House Bill 1119er

    ENROLLED

    1999 Legislature                      HB 1119, First Engrossed



  1

  2         An act relating to tax on sales, use, and other

  3         transactions; amending s. 212.08, F.S.;

  4         providing an exemption from the taxes imposed

  5         by chapter 212 for joining fees paid for

  6         memberships and ownership interests in and

  7         assessments for capital expenditures levied by

  8         not-for-profit membership clubs; providing an

  9         effective date.

10

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

12

13         Section 1.  Paragraph (zz) is added to subsection (7)

14  of section 212.08, Florida Statutes, 1998 Supplement, to read:

15         212.08  Sales, rental, use, consumption, distribution,

16  and storage tax; specified exemptions.--The sale at retail,

17  the rental, the use, the consumption, the distribution, and

18  the storage to be used or consumed in this state of the

19  following are hereby specifically exempt from the tax imposed

20  by this chapter.

21         (7)  MISCELLANEOUS EXEMPTIONS.--

22         (zz)  Joining fees paid for memberships and ownership

23  interests in and assessments for capital expenditures levied

24  by private not-for-profit clubs.--Exempt from the taxes

25  imposed by this chapter are:

26         1.  Monies paid on a one-time-only basis for the

27  privilege of joining and acquiring ownership interest in

28  private not-for-profit clubs, regardless of whether such

29  monies are refundable or not and regardless of the purposes

30  for which such monies are used.

31


                                  1

CODING: Words stricken are deletions; words underlined are additions.




    ENROLLED

    1999 Legislature                      HB 1119, First Engrossed



  1         2.  Assessments for capital expenditures levied by

  2  private, not-for-profit clubs in which members have an

  3  ownership interest, whether such assessments are recurring or

  4  non-recurring provided, however, that such assessments do not

  5  result in a reduction of dues or fees.  For purposes of this

  6  paragraph, "capital expenditures" means the acquisition of

  7  capital assets and payments for capital improvements,

  8  including repairs or maintenance to existing capital assets,

  9  that maintain or add to the value of or prolong the useful

10  life of the capital asset, according to generally accepted

11  accounting principles.

12

13  Exemptions provided to any entity by this subsection shall not

14  inure to any transaction otherwise taxable under this chapter

15  when payment is made by a representative or employee of such

16  entity by any means, including, but not limited to, cash,

17  check, or credit card even when that representative or

18  employee is subsequently reimbursed by such entity. This

19  exemption shall not apply to private equity membership clubs

20  that limit their membership based on race, gender, religion or

21  sexual orientation.

22         Section 2.  This act shall take effect July 1, 1999.

23

24

25

26

27

28

29

30

31


                                  2