Florida Senate - 2009                                    SB 1134
       
       
       
       By Senator Lynn
       
       
       
       
       7-00467-09                                            20091134__
    1                        A bill to be entitled                      
    2         An act relating to the Streamlined Sales and Use Tax
    3         Agreement; amending s. 212.02, F.S.; revising
    4         definitions; amending s. 212.03, F.S.; specifying
    5         certain facilities that are exempt from the transient
    6         rentals tax; amending ss. 212.0306, 212.04, and
    7         212.0506, F.S.; deleting the application of brackets
    8         for the calculation of sales and use taxes; amending
    9         s. 212.05, F.S.; deleting criteria establishing
   10         circumstances under which taxes on the lease or rental
   11         of a motor vehicle are due; revising criteria
   12         establishing circumstances under which taxes on the
   13         sale of a prepaid calling arrangement are due;
   14         increasing the tax on charges for the use of coin
   15         operated amusement machines; deleting the application
   16         of brackets for the calculation of sales and use
   17         taxes; amending s. 212.054, F.S.; limiting the $5,000
   18         cap on discretionary sales surtax to the sale of motor
   19         vehicles, aircraft, boats, motor homes, manufactured
   20         homes, modular homes, and mobile homes; specifying the
   21         time at which changes in surtaxes may take effect;
   22         providing criteria to determine the situs of certain
   23         sales; providing for databases to identify taxing
   24         jurisdictions; providing criteria to hold purchasers
   25         harmless for failure to pay the correct amount of tax;
   26         holding sellers harmless for failing to collect a tax
   27         at a new rate under certain circumstances; amending s.
   28         212.06, F.S.; defining terms; deleting provisions
   29         relating to mail-order sales to conform; requiring
   30         purchasers of direct mail to use direct mail forms;
   31         providing criteria for determining the location of
   32         transactions involving tangible personal property,
   33         digital goods, or services and for the lease or rental
   34         of tangible personal property; amending s. 212.07,
   35         F.S.; providing for the creation of a taxability
   36         matrix; providing immunity from liability for acts in
   37         reliance of the taxability matrix; amending s. 212.08,
   38         F.S.; revising exemptions from sales and use tax for
   39         food and medical products; creating s. 212.094, F.S.;
   40         providing a procedure for a purchaser to obtain a
   41         refund of tax collected by a dealer; amending s.
   42         212.12, F.S.; authorizing collection allowances for
   43         certified service providers in accordance with the
   44         Streamlined Sales and Use Tax Agreement; providing for
   45         the computation of taxes due based on rounding instead
   46         of brackets; amending s. 212.17, F.S.; providing
   47         additional criteria for a dealer to claim a credit for
   48         taxes paid relating to worthless accounts; amending s.
   49         212.18, F.S.; authorizing the Department of Revenue to
   50         waive the dealer registration fee for applications
   51         submitted through the central electronic registration
   52         system provided by member states of the Streamlined
   53         Sales and Use Tax Agreement; amending s. 212.20, F.S.;
   54         deleting procedures for refunds of tax paid on mail
   55         order sales; creating s. 213.052, F.S.; providing for
   56         notice of state sales or use tax changes; creating s.
   57         213.0521, F.S.; providing the effective date for state
   58         sales and use tax changes; creating 213.215, F.S.;
   59         providing amnesty for uncollected or unpaid sales and
   60         use taxes for sellers who register under the
   61         Streamlined Sales and Use Tax Agreement; providing
   62         exceptions to the amnesty; amending s. 213.256, F.S.;
   63         providing definitions; providing for entry into
   64         agreements with other states to simplify and
   65         facilitate compliance with sales tax laws; providing
   66         for certification of compliance with agreements;
   67         creating s. 213.2562, F.S.; providing for the
   68         department to review software submitted to the
   69         governing board for certification as a certified
   70         automated system; creating s. 213.2567, F.S.;
   71         providing for the registration of sellers, the
   72         certification of a person as a certified service
   73         provider, and the certification of a software program
   74         as a certified automated system by the governing board
   75         under the Streamlined Sales and Use Tax Agreement;
   76         declaring legislative intent; providing for the
   77         adoption of emergency rules; amending ss. 11.45,
   78         196.012, 202.18, 203.01, 212.031, 212.055, 212.15,
   79         213.015, 218.245, 218.65, 288.1045, 288.1169, 551.102,
   80         and 790.0655, F.S.; conforming cross-references;
   81         repealing s. 212.0596, F.S., relating to provisions
   82         pertaining to the taxation of mail-order sales;
   83         providing an effective date.
   84         
   85  Be It Enacted by the Legislature of the State of Florida:
   86         
   87         Section 1. Section 212.02, Florida Statutes, is amended to
   88  read:
   89         212.02 Definitions.—The following terms and phrases when
   90  used in this chapter have the meanings ascribed to them in this
   91  section, except where the context clearly indicates a different
   92  meaning. The term:
   93         (1) The term “Admissions” means and includes the net sum of
   94  money after deduction of any federal taxes for admitting a
   95  person or vehicle or persons to any place of amusement, sport,
   96  or recreation or for the privilege of entering or staying in any
   97  place of amusement, sport, or recreation, including, but not
   98  limited to, theaters, outdoor theaters, shows, exhibitions,
   99  games, races, or any place where charge is made by way of sale
  100  of tickets, gate charges, seat charges, box charges, season pass
  101  charges, cover charges, greens fees, participation fees,
  102  entrance fees, or other fees or receipts of anything of value
  103  measured on an admission or entrance or length of stay or seat
  104  box accommodations in any place where there is any exhibition,
  105  amusement, sport, or recreation, and all dues and fees paid to
  106  private clubs and membership clubs providing recreational or
  107  physical fitness facilities, including, but not limited to,
  108  golf, tennis, swimming, yachting, boating, athletic, exercise,
  109  and fitness facilities, except physical fitness facilities owned
  110  or operated by any hospital licensed under chapter 395.
  111         (2)“Agricultural commodity” means horticultural,
  112  aquacultural, poultry and farm products, and livestock and
  113  livestock products.
  114         (3)“Agricultural production” means the production of
  115  plants and animals useful to humans, including the preparation,
  116  planting, cultivating, or harvesting of these products or any
  117  other practices necessary to accomplish production through the
  118  harvest phase, which includes aquaculture, horticulture,
  119  floriculture, viticulture, forestry, dairy, livestock, poultry,
  120  bees, and all other forms of farm products and farm production.
  121         (4)“Bundled transaction” means the retail sale of two or
  122  more products, except real property and services to real
  123  property, in which the products are otherwise distinct and
  124  identifiable and the products are sold for one non-itemized
  125  price. A bundled transaction does not include the sale of any
  126  products in which the sales price varies, or is negotiable,
  127  based on the selection by the purchaser of the products included
  128  in the transaction.
  129         (a)As used in this subsection, the term:
  130         1.“Distinct and identifiable products” does not include:
  131         a.Packaging, such as containers, boxes, sacks, bags, and
  132  bottles or other materials, such as wrapping, labels, tags, and
  133  instruction guides, which accompany the retail sale of the
  134  products and are incidental or immaterial to the retail sale of
  135  the products. Examples of packing that is incidental or
  136  immaterial include grocery sacks, shoeboxes, dry cleaning
  137  garment bags, and express delivery envelopes and boxes.
  138         b.A product provided free of charge with the required
  139  purchase of another product. A product is provided free of
  140  charge if the sales price of the product purchased does not vary
  141  depending on the inclusion of the product provided free of
  142  charge.
  143         2.“One non-itemized price” does not include a price that
  144  is separately identified by product on binding sales or other
  145  supporting sales-related documentation made available to the
  146  customer in paper or electronic form, including, but not limited
  147  to, an invoice, bill of sale, receipt, contract, service
  148  agreement, lease agreement, periodic notice of rates and
  149  services, rate card, or price list.
  150         3.“De minimis” means that the seller's purchase price or
  151  sales price of the taxable products is 10 percent or less of the
  152  total purchase price or sales price of the bundled products.
  153         a.Sellers shall use the purchase price or sales price of
  154  the products to determine if the taxable products are de
  155  minimus. Sellers may not use a combination of the purchase price
  156  and sales price of the products to determine if the taxable
  157  products are de minimus.
  158         b.Sellers shall use the full term of a service contract to
  159  determine if the taxable products are de minimis.
  160         (b)1.A transaction that otherwise satisfies the definition
  161  of a bundled transaction, as defined in this subsection, is not
  162  a bundled transaction if it is:
  163         a.The retail sale of tangible personal property and a
  164  service in which the tangible personal property is essential to
  165  the use of the service, is provided exclusively in connection
  166  with the service, and the true object of the transaction is the
  167  service;
  168         b.The retail sale of services in which one service is
  169  provided which is essential to the use or receipt of a second
  170  service and the first service is provided exclusively in
  171  connection with the second service and the true object of the
  172  transaction is the second service;
  173         c.A transaction that includes taxable products and
  174  nontaxable products and the purchase price or sales price of the
  175  taxable products is de minimis; or
  176         d.The retail sale of exempt tangible personal property and
  177  taxable personal property in which:
  178         (I)The transaction includes food and food ingredients,
  179  drugs, durable medical equipment, mobility-enhancing equipment,
  180  over-the-counter drugs, prosthetic devices, or medical supplies;
  181  and
  182         (II)The seller's purchase price or sales price of the
  183  taxable tangible personal property is 50 percent or less of the
  184  total purchase price or sales price of the bundled tangible
  185  personal property. Sellers may not use a combination of the
  186  purchase price and sales price of the tangible personal property
  187  to make the determination required in this paragraph.
  188         2.a.Sellers shall use the purchase price or sales price of
  189  the products to determine if the taxable products are de
  190  minimus. Sellers may not use a combination of the purchase price
  191  and sales price of the products to determine if the taxable
  192  products are de minimus.
  193         b.Sellers shall use the full term of a service contract to
  194  determine if the taxable products are de minimis.
  195         (5)(2) “Business” means any activity engaged in by any
  196  person, or caused to be engaged in by him or her, with the
  197  object of private or public gain, benefit, or advantage, either
  198  direct or indirect. Except for the sales of any aircraft, boat,
  199  mobile home, or motor vehicle, the term “business” shall not be
  200  construed in this chapter to include occasional or isolated
  201  sales or transactions involving tangible personal property or
  202  services by a person who does not hold himself or herself out as
  203  engaged in business or sales of unclaimed tangible personal
  204  property under s. 717.122, but includes other charges for the
  205  sale or rental of tangible personal property, sales of services
  206  taxable under this chapter, sales of or charges of admission,
  207  communication services, all rentals and leases of living
  208  quarters, other than low-rent housing operated under chapter
  209  421, sleeping or housekeeping accommodations in hotels,
  210  apartment houses, roominghouses, tourist or trailer camps, and
  211  all rentals of or licenses in real property, other than low-rent
  212  housing operated under chapter 421, all leases or rentals of or
  213  licenses in parking lots or garages for motor vehicles, docking
  214  or storage spaces for boats in boat docks or marinas as defined
  215  in this chapter and made subject to a tax imposed by this
  216  chapter. The term “business” shall not be construed in this
  217  chapter to include the leasing, subleasing, or licensing of real
  218  property by one corporation to another if all of the stock of
  219  both such corporations is owned, directly or through one or more
  220  wholly owned subsidiaries, by a common parent corporation; the
  221  property was in use prior to July 1, 1989, title to the property
  222  was transferred after July 1, 1988, and before July 1, 1989,
  223  between members of an affiliated group, as defined in s. 1504(a)
  224  of the Internal Revenue Code of 1986, which group included both
  225  such corporations and there is no substantial change in the use
  226  of the property following the transfer of title; the leasing,
  227  subleasing, or licensing of the property was required by an
  228  unrelated lender as a condition of providing financing to one or
  229  more members of the affiliated group; and the corporation to
  230  which the property is leased, subleased, or licensed had sales
  231  subject to the tax imposed by this chapter of not less than $667
  232  million during the most recent 12-month period ended June 30.
  233  Any tax on such sales, charges, rentals, admissions, or other
  234  transactions made subject to the tax imposed by this chapter
  235  shall be collected by the state, county, municipality, any
  236  political subdivision, agency, bureau, or department, or other
  237  state or local governmental instrumentality in the same manner
  238  as other dealers, unless specifically exempted by this chapter.
  239         (6)“Certified service provider” has the same meaning as
  240  provided in s. 213.256.
  241         (7)(3) The terms “cigarettes,” “tobacco,” or “tobacco
  242  products” referred to in this chapter include all such products
  243  as are defined or may be hereafter defined by the laws of the
  244  state.
  245         (8)“Coin-operated amusement machine” means any machine
  246  operated by coin, slug, token, coupon, or similar device for the
  247  purposes of entertainment or amusement. The term includes, but
  248  is not limited to, coin-operated pinball machines, music
  249  machines, juke boxes, mechanical games, video games, arcade
  250  games, billiard tables, moving picture viewers, shooting
  251  galleries, and all other similar amusement devices.
  252         (9)“Computer” means an electronic device that accepts
  253  information in digital or similar form and manipulates such
  254  information for a result based on a sequence of instructions.
  255         (10)“Computer software” means a set of coded instructions
  256  designed to cause a computer or automatic data processing
  257  equipment to perform a task.
  258         (11)(4) “Cost price” means the actual cost of articles of
  259  tangible personal property without any deductions therefrom on
  260  account of the cost of materials used, labor or service costs,
  261  transportation charges, or any expenses whatsoever.
  262         (12)“Delivery charges” means charges by the seller of
  263  personal property or services for preparation and delivery to a
  264  location designated by the purchaser of such property or
  265  services, including, but not limited to, transportation,
  266  shipping, postage, handling, crating, and packing. The term does
  267  not include the charges for delivery of direct mail if the
  268  charges are separately stated on an invoice or similar billing
  269  document given to the purchaser. If a shipment includes exempt
  270  property and taxable property, the seller shall tax only the
  271  percentage of the delivery charge allocated to the taxable
  272  property. The seller may allocate the delivery charge by using:
  273         (a)A percentage based on the total sales price of the
  274  taxable property compared to the sales price of all property in
  275  the shipment; or
  276         (b)A percentage based on the total weight of the taxable
  277  property compared to the total weight of all property in the
  278  shipment.
  279         (13)(5)The term “Department” means the Department of
  280  Revenue.
  281         (14)“Diesel fuel” means any liquid product, gas product,
  282  or any combination thereof, which is used in an internal
  283  combustion engine or motor to propel any form of vehicle,
  284  machine, or mechanical contrivance. The term includes, but is
  285  not limited to, all forms of fuel commonly or commercially known
  286  or sold as diesel fuel or kerosene. However, the term does not
  287  include butane gas, propane gas, or any other form of liquefied
  288  petroleum gas or compressed natural gas.
  289         (15)“Direct mail” means printed material delivered or
  290  distributed by the United States Postal Service or other
  291  delivery service to a mass audience or to addressees on a
  292  mailing list provided by the purchaser or at the direction of
  293  the purchaser when the cost of the items are not billed directly
  294  to the recipients. The term includes tangible personal property
  295  supplied directly or indirectly by the purchaser to the direct
  296  mail seller for inclusion in the package containing the printed
  297  material. The term does not include multiple items of printed
  298  material delivered to a single address.
  299         (16)“Electronic” means relating to technology having
  300  electrical, digital, magnetic, wireless, optical,
  301  electromagnetic, or similar capabilities.
  302         (17)(6) “Enterprise zone” means an area of the state
  303  designated pursuant to s. 290.0065. This subsection expires on
  304  the date specified in s. 290.016 for the expiration of the
  305  Florida Enterprise Zone Act.
  306         (18)(7) “Factory-built building” means a structure
  307  manufactured in a manufacturing facility for installation or
  308  erection as a finished building; “factory-built building”
  309  includes, but is not limited to, residential, commercial,
  310  institutional, storage, and industrial structures.
  311         (19)“Farmer” means a person who is directly engaged in the
  312  business of producing crops, livestock, or other agricultural
  313  commodities. The term includes, but is not limited to, horse
  314  breeders, nurserymen, dairy farmers, poultry farmers, cattle
  315  ranchers, apiarists, and persons raising fish.
  316         (20)“Forest” means the land stocked by trees of any size
  317  used in the production of forest products, or formerly having
  318  such tree cover, and not currently developed for nonforest use.
  319         (21)(8) “In this state” or “in the state” means within the
  320  state boundaries of Florida as defined in s. 1, Art. II of the
  321  State Constitution and includes all territory within these
  322  limits owned by or ceded to the United States.
  323         (22)(9) The term “intoxicating beverages” or “alcoholic
  324  beverages” referred to in this chapter includes all such
  325  beverages as are so defined or may be hereafter defined by the
  326  laws of the state.
  327         (23)(10) “Lease,” “let,” or “rental” means leasing or
  328  renting of living quarters or sleeping or housekeeping
  329  accommodations in hotels, apartment houses, roominghouses,
  330  tourist or trailer camps and real property, the same being
  331  defined as follows:
  332         (a) Every building or other structure kept, used,
  333  maintained, or advertised as, or held out to the public to be, a
  334  place where sleeping accommodations are supplied for pay to
  335  transient or permanent guests or tenants, in which 10 or more
  336  rooms are furnished for the accommodation of such guests, and
  337  having one or more dining rooms or cafes where meals or lunches
  338  are served to such transient or permanent guests; such sleeping
  339  accommodations and dining rooms or cafes being conducted in the
  340  same building or buildings in connection therewith, shall, for
  341  the purpose of this chapter, be deemed a hotel.
  342         (b) Any building, or part thereof, where separate
  343  accommodations for two or more families living independently of
  344  each other are supplied to transient or permanent guests or
  345  tenants shall for the purpose of this chapter be deemed an
  346  apartment house.
  347         (c) Every house, boat, vehicle, motor court, trailer court,
  348  or other structure or any place or location kept, used,
  349  maintained, or advertised as, or held out to the public to be, a
  350  place where living quarters or sleeping or housekeeping
  351  accommodations are supplied for pay to transient or permanent
  352  guests or tenants, whether in one or adjoining buildings, shall
  353  for the purpose of this chapter be deemed a roominghouse.
  354         (d) In all hotels, apartment houses, and roominghouses
  355  within the meaning of this chapter, the parlor, dining room,
  356  sleeping porches, kitchen, office, and sample rooms shall be
  357  construed to mean “rooms.”
  358         (e) A “tourist camp” is a place where two or more tents,
  359  tent houses, or camp cottages are located and offered by a
  360  person or municipality for sleeping or eating accommodations,
  361  most generally to the transient public for either a direct money
  362  consideration or an indirect benefit to the lessor or owner in
  363  connection with a related business.
  364         (f) A “trailer camp,” “mobile home park,” or “recreational
  365  vehicle park” is a place where space is offered, with or without
  366  service facilities, by any persons or municipality to the public
  367  for the parking and accommodation of two or more automobile
  368  trailers, mobile homes, or recreational vehicles which are used
  369  for lodging, for either a direct money consideration or an
  370  indirect benefit to the lessor or owner in connection with a
  371  related business, such space being hereby defined as living
  372  quarters, and the rental price thereof shall include all service
  373  charges paid to the lessor.
