Florida Senate - 2014         (PROPOSED COMMITTEE BILL) SPB 7066
       
       
        
       FOR CONSIDERATION By the Committee on Appropriations
       
       
       
       
       
       576-00885A-14                                         20147066__
    1                        A bill to be entitled                      
    2         An act relating to tax administration; amending s.
    3         195.096, F.S.; removing the requirement that the
    4         department review the level of assessment of use
    5         valued properties in its reviews of county assessment
    6         rolls; amending s. 212.07, F.S.; conforming a cross
    7         reference to changes made by the act; providing
    8         monetary and criminal penalties for a dealer’s willful
    9         failure to collect certain taxes or fees after
   10         receiving notice of such duty to collect from the
   11         Department of Revenue; amending s. 212.12, F.S.;
   12         deleting provisions relating to the imposition of
   13         criminal penalties after Department of Revenue notice
   14         of requirements to register as a dealer or to collect
   15         taxes; making technical and grammatical changes to
   16         provisions specifying penalties for making a false or
   17         fraudulent return with the intent to evade payment of
   18         a tax or fee; amending s. 212.14, F.S.; modifying the
   19         definition of the term “person”; authorizing the
   20         department to adopt rules relating to requirements for
   21         a person to deposit cash, a bond, or other security
   22         with the department in order to ensure compliance with
   23         sales tax laws; making technical and grammatical
   24         changes; amending s. 212.18, F.S.; providing criminal
   25         penalties for a person who willfully fails to register
   26         as a dealer after receiving notice of such duty by the
   27         department; making technical and grammatical changes;
   28         reenacting s. 212.20, F.S., relating to the
   29         disposition of funds collected, to incorporate changes
   30         made by the act; amending s. 213.13, F.S.; revising
   31         the date for transmitting funds collected by the
   32         clerks of court to the department; amending s. 213.21,
   33         F.S.; increasing the compromise authority for closing
   34         agreements with taxpayers which can be delegated to
   35         and approved by the executive director; creating s.
   36         213.295, F.S., relating to automated sales suppression
   37         devices; defining terms; subjecting a person to
   38         criminal penalties and monetary penalties for
   39         knowingly selling or engaging in certain other actions
   40         involving a sales suppression device or phantom-ware;
   41         providing that sales suppression devices and phantom
   42         ware are contraband articles under the Florida
   43         Contraband Forfeiture Act; amending s. 443.131, F.S.;
   44         imposing a requirement on employers to produce records
   45         for the Department of Economic Opportunity or its tax
   46         collection service provider as a prerequisite for a
   47         reduction in the rate of reemployment tax; amending s.
   48         443.141, F.S.; providing a method to calculate the
   49         interest rate for past due employer contributions and
   50         reimbursements, and delinquent, erroneous, incomplete,
   51         or insufficient reports; increasing the number of days
   52         for an employer to protest an assessment; providing
   53         effective dates.
   54          
   55  Be It Enacted by the Legislature of the State of Florida:
   56  
   57         Section 1. Paragraph (a) of subsection (3) of section
   58  195.096, Florida Statutes, is amended to read:
   59         195.096 Review of assessment rolls.—
   60         (3)(a) Upon completing the reviews completion of review
   61  pursuant to paragraph (2)(f), the department shall publish the
   62  results of reviews conducted under this section. The results
   63  must include all statistical and analytical measures computed
   64  under this section for the real property assessment roll as a
   65  whole, the personal property assessment roll as a whole, and
   66  independently for the following real property classes if the
   67  classes constituted 5 percent or more of the total assessed
   68  value of real property in a county on the previous tax roll:
   69         1. Residential property that consists of one primary living
   70  unit, including, but not limited to, single-family residences,
   71  condominiums, cooperatives, and mobile homes.
   72         2. Residential property that consists of two or more
   73  primary living units.
   74         3. Agricultural, high-water recharge, historic property
   75  used for commercial or certain nonprofit purposes, and other
   76  use-valued property.
   77         3.4. Vacant lots.
   78         4.5. Nonagricultural acreage and other undeveloped parcels.
   79         5.6. Improved commercial and industrial property.
   80         6.7. Taxable institutional or governmental, utility,
   81  locally assessed railroad, oil, gas and mineral land, subsurface
   82  rights, and other real property.
