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





                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)

                            CHAMBER ACTION
              Senate                               House
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 1                                 .
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 2                                 .
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 3                                 .
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 4                                                                

 5                                           ORIGINAL STAMP BELOW

 6

 7

 8

 9

10                                                                

11  Representative(s) Albright offered the following:

12

13         Amendment (with title amendment) 

14  Remove from the bill:  Everything after the enacting clause

15

16  and insert in lieu thereof:

17         Section 1.  (1)  This section may be cited as the

18  "Florida Residents Tax Relief Act of 1999." (2)  No tax levied

19  under the provisions of chapter 212, Florida Statutes, shall

20  be collected on sales of clothing having a taxable value of

21  $50 or less during the period from 12:01 a.m., July 31, 1999,

22  through midnight, August 6, 1999.

23         (3)  As used in this section, "clothing" means any

24  article of wearing apparel, including footwear, intended to be

25  worn on or about the human body. For purposes of this section,

26  "clothing" does not include watches, watchbands, jewelry,

27  handbags, handkerchiefs, umbrellas, or headbands.

28         (4)  This section does not apply to sales within a

29  theme park or entertainment complex, as defined in s.

30  509.013(9), Florida Statutes, or within a public lodging

31  establishment, as defined in s. 509.013(4), Florida Statutes.

                                  1

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1         (5)  The provisions of chapter 120, Florida Statutes,

 2  to the contrary notwithstanding, the Department of Revenue is

 3  authorized to adopt rules to carry out the provisions of this

 4  section.

 5         (6)  This section shall take effect upon this act

 6  becoming a law.

 7         Section 2.  (1)  The sum of $200,000 is appropriated

 8  from the General Revenue Fund to the Department of Revenue for

 9  the purpose of administering section 1 of this act.

10         (2)  This section shall ake effect upon this act

11  becoming a law.

12         Section 3.  (1)  Each residential electric utility

13  customer account of an electric utility, as defined in s.

14  366.02(2), Florida Statutes, receiving active residential

15  electric utility service on August 1, 1999, shall be provided

16  a one-time, nonrecurring rebate.  The rebate shall be given in

17  the form of a $25 credit, payable from the General Revenue

18  Fund, on each account's electric utility service billing in

19  August of 1999. The credit shall be awarded as follows:

20         (1)  The Florida Public Service Commission shall direct

21  each utility to provide the credit on the electric service

22  account of each residential electric service customer that is

23  active on August 1, 1999, as provided by this section.  The

24  language to appear on the utility bill shall identify the

25  credit as a "Florida Tax Rebate." The credit shall be

26  reflected on the bills for applicable customer accounts

27  starting on August 1, 1999, and continuing through the

28  utility's standard billing cycles, said credit being applied

29  to the bill up to the total amount owed each month for

30  electric service.  When a bill for electric service is less

31  than the credit, the balance of the credit shall be applied

                                  2

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  toward the account in subsequent billing months until the

 2  total credit has been depleted. All undistributed credits

 3  which cannot be distributed, for whatever reason, shall be

 4  accounted for by the utility and returned to the Comptroller

 5  no later than January 1, 2000.

 6         (2)  Each electric utility providing residential

 7  electric utility service in the state shall, by July 10, 1999,

 8  certify to the Florida Public Service Commission the total

 9  number of residential electric utility accounts active on July

10  1, 1999.

11         (3)  Upon receipt of the certification required by

12  subsection (2), the commission shall promptly calculate the

13  amount of funds necessary to reimburse the utilities for the

14  credits by multiplying 75 percent of the total number of

15  residential accounts active on July 1, 1999, by $25.  The

16  commission shall also calculate the reasonable utility

17  computer reprogramming costs necessary to administer the

18  credit by multiplying 75 percent of the total number of

19  residential accounts active on July 1, 1999, by the following

20  rates:

21         (a)  Two dollars for electric utilities providing

22  residential electric service to fewer than 5,000 residential

23  accounts on July 1, 1999.

24         (b)  One dollar for electric utilities providing

25  residential electric service to 5,000 to 10,000 residential

26  accounts on July 1, 1999.

27         (c)  Forty cents for electric utilities providing

28  residential electric service to 10,001 to 50,000 residential

29  accounts on July 1, 1999.

30         (d)  Twenty cents for electric utilities providing

31  residential electric service to 50,001 to 100,000 residential

                                  3

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  accounts on July 1, 1999.

 2         (e)  Fifteen cents for electric utilities providing

 3  residential electric service to 100,001 to 300,000 residential

 4  accounts on July 1, 1999.

 5         (f)  Five cents for electric utilities providing

 6  residential electric service to 300,001 to 1,500,000

 7  residential accounts on July 1, 1999.

 8         (g)  Three cents for electric utilities providing

 9  residential electric service to more than 1,500,000

10  residential accounts on July 1, 1999.

11         (4)  The commission shall produce a list of the

12  utilities detailing the necessary funds to provide 75 percent

13  of the $25 credit and reprogramming costs.  The commission

14  shall certify this list to the Comptroller, the President of

15  the Senate, the Speaker of the House of Representatives, and

16  the Governor by July 20, 1999.

17         (5)  On or before August 1, 1999, the Comptroller shall

18  distribute funds to each individual electric utility based on

19  the list submitted by the commission under subsection (4). The

20  Comptroller shall make appropriate adjustments as funds are

21  available to ensure an equal credit to each specified electric

22  utility customer as provided by this section.

23         (6)  Each electric utility providing residential

24  electric utility service in the state shall, by August 10,

25  1999, recertify to the commission the total number of

26  residential electric utility accounts active on August 1,

27  1999.

28         (7)  Upon receipt of the certification required by

29  subsection (6), the commission shall promptly calculate the

30  amount of funds necessary to reimburse the utilities for the

31  credits by multiplying the number of residential accounts

                                  4

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  active on August 1, 1999, by $25. The commission shall also

 2  calculate the reasonable utility computer reprogramming costs

 3  necessary to administer the credit by multiplying the number

 4  of residential accounts active on August 1, 1999, by the

 5  following rates:

 6         (a)  Two dollars for electric utilities providing

 7  residential electric service to fewer than 5,000 residential

 8  accounts on August 1, 1999.

 9         (b)  One dollar for electric utilities providing

10  residential electric service to 5,000 to 10,000 residential

11  accounts on August 1, 1999.

12         (c)  Forty cents for electric utilities providing

13  residential electric service to 10,001 to 50,000 residential

14  accounts on August 1, 1999.

15         (d)  Twenty cents for electric utilities providing

16  residential electric service to 50,001 to 100,000 residential

17  accounts on August 1, 1999.

18         (e)  Fifteen cents for electric utilities providing

19  residential electric service to 100,001 to 300,000 residential

20  accounts on August 1, 1999.

21         (f)  Five cents for electric utilities providing

22  residential electric service to 300,001 to 1,500,000

23  residential accounts on August 1, 1999.

24         (g)  Three cents for electric utilities providing

25  residential electric service to more than 1,500,000

26  residential accounts on August 1, 1999.

27         (8)  The commission shall produce a list of the

28  utilities detailing the necessary funds to provide the $25

29  credit and reprogramming costs less payments already

30  distributed under subsection (5). The commission shall certify

31  this list to the Comptroller, the President of the Senate, the

                                  5

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  Speaker of the House of Representatives, and the Governor by

 2  August 20, 1999.

 3         (9)  On or before September 1, 1999, the Comptroller

 4  shall distribute funds to each individual electric utility

 5  based on the list submitted by the commission under subsection

 6  (8). The Comptroller shall make appropriate adjustments as

 7  funds are available to ensure an equal credit to each

 8  specified electric utility customer as provided by this

 9  section.

10         (10)  Upon the request of the Comptroller, the

11  President of the Senate, the Speaker of the House of

12  Representatives, or the Governor, the commission shall audit

13  the number of residential utility accounts filed by any one or

14  more utilities pursuant to subsection (2) or subsection (6).

15  The cost of any such audit shall be paid for out of the

16  Florida Public Service Regulatory Trust Fund.

17

18  It is the intent of the Legislature that this electric utility

19  credit represent a rebate of various state taxes paid by

20  households to the State of Florida.  It is also the intent of

21  the Legislature that this credit not require any increase or

22  decrease in current utility rates as established on the

23  effective date of this act.  Prior to the application of this

24  credit, amounts owed by each customer and gross receipts of

25  electric utilities shall be calculated without regard to the

26  existence of the credit.  As a result, the amounts due from

27  each customer, including, but not limited to, rates, state and

28  local taxes, franchise fees, and any other applicable charges,

29  shall not be affected by the existence of this credit.

30  Furthermore, gross receipts, for purposes of the gross

31  receipts tax levied pursuant to s. 203.01, Florida Statutes,

                                  6

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  shall not be affected by the existence of this credit.

 2         (2)  This section shall take effect upon this act

 3  becoming a law.

 4         Section 4.  (1)  The Florida Public Service Commission

 5  is directed to make arrangements for the efficient

 6  administration of section 3, including, but not limited to,

 7  providing a toll-free number for customer inquiries, and

 8  making supplemental information available through the

 9  Internet.

10         (2)  This section shall take effect upon this act

11  becoming a law.

12         Section 5.  (1)  The Florida Public Service Commission

13  has authority to adopt rules pursuant to ss. 120.536(1) and

14  120.54, Florida Statutes, to implement the provisions of this

15  act.

16         (2)  This section shall take effect upon this act

17  becoming a law.

18         Section 6.  (1)  There is hereby appropriated $177

19  million from the General Revenue Fund to be disbursed to

20  Florida utility companies for a one-time rebate of state taxes

21  by means of a reduction in customer utility bills as provided

22  by this act.

23         (2)  This section shall take effect upon this act

24  becoming a law.

25         Section 7.  (1)  Any county which was not levying a

26  school impact fee on January 1, 1999, may not levy any school

27  impact fee during the period beginning July 1, 1999, through

28  June 30, 2000.

29         (2)  During the period beginning July 1, 1999, through

30  June 30, 2000, any school impact fee collected by a county may

31  not exceed $500 per dwelling unit. If a county was levying a

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  school impact fee in excess of $500 per dwelling unit on

 2  January 1, 1999, the county may collect only the first $500 of

 3  the fee due on each dwelling unit during that period.