  374         (g)1. “Lease,” “let,” or “rental” also means any transfer
  375  of possession or control of tangible personal property for a
  376  fixed or indeterminate term for consideration. A clause for a
  377  future option to purchase or to extend an agreement does not
  378  preclude an agreement from being a lease or rental. This
  379  definition shall be used for purposes of the sales and use tax
  380  regardless of whether a transaction is characterized as a lease
  381  or rental under generally accepted accounting principles, the
  382  Internal Revenue Code, the Uniform Commercial Code, or any other
  383  provisions of federal, state, or local law. These terms include
  384  agreements covering motor vehicles and trailers if the amount of
  385  consideration may be increased or decreased by reference to the
  386  amount realized upon sale or disposition of the property as
  387  provided in 26 U.S.C. s. 7701(h)(1). These terms do not include:
  388         a.A transfer of possession or control of property under a
  389  security agreement or deferred payment plan that requires the
  390  transfer of title upon completion of the required payments;
  391         b.A transfer of possession or control of property under an
  392  agreement that requires the transfer of title upon completion of
  393  required payments and payment of an option price does not exceed
  394  the greater of $100 or 1 percent of the total required payments;
  395  or
  396         c.The provision of tangible personal property along with
  397  an operator for a fixed or indeterminate period of time. A
  398  condition of this exclusion is that the operator is necessary
  399  for the equipment to perform as designed. For the purpose of
  400  this sub-subparagraph, an operator must do more than maintain,
  401  inspect, or set up the tangible personal property the leasing or
  402  rental of tangible personal property and the possession or use
  403  thereof by the lessee or rentee for a consideration, without
  404  transfer of the title of such property, except as expressly
  405  provided to the contrary herein.
  406         2. The term “lease,” “let,” or “rental” does not include
  407  mean hourly, daily, or mileage charges, to the extent that such
  408  charges are subject to the jurisdiction of the United States
  409  Interstate Commerce Commission, if when such charges are paid by
  410  reason of the presence of railroad cars owned by another on the
  411  tracks of the taxpayer, or charges made pursuant to car service
  412  agreements.
  413         3. The term “lease,” “let,” “rental,” or “license” does not
  414  include payments made to an owner of high-voltage bulk
  415  transmission facilities in connection with the possession or
  416  control of such facilities by a regional transmission
  417  organization, independent system operator, or similar entity
  418  under the jurisdiction of the Federal Energy Regulatory
  419  Commission. However, where two taxpayers, in connection with the
  420  interchange of facilities, rent or lease property, each to the
  421  other, for use in providing or furnishing any of the services
  422  mentioned in s. 166.231, the term “lease or rental” means only
  423  the net amount of rental involved.
  424         (h) “Real property” means the surface land, improvements
  425  thereto, and fixtures, and is synonymous with “realty” and “real
  426  estate.”
  427         (i) “License,” as used in this chapter with reference to
  428  the use of real property, means the granting of a privilege to
  429  use or occupy a building or a parcel of real property for any
  430  purpose.
  431         (j) Privilege, franchise, or concession fees, or fees for a
  432  license to do business, paid to an airport are not payments for
  433  leasing, letting, renting, or granting a license for the use of
  434  real property.
  435         (24)“Livestock” includes all animals of the equine,
  436  bovine, or swine class, including goats, sheep, mules, horses,
  437  hogs, cattle, ostriches, and other grazing animals raised for
  438  commercial purposes. The term also includes fish raised for
  439  commercial purposes.
  440         (25)(a)“Model 1 seller” has the same meaning as provided
  441  in s. 213.256.
  442         (b)“Model 2 seller” has the same meaning as provided in s.
  443  213.256.
  444         (c)“Model 3 seller” has the same meaning as provided in s.
  445  213.256.
  446         (26)(11) “Motor fuel” means and includes what is commonly
  447  known and sold as gasoline and fuels containing a mixture of
  448  gasoline and other products.
  449         (27)(12) “Person” includes any individual, firm,
  450  copartnership, joint adventure, association, corporation,
  451  estate, trust, business trust, receiver, syndicate, or other
  452  group or combination acting as a unit and also includes any
  453  political subdivision, municipality, state agency, bureau, or
  454  department and includes the plural as well as the singular
  455  number.
  456         (28)“Power farm equipment” means moving or stationary
  457  equipment that contains within itself the means for its own
  458  propulsion or power and moving or stationary equipment that is
  459  dependent upon an external power source to perform its
  460  functions.
  461         (29)“Prewritten computer software” means computer
  462  software, including prewritten upgrades, which is not designed
  463  and developed by the author or other creator to the
  464  specifications of a specific purchaser. The combining of two or
  465  more prewritten computer software programs or prewritten
  466  portions of such programs does not cause the combination to be
  467  other than prewritten computer software. Prewritten computer
  468  software includes software designed and developed by the author
  469  or other creator to the specifications of a specific purchaser
  470  when such software is sold to a person other than the specific
  471  purchaser. Where a person modifies or enhances computer software
  472  of which the person is not the author or creator, the person
  473  shall be deemed to be the author or creator only of such
  474  person's modifications or enhancements. Prewritten computer
  475  software or a prewritten portion of such software which is
  476  modified or enhanced to any degree, if such modification or
  477  enhancement is designed and developed to the specifications of a
  478  specific purchaser, remains prewritten computer software.
  479  However, prewritten computer software does not include software
  480  that has been modified or enhanced for a particular purchaser if
  481  the charge for the enhancement is reasonable and separately
  482  stated on the invoice or other statement of price given to the
  483  purchaser.
  484         (30)“Product transferred electronically” means a product,
  485  except computer software, which was obtained by a purchaser by
  486  means other than the purchase of tangible storage media.
  487         (31)“Qualified aircraft” means any aircraft having a
  488  maximum certified takeoff weight of less than 10,000 pounds and
  489  equipped with twin turbofan engines that meet Stage IV noise
  490  requirements which is used by a business operating as an on
  491  demand air carrier under Federal Aviation Administration
  492  Regulation Title 14, chapter I, part 135, Code of Federal
  493  Regulations, which owns or leases and operates a fleet of at
  494  least 25 of such aircraft in this state.
  495         (32)(13) “Retailer” means and includes every person engaged
  496  in the business of making sales at retail or for distribution,
  497  or use, or consumption, or storage to be used or consumed in
  498  this state.
  499         (33)(14)(a) “Retail sale” or a “sale at retail” means a
  500  sale to a consumer or to any person for any purpose other than
  501  for resale in the form of tangible personal property or services
  502  taxable under this chapter, and includes all such transactions
  503  that may be made in lieu of retail sales or sales at retail. A
  504  sale for resale includes a sale of qualifying property. As used
  505  in this paragraph, the term “qualifying property” means tangible
  506  personal property, other than electricity, which is used or
  507  consumed by a government contractor in the performance of a
  508  qualifying contract as defined in s. 212.08(17)(c), to the
  509  extent that the cost of the property is allocated or charged as
  510  a direct item of cost to such contract, title to which property
  511  vests in or passes to the government under the contract. The
  512  term “government contractor” includes prime contractors and
  513  subcontractors. As used in this paragraph, a cost is a “direct
  514  item of cost” if it is a “direct cost” as defined in 48 C.F.R.
  515  s. 9904.418-30(a)(2), or similar successor provisions, including
  516  costs identified specifically with a particular contract.
  517         (b) The terms “Retail sales,” “sales at retail,” “use,”
  518  “storage,” and “consumption” include the sale, use, storage, or
  519  consumption of all tangible advertising materials imported or
  520  caused to be imported into this state. Tangible advertising
  521  material includes displays, display containers, brochures,
  522  catalogs, price lists, point-of-sale advertising, and technical
  523  manuals or any tangible personal property which does not
  524  accompany the product to the ultimate consumer.
  525         (c) “Retail sales,” “sale at retail,” “use,” “storage,” and
  526  “consumption” do not include materials, containers, labels,
  527  sacks, bags, or similar items intended to accompany a product
  528  sold to a customer without which delivery of the product would
  529  be impracticable because of the character of the contents and be
  530  used one time only for packaging tangible personal property for
  531  sale or for the convenience of the customer or for packaging in
  532  the process of providing a service taxable under this chapter.
  533  When a separate charge for packaging materials is made, the
  534  charge shall be considered part of the sales price or rental
  535  charge for purposes of determining the applicability of tax. The
  536  terms do not include the sale, use, storage, or consumption of
  537  industrial materials, including chemicals and fuels except as
  538  provided herein, for future processing, manufacture, or
  539  conversion into articles of tangible personal property for
  540  resale when such industrial materials, including chemicals and
  541  fuels except as provided herein, become a component or
  542  ingredient of the finished product. However, the terms include
  543  the sale, use, storage, or consumption of tangible personal
  544  property, including machinery and equipment or parts thereof,
  545  purchased electricity, and fuels used to power machinery, when
  546  such items are used and dissipated in fabricating, converting,
  547  or processing tangible personal property for sale, even though
  548  they may become ingredients or components of the tangible
  549  personal property for sale through accident, wear, tear,
  550  erosion, corrosion, or similar means. The terms do not include
  551  the sale of materials to a registered repair facility for use in
  552  repairing a motor vehicle, airplane, or boat, when such
  553  materials are incorporated into and sold as part of the repair.
  554  Such a sale shall be deemed a purchase for resale by the repair
  555  facility, even though every material is not separately stated or
  556  separately priced on the repair invoice.
  557         (d) “Gross sales” means the sum total of all sales of
  558  tangible personal property as defined herein, without any
  559  deduction whatsoever of any kind or character, except as
  560  provided in this chapter.
  561         (e)The term “Retail sale” includes a mail order sale, as
  562  defined in s. 212.0596(1).
  563         (34)(15) “Sale” means and includes:
  564         (a) Any transfer of title or possession, or both, exchange,
  565  barter, license, lease, or rental, conditional or otherwise, in
  566  any manner or by any means whatsoever, of tangible personal
  567  property for a consideration.
  568         (b) The rental of living quarters or sleeping or
  569  housekeeping accommodations in hotels, apartment houses or
  570  roominghouses, or tourist or trailer camps, as hereinafter
  571  defined in this chapter.
  572         (c) The producing, fabricating, processing, printing, or
  573  imprinting of tangible personal property for a consideration for
  574  consumers who furnish either directly or indirectly the
  575  materials used in the producing, fabricating, processing,
  576  printing, or imprinting.
  577         (d) The furnishing, preparing, or serving for a
  578  consideration of any tangible personal property for consumption
  579  on or off the premises of the person furnishing, preparing, or
  580  serving such tangible personal property which includes the sale
  581  of meals or prepared food by an employer to his or her
  582  employees.
  583         (e) A transaction whereby the possession of property is
  584  transferred but the seller retains title as security for the
  585  payment of the price.
  586         (35)(a)(16) “Sales price” applies to the measure subject to
  587  the tax imposed by this chapter and means the total amount of
  588  consideration, including cash, credit, property, and services,
  589  for which tangible personal property or personal services are
  590  sold, leased, or rented, valued in money, whether received in
  591  money or otherwise, without any deduction for the following:
  592         1.The seller's cost of the property sold;
  593         2.The cost of materials used, labor or service cost,
  594  interest, losses, all costs of transportation to the seller, all
  595  taxes imposed on the seller, and any other expense of the
  596  seller;
  597         3.Charges by the seller for any services necessary to
  598  complete the sale, other than delivery and installation charges;
  599         4.Delivery charges; or
  600         5.Installation charges.
  601         (b)“Sales price” does not include:
  602         1.Trade-ins allowed and taken at the time of sale if the
  603  amount is separately stated on the invoice, bill of sale, or
  604  similar document given to the purchaser;
  605         2.Discounts, including cash, term, or coupons, which are
  606  not reimbursed by a third party, are allowed by a seller, and
  607  taken by a purchaser at the time of sale;
  608         3.Interest, financing, and carrying charges from credit
  609  extended on the sale of personal property or services, if the
  610  amount is separately stated on the invoice, bill of sale, or
  611  similar document given to the purchaser;
  612         4.Any taxes legally imposed directly on the consumer which
  613  are separately stated on the invoice, bill of sale, or similar
  614  document given to the purchaser; or means the total amount paid
  615  for tangible personal property, including any services that are
  616  a part of the sale, valued in money, whether paid in money or
  617  otherwise, and includes any amount for which credit is given to
  618  the purchaser by the seller, without any deduction therefrom on
  619  account of the cost of the property sold, the cost of materials
  620  used, labor or service cost, interest charged, losses, or any
  621  other expense whatsoever. “Sales price” also includes the
  622  consideration for a transaction which requires both labor and
  623  material to alter, remodel, maintain, adjust, or repair tangible
  624  personal property. Trade-ins or discounts allowed and taken at
  625  the time of sale shall not be included within the purview of
  626  this subsection. “Sales price” also includes the full face value
  627  of any coupon used by a purchaser to reduce the price paid to a
  628  retailer for an item of tangible personal property; where the
  629  retailer will be reimbursed for such coupon, in whole or in
  630  part, by the manufacturer of the item of tangible personal
  631  property; or whenever it is not practicable for the retailer to
  632  determine, at the time of sale, the extent to which
  633  reimbursement for the coupon will be made. The term “sales
  634  price” does not include federal excise taxes imposed upon the
  635  retailer on the sale of tangible personal property. The term
  636  “sales price” does include federal manufacturers' excise taxes,
  637  even if the federal tax is listed as a separate item on the
  638  invoice. To the extent required by federal law, the term “sales
  639  price” does not include
  640         5. Charges for Internet access services which are not
  641  itemized on the customer's bill, but which can be reasonably
  642  identified from the selling dealer's books and records kept in
  643  the regular course of business. The dealer may support the
  644  allocation of charges with books and records kept in the regular
  645  course of business covering the dealer's entire service area,
  646  including territories outside this state.
  647         (36)“Sea trial” means a voyage for the purpose of testing
  648  repair or modification work, which is in length and scope
  649  reasonably necessary to test repairs or modifications, or a
  650  voyage for the purpose of ascertaining the seaworthiness of a
  651  vessel. If the sea trial is to test repair or modification work,
  652  the owner or repair facility shall certify, in a form required
  653  by the department, what repairs have been tested. The owner and
  654  the repair facility may also be required to certify that the
  655  length and scope of the voyage were reasonably necessary to test
  656  the repairs or modifications.
  657         (37)“Seller” means a person making sales, leases, or
  658  rentals of personal property or services.
  659         (38)“Solar energy system” means the equipment and
  660  requisite hardware that provide and are used for collecting,
  661  transferring, converting, storing, or using incident solar
  662  energy for water heating, space heating, cooling, or other
  663  applications that would otherwise require the use of a
  664  conventional source of energy such as petroleum products,
  665  natural gas, manufactured gas, or electricity.
  666         (39)“Space flight” means any flight designed for
  667  suborbital, orbital, or interplanetary travel of a space
  668  vehicle, satellite, or station of any kind.
  669         (40)“Spaceport activities” means activities directed or
  670  sponsored by Space Florida on spaceport territory pursuant to
  671  its powers and responsibilities under the Space Florida Act.
  672         (17)“Diesel fuel” means any liquid product, gas product,
  673  or combination thereof used in an internal combustion engine or
  674  motor to propel any form of vehicle, machine, or mechanical
  675  contrivance. This term includes, but is not limited to, all
  676  forms of fuel commonly or commercially known or sold as diesel
  677  fuel or kerosene. However, the term “diesel fuel” does not
  678  include butane gas, propane gas, or any other form of liquefied
  679  petroleum gas or compressed natural gas.
  680         (41)(18) “Storage” means and includes any keeping or
  681  retention in this state of tangible personal property for use or
  682  consumption in this state or for any purpose other than sale at
  683  retail in the regular course of business.
  684         (42)Streamlined Sales and Use Tax Agreement“ has the same
  685  meaning as in s. 213.256.
  686         (43)(19) “Tangible personal property” means and includes
  687  personal property which may be seen, weighed, measured, or
  688  touched or is in any manner perceptible to the senses, including
  689  electric power or energy, water, gas, steam, prewritten computer
  690  software, boats, motor vehicles and mobile homes as defined in
  691  s. 320.01(1) and (2), aircraft as defined in s. 330.27, and all
  692  other types of vehicles. The term “tangible personal property”
  693  does not include stocks, bonds, notes, insurance, or other
  694  obligations or securities, any product transferred
  695  electronically, or pari-mutuel tickets sold or issued under the
  696  racing laws of the state.
  697         (44)(20) “Use” means and includes the exercise of any right
  698  or power over tangible personal property incident to the
  699  ownership thereof, or interest therein, except that it does not
  700  include the sale at retail of that property in the regular
  701  course of business. The term “use” does not include:
  702         (a) The loan of an automobile by a motor vehicle dealer to
  703  a high school for use in its driver education and safety
  704  program. The term “use” does not include; or
  705         (b) A contractor's use of “qualifying property” as defined
  706  by paragraph (33)(a) paragraph (14)(a).
  707         (45)(21)The term “Use tax” referred to in this chapter
  708  includes the use, the consumption, the distribution, and the
  709  storage as herein defined.
  710         (46)“Voluntary seller” or “volunteer seller” means a
  711  seller that is not required to register in this state to collect
  712  the tax imposed by this chapter.
  713         (22)“Spaceport activities” means activities directed or
  714  sponsored by Space Florida on spaceport territory pursuant to
  715  its powers and responsibilities under the Space Florida Act.
  716         (23)“Space flight” means any flight designed for
  717  suborbital, orbital, or interplanetary travel of a space
  718  vehicle, satellite, or station of any kind.
  719         (24)“Coin-operated amusement machine” means any machine
  720  operated by coin, slug, token, coupon, or similar device for the
  721  purposes of entertainment or amusement. The term includes, but
  722  is not limited to, coin-operated pinball machines, music
  723  machines, juke boxes, mechanical games, video games, arcade
  724  games, billiard tables, moving picture viewers, shooting
  725  galleries, and all other similar amusement devices.
  726         (25)“Sea trial” means a voyage for the purpose of testing
  727  repair or modification work, which is in length and scope
  728  reasonably necessary to test repairs or modifications, or a
  729  voyage for the purpose of ascertaining the seaworthiness of a
  730  vessel. If the sea trial is to test repair or modification work,
  731  the owner or repair facility shall certify, in a form required
  732  by the department, what repairs have been tested. The owner and
  733  the repair facility may also be required to certify that the
  734  length and scope of the voyage were reasonably necessary to test
  735  the repairs or modifications.
  736         (26)“Solar energy system” means the equipment and
  737  requisite hardware that provide and are used for collecting,
  738  transferring, converting, storing, or using incident solar
  739  energy for water heating, space heating, cooling, or other
  740  applications that would otherwise require the use of a
  741  conventional source of energy such as petroleum products,
  742  natural gas, manufactured gas, or electricity.
  743         (27)“Agricultural commodity” means horticultural,
  744  aquacultural, poultry and farm products, and livestock and
  745  livestock products.
  746         (28)“Farmer” means a person who is directly engaged in the
  747  business of producing crops, livestock, or other agricultural
  748  commodities. The term includes, but is not limited to, horse
  749  breeders, nurserymen, dairy farmers, poultry farmers, cattle
  750  ranchers, apiarists, and persons raising fish.
  751         (29)“Livestock” includes all animals of the equine,
  752  bovine, or swine class, including goats, sheep, mules, horses,
  753  hogs, cattle, ostriches, and other grazing animals raised for
  754  commercial purposes. The term “livestock” shall also include
  755  fish raised for commercial purposes.
  756         (30)“Power farm equipment” means moving or stationary
  757  equipment that contains within itself the means for its own
  758  propulsion or power and moving or stationary equipment that is
  759  dependent upon an external power source to perform its
  760  functions.
  761         (31)“Forest” means the land stocked by trees of any size
  762  used in the production of forest products, or formerly having
  763  such tree cover, and not currently developed for nonforest use.
  764         (32)“Agricultural production” means the production of
  765  plants and animals useful to humans, including the preparation,
  766  planting, cultivating, or harvesting of these products or any
  767  other practices necessary to accomplish production through the
  768  harvest phase, and includes aquaculture, horticulture,
  769  floriculture, viticulture, forestry, dairy, livestock, poultry,
  770  bees, and any and all forms of farm products and farm
  771  production.