   83  
   84  If one of the above classes constituted less than 5 percent of
   85  the total assessed value of all real property in a county on the
   86  previous assessment roll, the department may combine it with one
   87  or more other classes of real property for purposes of
   88  assessment ratio studies or use the weighted average of the
   89  other classes for purposes of calculating the level of
   90  assessment for all real property in a county. The department
   91  shall also publish such results for any subclassifications of
   92  the classes or assessment rolls it may have chosen to study.
   93         Section 2. Effective July 1, 2014, paragraph (b) of
   94  subsection (1) and subsection (3) of section 212.07, Florida
   95  Statutes, are amended to read:
   96         212.07 Sales, storage, use tax; tax added to purchase
   97  price; dealer not to absorb; liability of purchasers who cannot
   98  prove payment of the tax; penalties; general exemptions.—
   99         (1)
  100         (b) A resale must be in strict compliance with s. 212.18
  101  and the rules and regulations, and any dealer who makes a sale
  102  for resale which is not in strict compliance is with s. 212.18
  103  and the rules and regulations shall himself or herself be liable
  104  for and must pay the tax. Any dealer who makes a sale for resale
  105  shall document the exempt nature of the transaction, as
  106  established by rules adopted promulgated by the department, by
  107  retaining a copy of the purchaser’s resale certificate. In lieu
  108  of maintaining a copy of the certificate, a dealer may document,
  109  before prior to the time of sale, an authorization number
  110  provided telephonically or electronically by the department, or
  111  by such other means established by rule of the department. The
  112  dealer may rely on a resale certificate issued pursuant to s.
  113  212.18(3)(d) s. 212.18(3)(c), valid at the time of receipt from
  114  the purchaser, without seeking annual verification of the resale
  115  certificate if the dealer makes recurring sales to a purchaser
  116  in the normal course of business on a continual basis. For
  117  purposes of this paragraph, “recurring sales to a purchaser in
  118  the normal course of business” refers to a sale in which the
  119  dealer extends credit to the purchaser and records the debt as
  120  an account receivable, or in which the dealer sells to a
  121  purchaser who has an established cash or C.O.D. account, similar
  122  to an open credit account. For purposes of this paragraph,
  123  purchases are made from a selling dealer on a continual basis if
  124  the selling dealer makes, in the normal course of business,
  125  sales to the purchaser at least no less frequently than once in
  126  every 12-month period. A dealer may, through the informal
  127  protest provided for in s. 213.21 and the rules of the
  128  department of Revenue, provide the department with evidence of
  129  the exempt status of a sale. Consumer certificates of exemption
  130  executed by those exempt entities that were registered with the
  131  department at the time of sale, resale certificates provided by
  132  purchasers who were active dealers at the time of sale, and
  133  verification by the department of a purchaser’s active dealer
  134  status at the time of sale in lieu of a resale certificate shall
  135  be accepted by the department when submitted during the protest
  136  period, but may not be accepted in any proceeding under chapter
  137  120 or any circuit court action instituted under chapter 72.
  138         (3)(a)A Any dealer who fails, neglects, or refuses to
  139  collect the tax or fees imposed under this chapter herein
  140  provided, either by himself or herself or through the dealer’s
  141  agents or employees, is, in addition to the penalty of being
  142  liable for and paying the tax or fee himself or herself, commits
  143  guilty of a misdemeanor of the first degree, punishable as
  144  provided in s. 775.082 or s. 775.083.
  145         (b)A dealer who willfully fails to collect a tax or fee
  146  after the department provides notice of the duty to collect the
  147  tax or fee is liable for a specific penalty of 100 percent of
  148  the uncollected tax or fee. This penalty is in addition to any
  149  other penalty that may be imposed by law. A dealer who willfully
  150  fails to collect taxes or fees totaling:
  151         1.Less than $300:
  152         a.For a first offense, commits a misdemeanor of the second
  153  degree, punishable as provided in s. 775.082 or s. 775.083.
  154         b.For a second offense, commits a misdemeanor of the first
  155  degree, punishable as provided in s. 775.082 or s. 775.083.
  156         c.For a third or subsequent offense, commits a felony of
  157  the third degree, punishable as provided in s. 775.082, s.
  158  775.083, or s. 775.084.
