and

478

criminal penalties imposed herein.

479

     1.  If the total amount of unreported or uncollected taxes

480

or fees is less than $300, the first offense resulting in

481

conviction is a misdemeanor of the second degree, the second

482

offense resulting in conviction is a misdemeanor of the first

483

degree, and the third and all subsequent offenses resulting in

484

conviction is a misdemeanor of the first degree, and the third

485

and all subsequent offenses resulting in conviction are felonies

486

of the third degree.

487

     2. If the total amount of unreported or uncollected taxes

488

or fees is $300 or more but less than $20,000, the offense is a

489

felony of the third degree.

490

     3. If the total amount of unreported or uncollected taxes

491

or fees is $20,000 or more but less than $100,000, the offense is

492

a felony of the second degree.

493

     4. If the total amount of unreported or uncollected taxes

494

or fees is $100,000 or more, the offense is a felony of the first

495

degree.

496

     Section 8.  Paragraphs (c), (d), and (e) of subsection (3)

497

of section 212.18, Florida Statutes, are renumbered as paragraphs

498

(d), (e), and (f), respectively, and paragraph (b) of that

499

subsection is amended to read:

500

     212.18  Administration of law; registration of dealers;

501

rules.--

502

     (3)

503

     (b) The department, upon receipt of such application, shall

504

will grant to the applicant a separate certificate of

505

registration for each place of business, which certificate may be

506

canceled by the department or its designated assistants for any

507

failure by the certificateholder to comply with any of the

508

provisions of this chapter. The certificate is not assignable and

509

is valid only for the person, firm, copartnership, or corporation

510

to which issued. The certificate must be placed in a conspicuous

511

place in the business or businesses for which it is issued and

512

must be displayed at all times. Except as provided in this

513

subsection, no person shall engage in business as a dealer or in

514

leasing, renting, or letting of or granting licenses in living

515

quarters or sleeping or housekeeping accommodations in hotels,

516

apartment houses, roominghouses, tourist or trailer camps, or

517

real property as hereinbefore defined, nor shall any person sell

518

or receive anything of value by way of admissions, without first

519

having obtained such a certificate or after such certificate has

520

been canceled; no person shall receive any license from any

521

authority within the state to engage in any such business without

522

first having obtained such a certificate or after such

523

certificate has been canceled. The engaging in the business of

524

selling or leasing tangible personal property or services or as a

525

dealer, as defined in this chapter, or the engaging in leasing,

526

renting, or letting of or granting licenses in living quarters or

527

sleeping or housekeeping accommodations in hotels, apartment

528

houses, roominghouses, or tourist or trailer camps that are

529

taxable under this chapter, or real property, or the engaging in

530

the business of selling or receiving anything of value by way of

531

admissions, without such certificate first being obtained or

532

after such certificate has been canceled by the department, is

533

prohibited.

534

     (c)1. The failure or refusal of any person, firm,

535

copartnership, or corporation to register so qualify when

536

required hereunder is a misdemeanor of the first degree,

537

punishable as provided in s. 775.082 or s. 775.083, or subject to

538

injunctive proceedings as provided by law. Such failure or

539

refusal also subjects the offender to a $100 initial registration

540

fee in lieu of the $5 registration fee authorized in paragraph

541

(a). However, the department may waive the increase in the

542

registration fee if it determines is determined by the department

543

that the failure to register was due to reasonable cause and not

544

to willful negligence, willful neglect, or fraud.

545

     2. Any person who willfully fails to register after the

546

department provides notice of the duty to register as a dealer

547

for the purpose of engaging in or conducting business in the

548

state, commits a felony of the third degree, punishable as

549

provided in s. 775.082, s. 775.083, or s. 775.084.

550

     a. For the purposes of this section, "willful" means a

551

voluntary, intentional violation of a known legal duty.

552

     b. The department shall give notice of the duty to register

553

to the person by personal service, oral or written; or by sending

554

notice by registered mail to the person's last known address; or

555

by personal service and mailing.

556

     Section 9.  Paragraph (a) of subsection (2), subsection (5),

557

and paragraph (d) of subsection (8) of section 213.053, Florida

558

Statutes, are amended, paragraph (z) is added to subsection (8)

559

of that section, and subsection (19) is added to that section, to

560

read:

561

     213.053  Confidentiality and information sharing.--

562

     (2)(a)  All information contained in returns, reports,

563

accounts, or declarations received by the department, including

564

investigative reports and information, and including letters of

565

technical advice, telephone numbers, and electronic mail

566

addresses collected and maintained by the department for the

567

purpose of communicating with taxpayers, is confidential except

568

for official purposes and is exempt from s. 119.07(1).