  772         (33)“Qualified aircraft” means any aircraft having a
  773  maximum certified takeoff weight of less than 10,000 pounds and
  774  equipped with twin turbofan engines that meet Stage IV noise
  775  requirements that is used by a business operating as an on
  776  demand air carrier under Federal Aviation Administration
  777  Regulation Title 14, chapter I, part 135, Code of Federal
  778  Regulations, that owns or leases and operates a fleet of at
  779  least 25 of such aircraft in this state.
  780         Section 2. Paragraph (c) of subsection (7) of section
  781  212.03, Florida Statutes, is amended to read:
  782         212.03 Transient rentals tax; rate, procedure, enforcement,
  783  exemptions.—
  784         (7)
  785         (c) The rental of facilities in a trailer camp, mobile home
  786  park, or recreational vehicle park facilities, as defined in s.
  787  212.02(23) s. 212.02(10)(f), which are intended primarily for
  788  rental as a principal or permanent place of residence is exempt
  789  from the tax imposed by this chapter. The rental of such
  790  facilities that primarily serve transient guests is not exempt
  791  by this subsection. In the application of this law, or in making
  792  any determination against the exemption, the department shall
  793  consider the facility as primarily serving transient guests
  794  unless the facility owner makes a verified declaration on a form
  795  prescribed by the department that more than half of the total
  796  rental units available are occupied by tenants who have a
  797  continuous residence in excess of 3 months. The owner of a
  798  facility declared to be exempt by this paragraph must make a
  799  determination of the taxable status of the facility at the end
  800  of the owner's accounting year using any consecutive 3-month
  801  period at least one month of which is in the accounting year.
  802  The owner must use a selected consecutive 3-month period during
  803  each annual redetermination. In the event that an exempt
  804  facility no longer qualifies for exemption by this paragraph,
  805  the owner must notify the department on a form prescribed by the
  806  department by the 20th day of the first month of the owner's
  807  next succeeding accounting year that the facility no longer
  808  qualifies for such exemption. The tax levied by this section
  809  shall apply to the rental of facilities that no longer qualify
  810  for exemption under this paragraph beginning the first day of
  811  the owner's next succeeding accounting year. The provisions of
  812  this paragraph do not apply to mobile home lots regulated under
  813  chapter 723.
  814         Section 3. Subsection (6) of section 212.0306, Florida
  815  Statutes, is amended to read:
  816         212.0306 Local option food and beverage tax; procedure for
  817  levying; authorized uses; administration.—
  818         (6) Any county levying a tax authorized by this section
  819  must locally administer the tax using the powers and duties
  820  enumerated for local administration of the tourist development
  821  tax by s. 125.0104, 1992 Supplement to the Florida Statutes
  822  1991. The county's ordinance shall also provide for brackets
  823  applicable to taxable transactions.
  824         Section 4. Paragraph (b) of subsection (1) of section
  825  212.04, Florida Statutes, is amended to read:
  826         212.04 Admissions tax; rate, procedure, enforcement.—
  827         (1)
  828         (b) For the exercise of such privilege, a tax is levied at
  829  the rate of 6 percent of sales price, or the actual value
  830  received from such admissions, which 6 percent shall be added to
  831  and collected with all such admissions from the purchaser
  832  thereof, and such tax shall be paid for the exercise of the
  833  privilege as defined in the preceding paragraph. Each ticket
  834  must show on its face the actual sales price of the admission,
  835  or each dealer selling the admission must prominently display at
  836  the box office or other place where the admission charge is made
  837  a notice disclosing the price of the admission, and the tax
  838  shall be computed and collected on the basis of the actual price
  839  of the admission charged by the dealer. The sale price or actual
  840  value of admission shall, for the purpose of this chapter, be
  841  that price remaining after deduction of federal taxes and state
  842  or locally imposed or authorized seat surcharges, taxes, or
  843  fees, if any, imposed upon such admission. The sale price or
  844  actual value does not include separately stated ticket service
  845  charges that are imposed by a facility ticket office or a
  846  ticketing service and added to a separately stated, established
  847  ticket price. The rate of tax on each admission shall be
  848  according to the brackets established by s. 212.12(9).
  849         Section 5. Subsections (6), (7), (8), (9), (10), and (11)
  850  of section 212.0506, Florida Statutes, are amended to read:
  851         212.0506 Taxation of service warranties.—
  852         (6)This tax shall be due and payable according to the
  853  brackets set forth in s. 212.12.
  854         (6)(7) This tax shall not apply to any portion of the
  855  consideration received by any person in connection with the
  856  issuance of any service warranty contract upon which such person
  857  is required to pay any premium tax imposed under the Florida
  858  Insurance Code or under s. 634.313(1).
  859         (7)(8) If a transaction involves both the issuance of a
  860  service warranty that is subject to such tax and the issuance of
  861  a warranty, guaranty, extended warranty or extended guaranty,
  862  contract, agreement, or other written promise that is not
  863  subject to such tax, the consideration shall be separately
  864  identified and stated with respect to the taxable and nontaxable
  865  portions of the transaction. If the consideration is separately
  866  apportioned and identified in good faith, such tax shall apply
  867  to the transaction to the extent that the consideration received
  868  or to be received in connection with the transaction is payment
  869  for a service warranty subject to such tax. If the consideration
  870  is not apportioned in good faith, the department may reform the
  871  contract; such reformation by the department is to be considered
  872  prima facie correct, and the burden to show the contrary rests
  873  upon the dealer. If the consideration for such a transaction is
  874  not separately identified and stated, the entire transaction is
  875  taxable.
  876         (8)(9) Any claim which arises under a service warranty
  877  taxable under this section, which claim is paid directly by the
  878  person issuing such warranty, is not subject to any tax imposed
  879  under this chapter.
  880         (9)(10) Materials and supplies used in the performance of a
  881  factory or manufacturer's warranty are exempt if the contract is
  882  furnished at no extra charge with the equipment guaranteed
  883  thereunder and such materials and supplies are paid for by the
  884  factory or manufacturer.
  885         (10)(11) Any duties imposed by this chapter upon dealers of
  886  tangible personal property with respect to collecting and
  887  remitting taxes; making returns; keeping books, records, and
  888  accounts; and complying with the rules and regulations of the
  889  department apply to all dealers as defined in s. 212.06(2)(l).
  890         Section 6. Section 212.05, Florida Statutes, is amended to
  891  read:
  892         212.05 Sales, storage, use tax.—It is hereby declared to be
  893  the legislative intent that every person is exercising a taxable
  894  privilege who engages in the business of selling tangible
  895  personal property at retail in this state, including the
  896  business of making mail order sales, or who rents or furnishes
  897  any of the things or services taxable under this chapter, or who
  898  stores for use or consumption in this state any item or article
  899  of tangible personal property as defined herein and who leases
  900  or rents such property within the state.
  901         (1) For the exercise of such privilege, a tax is levied on
  902  each taxable transaction or incident, which tax is due and
  903  payable as follows:
  904         (a)1.a. At the rate of 6 percent of the sales price of each
  905  item or article of tangible personal property when sold at
  906  retail in this state, computed on each taxable sale for the
  907  purpose of remitting the amount of tax due the state, and
  908  including each and every retail sale.
  909         b. Each occasional or isolated sale of an aircraft, boat,
  910  mobile home, or motor vehicle of a class or type which is
  911  required to be registered, licensed, titled, or documented in
  912  this state or by the United States Government shall be subject
  913  to tax at the rate provided in this paragraph. The department
  914  shall by rule adopt any nationally recognized publication for
  915  valuation of used motor vehicles as the reference price list for
  916  any used motor vehicle which is required to be licensed pursuant
  917  to s. 320.08(1), (2), (3)(a), (b), (c), or (e), or (9). If any
  918  party to an occasional or isolated sale of such a vehicle
  919  reports to the tax collector a sales price which is less than 80
  920  percent of the average loan price for the specified model and
  921  year of such vehicle as listed in the most recent reference
  922  price list, the tax levied under this paragraph shall be
  923  computed by the department on such average loan price unless the
  924  parties to the sale have provided to the tax collector an
  925  affidavit signed by each party, or other substantial proof,
  926  stating the actual sales price. Any party to such sale who
  927  reports a sales price less than the actual sales price is guilty
  928  of a misdemeanor of the first degree, punishable as provided in
  929  s. 775.082 or s. 775.083. The department shall collect or
  930  attempt to collect from such party any delinquent sales taxes.
  931  In addition, such party shall pay any tax due and any penalty
  932  and interest assessed plus a penalty equal to twice the amount
  933  of the additional tax owed. Notwithstanding any other provision
  934  of law, the Department of Revenue may waive or compromise any
  935  penalty imposed pursuant to this subparagraph.
  936         2. This paragraph does not apply to the sale of a boat or
  937  aircraft by or through a registered dealer under this chapter to
  938  a purchaser who, at the time of taking delivery, is a
  939  nonresident of this state, does not make his or her permanent
  940  place of abode in this state, and is not engaged in carrying on
  941  in this state any employment, trade, business, or profession in
  942  which the boat or aircraft will be used in this state, or is a
  943  corporation none of the officers or directors of which is a
  944  resident of, or makes his or her permanent place of abode in,
  945  this state, or is a noncorporate entity that has no individual
  946  vested with authority to participate in the management,
  947  direction, or control of the entity's affairs who is a resident
  948  of, or makes his or her permanent abode in, this state. For
  949  purposes of this exemption, either a registered dealer acting on
  950  his or her own behalf as seller, a registered dealer acting as
  951  broker on behalf of a seller, or a registered dealer acting as
  952  broker on behalf of the purchaser may be deemed to be the
  953  selling dealer. This exemption shall not be allowed unless:
  954         a. The purchaser removes a qualifying boat, as described in
  955  sub-subparagraph f., from the state within 90 days after the
  956  date of purchase or the purchaser removes a nonqualifying boat
  957  or an aircraft from this state within 10 days after the date of
  958  purchase or, when the boat or aircraft is repaired or altered,
  959  within 20 days after completion of the repairs or alterations;
  960         b. The purchaser, within 30 days from the date of
  961  departure, shall provide the department with written proof that
  962  the purchaser licensed, registered, titled, or documented the
  963  boat or aircraft outside the state. If such written proof is
  964  unavailable, within 30 days the purchaser shall provide proof
  965  that the purchaser applied for such license, title,
  966  registration, or documentation. The purchaser shall forward to
  967  the department proof of title, license, registration, or
  968  documentation upon receipt.
  969         c. The purchaser, within 10 days of removing the boat or
  970  aircraft from Florida, shall furnish the department with proof
  971  of removal in the form of receipts for fuel, dockage, slippage,
  972  tie-down, or hangaring from outside of Florida. The information
  973  so provided must clearly and specifically identify the boat or
  974  aircraft;
  975         d. The selling dealer, within 5 days of the date of sale,
  976  shall provide to the department a copy of the sales invoice,
  977  closing statement, bills of sale, and the original affidavit
  978  signed by the purchaser attesting that he or she has read the
  979  provisions of this section;
  980         e. The seller makes a copy of the affidavit a part of his
  981  or her record for as long as required by s. 213.35; and
  982         f. Unless the nonresident purchaser of a boat of 5 net tons
  983  of admeasurement or larger intends to remove the boat from this
  984  state within 10 days after the date of purchase or when the boat
  985  is repaired or altered, within 20 days after completion of the
  986  repairs or alterations, the nonresident purchaser shall apply to
  987  the selling dealer for a decal which authorizes 90 days after
  988  the date of purchase for removal of the boat. The department is
  989  authorized to issue decals in advance to dealers. The number of
  990  decals issued in advance to a dealer shall be consistent with
  991  the volume of the dealer's past sales of boats which qualify
  992  under this sub-subparagraph. The selling dealer or his or her
  993  agent shall mark and affix the decals to qualifying boats in the
  994  manner prescribed by the department, prior to delivery of the
  995  boat.
  996         (I) The department is hereby authorized to charge dealers a
  997  fee sufficient to recover the costs of decals issued.
  998         (II) The proceeds from the sale of decals will be deposited
  999  into the administrative trust fund.
 1000         (III) Decals shall display information to identify the boat
 1001  as a qualifying boat under this sub-subparagraph, including, but
 1002  not limited to, the decal's date of expiration.
 1003         (IV) The department is authorized to require dealers who
 1004  purchase decals to file reports with the department and may
 1005  prescribe all necessary records by rule. All such records are
 1006  subject to inspection by the department.
 1007         (V) Any dealer or his or her agent who issues a decal
 1008  falsely, fails to affix a decal, mismarks the expiration date of
 1009  a decal, or fails to properly account for decals will be
 1010  considered prima facie to have committed a fraudulent act to
 1011  evade the tax and will be liable for payment of the tax plus a
 1012  mandatory penalty of 200 percent of the tax, and shall be liable
 1013  for fine and punishment as provided by law for a conviction of a
 1014  misdemeanor of the first degree, as provided in s. 775.082 or s.
 1015  775.083.
 1016         (VI) Any nonresident purchaser of a boat who removes a
 1017  decal prior to permanently removing the boat from the state, or
 1018  defaces, changes, modifies, or alters a decal in a manner
 1019  affecting its expiration date prior to its expiration, or who
 1020  causes or allows the same to be done by another, will be
 1021  considered prima facie to have committed a fraudulent act to
 1022  evade the tax and will be liable for payment of the tax plus a
 1023  mandatory penalty of 200 percent of the tax, and shall be liable
 1024  for fine and punishment as provided by law for a conviction of a
 1025  misdemeanor of the first degree, as provided in s. 775.082 or s.
 1026  775.083.
 1027         (VII) The department is authorized to adopt rules necessary
 1028  to administer and enforce this subparagraph and to publish the
 1029  necessary forms and instructions.
 1030         (VIII) The department is hereby authorized to adopt
 1031  emergency rules pursuant to s. 120.54(4) to administer and
 1032  enforce the provisions of this subparagraph.
 1033  If the purchaser fails to remove the qualifying boat from this
 1034  state within 90 days after purchase or a nonqualifying boat or
 1035  an aircraft from this state within 10 days after purchase or,
 1036  when the boat or aircraft is repaired or altered, within 20 days
 1037  after completion of such repairs or alterations, or permits the
 1038  boat or aircraft to return to this state within 6 months from
 1039  the date of departure, or if the purchaser fails to furnish the
 1040  department with any of the documentation required by this
 1041  subparagraph within the prescribed time period, the purchaser
 1042  shall be liable for use tax on the cost price of the boat or
 1043  aircraft and, in addition thereto, payment of a penalty to the
 1044  Department of Revenue equal to the tax payable. This penalty
 1045  shall be in lieu of the penalty imposed by s. 212.12(2) and is
 1046  mandatory and shall not be waived by the department. The 90-day
 1047  period following the sale of a qualifying boat tax-exempt to a
 1048  nonresident may not be tolled for any reason. Notwithstanding
 1049  other provisions of this paragraph to the contrary, an aircraft
 1050  purchased in this state under the provisions of this paragraph
 1051  may be returned to this state for repairs within 6 months after
 1052  the date of its departure without being in violation of the law
 1053  and without incurring liability for the payment of tax or
 1054  penalty on the purchase price of the aircraft if the aircraft is
 1055  removed from this state within 20 days after the completion of
 1056  the repairs and if such removal can be demonstrated by invoices
 1057  for fuel, tie-down, hangar charges issued by out-of-state
 1058  vendors or suppliers, or similar documentation.
 1059         (b) At the rate of 6 percent of the cost price of each item
 1060  or article of tangible personal property when the same is not
 1061  sold but is used, consumed, distributed, or stored for use or
 1062  consumption in this state; however, for tangible property
 1063  originally purchased exempt from tax for use exclusively for
 1064  lease and which is converted to the owner's own use, tax may be
 1065  paid on the fair market value of the property at the time of
 1066  conversion. If the fair market value of the property cannot be
 1067  determined, use tax at the time of conversion shall be based on
 1068  the owner's acquisition cost. Under no circumstances may the
 1069  aggregate amount of sales tax from leasing the property and use
 1070  tax due at the time of conversion be less than the total sales
 1071  tax that would have been due on the original acquisition cost
 1072  paid by the owner.
 1073         (c) At the rate of 6 percent of the gross proceeds derived
 1074  from the lease or rental of tangible personal property, as
 1075  defined herein.; however, the following special provisions apply
 1076  to the lease or rental of motor vehicles:
 1077         1.When a motor vehicle is leased or rented for a period of
 1078  less than 12 months:
 1079         a.If the motor vehicle is rented in Florida, the entire
 1080  amount of such rental is taxable, even if the vehicle is dropped
 1081  off in another state.
 1082         b.If the motor vehicle is rented in another state and
 1083  dropped off in Florida, the rental is exempt from Florida tax.
 1084         2.Except as provided in subparagraph 3., for the lease or
 1085  rental of a motor vehicle for a period of not less than 12
 1086  months, sales tax is due on the lease or rental payments if the
 1087  vehicle is registered in this state; provided, however, that no
 1088  tax shall be due if the taxpayer documents use of the motor
 1089  vehicle outside this state and tax is being paid on the lease or
 1090  rental payments in another state.
 1091         3.The tax imposed by this chapter does not apply to the
 1092  lease or rental of a commercial motor vehicle as defined in s.
 1093  316.003(66)(a) to one lessee or rentee for a period of not less
 1094  than 12 months when tax was paid on the purchase price of such
 1095  vehicle by the lessor. To the extent tax was paid with respect
 1096  to the purchase of such vehicle in another state, territory of
 1097  the United States, or the District of Columbia, the Florida tax
 1098  payable shall be reduced in accordance with the provisions of s.
 1099  212.06(7). This subparagraph shall only be available when the
 1100  lease or rental of such property is an established business or
 1101  part of an established business or the same is incidental or
 1102  germane to such business.
 1103         (d) At the rate of 6 percent of the lease or rental price
 1104  paid by a lessee or rentee, or contracted or agreed to be paid
 1105  by a lessee or rentee, to the owner of the tangible personal
 1106  property.
 1107         (e)
 1108         1. At the rate of 6 percent on charges for:
 1109         a. Prepaid calling arrangements. The tax on charges for
 1110  prepaid calling arrangements shall be collected at the time of
 1111  sale and remitted by the selling dealer.
 1112         (I) “Prepaid calling arrangement” means the separately
 1113  stated retail sale by advance payment of communications services
 1114  that consist exclusively of telephone calls originated by using
 1115  an access number, authorization code, or other means that may be
 1116  manually, electronically, or otherwise entered and that are sold
 1117  in predetermined units or dollars whose number declines with use
 1118  in a known amount.
 1119         (II) The sale or recharge of the prepaid calling
 1120  arrangement is deemed to take place in accordance with s.
 1121  212.06(17)(d). If the sale or recharge of the prepaid calling
 1122  arrangement does not take place at the dealer's place of
 1123  business, it shall be deemed to take place at the customer's
 1124  shipping address or, if no item is shipped, at the customer's
 1125  address or the location associated with the customer's mobile
 1126  telephone number.
 1127         (III) The sale or recharge of a prepaid calling arrangement
 1128  shall be treated as a sale of tangible personal property for
 1129  purposes of this chapter, whether or not a tangible item
 1130  evidencing such arrangement is furnished to the purchaser, and
 1131  such sale within this state subjects the selling dealer to the
 1132  jurisdiction of this state for purposes of this subsection.
 1133         b. The installation of telecommunication and telegraphic
 1134  equipment.
 1135         c. Electrical power or energy, except that the tax rate for
 1136  charges for electrical power or energy is 7 percent.
 1137         2. The provisions of s. 212.17(3), regarding credit for tax
 1138  paid on charges subsequently found to be worthless, shall be
 1139  equally applicable to any tax paid under the provisions of this
 1140  section on charges for prepaid calling arrangements,
 1141  telecommunication or telegraph services, or electric power
 1142  subsequently found to be uncollectible. The word “charges” in
 1143  this paragraph does not include any excise or similar tax levied
 1144  by the Federal Government, any political subdivision of the
 1145  state, or any municipality upon the purchase, sale, or recharge
 1146  of prepaid calling arrangements or upon the purchase or sale of
 1147  telecommunication, television system program, or telegraph
 1148  service or electric power, which tax is collected by the seller
 1149  from the purchaser.
