Florida Senate - 2022                                    SB 1886
       
       
        
       By Senator Powell
       
       
       
       
       
       30-00953-22                                           20221886__
    1                        A bill to be entitled                      
    2         An act relating to taxes and fees; creating s.
    3         566.801, F.S.; specifying fees under ch. 566, F.S.,
    4         for various applications, renewals, and other
    5         purposes; creating s. 566.802, F.S.; providing
    6         contributions for early approval adult use dispensing
    7         organization licenses; creating s. 566.803, F.S.;
    8         authorizing the Department of Business and
    9         Professional Regulation to revise fees after a
   10         specified date; creating s. 566.804, F.S.; providing
   11         for certain mandatory contributions for obtaining
   12         early approval adult use dispensing organization
   13         licenses; creating s. 566.805, F.S.; levying a tax on
   14         the cultivation of cannabis; specifying the amount of
   15         the tax; providing for the collection, payment, and
   16         administration of the tax; providing for rulemaking;
   17         creating s. 566.806, F.S.; defining terms; levying a
   18         tax on cannabis purchases; providing exceptions;
   19         providing for the collection, payment, and
   20         administration of the tax; requiring recordkeeping;
   21         prohibiting specified offenses concerning the tax;
   22         providing criminal penalties; defining terms;
   23         providing for enforcement; authorizing the department
   24         to adopt rules; providing a contingent effective date.
   25          
   26  Be It Enacted by the Legislature of the State of Florida:
   27  
   28         Section 1. Section 566.801, Florida Statutes, is created to
   29  read:
   30         566.801Fees.—Licensing and registration fees under this
   31  chapter are as follows:
   32         (1)Early approval adult use dispensing organization
   33  license fees:
   34         (a)Application under s. 566.202(2)(a), $30,000.
   35         (b)Renewal under s. 566.202(11)(a), $30,000.
   36         (c)Secondary site application under s. 566.202(15)(d)1.,
   37  $30,000.
   38         (d)Secondary site renewal under s. 566.202(15)(p)1.,
   39  $30,000.
   40         (2)Conditional adult use dispensing organization licenses:
   41         (a)Under s. 566.203(4)(a), $5,000.
   42         (b)Under s. 566.203(7)(b), $60,000.
   43         (3)Adult use dispensing organization licenses:
   44         (a)Initial license under s. 566.2032(2)(b), $60,000.
   45         (b)Renewal under s. 566.20331(3), $60,000.
   46         (4)Adult use dispensing organization agent:
   47         (a)Identification card fees:
   48         1.Initial card under s. 566.2033(1)(e), $100.
   49         2.Renewal card under s. 566.20331(3), $100.
   50         (b)Applicants for training approval:
   51         1.Under s. 566.2033(1)(e), $2,000.
   52         2.Under s. 566.2033(16), $2,000.
   53         (5)Changes in ownership of a dispensing organization under
   54  s. 566.20334(10)(b), $5,000.
   55         (6)Early approval of adult use cultivation center
   56  licenses:
   57         (a)Application fee under s. 566.3011(2)(a), $100,000.
   58         (b)Cannabis business development fee under s.
   59  566.3011(2)(h), $250,000.
   60         (c)Required contribution under s. 566.3011(2)(i),
   61  $100,000.
   62         (d)Renewal fee under s. 566.3011(3)(a), $100,000.
   63         (7)Conditional adult use license under s. 566.3013(4),
   64  $100,000.
   65         (8)Conditional adult use cultivation center license
   66  registration fee under s. 566.3014(2)(b), $100,000.
   67         (9)Cultivation center license renewal under s.
   68  566.3019(1)(a), $100,000.
   69         (10)Craft grower:
   70         (a)Application fee under s. 566.401(2)(a)1., $5,000.
   71         (b)License fee under s. 566.401(3)(d), $40,000.
   72         (c)License renewal under s. 566.401(9)(a)1., $40,000.
   73         (11)Infuser organization:
   74         (a)Application fee under s. 566.405(2)(a)1., $5,000.
   75         (b)License fee under s. 566.401(3)(d), $5,000.
   76         (c)Renewal application fee under s. 566.405(9)(a)1.,
   77  $20,000.
   78         (12)Transporting organizations:
   79         (a)Application fee under s. 566.4501(2)(a)1., $5,000.
   80         (b)License fee under s. 566.4501(3)(e), $10,000.
   81         (c)Renewal fee under s. 566.4501(8)(a)1., $10,000.
   82         Section 2. Section 566.802, Florida Statutes, is created to
   83  read:
   84         566.802Contributions for early approval adult use
   85  dispensing organization licenses.—The contributions for early
   86  approval adult use dispensing organization licenses under this
   87  chapter are as follows:
   88         (1)Nonrefundable cannabis business development fee under
   89  s. 566.202(2)(g), $100,000.
   90         (2)Social equity inclusion plans specified in s.
   91  566.202(2)(h)1., 2., or 3., $100,000.
   92         (3)Social equity inclusion plan specified in s.
   93  566.202(2)(h)5., $200,000.
   94         Section 3. Section 566.803, Florida Statutes, is created to
   95  read:
   96         566.803Department fee revisions.—After January 1, 2022,
   97  the department may by rule modify any fee established under this
   98  chapter.