  159         2.An amount equal to $300 or more, but less than $20,000,
  160  commits a felony of the third degree, punishable as provided in
  161  s. 775.082, s. 775.083, or s. 775.084.
  162         3.An amount equal to $20,000 or more, but less than
  163  $100,000, commits a felony of the second degree, punishable as
  164  provided in s. 775.082, s. 775.083, or s. 775.084.
  165         4.An amount equal to $100,000 or more, commits a felony of
  166  the first degree, punishable as provided in s. 775.082, s.
  167  775.083, or s. 775.084.
  168         (c)The department shall give written notice of the duty to
  169  collect taxes or fees to the dealer by personal service, by
  170  sending notice to the dealer’s last known address by registered
  171  mail, or both.
  172         Section 3. effective July 1, 2014, paragraph (d) of
  173  subsection (2) of section 212.12, Florida Statutes, is amended
  174  to read:
  175         212.12 Dealer’s credit for collecting tax; penalties for
  176  noncompliance; powers of Department of Revenue in dealing with
  177  delinquents; brackets applicable to taxable transactions;
  178  records required.—
  179         (2)
  180         (d) A Any person who makes a false or fraudulent return and
  181  who has with a willful intent to evade payment of any tax or fee
  182  imposed under this chapter is; any person who, after the
  183  department’s delivery of a written notice to the person’s last
  184  known address specifically alerting the person of the
  185  requirement to register the person’s business as a dealer,
  186  intentionally fails to register the business; and any person
  187  who, after the department’s delivery of a written notice to the
  188  person’s last known address specifically alerting the person of
  189  the requirement to collect tax on specific transactions,
  190  intentionally fails to collect such tax, shall, in addition to
  191  the other penalties provided by law, be liable for a specific
  192  penalty of 100 percent of any unreported or any uncollected tax
  193  or fee. This penalty is in addition to any other penalty
  194  provided by law. A person who makes a false or fraudulent return
  195  with a willful intent to evade payment of taxes or fees
  196  totaling:
  197         1. Less than $300:
  198         a. For a first offense, commits a misdemeanor of the second
  199  degree, punishable as provided in s. 775.082 or s. 775.083.
  200         b. For a second offense, commits a misdemeanor of the first
  201  degree, punishable as provided in s. 775.082 or s. 775.083.
  202         c. For a third or subsequent offense, commits a felony of
  203  the third degree, punishable as provided in s. 775.082, s.
  204  775.083, or s. 775.084.
  205         2. An amount equal to $300 or more, but less than $20,000,
  206  commits a felony of the third degree, punishable as provided in
  207  s. 775.082, s. 775.083, or s. 775.084.
  208         3. An amount equal to $20,000 or more, but less than
  209  $100,000, commits a felony of the second degree, punishable as
  210  provided in s. 775.082, s. 775.083, or s. 775.084.
  211         4. An amount equal to $100,000 or more, commits a felony of
  212  the first degree, punishable and, upon conviction, for fine and
  213  punishment as provided in s. 775.082, s. 775.083, or s. 775.084.
  214  Delivery of written notice may be made by certified mail, or by
  215  the use of such other method as is documented as being necessary
  216  and reasonable under the circumstances. The civil and criminal
  217  penalties imposed herein for failure to comply with a written
  218  notice alerting the person of the requirement to register the
  219  person’s business as a dealer or to collect tax on specific
  220  transactions shall not apply if the person timely files a
  221  written challenge to such notice in accordance with procedures
  222  established by the department by rule or the notice fails to
  223  clearly advise that failure to comply with or timely challenge
  224  the notice will result in the imposition of the civil and
  225  criminal penalties imposed herein.
  226         1. If the total amount of unreported or uncollected taxes
  227  or fees is less than $300, the first offense resulting in
  228  conviction is a misdemeanor of the second degree, the second
  229  offense resulting in conviction is a misdemeanor of the first
  230  degree, and the third and all subsequent offenses resulting in
  231  conviction is a misdemeanor of the first degree, and the third
  232  and all subsequent offenses resulting in conviction are felonies
  233  of the third degree.
  234         2. If the total amount of unreported or uncollected taxes
  235  or fees is $300 or more but less than $20,000, the offense is a
  236  felony of the third degree.