 1150         (f) At the rate of 6 percent on the sale, rental, use,
 1151  consumption, or storage for use in this state of machines and
 1152  equipment, and parts and accessories therefor, used in
 1153  manufacturing, processing, compounding, producing, mining, or
 1154  quarrying personal property for sale or to be used in furnishing
 1155  communications, transportation, or public utility services.
 1156         (g)1. At the rate of 6 percent on the retail price of
 1157  newspapers and magazines sold or used in Florida.
 1158         2. Notwithstanding other provisions of this chapter,
 1159  inserts of printed materials which are distributed with a
 1160  newspaper or magazine are a component part of the newspaper or
 1161  magazine, and neither the sale nor use of such inserts is
 1162  subject to tax when:
 1163         a. Printed by a newspaper or magazine publisher or
 1164  commercial printer and distributed as a component part of a
 1165  newspaper or magazine, which means that the items after being
 1166  printed are delivered directly to a newspaper or magazine
 1167  publisher by the printer for inclusion in editions of the
 1168  distributed newspaper or magazine;
 1169         b. Such publications are labeled as part of the designated
 1170  newspaper or magazine publication into which they are to be
 1171  inserted; and
 1172         c. The purchaser of the insert presents a resale
 1173  certificate to the vendor stating that the inserts are to be
 1174  distributed as a component part of a newspaper or magazine.
 1175         (h)1. A tax is imposed at the rate of 6 4 percent on the
 1176  charges for the use of coin-operated amusement machines. The tax
 1177  shall be calculated by dividing the gross receipts from such
 1178  charges for the applicable reporting period by a divisor,
 1179  determined as provided in this subparagraph, to compute gross
 1180  taxable sales, and then subtracting gross taxable sales from
 1181  gross receipts to arrive at the amount of tax due. For counties
 1182  that do not impose a discretionary sales surtax, the divisor is
 1183  equal to 1.06 1.04; for counties that impose a 0.5 percent
 1184  discretionary sales surtax, the divisor is equal to 1.065 1.045;
 1185  for counties that impose a 1 percent discretionary sales surtax,
 1186  the divisor is equal to 1.07 1.050; and for counties that impose
 1187  a 2 percent sales surtax, the divisor is equal to 1.08 1.060. If
 1188  a county imposes a discretionary sales surtax that is not listed
 1189  in this subparagraph, the department shall make the applicable
 1190  divisor available in an electronic format or otherwise.
 1191  Additional divisors shall bear the same mathematical
 1192  relationship to the next higher and next lower divisors as the
 1193  new surtax rate bears to the next higher and next lower surtax
 1194  rates for which divisors have been established. When a machine
 1195  is activated by a slug, token, coupon, or any similar device
 1196  which has been purchased, the tax is on the price paid by the
 1197  user of the device for such device.
 1198         2. As used in this paragraph, the term “operator” means any
 1199  person who possesses a coin-operated amusement machine for the
 1200  purpose of generating sales through that machine and who is
 1201  responsible for removing the receipts from the machine.
 1202         a. If the owner of the machine is also the operator of it,
 1203  he or she shall be liable for payment of the tax without any
 1204  deduction for rent or a license fee paid to a location owner for
 1205  the use of any real property on which the machine is located.
 1206         b. If the owner or lessee of the machine is also its
 1207  operator, he or she shall be liable for payment of the tax on
 1208  the purchase or lease of the machine, as well as the tax on
 1209  sales generated through the machine.
 1210         c. If the proprietor of the business where the machine is
 1211  located does not own the machine, he or she shall be deemed to
 1212  be the lessee and operator of the machine and is responsible for
 1213  the payment of the tax on sales, unless such responsibility is
 1214  otherwise provided for in a written agreement between him or her
 1215  and the machine owner.
 1216         3.a. An operator of a coin-operated amusement machine may
 1217  not operate or cause to be operated in this state any such
 1218  machine until the operator has registered with the department
 1219  and has conspicuously displayed an identifying certificate
 1220  issued by the department. The identifying certificate shall be
 1221  issued by the department upon application from the operator. The
 1222  identifying certificate shall include a unique number, and the
 1223  certificate shall be permanently marked with the operator's
 1224  name, the operator's sales tax number, and the maximum number of
 1225  machines to be operated under the certificate. An identifying
 1226  certificate shall not be transferred from one operator to
 1227  another. The identifying certificate must be conspicuously
 1228  displayed on the premises where the coin-operated amusement
 1229  machines are being operated.
 1230         b. The operator of the machine must obtain an identifying
 1231  certificate before the machine is first operated in the state
 1232  and by July 1 of each year thereafter. The annual fee for each
 1233  certificate shall be based on the number of machines identified
 1234  on the application times $30 and is due and payable upon
 1235  application for the identifying device. The application shall
 1236  contain the operator's name, sales tax number, business address
 1237  where the machines are being operated, and the number of
 1238  machines in operation at that place of business by the operator.
 1239  No operator may operate more machines than are listed on the
 1240  certificate. A new certificate is required if more machines are
 1241  being operated at that location than are listed on the
 1242  certificate. The fee for the new certificate shall be based on
 1243  the number of additional machines identified on the application
 1244  form times $30.
 1245         c. A penalty of $250 per machine is imposed on the operator
 1246  for failing to properly obtain and display the required
 1247  identifying certificate. A penalty of $250 is imposed on the
 1248  lessee of any machine placed in a place of business without a
 1249  proper current identifying certificate. Such penalties shall
 1250  apply in addition to all other applicable taxes, interest, and
 1251  penalties.
 1252         d. Operators of coin-operated amusement machines must
 1253  obtain a separate sales and use tax certificate of registration
 1254  for each county in which such machines are located. One sales
 1255  and use tax certificate of registration is sufficient for all of
 1256  the operator's machines within a single county.
 1257         4. The provisions of this paragraph do not apply to coin
 1258  operated amusement machines owned and operated by churches or
 1259  synagogues.
 1260         5. In addition to any other penalties imposed by this
 1261  chapter, a person who knowingly and willfully violates any
 1262  provision of this paragraph commits a misdemeanor of the second
 1263  degree, punishable as provided in s. 775.082 or s. 775.083.
 1264         6. The department may adopt rules necessary to administer
 1265  the provisions of this paragraph.
 1266         (i)1. At the rate of 6 percent on charges for all:
 1267         a. Detective, burglar protection, and other protection
 1268  services (SIC Industry Numbers 7381 and 7382). Any law
 1269  enforcement officer, as defined in s. 943.10, who is performing
 1270  approved duties as determined by his or her local law
 1271  enforcement agency in his or her capacity as a law enforcement
 1272  officer, and who is subject to the direct and immediate command
 1273  of his or her law enforcement agency, and in the law enforcement
 1274  officer's uniform as authorized by his or her law enforcement
 1275  agency, is performing law enforcement and public safety services
 1276  and is not performing detective, burglar protection, or other
 1277  protective services, if the law enforcement officer is
 1278  performing his or her approved duties in a geographical area in
 1279  which the law enforcement officer has arrest jurisdiction. Such
 1280  law enforcement and public safety services are not subject to
 1281  tax irrespective of whether the duty is characterized as “extra
 1282  duty,” “off-duty,” or “secondary employment,” and irrespective
 1283  of whether the officer is paid directly or through the officer's
 1284  agency by an outside source. The term “law enforcement officer”
 1285  includes full-time or part-time law enforcement officers, and
 1286  any auxiliary law enforcement officer, when such auxiliary law
 1287  enforcement officer is working under the direct supervision of a
 1288  full-time or part-time law enforcement officer.
 1289         b. Nonresidential cleaning and nonresidential pest control
 1290  services (SIC Industry Group Number 734).
 1291         2. As used in this paragraph, “SIC” means those
 1292  classifications contained in the Standard Industrial
 1293  Classification Manual, 1987, as published by the Office of
 1294  Management and Budget, Executive Office of the President.
 1295         3. Charges for detective, burglar protection, and other
 1296  protection security services performed in this state but used
 1297  outside this state are exempt from taxation. Charges for
 1298  detective, burglar protection, and other protection security
 1299  services performed outside this state and used in this state are
 1300  subject to tax.
 1301         4. If a transaction involves both the sale or use of a
 1302  service taxable under this paragraph and the sale or use of a
 1303  service or any other item not taxable under this chapter, the
 1304  consideration paid must be separately identified and stated with
 1305  respect to the taxable and exempt portions of the transaction or
 1306  the entire transaction shall be presumed taxable. The burden
 1307  shall be on the seller of the service or the purchaser of the
 1308  service, whichever applicable, to overcome this presumption by
 1309  providing documentary evidence as to which portion of the
 1310  transaction is exempt from tax. The department is authorized to
 1311  adjust the amount of consideration identified as the taxable and
 1312  exempt portions of the transaction; however, a determination
 1313  that the taxable and exempt portions are inaccurately stated and
 1314  that the adjustment is applicable must be supported by
 1315  substantial competent evidence.
 1316         5. Each seller of services subject to sales tax pursuant to
 1317  this paragraph shall maintain a monthly log showing each
 1318  transaction for which sales tax was not collected because the
 1319  services meet the requirements of subparagraph 3. for out-of
 1320  state use. The log must identify the purchaser's name, location
 1321  and mailing address, and federal employer identification number,
 1322  if a business, or the social security number, if an individual,
 1323  the service sold, the price of the service, the date of sale,
 1324  the reason for the exemption, and the sales invoice number. The
 1325  monthly log shall be maintained pursuant to the same
 1326  requirements and subject to the same penalties imposed for the
 1327  keeping of similar records pursuant to this chapter.
 1328         (j)1. Notwithstanding any other provision of this chapter,
 1329  there is hereby levied a tax on the sale, use, consumption, or
 1330  storage for use in this state of any coin or currency, whether
 1331  in circulation or not, when such coin or currency:
 1332         a. Is not legal tender;
 1333         b. If legal tender, is sold, exchanged, or traded at a rate
 1334  in excess of its face value; or
 1335         c. Is sold, exchanged, or traded at a rate based on its
 1336  precious metal content.
 1337         2. Such tax shall be at a rate of 6 percent of the price at
 1338  which the coin or currency is sold, exchanged, or traded, except
 1339  that, with respect to a coin or currency which is legal tender
 1340  of the United States and which is sold, exchanged, or traded,
 1341  such tax shall not be levied.
 1342         3. There are exempt from this tax exchanges of coins or
 1343  currency which are in general circulation in, and legal tender
 1344  of, one nation for coins or currency which are in general
 1345  circulation in, and legal tender of, another nation when
 1346  exchanged solely for use as legal tender and at an exchange rate
 1347  based on the relative value of each as a medium of exchange.
 1348         4. With respect to any transaction that involves the sale
 1349  of coins or currency taxable under this paragraph in which the
 1350  taxable amount represented by the sale of such coins or currency
 1351  exceeds $500, the entire amount represented by the sale of such
 1352  coins or currency is exempt from the tax imposed under this
 1353  paragraph. The dealer must maintain proper documentation, as
 1354  prescribed by rule of the department, to identify that portion
 1355  of a transaction which involves the sale of coins or currency
 1356  and is exempt under this subparagraph.
 1357         (k) At the rate of 6 percent of the sales price of each
 1358  gallon of diesel fuel not taxed under chapter 206 purchased for
 1359  use in a vessel.
 1360         (l) Florists located in this state are liable for sales tax
 1361  on sales to retail customers regardless of where or by whom the
 1362  items sold are to be delivered. Florists located in this state
 1363  are not liable for sales tax on payments received from other
 1364  florists for items delivered to customers in this state.
 1365         (m) Operators of game concessions or other concessionaires
 1366  who customarily award tangible personal property as prizes may,
 1367  in lieu of paying tax on the cost price of such property, pay
 1368  tax on 25 percent of the gross receipts from such concession
 1369  activity.
 1370         (2) The tax shall be collected by the dealer, as defined
 1371  herein, and remitted by the dealer to the state at the time and
 1372  in the manner as hereinafter provided.
 1373         (3) The tax so levied is in addition to all other taxes,
 1374  whether levied in the form of excise, license, or privilege
 1375  taxes, and in addition to all other fees and taxes levied.
 1376         (4)The tax imposed pursuant to this chapter shall be due
 1377  and payable according to the brackets set forth in s. 212.12.
 1378         Section 7. Section 212.054, Florida Statutes, is amended to
 1379  read:
 1380         212.054 Discretionary sales surtax; limitations,
 1381  administration, and collection.—
 1382         (1) A No general excise tax on sales may not shall be
 1383  levied by the governing body of any county unless specifically
 1384  authorized in s. 212.055. Any general excise tax on sales
 1385  authorized pursuant to said section shall be administered and
 1386  collected exclusively as provided in this section.
 1387         (2)(a) The tax imposed by the governing body of any county
 1388  authorized to so levy pursuant to s. 212.055 shall be a
 1389  discretionary surtax on all transactions occurring in the county
 1390  which transactions are subject to the state tax imposed on
 1391  sales, use, services, rentals, admissions, and other
 1392  transactions by this chapter and communications services as
 1393  defined for purposes of chapter 202. The surtax, if levied,
 1394  shall be computed as the applicable rate or rates authorized
 1395  pursuant to s. 212.055 times the amount of taxable sales and
 1396  taxable purchases representing such transactions. If the surtax
 1397  is levied on the sale of an item of tangible personal property
 1398  or on the sale of a service, the surtax shall be computed by
 1399  multiplying the rate imposed by the county within which the sale
 1400  occurs by the amount of the taxable sale. The sale of an item of
 1401  tangible personal property or the sale of a service is not
 1402  subject to the surtax if the property, the service, or the
 1403  tangible personal property representing the service is delivered
 1404  within a county that does not impose a discretionary sales
 1405  surtax.
 1406         (b) However:
 1407         1. The sales amount above $5,000 on a motor vehicle,
 1408  aircraft, boat, manufactured home, modular home, or mobile home
 1409  is any item of tangible personal property shall not be subject
 1410  to the surtax. However, charges for prepaid calling
 1411  arrangements, as defined in s. 212.05(1)(e)1.a., shall be
 1412  subject to the surtax. For purposes of administering the $5,000
 1413  limitation on an item of tangible personal property, if two or
 1414  more taxable items of tangible personal property are sold to the
 1415  same purchaser at the same time and, under generally accepted
 1416  business practice or industry standards or usage, are normally
 1417  sold in bulk or are items that, when assembled, comprise a
 1418  working unit or part of a working unit, such items must be
 1419  considered a single item for purposes of the $5,000 limitation
 1420  when supported by a charge ticket, sales slip, invoice, or other
 1421  tangible evidence of a single sale or rental.
 1422         2. In the case of utility services covering a period
 1423  starting before and ending after the effective date of the
 1424  surtax, the rate applies as follows:
 1425         a.In the case of a rate adoption or increase, the new rate
 1426  applies to the first billing period starting on or after the
 1427  effective date of the surtax adoption or increase.
 1428         b.In the case of a rate decrease or termination, the new
 1429  rate applies to bills rendered on or after the effective date of
 1430  the rate change billed on or after the effective date of any
 1431  such surtax, the entire amount of the charge for utility
 1432  services shall be subject to the surtax. In the case of utility
 1433  services billed after the last day the surtax is in effect, the
 1434  entire amount of the charge on said items shall not be subject
 1435  to the surtax. “Utility service,” as used in this section, does
 1436  not include any communications services as defined in chapter
 1437  202.
 1438         3. In the case of written contracts which are signed prior
 1439  to the effective date of any such surtax for the construction of
 1440  improvements to real property or for remodeling of existing
 1441  structures, the surtax shall be paid by the contractor
 1442  responsible for the performance of the contract. However, the
 1443  contractor may apply for one refund of any such surtax paid on
 1444  materials necessary for the completion of the contract. Any
 1445  application for refund shall be made no later than 15 months
 1446  following initial imposition of the surtax in that county. The
 1447  application for refund shall be in the manner prescribed by the
 1448  department by rule. A complete application shall include proof
 1449  of the written contract and of payment of the surtax. The
 1450  application shall contain a sworn statement, signed by the
 1451  applicant or its representative, attesting to the validity of
 1452  the application. The department shall, within 30 days after
 1453  approval of a complete application, certify to the county
 1454  information necessary for issuance of a refund to the applicant.
 1455  Counties are hereby authorized to issue refunds for this purpose
 1456  and shall set aside from the proceeds of the surtax a sum
 1457  sufficient to pay any refund lawfully due. Any person who
 1458  fraudulently obtains or attempts to obtain a refund pursuant to
 1459  this subparagraph, in addition to being liable for repayment of
 1460  any refund fraudulently obtained plus a mandatory penalty of 100
 1461  percent of the refund, is guilty of a felony of the third
 1462  degree, punishable as provided in s. 775.082, s. 775.083, or s.
 1463  775.084.
 1464         4. In the case of any vessel, railroad, or motor vehicle
 1465  common carrier entitled to partial exemption from tax imposed
 1466  under this chapter pursuant to s. 212.08(4), (8), or (9), the
 1467  basis for imposition of surtax shall be the same as provided in
 1468  s. 212.08 and the ratio shall be applied each month to total
 1469  purchases in this state of property qualified for proration
 1470  which is delivered or sold in the taxing county to establish the
 1471  portion used and consumed in intracounty movement and subject to
 1472  surtax.
 1473         (3)Except as otherwise provided in this section, a surtax
 1474  applies to a retail sale, lease, or rental of tangible personal
 1475  property, a digital good, or a service when, under s. 212.06(3),
 1476  the transaction occurs in a county that imposes a surtax under
 1477  s. 212.055.
 1478         (4)(3)To determine whether a transaction occurs in a
 1479  county imposing a surtax, the following provisions apply For the
 1480  purpose of this section, a transaction shall be deemed to have
 1481  occurred in a county imposing the surtax when:
 1482         (a)1. The retail sale of a modular or manufactured home,
 1483  not including a mobile home, occurs in the county to which the
 1484  house is delivered includes an item of tangible personal
 1485  property, a service, or tangible personal property representing
 1486  a service, and the item of tangible personal property, the
 1487  service, or the tangible personal property representing the
 1488  service is delivered within the county. If there is no
 1489  reasonable evidence of delivery of a service, the sale of a
 1490  service is deemed to occur in the county in which the purchaser
 1491  accepts the bill of sale.
 1492         (b)2. The retail sale, excluding a lease or rental, of any
 1493  motor vehicle that does not qualify as transportation equipment,
 1494  as defined in s. 212.06(3)(g), or the retail sale of a of any
 1495  motor vehicle or mobile home of a class or type that which is
 1496  required to be registered in this state or in any other state is
 1497  shall be deemed to occur have occurred only in the county
 1498  identified from as the residence address of the purchaser on the
 1499  registration or title document for the such property.
 1500         (c)(b)Admission charged for an event occurs The event for
 1501  which an admission is charged is located in the county in which
 1502  the event is held.
 1503         (d)(c)A lease or rental of real property occurs in the
 1504  county in which the real property is located. The consumer of
 1505  utility services is located in the county.
 1506         (e)(d)1. The retail sale, excluding a lease or rental, of
 1507  any aircraft that does not qualify as transportation equipment,
 1508  as defined in s. 212.06(3)(g), or of any boat of a class or type
 1509  that is required to be registered, licensed, titled, or
 1510  documented in this state or by the United States Government
 1511  occurs in the county to which the aircraft or boat is delivered.
 1512         2. The user of any aircraft or boat of a class or type that
 1513  which is required to be registered, licensed, titled, or
 1514  documented in this state or by the United States Government
 1515  imported into the county for use, consumption, distribution, or
 1516  storage to be used or consumed occurs in the county in which the
 1517  user is located in the county.