   99         Section 4. Section 566.804, Florida Statutes, is created to
  100  read:
  101         566.804Mandatory contributions for early approval adult
  102  use dispensing organization licenses.—The mandatory
  103  contributions for early approval adult use dispensing
  104  organization licenses under this chapter are as follows:
  105         (1)Nonrefundable cannabis business development fee under
  106  s. 566.202(2)(g), $100,000.
  107         (2)Social equity inclusion plans specified in s.
  108  566.202(2)(h)1., 2., or 3., $100,000.
  109         (3)Social equity inclusion plan specified in s.
  110  566.202(2)(h)5., $200,000.
  111         (4)Nonrefundable cannabis development fee for secondary
  112  site applications under s. 566.202(15)(d)15., $200,000.
  113         Section 5. Section 566.805, Florida Statutes, as created by
  114  SB ___, is amended to read:
  115         566.805 Cannabis cultivation.—
  116         (1)CULTIVATING CANNABIS PRIVILEGE.—
  117         (a)Beginning January 1, 2023, a tax is imposed upon the
  118  privilege of cultivating cannabis at the rate of 7 percent of
  119  the gross receipts from the first sale of cannabis by a
  120  cultivator. The sale of any product that contains any amount of
  121  cannabis or any derivative thereof is subject to the tax under
  122  this section on the full selling price of the product. The
  123  department may determine the selling price of the cannabis when
  124  the seller and purchaser are affiliated persons, when the sale
  125  and purchase of cannabis is not an arm’s length transaction, or
  126  when cannabis is transferred by a craft grower to the craft
  127  grower’s dispensing organization or infuser or processing
  128  organization and a value is not established for the cannabis.
  129  The value determined by the department must be commensurate with
  130  the actual price received for products of like quality,
  131  character, and use in the area. If there are no sales of
  132  cannabis of like quality, character, and use in the same area,
  133  the department must establish a reasonable value based on sales
  134  of products of like quality, character, and use in other areas
  135  of this state, taking into consideration any other relevant
  136  factors.
  137         (b)The cannabis cultivation privilege tax imposed under
  138  this section is solely the responsibility of the cultivator who
  139  makes the first sale and is not the responsibility of a
  140  subsequent purchaser, a dispensing organization, or an infuser.
  141  Persons subject to the tax imposed under this section may
  142  reimburse themselves for their tax liability hereunder by
  143  separately stating reimbursement for their tax liability as an
  144  additional charge.
  145         (c)The tax imposed under this section is in addition to
  146  all other occupation, privilege, or excise taxes imposed by the
  147  state or by any unit of local government.
  148         (2)REGISTRATION OF CULTIVATORS.—Every cultivator and craft
  149  grower subject to the tax under this section shall apply to the
  150  Department of Revenue for a certificate of registration under
  151  this section. All applications for registration under this
  152  section must be made by electronic means in the form and manner
  153  required by the department. For that purpose, the provisions of
  154  chapter 212 are incorporated into this section to the extent
  155  such provisions are not inconsistent with this section. In
  156  addition, a certificate of registration may not be issued under
  157  this section unless the applicant is licensed under this
  158  chapter.
  159         (3)(a)RETURN AND PAYMENT.—Each person who is required to
  160  pay the tax imposed by this section shall make a return to the
  161  department on or before the 20th day of each month for the
  162  preceding calendar month stating the following:
  163         1.The taxpayer’s name.
  164         2.The address of the taxpayer’s principal place of
  165  business and, if different, the address where the taxpayer is
  166  engaged in the business of cultivating cannabis subject to tax
  167  under this section.
  168         3.The total amount of receipts received by the taxpayer
  169  during the preceding calendar month from sales of cannabis
  170  subject to tax under this section.
  171         4.The total amount received by the taxpayer during the
  172  preceding calendar month on charge and time sales of cannabis
  173  subject to tax imposed under this section.
  174         5.Any deductions allowed by law.
  175         6.The gross receipts that were received by the taxpayer
  176  during the preceding calendar month and upon the basis of which
  177  the tax is imposed.
  178         7.The amount of tax due.
  179         8.The signature of the taxpayer.
  180         9.Any other information as the department may reasonably
  181  require.
  182         (b)All returns required to be filed and payments required
  183  to be made under this section must be by electronic means.
  184  Taxpayers who demonstrate hardship in paying electronically may
  185  petition the department to waive the electronic payment
  186  requirement.
  187         (c)The taxpayer making the return provided for in this
  188  section shall also pay to the department the amount of tax
  189  imposed by this section, less a discount of 1.75 percent, which
  190  may not exceed the $1,000 allowed per return period to reimburse
  191  the taxpayer for the expenses incurred in keeping records,
  192  collecting and remitting the tax, preparing and filing returns,
  193  and supplying data to the department upon request. However, a
  194  discount may not be claimed by a taxpayer in the following
  195  instances:
  196         1.On returns not timely filed and for taxes not timely
  197  remitted.
  198         2.On returns that are not filed electronically.
  199         3.For any payment that is not made electronically, unless
  200  a waiver has been granted under this section.