 4         (3)  This section shall take effect upon this act

 5  becoming a law.

 6         Section 8.  (1)  If a county was levying a school

 7  impact fee in excess of $500 per dwelling unit on January 1,

 8  1999, and the fee becomes due during the period beginning July

 9  1, 1999, through June 30, 2000, the county may receive funds

10  from the Comptroller under the following procedures:

11         (1)  The county must provide to the Comptroller the

12  number of dwellings upon which the school impact fee would

13  have been imposed and the amount of fees which would have been

14  collected on those dwellings under the January 1, 1999, fee

15  schedule during the period beginning July 1, 1999, through

16  June 30, 2000. However, if the county adopted an ordinance

17  increasing their school impact fee on or before February 1,

18  1999, the county shall report the fees which would have been

19  collected under that ordinance for the period beginning July

20  1, 1999, through June 30, 2000.  The county shall also

21  indicate how much money was actually collected on those

22  dwellings during that period.  This information shall be

23  provided in a manner designated by the Comptroller's office.

24         (2)  In the manner designated by the Comptroller's

25  office, the county shall provide the information specified

26  under subsection (1) and any additional information required

27  by rule quarterly as follows: not later than November 15,

28  1999, for the quarter ending September 30, 1999; not later

29  than February 15, 2000, for the quarter ending December 31,

30  1999; not later than May 15, 2000, for the quarter ending

31  March 31, 2000; not later than August 15, 2000, for the

                                  8

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  quarter ending June 30, 2000.

 2         (3)(a)  Once all claims are received for the quarter,

 3  the Comptroller shall distribute the funds appropriated by the

 4  Legislature by paying each county which makes a proper and

 5  timely application the difference between the school impact

 6  fees permitted to be collected for the quarter pursuant to

 7  section 7 and this section, and the fees which would have been

 8  collected if the school impact fees in place on January 1,

 9  1999, were fully enforceable during that quarter.  However, if

10  the county adopted an ordinance increasing their school impact

11  fee on or before February 1, 1999, then the Comptroller shall

12  distribute the funds appropriated by the Legislature to that

13  county based on the difference between the school impact fees

14  permitted to be collected for the quarter pursuant to section

15  7 and this section, and the fees which would have been in

16  place under that ordinance.

17         (b)  If the funds appropriated by the Legislature are

18  insufficient to pay all valid and timely claims made for any

19  quarter under this section, the Comptroller shall prorate the

20  claims for such quarter and carry forward to the next quarter

21  any unpaid claim amounts for payment after such next quarter's

22  claims are paid.

23         (c)  If additional funds remain after the distributions

24  under this section, the Comptroller shall return the excess

25  funds to the General Revenue Fund by September 30, 2000.

26         (4)  Funds distributed pursuant to this section shall

27  not be used to defray operating expenses, but shall be used

28  only for the following purposes:

29         (a)  To eliminate or reduce use of portable classrooms;

30         (b)  To create new student stations; or

31         (c)  To repair or renovate existing schools to increase

                                  9

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  capacity.

 2         (5)  The Comptroller has the authority to adopt rules

 3  to implement this section.

 4         (2)  This section shall not take effect upon this act

 5  becoming a law.

 6         Section 9.  (1)  The Florida School Impact Fee Policy

 7  Commission is hereby created, to serve through June 30, 2000.

 8         (2)(a)  The commission shall be composed of the

 9  following 15 members, who shall be appointed within 30 days

10  after the effective date of this section:

11         1.  Six members selected by the Governor, none of whom

12  shall be a member of the Legislature at the time of

13  appointment, as follows:  one representative from a local

14  school board, and five representatives at large.

15         2.  Four members selected by the Speaker of the House

16  of Representatives, as follows:  one member of the majority

17  party and one member of the minority party in the House of

18  Representatives, one representative from a local school board,

19  and one representative at large.

20         3.  Four members selected by the President of the

21  Senate, as follows:  one member of the majority party and one

22  member of the minority party in the Senate, one representative

23  from a local school board, and one representative at large.

24         4.  The Commissioner of Education or the commissioner's

25  designee.

26         (b)  Vacancies in the membership of the commission

27  shall be filled in the same manner as the original

28  appointments.

29         (c)  All state agencies are directed to cooperate with

30  and assist the commission to the fullest extent possible. All

31  local governments are encouraged to assist and cooperate with

                                  10

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  the commission as necessary.

 2         (d)  The Legislative Committee on Intergovernmental

 3  Relations is authorized to employ technical support and to

 4  incur expenses related to the official duties of the

 5  commission, and to expend funds appropriated to the committee

 6  for carrying out the official duties of the commission.

 7         (e)  Commission members shall not receive remuneration

 8  for their services but shall be reimbursed by the Legislative

 9  Committee on Intergovernmental Relations for travel and per

10  diem expenses in accordance with s. 112.061, Florida Statutes.

11         (3)(a)  The commission shall act as an advisory and

12  recommendatory body to the Governor and the Legislature.

13         (b)  The commission shall convene its initial meeting

14  within 60 days after the effective date of this section. At

15  its initial meeting, the commission shall select a chair and

16  shall adopt rules of procedure. Thereafter, the commission

17  shall convene at the call of the chair.

18         (c)  The commission shall study the use of impact fees

19  to finance school construction, the alternative methods of

20  funding school construction, and the pros and cons of each

21  method of funding.

22         (d)  The commission shall formulate tax policies which

23  take into account school construction revenue needs, the

24  availability of alternative funding mechanisms, and other

25  accepted tax policy goals, including fairness and ease of

26  administration.

27         (e)  The commission shall issue a report to the

28  Governor, the Speaker of the House of Representatives, and the

29  President of the Senate no later than February 1, 2000,

30  summarizing its findings, stating its conclusions, and

31  proposing any recommended statutory changes related to the tax

                                  11

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  laws of the state.

 2         (4)  This section shall take effect upon this act

 3  becoming a law.

 4         Section 10.  (1)  There is appropriated to the

 5  Legislative Committee on Intergovernmental Relations from the

 6  General Revenue Fund the sum of $150,000 to be used for the

 7  Florida School Impact Fee Policy Commission.

 8         (2)  This section shall take effect upon this act

 9  becoming a law.

10         Section 11.  Effective January 1, 2000, subsection (8)

11  of section 199.023, Florida Statutes, 1998 Supplement, is

12  amended to read:

13         199.023  Definitions.--As used in this chapter:

14         (8)  "Affiliated group of corporations" means one or

15  more chains of corporations or limited liability companies

16  connected through stock ownership or membership interest in a

17  limited liability company with a common parent corporation or

18  limited liability company, providing that:

19         (a)  Stock or membership interest in a limited

20  liability company possessing at least 80 percent of the voting

21  power of all classes of stock or membership interest in a

22  limited liability company and at least 80 percent of each

23  class of the nonvoting stock or membership interest in a

24  limited liability company of each corporation or limited

25  liability company, except for the common parent corporation or

26  limited liability company, is owned directly by one or more of

27  the other corporations or limited liability companies; and

28         (b)  The common parent corporation or limited liability

29  company directly owns stock or membership interest in a

30  limited liability company possessing at least 80 percent of

31  the voting power of all classes of stock or membership

                                  12

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  interest in a limited liability company and at least 80

 2  percent of each class of the nonvoting stock or membership

 3  interest in a limited liability company of at least one of the

 4  other corporations or limited liability companies.

 5

 6  As used in this subsection, the term "nonvoting stock or

 7  membership interest in a limited liability company" does not

 8  include nonvoting stock or membership interest in a limited

 9  liability company which is limited and preferred as to

10  dividends.  For the purposes of this chapter, a common parent

11  may be a corporation or a limited liability company.

12         Section 12.  Effective January 1, 2000, section

13  199.032, Florida Statutes, is amended to read:

14         199.032  Levy of annual tax.--An annual tax of 1.75 2

15  mills is hereby imposed on each dollar of the just valuation

16  of all intangible personal property which has a taxable situs

17  in this state, except for notes and other obligations for the

18  payment of money, other than bonds, which are secured by

19  mortgage, deed of trust, or other lien upon real property

20  situated in the state. This tax shall be assessed and

21  collected as provided in this chapter.

22         Section 13.  Effective January 1, 2000, subsection (1)

23  of section 199.033, Florida Statutes, is amended to read:

24         199.033  Securities in a Florida's Future Investment

25  Fund; tax rate.--

26         (1)  Notwithstanding the provisions of this chapter,

27  the tax imposed under s. 199.032 on securities in a Florida's

28  Future Investment Fund shall apply at the rate of 1.60 1.85

29  mills when the average daily balance in such funds exceeds $2

30  billion and at the rate of 1.45 1.70 mills when the average

31  daily balance in such funds exceeds $5 billion.

                                  13

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1         Section 14.  Effective January 1, 2000, subsection (10)

 2  of section 199.052, Florida Statutes, 1998 Supplement, is

 3  amended to read:

 4         199.052  Annual tax returns; payment of annual tax.--

 5         (10)  An affiliated group of corporations may elect to

 6  make a consolidated return for any year.  The election shall

 7  be made by timely filing a consolidated return. Once made, an

 8  election may not be revoked, and it is binding for the tax

 9  year.  The mere making of a consolidated return shall not in

10  itself provide a business situs in this state for intangible

11  personal property held by a corporation or limited liability

12  company.  The fact that members of an affiliated group own

13  stock in corporations or membership interest in limited

14  liability companies which do not qualify under the stock

15  ownership or membership interest in a limited liability

16  company requirements as members of an affiliated group shall

17  not preclude the filing of a consolidated return on behalf of

18  the qualified members.  Where a consolidated return is made,

19  intercompany accounts, including the capital stock or

20  membership interest in a limited liability company of an

21  includable corporation or limited liability company, other

22  than the parent, owned by another includable corporation or

23  limited liability company, shall not be subject to annual

24  taxation. However, capital stock or membership interest in a

25  limited liability company and other intercompany accounts of a

26  nonqualified member of the affiliated group shall be subject

27  to annual tax.  Each consolidated return shall be accompanied

28  by documentation identifying all intercompany accounts and

29  containing such other information as the department shall

30  require. Failure to timely file a consolidated return shall

31  not prejudice the taxpayer's right to file a consolidated

                                  14

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  return, provided that the failure to file a consolidated

 2  return is limited to 1 year and the taxpayer's intent to file

 3  a consolidated return is evidenced by the taxpayer having

 4  filed a consolidated return for the 3 years prior to the year

 5  the return was not timely filed.