569

     (5)  Nothing contained in this section shall prevent the

570

department from:

571

     (a) Publishing statistics so classified as to prevent the

572

identification of particular accounts, reports, declarations, or

573

returns.; or

574

     (b) Using telephone, electronic mail, facsimile, or other

575

electronic means to:

576

     1. Distribute tax information regarding changes in law, tax

577

rates, or interest rates, or other information that is not

578

specific to a particular taxpayer;

579

     2. Provide reminders of due dates;

580

     3. Respond to a taxpayer that has provided and authorized

581

the department to use an electronic mail address that does not

582

support encryption; or

583

     4. Request taxpayers to contact the department Disclosing to

584

the Chief Financial Officer the names and addresses of those

585

taxpayers who have claimed an exemption pursuant to former s.

586

199.185(1)(i) or a deduction pursuant to s. 220.63(5).

587

     (8)  Notwithstanding any other provision of this section,

588

the department may provide:

589

     (d) Information relating to chapter 212 and chapter 509

590

Names, addresses, and sales tax registration information to the

591

Division of Hotels and Restaurants of the Department of Business

592

and Professional Regulation in the conduct of its official

593

duties.

594

     (z) Names and taxpayer identification numbers relating to

595

information sharing agreements with financial institutions

596

pursuant to s. 213.0532.

597

598

Disclosure of information under this subsection shall be pursuant

599

to a written agreement between the executive director and the

600

agency. Such agencies, governmental or nongovernmental, shall be

601

bound by the same requirements of confidentiality as the

602

Department of Revenue. Breach of confidentiality is a misdemeanor

603

of the first degree, punishable as provided by s. 775.082 or s.

604

775.083.

605

     (19) The department may publish a list of all taxpayers

606

against whom it has issued a warrant or filed a judgment lien

607

against a taxpayer's property if the taxpayers are delinquent in

608

the payment of any tax, fee, penalty, interest or surcharge

609

administered by the department. The list shall identify each

610

taxpayer by name, address, amounts and types of taxes, fees, or

611

surcharges, and the employer identification number or other

612

taxpayer identification number.

613

     (a) The list shall be available for public inspection at

614

the department or by other means of publication, including the

615

Internet. The department may provide a copy of the list to any

616

agency of the state for similar publication.

617

     (b) The department shall update the list at least monthly

618

to reflect payments for resolution of deficiencies and to

619

otherwise add or remove taxpayers from the list.

620

     (c) The department may adopt rules for the administration

621

of this subsection.

622

     Section 10.  Section 213.0532, Florida Statutes, is created

623

to read:

624

     213.0532 Agreements with financial institutions.--

625

     (1) As used in this section, the term:

626

     (a) "Financial institution" means:

627

     1. A depository institution as defined in 12 U.S.C. s.

628

1813(c);

629

     2. An institution-affiliated party as defined in 12 U.S.C.

630

s. 1813(u);

631

     3. Any federal credit union or state credit union as

632

defined in 12 U.S.C. s. 1752, including an institution-affiliated

633

party of such a credit union as defined in 12 U.S.C s. 1786(r);

634

and

635

     4. Any benefit association, insurance company, safe-deposit

636

company, money market mutual fund, or similar entity authorized

637

to do business in this state.

638

     (b) "Account" means a demand deposit account, checking or

639

negotiable withdrawal order account, savings account, time

640

deposit account, or money-market mutual fund account.

641

     (c) "Department" means the Department of Revenue.

642

     (d) "Obligor" means any person against whose property the

643

department has issued a warrant or filed a judgment lien

644

certificate.

645

     (e) "Person" has the same meaning as in s. 212.02.

646

     (2) The department shall request information and assistance

647

from a financial institution as necessary to enforce the tax laws

648

of the state. Pursuant to such purpose, financial institutions

649

doing business in the state shall enter into agreements with the

650

department to develop and operate a data match system, using an

651

automated data exchange to the maximum extent feasible, in which

652

the financial institution must provide for each calendar quarter

653

the name, record address, social security number or other

654

taxpayer identification number, average daily account balance,

655

and other identifying information for:

656

     (a) Each obligor who maintains an account at the financial

657

institution as identified to the institution by the department by

658

name and social security number or other taxpayer identification

659

number; or

660

     (b) At the financial institution's option, each person who

661

maintains an account at the institution.

662

663

Use of the information received by the department shall be

664

limited to enforcing the collection of taxes and fees

665

administered by the department.

666

     (3) The department shall, to the extent possible and in

667

compliance with state and federal law, administer this section in

668

conjunction with s. 409.25657 in order to avoid duplication and

669

reduce the burden on financial institutions.

670

     (4) The department shall pay a reasonable fee to the

671

financial institution for conducting the data match provided for

672

in this section, which may not exceed actual costs incurred by

673

the financial institution.