  201         (d)Any amount that is required to be shown or reported on
  202  any return or other document under this section must, if the
  203  amount is not a whole dollar amount, be increased to the nearest
  204  whole dollar amount if the fractional part of a dollar is $0.50
  205  or more and decreased to the nearest whole dollar amount if the
  206  fractional part of a dollar is less than $0.50.
  207         (e)If a total amount of less than $1 is payable,
  208  refundable, or creditable, the amount must be disregarded if it
  209  is less than $0.50 and must be increased to $1 if it is $0.50 or
  210  more.
  211         (f)A taxpayer who ceases to engage in business subject to
  212  the requirements of this section shall file a final return under
  213  this section with the department within 1 month after
  214  discontinuing such business, notwithstanding any provision of
  215  this section concerning the timeframe within which the taxpayer
  216  must file the regular return.
  217         (g)Each taxpayer subject to this section shall make
  218  estimated payments to the department on or before the 7th, 15th,
  219  22nd, and last day of the month during which tax liability to
  220  the department is incurred. The payments must be in an amount
  221  not less than the lower of either 22.5 percent of the taxpayer’s
  222  actual tax liability for the month or 25 percent of the
  223  taxpayer’s actual tax liability for the same calendar month of
  224  the preceding year.
  225         (h)The amount of the quarter-monthly payments must be
  226  credited against the final tax liability of the taxpayer’s
  227  return for that month. If any quarter-monthly payment is not
  228  paid at the time or in the amount required by this section, the
  229  taxpayer is liable for penalties and interest on the difference
  230  between the minimum amount due as a payment and the amount of
  231  the quarter-monthly payment actually and timely paid, except
  232  insofar as the taxpayer has previously made payments for that
  233  month to the department in excess of the minimum payments
  234  previously due under this section.
  235         (i)If any payment provided for in this section exceeds the
  236  taxpayer’s liabilities under this section, as shown on an
  237  original monthly return, the department must, if requested by
  238  the taxpayer, issue to the taxpayer a credit memorandum no later
  239  than 30 days after the date of payment. The credit evidenced by
  240  the credit memorandum may be assigned by the taxpayer to a
  241  similar taxpayer under this chapter, in accordance with rules
  242  adopted by the department. If a request for a credit memorandum
  243  is not made, the taxpayer may credit the excess payment against
  244  tax liability subsequently to be remitted to the department
  245  under this chapter, in accordance with rules adopted by the
  246  department. If the department subsequently determines that all
  247  or any part of the credit taken was not actually due to the
  248  taxpayer, the taxpayer’s discount must be reduced, if necessary,
  249  to reflect the difference between the credit taken and that
  250  actually due, and the taxpayer is liable for penalties and
  251  interest on the difference.
  252         (j)If a taxpayer fails to sign a return within 30 days
  253  after the proper notice and demand for signature by the
  254  department is received by the taxpayer, the return is considered
  255  valid and any amount shown to be due on the return is deemed
  256  assessed.
  257         (4)INFUSER INFORMATION RETURNS.—If deemed necessary for
  258  the administration of this section, the department may adopt
  259  rules requiring infusers to file information returns regarding
  260  the sale of cannabis by infusers to dispensaries. The department
  261  may require infusers to file all such returns by electronic
  262  means.
  263         (5)DEPOSIT OF PROCEEDS.—All moneys received by the
  264  department under this section must be deposited into the
  265  Alcoholic Beverage, Marijuana, and Tobacco Trust Fund.
  266         (6)ADMINISTRATION AND ENFORCEMENT.—
  267         (a)The department has the power to administer and enforce
  268  this section; to collect all taxes, penalties, and interest due
  269  hereunder; to dispose of such taxes, penalties, and interest as
  270  provided in this section; and to issue credit memoranda when
  271  warranted due to erroneous payment of such taxes, penalties, or
  272  interest.
  273         (b)In the administration of and compliance with this
  274  section, the department and persons who are subject to this
  275  section have the same rights, remedies, privileges, immunities,
  276  powers, and duties; are subject to the same conditions,
  277  restrictions, limitations, penalties, and definitions of terms;
  278  and shall employ the same procedures as are prescribed in
  279  chapter 212 which are not inconsistent with this section.
  280         (7)INVOICES.—
  281         (a)Every sales invoice for cannabis issued by a cultivator
  282  to a cannabis business establishment must contain all of the
  283  following information:
  284         1.The cultivator’s certificate of registration number
  285  assigned under this section.
  286         2.The date the invoice was issued.
  287         3.The invoice number.
  288         4.The purchaser’s name and address.
  289         5.The selling price.
  290         6.The amount of cannabis, cannabis concentrate, or
  291  cannabis-infused product.
  292         7.Any other information the department deems necessary for
  293  the administration of this section.
  294         (b)Cultivators shall retain the invoices to be presented
  295  upon demand for inspection by the department.
