HB 51

1	A bill to be entitled
2	An act relating to the tax on sales, use, and other
3	transactions; amending s. 212.05, F.S.; providing an
4	alternative rate of taxation on sales of aircraft;
5	amending s. 212.08, F.S.; exempting from the use tax
6	aircraft owned by nonresidents and entering and remaining
7	in the state for certain purposes under certain
8	circumstances; providing an effective date.
9
10	Be It Enacted by the Legislature of the State of Florida:
11
12	Section 1.  Paragraph (a) of subsection (1) of section
13	212.05, Florida Statutes, is amended to read:
14	212.05  Sales, storage, use tax.--It is hereby declared to
15	be the legislative intent that every person is exercising a
16	taxable privilege who engages in the business of selling
17	tangible personal property at retail in this state, including
18	the business of making mail order sales, or who rents or
19	furnishes any of the things or services taxable under this
20	chapter, or who stores for use or consumption in this state any
21	item or article of tangible personal property as defined herein
22	and who leases or rents such property within the state.
23	(1)  For the exercise of such privilege, a tax is levied on
24	each taxable transaction or incident, which tax is due and
25	payable as follows:
26	(a)1.a.  At the rate of 6 percent of the sales price of
27	each item or article of tangible personal property when sold at
28	retail in this state, computed on each taxable sale for the
29	purpose of remitting the amount of tax due the state, and
30	including each and every retail sale, except that the tax rate
31	on sales of aircraft shall be at the rate of 3 percent of the
32	sales price of the aircraft.
33	b.  Each occasional or isolated sale of an aircraft, boat,
34	mobile home, or motor vehicle of a class or type which is
35	required to be registered, licensed, titled, or documented in
36	this state or by the United States Government shall be subject
37	to tax at the rate provided in this paragraph. The department
38	shall by rule adopt any nationally recognized publication for
39	valuation of used motor vehicles as the reference price list for
40	any used motor vehicle which is required to be licensed pursuant
41	to s. 320.08(1), (2), (3)(a), (b), (c), or (e), or (9). If any
42	party to an occasional or isolated sale of such a vehicle
43	reports to the tax collector a sales price which is less than 80
44	percent of the average loan price for the specified model and
45	year of such vehicle as listed in the most recent reference
46	price list, the tax levied under this paragraph shall be
47	computed by the department on such average loan price unless the
48	parties to the sale have provided to the tax collector an
49	affidavit signed by each party, or other substantial proof,
50	stating the actual sales price. Any party to such sale who
51	reports a sales price less than the actual sales price is guilty
52	of a misdemeanor of the first degree, punishable as provided in
53	s. 775.082 or s. 775.083. The department shall collect or
54	attempt to collect from such party any delinquent sales taxes.
55	In addition, such party shall pay any tax due and any penalty
56	and interest assessed plus a penalty equal to twice the amount
57	of the additional tax owed. Notwithstanding any other provision
58	of law, the Department of Revenue may waive or compromise any
59	penalty imposed pursuant to this subparagraph.
60	2.  This paragraph does not apply to the sale of a boat or
61	aircraft by or through a registered dealer under this chapter to
62	a purchaser who, at the time of taking delivery, is a
63	nonresident of this state, does not make his or her permanent
64	place of abode in this state, and is not engaged in carrying on
65	in this state any employment, trade, business, or profession in
66	which the boat or aircraft will be used in this state, or is a
67	corporation none of the officers or directors of which is a
68	resident of, or makes his or her permanent place of abode in,
69	this state, or is a noncorporate entity that has no individual
70	vested with authority to participate in the management,
71	direction, or control of the entity's affairs who is a resident
72	of, or makes his or her permanent abode in, this state. For
73	purposes of this exemption, either a registered dealer acting on
74	his or her own behalf as seller, a registered dealer acting as
75	broker on behalf of a seller, or a registered dealer acting as
76	broker on behalf of the purchaser may be deemed to be the
77	selling dealer. This exemption shall not be allowed unless:
78	a.  The purchaser removes a qualifying boat, as described
79	in sub-subparagraph f., from the state within 90 days after the
80	date of purchase or the purchaser removes a nonqualifying boat
81	or an aircraft from this state within 10 days after the date of
82	purchase or, when the boat or aircraft is repaired or altered,
83	within 20 days after completion of the repairs or alterations;
84	b.  The purchaser, within 30 days from the date of
85	departure, shall provide the department with written proof that
86	the purchaser licensed, registered, titled, or documented the
87	boat or aircraft outside the state. If such written proof is
88	unavailable, within 30 days the purchaser shall provide proof
89	that the purchaser applied for such license, title,
90	registration, or documentation. The purchaser shall forward to
91	the department proof of title, license, registration, or
92	documentation upon receipt.