 6         Section 15.  Effective January 1, 2000, paragraph (l)

 7  of subsection (1) and subsection (2) of section 199.185,

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

 9         199.185  Property exempted from annual and nonrecurring

10  taxes.--

11         (1)  The following intangible personal property shall

12  be exempt from the annual and nonrecurring taxes imposed by

13  this chapter:

14         (l)  Two-thirds One-third of the accounts receivable

15  arising or acquired in the ordinary course of a trade or

16  business which are owned, controlled, or managed by a taxpayer

17  on January 1, 2000 1999, and thereafter. It is the intent of

18  the Legislature that, pursuant to future legislative action,

19  the portion of such accounts receivable exempt from taxation

20  be increased to two-thirds for taxes levied on January 1,

21  2000, and further increased to all such accounts receivable on

22  January 1, 2001, and thereafter. This exemption does not apply

23  to accounts receivable which arise outside the taxpayer's

24  ordinary course of trade or business. For the purposes of this

25  chapter, the term "accounts receivable" means a business debt

26  that is owed by another to the taxpayer or the taxpayer's

27  assignee in the ordinary course of trade or business and is

28  not supported by negotiable instruments. Accounts receivable

29  include, but are not limited to, credit card receivables,

30  charge card receivables, credit receivables, margin

31  receivables, inventory or other floor plan financing, lease

                                  15

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  payments past due, conditional sales contracts, retail

 2  installment sales agreements, financing lease contracts, and a

 3  claim against a debtor usually arising from sales or services

 4  rendered and which is not necessarily due or past due. The

 5  examples specified in this paragraph shall be deemed not to be

 6  supported by negotiable instruments. The term "negotiable

 7  instrument" means a written document that is legally capable

 8  of being transferred by indorsement or delivery. The term

 9  "indorsement" means the act of a payee or holder in writing

10  his or her name on the back of an instrument without further

11  qualifying words other than "pay to the order of" or "pay to"

12  whereby the property is assigned and transferred to another.

13         (2)(a)  With respect to the first mill of the annual

14  tax, every natural person is entitled each year to an

15  exemption of the first $100,000 $20,000 of the value of

16  property otherwise subject to said tax.  A husband and wife

17  filing jointly are entitled to shall have an exemption of

18  $200,000 $40,000.  Every taxpayer that is not a natural person

19  is entitled each year to an exemption of the first $100,000 of

20  the value of property otherwise subject to tax.

21         (b)  With respect to the last mill of the annual tax,

22  every natural person is entitled each year to an exemption of

23  the first $100,000 of the value of property otherwise subject

24  to said tax. A husband and wife filing jointly shall have an

25  exemption of $200,000.

26

27  Agents and fiduciaries, other than guardians and custodians

28  under a gifts-to-minors act, filing as such may not claim this

29  exemption on behalf of their principals or beneficiaries;

30  however, if the principal or beneficiary returns the property

31  held by the agent or fiduciary and is a natural person, the

                                  16

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  principal or beneficiary may claim the exemption.  No taxpayer

 2  shall be entitled to more than one exemption under this

 3  subsection paragraph (a) and one exemption under paragraph

 4  (b).  This exemption shall not apply to that intangible

 5  personal property described in s. 199.023(1)(d).

 6         Section 16.  Paragraph (e) of subsection (1) of section

 7  212.05, Florida Statutes, 1998 Supplement, is amended to read:

 8         212.05  Sales, storage, use tax.--It is hereby declared

 9  to be the legislative intent that every person is exercising a

10  taxable privilege who engages in the business of selling

11  tangible personal property at retail in this state, including

12  the business of making mail order sales, or who rents or

13  furnishes any of the things or services taxable under this

14  chapter, or who stores for use or consumption in this state

15  any item or article of tangible personal property as defined

16  herein and who leases or rents such property within the state.

17         (1)  For the exercise of such privilege, a tax is

18  levied on each taxable transaction or incident, which tax is

19  due and payable as follows:

20         (e)1.  Effective January 1, 2000, at the rate of 6.5 6

21  percent on the total charge charges for:

22         a.  All telegraph messages and long-distance telephone

23  calls beginning and terminating in this state,

24  telecommunication service as defined in s. 203.012, and those

25  services described in s. 203.012(2)(a). The tax shall be

26  applied to the total charge for each message, call, or other

27  segment or component of telecommunication service for which a

28  customer is charged. It is the intent of the Legislature that,

29  pursuant to future legislative action, the rate at which

30  telecommunication service as defined in s. 203.012 and those

31  services described in s. 203.012(2)(a) are taxed be reduced to

                                  17

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  6 percent on January 1, 2001, except that the tax rate for

 2  charges for telecommunication service is 7 percent.

 3         2.  At the rate of 7 percent on the total charge for

 4  electrical power or energy.

 5         3.  At the rate of 6 percent on charges for:

 6         a.b.  Any television system program service.

 7         b.c.  The installation of telecommunication and

 8  telegraphic equipment.

 9         d.  Electrical power or energy, except that the tax

10  rate for charges for electrical power or energy is 7 percent.

11         4.2.  For purposes of this chapter, "television system

12  program service" means the transmitting, by any means, of any

13  audio or video signal to a subscriber for other than

14  retransmission, or the installing, connecting, reconnecting,

15  disconnecting, moving, or changing of any equipment related to

16  such service.  For purposes of this chapter, the term

17  "telecommunication service" does not include local service

18  provided through a pay telephone. The provisions of s.

19  212.17(3), regarding credit for tax paid on charges

20  subsequently found to be worthless, shall be equally

21  applicable to any tax paid under the provisions of this

22  section on charges for telecommunication or telegraph services

23  or electric power subsequently found to be uncollectible. The

24  word "charges" in this paragraph does not include any excise

25  or similar tax levied by the Federal Government, any political

26  subdivision of the state, or any municipality upon the

27  purchase or sale of telecommunication, television system

28  program, or telegraph service or electric power, which tax is

29  collected by the seller from the purchaser.

30         5.3.  Telegraph messages and telecommunication services

31  which originate or terminate in this state, other than

                                  18

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  interstate private communication services, and are billed to a

 2  customer, telephone number, or device located within this

 3  state are taxable under this paragraph.  Interstate private

 4  communication services are taxable under this paragraph as

 5  follows:

 6         a.  One hundred percent of the charge imposed at each

 7  channel termination point within this state;

 8         b.  One hundred percent of the charge imposed for the

 9  total channel mileage between each channel termination point

10  within this state; and

11         c.  The portion of the interstate interoffice channel

12  mileage charge as determined by multiplying said charge times

13  a fraction, the numerator of which is the air miles between

14  the last channel termination point in this state and the

15  vertical and horizontal coordinates, 7856 and 1756,

16  respectively, and the denominator of which is the air miles

17  between the last channel termination point in this state and

18  the first channel termination point outside this state.  The

19  denominator of this fraction shall be adjusted, if necessary,

20  by adding the numerator of said fraction to similarly

21  determined air miles in the state in which the other channel

22  termination point is located, so that the summation of the

23  apportionment factor for this state and the apportionment

24  factor for the other state is not greater than one, to ensure

25  that no more than 100 percent of the interstate interoffice

26  channel mileage charge can be taxed by this state and another

27  state.

28         6.4.  The tax imposed pursuant to this paragraph shall

29  not exceed $50,000 per calendar year on charges to any person

30  for interstate telecommunications services defined in s.

31  203.012(4) and (7)(b), if the majority of such services used

                                  19

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  by such person are for communications originating outside of

 2  this state and terminating in this state.  This exemption

 3  shall only be granted to holders of a direct pay permit issued

 4  pursuant to this subparagraph.  No refunds shall be given for

 5  taxes paid prior to receiving a direct pay permit. Upon

 6  application, the department may issue a direct pay permit to

 7  the purchaser of telecommunications services authorizing such

 8  purchaser to pay tax on such services directly to the

 9  department. Any vendor furnishing telecommunications services

10  to the holder of a valid direct pay permit shall be relieved

11  of the obligation to collect and remit the tax on such

12  service. Tax payments and returns pursuant to a direct pay

13  permit shall be monthly. For purposes of this subparagraph,

14  the term "person" shall be limited to a single legal entity

15  and shall not be construed as meaning a group or combination

16  of affiliated entities or entities controlled by one person or

17  group of persons.

18         7.5.  If the sale of a television system program

19  service, as defined in this paragraph, also involves the sale

20  of an item exempt under s. 212.08(7)(j), the tax shall be

21  applied to the value of the taxable service when it is sold

22  separately.  If the company does not offer this service

23  separately, the consideration paid shall be separately

24  identified and stated with respect to the taxable and exempt

25  portions of the transaction as a condition of the exemption,

26  except that the amount identified as taxable shall not be less

27  than the cost of the service.

28         Section 17.  Subsection (11) of section 212.12, Florida

29  Statutes, 1998 Supplement, is amended to read:

30         212.12  Dealer's credit for collecting tax; penalties

31  for noncompliance; powers of Department of Revenue in dealing

                                  20

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  with delinquents; brackets applicable to taxable transactions;

 2  records required.--

 3         (11)  The department is authorized to provide by rule

 4  the tax amounts and brackets applicable to all taxable

 5  transactions that occur in counties that have a surtax at a

 6  rate other than 1 percent which transactions would otherwise

 7  have been transactions taxable at the rate of 6 percent.

 8  Likewise, the department is authorized to promulgate by rule

 9  the tax amounts and brackets applicable to transactions

10  taxable at 3 percent pursuant to s. 212.08(3), transactions

11  taxable at 7 percent pursuant to s. 212.05(1)(e)1. and 2., and

12  on transactions which would otherwise have been so taxable in

13  counties which have adopted a discretionary sales surtax.