  296         (8)(1) ARREST; SEARCH AND SEIZURE WITHOUT WARRANT.—Any duly
  297  authorized employee of the department may arrest without warrant
  298  any person committing in his or her presence a violation of this
  299  section; may without a search warrant inspect all cannabis
  300  located in any place of business; may seize any cannabis in the
  301  possession of the retailer in violation of this chapter; and may
  302  seize any cannabis on which the tax imposed by this section has
  303  not been paid. The cannabis so seized is subject to confiscation
  304  and forfeiture as provided in subsections (9) and (10) (2) and
  305  (3).
  306         (9)(2) SEIZURE AND FORFEITURE.—After seizing any cannabis
  307  as provided in subsection (10) (3), the department must hold a
  308  hearing and determine whether the retailer was properly
  309  registered to sell the cannabis at the time of its seizure by
  310  the department. The department shall give at least 20 days’
  311  notice of the time and place of the hearing to the owner of the
  312  cannabis, if the owner is known, and also to the person in whose
  313  possession the cannabis was found, if that person is known and
  314  if the person in possession is not the owner of the cannabis. If
  315  neither the owner nor the person in possession of the cannabis
  316  is known, the department must publish the time and place of the
  317  hearing at least once each week for 3 consecutive weeks in a
  318  newspaper of general circulation in the county where the hearing
  319  is to be held. If, as a result of the hearing, the department
  320  determines that the retailer was not properly registered at the
  321  time the cannabis was seized, the department must enter an order
  322  declaring the cannabis confiscated and forfeited to the state,
  323  to be held by the department for disposal by it as provided in
  324  subsection (10) (3). The department must give notice of the
  325  order to the owner of the cannabis, if the owner is known, and
  326  also to the person in whose possession the cannabis was found,
  327  if that person is known and if the person in possession is not
  328  the owner of the cannabis. If neither the owner nor the person
  329  in possession of the cannabis is known, the department must
  330  publish the order at least once each week for 3 consecutive
  331  weeks in a newspaper of general circulation in the county where
  332  the hearing was held in accordance with chapter 50.
  333         (10)(3) SEARCH WARRANT; ISSUANCE AND RETURN; PROCESS;
  334  CONFISCATION OF CANNABIS; FORFEITURES.—
  335         (a) If a law enforcement officer of this state or any duly
  336  authorized officer or employee of the department has reason to
  337  believe that any violation of this section or a rule adopted
  338  pursuant thereto has occurred and that the person violating this
  339  section or rule has in that person’s possession any cannabis in
  340  violation of this section or a rule adopted pursuant thereto,
  341  that law enforcement officer or officer or employee of the
  342  department may file or cause to be filed his or her complaint in
  343  writing, verified by affidavit, with any court within whose
  344  jurisdiction the premises to be searched is situated, stating
  345  the facts upon which the belief is founded, the premises to be
  346  searched, and the property to be seized, and procure a search
  347  warrant and execute that warrant. Upon the execution of the
  348  search warrant, the law enforcement officer or officer or
  349  employee of the department executing the search warrant shall
  350  return the warrant to the court that issued the warrant,
  351  together with an inventory of the property taken under the
  352  warrant. The court must then issue process against the owner of
  353  the property if the owner is known; otherwise, process must be
  354  issued against the person in whose possession the property is
  355  found, if that person is known. In case of inability to serve
  356  process upon the owner or the person in possession of the
  357  property at the time of its seizure, notice of the proceedings
  358  before the court must be given in the same manner as required by
  359  the law governing cases of attachment. Upon the return of the
  360  process duly served or upon the posting or publishing of notice
  361  made, as applicable, the court or jury, if a jury is demanded,
  362  shall determine whether the property seized was held or
  363  possessed in violation of this section or a rule adopted
  364  pursuant thereto. If a violation is found, the court must enter
  365  a judgment confiscating the property and forfeiting it to the
  366  state and ordering its delivery to the department. In addition,
  367  the court may tax and assess the costs of the proceedings.
  368         (b) If any cannabis has been declared forfeited to the
  369  state by the department, as provided in subsection (9) (2) and
  370  this section, and if all proceedings for the judicial review of
  371  the department’s decision have concluded, the department shall,
  372  to the extent that its decision is sustained on review, destroy
  373  or maintain such cannabis or may use it in an undercover
  374  capacity.
  375         (c) The department may, before any destruction of cannabis,
  376  permit the true holder of trademark rights in the cannabis to
  377  inspect such cannabis in order to assist the department in any
  378  investigation regarding such cannabis.
  379         (11)(4) CANNABIS RETAILERS; PURCHASE AND POSSESSION OF
  380  CANNABIS.—Cannabis retailers may purchase cannabis for resale
  381  only from cannabis business establishments as authorized by this
  382  chapter.
  383         (12)RULES.—The department may adopt rules necessary for
  384  the enforcement of this section.
  385         Section 6. Section 566.806, Florida Statutes, is created to
  386  read:
  387         566.806Cannabis purchaser excise tax.—
  388         (1)DEFINITIONS.—As used in his section, the term:
  389         (a)“Adjusted delta-9-tetrahydrocannabinol level” means,
  390  for a delta-9-tetrahydrocannabinol-dominant product, the sum of
  391  the percentage of delta-9-tetrahydrocannabinol plus .877
  392  multiplied by the percentage of tetrahydrocannabinolic acid.