674

     (5) A financial institution is not required to provide

675

notice to its customers and is not liable to any person for:

676

     (a) Disclosure to the department of any information

677

required under this section.

678

     (b) Encumbering or surrendering any assets held by the

679

financial institution in response to a notice of lien or levy

680

issued by the department.

681

     (c) Disclosing any information in connection with a data

682

match.

683

     (d) Any other action taken in good faith to comply with the

684

requirements of this section.

685

     (6) Any financial records obtained pursuant to this section

686

may be disclosed only for the purpose of, and to the extent

687

necessary to administer and enforce, the tax laws of this state.

688

     (7) The department may institute civil proceedings against

689

financial institutions, as necessary, to enforce the provisions

690

of this section.

691

     (8) The department may adopt rules establishing the

692

procedures and requirements for conducting automated data matches

693

with financial institutions under this section.

694

     Section 11.  Section 213.25, Florida Statutes, is amended to

695

read:

696

     213.25 Refunds; credits; right of setoff.-- If In any

697

instance that a taxpayer has a refund or credit due for an

698

overpayment of taxes assessed under chapter 443 or any of the

699

chapters specified in s. 72.011(1), the department may reduce

700

such refund or credit to the extent of any billings not subject

701

to protest under chapter 443 or s. 213.21 for the same or any

702

other tax owed by the same taxpayer.

703

     Section 12.  Subsection (8) of section 213.67, Florida

704

Statutes, is amended to read:

705

     213.67  Garnishment.--

706

     (8)  An action may not be brought to contest a notice of

707

intent to levy under chapter 120 or in circuit court if the

708

petition is postmarked or the action is filed more, later than 21

709

days after the date of receipt of the notice of intent to levy.

710

     Section 13.  Section 213.691, Florida Statutes, is created

711

to read:

712

     213.691 Integrated warrants and judgment lien

713

certificates.--In addition to the department's authority to issue

714

warrants and file judgment lien certificates for any unpaid tax,

715

fee, or surcharge it administers, the department may issue a

716

single integrated warrant and file a single integrated judgment

717

lien certificate evidencing a taxpayer's total liability for all

718

taxes, fees, or surcharges administered by the department. Each

719

integrated warrant or integrated judgment lien certificate issued

720

or filed must separately identify and itemize the total amount

721

due for each tax, fee, or surcharge, including any related

722

interest and penalty. In order for a taxpayer's total liability

723

to be included in an integrated warrant or judgment lien

724

certificate, the department must have authority to file a warrant

725

or judgment lien certificate for each tax, fee, or surcharge.

726

     Section 14.  Section 213.692, Florida Statutes, is created

727

to read:

728

     213.692 Integrated enforcement authority.--

729

     (1) If a taxpayer is delinquent in the payment of any tax,

730

fee, or surcharge administered by the department, the department

731

may revoke all of the taxpayer's certificates of registration,

732

permits, or licenses issued by the department. For the purposes

733

of this section, a taxpayer is considered delinquent only if the

734

department has issued a warrant or filed a judgment lien

735

certificate against the taxpayer's property.

736

     (a) Prior to revocation of the taxpayer's certificates of

737

registration, permits, or licenses, the department must schedule

738

an informal conference, which the taxpayer is required to attend

739

and at which the taxpayer may present evidence regarding the

740

department's intended revocation or may enter into a compliance

741

agreement with the department. The department must provide

742

written notice to the taxpayer at the taxpayer's last known

743

address of its intended action and the time, place, and date of

744

the scheduled informal conference. The department shall issue an

745

administrative complaint under chapter 120 if the taxpayer fails

746

to attend the department's informal conference, fails to enter

747

into a compliance agreement with the department, or fails to

748

comply with the executed compliance agreement.

749

     (b) A taxpayer whose certificates of registration, permits,

750

or licenses have been revoked may not be issued a new certificate

751

of registration, permit, or license unless:

752

     1. The taxpayer's outstanding liabilities have been

753

satisfied; or

754

     2. The department enters into a written agreement with the

755

taxpayer regarding the liability and, as part of such agreement,

756

agrees to issue a new certificate of registration, permit, or

757

license to the taxpayer.

758

     (c) The department shall require a cash deposit, bond, or

759

other security as a condition of issuing a new certificate of

760

registration pursuant to the requirements of s. 212.14(4).

761

     (d) If the department issues a warrant or files a judgment

762

lien certificate in connection with a jeopardy assessment, the

763

procedures specified in s. 213.732 must be complied with prior to

764

or in conjunction with those provided in this section.

765

     (2) The department may adopt rules to administer this

766

section.

767

     Section 15. The Executive Director of the Department of

768

Revenue is authorized, and all conditions are deemed met, to

769

adopt emergency rules under ss. 120.563(1) and 120.54(4), Florida

770

Statutes, to administer s. 213.692, Florida Statutes.