14         Section 18.  With respect to charges for

15  telecommunication service that are regularly billed on a

16  monthly cycle, the changes in the sales tax rate provided for

17  by the amendment to s. 212.05, Florida Statutes, 1998

18  Supplement, by this act shall apply to charges appearing on

19  any bill dated on or after February 1, 2000.

20         Section 19.  Subsections (1) and (4) of section 212.11,

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

22         212.11  Tax returns and regulations.--

23         (1)(a)  Each dealer shall calculate his or her

24  estimated tax liability for any month by one of the following

25  methods:

26         1.  Sixty-six percent of the current month's liability

27  pursuant to this chapter as shown on the tax return;

28         2.  Sixty-six percent of the tax reported on the tax

29  return pursuant to this chapter by a dealer for the taxable

30  transactions occurring during the corresponding month of the

31  preceding calendar year; or

                                  21

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1         3.  Sixty-six percent of the average tax liability

 2  pursuant to this chapter for those months during the preceding

 3  calendar year in which the dealer reported taxable

 4  transactions.

 5         (b)  For the purpose of ascertaining the amount of tax

 6  payable under this chapter, it shall be the duty of all

 7  dealers to file a return and remit the tax, on or before the

 8  20th day of the month, or on or before the 28th day of the

 9  month if the dealer is complying with paragraph (a), to the

10  department, upon forms prepared and furnished by it or in a

11  format prescribed by it.  Such return must show the rentals,

12  admissions, gross sales, or purchases, as the case may be,

13  arising from all leases, rentals, admissions, sales, or

14  purchases taxable under this chapter during the preceding

15  calendar month.

16         (c)  However, the department may require:

17         1.  A quarterly return and payment when the tax

18  remitted by the dealer for the preceding four calendar

19  quarters did not exceed $1,000.

20         2.  A semiannual return and payment when the tax

21  remitted by the dealer for the preceding four calendar

22  quarters did not exceed $500.

23         3.  An annual return and payment when the tax remitted

24  by the dealer for the preceding four calendar quarters did not

25  exceed $100.

26         4.  A quarterly return and monthly payment when the tax

27  remitted by the dealer for the preceding four calendar

28  quarters exceeded $1,000 but did not exceed $12,000.

29         (d)  The department may authorize dealers who are newly

30  required to file returns and pay tax quarterly to file returns

31  and remit the tax for the 3-month periods ending in February,

                                  22

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  May, August, and November, and may authorize dealers who are

 2  newly required to file returns and pay tax semiannually to

 3  file returns and remit the tax for the 6-month periods ending

 4  in May and November.

 5         (e)  The department shall accept returns, except those

 6  required to be initiated through an electronic data

 7  interchange, as timely if postmarked on or before the 20th day

 8  of the month, or on or before the 28th day of the month if the

 9  dealer is required to file under paragraph (a); if the filing

10  date deadline 20th day falls on a Saturday, Sunday, or federal

11  or state legal holiday, returns shall be accepted as timely if

12  postmarked on the next succeeding workday.  Any dealer who

13  operates two or more places of business for which returns are

14  required to be filed with the department and maintains records

15  for such places of business in a central office or place shall

16  have the privilege on each reporting date of filing a

17  consolidated return for all such places of business in lieu of

18  separate returns for each such place of business; however,

19  such consolidated returns must clearly indicate the amounts

20  collected within each county of the state. Any dealer who

21  files a consolidated return shall calculate his or her

22  estimated tax liability for each county by the same method the

23  dealer uses to calculate his or her estimated tax liability on

24  the consolidated return as a whole. Each dealer shall file a

25  return for each tax period even though no tax is due for such

26  period.

27         (f)1.  A taxpayer who is required to remit taxes by

28  electronic funds transfer shall make a return in a manner that

29  is initiated through an electronic data interchange.  The

30  acceptable method of transfer, the method, form, and content

31  of the electronic data interchange, giving due regard to

                                  23

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  developing uniform standards for formats as adopted by the

 2  American National Standards Institute, the circumstances under

 3  which an electronic data interchange shall serve as a

 4  substitute for the filing of another form of return, and the

 5  means, if any, by which taxpayers will be provided with

 6  acknowledgments, shall be as prescribed by the department. The

 7  department must accept such returns as timely if initiated and

 8  accepted on or before the 20th day of the month, or on or

 9  before the 28th day of the month if the dealer is required to

10  file under paragraph (a). If the filing date deadline 20th day

11  falls on a Saturday, Sunday, or federal or state legal

12  holiday, returns must be accepted as timely if initiated and

13  accepted on the next succeeding workday.

14         2.  The department may waive the requirement to make a

15  return through an electronic data interchange due to problems

16  arising from the taxpayer's computer capabilities, data

17  systems changes, and taxpayer operating procedures.  To obtain

18  a waiver, the taxpayer shall demonstrate in writing to the

19  department that such circumstances exist.

20         (4)(a)  Each dealer who is subject to the tax imposed

21  by this chapter and who paid such tax for the preceding state

22  fiscal year in an amount greater than or equal to $200,000

23  $100,000 shall calculate the amount of estimated tax due

24  pursuant to this section for any month as provided in

25  paragraph (1)(a).

26         (b)  The amount of any estimated tax shall be due,

27  payable, and remitted by electronic funds transfer by the 28th

28  20th day of the month for which it is estimated.  The

29  difference between the amount of estimated tax paid and the

30  actual amount of tax due under this chapter for such month

31  shall be due and payable by the first day of the following

                                  24

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  month and remitted by electronic funds transfer by the 28th

 2  20th day thereof.

 3         (c)  Any dealer who is eligible to file a consolidated

 4  return and who paid the tax imposed by this chapter for the

 5  immediately preceding state fiscal year in an amount greater

 6  than or equal to $200,000 $100,000 or would have paid the tax

 7  in such amount if he or she had filed a consolidated return

 8  shall be subject to the provisions of this subsection

 9  notwithstanding an election by the dealer in any month to file

10  a separate return.

11         (d)  A dealer engaged in the business of selling boats,

12  motor vehicles, or aircraft who made at least one sale of a

13  boat, motor vehicle, or aircraft with a sales price of

14  $200,000 $100,000 or greater in the previous state fiscal year

15  may qualify for payment of estimated sales tax pursuant to the

16  provisions of this paragraph.  To qualify, a dealer must apply

17  annually to the department prior to October 1, and, if

18  qualified, the department must grant the application for

19  payment of estimated sales tax pursuant to this paragraph for

20  the following calendar year.  In lieu of the method for

21  calculating estimated sales tax liability pursuant to

22  subparagraph (1)(a)3., a qualified dealer must calculate that

23  option as 66 percent of the average tax liability pursuant to

24  this chapter for all sales excluding the sale of each boat,

25  motor vehicle, or aircraft with a sales price of $200,000

26  $100,000 or greater during the state fiscal year ending the

27  year in which the application is made.  A qualified dealer

28  must also remit the sales tax for each sale of a boat, motor

29  vehicle, or aircraft with a sales price of $200,000 $100,000

30  or greater by either electronic funds transfer on the date of

31  the sale or on a form prescribed by the department and

                                  25

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  postmarked on the date of the sale.

 2         (e)  The penalty provisions of this chapter, except s.

 3  212.12(2)(c), apply to the provisions of this subsection.

 4         Section 20.  Subsection (4) of section 212.04, Florida

 5  Statutes, 1998 Supplement, is amended to read:

 6         212.04  Admissions tax; rate, procedure, enforcement.--

 7         (4)  Each person who exercises the privilege of

 8  charging admission taxes, as herein defined, shall apply for,

 9  and at that time shall furnish the information and comply with

10  the provisions of s. 212.18 not inconsistent herewith and

11  receive from the department, a certificate of right to

12  exercise such privilege, which certificate shall apply to each

13  place of business where such privilege is exercised and shall

14  be in the manner and form prescribed by the department.  Such

15  certificate shall be issued upon payment to the department of

16  a registration fee of $5 by the applicant.  Each person

17  exercising the privilege of charging such admission taxes as

18  herein defined shall cause to be kept records and accounts

19  showing the admission which shall be in the form as the

20  department may from time to time prescribe, inclusive of

21  records of all tickets numbered and issued for a period of not

22  less than the time within which the department may, as

23  permitted by s. 95.091(3), make an assessment with respect to

24  any admission evidenced by such records and accounts, and

25  inclusive of all bills or checks of customers who are charged

26  any of the taxes defined herein, showing the charge made to

27  each for that period.  The department is empowered to use each

28  and every one of the powers granted herein to the department

29  to discover the amount of tax to be paid by each such person

30  and to enforce the payment thereof as are hereby granted the

31  department for the discovery and enforcement of the payment of

                                  26

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  taxes hereinafter levied on the sales of tangible personal

 2  property.  The failure of any person to pay such taxes before

 3  the 21st day of the succeeding month after the taxes are

 4  collected, except as otherwise provided in this chapter, shall

 5  render such person liable to the same penalties that are

 6  hereafter imposed upon such person for being delinquent in the

 7  payment of taxes imposed upon the sales of tangible personal

 8  property; the failure of any person to render returns and to

 9  pay taxes as prescribed herein shall render such person

10  subject to the same penalties, by way of charges for

11  delinquencies, at the rate of 10 percent per month for a total

12  amount of tax delinquent up to a total of 50 percent of such

13  tax and at the rate of 100-percent penalty for attempted

14  evasion of payment of any such tax or for any attempt to file

15  false or misleading returns that are required to be filed by

16  the department.

17         Section 21.  Subsection (1) of section 212.15, Florida

18  Statutes, is amended to read:

19         212.15  Taxes declared state funds; penalties for

20  failure to remit taxes; due and delinquent dates; judicial

21  review.--

22         (1)  The taxes imposed by this chapter shall, except as

23  provided in s. 212.06(5)(a)2.e., become state funds at the

24  moment of collection and shall for each month be due to the

25  department on the first day of the succeeding month and be

26  delinquent on the 21st day of such month, except as otherwise

27  provided in this chapter.  All returns postmarked after the

28  20th day of such month are delinquent, except as otherwise

29  provided in this chapter.