  237         3. If the total amount of unreported or uncollected taxes
  238  or fees is $20,000 or more but less than $100,000, the offense
  239  is a felony of the second degree.
  240         4. If the total amount of unreported or uncollected taxes
  241  or fees is $100,000 or more, the offense is a felony of the
  242  first degree.
  243         Section 4. Effective July 1, 2014, subsection (4) of
  244  section 212.14, Florida Statutes, is amended to read:
  245         212.14 Departmental powers; hearings; distress warrants;
  246  bonds; subpoenas and subpoenas duces tecum.—
  247         (4) In all cases where it is necessary to ensure compliance
  248  with the provisions of this chapter, the department shall
  249  require a cash deposit, bond, or other security as a condition
  250  to a person obtaining or retaining a dealer’s certificate of
  251  registration under this chapter. Such bond must shall be in the
  252  form and such amount as the department deems appropriate under
  253  the particular circumstances. A Every person failing to produce
  254  such cash deposit, bond, or other security is as provided for
  255  herein shall not be entitled to obtain or retain a dealer’s
  256  certificate of registration under this chapter, and the
  257  Department of Legal Affairs is hereby authorized to proceed by
  258  injunction, if when so requested by the Department of Revenue,
  259  to prevent such person from doing business subject to the
  260  provisions of this chapter until such cash deposit, bond, or
  261  other security is posted with the department, and any temporary
  262  injunction for this purpose may be granted by any judge or
  263  chancellor authorized by law to grant injunctions. Any security
  264  required to be deposited may be sold by the department at public
  265  sale if it becomes necessary so to do in order to recover any
  266  tax, interest, or penalty due. Notice of such sale may be served
  267  personally or by mail upon the person who deposited the such
  268  security. If by mail, notice sent to the last known address as
  269  it the same appears on the records of the department is shall be
  270  sufficient for the purpose of this requirement. Upon such sale,
  271  the surplus, if any, above the amount due under this chapter
  272  shall be returned to the person who deposited the security. The
  273  department may adopt rules necessary to administer this
  274  subsection. For the purpose of the cash deposit, bond, or other
  275  security required by this subsection, the term “person” includes
  276  those entities defined in s. 212.02(12), as well as:
  277         (a)An individual or entity owning a controlling interest
  278  in a business;
  279         (b)An individual or entity that acquired an ownership
  280  interest or a controlling interest in a business that would
  281  otherwise be liable for posting a cash deposit, bond, or other
  282  security, unless the department has determined that the
  283  individual or entity is not liable for the taxes, interest, or
  284  penalties described in s. 213.758; or
  285         (c)An individual or entity seeking to obtain a dealer’s
  286  certificate of registration for a business that will be operated
  287  at the same location as a previous business that would otherwise
  288  have been liable for posting a cash deposit, bond, or other
  289  security, if the individual or entity fails to provide evidence
  290  that the business was acquired for consideration in an arms
  291  length transaction.
  292         Section 5. Effective July 1, 2014, subsection (3) of
  293  section 212.18, Florida Statutes, is amended to read:
  294         212.18 Administration of law; registration of dealers;
  295  rules.—
  296         (3)(a) A Every person desiring to engage in or conduct
  297  business in this state as a dealer, as defined in this chapter,
  298  or to lease, rent, or let or grant licenses in living quarters
  299  or sleeping or housekeeping accommodations in hotels, apartment
  300  houses, roominghouses, or tourist or trailer camps that are
  301  subject to tax under s. 212.03, or to lease, rent, or let or
  302  grant licenses in real property, as defined in this chapter, and
  303  a every person who sells or receives anything of value by way of
  304  admissions, must file with the department an application for a
  305  certificate of registration for each place of business. The
  306  application must include, showing the names of the persons who
  307  have interests in such business and their residences, the
  308  address of the business, and such other data reasonably required
  309  by as the department may reasonably require. However, owners and
  310  operators of vending machines or newspaper rack machines are
  311  required to obtain only one certificate of registration for each
  312  county in which such machines are located. The department, by
  313  rule, may authorize a dealer that uses independent sellers to
  314  sell its merchandise to remit tax on the retail sales price
  315  charged to the ultimate consumer in lieu of having the
  316  independent seller register as a dealer and remit the tax. The
  317  department may appoint the county tax collector as the
  318  department’s agent to accept applications for registrations. The
  319  application must be submitted made to the department before the
  320  person, firm, copartnership, or corporation may engage in such
  321  business, and it must be accompanied by a registration fee of
  322  $5. However, a registration fee is not required to accompany an
  323  application to engage in or conduct business to make mail order
  324  sales. The department may waive the registration fee for
  325  applications submitted through the department’s Internet
  326  registration process.
