Florida Senate - 2015                                    SB 1368
       
       
        
       By Senator Latvala
       
       
       
       
       
       20-01179-15                                           20151368__
    1                        A bill to be entitled                      
    2         An act relating to the tax on real property rental and
    3         license fees; amending s. 212.031, F.S.; providing an
    4         exemption from the tax for certain common area
    5         maintenance charges; defining the term “common area
    6         maintenance charges”; providing that such charges do
    7         not include certain maintenance or repair costs
    8         required to be capitalized for federal tax purposes;
    9         reenacting ss. 212.0598(2) and 288.1258(2)(b) and (c)
   10         and (3), F.S., to incorporate the amendment made to s.
   11         212.031, F.S., in references thereto; providing an
   12         effective date.
   13          
   14  Be It Enacted by the Legislature of the State of Florida:
   15  
   16         Section 1. Paragraph (c) of subsection (1) of section
   17  212.031, Florida Statutes, is amended to read:
   18         212.031 Tax on rental or license fee for use of real
   19  property.—
   20         (1)
   21         (c) For the exercise of such privilege, a tax is levied in
   22  an amount equal to 6 percent of and on the total rent or license
   23  fee charged for such real property by the person charging or
   24  collecting the rental or license fee.
   25         1. The total rent or license fee charged for such real
   26  property includes shall include payments for the granting of a
   27  privilege to use or occupy real property for any purpose and
   28  shall include base rent, percentage rents, or similar charges.
   29  Such charges must shall be included in the total rent or license
   30  fee subject to tax under this section regardless of whether or
   31  not they can be attributed to the ability of the lessor’s or
   32  licensor’s property as used or operated to attract customers.
   33         2. The following are not subject to tax under this section:
   34         a. Payments for intrinsically valuable personal property
   35  such as franchises, trademarks, service marks, logos, or patents
   36  are not subject to tax under this section.
   37         b. Common area maintenance charges that are separately
   38  stated in the written lease agreement and that do not exceed 5
   39  percent of the base rent amount. For purposes of this sub
   40  subparagraph, the term “common area maintenance charges” means
   41  the amount required to be paid under a lease agreement to the
   42  lessor which is exclusively used by the lessor to maintain or
   43  repair the portions of the real property that are dedicated for
   44  the use, enjoyment, or benefit of all lessees. Such charges do
   45  not include maintenance or repair costs that are required to be
   46  capitalized for federal tax purposes.
   47         3. In the case of a contractual arrangement that provides
   48  for both payments taxable as total rent or license fee and
   49  payments not subject to tax, the tax shall be based on a
   50  reasonable allocation of such payments and does shall not apply
   51  to that portion which is for the nontaxable payments.
   52         Section 2. Subsection (2) of s. 212.0598 and paragraphs (b)
   53  and (c) of subsection (2) and subsection (3) of s. 288.1258,
   54  Florida Statutes, are reenacted for the purpose of incorporating
   55  the amendment made by this act to s. 212.031, Florida Statutes,
   56  in references thereto.
   57         Section 3. This act shall take effect July 1, 2015.