30         Section 22.  Section 213.235, Florida Statutes, is

31  created to read:

                                  27

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1         213.235  Determination of interest on deficiencies.--

 2         (1)  The annual rate of interest applicable to tax

 3  payment deficiencies shall be the adjusted rate established by

 4  the executive director of the department under subsection (2).

 5  This annual rate of interest is applicable to all taxes

 6  enumerated in s. 213.05 unless otherwise provided.

 7         (2)  If the adjusted prime rate charged by banks,

 8  rounded to the nearest full percent, during either:

 9         (a)  The 6-month period ending on September 30 of any

10  calendar year; or

11         (b)  The 6-month period ending on March 31 of any

12  calendar year,

13

14  differs from the interest rate in effect on such date, the

15  executive director of the department shall, within 20 days,

16  establish an adjusted rate of interest equal to such adjusted

17  prime rate.

18         (3)  An adjusted rate of interest established under

19  this section shall become effective:

20         (a)  On January 1 of the succeeding year, if based upon

21  the adjusted prime rate for the 6-month period ending on

22  September 30; or

23         (b)  On July 1 of the same calendar year, if based upon

24  the adjusted prime rate for the 6-month period ending on March

25  31.

26         (4)  For the purposes of this section, "adjusted prime

27  rate charged by banks" means the average predominant prime

28  rate quoted by commercial banks to large businesses, as

29  determined by the Board of Governors of the Federal Reserve

30  System.

31         (5)  Once established, an adjusted rate of interest

                                  28

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  shall remain in effect until an adjustment is made under

 2  subsection (2).

 3         Section 23.  Section 213.255, Florida Statutes, is

 4  created to read:

 5         213.255  Interest.--Interest shall be paid on

 6  overpayments of taxes, payment of taxes not due, or taxes paid

 7  in error, subject to the following conditions:

 8         (1)  A refund application must be filed with the

 9  department within the time specified by s. 215.26.

10         (2)  A refund application shall not be processed until

11  it is determined complete.  A refund application is complete

12  if it is filed on a permitted form and contains:

13         (a)  The taxpayer's name, address, identifying number,

14  and signature.

15         (b)  Sufficient information, whether on the application

16  or attachments, to permit mathematical verification of the

17  amount of the refund.

18         (c)  The amount claimed.

19         (d)  The specific grounds upon which the refund is

20  claimed.

21         (e)  The taxable years or periods involved.

22         (3)  Within 30 days after receipt of the refund

23  application, the department shall examine the application and

24  notify the applicant of any apparent errors or omissions and

25  request any additional information the department is permitted

26  by law to require.  An application shall be considered

27  complete upon receipt of all requested information and

28  correction of any error or omission for which the applicant

29  was timely notified, or when the time for such notification

30  has expired, whichever is later.

31         (4)  Interest shall not commence until 90 days after a

                                  29

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  complete refund application has been filed and the amount of

 2  overpayment has not been refunded to the taxpayer or applied

 3  as a credit to the taxpayer's account.  If the department and

 4  the taxpayer mutually agree that an audit or verification is

 5  necessary in order to determine the taxpayer's entitlement to

 6  the refund, interest shall not commence until the audit or

 7  verification of the claim is final.

 8         (5)  If a tax is adjudicated unconstitutional and

 9  refunds are ordered by the court, interest shall not commence

10  on complete applications until 90 days after the adjudication

11  becomes final and unappealable or 90 days after a complete

12  application has been filed, whichever is later.

13         (6)  Interest shall be paid until a date determined by

14  the department which shall be no more than 7 days prior to the

15  date of the issuance of the refund warrant by the Comptroller.

16         (7)  If the department intends to pay a refund claim

17  prior to completion of an audit, the department may condition

18  its payment of the refund claim upon the person filing a cash

19  bond or surety bond in the amount of the refund claimed or

20  making such other security arrangements satisfactory to

21  protect the state's interests.  The department may impose this

22  condition only when it has reasonable cause to believe that it

23  could not recover the amount of any refund paid in error from

24  the person claiming the refund.  The cash or surety bond shall

25  be endorsed by a surety company authorized to do business in

26  this state and shall be conditioned upon payment in full of

27  the amount of any refund paid in error for any reason.  The

28  department shall provide a written notice of its determination

29  that a cash or surety bond is required as a condition of

30  payment prior to audit, in which event interest shall not

31  commence until the person filing the claim satisfies this

                                  30

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  requirement.  Such bond shall remain in place while the

 2  department retains a right pursuant to s. 95.091(3) to audit

 3  the refund claim.  Upon completion of an audit of the claim,

 4  the department shall agree to a reduction in the bond amount

 5  equal to the portion of the refund claim approved by the

 6  department.

 7         (8)  Nothing in this section is intended to alter the

 8  department's right to audit or verify refund claims either

 9  before or after they are paid.

10         (9)  In the event that the department pays a refund

11  claim that is later determined to have been paid in error, the

12  person to whom the refund was paid shall be assessed interest

13  on the amount of the erroneous refund payment, commencing with

14  the date of the erroneous payment and continuing until the

15  erroneous payment amount is repaid to the department.  If the

16  department determines that the erroneous refund claim was not

17  due to reasonable cause, there shall be added a penalty in the

18  amount of 10 percent of the erroneously refunded tax.  If the

19  department determines that the erroneous refund claim was due

20  to fraud, there shall be added a penalty in the amount of 100

21  percent of the erroneously refunded tax.

22         (10)  The provisions of this section shall apply with

23  regard to refund claims filed on or after July 1, 1999, and

24  beginning July 1, 2000, shall apply with regard to any then

25  pending refund claims that were filed with the department

26  prior to July 1, 1999.

27         (11)  The department is authorized to adopt such rules,

28  not inconsistent with the provisions of this section, as are

29  necessary for the implemention of this section including, but

30  not limited to, rules establishing the information necessary

31  for a complete refund application, the procedures for denying

                                  31

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  an incomplete application, and the standards and guidelines to

 2  be applied in determining when to require a bond under the

 3  provisions of subsection (7).

 4         (12)  The rate of interest shall be the adjusted rate

 5  established pursuant to s. 213.235, except that the annual

 6  rate of interest shall never be greater than 11 percent.  This

 7  annual rate of interest shall be applied to all refunds of

 8  taxes administered by the department except for corporate

 9  income taxes and emergency excise taxes governed by ss.

10  220.721 and 220.723.

11         Section 24.  Subsection (1) of section 198.15, Florida

12  Statutes, is amended to read:

13         198.15  When tax due; extension; interest; penalty.--

14         (1)  The tax imposed by this chapter is due and payable

15  on or before the last day prescribed by law for paying the

16  federal estate tax pursuant to the initial estate tax return

17  and shall be paid by the personal representative to the

18  department.  The department shall extend the time for payment

19  of the tax or any part of the tax if the time for paying the

20  federal estate tax is extended, provided the personal

21  representative files with the department a copy of the

22  approved federal extension notice within 30 days after

23  receiving such notice.  No extension shall be for more than 1

24  year, and the aggregate of extensions with respect to any

25  estate shall not exceed 10 years from the due date.  In such

26  case, the amount in respect of which the extension is granted

27  shall be paid on or before the date of the expiration of the

28  period of the extension, unless a further extension is

29  granted.  If the time for the payment is thus extended, there

30  shall be collected, as part of such amount, interest thereon

31  at the adjusted rate established pursuant to s. 213.235 of 1

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  percent per month of the amount due from the due date of the

 2  tax to the date the same is paid.

 3         Section 25.  Subsection (5) of section 198.155, Florida

 4  Statutes, is amended to read:

 5         198.155  Payment of tax on generation-skipping

 6  transfers.--

 7         (5)  If the tax, or any portion thereof, is not paid

 8  before it becomes delinquent, it shall bear interest from the

 9  due date until paid at the adjusted rate established pursuant

10  to s. 213.235 of 1 percent per month for each month or

11  fraction thereof that it is delinquent.

12         Section 26.  Subsection (3) of section 198.16, Florida

13  Statutes, is amended to read:

14         198.16  Notice of determination of deficiency in

15  federal tax to be filed with department.--

16         (3)  If, based upon any deficiency and the ground

17  therefor, it shall appear that the amount of tax previously

18  paid is less than the amount of tax owing, the difference,

19  together with interest at the adjusted rate established

20  pursuant to s. 213.235 of 1 percent per month from the due

21  date of the tax, shall be paid upon notice and demand by the

22  department. In the event the personal representative or person

23  required to return and pay such tax shall fail to give the

24  notice required by this section, any additional tax which

25  shall be owing may be assessed, or a proceeding in court for

26  the collection of such tax may be begun without assessment at

27  any time prior to the filing of such notice or within 30 days

28  after the delinquent filing of such notice, notwithstanding

29  the provisions of s. 198.28.

30         Section 27.  Subsection (2) of section 198.18, Florida

31  Statutes, is amended to read:

                                  33

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1         198.18  Failure to pay tax; penalties; delinquent or

 2  deficient taxes, interest.--

 3         (2)  Any deficiency in tax or any tax payment not

 4  received by the department on or before the due date as

 5  provided in s. 198.15, in addition to any other penalties,

 6  shall bear interest at the adjusted rate established pursuant

 7  to s. 213.235 of 1 percent per month of the amount due from

 8  the due date until paid.  The department may settle or

 9  compromise such interest pursuant to s. 213.21.

10         Section 28.  Subsection (2) of section 199.282, Florida

11  Statutes, 1998 Supplement, is amended to read:

12         199.282  Penalties for violation of this chapter.--

13         (2)  If any annual or nonrecurring tax is not paid by

14  the statutory due date, then despite any extension granted

15  under s. 199.232(6), interest shall run on the unpaid balance

16  from such due date until paid at the adjusted rate established

17  pursuant to s. 213.235 of 12 percent per year.