  327         (b) The department, upon receipt of such application, shall
  328  will grant to the applicant a separate certificate of
  329  registration for each place of business, which certificate may
  330  be canceled by the department or its designated assistants for
  331  any failure by the certificateholder to comply with any of the
  332  provisions of this chapter. The certificate is not assignable
  333  and is valid only for the person, firm, copartnership, or
  334  corporation to which issued. The certificate must be placed in a
  335  conspicuous place in the business or businesses for which it is
  336  issued and must be displayed at all times. Except as provided in
  337  this subsection, a no person may not shall engage in business as
  338  a dealer or in leasing, renting, or letting of or granting
  339  licenses in living quarters or sleeping or housekeeping
  340  accommodations in hotels, apartment houses, roominghouses,
  341  tourist or trailer camps, or real property, or as hereinbefore
  342  defined, nor shall any person sell or receive anything of value
  343  by way of admissions, without a valid first having obtained such
  344  a certificate. A or after such certificate has been canceled; no
  345  person may not shall receive a any license from any authority
  346  within the state to engage in any such business without a valid
  347  certificate first having obtained such a certificate or after
  348  such certificate has been canceled. A person may not engage The
  349  engaging in the business of selling or leasing tangible personal
  350  property or services or as a dealer; engage, as defined in this
  351  chapter, or the engaging in leasing, renting, or letting of or
  352  granting licenses in living quarters or sleeping or housekeeping
  353  accommodations in hotels, apartment houses, roominghouses, or
  354  tourist or trailer camps that are taxable under this chapter, or
  355  real property;, or engage the engaging in the business of
  356  selling or receiving anything of value by way of admissions,
  357  without a valid such certificate first being obtained or after
  358  such certificate has been canceled by the department, is
  359  prohibited.
  360         (c)1.A The failure or refusal of any person who engages in
  361  acts requiring a certificate of registration under this
  362  subsection and who fails or refuses to register commits, firm,
  363  copartnership, or corporation to so qualify when required
  364  hereunder is a misdemeanor of the first degree, punishable as
  365  provided in s. 775.082 or s. 775.083. Such acts are, or subject
  366  to injunctive proceedings as provided by law. A person who
  367  engages in acts requiring a certificate of registration and who
  368  fails or refuses to register is also subject Such failure or
  369  refusal also subjects the offender to a $100 initial
  370  registration fee in lieu of the $5 registration fee required by
  371  authorized in paragraph (a). However, the department may waive
  372  the increase in the registration fee if it finds is determined
  373  by the department that the failure to register was due to
  374  reasonable cause and not to willful negligence, willful neglect,
  375  or fraud.
  376         2.a.A person who willfully fails to register after the
  377  department provides notice of the duty to register as a dealer
  378  commits a felony of the third degree, punishable as provided in
  379  s. 775.082, s. 775.083, or s. 775.084.
  380         b.The department shall provide written notice of the duty
  381  to register to the person by personal service, by sending notice
  382  by registered mail to the person’s last known address, or both.
  383         (d)(c) In addition to the certificate of registration, the
  384  department shall provide to each newly registered dealer an
  385  initial resale certificate that will be valid for the remainder
  386  of the period of issuance. The department shall provide each
  387  active dealer with an annual resale certificate. For purposes of
  388  this section, the term “active dealer” means a person who is
  389  currently registered with the department and who is required to
  390  file at least once during each applicable reporting period.
