| 1 | Representative Murzin offered the following: |
| 2 |
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| 3 | Amendment to Senate Amendment (552744) (with title |
| 4 | amendment) |
| 5 | On page 47, between lines 14 and 15, insert: |
| 6 | Section 35. Effective upon this act becoming a law, and |
| 7 | operating retroactively to December 31, 2004, subsection (2) of |
| 8 | section 202.16, Florida Statutes, is amended to read: |
| 9 | 202.16 Payment.--The taxes imposed or administered under |
| 10 | this chapter and chapter 203 shall be collected from all dealers |
| 11 | of taxable communications services on the sale at retail in this |
| 12 | state of communications services taxable under this chapter and |
| 13 | chapter 203. The full amount of the taxes on a credit sale, |
| 14 | installment sale, or sale made on any kind of deferred payment |
| 15 | plan is due at the moment of the transaction in the same manner |
| 16 | as a cash sale. |
| 17 | (2)(a) A sale of communications services that are used as |
| 18 | a component part of or integrated into a communications service |
| 19 | or prepaid calling arrangement for resale, including, but not |
| 20 | limited to, carrier-access charges, interconnection charges paid |
| 21 | by providers of mobile communication services or other |
| 22 | communication services, charges paid by cable service providers |
| 23 | for the transmission of video or other programming by another |
| 24 | dealer of communications services, charges for the sale of |
| 25 | unbundled network elements, and any other intercompany charges |
| 26 | for the use of facilities for providing communications services |
| 27 | for resale, must be made in compliance with the rules of the |
| 28 | department. Any person who makes a sale for resale which is not |
| 29 | in compliance with these rules is liable for any tax, penalty, |
| 30 | and interest due for failing to comply, to be calculated |
| 31 | pursuant to s. 202.28(2)(a). |
| 32 | (b)1. Any dealer who makes a sale for resale shall |
| 33 | document the exempt nature of the transaction, as established by |
| 34 | rules adopted by the department, by retaining a copy of the |
| 35 | purchaser's initial or annual resale certificate issued pursuant |
| 36 | to s. 202.17(6). In lieu of maintaining a copy of the |
| 37 | certificate, a dealer may document, prior to the time of sale, |
| 38 | an authorization number, provided telephonically or |
| 39 | electronically by the department, or by such other means |
| 40 | established by rule of the department. The dealer may rely on an |
| 41 | initial or annual resale certificate issued pursuant to s. |
| 42 | 202.17(6), valid at the time of receipt from the purchaser, |
| 43 | without seeking additional annual resale certificates from such |
| 44 | purchaser, if the dealer makes recurring sales to the purchaser |
| 45 | in the normal course of business on a continual basis. For |
| 46 | purposes of this paragraph, the term "recurring sales to a |
| 47 | purchaser in the normal course of business" means a sale in |
| 48 | which the dealer extends credit to the purchaser and records the |
| 49 | debt as an account receivable, or in which the dealer sells to a |
| 50 | purchaser who has an established cash account, similar to an |
| 51 | open credit account. For purposes of this paragraph, purchases |
| 52 | are made from a selling dealer on a continual basis if the |
| 53 | selling dealer makes, in the normal course of business, sales to |
| 54 | the purchaser no less frequently than once in every 12-month |
| 55 | period. |
| 56 | 2. A dealer may, through the informal protest process |
| 57 | provided for in s. 213.21 and the rules of the department, |
| 58 | provide the department with evidence of the exempt status of a |
| 59 | sale. Exemption certificates executed by entities that were |
| 60 | exempt at the time of sale, resale certificates provided by |
| 61 | purchasers who were active dealers at the time of sale, and |
| 62 | verification by the department of a purchaser's active dealer |
| 63 | status at the time of sale in lieu of a resale certificate shall |
| 64 | be accepted by the department when submitted during the protest |
| 65 | period but may not be accepted in any proceeding under chapter |
| 66 | 120 or any circuit court action instituted under chapter 72. |
| 67 | Section 36. Effective January 1, 2006, the Department of |
| 68 | Revenue shall establish: |
| 69 | (1) A toll-free number for the verification of valid |
| 70 | registration numbers and resale certificates under s. |
| 71 | 202.16(2)(b), Florida Statutes. The system must be adequate to |
| 72 | guarantee a low busy rate, must respond to keypad inquiries, and |
| 73 | must provide data that is updated daily. |
| 74 | (2) A system for receiving information from dealers |
| 75 | regarding certificate numbers under s. 202.16(2)(b), Florida |
| 76 | Statutes, of dealers who are seeking to make purchases for |
| 77 | resale. The department shall provide such dealers, free of |
| 78 | charge, with verification of those numbers that are canceled or |
| 79 | invalid. |
| 80 | Section 37. Paragraph (a) of subsection (3) of section |
| 81 | 202.19, Florida Statutes, is amended to read: |
| 82 | 202.19 Authorization to impose local communications |
| 83 | services tax.-- |
| 84 | (3)(a) The tax authorized under this section includes and |
| 85 | is in lieu of any fee or other consideration, including, but not |
| 86 | limited to, application fees, transfer fees, renewal fees, or |
| 87 | claims for related costs, to which the municipality or county is |
| 88 | otherwise entitled for granting permission to dealers of |
| 89 | communications services, including, but not limited to, |
| 90 | providers of cable television services, as authorized in 47 |
| 91 | U.S.C. s. 542, to use or occupy its roads or rights-of-way for |
| 92 | the placement, construction, and maintenance of poles, wires, |
| 93 | and other fixtures used in the provision of communications |
| 94 | services. |
| 95 | Section 38. The amendments to s. 202.19(3)(a), Florida |
| 96 | Statutes, contained in this act are remedial in nature and |
| 97 | intended to clarify the law in effect on October 1, 2001, but do |
| 98 | not grant any right to a refund of any fees or charges paid |
| 99 | prior to July 1, 2005. |
| 100 |
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| 101 | ================= T I T L E A M E N D M E N T ================= |
| 102 | On page 51, line 14, remove all of said line and insert: |
| 103 | amending s. 202.16, F.S.; requiring dealers to document |
| 104 | exempt sales of communications services for resale; |
| 105 | providing requirements; providing a definition; providing |
| 106 | construction; providing for dealer provision of evidence |
| 107 | of the exempt status of certain sales through an informal |
| 108 | protest process; requiring the Department of Revenue to |
| 109 | accept certain evidence during the protest period; |
| 110 | providing limitations; providing for retroactive |
| 111 | application; requiring the department to establish a toll- |
| 112 | free number for certain registration and resale |
| 113 | certificate verification purposes; providing requirements; |
| 114 | requiring the department to establish a system for |
| 115 | receiving certain information relating to certificate |
| 116 | numbers of dealers making purchases for resale; providing |
| 117 | requirements; amending s. 202.19, F.S.; clarifying a |
| 118 | characterization of the local communications services tax |
| 119 | as including certain fees and being in lieu of such fees; |
| 120 | providing for application; providing effective dates. |