  393         (b)“Cannabis-infused product” means a beverage, food, oil,
  394  ointment, tincture, topical formulation, or other product
  395  containing cannabis which is not intended to be smoked.
  396         (c)“Cannabis retailer” means a dispensing organization
  397  that sells cannabis for use and not for resale.
  398         (d)“Department” means the Department of Revenue.
  399         (e)“Infuser organization” or “infuser” means a facility
  400  operated by an organization or a business that is licensed by
  401  the Department of Business and Professional Regulation to
  402  directly incorporate cannabis or cannabis concentrate into a
  403  product formulation to produce a cannabis-infused product.
  404         (f)“Purchase price” means the consideration paid for a
  405  purchase of cannabis, valued in money, including cash, gift
  406  cards, credits, and property, which must be determined without
  407  any deduction on account of the cost of materials used, labor or
  408  service costs, or any other expense. The term does not include
  409  consideration paid for:
  410         1.Any charge for a payment that is not honored by a
  411  financial institution;
  412         2.Any finance or credit charge, penalty or charge for
  413  delayed payment, or discount for prompt payment; or
  414         3.Any amount added to a purchaser’s bill because of
  415  charges made under the tax imposed by this section or any other
  416  sales or use tax.
  417         (g)“Purchaser” means a person who acquires cannabis for a
  418  valuable consideration.
  419         (h)“Taxpayer” means a cannabis retailer who is required to
  420  collect the tax imposed under this section.
  421         (2)TAX IMPOSED.—
  422         (a)Beginning January 1, 2023, an excise tax shall be
  423  imposed upon purchasers for the privilege of using cannabis at
  424  the following rates:
  425         1.Any cannabis, other than a cannabis-infused product,
  426  with an adjusted delta-9-tetrahydrocannabinol level at or below
  427  35 percent shall be taxed at a rate of 10 percent of the
  428  purchase price.
  429         2.Any cannabis, other than a cannabis-infused product,
  430  with an adjusted delta-9-tetrahydrocannabinol level above 35
  431  percent shall be taxed at a rate of 25 percent of the purchase
  432  price.
  433         3.A cannabis-infused product shall be taxed at a rate of
  434  20 percent of the purchase price.
  435         (b)The purchase of any product that contains any amount of
  436  cannabis or any derivative thereof is subject to the tax under
  437  paragraph (a) on the full purchase price of the product.
  438         (c)The tax imposed under this section may not be imposed
  439  on cannabis that is sold for medical use as defined in s.
  440  381.986 and purchased by a person listed on the Medical
  441  Marijuana Use Registry. The tax imposed by this section may not
  442  be imposed with respect to any transaction in interstate
  443  commerce, to the extent such transaction may not, under the
  444  Constitution and statutes of the United States, be made the
  445  subject of taxation by the state.
  446         (d)The tax imposed under this section is in addition to
  447  all other occupation, privilege, or excise taxes imposed by the
  448  state or by any of its political subdivision.
  449         (e)The tax imposed under this section may not be imposed
  450  on any purchase if the cannabis retailer is prohibited by
  451  federal or State Constitution, treaty, convention, statute, or
  452  court decision from collecting such tax from the purchaser.
  453         (3)BUNDLING OF TAXABLE AND NONTAXABLE ITEMS; PROHIBITION;
  454  TAXATION.—If a cannabis retailer sells for one price cannabis,
  455  cannabis concentrate, or cannabis-infused products in
  456  combination or bundled with items that are not subject to tax
  457  under this section, the tax shall be imposed on the purchase
  458  price of the entire bundled product.
  459         (4)COLLECTION OF TAX.—
  460         (a)The tax imposed by this section shall be collected from
  461  the purchaser by the cannabis retailer at the rate stated in
  462  subsection (2) and shall be remitted to the department as
  463  provided in this section. All sales to a purchaser who is not a
  464  cardholder under s. 381.986 shall be subject to tax collection.
  465  Cannabis retailers shall collect the tax by adding the tax to
  466  the amount of the purchase price. The tax imposed by this
  467  section shall, when collected, be stated on the sales invoice as
  468  a distinct item separate from the purchase price of the
  469  cannabis.
  470         (b)If a cannabis retailer collects cannabis purchaser
  471  excise tax measured by a purchase price that is not subject to
  472  such excise tax, or if a cannabis retailer collects more from
  473  the purchaser than the amount of excise tax required on the
  474  transaction, the purchaser has a legal right to claim a refund
  475  of that amount from the cannabis retailer. If the retailer does
  476  not refund the excess amount to the purchaser, the cannabis
  477  retailer is liable to pay such amount to the department.
  478         (c)A person purchasing cannabis that is subject to tax
  479  under this section who has not been charged the tax imposed by
  480  subsection (2) shall make payment of such tax in the form and
  481  manner provided by the department no later than the 20th day of
  482  the month following the month of the cannabis purchase.
  483         (5)REGISTRATION OF RETAILERS.—Every cannabis retailer
  484  required to collect the tax under this section shall apply to
  485  the department for a certificate of registration. All
  486  applications for certificate of registration must be made by
  487  electronic means in the form and manner prescribed by the
  488  department. For that purpose, the provisions of chapter 212 are
  489  incorporated into this section to the extent such provisions are
  490  not inconsistent with this section. In addition, a certificate
  491  of registration may not be issued under this section unless the
  492  applicant is licensed under this chapter.
