Senate Bill 1052

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    Florida Senate - 1999                                  SB 1052

    By Senator Sebesta





    314-946-99

  1                      A bill to be entitled

  2         An act relating to penalties for delinquent

  3         taxes; amending s. 199.282, F.S.; reducing

  4         penalties imposed for delinquent intangible

  5         personal property taxes; amending s. 201.17,

  6         F.S.; reducing penalties imposed for delinquent

  7         documentary stamp taxes; amending s. 212.12,

  8         F.S.; reducing penalties for delinquent sales

  9         and use taxes; amending s. 220.21, F.S.;

10         reducing penalties for incomplete corporate

11         income tax returns; providing an effective

12         date.

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14  Be It Enacted by the Legislature of the State of Florida:

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16         Section 1.  Subsections (3) and (4) of section 199.282,

17  Florida Statutes, 1998 Supplement, are amended to read:

18         199.282  Penalties for violation of this chapter.--

19         (3)(a)  If any annual or nonrecurring tax is not paid

20  by the due date, a delinquency penalty shall be charged.  The

21  delinquency penalty shall be 5 10 percent of the delinquent

22  tax for each calendar month or portion thereof from the due

23  date until paid, up to a limit of 25 50 percent of the total

24  tax not timely paid.

25         (b)  If any annual tax return required by this chapter

26  is not filed by the due date, a penalty of 5 10 percent of the

27  tax due with the return shall be charged for each calendar

28  month or portion thereof during which the return remains

29  unfiled, up to a limit of 25 50 percent of the total tax due.

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    Florida Senate - 1999                                  SB 1052
    314-946-99




  1  For any penalty assessed under this subsection, the combined

  2  total for all penalties assessed under paragraphs (a) and (b)

  3  shall not exceed 5 10 percent per calendar month, up to a

  4  limit of 25 50 percent of the total tax due.

  5         (4)  If an annual tax return is filed and property is

  6  either omitted from it or undervalued, then a specific penalty

  7  shall be charged.  The specific penalty shall be 5 10 percent

  8  of the tax attributable to each omitted item or to each

  9  undervaluation. No delinquency or late filing penalty shall be

10  charged with respect to any undervaluation.

11         Section 2.  Subsection (2) of section 201.17, Florida

12  Statutes, is amended to read:

13         201.17  Penalties for failure to pay tax required.--

14         (2)  If any document, instrument, or paper upon which

15  the tax under this chapter is imposed, upon audit or at time

16  of recordation, does not show the proper amount of tax paid,

17  or if the tax imposed by this chapter on any document,

18  instrument, or paper is not timely reported and paid as

19  required by s. 201.133, the person or persons liable for the

20  tax upon the document, instrument, or paper shall be subject

21  to:

22         (a)  Payment of the tax not paid.

23         (b)  A specific penalty added to the tax in the amount

24  of 5 10 percent per month or part of a month of any unpaid tax

25  if the failure is for not more than 30 days, with an

26  additional 10 percent of any unpaid tax for each additional 30

27  days, or fraction thereof, during the time which the failure

28  continues, not to exceed a total penalty of 25 50 percent, in

29  the aggregate, of any unpaid tax.  In no event shall the

30  penalty be less than $10 for failure to timely file a tax

31  return required.  If it is determined by clear and convincing

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    Florida Senate - 1999                                  SB 1052
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  1  evidence that any part of a deficiency is due to fraud, there

  2  shall be added to the tax as a civil penalty, in lieu of the

  3  aforementioned penalty under this paragraph, an amount equal

  4  to 200 percent of the deficiency.  These penalties are to be

  5  in addition to, and not in lieu of, any other penalties

  6  imposed by law.

  7         (c)  Payment of interest to the Department of Revenue,

  8  accruing from the date the tax is due until paid, at the rate

  9  of 1 percent per month, based on the amount of tax not paid.

10         Section 3.  Paragraphs (a) and (b) of subsection (2) of

11  section 212.12, Florida Statutes, 1998 Supplement, are amended

12  to read:

13         212.12  Dealer's credit for collecting tax; penalties

14  for noncompliance; powers of Department of Revenue in dealing

15  with delinquents; brackets applicable to taxable transactions;

16  records required.--

17         (2)(a)  When any person, firm, or corporation required

18  hereunder to make any return or to pay any tax or fee imposed

19  by this chapter fails to timely file such return or fails to

20  pay the tax or fee due within the time required hereunder, in

21  addition to all other penalties provided herein and by the

22  laws of this state in respect to such taxes or fees, a

23  specific penalty shall be added to the tax or fee in the

24  amount of 5 10 percent per month or part of a month of any

25  unpaid tax or fee if the failure is for not more than 30 days,

26  with an additional 10 percent of any unpaid tax or fee for

27  each additional 30 days, or fraction thereof, during the time

28  which the failure continues, not to exceed a total penalty of

29  25 50 percent, in the aggregate, of any unpaid tax or fee.  In

30  no event may The penalty may not be less than $10 for failure

31  to timely file a tax return required by s. 212.11(1)(b) or $5

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    Florida Senate - 1999                                  SB 1052
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  1  for failure to timely file a tax return authorized by s.

  2  212.11(1)(c) or (d).  In the case of a false or fraudulent

  3  return or a willful intent to evade payment of any tax or fee

  4  imposed under this chapter, in addition to the other penalties

  5  provided by law, the person making such false or fraudulent

  6  return or willfully attempting to evade the payment of such a

  7  tax or fee shall be liable for a specific penalty of 100

  8  percent of the tax bill or fee and for fine and punishment as

  9  provided by law for a conviction of a misdemeanor of the first

10  degree.

11         (b)  When any person, firm, or corporation fails to

12  timely remit the proper estimated payment required under s.

13  212.11, a specific penalty shall be added in an amount equal

14  to 5 10 percent of any unpaid estimated tax. Beginning with

15  January 1, 1985, returns, the department, upon a showing of

16  reasonable cause, is authorized to waive or compromise

17  penalties imposed by this paragraph. However, other penalties

18  and interest shall be due and payable if the return on which

19  the estimated payment was due was not timely or properly

20  filed.

21         Section 4.  Section 220.211, Florida Statutes, is

22  amended to read:

23         220.211  Penalties; incomplete return.--

24         (1)  If In the case where an incomplete return is made,

25  unless notwithstanding that no tax is finally determined to be

26  due for the taxable year, there shall be added to the amount

27  of tax, penalty, and interest otherwise due a penalty in the

28  amount of 5 percent per month, not exceeding an aggregate of

29  $300 or 10 percent of the tax finally determined to be due,

30  whichever is greater; however, such a penalty must shall not

31  exceed $10,000, and the taxpayer is exempt from this penalty

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    Florida Senate - 1999                                  SB 1052
    314-946-99




  1  if a penalty is imposed on him or her under s. 220.801 with

  2  respect to the same return. The department may settle or

  3  compromise such penalties pursuant to s. 213.21.

  4         (2)  As used in this code, the term: An "incomplete

  5  return" means is, for the purposes of this code, a return that

  6  lacks which is lacking such uniformity, completeness, and

  7  arrangement to the extent that physical handling,

  8  verification, or review of the return can may not be readily

  9  accomplished.

10         Section 5.  This act shall take effect July 1, 1999.

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13                          SENATE SUMMARY

14    Reduces the penalties for delinquent intangible personal
      property taxes, documentary stamp taxes, and sales and
15    use taxes, and reduces the penalties for incomplete
      corporate income tax returns.
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