  391         (e)(d) The department may revoke a any dealer’s certificate
  392  of registration if when the dealer fails to comply with this
  393  chapter. Before Prior to revocation of a dealer’s certificate of
  394  registration, the department must schedule an informal
  395  conference at which the dealer may present evidence regarding
  396  the department’s intended revocation or enter into a compliance
  397  agreement with the department. The department must notify the
  398  dealer of its intended action and the time, place, and date of
  399  the scheduled informal conference by written notification sent
  400  by United States mail to the dealer’s last known address of
  401  record furnished by the dealer on a form prescribed by the
  402  department. The dealer is required to attend the informal
  403  conference and present evidence refuting the department’s
  404  intended revocation or enter into a compliance agreement with
  405  the department which resolves the dealer’s failure to comply
  406  with this chapter. The department shall issue an administrative
  407  complaint under s. 120.60 if the dealer fails to attend the
  408  department’s informal conference, fails to enter into a
  409  compliance agreement with the department resolving the dealer’s
  410  noncompliance with this chapter, or fails to comply with the
  411  executed compliance agreement.
  412         (f)(e) As used in this paragraph, the term “exhibitor”
  413  means a person who enters into an agreement authorizing the
  414  display of tangible personal property or services at a
  415  convention or a trade show. The following provisions apply to
  416  the registration of exhibitors as dealers under this chapter:
  417         1. An exhibitor whose agreement prohibits the sale of
  418  tangible personal property or services subject to the tax
  419  imposed in this chapter is not required to register as a dealer.
  420         2. An exhibitor whose agreement provides for the sale at
  421  wholesale only of tangible personal property or services subject
  422  to the tax imposed under in this chapter must obtain a resale
  423  certificate from the purchasing dealer but is not required to
  424  register as a dealer.
  425         3. An exhibitor whose agreement authorizes the retail sale
  426  of tangible personal property or services subject to the tax
  427  imposed under in this chapter must register as a dealer and
  428  collect the tax imposed under this chapter on such sales.
  429         4. An Any exhibitor who makes a mail order sale pursuant to
  430  s. 212.0596 must register as a dealer.
  431  
  432  A Any person who conducts a convention or a trade show must make
  433  his or her their exhibitor’s agreements available to the
  434  department for inspection and copying.
  435         Section 6. Effective July 1, 2014, for the purpose of
  436  incorporating the amendment made by this act to subsection (3)
  437  of section 212.18, Florida Statutes, in a reference thereto,
  438  paragraph (c) of subsection (6) of section 212.20, Florida
  439  Statutes, is reenacted to read:
  440         212.20 Funds collected, disposition; additional powers of
  441  department; operational expense; refund of taxes adjudicated
  442  unconstitutionally collected.—
  443         (6) Distribution of all proceeds under this chapter and s.
  444  202.18(1)(b) and (2)(b) shall be as follows:
  445         (c) Proceeds from the fees imposed under ss. 212.05(1)(h)3.
  446  and 212.18(3) shall remain with the General Revenue Fund.
  447         Section 7. Subsection (5) of section 213.13, Florida
  448  Statutes, is amended to read:
  449         213.13 Electronic remittance and distribution of funds
  450  collected by clerks of the court.—
  451         (5) All court-related collections, including fees, fines,
  452  reimbursements, court costs, and other court-related funds that
  453  the clerks must remit to the state pursuant to law, must be
  454  transmitted electronically by the 10th 20th day of the month
  455  immediately following the month in which the funds are
  456  collected.
  457         Section 8. Paragraph (a) of subsection (2) of section
  458  213.21, Florida Statutes, is amended to read:
  459         213.21 Informal conferences; compromises.—
  460         (2)(a) The executive director of the department or his or
  461  her designee is authorized to enter into closing agreements with
  462  any taxpayer settling or compromising the taxpayer’s liability
  463  for any tax, interest, or penalty assessed under any of the
  464  chapters specified in s. 72.011(1). Such agreements must shall
  465  be in writing if when the amount of tax, penalty, or interest
  466  compromised exceeds $30,000, or for lesser amounts, if when the
  467  department deems it appropriate or if when requested by the
  468  taxpayer. When a written closing agreement has been approved by
  469  the department and signed by the executive director or his or
  470  her designee and the taxpayer, it shall be final and conclusive;
  471  and, except upon a showing of fraud or misrepresentation of
  472  material fact or except as to adjustments pursuant to ss. 198.16
  473  and 220.23, no additional assessment may be made by the
  474  department against the taxpayer for the tax, interest, or
  475  penalty specified in the closing agreement for the time period
  476  specified in the closing agreement, and the taxpayer is shall
  477  not be entitled to institute any judicial or administrative
  478  proceeding to recover any tax, interest, or penalty paid
  479  pursuant to the closing agreement. The department is authorized
  480  to delegate to the executive director the authority to approve
  481  any such closing agreement resulting in a tax reduction of
  482  $500,000 $250,000 or less.