771

Notwithstanding any other provision of law, the emergency rules

772

shall remain effective for 6 months after the date of their

773

adoption and may be renewed during the pendency of procedures to

774

adopt rules addressing the subject of the emergency rules.

775

     Section 16.  Section 213.758, Florida Statutes, is created

776

to read:

777

     213.758 Transfer of tax liabilities.--

778

     (1) As used in this section, the term:

779

     (a) "Involuntary transfers" means transfers made without

780

the consent of the transferor, including, but not limited to:

781

     1. Transfers that occur due to the foreclosure of a

782

security interest issued to a person who is not an insider as

783

defined by s. 726.102;

784

     2. Transfers that result from eminent domain and

785

condemnation actions; and

786

     3. Transfers made under the authority of chapter 61,

787

chapter 702, chapter 727, or the United States Bankruptcy Code.

788

     (b) "Transfer" means every mode, direct or indirect, with

789

or without consideration, of disposing of or parting with a

790

business or stock of goods, and includes, but is not limited to,

791

assigning, conveying, devising, gifting, granting, or selling.

792

     (2) Any taxpayer who is liable for any tax, interest, or

793

penalty administered by the department in accordance with chapter

794

443 or s. 72.011(1), excluding corporate income tax, and who

795

quits the business without the benefit of a purchaser,

796

successors, or assigns or without transferring the business or

797

stock of goods to a transferee, must make a final return and full

798

payment within 15 days after quitting the business. A taxpayer

799

failing to file a final return and make payment may not engage in

800

any business in the state until the final return has been filed

801

and the all tax, interest, and penalties due have been paid. If

802

requested by the department, the Department of Legal Affairs may

803

proceed by injunction to prevent further business activity until

804

such tax, interest, or penalties are paid, and a temporary

805

injunction enjoining further business activity shall be granted

806

without notice by any court of competent jurisdiction.

807

     (3) Any taxpayer liable for any tax, interest, or penalty

808

levied under chapter 443 or any of the chapters specified in s.

809

213.05, excluding corporate income tax, who transfers the

810

taxpayer's business or stock of goods, must file a final return

811

and make full payment within 15 days after the date of transfer.

812

     (4) Unless a taxpayer who transfers a business or stock of

813

goods provides a receipt or certificate from the department to

814

the transferee showing that the taxpayer has no further liability

815

for tax, interest, or penalty, the transferee must pay the tax,

816

interest, or penalty due or, if consideration is part of the

817

transfer, withhold a sufficient portion of the purchase money to

818

pay the taxes, interest, or penalties due.

819

     (a) If the transferee withholds any portion of the

820

consideration pursuant to this subsection, the transferee shall

821

pay that portion of the consideration to the department within 30

822

days after the date of transfer.

823

     (b) If the consideration withheld is insufficient, the

824

transferee is liable for the remaining amount owed.

825

     (c) Any transferee acquiring the business or stock of goods

826

who fails to pay the tax, interest, and penalty due shall be

827

denied the right to engage in any business in the state until the

828

tax, interest, and penalty have been paid. If requested by the

829

department, the Department of Legal Affairs may proceed by

830

injunction to prevent further business activity until such tax,

831

interest, and penalties are paid, and a temporary injunction

832

enjoining further business activity shall be granted without

833

notice by any court of competent jurisdiction.

834

     (d) This subsection does not apply to transfers in which

835

parts of the business or stock of goods are transferred to

836

various taxpayers unless more than 50 percent of the business or

837

stock of goods are transferred to one taxpayer or a group of

838

taxpayers acting in concert.

839

     (5) A receipt or certificate from the department does not,

840

without an audit of the transferring taxpayer's books and records

841

by the department, guarantee that there is not a tax deficiency

842

owed to the state from operation of the transferring taxpayer's

843

business. To secure protection from transferee liability under

844

this section, the transferring taxpayer or the transferee may

845

request an audit of the transferring taxpayer's books and

846

records. The department may charge the cost of the audit to the

847

person requesting the audit.

848

     (6) The transferee of a business or stock of goods is

849

jointly and severally liable with any former owner for the

850

payment of the taxes, interest, or penalties accruing and unpaid

851

on account of the operation of the business by any former owner

852

up to the fair market value of the property transferred or the

853

total purchase price, whichever is higher.

854

     (7) This section does not apply to involuntary transfers.

855

     (8) After notice by the department of transferee liability

856

under this section, the taxpayer shall have 60 days within which

857

to file an action as provided in chapter 72.

858

     (9) The department may adopt rules necessary to administer

859

and enforce this section.