 1518         3.2. However, it shall be presumed that such items used
 1519  outside the county imposing the surtax for 6 months or longer
 1520  before being imported into the county were not purchased for use
 1521  in the county, except as provided in s. 212.06(8)(b).
 1522         4.3. This paragraph does not apply to the use or
 1523  consumption of items upon which a like tax of equal or greater
 1524  amount has been lawfully imposed and paid outside the county.
 1525         (f)(e) The purchase purchaser of any motor vehicle or
 1526  mobile home of a class or type that which is required to be
 1527  registered in this state occurs in the county identified from
 1528  the residential address of the purchaser is a resident of the
 1529  taxing county as determined by the address appearing on or to be
 1530  reflected on the registration document for the such property.
 1531         (g)(f)1. The use, consumption, distribution, or storage of
 1532  a Any motor vehicle or mobile home of a class or type that which
 1533  is required to be registered in this state and that is imported
 1534  from another state occurs in the county to which it is imported
 1535  into the taxing county by a user residing therein for the
 1536  purpose of use, consumption, distribution, or storage in the
 1537  taxing county.
 1538         2. However, it shall be presumed that such items used
 1539  outside the taxing county for 6 months or longer before being
 1540  imported into the county were not purchased for use in the
 1541  county.
 1542         (g)The real property which is leased or rented is located
 1543  in the county.
 1544         (h) A The transient rental transaction occurs in the county
 1545  in which the rental property is located.
 1546         (i)The delivery of any aircraft or boat of a class or type
 1547  which is required to be registered, licensed, titled, or
 1548  documented in this state or by the United States Government is
 1549  to a location in the county. However, this paragraph does not
 1550  apply to the use or consumption of items upon which a like tax
 1551  of equal or greater amount has been lawfully imposed and paid
 1552  outside the county.
 1553         (i)(j)A transaction occurs in a county imposing the surtax
 1554  if the dealer owing a use tax on purchases or leases is located
 1555  in that the county.
 1556         (k)The delivery of tangible personal property other than
 1557  that described in paragraph (d), paragraph (e), or paragraph (f)
 1558  is made to a location outside the county, but the property is
 1559  brought into the county within 6 months after delivery, in which
 1560  event, the owner must pay the surtax as a use tax.
 1561         (j)(l) The coin-operated amusement or vending machine is
 1562  located in the county.
 1563         (k)(m)An The florist taking the original order to sell
 1564  tangible personal property taken by a florist occurs is located
 1565  in the county in which the florist taking the order is located,
 1566  notwithstanding any other provision of this section.
 1567         (5)(4)(a) The department shall administer, collect, and
 1568  enforce the tax authorized under s. 212.055 pursuant to the same
 1569  procedures used in the administration, collection, and
 1570  enforcement of the general state sales tax imposed under the
 1571  provisions of this chapter, except as provided in this section.
 1572  The provisions of this chapter regarding interest and penalties
 1573  on delinquent taxes shall apply to the surtax. Discretionary
 1574  sales surtaxes shall not be included in the computation of
 1575  estimated taxes pursuant to s. 212.11. Notwithstanding any other
 1576  provision of law, a dealer need not separately state the amount
 1577  of the surtax on the charge ticket, sales slip, invoice, or
 1578  other tangible evidence of sale. For the purposes of this
 1579  section and s. 212.055, the “proceeds” of any surtax means all
 1580  funds collected and received by the department pursuant to a
 1581  specific authorization and levy under s. 212.055, including any
 1582  interest and penalties on delinquent surtaxes.
 1583         (b) The proceeds of a discretionary sales surtax collected
 1584  by the selling dealer located in a county which imposes the
 1585  surtax shall be returned, less the cost of administration, to
 1586  the county where the selling dealer is located. The proceeds
 1587  shall be transferred to the Discretionary Sales Surtax Clearing
 1588  Trust Fund. A separate account shall be established in such
 1589  trust fund for each county imposing a discretionary surtax. The
 1590  amount deducted for the costs of administration shall not exceed
 1591  3 percent of the total revenue generated for all counties
 1592  levying a surtax authorized in s. 212.055. The amount deducted
 1593  for the costs of administration shall be used only for those
 1594  costs which are solely and directly attributable to the surtax.
 1595  The total cost of administration shall be prorated among those
 1596  counties levying the surtax on the basis of the amount collected
 1597  for a particular county to the total amount collected for all
 1598  counties. No later than March 1 of each year, the department
 1599  shall submit a written report which details the expenses and
 1600  amounts deducted for the costs of administration to the
 1601  President of the Senate, the Speaker of the House of
 1602  Representatives, and the governing authority of each county
 1603  levying a surtax. The department shall distribute the moneys in
 1604  the trust fund each month to the appropriate counties, unless
 1605  otherwise provided in s. 212.055.
 1606         (c)1. Any dealer located in a county that does not impose a
 1607  discretionary sales surtax but who collects the surtax due to
 1608  sales of tangible personal property or services delivered
 1609  outside the county shall remit monthly the proceeds of the
 1610  surtax to the department to be deposited into an account in the
 1611  Discretionary Sales Surtax Clearing Trust Fund which is separate
 1612  from the county surtax collection accounts. The department shall
 1613  distribute funds in this account using a distribution factor
 1614  determined for each county that levies a surtax and multiplied
 1615  by the amount of funds in the account and available for
 1616  distribution. The distribution factor for each county equals the
 1617  product of:
 1618         a. The county's latest official population determined
 1619  pursuant to s. 186.901;
 1620         b. The county's rate of surtax; and
 1621         c. The number of months the county has levied a surtax
 1622  during the most recent distribution period;
 1623  divided by the sum of all such products of the counties levying
 1624  the surtax during the most recent distribution period.
 1625         2. The department shall compute distribution factors for
 1626  eligible counties once each quarter and make appropriate
 1627  quarterly distributions.
 1628         3. A county that fails to timely provide the information
 1629  required by this section to the department authorizes the
 1630  department, by such action, to use the best information
 1631  available to it in distributing surtax revenues to the county.
 1632  If this information is unavailable to the department, the
 1633  department may partially or entirely disqualify the county from
 1634  receiving surtax revenues under this paragraph. A county that
 1635  fails to provide timely information waives its right to
 1636  challenge the department's determination of the county's share,
 1637  if any, of revenues provided under this paragraph.
 1638         (5)No discretionary sales surtax or increase or decrease
 1639  in the rate of any discretionary sales surtax shall take effect
 1640  on a date other than January 1. No discretionary sales surtax
 1641  shall terminate on a day other than December 31.
 1642         (6) The governing body of any county levying a
 1643  discretionary sales surtax shall enact an ordinance levying the
 1644  surtax in accordance with the procedures described in s.
 1645  125.66(2).
 1646         (7)(a) Any adoption, repeal, or rate change of the surtax
 1647  by the governing body of any county levying a discretionary
 1648  sales surtax or the school board of any county levying the
 1649  school capital outlay surtax authorized by s. 212.055(6) is
 1650  effective on April 1. A county or school board adopting,
 1651  repealing, or changing the rate of such surtax shall notify the
 1652  department within 10 days after final adoption by ordinance or
 1653  referendum of an adoption, repeal, imposition, termination, or
 1654  rate change of the surtax, but no later than October 20
 1655  immediately preceding such April 1 November 16 prior to the
 1656  effective date. The notice must specify the time period during
 1657  which the surtax will be in effect and the rate and must include
 1658  a copy of the ordinance and such other information as the
 1659  department requires by rule. Failure to timely provide such
 1660  notification to the department shall result in the delay of the
 1661  effective date for a period of 1 year.
 1662         (b) In addition to the notification required by paragraph
 1663  (a), the governing body of any county proposing to levy a
 1664  discretionary sales surtax or the school board of any county
 1665  proposing to levy the school capital outlay surtax authorized by
 1666  s. 212.055(6) shall notify the department by October 1 if the
 1667  referendum or consideration of the ordinance that would result
 1668  in imposition, termination, or rate change of the surtax is
 1669  scheduled to occur on or after October 1 of that year. Failure
 1670  to timely provide such notification to the department shall
 1671  result in the delay of the effective date for a period of 1
 1672  year.
 1673         (c)The department shall provide notice of the adoption,
 1674  repeal, or rate change of the surtax to affected sellers by
 1675  February 1 immediately preceding the April 1 effective date.
 1676         (d)Notwithstanding the date set in an ordinance for the
 1677  termination of a surtax, a surtax terminates only on March 31. A
 1678  surtax imposed before January 1, 2010, for which an ordinance
 1679  provides a different termination date, also terminates on the
 1680  March 31 following the termination date established in the
 1681  ordinance.
 1682         (8) With respect to any motor vehicle or mobile home of a
 1683  class or type which is required to be registered in this state,
 1684  the tax due on a transaction occurring in the taxing county as
 1685  herein provided shall be collected from the purchaser or user
 1686  incident to the titling and registration of such property,
 1687  irrespective of whether such titling or registration occurs in
 1688  the taxing county.
 1689         (9)The department may certify vendor databases and to
 1690  purchase, or otherwise make available, a database, or databases,
 1691  singly or in combination, which describe boundary changes for
 1692  all taxing jurisdictions, including a description of the change
 1693  and the effective date of a boundary change; provide all sales
 1694  and use tax rates by jurisdiction; that assign to each five
 1695  digit and nine-digit zip code the proper rate and jurisdiction
 1696  and apply the lowest combined rate imposed in the zip code area,
 1697  if the area includes more than one tax rate in any level of
 1698  taxing jurisdiction; and that use address-based boundary
 1699  database records for assigning taxing jurisdictions and
 1700  associated tax rates.
 1701         (a)A seller or certified service provider that collects
 1702  and remits the state tax and any local tax imposed by this
 1703  chapter shall be held harmless from any tax, interest, and
 1704  penalties due solely as a result of relying on erroneous data on
 1705  tax rates, boundaries, or taxing jurisdiction assignments
 1706  provided by the state if the seller or certified service
 1707  provider exercises due diligence in applying one or more of the
 1708  following methods to determine the taxing jurisdiction and tax
 1709  rate for a transaction:
 1710         1.Employing an electronic database provided by the
 1711  department under this subsection; or
 1712         2.Employing a state-certified database.
 1713         (b)If a seller or certified service provider is unable to
 1714  determine the applicable rate and jurisdiction using an address
 1715  based database record after exercising due diligence, the seller
 1716  or certified service provider may apply the nine-digit zip code
 1717  designation applicable to a purchaser.
 1718         (c)If a nine-digit zip code designation is not available
 1719  for a street address or if a seller or certified service
 1720  provider is unable to determine the nine-digit zip code
 1721  designation applicable to a purchase after exercising due
 1722  diligence to determine the designation, the seller or certified
 1723  service provider may apply the rate for the five-digit zip code
 1724  area.
 1725         (d)There is a rebuttable presumption that a seller or
 1726  certified service provider has exercised due diligence if the
 1727  seller or certified service provider has attempted to determine
 1728  the tax rate and jurisdiction by using state-certified software
 1729  that makes this assignment from the address and zip code
 1730  information applicable to the purchase.
 1731         (e)There is a rebuttable presumption that a seller or
 1732  certified service provider has exercised due diligence if the
 1733  seller has attempted to determine the nine-digit zip code
 1734  designation by using state-certified software that makes this
 1735  designation from the street address and the five-digit zip code
 1736  applicable to a purchase.
 1737         (f)If a seller or certified service provider does not use
 1738  one of the methods specified in paragraph (a), the seller or
 1739  certified service provider may be held liable to the department
 1740  for tax, interest, and penalties that are due for charging and
 1741  collecting the incorrect amount of tax.
 1742         (10)A purchaser shall be held harmless from tax, interest,
 1743  and penalties for having failed to pay the correct amount of
 1744  sales or use tax due solely as a result of any of the following
 1745  circumstances:
 1746         (a)The seller or certified service provider relied on
 1747  erroneous data on tax rates, boundaries, or taxing jurisdiction
 1748  assignments provided by the department;
 1749         (b)A purchaser holding a direct-pay permit relied on
 1750  erroneous data on tax rates, boundaries, or taxing jurisdiction
 1751  assignments provided by the department or
 1752         (c)A purchaser relied on erroneous data supplied in a
 1753  database described in paragraph (9)(a).
 1754         (11)A seller is not liable for failing to collect tax at
 1755  the new tax rate if:
 1756         (a)The new rate takes effect within 30 days after the new
 1757  rate is enacted;
 1758         (b)The seller collected the tax at the preceding rate;
 1759         (c)The seller's failure to collect the tax at the new rate
 1760  does not extend beyond 30 days after the enactment of the new
 1761  rate; and
 1762         (d)The seller did not fraudulently fail to collect at the
 1763  new rate or solicit purchasers based on the preceding rate.
 1764         Section 8. Paragraph (c) of subsection (2) and subsections
 1765  (3) and (5) of section 212.06, Florida Statutes, are amended,
 1766  and subsection (17) is added to that section, to read:
 1767         212.06 Sales, storage, use tax; collectible from dealers;
 1768  “dealer” defined; dealers to collect from purchasers;
 1769  legislative intent as to scope of tax.—
 1770         (2)
 1771         (c) The term “dealer” is further defined to mean every
 1772  person, as used in this chapter, who sells at retail or who
 1773  offers for sale at retail, or who has in his or her possession
 1774  for sale at retail; or for use, consumption, or distribution; or
 1775  for storage to be used or consumed in this state, tangible
 1776  personal property as defined herein, including a retailer who
 1777  transacts a mail order sale.
 1778         (3)(a) Except as provided in paragraph (b), every dealer
 1779  making sales, whether within or outside the state, of tangible
 1780  personal property for distribution, storage, or use or other
 1781  consumption, in this state, shall, at the time of making sales,
 1782  collect the tax imposed by this chapter from the purchaser.
 1783         (b)1. Notwithstanding subsection (17), a purchaser of
 1784  direct mail which is not a holder of a direct-pay permit shall
 1785  provide to the seller in conjunction with the purchase a direct
 1786  mail form or information to show the jurisdictions to which the
 1787  direct mail is delivered to recipients. Upon receipt of the
 1788  direct-mail form, the seller is relieved of all obligations to
 1789  collect, pay, or remit the applicable tax, and the purchaser is
 1790  obligated to pay or remit the applicable tax on a direct-pay
 1791  basis. A direct-mail form remains in effect for all future sales
 1792  of direct mail by the seller to the purchaser until it is
 1793  revoked in writing.
 1794         2.Upon receipt of information from the purchaser showing
 1795  the jurisdictions to which the direct mail is delivered to
 1796  recipients, the seller shall collect the tax according to the
 1797  delivery information provided by the purchaser. In the absence
 1798  of bad faith, the seller is relieved of any further obligation
 1799  to collect tax on any transaction for which the seller has
 1800  collected tax pursuant to the delivery information provided by
 1801  the purchaser.
 1802         3.If the purchaser of direct mail does not have a direct
 1803  pay permit and does not provide the seller with a direct-mail
 1804  form or delivery information as required by subparagraph 1., the
 1805  seller shall collect the tax according to subparagraph (17)(d)5.
 1806  This paragraph does not limit a purchaser's obligation to remit
 1807  sales or use tax to any state to which the direct mail is
 1808  delivered.
 1809         4.If a purchaser of direct mail provides the seller with
 1810  documentation of direct-pay authority, the purchaser is not
 1811  required to provide a direct-mail form or delivery information
 1812  to the seller. A purchaser of printed materials shall have sole
 1813  responsibility for the taxes imposed by this chapter on those
 1814  materials when the printer of the materials delivers them to the
 1815  United States Postal Service for mailing to persons other than
 1816  the purchaser located within and outside this state. Printers of
 1817  materials delivered by mail to persons other than the purchaser
 1818  located within and outside this state shall have no obligation
 1819  or responsibility for the payment or collection of any taxes
 1820  imposed under this chapter on those materials. However, printers
 1821  are obligated to collect the taxes imposed by this chapter on
 1822  printed materials when all, or substantially all, of the
 1823  materials will be mailed to persons located within this state.
 1824  For purposes of the printer's tax collection obligation, there
 1825  is a rebuttable presumption that all materials printed at a
 1826  facility are mailed to persons located within the same state as
 1827  that in which the facility is located. A certificate provided by
 1828  the purchaser to the printer concerning the delivery of the
 1829  printed materials for that purchase or all purchases shall be
 1830  sufficient for purposes of rebutting the presumption created
 1831  herein.
 1832         5.2. The Department of Revenue is authorized to adopt rules
 1833  and forms to implement the provisions of this paragraph.
 1834         (5)(a)1.Except as provided in subparagraph 2., It is not
 1835  the intention of This chapter does not to levy a tax upon
 1836  tangible personal property imported, produced, or manufactured
 1837  in this state for export if, provided that tangible personal
 1838  property may not be considered as being imported, produced, or
 1839  manufactured for export unless the importer, producer, or
 1840  manufacturer:
 1841         1. Delivers the tangible personal property same to a
 1842  licensed exporter for exporting or to a common carrier for
 1843  shipment outside the state or mails the same by United States
 1844  mail to a destination outside the state; or, in the case of
 1845  aircraft being exported under their own power to a destination
 1846  outside the continental limits of the United States, by
 1847  submission
 1848         2.Submits to the department of a duly signed and validated
 1849  United States customs declaration, showing the departure of an
 1850  the aircraft from the continental United States and; and further
 1851  with respect to aircraft, the canceled United States registry of
 1852  the said aircraft for an aircraft that is exported under its own
 1853  power to a destination outside of the continental United States;
 1854  or in the case of
 1855         3.Submits documentation as required by rule to the
 1856  department showing the departure of an aircraft of foreign
 1857  registry from the continental United States on which parts and
 1858  equipment have been installed on aircraft of foreign registry,
 1859  by submission to the department of documentation, the extent of
 1860  which shall be provided by rule, showing the departure of the
 1861  aircraft from the continental United States; or nor is it the
 1862  intention of this chapter to levy a tax on any sale which
 1863         4.If the state is prohibited from taxing the sale under
 1864  the Constitution or laws of the United States.
 1865  Every retail sale made to a person physically present at the
 1866  time of sale shall be presumed to have been delivered in this
 1867  state.
 1868         2.a.Notwithstanding subparagraph 1., a tax is levied on
 1869  each sale of tangible personal property to be transported to a
 1870  cooperating state as defined in sub-subparagraph c., at the rate
 1871  specified in sub-subparagraph d. However, a Florida dealer will
 1872  be relieved from the requirements of collecting taxes pursuant
 1873  to this subparagraph if the Florida dealer obtains from the
 1874  purchaser an affidavit setting forth the purchaser's name,
 1875  address, state taxpayer identification number, and a statement
 1876  that the purchaser is aware of his or her state's use tax laws,
 1877  is a registered dealer in Florida or another state, or is
 1878  purchasing the tangible personal property for resale or is
 1879  otherwise not required to pay the tax on the transaction. The
 1880  department may, by rule, provide a form to be used for the
 1881  purposes set forth herein.
 1882         b.For purposes of this subparagraph, “a cooperating state”
 1883  is one determined by the executive director of the department to
 1884  cooperate satisfactorily with this state in collecting taxes on
 1885  mail order sales. No state shall be so determined unless it
 1886  meets all the following minimum requirements:
 1887         (I)It levies and collects taxes on mail order sales of
 1888  property transported from that state to persons in this state,
 1889  as described in s. 212.0596, upon request of the department.
 1890         (II)The tax so collected shall be at the rate specified in
 1891  s. 212.05, not including any local option or tourist or
 1892  convention development taxes collected pursuant to s. 125.0104
 1893  or this chapter.
 1894         (III)Such state agrees to remit to the department all
 1895  taxes so collected no later than 30 days from the last day of
 1896  the calendar quarter following their collection.
