Florida Senate - 2012                                    SB 1548
       
       
       
       By Senator Hays
       
       
       
       
       20-00960A-12                                          20121548__
    1                        A bill to be entitled                      
    2         An act relating to the tax on sales, use, and other
    3         transactions; repealing s. 212.031, F.S., relating to
    4         imposition of a tax on the rental or license fee
    5         charged for the use of commercial real property;
    6         amending ss. 212.0598, 212.0602, 288.1258, 338.234,
    7         and 341.840, F.S.; conforming cross-references;
    8         providing an effective date.
    9  
   10  Be It Enacted by the Legislature of the State of Florida:
   11  
   12         Section 1. Section 212.031, Florida Statutes, is repealed.
   13         Section 2. Subsection (2) of section 212.0598, Florida
   14  Statutes, is amended to read:
   15         212.0598 Special provisions; air carriers.—
   16         (2) The basis of the tax shall be the ratio of Florida
   17  mileage to total mileage as determined pursuant to chapter 220
   18  and this section. The ratio shall be determined at the close of
   19  the carrier’s preceding fiscal year. However, during the fiscal
   20  year in which the air carrier begins initial operations in this
   21  state, the carrier may determine its mileage apportionment
   22  factor based on an estimated ratio of anticipated revenue miles
   23  in this state to anticipated total revenue miles. In such cases,
   24  the air carrier shall pay additional tax or apply for a refund
   25  based on the actual ratio for that year. The applicable ratio
   26  shall be applied each month to the carrier’s total systemwide
   27  gross purchases of tangible personal property and services
   28  otherwise taxable in Florida. Additionally, the ratio shall be
   29  applied each month to the carrier’s total systemwide payments
   30  for the lease or rental of, or license in, real property used by
   31  the carrier substantially for aircraft maintenance if that
   32  carrier employed, on average, during the previous calendar
   33  quarter in excess of 3,000 full-time equivalent maintenance or
   34  repair employees at one maintenance base that it leases, rents,
   35  or has a license in, in this state. In all other instances, the
   36  tax on real property leased, rented, or licensed by the carrier
   37  shall be as provided in s. 212.031.
   38         Section 3. Section 212.0602, Florida Statutes, is amended
   39  to read:
   40         212.0602 Education; limited exemption.—To facilitate
   41  investment in education and job training, there is also exempt
   42  from the taxes levied under this chapter, subject to the
   43  provisions of this section, the purchase or lease of materials,
   44  equipment, and other items or the license in or lease of real
   45  property by any entity, institution, or organization that is
   46  primarily engaged in teaching students to perform any of the
   47  activities or services described in former s. 212.031(1)(a)9.,
   48  that conducts classes at a fixed location located in this state,
   49  that is licensed under chapter 1005, and that has at least 500
   50  enrolled students. Any entity, institution, or organization
   51  meeting the requirements of this section shall be deemed to
   52  qualify for the exemptions in former s. ss. 212.031(1)(a)9. and
   53  s. 212.08(5)(f) and (12), and to qualify for an exemption for
   54  its purchase or lease of materials, equipment, and other items
   55  used for education or demonstration of the school’s curriculum,
   56  including supporting operations. Nothing in this section shall
   57  preclude an entity described in this section from qualifying for
   58  any other exemption provided for in this chapter.
   59         Section 4. Subsections (2) and (3) of section 288.1258,
   60  Florida Statutes, are amended to read:
   61         288.1258 Entertainment industry qualified production
   62  companies; application procedure; categories; duties of the
   63  Department of Revenue; records and reports.—
   64         (2) APPLICATION PROCEDURE.—
   65         (a) The Department of Revenue will review all submitted
   66  applications for the required information. Within 10 working
   67  days after the receipt of a properly completed application, the
   68  Department of Revenue will forward the completed application to
   69  the Office of Film and Entertainment for approval.