  493         (6)TAX COLLECTED AS DEBT OWED TO STATE.—A cannabis
  494  retailer required to collect the tax imposed by this section is
  495  liable to the department for the tax regardless of whether the
  496  tax has been collected by the cannabis retailer, and such tax
  497  constitutes a debt owed by the cannabis retailer to the state.
  498  To the extent that a cannabis retailer required to collect the
  499  tax imposed by this section has actually collected that tax, the
  500  tax is held in trust for the benefit of the department.
  501         (7)RETURN AND PAYMENT.—
  502         (a)Each cannabis retailer required or authorized to
  503  collect the tax imposed by this section shall file a return with
  504  the department, by electronic means, on or before the 20th day
  505  of each month for the preceding calendar month which contains
  506  the following information:
  507         1.The cannabis retailer’s name.
  508         2.The address of the cannabis retailer’s principal place
  509  of business and, if different, the address of the principal
  510  place of business where the cannabis retailer is engaged in the
  511  business of selling cannabis subject to tax under this section.
  512         3.The total purchase price received by the cannabis
  513  retailer for cannabis subject to tax under this section.
  514         4.The amount of tax due at each rate.
  515         5. The signature of the cannabis retailer.
  516         6. Any other information the department may reasonably
  517  require.
  518         (b) All returns required to be filed and payments required
  519  to be made under this section must be submitted by electronic
  520  means. Cannabis retailers who demonstrate hardship in paying
  521  electronically may petition the department to waive this
  522  requirement.
  523         (c) Any amount that is required to be shown or reported on
  524  any return or other document under this section must, if the
  525  amount is not a whole dollar amount, be increased to the nearest
  526  whole dollar amount if the fractional part of a dollar is $0.50
  527  or more and decreased to the nearest whole dollar amount if the
  528  fractional part of a dollar is less than $0.50. If a total
  529  amount of less than $1 is payable, refundable, or creditable,
  530  the amount must be disregarded if it is less than $0.50 and must
  531  be increased to $1 if it is $0.50 or more.
  532         (d) A cannabis retailer making the return required by this
  533  section shall also pay to the department the amount of tax
  534  imposed by this section, less a discount of 1.75 percent, which
  535  may not exceed the $1,000 allowed per return period to reimburse
  536  the cannabis retailer for the expenses incurred in keeping
  537  records, collecting and remitting tax, preparing and filing
  538  returns, and supplying data to the department upon request.
  539  However, a discount may not be claimed by a cannabis retailer in
  540  the following instances:
  541         1.On returns not timely filed and for taxes not timely
  542  remitted.
  543         2.On returns that are not filed electronically.
  544         3.For any payment that is not made electronically, unless
  545  a waiver has been granted under this section.
  546         (e) A cannabis retailer who ceases to engage in business
  547  subject to the requirements of this section shall file a final
  548  return with the department within 1 month after discontinuing
  549  the business, notwithstanding any other provision of this
  550  section concerning the time within which a cannabis retailer may
  551  file a return.
  552         (f) Each cannabis retailer shall make estimated payments to
  553  the department on or before the 7th, 15th, 22nd, and last day of
  554  the month during which tax liability to the department is
  555  incurred. The payments must be in an amount not less than the
  556  lower of either 22.5 percent of the cannabis retailer’s actual
  557  tax liability for the month or 25 percent of the cannabis
  558  retailer’s actual tax liability for the same calendar month of
  559  the preceding year.
  560         (g)The amount of the quarter-monthly payments must be
  561  credited against the final tax liability of the cannabis
  562  retailer’s return for that month. If any such quarter-monthly
  563  payment is not paid at the time or in the amount required by
  564  this section, the cannabis retailer is liable for penalties and
  565  interest on the difference between the minimum amount due as a
  566  payment and the amount of the quarter-monthly payment actually
  567  and timely paid, except insofar as the cannabis retailer has
  568  previously made payments for that month to the department in
  569  excess of the minimum payments previously due as provided in
  570  this section.
  571         (h)If any payment provided for in this section exceeds the
  572  taxpayer’s liabilities under this section, as shown on an
  573  original monthly return, the department must, if requested by
  574  the taxpayer, issue to the taxpayer a credit memorandum no later
  575  than 30 days after the date of payment. The credit evidenced by
  576  the credit memorandum may be assigned by the taxpayer to a
  577  similar taxpayer under this section, in accordance with rules
  578  adopted by the department. If a request for a credit memorandum
  579  is not made, the taxpayer may credit the excess payment against
  580  tax liability subsequently to be remitted to the department
  581  under this section, in accordance with rules adopted by the
  582  department.
  583         (i)If the department subsequently determines that all or
  584  any part of the credit taken was not actually due to the
  585  taxpayer, the taxpayer’s discount must be reduced, if necessary,
  586  to reflect the difference between the credit taken and that
  587  actually due, and that taxpayer is liable for penalties and
  588  interest on the difference.