93	c.  The purchaser, within 10 days of removing the boat or
94	aircraft from Florida, shall furnish the department with proof
95	of removal in the form of receipts for fuel, dockage, slippage,
96	tie-down, or hangaring from outside of Florida. The information
97	so provided must clearly and specifically identify the boat or
98	aircraft;
99	d.  The selling dealer, within 5 days of the date of sale,
100	shall provide to the department a copy of the sales invoice,
101	closing statement, bills of sale, and the original affidavit
102	signed by the purchaser attesting that he or she has read the
103	provisions of this section;
104	e.  The seller makes a copy of the affidavit a part of his
105	or her record for as long as required by s. 213.35; and
106	f.  Unless the nonresident purchaser of a boat of 5 net
107	tons of admeasurement or larger intends to remove the boat from
108	this state within 10 days after the date of purchase or when the
109	boat is repaired or altered, within 20 days after completion of
110	the repairs or alterations, the nonresident purchaser shall
111	apply to the selling dealer for a decal which authorizes 90 days
112	after the date of purchase for removal of the boat. The
113	department is authorized to issue decals in advance to dealers.
114	The number of decals issued in advance to a dealer shall be
115	consistent with the volume of the dealer's past sales of boats
116	which qualify under this sub-subparagraph. The selling dealer or
117	his or her agent shall mark and affix the decals to qualifying
118	boats in the manner prescribed by the department, prior to
119	delivery of the boat.
120	(I)  The department is hereby authorized to charge dealers
121	a fee sufficient to recover the costs of decals issued.
122	(II)  The proceeds from the sale of decals will be
123	deposited into the administrative trust fund.
124	(III)  Decals shall display information to identify the
125	boat as a qualifying boat under this sub-subparagraph,
126	including, but not limited to, the decal's date of expiration.
127	(IV)  The department is authorized to require dealers who
128	purchase decals to file reports with the department and may
129	prescribe all necessary records by rule. All such records are
130	subject to inspection by the department.
131	(V)  Any dealer or his or her agent who issues a decal
132	falsely, fails to affix a decal, mismarks the expiration date of
133	a decal, or fails to properly account for decals will be
134	considered prima facie to have committed a fraudulent act to
135	evade the tax and will be liable for payment of the tax plus a
136	mandatory penalty of 200 percent of the tax, and shall be liable
137	for fine and punishment as provided by law for a conviction of a
138	misdemeanor of the first degree, as provided in s. 775.082 or s.
139	775.083.
140	(VI)  Any nonresident purchaser of a boat who removes a
141	decal prior to permanently removing the boat from the state, or
142	defaces, changes, modifies, or alters a decal in a manner
143	affecting its expiration date prior to its expiration, or who
144	causes or allows the same to be done by another, will be
145	considered prima facie to have committed a fraudulent act to
146	evade the tax and will be liable for payment of the tax plus a
147	mandatory penalty of 200 percent of the tax, and shall be liable
148	for fine and punishment as provided by law for a conviction of a
149	misdemeanor of the first degree, as provided in s. 775.082 or s.
150	775.083.
151	(VII)  The department is authorized to adopt rules
152	necessary to administer and enforce this subparagraph and to
153	publish the necessary forms and instructions.
154	(VIII)  The department is hereby authorized to adopt
155	emergency rules pursuant to s. 120.54(4) to administer and
156	enforce the provisions of this subparagraph.