   70         (b)1. The Office of Film and Entertainment shall establish
   71  a process by which an entertainment industry production company
   72  may be approved by the office as a qualified production company
   73  and may receive a certificate of exemption from the Department
   74  of Revenue for the sales and use tax exemptions under ss.
   75  212.031, 212.06, and 212.08.
   76         2. Upon determination by the Office of Film and
   77  Entertainment that a production company meets the established
   78  approval criteria and qualifies for exemption, the Office of
   79  Film and Entertainment shall return the approved application or
   80  application renewal or extension to the Department of Revenue,
   81  which shall issue a certificate of exemption.
   82         3. The Office of Film and Entertainment shall deny an
   83  application or application for renewal or extension from a
   84  production company if it determines that the production company
   85  does not meet the established approval criteria.
   86         (c) The Office of Film and Entertainment shall develop,
   87  with the cooperation of the Department of Revenue and local
   88  government entertainment industry promotion agencies, a
   89  standardized application form for use in approving qualified
   90  production companies.
   91         1. The application form shall include, but not be limited
   92  to, production-related information on employment, proposed
   93  budgets, planned purchases of items exempted from sales and use
   94  taxes under ss. 212.031, 212.06, and 212.08, a signed
   95  affirmation from the applicant that any items purchased for
   96  which the applicant is seeking a tax exemption are intended for
   97  use exclusively as an integral part of entertainment industry
   98  preproduction, production, or postproduction activities engaged
   99  in primarily in this state, and a signed affirmation from the
  100  Office of Film and Entertainment that the information on the
  101  application form has been verified and is correct. In lieu of
  102  information on projected employment, proposed budgets, or
  103  planned purchases of exempted items, a production company
  104  seeking a 1-year certificate of exemption may submit summary
  105  historical data on employment, production budgets, and purchases
  106  of exempted items related to production activities in this
  107  state. Any information gathered from production companies for
  108  the purposes of this section shall be considered confidential
  109  taxpayer information and shall be disclosed only as provided in
  110  s. 213.053.
  111         2. The application form may be distributed to applicants by
  112  the Office of Film and Entertainment or local film commissions.
  113         (d) All applications, renewals, and extensions for
  114  designation as a qualified production company shall be processed
  115  by the Office of Film and Entertainment.
  116         (e) In the event that the Department of Revenue determines
  117  that a production company no longer qualifies for a certificate
  118  of exemption, or has used a certificate of exemption for
  119  purposes other than those authorized by this section and chapter
  120  212, the Department of Revenue shall revoke the certificate of
  121  exemption of that production company, and any sales or use taxes
  122  exempted on items purchased or leased by the production company
  123  during the time such company did not qualify for a certificate
  124  of exemption or improperly used a certificate of exemption shall
  125  become immediately due to the Department of Revenue, along with
  126  interest and penalty as provided by s. 212.12. In addition to
  127  the other penalties imposed by law, any person who knowingly and
  128  willfully falsifies an application, or uses a certificate of
  129  exemption for purposes other than those authorized by this
  130  section and chapter 212, commits a felony of the third degree,
  131  punishable as provided in ss. 775.082, 775.083, and 775.084.
  132         (3) CATEGORIES.—
  133         (a)1. A production company may be qualified for designation
  134  as a qualified production company for a period of 1 year if the
  135  company has operated a business in Florida at a permanent
  136  address for a period of 12 consecutive months. Such a qualified
  137  production company shall receive a single 1-year certificate of
  138  exemption from the Department of Revenue for the sales and use
  139  tax exemptions under ss. 212.031, 212.06, and 212.08, which
  140  certificate shall expire 1 year after issuance or upon the
  141  cessation of business operations in the state, at which time the
  142  certificate shall be surrendered to the Department of Revenue.
  143         2. The Office of Film and Entertainment shall develop a
  144  method by which a qualified production company may annually
  145  renew a 1-year certificate of exemption for a period of up to 5
  146  years without requiring the production company to resubmit a new
  147  application during that 5-year period.
  148         3. Any qualified production company may submit a new
  149  application for a 1-year certificate of exemption upon the
  150  expiration of that company’s certificate of exemption.