 1897         (IV)Such state authorizes the department to audit dealers
 1898  within its jurisdiction who make mail order sales that are the
 1899  subject of s. 212.0596, or makes arrangements deemed adequate by
 1900  the department for auditing them with its own personnel.
 1901         (V)Such state agrees to provide to the department records
 1902  obtained by it from retailers or dealers in such state showing
 1903  delivery of tangible personal property into this state upon
 1904  which no sales or use tax has been paid in a manner similar to
 1905  that provided in sub-subparagraph g.
 1906         c.For purposes of this subparagraph, “sales of tangible
 1907  personal property to be transported to a cooperating state”
 1908  means mail order sales to a person who is in the cooperating
 1909  state at the time the order is executed, from a dealer who
 1910  receives that order in this state.
 1911         d.The tax levied by sub-subparagraph a. shall be at the
 1912  rate at which such a sale would have been taxed pursuant to the
 1913  cooperating state's tax laws if consummated in the cooperating
 1914  state by a dealer and a purchaser, both of whom were physically
 1915  present in that state at the time of the sale.
 1916         e.The tax levied by sub-subparagraph a., when collected,
 1917  shall be held in the State Treasury in trust for the benefit of
 1918  the cooperating state and shall be paid to it at a time agreed
 1919  upon between the department, acting for this state, and the
 1920  cooperating state or the department or agency designated by it
 1921  to act for it; however, such payment shall in no event be made
 1922  later than 30 days from the last day of the calendar quarter
 1923  after the tax was collected. Funds held in trust for the benefit
 1924  of a cooperating state shall not be subject to the service
 1925  charges imposed by s. 215.20.
 1926         f.The department is authorized to perform such acts and to
 1927  provide such cooperation to a cooperating state with reference
 1928  to the tax levied by sub-subparagraph a. as is required of the
 1929  cooperating state by sub-subparagraph b.
 1930         g.In furtherance of this act, dealers selling tangible
 1931  personal property for delivery in another state shall make
 1932  available to the department, upon request of the department,
 1933  records of all tangible personal property so sold. Such records
 1934  shall include a description of the property, the name and
 1935  address of the purchaser, the name and address of the person to
 1936  whom the property was sent, the purchase price of the property,
 1937  information regarding whether sales tax was paid in this state
 1938  on the purchase price, and such other information as the
 1939  department may by rule prescribe.
 1940         (b)1. Notwithstanding the provisions of paragraph (a), it
 1941  is not the intention of this chapter to levy a tax on the sale
 1942  of tangible personal property to a nonresident dealer who does
 1943  not hold a Florida sales tax registration, provided such
 1944  nonresident dealer furnishes the seller a statement declaring
 1945  that the tangible personal property will be transported outside
 1946  this state by the nonresident dealer for resale and for no other
 1947  purpose. The statement shall include, but not be limited to, the
 1948  nonresident dealer's name, address, applicable passport or visa
 1949  number, arrival-departure card number, and evidence of authority
 1950  to do business in the nonresident dealer's home state or
 1951  country, such as his or her business name and address,
 1952  occupational license number, if applicable, or any other
 1953  suitable requirement. The statement shall be signed by the
 1954  nonresident dealer and shall include the following sentence:
 1955  “Under penalties of perjury, I declare that I have read the
 1956  foregoing, and the facts alleged are true to the best of my
 1957  knowledge and belief.”
 1958         2. The burden of proof of subparagraph 1. rests with the
 1959  seller, who must retain the proper documentation to support the
 1960  exempt sale. The exempt transaction is subject to verification
 1961  by the department.
 1962         (c) Notwithstanding the provisions of paragraph (a), it is
 1963  not the intention of this chapter to levy a tax on the sale by a
 1964  printer to a nonresident print purchaser of material printed by
 1965  that printer for that nonresident print purchaser when the print
 1966  purchaser does not furnish the printer a resale certificate
 1967  containing a sales tax registration number but does furnish to
 1968  the printer a statement declaring that such material will be
 1969  resold by the nonresident print purchaser.
 1970         (17)This subsection shall be used to determine the
 1971  location where a transaction occurs for purposes of applying the
 1972  tax imposed by this chapter.
 1973         (a)For purposes of this subsection, the terms “receive”
 1974  and “receipt” mean:
 1975         1.Taking possession of tangible personal property;
 1976         2.Making first use of services; or
 1977         3.Taking possession or making first use of digital goods,
 1978  whichever occurs first.
 1979  The terms do not include possession by a shipping company on
 1980  behalf of the purchaser.
 1981         (b)For purposes of this subsection, the term “product”
 1982  means tangible personal property, a digital good, or a service.
 1983         (c)This section does not apply to the sales or use taxes
 1984  levied on:
 1985         1.The retail sale or transfer of a boat, modular home,
 1986  manufactured home, or mobile home.
 1987         2.The retail sale, excluding a lease or rental, of a motor
 1988  vehicle or aircraft that does not qualify as transportation
 1989  equipment, as defined in paragraph (g). The lease or rental of
 1990  these items shall be deemed to have occurred in accordance with
 1991  paragraph (f).
 1992         3.The retail sale of tangible personal property by a
 1993  florist.
 1994  Such retail sales are deemed to take place at the location
 1995  determined under s. 212.054(4).
 1996         (d)The retail sale of a product, excluding a lease or
 1997  rental, shall be deemed to take place:
 1998         1.When the product is received by the purchaser at a
 1999  business location of the seller, at that business location;
 2000         2.When the product is not received by the purchaser at a
 2001  business location of the seller, at the location where receipt
 2002  by the purchaser, or the purchaser's donee, designated as such
 2003  by the purchaser, including the location indicated by
 2004  instructions for delivery to the purchaser or donee, known to
 2005  the seller;
 2006         3.When subparagraphs 1. and 2. do not apply, at the
 2007  location indicated by an address for the purchaser which is
 2008  available from the business records of the seller which are
 2009  maintained in the ordinary course of the seller's business, if
 2010  use of this address does not constitute bad faith;
 2011         4.When subparagraphs 1., 2., and 3. do not apply, at the
 2012  location indicated by an address for the purchaser obtained
 2013  during the consummation of the sale, including the address of a
 2014  purchaser's payment instrument, if no other address is
 2015  available, if use of this address does not constitute bad faith;
 2016  or
 2017         5.When subparagraphs 1., 2., 3., and 4. do not apply,
 2018  including when the seller is without sufficient information to
 2019  apply the previous paragraphs, the address from which tangible
 2020  personal property was shipped, from which the digital good or
 2021  the computer software delivered electronically was first
 2022  available for transmission by the seller, or from which the
 2023  service was provided, disregarding any location that merely
 2024  provided the digital transfer of the product sold.
 2025         (e)The lease or rental of tangible personal property,
 2026  other than property identified in paragraphs (f) and (g), shall
 2027  be deemed to have occurred as follows:
 2028         1.For a lease or rental that requires recurring periodic
 2029  payments, the first periodic payment is deemed to take place in
 2030  accordance with paragraph (d), notwithstanding the exclusion of
 2031  lease or rental in paragraph (d). Subsequent periodic payments
 2032  are deemed to have occurred at the primary property location for
 2033  each period covered by the payment. The primary property
 2034  location is determined by an address for the property provided
 2035  by the lessee which is available to the lessor from its records
 2036  maintained in the ordinary course of business, if use of this
 2037  address does not constitute bad faith. The property location is
 2038  not altered by intermittent use of the property at different
 2039  locations, such as use of business property that accompanies
 2040  employees on business trips and service calls.
 2041         2.For a lease or rental that does not require recurring
 2042  periodic payments, the payment is deemed to take place in
 2043  accordance with paragraph (d), notwithstanding the exclusion of
 2044  a lease or rental in paragraph (d).
 2045         3.This paragraph does not affect the imposition or
 2046  computation of sales or use tax on leases or rentals based on a
 2047  lump sum or accelerated basis or on the acquisition of property
 2048  for lease.
 2049         (f)The lease or rental of a motor vehicle or aircraft that
 2050  does not qualify as transportation equipment, as defined in
 2051  paragraph (g), shall be sourced as follows:
 2052         1.For a lease or rental that requires recurring periodic
 2053  payments, each periodic payment is deemed to take place at the
 2054  primary property location. The primary property location shall
 2055  be determined by an address for the property provided by the
 2056  lessee which is available to the lessor from its records
 2057  maintained in the ordinary course of business, if use of this
 2058  address does not constitute bad faith. This location may not be
 2059  altered by intermittent use at different locations.
 2060         2.For a lease or rental that does not require recurring
 2061  periodic payments, the payment is deemed to take place in
 2062  accordance with paragraph (d), notwithstanding the exclusion of
 2063  a lease or rental in paragraph (d).
 2064         3.This paragraph does not affect the imposition or
 2065  computation of sales or use tax on leases or rentals based on a
 2066  lump sum or accelerated basis or on the acquisition of property
 2067  for lease.
 2068         (g)The retail sale, including a lease or rental, of
 2069  transportation equipment shall be deemed to take place in
 2070  accordance with paragraph (d), notwithstanding the exclusion of
 2071  a lease or rental in paragraph (d). The term “transportation
 2072  equipment” means:
 2073         1.Locomotives and rail cars that are used for the carriage
 2074  of persons or property in interstate commerce;
 2075         2.Trucks and truck tractors with a Gross Vehicle Weight
 2076  Rating (GVWR) of 10,001 pounds or greater, trailers,
 2077  semitrailers, or passenger buses that are registered through the
 2078  International Registration Plan and operated under authority of
 2079  a carrier authorized and certificated by the United States
 2080  Department of Transportation or another federal authority to
 2081  engage in the carriage of persons or property in interstate
 2082  commerce;
 2083         3.Aircraft that are operated by air carriers authorized
 2084  and certificated by the United States Department of
 2085  Transportation or another federal or a foreign authority to
 2086  engage in the carriage of persons or property in interstate or
 2087  foreign commerce; or
 2088         4.Containers designed for use on and component parts
 2089  attached or secured on the items set forth in subparagraphs 1.
 2090  through 3.
 2091         Section 9. Paragraph (c) of subsection (1) of section
 2092  212.07, Florida Statutes, is amended, and subsection (10) is
 2093  added that section, to read:
 2094         212.07 Sales, storage, use tax; tax added to purchase
 2095  price; dealer not to absorb; liability of purchasers who cannot
 2096  prove payment of the tax; penalties; general exemptions.—
 2097         (1)
 2098         (c) Unless the purchaser of tangible personal property that
 2099  is incorporated into tangible personal property manufactured,
 2100  produced, compounded, processed, or fabricated for one's own use
 2101  and subject to the tax imposed under s. 212.06(1)(b) or is
 2102  purchased for export under 212.06(5)(a) s. 212.06(5)(a)1.
 2103  extends a certificate in compliance with the rules of the
 2104  department, the dealer shall himself or herself be liable for
 2105  and pay the tax.
 2106         (10)(a)The executive director is authorized to maintain
 2107  and publish a taxability matrix in a downloadable format that
 2108  has been approved by the governing board of the Steamlined Sales
 2109  and Use Tax Agreement.
 2110         (b)The state shall provide notice of changes to the
 2111  taxability of the products or services listed in the taxability
 2112  matrix.
 2113         (c)A seller or certified service provider who collects and
 2114  remits the state and local tax imposed by this chapter shall be
 2115  held harmless from tax, interest, and penalties for having
 2116  charged and collected the incorrect amount of sales or use tax
 2117  due solely as a result of relying on erroneous data provided by
 2118  the state in the taxability matrix.
 2119         (d)A purchaser shall be held harmless from penalties for
 2120  having failed to pay the correct amount of sales or use tax due
 2121  solely as a result of any of the following circumstances:
 2122         1.The seller or certified service provider relied on
 2123  erroneous data provided by the state in the taxability matrix
 2124  completed by the state;
 2125         2.A purchaser relied on erroneous data provided by the
 2126  state in the taxability matrix completed by the state; or
 2127         3.A purchaser holding a direct-pay permit relied on
 2128  erroneous data provided by the state in the taxability matrix
 2129  completed by the state.
 2130         (e)A purchaser shall be held harmless from tax and
 2131  interest for having failed to pay the correct amount of sales or
 2132  use tax due solely as a result of the state’s erroneous
 2133  classification in the taxability matrix of terms included in the
 2134  library of definitions as “taxable” or “exempt,” “included in
 2135  sales price” or “excluded from sales price,” or “included in the
 2136  definition” or “excluded from the definition.”
 2137         Section 10. Subsections (1) and (2) and paragraphs (b) and
 2138  (c) of subsection (17) of section 212.08, Florida Statutes, are
 2139  amended to read:
 2140         212.08 Sales, rental, use, consumption, distribution, and
 2141  storage tax; specified exemptions.—The sale at retail, the
 2142  rental, the use, the consumption, the distribution, and the
 2143  storage to be used or consumed in this state of the following
 2144  are hereby specifically exempt from the tax imposed by this
 2145  chapter.
 2146         (1) EXEMPTIONS; GENERAL GROCERIES.—
 2147         (a) Food and food ingredients products for human
 2148  consumption are exempt from the tax imposed by this chapter.
 2149         (b) For the purpose of this chapter, as used in this
 2150  subsection, the term “food and food ingredients products” means
 2151  substances, whether in liquid, concentrated, solid, frozen,
 2152  dried, or dehydrated form, which are sold for ingestion or
 2153  chewing by humans and are consumed for their taste or
 2154  nutritional value edible commodities, whether processed, cooked,
 2155  raw, canned, or in any other form, which are generally regarded
 2156  as food. This includes, but is not limited to, all of the
 2157  following:
 2158         1.Cereals and cereal products, baked goods, oleomargarine,
 2159  meat and meat products, fish and seafood products, frozen foods
 2160  and dinners, poultry, eggs and egg products, vegetables and
 2161  vegetable products, fruit and fruit products, spices, salt,
 2162  sugar and sugar products, milk and dairy products, and products
 2163  intended to be mixed with milk.
 2164         2.Natural fruit or vegetable juices or their concentrates
 2165  or reconstituted natural concentrated fruit or vegetable juices,
 2166  whether frozen or unfrozen, dehydrated, powdered, granulated,
 2167  sweetened or unsweetened, seasoned with salt or spice, or
 2168  unseasoned; coffee, coffee substitutes, or cocoa; and tea,
 2169  unless it is sold in a liquid form.
 2170         1.3. Bakery products sold by bakeries, pastry shops, or
 2171  like establishments, if sold without eating utensils. For
 2172  purposes of this subparagraph, bakery products include bread,
 2173  rolls, buns, biscuits, bagels, croissants, pastries, doughnuts,
 2174  danish, cakes, tortes, pies, tarts, muffins, bars, cookies, and
 2175  tortillas that do not have eating facilities.
 2176         2.Dietary supplements. The term “dietary supplements”
 2177  means any product, other than tobacco, intended to supplement
 2178  the diet which contains one or more of the following dietary
 2179  ingredients: a vitamin; a mineral; an herb or other botanical;
 2180  an amino acid; a dietary substance for use by humans to
 2181  supplement the diet by increasing the total dietary intake; or a
 2182  concentrate, metabolite, constituent, extract, or combination of
 2183  any ingredient described in this subparagraph which is intended
 2184  for ingestion in tablet, capsule, powder, softgel, gelcap, or
 2185  liquid form or, if not intended for ingestion in such a form, is
 2186  not represented as conventional food and is not represented for
 2187  use as a sole item of a meal or of the diet, and which is
 2188  required to be labeled as a dietary supplement, identifiable by
 2189  the supplemental facts panel found on the label and as required
 2190  pursuant to 21 C.F.R. s. 101.36.
 2191         (c) The exemption provided by this subsection does not
 2192  apply:
 2193         1.When the food products are sold as meals for consumption
 2194  on or off the premises of the dealer.
 2195         2.When the food products are furnished, prepared, or
 2196  served for consumption at tables, chairs, or counters or from
 2197  trays, glasses, dishes, or other tableware, whether provided by
 2198  the dealer or by a person with whom the dealer contracts to
 2199  furnish, prepare, or serve food products to others.
 2200         3.When the food products are ordinarily sold for immediate
 2201  consumption on the seller's premises or near a location at which
 2202  parking facilities are provided primarily for the use of patrons
 2203  in consuming the products purchased at the location, even though
 2204  such products are sold on a “take out” or “to go” order and are
 2205  actually packaged or wrapped and taken from the premises of the
 2206  dealer.
 2207         4.To sandwiches sold ready for immediate consumption on or
 2208  off the seller's premises.
 2209         5.When the food products are sold ready for immediate
 2210  consumption within a place, the entrance to which is subject to
 2211  an admission charge.
 2212         1.6.To food and food ingredients sold as prepared food.
 2213  The term “prepared food” means:
 2214         a.Food sold in a heated state or heated by the seller;
 2215         b.Two or more food ingredients mixed or combined by the
 2216  seller for sale as a single item; or
 2217         c.Food sold with eating utensils provided by the seller,
 2218  including plates, knives, forks, spoons, glasses, cups, napkins,
 2219  or straws. A plate does not include a container or packaging
 2220  used to transport food. Prepared food does not include food that
 2221  is only cut, repackaged, or pasteurized by the seller, eggs,
 2222  fish meat, poultry, and foods containing these raw animal foods
 2223  requiring cooking by the consumer as recommended by the Food and
 2224  Drug Administration in chapter 3, part 4011 of its food code so
 2225  as to prevent food-borne illness. When the food products are
 2226  sold as hot prepared food products.
 2227         2.7. To soft drinks, which include, but are not limited to,
 2228  any nonalcoholic beverage, any preparation or beverage commonly
 2229  referred to as a “soft drink,” or any noncarbonated drink made
 2230  from milk derivatives or tea, when sold in cans or similar
 2231  containers. The term “soft drinks” means nonalcoholic beverages
 2232  that contain natural or artificial sweeteners. Soft drinks do
 2233  not include beverages that contain milk or milk products, soy,
 2234  rice, or similar milk substitutes, or greater than 50 percent of
 2235  vegetable or fruit juice by volume.
 2236         8.To ice cream, frozen yogurt, and similar frozen dairy or
 2237  nondairy products in cones, small cups, or pints, popsicles,
 2238  frozen fruit bars, or other novelty items, whether or not sold
 2239  separately.
 2240         9.To food prepared, whether on or off the premises, and
 2241  sold for immediate consumption. This does not apply to food
 2242  prepared off the premises and sold in the original sealed
 2243  container, or the slicing of products into smaller portions.
 2244         3.10. When the food and food ingredients products are sold
 2245  through a vending machine, pushcart, motor vehicle, or any other
 2246  form of vehicle.
 2247         4.11. To candy and any similar product regarded as candy or
 2248  confection, based on its normal use, as indicated on the label
 2249  or advertising thereof. The term “candy” means a preparation of
 2250  sugar, honey, or other natural or artificial sweeteners in
 2251  combination with chocolate, fruits, nuts, or other ingredients
 2252  or flavorings in the form of bars, drops, or pieces. Candy does
 2253  not include any preparation that contains flour and does not
 2254  require refrigeration.
 2255         5.To tobacco.
 2256         12.To bakery products sold by bakeries, pastry shops, or
 2257  like establishments that have eating facilities, except when
 2258  sold for consumption off the seller's premises.
 2259         13.When food products are served, prepared, or sold in or
 2260  by restaurants, lunch counters, cafeterias, hotels, taverns, or
 2261  other like places of business.
 2262         (d)As used in this subsection, the term:
 2263         1.“For consumption off the seller's premises” means that
 2264  the food or drink is intended by the customer to be consumed at
 2265  a place away from the dealer's premises.
 2266         2.“For consumption on the seller's premises” means that
 2267  the food or drink sold may be immediately consumed on the
 2268  premises where the dealer conducts his or her business. In
 2269  determining whether an item of food is sold for immediate
 2270  consumption, there shall be considered the customary consumption
 2271  practices prevailing at the selling facility.