  589         (j) If a cannabis retailer fails to sign a return within 30
  590  days after receiving the department’s notice and demand for
  591  signature, the return is considered valid and any amount shown
  592  to be due on the return is deemed assessed.
  593         (8) DEPOSIT OF PROCEEDS.—All moneys received by the
  594  department under this section must be paid into the Cannabis
  595  Regulation Fund.
  596         (9) RECORDKEEPING; BOOKS AND RECORDS.—
  597         (a) Every retailer of cannabis, regardless of whether the
  598  retailer has obtained a certificate of registration under
  599  subsection (5), shall keep complete and accurate records of
  600  cannabis held, purchased, sold, or otherwise disposed of and
  601  shall preserve and keep all invoices, bills of lading, sales
  602  records, and copies of bills of sale, returns, and other
  603  pertinent papers and documents relating to the purchase, sale,
  604  or disposition of cannabis. Such records need not be maintained
  605  on the licensed premises but must be maintained in this state.
  606  However, all original invoices or copies of invoices covering
  607  cannabis purchases must be retained on the licensed premises for
  608  a period of 90 days after such purchase, unless the department
  609  has granted a waiver in response to a written request in cases
  610  where records are kept at a central business location within
  611  this state. The department shall adopt rules regarding the
  612  eligibility for a waiver, revocation of a waiver, and
  613  requirements and standards for maintenance and accessibility of
  614  records located at a central location under a waiver provided
  615  under this section.
  616         (b) Books, records, papers, and documents that are required
  617  by this section to be kept are, at all times during the usual
  618  business hours of the day, subject to inspection by the
  619  department or its duly authorized agents and employees. The
  620  books, records, papers, and documents for any period for which
  621  the department is authorized to issue a notice of tax liability
  622  must be preserved until the expiration of that period.
  623         (10) VIOLATIONS AND PENALTIES.—
  624         (a) When the amount due is under $300, any cannabis
  625  retailer who fails to file a return, willfully fails or refuses
  626  to make payment of the tax imposed by this section, or files a
  627  fraudulent return; any officer or agent of a corporation engaged
  628  in the business of selling cannabis to purchasers located in
  629  this state who signs a fraudulent return filed on behalf of the
  630  corporation; or any accountant or other agent who knowingly
  631  enters false information on the return of any taxpayer under
  632  this section commits a felony of the third degree, punishable as
  633  provided in s. 775.082, s. 775.083, or s. 775.084.
  634         (b) When the amount due is $300 or more, a cannabis
  635  retailer who files or causes to be filed a fraudulent return;
  636  any officer or agent of a corporation engaged in the business of
  637  selling cannabis to purchasers located in this state who files
  638  or causes to be filed or signs or causes to be signed a
  639  fraudulent return filed on behalf of the corporation; or any
  640  accountant or other agent who knowingly enters false information
  641  on the return of any taxpayer under this section commits a
  642  felony of the second degree, punishable as provided in s.
  643  775.082, s. 775.083, or s. 775.084.
  644         (c) A person who violates any provision of subsection (5),
  645  fails to keep books and records as required under this section,
  646  or willfully violates a rule of the department for the
  647  administration and enforcement of this section commits a felony
  648  of the third degree, punishable as provided in s. 775.082, s.
  649  775.083, or s. 775.084. A person commits a separate offense on
  650  each day that he or she engages in business in violation of
  651  subsection (5) or of a department rule for the administration
  652  and enforcement of this section. If a person fails to produce
  653  the books and records for inspection by the department upon
  654  request, a prima facie presumption arises that the person has
  655  failed to keep books and records as required under this section.
  656  A person who is unable to rebut this presumption is in violation
  657  of this section and is subject to the penalties provided in this
  658  section.
  659         (d) A person who violates any provision of subsection (5),
  660  fails to keep books and records as required under this section,
  661  or willfully violates a rule of the department for the
  662  administration and enforcement of this section commits a civil
  663  violation and may be fined up to $5,000. If a person fails to
  664  produce books and records for inspection by the department upon
  665  request, a prima facie presumption arises that the person has
  666  failed to keep books and records as required under this section.
  667  A person who is unable to rebut this presumption is in violation
  668  of this section and is subject to the penalties provided in this
  669  section. A person commits a separate offense on each day that he
  670  or she engages in business in violation of subsection (5).
  671         (e) A person who fails to keep books and records or fails
  672  to produce books and records for inspection, as required by
  673  subsection (9), is liable to pay to the department a penalty of
  674  $1,000 for the first failure to keep books and records or
  675  failure to produce books and records for inspection, as required
  676  by subsection (9), and $3,000 for each subsequent failure to
  677  keep books and records or failure to produce books and records
  678  for inspection, as required by subsection (9).
  679         (f) A person who knowingly acts as a cannabis retailer in
  680  this state without first having obtained a certificate of
  681  registration in compliance with subsection (5) commits a felony
  682  of the third degree, punishable as provided in s. 775.082, s.
  683  775.083, or s. 775.084.