860

     Section 17.  Subsection (2) of section 220.21, Florida

861

Statutes, is amended to read:

862

     220.21  Returns and records; regulations.--

863

     (2)  A taxpayer who is required to file its federal income

864

tax return by electronic means on a separate or consolidated

865

basis shall also file returns required by this chapter by

866

electronic means. Pursuant to For the reasons described in s.

867

213.755(9), the department may waive the requirement to file a

868

return by electronic means for taxpayers that are unable to

869

comply despite good faith efforts or due to circumstances beyond

870

the taxpayer's reasonable control. The provisions of this

871

subsection are in addition to the requirements of s. 213.755 to

872

electronically file returns and remit payments required under

873

this chapter. The department may prescribe by rule the format and

874

instructions necessary for electronic filing to ensure a full

875

collection of taxes due. In addition to the authority granted

876

under s. 213.755, the acceptable method of transfer, the method,

877

form, and content of the electronic data interchange, and the

878

means, if any, by which the taxpayer is will be provided with an

879

acknowledgment may be prescribed by the department. If the

880

taxpayer fails In the case of any failure to comply with the

881

electronic filing requirements of this subsection, a penalty

882

shall be added to the amount of tax due with the such return

883

equal to 5 percent of the amount of such tax for the first 30

884

days the return is not filed electronically, with an additional 5

885

percent of such tax for each additional month or fraction

886

thereof, not to exceed $250 in the aggregate. The department may

887

settle or compromise the penalty pursuant to s. 213.21. This

888

penalty is in addition to any other penalty that may be

889

applicable and shall be assessed, collected, and paid in the same

890

manner as taxes.

891

     Section 18. Subsection (2) of section 220.21, Florida

892

Statutes, as amended by this act, shall take effect and apply to

893

returns due on or after January 1, 2008.

894

     Section 19.  Paragraph (c) of subsection (1) of section

895

336.021, Florida Statutes, is amended to read:

896

     336.021  County transportation system; levy of ninth-cent

897

fuel tax on motor fuel and diesel fuel.--

898

     (1)

899

     (c)  Local option taxes collected on sales or use of diesel

900

fuel in this state shall be distributed in the following manner:

901

     1.  The fiscal year of July 1, 1995, through June 30, 1996,

902

shall be the base year for all distributions.

903

     2.  Each year the tax collected, less the service and

904

administrative charges enumerated in s. 215.20 and the allowances

905

allowed under s. 206.91, on the number of gallons reported, up to

906

the total number of gallons reported in the base year, shall be

907

distributed to each county using the distribution percentage

908

calculated for the base year.

909

     3.  After the distribution of taxes pursuant to subparagraph

910

4. 2., additional taxes available for distribution shall first be

911

distributed pursuant to this subparagraph. A distribution shall

912

be made to each county in which a qualified new retail station is

913

located. A qualified new retail station is a retail station that

914

began operation after June 30, 1996, and that has sales of diesel

915

fuel exceeding 50 percent of the sales of diesel fuel reported in

916

the county in which it is located during the 1995-1996 state

917

fiscal year. The determination of whether a new retail station is

918

qualified shall be based on the total gallons of diesel fuel sold

919

at the station during each full month of operation during the 12-

920

month period ending January 31, divided by the number of full

921

months of operation during those 12 months, and the result

922

multiplied by 12. The amount distributed pursuant to this

923

subparagraph to each county in which a qualified new retail

924

station is located shall equal the local option taxes due on the

925

gallons of diesel fuel sold by the new retail station during the

926

year ending January 31, less the service charges enumerated in s.

927

215.20 and the dealer allowance provided for by s. 206.91.

928

Gallons of diesel fuel sold at the qualified new retail station

929

shall be certified to the department by the county requesting the

930

additional distribution by June 15, 1997, and by March 1 in each

931

subsequent year. The certification shall include the beginning

932

inventory, fuel purchases and sales, and the ending inventory for

933

the new retail station for each month of operation during the

934

year, the original purchase invoices for the period, and any

935

other information the department deems reasonable and necessary

936

to establish the certified gallons. The department may review and

937

audit the retail dealer's records provided to a county to

938

establish the gallons sold by the new retail station.

939

Notwithstanding the provisions of this subparagraph, when more

940

than one county qualifies for a distribution pursuant to this

941

subparagraph and the requested distributions exceed the total

942

taxes available for distribution, each county shall receive a

943

prorated share of the moneys available for distribution.