18         Section 29.  Paragraph (c) of subsection (2) of section

19  201.17, Florida Statutes, is amended to read:

20         201.17  Penalties for failure to pay tax required.--

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

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

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

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

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

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

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

28  to:

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

30  accruing from the date the tax is due until paid, at the

31  adjusted rate established pursuant to s. 213.235 of 1 percent

                                  34

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





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

 2         Section 30.  Section 203.06, Florida Statutes, is

 3  amended to read:

 4         203.06  Interest on delinquent payments.--Any payments

 5  as imposed in this chapter, if not received by the Department

 6  of Revenue on or before the due date as provided by law, shall

 7  include, as an additional part of such amount due, interest at

 8  the adjusted rate established pursuant to s. 213.235 of 1

 9  percent per month, accruing from the date due until paid.

10         Section 31.  For the purpose of incorporating the

11  amendment to section 203.06, Florida Statutes, in a reference

12  thereto, section 203.62, Florida Statutes, is reenacted to

13  read:

14         203.62  Applicability of specified sections of part

15  I.--The provisions of ss. 203.01, 203.012, 203.013, 203.02,

16  203.03, 203.04, 203.06, and 203.07 shall be applicable to the

17  levy and collection of taxes imposed pursuant to this part as

18  if fully set out in this part.

19         Section 32.  Subsection (2) of section 206.44, Florida

20  Statutes, is amended to read:

21         206.44  Penalty and interest for failure to report on

22  time; penalty and interest on tax deficiencies.--

23         (2)  Any payment that is not received by the department

24  on or before the due date as provided in s. 206.43 shall bear

25  interest at the adjusted rate established pursuant to s.

26  213.235 of 1 percent per month, from the date due until paid.

27  Interest on any delinquent tax shall be calculated beginning

28  on the 21st day of the month for which the tax is due, except

29  as otherwise provided in this part.

30         Section 33.  For the purpose of incorporating the

31  amendment to section 206.44, Florida Statutes, in a reference

                                  35

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  thereto, subsection (1) of section 206.06, Florida Statutes,

 2  is reenacted to read:

 3         206.06  Estimate of amount of fuel taxes due and

 4  unpaid.--

 5         (1)  Whenever any terminal supplier, importer,

 6  exporter, or wholesaler neglects or refuses to make and file

 7  any report for any calendar month, as required by the fuel tax

 8  laws of this state, or files an incorrect or fraudulent

 9  report, or is in default in the payment of any fuel taxes and

10  penalties thereon payable under the laws of this state, the

11  department shall, from any information it may be able to

12  obtain from its office or elsewhere, estimate the number of

13  gallons of motor fuel with respect to which the terminal

14  supplier, importer, exporter, or wholesaler has become liable

15  for taxes under the fuel tax laws of this state and the amount

16  of taxes due and payable thereon, to which sum shall be added

17  a penalty and interest as provided in s. 206.44.

18         Section 34.  For the purpose of incorporating the

19  amendment to section 206.44, Florida Statutes, in a reference

20  thereto, section 206.94, Florida Statutes, is reenacted to

21  read:

22         206.94  Department may estimate diesel fuels sold or

23  used.--When any person neglects or refuses to file any report

24  as required by s. 206.91 or files an incorrect or fraudulent

25  report, the department shall determine, after investigation,

26  the number of gallons of diesel fuels with respect to which

27  the person has incurred liability under this part for any

28  particular period and fix the amount of taxes due and payable

29  thereon, to which taxes due shall be added the penalties and

30  interest imposed by s. 206.44 as a penalty for the default of

31  such person.  The department may settle or compromise such

                                  36

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  penalties pursuant to s. 213.21.

 2         Section 35.  For the purpose of incorporating the

 3  amendment to section 206.44, Florida Statutes, in a reference

 4  thereto, section 206.97, Florida Statutes, is reenacted to

 5  read:

 6         206.97  Applicability of specified sections of part

 7  I.--The provisions of ss. 206.01, 206.02, 206.026, 206.027,

 8  206.028, 206.04, 206.051, 206.052, 206.054, 206.055, 206.07,

 9  206.075, 206.08, 206.09, 206.095, 206.10, 206.11, 206.12,

10  206.13, 206.14, 206.15, 206.16, 206.17, 206.175, 206.18,

11  206.199, 206.20, 206.204, 206.205, 206.21, 206.215, 206.22,

12  206.23, 206.24, 206.25, 206.27, 206.28, 206.41, 206.415,

13  206.416, 206.43, 206.435, 206.44, 206.48, 206.49, 206.56,

14  206.59, 206.606, 206.608, 206.61, and 206.62 of part I of this

15  chapter shall, as far as lawful or practicable, be applicable

16  to the tax herein levied and imposed and to the collection

17  thereof as if fully set out in this part. However, no

18  provision of any such section shall apply if it conflicts with

19  any provision of this part.

20         Section 36.  For the purpose of incorporating the

21  amendment to section 206.44, Florida Statutes, in a reference

22  thereto, subsection (3) of section 206.9915, Florida Statutes,

23  is reenacted to read:

24         206.9915  Legislative intent and general provisions.--

25         (3)  The provisions of ss. 206.01, 206.02, 206.026,

26  206.027, 206.028, 206.051, 206.052, 206.054, 206.055, 206.06,

27  206.07, 206.075, 206.08, 206.09, 206.095, 206.10, 206.11,

28  206.12, 206.13, 206.14, 206.15, 206.16, 206.17, 206.175,

29  206.18, 206.199, 206.20, 206.204, 206.205, 206.21, 206.215,

30  206.22, 206.24, 206.27, 206.28, 206.416, 206.42, 206.425,

31  206.44, 206.48, 206.49, 206.56, 206.59, 206.86, 206.87,

                                  37

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  206.872, 206.873, 206.8735, 206.874, 206.8741, 206.8745,

 2  206.94, 206.945, and 206.9815 shall, as far as lawful or

 3  practicable, be applicable to the levy and collection of taxes

 4  imposed pursuant to this part as if fully set out in this part

 5  and made expressly applicable to the taxes imposed herein.

 6         Section 37.  For the purpose of incorporating the

 7  amendment to section 206.44, Florida Statutes, in a reference

 8  thereto, paragraph (a) of subsection (2) of section 336.021,

 9  Florida Statutes, as amended by section 16 of chapter 97-54,

10  Laws of Florida, is reenacted to read:

11         336.021  County transportation system; levy of

12  ninth-cent fuel tax on motor fuel and diesel fuel.--

13         (2)(a)  The tax collected by the department pursuant to

14  subsection (1) shall be transferred to the Ninth-cent Fuel Tax

15  Trust Fund, which fund is created for distribution to the

16  counties pursuant to paragraph (1)(d). The department shall

17  deduct the administrative costs incurred by it in collecting,

18  administering, enforcing, and distributing back to the

19  counties the tax, which administrative costs may not exceed 2

20  percent of collections authorized by this section. The total

21  administrative cost shall be prorated among those counties

22  levying the tax according to the following formula, which

23  shall be revised on July 1 of each year: Two-thirds of the

24  amount deducted shall be based on the county's proportional

25  share of the number of dealers who are registered for purposes

26  of chapter 212 on June 30th of the preceding state fiscal

27  year, and one-third of the amount deducted shall be based on

28  the county's share of the total amount of the tax collected

29  during the preceding state fiscal year. The department has the

30  authority to prescribe and publish all forms upon which

31  reports shall be made to it and other forms and records deemed

                                  38

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  to be necessary for proper administration and collection of

 2  the tax levied by any county and shall adopt rules necessary

 3  to enforce this section, which rules shall have the full force

 4  and effect of law. The provisions of ss. 206.026, 206.027,

 5  206.028, 206.051, 206.052, 206.054, 206.055, 206.06, 206.07,

 6  206.075, 206.08, 206.09, 206.095, 206.10, 206.11, 206.12,

 7  206.13, 206.14, 206.15, 206.16, 206.17, 206.175, 206.18,

 8  206.199, 206.20, 206.204, 206.205, 206.21, 206.215, 206.22,

 9  206.24, 206.27, 206.28, 206.41, 206.416, 206.44, 206.45,

10  206.48, 206.49, 206.56, 206.59, 206.626, 206.87, 206.872,

11  206.873, 206.8735, 206.874, 206.8741, 206.8745, 206.94, and

12  206.945 shall, as far as practicable, be applicable to the

13  levy and collection of the tax imposed pursuant to this

14  section as if fully set out in this section.

15         Section 38.  For the purpose of incorporating the

16  amendment to section 206.44, Florida Statutes, in a reference

17  thereto, paragraph (a) of subsection (2) of section 336.025,

18  Florida Statutes, as amended by section 18 of chapter 97-54,

19  Laws of Florida, is reenacted to read:

20         336.025  County transportation system; levy of local

21  option fuel tax on motor fuel and diesel fuel.--

22         (2)(a)  The tax levied pursuant to paragraph (1)(a)

23  shall be collected and remitted in the same manner provided by

24  ss. 206.41(1)(e) and 206.87(1)(c). The tax levied pursuant to

25  paragraph (1)(b) shall be collected and remitted in the same

26  manner provided by s. 206.41(1)(e). The taxes remitted

27  pursuant to this section shall be transferred to the Local

28  Option Fuel Tax Trust Fund, which fund is created for

29  distribution to the county and eligible municipal governments

30  within the county in which the tax was collected and which

31  fund is subject to the service charge imposed in chapter 215.

                                  39

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  The tax shall be distributed monthly by the department in the

 2  same manner provided by s. 336.021(1)(c) and (d). The

 3  department shall deduct the administrative costs incurred by

 4  it in collecting, administering, enforcing, and distributing

 5  back to the counties the tax, which administrative costs may

 6  not exceed 2 percent of collections authorized by this

 7  section. The total administrative costs shall be prorated

 8  among those counties levying the tax according to the

 9  following formula, which shall be revised on July 1 of each

10  year:  Two-thirds of the amount deducted shall be based on the

11  county's proportional share of the number of dealers who are

12  registered for purposes of chapter 212 on June 30 of the

13  preceding state fiscal year, and one-third of the amount

14  deducted shall be based on the county's share of the total

15  amount of the tax collected during the preceding state fiscal

16  year. The department has the authority to prescribe and

17  publish all forms upon which reports shall be made to it and

18  other forms and records deemed to be necessary for proper

19  administration and collection of the taxes levied by any

20  county and shall promulgate such rules as may be necessary for

21  the enforcement of this section, which rules shall have the

22  full force and effect of law.  The provisions of ss. 206.026,

23  206.027, 206.028, 206.051, 206.052, 206.054, 206.055, 206.06,

24  206.07, 206.075, 206.08, 206.09, 206.095, 206.10, 206.11,

25  206.12, 206.13, 206.14, 206.15, 206.16, 206.17, 206.175,

26  206.18, 206.199, 206.20, 206.204, 206.205, 206.21, 206.215,

27  206.22, 206.24, 206.27, 206.28, 206.41, 206.416, 206.44,

28  206.45, 206.48, 206.49, 206.56, 206.59, 206.626, 206.87,

29  206.872, 206.873, 206.8735, 206.874, 206.8741, 206.94, and

30  206.945 shall, as far as practicable, be applicable to the

31  levy and collection of taxes imposed pursuant to this section

                                  40

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  as if fully set out in this section.