  483         Section 9. Effective July 1, 2014, section 213.295, Florida
  484  Statutes, is created to read:
  485         213.295Automated sales suppression devices.—
  486         (1) As used in this section, the term:
  487         (a) “Automated sales suppression device” or “zapper” means
  488  a software program that falsifies the electronic records of
  489  electronic cash registers or other point-of-sale systems,
  490  including, but not limited to, transaction data and transaction
  491  reports. The term includes the software program, any device that
  492  carries the software program, or an Internet link to the
  493  software program.
  494         (b) “Electronic cash register” means a device that keeps a
  495  register or supporting documents through the use of an
  496  electronic device or computer system designed to record
  497  transaction data for the purpose of computing, compiling, or
  498  processing retail sales transaction data in whatever manner.
  499         (c) “Phantom-ware” means a hidden programming option
  500  embedded in the operating system of an electronic cash register
  501  or hardwired into the electronic cash register which may be used
  502  to create a second set of records or eliminate or manipulate
  503  transaction records, which may or may not be preserved in
  504  digital formats, to represent the true or manipulated record of
  505  transactions in the electronic cash register.
  506         (d) “Transaction data” includes the identification of items
  507  purchased by a customer; the price for each item; a taxability
  508  determination for each item; a segregated tax amount for each of
  509  the taxed items; the amount of cash or credit tendered; the net
  510  amount returned to the customer in change; the date and time of
  511  the purchase; the name, address, and identification number of
  512  the vendor; and the receipt or invoice number of the
  513  transaction.
  514         (e) “Transaction report” means a report that documents, but
  515  is not limited to documenting, the sales, taxes, or fees
  516  collected, media totals, and discount voids at an electronic
  517  cash register and is printed on a cash register tape at the end
  518  of a day or a shift, or a report that documents every action at
  519  an electronic cash register and is stored electronically.
  520         (2) A person may not knowingly sell, purchase, install,
  521  transfer, possess, use, or access an automated sales suppression
  522  device, a zapper, or phantom-ware.
  523         (3) A person who violates this section:
  524         (a) Commits a felony of the third degree, punishable as
  525  provided in s. 775.082, s. 775.083, or s. 775.084.
  526         (b) Is liable for all taxes, fees, penalties, and interest
  527  due the state which result from the use of an automated sales
  528  suppression device, a zapper, or phantom-ware and shall forfeit
  529  to the state as an additional penalty all profits associated
  530  with the sale or use of an automated sales suppression device, a
  531  zapper, or phantom-ware.
  532         (4) An automated sales suppression device, a zapper,
  533  phantom-ware, or any device containing such device or software
  534  is a contraband article under ss. 932.701-932.706, the Florida
  535  Contraband Forfeiture Act.
  536         Section 10. Paragraph (h) of subsection (3) of section
  537  443.131, Florida Statutes, is amended to read:
  538         443.131 Contributions.—
  539         (3) VARIATION OF CONTRIBUTION RATES BASED ON BENEFIT
  540  EXPERIENCE.—
  541         (h) Additional conditions for variation from the standard
  542  rate.—An employer’s contribution rate may not be reduced below
  543  the standard rate under this section unless:
  544         1. All contributions, reimbursements, interest, and
  545  penalties incurred by the employer for wages paid by him or her
  546  in all previous calendar quarters, except the 4 calendar
  547  quarters immediately preceding the calendar quarter or calendar
  548  year for which the benefit ratio is computed, are paid; and
  549         2. The employer has produced for inspection and copying all
  550  work records in his or her possession, custody, or control which
  551  were requested by the Department of Economic Opportunity or its
  552  tax collection service provider pursuant to s. 443.171(5). An
  553  employer shall have at least 60 days to provide the requested
  554  work records before the employer is assigned the standard rate;
  555  and
  556         3.2. The employer entitled to a rate reduction must have at
  557  least one annual payroll as defined in subparagraph (b)1. unless
  558  the employer is eligible for additional credit under the Federal
  559  Unemployment Tax Act. If the Federal Unemployment Tax Act is
  560  amended or repealed in a manner affecting credit under the
  561  federal act, this section applies only to the extent that
  562  additional credit is allowed against the payment of the tax
  563  imposed by the Federal Unemployment Tax act.