944

     4.  After the distribution of taxes pursuant to subparagraph

945

2. 3., all additional taxes available for distribution, with the

946

exception of subparagraph 3., shall be distributed based on

947

vehicular diesel fuel storage capacities in each county pursuant

948

to this subparagraph. The total vehicular diesel fuel storage

949

capacity shall be established for each fiscal year based on the

950

registration of facilities with the Department of Environmental

951

Protection as required by s. 376.303 for the following facility

952

types: retail stations, fuel user/nonretail, state government,

953

local government, and county government. Each county shall

954

receive a share of the total taxes available for distribution

955

pursuant to this subparagraph equal to a fraction, the numerator

956

of which is the storage capacity located within the county for

957

vehicular diesel fuel in the facility types listed in this

958

subparagraph and the denominator of which is the total statewide

959

storage capacity for vehicular diesel fuel in those facility

960

types. The vehicular diesel fuel storage capacity for each county

961

and facility type shall be that established by the Department of

962

Environmental Protection by June 1, 1997, for the 1996-1997

963

fiscal year, and by January 31 for each succeeding fiscal year.

964

The storage capacities so established shall be final. The storage

965

capacity for any new retail station for which a county receives a

966

distribution pursuant to subparagraph  3. shall not be included

967

in the calculations pursuant to this subparagraph.

968

     Section 20.  Paragraph (b) of subsection (2) of section

969

443.1215, Florida Statutes, is amended to read:

970

     443.1215  Employers.--

971

     (2)

972

     (b)  In determining whether an employing unit for which

973

service, other than agricultural labor, is also performed is an

974

employer under paragraph (1)(a), paragraph (1)(b), paragraph

975

(1)(c), or subparagraph (1)(d)2., the wages earned or the

976

employment of an employee performing service in agricultural

977

labor may not be taken into account. If an employing unit is

978

determined to be an employer of agricultural labor, the employing

979

unit is considered an employer for purposes of paragraph (1)(a)

980

subsection (1).

981

     Section 21.  Subsection (2) of section 443.1316, Florida

982

Statutes, is amended to read:

983

     443.1316  Unemployment tax collection services; interagency

984

agreement.--

985

     (2)(a) The Department of Revenue is considered to be

986

administering a revenue law of this state when the department

987

implements this chapter, or otherwise provides unemployment tax

988

collection services, under contract with the Agency for Workforce

989

Innovation through the interagency agreement.

990

     (3)(b) Sections 213.015(1)-(3), (5)-(7), (9)-(19), and

991

(21); 213.018; 213.025; 213.051; 213.053; 213.0535; 213.055;

992

213.071; 213.10; 213.21(4); 213.2201; 213.23; 213.24; 213.25;

993

213.27; 213.28; 213.285; 213.34(1), (3), and (4); 213.37; 213.50;

994

213.67; 213.69; 213.691; 213.692; 213.73; 213.733; 213.74; and

995

213.757, and 213.758 apply to the collection of unemployment

996

contributions and reimbursements by the Department of Revenue

997

unless prohibited by federal law.

998

     Section 22.  Subsection (1) and paragraph (a) of subsection

999

(3) of section 443.141, Florida Statutes, are amended to read:

1000

     443.141  Collection of contributions and reimbursements.--

1001

     (1) PAST DUE CONTRIBUTIONS AND REIMBURSEMENTS; DELINQUENT,

1002

ERRONEOUS, INCOMPLETE, OR INSUFFICIENT REPORTS.--

1003

     (a)  Interest.--Contributions or reimbursements unpaid on

1004

the date due shall bear interest at the rate of 1 percent per

1005

month from and after that date until payment plus accrued

1006

interest is received by the tax collection service provider,

1007

unless the service provider finds that the employing unit has or

1008

had good reason for failure to pay the contributions or

1009

reimbursements when due. Interest collected under this subsection

1010

must be paid into the Special Employment Security Administration

1011

Trust Fund.

1012

     (b) Penalty for delinquent, erroneous, incomplete, or

1013

insufficient reports.--

1014

     1. An employing unit that fails to file a any report

1015

required by the Agency for Workforce Innovation or its tax

1016

collection service provider, in accordance with rules for

1017

administering this chapter, shall pay to the tax collection

1018

service provider for each delinquent report the sum of $25 for

1019

each 30 days or fraction thereof that the employing unit is

1020

delinquent, unless the agency or its service provider, whichever

1021

required the report, finds that the employing unit has or had

1022

good reason for failure to file the report. The agency or its

1023

service provider may assess penalties only through the date of

1024

the issuance of the final assessment notice. However, additional

1025

penalties accrue if the delinquent report is subsequently filed.

1026

     2. An employing unit that files an erroneous, incomplete,

1027

or insufficient report required by the Agency for Workforce

1028

Innovation or its tax collection service provider, shall pay a

1029

penalty of $50 or 10 percent of any tax due, whichever is

1030

greater, which is added to any tax, penalty, or interest

1031

otherwise due. This penalty may not exceed $300 per report. For

1032

purposes of this chapter, an "erroneous, incomplete, or

1033

insufficient report" is one so lacking in information,

1034

completeness, or arrangement that the report cannot be readily

1035

understood, verified, or reviewed. This includes, but is not

1036

limited to, reports having missing wage or employee information,

1037

missing or incorrect social security numbers, or illegible

1038

entries; reports submitted in a format that was not approved by

1039

the agency or its tax collection service provider; and those

1040

showing gross wages that do not equal the total of each

1041

individual's wage.