 2         Section 39.  Subsection (2) of section 207.007, Florida

 3  Statutes, is amended to read:

 4         207.007  Offenses; penalties and interest.--

 5         (2)  In addition to any other penalties, any delinquent

 6  tax shall bear interest at the adjusted rate established

 7  pursuant to s. 213.235 of 1 percent per month, or fraction

 8  thereof, calculated from the date the tax was due. If the

 9  department enters into a cooperative reciprocal agreement

10  under the provisions of s. 207.0281, the department shall

11  collect and distribute all interest due to other jurisdictions

12  at the same rate as if such interest were due to the state.

13         Section 40.  Subsection (1) and paragraph (a) of

14  subsection (4) of section 211.076, Florida Statutes, are

15  amended to read:

16         211.076  Interest and penalties; failure to pay tax or

17  file return; estimated tax underpayments.--

18         (1)  If any part of the tax imposed by this part is not

19  paid on or before the due date, interest shall be added to the

20  amount due at the adjusted rate established pursuant to s.

21  213.235 of 12 percent per year from the due date until the

22  date of payment.

23         (4)(a)  Except as provided in paragraph (c), the

24  taxpayer is liable for interest at the adjusted rate

25  established pursuant to s. 213.235 of 12 percent per year and

26  a penalty at the rate of 12 percent per year on any

27  underpayment of estimated tax determined under this

28  subsection.

29         Section 41.  Paragraph (f) of subsection (1) and

30  paragraph (d) of subsection (2) of section 211.33, Florida

31  Statutes, are amended to read:

                                  41

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1         211.33  Administration of the tax; returns; delinquency

 2  penalties and interest; departmental inspections of records.--

 3         (1)

 4         (f)  Except as provided in subparagraph 3., the

 5  taxpayer shall be liable for interest at the adjusted rate

 6  established pursuant to s. 213.235 of 12 percent per year and

 7  for a penalty in an amount determined at the rate of 20

 8  percent per year upon the amount of any underpayment of

 9  estimated tax determined under this paragraph.

10         1.  The amount of any underpayment of estimated tax

11  shall be the excess of:

12         a.  The amount of the installment which would be

13  required to be paid if the estimated tax were equal to 80

14  percent of the tax shown on the return for the taxable year

15  or, if no return were filed, 80 percent of the tax for such

16  year, over

17         b.  The amount, if any, of the installment paid on or

18  before the last date prescribed for payment.

19         2.  The period of the underpayment for which interest

20  and penalties shall apply shall commence on the date the

21  installment was required to be paid and shall terminate on the

22  date on which the amount of underpayment is paid. A payment of

23  estimated tax on any installment date shall be considered a

24  payment of any previous underpayment only to the extent such

25  payment exceeds the amount of the installment determined under

26  sub-subparagraph 1.a. for such installment date.

27         3.  No penalty or interest for underpayment of any

28  installment of estimated tax shall be imposed if the total

29  amount of all such payments made on or before the last date

30  prescribed for the payment of such installment equals or

31  exceeds the amount which would have been required to be paid

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  on or before such date if the estimated tax were the lesser

 2  of:

 3         a.  An amount equal to 80 percent of the tax finally

 4  due for the taxable year; or

 5         b.  An amount equal to the tax shown on the taxpayer's

 6  return for the preceding taxable year, if a return showing a

 7  liability for tax was filed by the taxpayer for the preceding

 8  year.

 9         (2)

10         (d)  In addition to the delinquency penalty provided in

11  paragraph (c), the department shall assess interest on the

12  unpaid balance of any such tax which becomes delinquent,

13  without regard to any extensions, at the adjusted rate

14  established pursuant to s. 213.235 of 12 percent per year,

15  from April 1 to the date of payment. Interest prescribed by

16  this paragraph shall be deemed assessed upon the assessment of

17  the tax and shall be collected and paid in the same manner.

18         Section 42.  Subsection (3) of section 212.12, Florida

19  Statutes, 1998 Supplement, is amended to read:

20         212.12  Dealer's credit for collecting tax; penalties

21  for noncompliance; powers of Department of Revenue in dealing

22  with delinquents; brackets applicable to taxable transactions;

23  records required.--

24         (3)  When any dealer, or other person charged herein,

25  fails to remit the tax, or any portion thereof, on or before

26  the day when such tax is required by law to be paid, there

27  shall be added to the amount due interest on at the rate of 1

28  percent per month of the amount due from the date due until

29  paid at the adjusted rate established pursuant to s. 213.235.

30  Interest on the delinquent tax shall be calculated beginning

31  on the 21st day of the month following the month for which the

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  tax is due, except as otherwise provided in this chapter.

 2         Section 43.  For the purpose of incorporating the

 3  amendment to section 212.12, Florida Statutes, 1998

 4  Supplement, in a reference thereto, paragraph (e) of

 5  subsection (6) of section 193.501, Florida Statutes, is

 6  reenacted to read:

 7         193.501  Assessment of lands subject to a conservation

 8  easement, environmentally endangered lands, or lands used for

 9  outdoor recreational or park purposes when land development

10  rights have been conveyed or conservation restrictions have

11  been covenanted.--

12         (6)  The following terms whenever used as referred to

13  in this section have the following meanings unless a different

14  meaning is clearly indicated by the context:

15         (e)  "Deferred tax liability" means an amount equal to

16  the difference between the total amount of taxes that would

17  have been due in March in each of the previous years in which

18  the conveyance or covenant was in effect if the property had

19  been assessed under the provisions of s. 193.011 and the total

20  amount of taxes actually paid in those years when the property

21  was assessed under the provisions of this section, plus

22  interest on that difference computed as provided in s.

23  212.12(3).

24         Section 44.  For the purpose of incorporating the

25  amendment to section 212.12, Florida Statutes, 1998

26  Supplement, in a reference thereto, paragraph (b) of

27  subsection (9) of section 193.503, Florida Statutes, is

28  reenacted to read:

29         193.503  Classification and assessment of historic

30  property used for commercial or certain nonprofit purposes.--

31         (9)

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1         (b)  For purposes of this subsection, "deferred tax

 2  liability" means an amount equal to the difference between the

 3  total amount of taxes that would have been due in March if the

 4  property had been assessed under the provisions of s. 193.011

 5  and the total amount of taxes actually paid in those years

 6  when the property was assessed under the provisions of this

 7  section, plus interest on that difference computed as provided

 8  in s. 212.12(3).

 9         Section 45.  For the purpose of incorporating the

10  amendment to section 212.12, Florida Statutes, 1998

11  Supplement, in a reference thereto, subsection (8) of section

12  193.505, Florida Statutes, is reenacted to read:

13         193.505  Assessment of historically significant

14  property when development rights have been conveyed or

15  historic preservation restrictions have been covenanted.--

16         (8)  For the purposes of this section, the term

17  "deferred tax liability" means an amount equal to the

18  difference between the total amount of taxes which would have

19  been due in March in each of the previous years in which a

20  covenant executed and accepted pursuant to this section was in

21  effect if the property had been assessed under the provisions

22  of s. 193.011 irrespective of any negative impact on fair

23  market value that restrictions imposed pursuant to this

24  section may have caused and the total amount of taxes actually

25  paid in those years, plus interest on that difference computed

26  as provided in s. 212.12(3).

27         Section 46.  For the purpose of incorporating the

28  amendment to section 212.12, Florida Statutes, 1998

29  Supplement, in a reference thereto, subsection (7) of section

30  196.1997, Florida Statutes, is reenacted to read:

31         196.1997  Ad valorem tax exemptions for historic

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  properties.--

 2         (7)  To qualify for an exemption, the property owner

 3  must enter into a covenant or agreement with the governing

 4  body for the term for which the exemption is granted.  The

 5  form of the covenant or agreement must be established by the

 6  Department of State and must require that the character of the

 7  property, and the qualifying improvements to the property, be

 8  maintained during the period that the exemption is granted.

 9  The covenant or agreement shall be binding on the current

10  property owner, transferees, and their heirs, successors, or

11  assigns.  Violation of the covenant or agreement results in

12  the property owner being subject to the payment of the

13  differences between the total amount of taxes which would have

14  been due in March in each of the previous years in which the

15  covenant or agreement was in effect had the property not

16  received the exemption and the total amount of taxes actually

17  paid in those years, plus interest on the difference

18  calculated as provided in s. 212.12(3).

19         Section 47.  Section 220.807, Florida Statutes, is

20  amended to read:

21         220.807  Determination of Rate of interest.--

22         (1)  The annual rate of interest applicable to this

23  chapter shall be the adjusted rate established pursuant to s.

24  213.235 by the executive director of the Department of Revenue

25  under subsection (2).

26         (2)  If the adjusted prime rate charged by banks,

27  rounded to the nearest full percent, during either:

28         (a)  The 6-month period ending on September 30 of any

29  calendar year; or

30         (b)  The 6-month period ending on March 31 of any

31  calendar year,

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1

 2  differs from the interest rate in effect on either such date,

 3  the executive director of the Department of Revenue shall,

 4  within 20 days, establish an adjusted rate of interest equal

 5  to such adjusted prime rate.

 6         (3)  An adjusted rate of interest established under

 7  this section shall become effective:

 8         (a)  On January 1 of the succeeding year, if based upon

 9  the adjusted prime rate for the 6-month period ending on

10  September 30; or

11         (b)  On July 1 of the same calendar year, if based upon

12  the adjusted prime rate for the 6-month period ending on March

13  31.