157
158	If the purchaser fails to remove the qualifying boat from this
159	state within 90 days after purchase or a nonqualifying boat or
160	an aircraft from this state within 10 days after purchase or,
161	when the boat or aircraft is repaired or altered, within 20 days
162	after completion of such repairs or alterations, or permits the
163	boat or aircraft to return to this state within 6 months from
164	the date of departure, or if the purchaser fails to furnish the
165	department with any of the documentation required by this
166	subparagraph within the prescribed time period, the purchaser
167	shall be liable for use tax on the cost price of the boat or
168	aircraft and, in addition thereto, payment of a penalty to the
169	Department of Revenue equal to the tax payable. This penalty
170	shall be in lieu of the penalty imposed by s. 212.12(2) and is
171	mandatory and shall not be waived by the department. The 90-day
172	period following the sale of a qualifying boat tax-exempt to a
173	nonresident may not be tolled for any reason. Notwithstanding
174	other provisions of this paragraph to the contrary, an aircraft
175	purchased in this state under the provisions of this paragraph
176	may be returned to this state for repairs within 6 months after
177	the date of its departure without being in violation of the law
178	and without incurring liability for the payment of tax or
179	penalty on the purchase price of the aircraft if the aircraft is
180	removed from this state within 20 days after the completion of
181	the repairs and if such removal can be demonstrated by invoices
182	for fuel, tie-down, hangar charges issued by out-of-state
183	vendors or suppliers, or similar documentation.
184	Section 2.  Paragraph (ggg) is added to subsection (7) of
185	section 212.08, Florida Statutes, to read:
186	212.08  Sales, rental, use, consumption, distribution, and
187	storage tax; specified exemptions.--The sale at retail, the
188	rental, the use, the consumption, the distribution, and the
189	storage to be used or consumed in this state of the following
190	are hereby specifically exempt from the tax imposed by this
191	chapter.
192	(7)  MISCELLANEOUS EXEMPTIONS.--Exemptions provided to any
193	entity by this chapter do not inure to any transaction that is
194	otherwise taxable under this chapter when payment is made by a
195	representative or employee of the entity by any means,
196	including, but not limited to, cash, check, or credit card, even
197	when that representative or employee is subsequently reimbursed
198	by the entity. In addition, exemptions provided to any entity by
199	this subsection do not inure to any transaction that is
200	otherwise taxable under this chapter unless the entity has
201	obtained a sales tax exemption certificate from the department
202	or the entity obtains or provides other documentation as
203	required by the department. Eligible purchases or leases made
204	with such a certificate must be in strict compliance with this
205	subsection and departmental rules, and any person who makes an
206	exempt purchase with a certificate that is not in strict
207	compliance with this subsection and the rules is liable for and
208	shall pay the tax. The department may adopt rules to administer
209	this subsection.
210	(ggg)  Aircraft temporarily in the state.--
211	1.  An aircraft owned by a person who is not a resident of
212	this state is exempt from the use tax imposed under this chapter
213	if the aircraft enters and remains in this state for less than a
214	total of 21 days during the 6-month period after the date of
215	purchase. The temporary use of the aircraft and subsequent
216	removal from this state may be proven by invoices for fuel or
217	tie-down or hangar charges issued by out-of-state vendors or
218	suppliers or similar documentation that clearly and specifically
219	identifies the aircraft. The exemption provided by this
220	subparagraph shall be in addition to the provisions of
221	subparagraph 2. and s. 212.05(1)(a).
222	2.  An aircraft owned by a person who is not a resident of
223	this state is exempt from the use tax imposed under this chapter
224	if the aircraft enters or remains in this state exclusively for
225	purposes of flight training, repairs, alterations, refitting, or
226	modification. Such flight training, repairs, alterations,
227	refitting, or modification shall be supported by written
228	documentation issued by in-state vendors or suppliers which
229	clearly and specifically identifies the aircraft. The exemption
230	provided by this subparagraph shall be in addition to the
231	provisions of subparagraph 1. and s. 212.05(1)(a).
232	Section 3.  This act shall take effect July 1, 2009.

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