  564  
  565  The tax collection service provider shall assign an earned
  566  contribution rate to an employer for under subparagraph 1. the
  567  quarter immediately after the quarter in which all
  568  contributions, reimbursements, interest, and penalties are paid
  569  in full and all work records requested pursuant to s. 443.171(5)
  570  have been produced for inspection and copying by the Department
  571  of Economic Opportunity or the tax collection service provider.
  572         Section 11. Effective January 1, 2015, paragraph (a) of
  573  subsection (1) and paragraph (b) of subsection (2) of section
  574  443.141, Florida Statutes, are amended to read:
  575         443.141 Collection of contributions and reimbursements.—
  576         (1) PAST DUE CONTRIBUTIONS AND REIMBURSEMENTS; DELINQUENT,
  577  ERRONEOUS, INCOMPLETE, OR INSUFFICIENT REPORTS.—
  578         (a) Interest.—Contributions or reimbursements unpaid on the
  579  date due bear interest at the rate of 1 percent per month
  580  through December 31, 2014. Beginning January 1, 2015, the
  581  interest rate shall be calculated in accordance with s. 213.235,
  582  except that the rate of interest may not exceed 1 percent per
  583  month from and after the that date due until payment plus
  584  accrued interest is received by the tax collection service
  585  provider, unless the service provider finds that the employing
  586  unit has good reason for failing to pay the contributions or
  587  reimbursements when due. Interest collected under this
  588  subsection must be paid into the Special Employment Security
  589  Administration Trust Fund.
  590         (2) REPORTS, CONTRIBUTIONS, APPEALS.—
  591         (b) Hearings.—The determination and assessment are final 20
  592  15 days after the date the assessment is mailed unless the
  593  employer files with the tax collection service provider within
  594  the 20 15 days a written protest and petition for hearing
  595  specifying the objections thereto. The tax collection service
  596  provider shall promptly review each petition and may reconsider
  597  its determination and assessment in order to resolve the
  598  petitioner’s objections. The tax collection service provider
  599  shall forward each unresolved petition remaining unresolved to
  600  the department for a hearing on the objections. Upon receipt of
  601  a petition, the department shall schedule a hearing and notify
  602  the petitioner of the time and place of the hearing. The
  603  department may appoint special deputies to conduct hearings who
  604  shall and to submit their findings together with a transcript of
  605  the proceedings before them and their recommendations to the
  606  department for its final order. Special deputies are subject to
  607  the prohibition against ex parte communications in s. 120.66. At
  608  any hearing conducted by the department or its special deputy,
  609  evidence may be offered to support the determination and
  610  assessment or to prove it is incorrect. In order to prevail,
  611  however, the petitioner must either prove that the determination
  612  and assessment are incorrect or file full and complete corrected
  613  reports. Evidence may also be submitted at the hearing to rebut
  614  the determination by the tax collection service provider that
  615  the petitioner is an employer under this chapter. Upon evidence
  616  taken before it or upon the transcript submitted to it with the
  617  findings and recommendation of its special deputy, the
  618  department shall either set aside the tax collection service
  619  provider’s determination that the petitioner is an employer
  620  under this chapter or reaffirm the determination. The amounts
  621  assessed under the final order, together with interest and
  622  penalties, must be paid within 15 days after notice of the final
  623  order is mailed to the employer, unless judicial review is
  624  instituted in a case of status determination. Amounts due when
  625  the status of the employer is in dispute are payable within 15
  626  days after the entry of an order by the court affirming the
  627  determination. However, a any determination that an employing
  628  unit is not an employer under this chapter does not affect the
  629  benefit rights of an any individual as determined by an appeals
  630  referee or the commission unless:
  631         1. The individual is made a party to the proceedings before
  632  the special deputy; or
  633         2. The decision of the appeals referee or the commission
  634  has not become final or the employing unit and the department
  635  were not made parties to the proceedings before the appeals
  636  referee or the commission.
  637         Section 12. Except as otherwise expressly provided in this
  638  act, this act shall take effect upon becoming a law.