1042

     3.2. Sums collected as penalties under this paragraph

1043

subparagraph 1. must be deposited in the Special Employment

1044

Security Administration Trust Fund.

1045

     4.3. The penalty and interest for a delinquent, erroneous,

1046

incomplete, or insufficient report may be waived if when the

1047

penalty or interest is inequitable. The provisions of s.

1048

213.24(1) apply to any penalty or interest that is imposed under

1049

this paragraph section.

1050

     (c) Application of partial payments.--If When a delinquency

1051

exists in the employment record of an employer not in bankruptcy,

1052

a partial payment less than the total delinquency amount shall be

1053

applied to the employment record as the payor directs. In the

1054

absence of specific direction, the partial payment shall be

1055

applied to the payor's employment record as prescribed in the

1056

rules of the Agency for Workforce Innovation or the state agency

1057

providing tax collection services.

1058

     (3)  COLLECTION PROCEEDINGS.--

1059

     (a)  Lien for payment of contributions or reimbursements.--

1060

     1.  There is created a lien in favor of the tax collection

1061

service provider upon all the property, both real and personal,

1062

of any employer liable for payment of any contribution or

1063

reimbursement levied and imposed under this chapter for the

1064

amount of the contributions or reimbursements due, together with

1065

any interest, costs, and penalties. If any contribution or

1066

reimbursement levied imposed under this chapter or any portion of

1067

that contribution, reimbursement, interest, or penalty is not

1068

paid within 60 days after becoming delinquent, the tax collection

1069

service provider may subsequently issue a notice of lien that may

1070

be filed in the office of the clerk of the circuit court of the

1071

any county in which the delinquent employer owns property or

1072

conducts has conducted business. The notice of lien must include

1073

the periods for which the contributions, reimbursements,

1074

interest, or penalties are demanded and the amounts due. A copy

1075

of the notice of lien must be mailed to the employer at her or

1076

his last known address. The notice of lien may not be issued and

1077

recorded until 15 days after the date the assessment becomes

1078

final under subsection (2). Upon presentation of the notice of

1079

lien, the clerk of the circuit court shall record it in a book

1080

maintained for that purpose, and the amount of the notice of

1081

lien, together with the cost of recording and interest accruing

1082

upon the amount of the contribution or reimbursement, becomes a

1083

lien upon the title to and interest, whether legal or equitable,

1084

in any real property, chattels real, or personal property of the

1085

employer against whom the notice of lien is issued, in the same

1086

manner as a judgment of the circuit court docketed in the office

1087

of the circuit court clerk, with execution issued to the sheriff

1088

for levy. This lien is prior, preferred, and superior to all

1089

mortgages or other liens filed, recorded, or acquired after the

1090

notice of lien is filed. Upon the payment of the amounts due, or

1091

upon determination by the tax collection service provider that

1092

the notice of lien was erroneously issued, the lien is satisfied

1093

when the service provider acknowledges in writing that the lien

1094

is fully satisfied. A lien's satisfaction does not need to be

1095

acknowledged before any notary or other public officer, and the

1096

signature of the director of the tax collection service provider

1097

or his or her designee is conclusive evidence of the satisfaction

1098

of the lien, which satisfaction shall be recorded by the clerk of

1099

the circuit court who receives the fees for those services.

1100

     2.  The tax collection service provider may subsequently

1101

issue a warrant directed to any sheriff in this state, commanding

1102

him or her to levy upon and sell any real or personal property of

1103

the employer liable for any amount under this chapter within his

1104

or her jurisdiction, for payment, with the added penalties and

1105

interest and the costs of executing the warrant, together with

1106

the costs of the clerk of the circuit court in recording and

1107

docketing the notice of lien, and to return the warrant to the

1108

service provider with payment. The warrant may only be issued and

1109

enforced for all amounts due to the tax collection service

1110

provider on the date the warrant is issued, together with

1111

interest accruing on the contribution or reimbursement due from

1112

the employer to the date of payment at the rate provided in this

1113

section. In the event of sale of any assets of the employer,

1114

however, priorities under the warrant shall be determined in

1115

accordance with the priority established by any notices of lien

1116

filed by the tax collection service provider and recorded by the

1117

clerk of the circuit court. The sheriff shall execute the warrant

1118

in the same manner prescribed by law for executions issued by the

1119

clerk of the circuit court for judgments of the circuit court.

1120

The sheriff is entitled to the same fees for executing the

1121

warrant as for a writ of execution out of the circuit court, and

1122

these fees must be collected in the same manner.