  684         (g)1. A person commits the offense of tax evasion under
  685  this section if he or she knowingly attempts in any manner to
  686  evade or defeat the tax imposed on him or her or on any other
  687  person, or the payment thereof, and he or she commits an
  688  affirmative act in furtherance of the evasion. As used in this
  689  paragraph, “affirmative act in furtherance of the evasion” means
  690  an act designed in whole or in part to conceal, misrepresent,
  691  falsify, or manipulate any material fact or tamper with or
  692  destroy documents or materials related to a person’s tax
  693  liability under this section. Two or more acts of sales tax
  694  evasion may be charged as a single count in any indictment,
  695  information, or complaint. The amount of tax deficiency may be
  696  aggregated for purposes of determining the amount of tax that is
  697  attempted to be or is evaded, and the period between the first
  698  and last acts may be alleged as the date of the offense.
  699         a. If the amount of the tax that is evaded or attempted to
  700  be evaded is less than $500, a person commits a felony of the
  701  third degree, punishable as provided in s. 775.082, s. 775.083,
  702  or s. 775.084.
  703         b. If the amount of the tax that is evaded or attempted to
  704  be evaded is $500 or more but less than $10,000, a person
  705  commits a felony of the second degree, punishable as provided in
  706  s. 775.082, s. 775.083, or s. 775.084.
  707         c. If the amount of tax that is evaded or attempted to be
  708  evaded is $10,000 or more but less than $100,000, a person
  709  commits a felony of the second degree, punishable as provided in
  710  s. 775.082, s. 775.083, or s. 775.084.
  711         d. If the amount of tax that is evaded or attempted to be
  712  evaded is $100,000 or more, a person commits a felony of the
  713  first degree, punishable as provided in s. 775.082, s. 775.083,
  714  or s. 775.084.
  715         2.a. A person who knowingly sells, purchases, installs,
  716  transfers, possesses, uses, or accesses any automated sales
  717  suppression device, zapper, or phantom-ware in this state
  718  commits a felony of the second degree, punishable as provided in
  719  s. 775.082, s. 775.083, or s. 775.084.
  720         b. As used in this subparagraph, the term:
  721         (I) “Automated sales suppression device” or “zapper” means
  722  a software program that falsifies the electronic records of an
  723  electronic cash register or other point-of-sale system,
  724  including, but not limited to, transaction data and transaction
  725  reports. The term includes the software program, any device that
  726  carries the software program, or an Internet link to the
  727  software program.
  728         (II) “Electronic cash register” means a device that keeps a
  729  register or supporting documents through the use of an
  730  electronic device or computer system designed to record
  731  transaction data for the purpose of computing, compiling, or
  732  processing retail sales transaction data in any manner.
  733         (III) “Phantom-ware” means a hidden programming option
  734  embedded in the operating system of an electronic cash register
  735  or hardwired into an electronic cash register which can be used
  736  to create a second set of records or which can eliminate or
  737  manipulate transaction records in an electronic cash register.
  738         (IV) “Transaction data” includes items purchased by a
  739  purchaser; the price of each item; a taxability determination
  740  for each item; a segregated tax amount for each taxed item; the
  741  amount of cash or credit tendered; the net amount returned to
  742  the customer in change; the date and time of the purchase; the
  743  name, address, and identification number of the vendor; and the
  744  receipt or invoice number of the transaction.
  745         (V) “Transaction report” means a report that documents,
  746  without limitation, the sales, taxes, or fees collected and the
  747  media and discount voids at an electronic cash register and that
  748  is printed on a cash register tape at the end of a day or shift,
  749  or a report that documents every action at an electronic cash
  750  register and is stored electronically.
  751         c. A prosecution for any act in violation of this
  752  subparagraph may be commenced at any time within 5 years of the
  753  commission of that act.
  754         (h)The department may adopt rules to administer the
  755  penalties under this section.
  756         (i) A person whose principal place of business is in this
  757  state and who is charged with a violation under this section
  758  shall be tried in the county where his or her principal place of
  759  business is located unless he or she asserts a right to be tried
  760  in another venue.
  761         (j) Except as otherwise provided in paragraph (h), a
  762  prosecution for a violation described in this subsection may be
  763  commenced within 3 years after the commission of the act
  764  constituting the violation.
  765         (11) ADMINISTRATION AND ENFORCEMENT.—
  766         (a)The department has power to administer and enforce this
  767  section, to collect all taxes and penalties due hereunder, to
  768  dispose of such taxes and penalties as provided in this section,
  769  and to issue credit memoranda when warranted due to erroneous
  770  payment of such taxes or penalties.
  771         (b)In the administration of and compliance with this
  772  section, the department and persons who are subject to this
  773  section have the same rights, remedies, privileges, immunities,
  774  powers, and duties; are subject to the same conditions,
  775  restrictions, limitations, penalties, and definitions of terms;
  776  and shall employ the same procedures as are prescribed in
  777  chapter 212 which are not inconsistent with this section.
  778         (12) RULEMAKING.—The department may adopt rules and
  779  prescribe forms relating to the administration and enforcement
  780  of this section.
  781         Section 7. Except as otherwise expressly provided in this
  782  act, this act shall take effect on the same date that SB ____ or
  783  similar legislation takes effect, if such legislation is adopted
  784  in the same legislative session or an extension thereof and
  785  becomes a law.