 2272         3.“Premises” shall be construed broadly, and means, but is
 2273  not limited to, the lobby, aisle, or auditorium of a theater;
 2274  the seating, aisle, or parking area of an arena, rink, or
 2275  stadium; or the parking area of a drive-in or outdoor theater.
 2276  The premises of a caterer with respect to catered meals or
 2277  beverages shall be the place where such meals or beverages are
 2278  served.
 2279         4.“Hot prepared food products” means those products,
 2280  items, or components which have been prepared for sale in a
 2281  heated condition and which are sold at any temperature that is
 2282  higher than the air temperature of the room or place where they
 2283  are sold. “Hot prepared food products,” for the purposes of this
 2284  subsection, includes a combination of hot and cold food items or
 2285  components where a single price has been established for the
 2286  combination and the food products are sold in such combination,
 2287  such as a hot meal, a hot specialty dish or serving, or a hot
 2288  sandwich or hot pizza, including cold components or side items.
 2289         (d)(e)1. Food or drinks not exempt under paragraphs (a),
 2290  (b), and (c), and (d) shall be exempt, notwithstanding those
 2291  paragraphs, when purchased with food coupons or Special
 2292  Supplemental Food Program for Women, Infants, and Children
 2293  vouchers issued under authority of federal law.
 2294         2. This paragraph is effective only while federal law
 2295  prohibits a state's participation in the federal food coupon
 2296  program or Special Supplemental Food Program for Women, Infants,
 2297  and Children if there is an official determination that state or
 2298  local sales taxes are collected within that state on purchases
 2299  of food or drinks with such coupons.
 2300         3. This paragraph does shall not apply to any food or
 2301  drinks on which federal law permits shall permit sales taxes
 2302  without penalty, such as termination of the state's
 2303  participation.
 2304         (e)Dietary supplements that are sold as prepared food are
 2305  not exempt.
 2306         (2) EXEMPTIONS; MEDICAL.—
 2307         (a) There shall be exempt from the tax imposed by this
 2308  chapter:
 2309         1.Drugs.
 2310         2.Durable medical equipment, mobility-enhancing equipment,
 2311  or prosthetic devices any medical products and supplies or
 2312  medicine dispensed according to an individual prescription or
 2313  prescriptions. written by a prescriber authorized by law to
 2314  prescribe medicinal drugs;
 2315         3. Hypodermic needles.; hypodermic syringes;
 2316         4. Chemical compounds and test kits used for the diagnosis
 2317  or treatment of human disease, illness, or injury and intended
 2318  for one-time use.;
 2319         5.Over-the-counter drugs and common household remedies
 2320  recommended and generally sold for internal or external use in
 2321  the cure, mitigation, treatment, or prevention of illness or
 2322  disease in human beings, but not including grooming and hygiene
 2323  products.
 2324         6.Band-aids, gauze, bandages, and adhesive tape.
 2325         7.Funerals. However, tangible personal property used by
 2326  funeral directors in their business is taxable. cosmetics or
 2327  toilet articles, notwithstanding the presence of medicinal
 2328  ingredients therein, according to a list prescribed and approved
 2329  by the Department of Health, which list shall be certified to
 2330  the Department of Revenue from time to time and included in the
 2331  rules promulgated by the Department of Revenue. There shall also
 2332  be exempt from the tax imposed by this chapter artificial eyes
 2333  and limbs; orthopedic shoes; prescription eyeglasses and items
 2334  incidental thereto or which become a part thereof; dentures;
 2335  hearing aids; crutches; prosthetic and orthopedic appliances;
 2336  and funerals. In addition, any
 2337         8. Items intended for one-time use which transfer essential
 2338  optical characteristics to contact lenses. shall be exempt from
 2339  the tax imposed by this chapter; However, this exemption applies
 2340  shall apply only after $100,000 of the tax imposed by this
 2341  chapter on such items has been paid in any calendar year by a
 2342  taxpayer who claims the exemption in such year. Funeral
 2343  directors shall pay tax on all tangible personal property used
 2344  by them in their business.
 2345         (b) For the purposes of this subsection, the term:
 2346         1. “Drug” means a compound, substance, or preparation, and
 2347  any component of a compound, substance, or preparation, other
 2348  than food and food ingredients, dietary supplements, and
 2349  alcoholic beverages, which is:
 2350         a.Recognized in the official United States Pharmacopoeia,
 2351  official Homeopathic Pharmacopoeia of the United States, or
 2352  official National Formulary, or the supplement to any of them;
 2353         b.Intended for use in the diagnosis, cure, mitigation,
 2354  treatment, or prevention of disease; or
 2355         c.Intended to affect the structure or any function of the
 2356  body.
 2357         2.“Durable medical equipment” means equipment, including
 2358  repair and replacement parts to such equipment, but excluding
 2359  mobility-enhancing equipment, which can withstand repeated use,
 2360  is primarily and customarily used to serve a medical purpose,
 2361  generally is not useful to a person in the absence of illness or
 2362  injury, and is not worn on or in the body.
 2363         3.“Mobility-enhancing equipment” means equipment,
 2364  including repair and replacement parts to such equipment, but
 2365  excluding durable medical equipment, which:
 2366         a.Is primarily and customarily used to provide or increase
 2367  the ability to move from one place to another and which is
 2368  appropriate for use in a home or a motor vehicle.
 2369         b.Is not generally used by persons with normal mobility.
 2370         c.Does not include any motor vehicle or any equipment on a
 2371  motor vehicle normally provided by a motor vehicle manufacturer.
 2372         4.“Prosthetic device” means a replacement, corrective, or
 2373  supportive device, including repair or replacement parts to such
 2374  equipment, which is worn on or in the body to:
 2375         a.Artificially replace a missing portion of the body;
 2376         b.Prevent or correct physical deformity or malfunction; or
 2377         c.Support a weak or deformed portion of the body.
 2378         5.“Grooming and hygiene products” mean soaps and cleaning
 2379  solutions, shampoo, toothpaste, mouthwash, antiperspirants, and
 2380  suntan lotions and screens, regardless of whether the items meet
 2381  the definition of an over-the-counter drug.
 2382         6.“Over-the-counter drug” means a drug the packaging for
 2383  which contains a label that identifies the product as a drug as
 2384  required by 21 C.F.R. s. 201.66. The over-the-counter drug label
 2385  includes a drug-facts panel or a statement of the active
 2386  ingredients, with a list of those ingredients contained in the
 2387  compound, substance, or preparation. “Prosthetic and orthopedic
 2388  appliances” means any apparatus, instrument, device, or
 2389  equipment used to replace or substitute for any missing part of
 2390  the body, to alleviate the malfunction of any part of the body,
 2391  or to assist any disabled person in leading a normal life by
 2392  facilitating such person's mobility. Such apparatus, instrument,
 2393  device, or equipment shall be exempted according to an
 2394  individual prescription or prescriptions written by a physician
 2395  licensed under chapter 458, chapter 459, chapter 460, chapter
 2396  461, or chapter 466, or according to a list prescribed and
 2397  approved by the Department of Health, which list shall be
 2398  certified to the Department of Revenue from time to time and
 2399  included in the rules promulgated by the Department of Revenue.
 2400         2.“Cosmetics” means articles intended to be rubbed,
 2401  poured, sprinkled, or sprayed on, introduced into, or otherwise
 2402  applied to the human body for cleansing, beautifying, promoting
 2403  attractiveness, or altering the appearance and also means
 2404  articles intended for use as a compound of any such articles,
 2405  including, but not limited to, cold creams, suntan lotions,
 2406  makeup, and body lotions.
 2407         3.“Toilet articles” means any article advertised or held
 2408  out for sale for grooming purposes and those articles that are
 2409  customarily used for grooming purposes, regardless of the name
 2410  by which they may be known, including, but not limited to, soap,
 2411  toothpaste, hair spray, shaving products, colognes, perfumes,
 2412  shampoo, deodorant, and mouthwash.
 2413         7.4. “Prescription” means an order, formula, or recipe
 2414  issued in any form of oral, written, electronic, or other means
 2415  of transmission by a practitioner licensed under chapter 458,
 2416  chapter 459, chapter 460, chapter 461, or chapter 466. The term
 2417  also includes an orally transmitted order by the lawfully
 2418  designated agent of such practitioner. The term also includes an
 2419  order written or transmitted by a practitioner licensed to
 2420  practice in a jurisdiction other than this state, but only if
 2421  the pharmacist called upon to dispense the order determines, in
 2422  the exercise of his or her professional judgment, that the order
 2423  is valid and necessary for the treatment of a chronic or
 2424  recurrent illness. includes any order for drugs or medicinal
 2425  supplies written or transmitted by any means of communication by
 2426  a duly licensed practitioner authorized by the laws of the state
 2427  to prescribe such drugs or medicinal supplies and intended to be
 2428  dispensed by a pharmacist. The term also includes an orally
 2429  transmitted order by the lawfully designated agent of such
 2430  practitioner. The term also includes an order written or
 2431  transmitted by a practitioner licensed to practice in a
 2432  jurisdiction other than this state, but only if the pharmacist
 2433  called upon to dispense such order determines, in the exercise
 2434  of his or her professional judgment, that the order is valid and
 2435  necessary for the treatment of a chronic or recurrent illness.
 2436  The term also includes a pharmacist's order for a product
 2437  selected from the formulary created pursuant to s. 465.186. A
 2438  prescription may be retained in written form, or the pharmacist
 2439  may cause it to be recorded in a data processing system,
 2440  provided that such order can be produced in printed form upon
 2441  lawful request.
 2442         (c) Chlorine is shall not be exempt from the tax imposed by
 2443  this chapter when used for the treatment of water in swimming
 2444  pools.
 2445         (d)Lithotripters are exempt.
 2446         (d)(e) Human organs are exempt.
 2447         (f)Sales of drugs to or by physicians, dentists,
 2448  veterinarians, and hospitals in connection with medical
 2449  treatment are exempt.
 2450         (g)Medical products and supplies used in the cure,
 2451  mitigation, alleviation, prevention, or treatment of injury,
 2452  disease, or incapacity which are temporarily or permanently
 2453  incorporated into a patient or client by a practitioner of the
 2454  healing arts licensed in the state are exempt.
 2455         (h)The purchase by a veterinarian of commonly recognized
 2456  substances possessing curative or remedial properties which are
 2457  ordered and dispensed as treatment for a diagnosed health
 2458  disorder by or on the prescription of a duly licensed
 2459  veterinarian, and which are applied to or consumed by animals
 2460  for alleviation of pain or the cure or prevention of sickness,
 2461  disease, or suffering are exempt. Also exempt are the purchase
 2462  by a veterinarian of antiseptics, absorbent cotton, gauze for
 2463  bandages, lotions, vitamins, and worm remedies.
 2464         (i)X-ray opaques, also known as opaque drugs and
 2465  radiopaque, such as the various opaque dyes and barium sulphate,
 2466  when used in connection with medical X rays for treatment of
 2467  bodies of humans and animals, are exempt.
 2468         (e)(j) Parts, special attachments, special lettering, and
 2469  other like items that are added to or attached to tangible
 2470  personal property so that a handicapped person can use them are
 2471  exempt when such items are purchased by a person pursuant to an
 2472  individual prescription.
 2473         (f)(k) This subsection shall be strictly construed and
 2474  enforced.
 2475         (17) EXEMPTIONS; CERTAIN GOVERNMENT CONTRACTORS.—
 2476         (b) As used in this subsection, the term “overhead
 2477  materials” means all tangible personal property, other than
 2478  qualifying property as defined in s. 212.02(33)(a) s.
 2479  212.02(14)(a) and electricity, which is used or consumed in the
 2480  performance of a qualifying contract, title to which property
 2481  vests in or passes to the government under the contract.
 2482         (c) As used in this subsection and in s. 212.02(33)(a) s.
 2483  212.02(14)(a), the term “qualifying contract” means a contract
 2484  with the United States Department of Defense or the National
 2485  Aeronautics and Space Administration, or a subcontract
 2486  thereunder, but does not include a contract or subcontract for
 2487  the repair, alteration, improvement, or construction of real
 2488  property, except to the extent that purchases under such a
 2489  contract would otherwise be exempt from the tax imposed by this
 2490  chapter.
 2491         Section 11. Section 212.094, Florida Statutes, is created
 2492  to read:
 2493         212.094Purchaser requests for refunds from dealers.—
 2494         (1)If a purchaser seeks from a dealer a refund of or
 2495  credit against a tax collected under this chapter by that
 2496  dealer, the purchaser shall submit a written request for the
 2497  refund or credit to the dealer in accordance with this section.
 2498  The request must contain all the information necessary for the
 2499  dealer to determine the validity of the purchaser's request.
 2500         (2)The purchaser may not take any other action against the
 2501  dealer with respect to the requested refund or credit until the
 2502  dealer has had 60 days following receipt of a completed request
 2503  in which to respond.
 2504         (3)This section does not affect a person's standing to
 2505  claim a refund.
 2506         (4)This section does not apply to refunds resulting from
 2507  merchandise returned by a customer to a dealer.
 2508         Section 12. Section 212.12, Florida Statutes, is amended to
 2509  read:
 2510         212.12 Dealer's credit for collecting tax; penalties for
 2511  noncompliance; powers of Department of Revenue in dealing with
 2512  delinquents; brackets applicable to taxable transactions;
 2513  records required.—
 2514         (1) Notwithstanding any other provision of law and for the
 2515  purpose of compensating persons granting licenses for and the
 2516  lessors of real and personal property taxed hereunder, for the
 2517  purpose of compensating dealers in tangible personal property,
 2518  for the purpose of compensating dealers providing communication
 2519  services and taxable services, for the purpose of compensating
 2520  owners of places where admissions are collected, and for the
 2521  purpose of compensating remitters of any taxes or fees reported
 2522  on the same documents utilized for the sales and use tax, as
 2523  compensation for the keeping of prescribed records, filing
 2524  timely tax returns, and the proper accounting and remitting of
 2525  taxes by them, such seller, person, lessor, dealer, owner, and
 2526  remitter (except dealers who make mail order sales) shall be
 2527  allowed 2.5 percent of the amount of the tax due and accounted
 2528  for and remitted to the department, in the form of a deduction
 2529  in submitting his or her report and paying the amount due by him
 2530  or her; the department shall allow such deduction of 2.5 percent
 2531  of the amount of the tax to the person paying the same for
 2532  remitting the tax and making of tax returns in the manner herein
 2533  provided, for paying the amount due to be paid by him or her,
 2534  and as further compensation to dealers in tangible personal
 2535  property for the keeping of prescribed records and for
 2536  collection of taxes and remitting the same. However, if the
 2537  amount of the tax due and remitted to the department for the
 2538  reporting period exceeds $1,200, no allowance shall be allowed
 2539  for all amounts in excess of $1,200. The executive director of
 2540  the department is authorized to negotiate a collection
 2541  allowance, pursuant to rules promulgated by the department, with
 2542  a dealer who makes mail order sales. The rules of the department
 2543  shall provide guidelines for establishing the collection
 2544  allowance based upon the dealer's estimated costs of collecting
 2545  the tax, the volume and value of the dealer's mail order sales
 2546  to purchasers in this state, and the administrative and legal
 2547  costs and likelihood of achieving collection of the tax absent
 2548  the cooperation of the dealer. However, in no event shall the
 2549  collection allowance negotiated by the executive director exceed
 2550  10 percent of the tax remitted for a reporting period.
 2551         (a) The Department of Revenue may deny the collection
 2552  allowance if a taxpayer files an incomplete return or if the
 2553  required tax return or tax is delinquent at the time of payment.
 2554         1. An “incomplete return” is, for purposes of this chapter,
 2555  a return which is lacking such uniformity, completeness, and
 2556  arrangement that the physical handling, verification, review of
 2557  the return, or determination of other taxes and fees reported on
 2558  the return may not be readily accomplished.
 2559         2. The department shall adopt rules requiring such
 2560  information as it may deem necessary to ensure that the tax
 2561  levied hereunder is properly collected, reviewed, compiled,
 2562  reported, and enforced, including, but not limited to: the
 2563  amount of gross sales; the amount of taxable sales; the amount
 2564  of tax collected or due; the amount of lawful refunds,
 2565  deductions, or credits claimed; the amount claimed as the
 2566  dealer's collection allowance; the amount of penalty and
 2567  interest; the amount due with the return; and such other
 2568  information as the Department of Revenue may specify. The
 2569  department shall require that transient rentals and agricultural
 2570  equipment transactions be separately shown. Sales made through
 2571  vending machines as defined in s. 212.0515 must be separately
 2572  shown on the return. Sales made through coin-operated amusement
 2573  machines as defined by s. 212.02 and the number of machines
 2574  operated must be separately shown on the return or on a form
 2575  prescribed by the department. If a separate form is required,
 2576  the same penalties for late filing, incomplete filing, or
 2577  failure to file as provided for the sales tax return shall apply
 2578  to said form.
 2579         (b) The collection allowance and other credits or
 2580  deductions provided in this chapter shall be applied
 2581  proportionally to any taxes or fees reported on the same
 2582  documents used for the sales and use tax.
 2583         (c)1. A dealer entitled to the collection allowance
 2584  provided in this section may elect to forego the collection
 2585  allowance and direct that said amount be transferred into the
 2586  Educational Enhancement Trust Fund. Such an election must be
 2587  made with the timely filing of a return and may not be rescinded
 2588  once made. If a dealer who makes such an election files a
 2589  delinquent return, underpays the tax, or files an incomplete
 2590  return, the amount transferred into the Educational Enhancement
 2591  Trust Fund shall be the amount of the collection allowance
 2592  remaining after resolution of liability for all of the tax,
 2593  interest, and penalty due on that return or underpayment of tax.
 2594  The Department of Education shall distribute the remaining
 2595  amount from the trust fund to the school districts that have
 2596  adopted resolutions stating that those funds will be used to
 2597  ensure that up-to-date technology is purchased for the
 2598  classrooms in the district and that teachers are trained in the
 2599  use of that technology. Revenues collected in districts that do
 2600  not adopt such a resolution shall be equally distributed to
 2601  districts that have adopted such resolutions.
 2602         2. This paragraph applies to all taxes, surtaxes, and any
 2603  local option taxes administered under this chapter and remitted
 2604  directly to the department. This paragraph does not apply to any
 2605  locally imposed and self-administered convention development
 2606  tax, tourist development tax, or tourist impact tax administered
 2607  under this chapter.
 2608         3. Revenues from the dealer-collection allowances shall be
 2609  transferred quarterly from the General Revenue Fund to the
 2610  Educational Enhancement Trust Fund. The Department of Revenue
 2611  shall provide to the Department of Education quarterly
 2612  information about such revenues by county to which the
 2613  collection allowance was attributed.
 2614  Notwithstanding any provision of chapter 120 to the contrary,
 2615  the Department of Revenue may adopt rules to carry out the
 2616  amendment made by chapter 2006-52, Laws of Florida, to this
 2617  section.
 2618         (d)Notwithstanding paragraphs (a) and (b), a Model 1
 2619  seller under the Streamlined Sales and Use Tax Agreement is not
 2620  entitled to the collection allowance described in paragraphs (a)
 2621  and (b).
 2622         (e)1.In addition to any collection allowance that may be
 2623  provided under this subsection, the department may provide the
 2624  monetary allowances required to be provided by the state to
 2625  certified service providers and voluntary sellers pursuant to
 2626  Article VI of the Streamlined Sales and Use Tax Agreement, as
 2627  amended.
 2628         2.Such monetary allowances must be in the form of
 2629  collection allowances that certified service providers or
 2630  voluntary sellers are permitted to retain from the tax revenues
 2631  collected on remote sales to be remitted to the state pursuant
 2632  to this chapter.
 2633         3.For purposes of this paragraph, the term “voluntary
 2634  seller” or “volunteer seller” means a seller that is not
 2635  required to register in this state to collect a tax. The term
 2636  “remote sales” means revenues generated by such a seller for
 2637  this state for which the seller is not required to register to
 2638  collect the tax imposed by this chapter.