1123

     3. The lien created under this paragraph shall expire 10

1124

years after the notice of lien is recorded and no action may be

1125

commenced to collect the tax after the expiration of the lien.

1126

     Section 23.  Paragraph (c) is added to subsection (6) of

1127

section 509.261, Florida Statutes, to read:

1128

     509.261  Revocation or suspension of licenses; fines;

1129

procedure.--

1130

     (6)  The division may fine, suspend, or revoke the license

1131

of any public lodging establishment or public food service

1132

establishment when:

1133

     (c) The licensee is delinquent in the payment of any tax,

1134

fee, or surcharge, including penalty and interest, imposed or

1135

administered under chapter 212, and the Department of Revenue has

1136

issued a warrant or filed a judgment lien certificate against the

1137

licensee's property.

1138

     Section 24.  Paragraph (b) of subsection (5) of section

1139

624.509, Florida Statutes, is amended to read:

1140

     624.509  Premium tax; rate and computation.--

1141

     (5)

1142

     (b)  For purposes of this subsection:

1143

     1.  The term "salaries" does not include amounts paid as

1144

commissions.

1145

     2.  The term "employees" does not include independent

1146

contractors or any person whose duties require that the person

1147

hold a valid license under the Florida Insurance Code, except

1148

adjusters, managing general agents, and service representatives,

1149

as defined in s. 626.015.

1150

     3.  The term "net tax" means the tax imposed by this section

1151

after applying the calculations and credits set forth in

1152

subsection (4).

1153

     4.  An affiliated group of corporations that created a

1154

service company within its affiliated group on July 30, 2002,

1155

shall allocate the salary of each service company employee

1156

covered by contracts with affiliated group members to the

1157

companies for which the employees perform services. The salary

1158

allocation is based on the amount of time during the tax year

1159

that the individual employee spends performing services or

1160

otherwise working for each company over the total amount of time

1161

the employee spends performing services or otherwise working for

1162

all companies. The total amount of salary allocated to an

1163

insurance company within the affiliated group shall be included

1164

as that insurer's employee salaries for purposes of this section.

1165

     a.  Except as provided in subparagraph (a)2., the term

1166

"affiliated group of corporations" means two or more corporations

1167

that are entirely owned by a single corporation and that

1168

constitute an affiliated group of corporations as defined in s.

1169

1504(a) of the Internal Revenue Code.

1170

     b.  The term "service company" means a separate corporation

1171

within the affiliated group of corporations whose employees

1172

provide services to affiliated group members and which are

1173

treated as service company employees for unemployment

1174

compensation and common law purposes. The holding company of an

1175

affiliated group may not qualify as a service company. An

1176

insurance company may not qualify as a service company.

1177

     c.  If an insurance company fails to substantiate, whether

1178

by means of adequate records or otherwise, its eligibility to

1179

claim the service company exception under this section, or its

1180

salary allocation under this section, no credit shall be allowed.

1181

     5. A service company that is a subsidiary of a mutual

1182

insurance holding company, which mutual insurance holding company

1183

was in existence on or before January 1, 2000, shall allocate the

1184

salary of each service company employee covered by contracts with

1185

members of the mutual insurance holding company system to the

1186

companies for which the employees perform services. The salary

1187

allocation is based on the ratio of the amount of time during the

1188

tax year which the individual employee spends performing services

1189

or otherwise working for each company to the total amount of time

1190

the employee spends performing services or otherwise working for

1191

all companies. The total amount of salary allocated to an

1192

insurance company within the mutual insurance holding company

1193

system shall be included as that insurer's employee salaries for

1194

purposes of this section. However, this subparagraph does not

1195

apply for any tax year unless funds sufficient to offset the

1196

anticipated salary credits have been appropriated to the General

1197

Revenue Fund prior to the due date of the final return for that

1198

year.

1199

     a. The term "mutual insurance holding company system" means

1200

two or more corporations that are subsidiaries of a mutual

1201

insurance holding company and in compliance with part IV of

1202

chapter 628.

1203

     b. The term "service company" means a separate corporation

1204

within the mutual insurance holding company system whose

1205

employees provide services to other members of the mutual

1206

insurance holding company system and are treated as service

1207

company employees for unemployment compensation and common-law

1208

purposes. The mutual insurance holding company may not qualify as

1209

a service company.

1210

     c. If an insurance company fails to substantiate, whether

1211

by means of adequate records or otherwise, its eligibility to

1212

claim the service company exception under this section, or its

1213

salary allocation under this section, no credit shall be allowed.

1214

     Section 25. Section 213.054, Florida Statutes, is repealed.

1215

     Section 26.  Except as otherwise expressly provided in this

1216

act and except for this section, which shall take effect upon

1217

becoming a law, this act shall take effect July 1, 2008.

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