14         (4)  For the purposes of this section, "adjusted prime

15  rate charged by banks" means the average predominant prime

16  rate quoted by commercial banks to large business, as

17  determined by the Board of Governors of the Federal Reserve

18  System.

19         (5)  Once established, an adjusted rate of interest

20  shall remain in effect until an adjustment is made under

21  subsection (2).

22         Section 48.  Paragraph (c) of subsection (2) of section

23  624.5092, Florida Statutes, is amended to read:

24         624.5092  Administration of taxes; payments.--

25         (2)

26         (c)  When any taxpayer fails to pay any amount due

27  under this section, or any portion thereof, on or before the

28  day when such tax or installment of tax is required by law to

29  be paid, there shall be added to the amount due interest at

30  the adjusted rate established pursuant to s. 213.235 of 12

31  percent per year from the date due until paid.

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1         Section 49.  The Department of Revenue shall examine

 2  the impact of sections 19-48 and, by January 1, 2000, the

 3  executive director of the Department of Revenue shall submit

 4  to the Speaker of the House of Representatives, the President

 5  of the Senate, and the chairs of the finance and taxation

 6  committees of the Legislature a report containing

 7  recommendations for the effective and efficient implementation

 8  of said sections and methods to minimize their fiscal impact.

 9  These may include ways to increase voluntary compliance with

10  the state's tax laws.

11         Section 50.  Effective September 1, 1999, subsection

12  (1) of section 561.501, Florida Statutes, is amended to read:

13         561.501  Surcharge on sale of alcoholic beverages for

14  consumption on the premises; penalty.--

15         (1)  Notwithstanding s. 561.50 or any other provision

16  of the Beverage Law, a surcharge of 6.67 10 cents is imposed

17  upon each ounce of liquor and each 4 ounces of wine, a

18  surcharge of 4 6 cents is imposed on each 12 ounces of cider,

19  and a surcharge of 2.67 4 cents is imposed on each 12 ounces

20  of beer sold at retail for consumption on premises licensed by

21  the division as an alcoholic beverage vendor.

22         Section 51.  Effective September 1, 1999, paragraph (a)

23  of subsection (4) of section 561.121, Florida Statutes, is

24  amended to read:

25         561.121  Deposit of revenue.--

26         (4)  State funds collected pursuant to s. 561.501 shall

27  be paid into the State Treasury and credited to the following

28  accounts:

29         (a)  Thirteen and six-tenths percent Nine and

30  eight-tenths of the surcharge on the sale of alcoholic

31  beverages for consumption on premises shall be transferred to

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1  the Children and Adolescents Substance Abuse Trust Fund, which

 2  shall remain with the Department of Children and Family Health

 3  and Rehabilitative Services for the purpose of funding

 4  programs directed at reducing and eliminating substance abuse

 5  problems among children and adolescents.

 6         Section 52.  Except as otherwise provided herein, this

 7  act shall take effect July 1, 1999.

 8

 9

10  ================ T I T L E   A M E N D M E N T ===============

11  And the title is amended as follows:

12  remove from the title of the bill:  the entire title

13

14  and insert in lieu thereof:

15                  A bill to be entitled

16         An act relating to taxation; providing a short

17         title; specifying a period during which the

18         sale of clothing below a specified value shall

19         be exempt from the tax on sales, use, and other

20         transactions; defining "clothing"; providing

21         exceptions; authorizing the Department of

22         Revenue to adopt rules; providing an

23         appropriation; providing for a rebate of state

24         taxes in the form of a residential electric

25         utility credit; providing conditions with

26         respect to the credit; providing for submission

27         of certain information to the Public Service

28         Commission by utilities providing residential

29         electric utility service; providing for

30         calculation of reimbursement amounts by the

31         commission; providing for distribution of funds

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1         to such utilities; providing for audits;

 2         providing legislative intent with respect to

 3         the credit; directing the commission to provide

 4         certain services; providing rulemaking

 5         authority; providing an appropriation;

 6         prohibiting any county which was not levying a

 7         school impact fee on January 1, 1999, from

 8         levying such fee during a specified period;

 9         limiting the amount of such fees that may be

10         collected by a county during that period;

11         providing procedures for reimbursing a county

12         for revenues lost during that period based on

13         fees which exceed the limitation which were in

14         effect prior thereto; providing duties of the

15         Comptroller; specifying the purposes for which

16         such reimbursed funds may be used; providing

17         for rules; creating a Florida School Impact Fee

18         Policy Commission; providing for appointment

19         and qualifications of members; providing

20         administrative duties of the Legislative

21         Committee on Intergovernmental Relations;

22         providing duties of the commission; providing

23         for a report; providing an appropriation;

24         amending ss. 199.023 and 199.052, F.S.;

25         revising the definition of "affiliated group"

26         to include limited liability companies

27         connected through membership interest with a

28         common parent for purposes of intangible

29         personal property taxes; revising provisions

30         which allow affiliated groups to file a

31         consolidated return, to include such limited

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1         liability companies; amending s. 199.032, F.S.;

 2         reducing the rate of the annual intangible

 3         personal property tax; amending s. 199.033,

 4         F.S.; reducing the rates of the tax on

 5         securities in a Florida's Future Investment

 6         Fund to conform; amending s. 199.185, F.S.;

 7         increasing the percentage of accounts

 8         receivable that is exempt from intangible

 9         personal property taxes; retaining legislative

10         intent to exempt all accounts receivable on a

11         future date; increasing the exemption from the

12         annual tax granted to natural persons;

13         providing an exemption from the annual tax for

14         taxpayers who are not natural persons; amending

15         s. 212.05, F.S.; reducing the rate of the sales

16         tax on charges for telecommunication service

17         from 7 percent to 6.5 percent; providing for

18         application of such tax; providing legislative

19         intent to further reduce the rate in a

20         subsequent year; amending s. 212.12, F.S., to

21         conform; specifying the application date of

22         such reduced rate for charges billed on a

23         monthly cycle; amending s. 212.11, F.S.;

24         revising the filing deadline applicable to

25         sales tax dealers who are required to calculate

26         and pay estimated tax liability; increasing the

27         threshold for determining whether a dealer is

28         subject to said requirement; amending ss.

29         212.04 and 212.15, F.S., to conform; creating

30         s. 213.235, F.S.; providing for determination

31         of the annual rate of interest applicable to

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1         tax payment deficiencies; creating s. 213.255,

 2         F.S.; providing for payment of interest on

 3         overpayments of taxes, payment of taxes not

 4         due, or taxes paid in error with respect to

 5         taxes administered by the Department of Revenue

 6         if refund is not made within a specified

 7         period; providing requirements for refund

 8         applications and determination of completeness

 9         thereof; requiring a bond or other security

10         under certain conditions; providing for

11         interest and penalties with respect to refunds

12         paid in error; providing application; providing

13         for rules; amending ss. 198.15 and 198.18,

14         F.S., relating to the rate of interest on

15         delinquent estate taxes and taxes for which an

16         extension is granted, s. 198.155, F.S.,

17         relating to the rate of interest on delinquent

18         tax on generation-skipping transfers, s.

19         198.16, F.S., relating to the rate of interest

20         on deficiencies in such taxes, s. 199.282,

21         F.S., relating to the rate of interest on

22         delinquent intangible personal property taxes,

23         s. 201.17, F.S., relating to the rate of

24         interest on delinquent excise taxes on

25         documents, and s. 203.06, F.S., relating to the

26         rate of interest on delinquent gross receipts

27         taxes, to conform; reenacting s. 203.62, F.S.,

28         relating to the gross receipts tax on

29         interstate and international telecommunications

30         services, to incorporate the amendment to s.

31         203.06, F.S., in a reference thereto; amending

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1         s. 206.44, F.S., relating to the rate of

 2         interest on delinquent motor fuel taxes, to

 3         conform; reenacting ss. 206.06(1), 206.94,

 4         206.97, 206.9915(3), 336.021(2)(a), and

 5         336.025(2)(a), F.S., relating to estimated fuel

 6         taxes, tax on diesel fuel, tax on fuel and

 7         other pollutants, the ninth-cent fuel tax on

 8         motor and diesel fuel, and the local option tax

 9         on motor and diesel fuel for county

10         transportation systems, to incorporate the

11         amendment to s. 206.44, F.S., in references

12         thereto; amending s. 207.007, F.S., relating to

13         the rate of interest on delinquent tax on the

14         operation of commercial motor vehicles, ss.

15         211.076 and 211.33, F.S., relating to the rate

16         of interest on delinquent taxes and

17         underpayment of estimated taxes on oil and gas

18         production and severance of minerals, and s.

19         212.12, F.S., relating to the rate of interest

20         on delinquent taxes on sales, use, and other

21         transactions, to conform; reenacting ss.

22         193.501(6)(e), 193.503(9)(b), and 193.505(8),

23         F.S., relating to the interest on a deferred

24         tax liability due upon a change in assessment

25         status of certain conservation or recreation

26         land or historic properties, and s.

27         196.1997(7), F.S., relating to the interest on

28         taxes which become due when property is no

29         longer eligible for a historic property tax

30         exemption, to incorporate the amendment to s.

31         212.12, F.S., in references thereto; amending

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                                                   HOUSE AMENDMENT

    hbd-05                        Bill No. CS for SB 318, 1st Eng.

    Amendment No.     (for drafter's use only)





 1         s. 220.807, F.S., relating to the interest rate

 2         applicable to the corporate income tax code,

 3         and s. 624.5092, F.S., relating to the rate of

 4         interest on delinquent insurance premium taxes,

 5         to conform; requiring a report by the

 6         Department of Revenue; amending s. 561.501,

 7         F.S.; reducing the alcoholic beverage

 8         surcharges on liquor, wine, cider, and beer

 9         sold for consumption on the premises; amending

10         s. 561.121, F.S.; increasing the portion of the

11         surcharge which is transferred to the Children

12         and Adolescents Substance Abuse Trust Fund;

13         providing effective dates.

14

15

16

17

18

19

20

21

22

23

24

25

26

27

28

29

30

31

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