  151         (b)1. A production company may be qualified for designation
  152  as a qualified production company for a period of 90 days. Such
  153  production company shall receive a single 90-day certificate of
  154  exemption from the Department of Revenue for the sales and use
  155  tax exemptions under ss. 212.031, 212.06, and 212.08, which
  156  certificate shall expire 90 days after issuance, with extensions
  157  contingent upon approval of the Office of Film and
  158  Entertainment. The certificate shall be surrendered to the
  159  Department of Revenue upon its expiration.
  160         2. Any production company may submit a new application for
  161  a 90-day certificate of exemption upon the expiration of that
  162  company’s certificate of exemption.
  163         Section 5. Section 338.234, Florida Statutes, is amended to
  164  read:
  165         338.234 Granting concessions or selling along the turnpike
  166  system; immunity from taxation.—
  167         (1) The department may enter into contracts or licenses
  168  with any person for the sale of services or products or business
  169  opportunities on the turnpike system, or the turnpike enterprise
  170  may sell services, products, or business opportunities on the
  171  turnpike system, which benefit the traveling public or provide
  172  additional revenue to the turnpike system. Services, business
  173  opportunities, and products authorized to be sold include, but
  174  are not limited to, motor fuel, vehicle towing, and vehicle
  175  maintenance services; food with attendant nonalcoholic
  176  beverages; lodging, meeting rooms, and other business services
  177  opportunities; advertising and other promotional opportunities,
  178  which advertising and promotions must be consistent with the
  179  dignity and integrity of the state; state lottery tickets sold
  180  by authorized retailers; games and amusements that operate by
  181  the application of skill, not including games of chance as
  182  defined in s. 849.16 or other illegal gambling games; Florida
  183  citrus, goods promoting the state, or handmade goods produced
  184  within the state; and travel information, tickets, reservations,
  185  or other related services. However, the department, pursuant to
  186  the grants of authority to the turnpike enterprise under this
  187  section, shall not exercise the power of eminent domain solely
  188  for the purpose of acquiring real property in order to provide
  189  business services or opportunities, such as lodging and meeting
  190  room space on the turnpike system.
  191         (2) The effectuation of the authorized purposes of the
  192  Florida Intrastate Highway System and Florida Turnpike
  193  Enterprise, created under this chapter, is for the benefit of
  194  the people of the state, for the increase of their commerce and
  195  prosperity, and for the improvement of their health and living
  196  conditions; and, because the system and enterprise perform
  197  essential government functions in effectuating such purposes,
  198  neither the turnpike enterprise nor any nongovernment lessee or
  199  licensee renting, leasing, or licensing real property from the
  200  turnpike enterprise, pursuant to an agreement authorized by this
  201  section, are required to pay any commercial rental tax imposed
  202  under s. 212.031 on any capital improvements constructed,
  203  improved, acquired, installed, or used for such purposes.
  204         Section 6. Paragraph (a) of subsection (3) of section
  205  341.840, Florida Statutes, is amended to read:
  206         341.840 Tax exemption.—
  207         (3)(a) Purchases or leases of tangible personal property or
  208  real property by the authority, excluding agents of the
  209  authority, are exempt from taxes imposed by chapter 212 as
  210  provided in s. 212.08(6). Purchases or leases of tangible
  211  personal property that is incorporated into the high-speed rail
  212  system as a component part thereof, as determined by the
  213  authority, by agents of the authority or the owner of the high
  214  speed rail system are exempt from sales or use taxes imposed by
  215  chapter 212. Leases, rentals, or licenses to use real property
  216  granted to agents of the authority or the owner of the high
  217  speed rail system are exempt from taxes imposed by s. 212.031 if
  218  the real property becomes part of such system. The exemptions
  219  granted in this subsection do not apply to sales, leases, or
  220  licenses by the authority, agents of the authority, or the owner
  221  of the high-speed rail system.
  222         Section 7. This act shall take effect July 1, 2012.