 2639         (2)(a) When any person required hereunder to make any
 2640  return or to pay any tax or fee imposed by this chapter either
 2641  fails to timely file such return or fails to pay the tax or fee
 2642  shown due on the return within the time required hereunder, in
 2643  addition to all other penalties provided herein and by the laws
 2644  of this state in respect to such taxes or fees, a specific
 2645  penalty shall be added to the tax or fee in the amount of 10
 2646  percent of either the tax or fee shown on the return that is not
 2647  timely filed or any tax or fee not paid timely. The penalty may
 2648  not be less than $50 for failure to timely file a tax return
 2649  required by s. 212.11(1) or timely pay the tax or fee shown due
 2650  on the return except as provided in s. 213.21(10). If a person
 2651  fails to timely file a return required by s. 212.11(1) and to
 2652  timely pay the tax or fee shown due on the return, only one
 2653  penalty of 10 percent, which may not be less than $50, shall be
 2654  imposed.
 2655         (b) When any person required under this section to make a
 2656  return or to pay a tax or fee imposed by this chapter fails to
 2657  disclose the tax or fee on the return within the time required,
 2658  excluding a noncompliant filing event generated by situations
 2659  covered in paragraph (a), in addition to all other penalties
 2660  provided in this section and by the laws of this state in
 2661  respect to such taxes or fees, a specific penalty shall be added
 2662  to the additional tax or fee owed in the amount of 10 percent of
 2663  any such unpaid tax or fee not paid timely if the failure is for
 2664  not more than 30 days, with an additional 10 percent of any such
 2665  unpaid tax or fee for each additional 30 days, or fraction
 2666  thereof, while the failure continues, not to exceed a total
 2667  penalty of 50 percent, in the aggregate, of any unpaid tax or
 2668  fee.
 2669         (c) Any person who knowingly and with a willful intent to
 2670  evade any tax imposed under this chapter fails to file six
 2671  consecutive returns as required by law commits a felony of the
 2672  third degree, punishable as provided in s. 775.082 or s.
 2673  775.083.
 2674         (d) Any person who makes a false or fraudulent return with
 2675  a willful intent to evade payment of any tax or fee imposed
 2676  under this chapter; any person who, after the department's
 2677  delivery of a written notice to the person's last known address
 2678  specifically alerting the person of the requirement to register
 2679  the person's business as a dealer, intentionally fails to
 2680  register the business; and any person who, after the
 2681  department's delivery of a written notice to the person's last
 2682  known address specifically alerting the person of the
 2683  requirement to collect tax on specific transactions,
 2684  intentionally fails to collect such tax, shall, in addition to
 2685  the other penalties provided by law, be liable for a specific
 2686  penalty of 100 percent of any unreported or any uncollected tax
 2687  or fee and, upon conviction, for fine and punishment as provided
 2688  in s. 775.082, s. 775.083, or s. 775.084. Delivery of written
 2689  notice may be made by certified mail, or by the use of such
 2690  other method as is documented as being necessary and reasonable
 2691  under the circumstances. The civil and criminal penalties
 2692  imposed herein for failure to comply with a written notice
 2693  alerting the person of the requirement to register the person's
 2694  business as a dealer or to collect tax on specific transactions
 2695  shall not apply if the person timely files a written challenge
 2696  to such notice in accordance with procedures established by the
 2697  department by rule or the notice fails to clearly advise that
 2698  failure to comply with or timely challenge the notice will
 2699  result in the imposition of the civil and criminal penalties
 2700  imposed herein.
 2701         1. If the total amount of unreported or uncollected taxes
 2702  or fees is less than $300, the first offense resulting in
 2703  conviction is a misdemeanor of the second degree, the second
 2704  offense resulting in conviction is a misdemeanor of the first
 2705  degree, and the third and all subsequent offenses resulting in
 2706  conviction is a misdemeanor of the first degree, and the third
 2707  and all subsequent offenses resulting in conviction are felonies
 2708  of the third degree.
 2709         2. If the total amount of unreported or uncollected taxes
 2710  or fees is $300 or more but less than $20,000, the offense is a
 2711  felony of the third degree.
 2712         3. If the total amount of unreported or uncollected taxes
 2713  or fees is $20,000 or more but less than $100,000, the offense
 2714  is a felony of the second degree.
 2715         4. If the total amount of unreported or uncollected taxes
 2716  or fees is $100,000 or more, the offense is a felony of the
 2717  first degree.
 2718         (e) A person who willfully attempts in any manner to evade
 2719  any tax, surcharge, or fee imposed under this chapter or the
 2720  payment thereof is, in addition to any other penalties provided
 2721  by law, liable for a specific penalty in the amount of 100
 2722  percent of the tax, surcharge, or fee, and commits a felony of
 2723  the third degree, punishable as provided in s. 775.082, s.
 2724  775.083, or s. 775.084.
 2725         (f) When any person, firm, or corporation fails to timely
 2726  remit the proper estimated payment required under s. 212.11, a
 2727  specific penalty shall be added in an amount equal to 10 percent
 2728  of any unpaid estimated tax. Beginning with January 1, 1985,
 2729  returns, the department, upon a showing of reasonable cause, is
 2730  authorized to waive or compromise penalties imposed by this
 2731  paragraph. However, other penalties and interest shall be due
 2732  and payable if the return on which the estimated payment was due
 2733  was not timely or properly filed.
 2734         (g) A dealer who files a consolidated return pursuant to s.
 2735  212.11(1)(e) is subject to the penalty established in paragraph
 2736  (e) unless the dealer has paid the required estimated tax for
 2737  his or her consolidated return as a whole without regard to each
 2738  location. If the dealer fails to pay the required estimated tax
 2739  for his or her consolidated return as a whole, each filing
 2740  location shall stand on its own with respect to calculating
 2741  penalties pursuant to paragraph (f).
 2742         (3) When any dealer, or other person charged herein, fails
 2743  to remit the tax, or any portion thereof, on or before the day
 2744  when such tax is required by law to be paid, there shall be
 2745  added to the amount due interest at the rate of 1 percent per
 2746  month of the amount due from the date due until paid. Interest
 2747  on the delinquent tax shall be calculated beginning on the 21st
 2748  day of the month following the month for which the tax is due,
 2749  except as otherwise provided in this chapter.
 2750         (4) All penalties and interest imposed by this chapter
 2751  shall be payable to and collectible by the department in the
 2752  same manner as if they were a part of the tax imposed. The
 2753  department may settle or compromise any such interest or
 2754  penalties pursuant to s. 213.21.
 2755         (5)(a) The department is authorized to audit or inspect the
 2756  records and accounts of dealers defined herein, including audits
 2757  or inspections of dealers who make mail order sales to the
 2758  extent permitted by another state, and to correct by credit any
 2759  overpayment of tax, and, in the event of a deficiency, an
 2760  assessment shall be made and collected. No administrative
 2761  finding of fact is necessary prior to the assessment of any tax
 2762  deficiency.
 2763         (b) In the event any dealer or other person charged herein
 2764  fails or refuses to make his or her records available for
 2765  inspection so that no audit or examination has been made of the
 2766  books and records of such dealer or person, fails or refuses to
 2767  register as a dealer, fails to make a report and pay the tax as
 2768  provided by this chapter, makes a grossly incorrect report or
 2769  makes a report that is false or fraudulent, then, in such event,
 2770  it shall be the duty of the department to make an assessment
 2771  from an estimate based upon the best information then available
 2772  to it for the taxable period of retail sales of such dealer, the
 2773  gross proceeds from rentals, the total admissions received,
 2774  amounts received from leases of tangible personal property by
 2775  such dealer, or of the cost price of all articles of tangible
 2776  personal property imported by the dealer for use or consumption
 2777  or distribution or storage to be used or consumed in this state,
 2778  or of the sales or cost price of all services the sale or use of
 2779  which is taxable under this chapter, together with interest,
 2780  plus penalty, if such have accrued, as the case may be. Then the
 2781  department shall proceed to collect such taxes, interest, and
 2782  penalty on the basis of such assessment which shall be
 2783  considered prima facie correct, and the burden to show the
 2784  contrary shall rest upon the dealer, seller, owner, or lessor,
 2785  as the case may be.
 2786         (6)(a) The department is given the power to prescribe the
 2787  records to be kept by all persons subject to taxes imposed by
 2788  this chapter. It shall be the duty of every person required to
 2789  make a report and pay any tax under this chapter, every person
 2790  receiving rentals or license fees, and owners of places of
 2791  admission, to keep and preserve suitable records of the sales,
 2792  leases, rentals, license fees, admissions, or purchases, as the
 2793  case may be, taxable under this chapter; such other books of
 2794  account as may be necessary to determine the amount of the tax
 2795  due hereunder; and other information as may be required by the
 2796  department. It shall be the duty of every such person so charged
 2797  with such duty, moreover, to keep and preserve as long as
 2798  required by s. 213.35 all invoices and other records of goods,
 2799  wares, and merchandise; records of admissions, leases, license
 2800  fees and rentals; and records of all other subjects of taxation
 2801  under this chapter. All such books, invoices, and other records
 2802  shall be open to examination at all reasonable hours to the
 2803  department or any of its duly authorized agents.
 2804         (b) For the purpose of this subsection, if a dealer does
 2805  not have adequate records of his or her retail sales or
 2806  purchases, the department may, upon the basis of a test or
 2807  sampling of the dealer's available records or other information
 2808  relating to the sales or purchases made by such dealer for a
 2809  representative period, determine the proportion that taxable
 2810  retail sales bear to total retail sales or the proportion that
 2811  taxable purchases bear to total purchases. This subsection does
 2812  not affect the duty of the dealer to collect, or the liability
 2813  of any consumer to pay, any tax imposed by or pursuant to this
 2814  chapter.
 2815         (c)1. If the records of a dealer are adequate but
 2816  voluminous in nature and substance, the department may sample
 2817  such records and project the audit findings derived therefrom
 2818  over the entire audit period to determine the proportion that
 2819  taxable retail sales bear to total retail sales or the
 2820  proportion that taxable purchases bear to total purchases. In
 2821  order to conduct such a sample, the department must first make a
 2822  good faith effort to reach an agreement with the dealer, which
 2823  agreement provides for the means and methods to be used in the
 2824  sampling process. In the event that no agreement is reached, the
 2825  dealer is entitled to a review by the executive director. In the
 2826  case of fixed assets, a dealer may agree in writing with the
 2827  department for adequate but voluminous records to be
 2828  statistically sampled. Such an agreement shall provide for the
 2829  methodology to be used in the statistical sampling process. The
 2830  audit findings derived therefrom shall be projected over the
 2831  period represented by the sample in order to determine the
 2832  proportion that taxable purchases bear to total purchases. Once
 2833  an agreement has been signed, it is final and conclusive with
 2834  respect to the method of sampling fixed assets, and the
 2835  department may not conduct a detailed audit of fixed assets, and
 2836  the taxpayer may not request a detailed audit after the
 2837  agreement is reached.
 2838         2. For the purposes of sampling pursuant to subparagraph
 2839  1., the department shall project any deficiencies and
 2840  overpayments derived therefrom over the entire audit period. In
 2841  determining the dealer's compliance, the department shall reduce
 2842  any tax deficiency as derived from the sample by the amount of
 2843  any overpayment derived from the sample. In the event the
 2844  department determines from the sample results that the dealer
 2845  has a net tax overpayment, the department shall provide the
 2846  findings of this overpayment to the Chief Financial Officer for
 2847  repayment of funds paid into the State Treasury through error
 2848  pursuant to s. 215.26.
 2849         3.a. A taxpayer is entitled, both in connection with an
 2850  audit and in connection with an application for refund filed
 2851  independently of any audit, to establish the amount of any
 2852  refund or deficiency through statistical sampling when the
 2853  taxpayer's records are adequate but voluminous. In the case of
 2854  fixed assets, a dealer may agree in writing with the department
 2855  for adequate but voluminous records to be statistically sampled.
 2856  Such an agreement shall provide for the methodology to be used
 2857  in the statistical sampling process. The audit findings derived
 2858  therefrom shall be projected over the period represented by the
 2859  sample in order to determine the proportion that taxable
 2860  purchases bear to total purchases. Once an agreement has been
 2861  signed, it is final and conclusive with respect to the method of
 2862  sampling fixed assets, and the department may not conduct a
 2863  detailed audit of fixed assets, and the taxpayer may not request
 2864  a detailed audit after the agreement is reached.
 2865         b. Alternatively, a taxpayer is entitled to establish any
 2866  refund or deficiency through any other sampling method agreed
 2867  upon by the taxpayer and the department when the taxpayer's
 2868  records, other than those regarding fixed assets, are adequate
 2869  but voluminous. Whether done through statistical sampling or any
 2870  other sampling method agreed upon by the taxpayer and the
 2871  department, the completed sample must reflect both overpayments
 2872  and underpayments of taxes due. The sample shall be conducted
 2873  through:
 2874         (I) A taxpayer request to perform the sampling through the
 2875  certified audit program pursuant to s. 213.285;
 2876         (II) Attestation by a certified public accountant as to the
 2877  adequacy of the sampling method utilized and the results reached
 2878  using such sampling method; or
 2879         (III) A sampling method that has been submitted by the
 2880  taxpayer and approved by the department before a refund claim is
 2881  submitted. This sub-sub-subparagraph does not prohibit a
 2882  taxpayer from filing a refund claim prior to approval by the
 2883  department of the sampling method; however, a refund claim
 2884  submitted before the sampling method has been approved by the
 2885  department cannot be a complete refund application pursuant to
 2886  s. 213.255 until the sampling method has been approved by the
 2887  department.
 2888         c. The department shall prescribe by rule the procedures to
 2889  be followed under each method of sampling. Such procedures shall
 2890  follow generally accepted auditing procedures for sampling. The
 2891  rule shall also set forth other criteria regarding the use of
 2892  sampling, including, but not limited to, training requirements
 2893  that must be met before a sampling method may be utilized and
 2894  the steps necessary for the department and the taxpayer to reach
 2895  agreement on a sampling method submitted by the taxpayer for
 2896  approval by the department.
 2897         (7) In the event the dealer has imported tangible personal
 2898  property and he or she fails to produce an invoice showing the
 2899  cost price of the articles, as defined in this chapter, which
 2900  are subject to tax, or the invoice does not reflect the true or
 2901  actual cost price as defined herein, then the department shall
 2902  ascertain, in any manner feasible, the true cost price, and
 2903  assess and collect the tax thereon with interest plus penalties,
 2904  if such have accrued on the true cost price as assessed by it.
 2905  The assessment so made shall be considered prima facie correct,
 2906  and the duty shall be on the dealer to show to the contrary.
 2907         (8) In the case of the lease or rental of tangible personal
 2908  property, or other rentals or license fees as herein defined and
 2909  taxed, if the consideration given or reported by the lessor,
 2910  person receiving rental or license fee, or dealer does not, in
 2911  the judgment of the department, represent the true or actual
 2912  consideration, then the department is authorized to ascertain
 2913  the same and assess and collect the tax thereon in the same
 2914  manner as above provided, with respect to imported tangible
 2915  property, together with interest, plus penalties, if such have
 2916  accrued.
 2917         (9) Taxes imposed by this chapter upon the privilege of the
 2918  use, consumption, storage for consumption, or sale of tangible
 2919  personal property, admissions, license fees, rentals,
 2920  communication services, and upon the sale or use of services as
 2921  herein taxed shall be collected upon the basis of an addition of
 2922  the tax imposed by this chapter to the total price of such
 2923  admissions, license fees, rentals, communication or other
 2924  services, or sale price of such article or articles that are
 2925  purchased, sold, or leased at any one time by or to a customer
 2926  or buyer; the dealer, or person charged herein, is required to
 2927  pay a privilege tax in the amount of the tax imposed by this
 2928  chapter on the total of his or her gross sales of tangible
 2929  personal property, admissions, license fees, rentals, and
 2930  communication services or to collect a tax upon the sale or use
 2931  of services, and such person or dealer shall add the tax imposed
 2932  by this chapter to the price, license fee, rental, or
 2933  admissions, and communication or other services and collect the
 2934  total sum from the purchaser, admittee, licensee, lessee, or
 2935  consumer. In computing the tax due or to be collected as the
 2936  result of any transaction, the seller may elect to compute the
 2937  tax due on a transaction on an per-item basis or on an invoice
 2938  basis. The tax rate shall be the sum of the applicable state and
 2939  local rates, if any, and the tax computation shall be carried to
 2940  the third decimal place. Whenever the third decimal place is
 2941  greater than four, the tax shall be rounded to the next whole
 2942  cent. The department shall make available in an electronic
 2943  format or otherwise the tax amounts and the following brackets
 2944  applicable to all transactions taxable at the rate of 6 percent:
 2945         (a)On single sales of less than 10 cents, no tax shall be
 2946  added.
 2947         (b)On single sales in amounts from 10 cents to 16 cents,
 2948  both inclusive, 1 cent shall be added for taxes.
 2949         (c)On sales in amounts from 17 cents to 33 cents, both
 2950  inclusive, 2 cents shall be added for taxes.
 2951         (d)On sales in amounts from 34 cents to 50 cents, both
 2952  inclusive, 3 cents shall be added for taxes.
 2953         (e)On sales in amounts from 51 cents to 66 cents, both
 2954  inclusive, 4 cents shall be added for taxes.
 2955         (f)On sales in amounts from 67 cents to 83 cents, both
 2956  inclusive, 5 cents shall be added for taxes.
 2957         (g)On sales in amounts from 84 cents to $1, both
 2958  inclusive, 6 cents shall be added for taxes.
 2959         (h)On sales in amounts of more than $1, 6 percent shall be
 2960  charged upon each dollar of price, plus the appropriate bracket
 2961  charge upon any fractional part of a dollar.
 2962         (10)In counties which have adopted a discretionary sales
 2963  surtax at the rate of 1 percent, the department shall make
 2964  available in an electronic format or otherwise the tax amounts
 2965  and the following brackets applicable to all taxable
 2966  transactions that would otherwise have been transactions taxable
 2967  at the rate of 6 percent:
 2968         (a)On single sales of less than 10 cents, no tax shall be
 2969  added.
 2970         (b)On single sales in amounts from 10 cents to 14 cents,
 2971  both inclusive, 1 cent shall be added for taxes.
 2972         (c)On sales in amounts from 15 cents to 28 cents, both
 2973  inclusive, 2 cents shall be added for taxes.
 2974         (d)On sales in amounts from 29 cents to 42 cents, both
 2975  inclusive, 3 cents shall be added for taxes.
 2976         (e)On sales in amounts from 43 cents to 57 cents, both
 2977  inclusive, 4 cents shall be added for taxes.
 2978         (f)On sales in amounts from 58 cents to 71 cents, both
 2979  inclusive, 5 cents shall be added for taxes.
 2980         (g)On sales in amounts from 72 cents to 85 cents, both
 2981  inclusive, 6 cents shall be added for taxes.
 2982         (h)On sales in amounts from 86 cents to $1, both
 2983  inclusive, 7 cents shall be added for taxes.
 2984         (i)On sales in amounts from $1 up to, and including, the
 2985  first $5,000 in price, 7 percent shall be charged upon each
 2986  dollar of price, plus the appropriate bracket charge upon any
 2987  fractional part of a dollar.
 2988         (j)On sales in amounts of more than $5,000 in price, 7
 2989  percent shall be added upon the first $5,000 in price, and 6
 2990  percent shall be added upon each dollar of price in excess of
 2991  the first $5,000 in price, plus the bracket charges upon any
 2992  fractional part of a dollar as provided for in subsection (9).
 2993         (11)The department shall make available in an electronic
 2994  format or otherwise the tax amounts and brackets applicable to
 2995  all taxable transactions that occur in counties that have a
 2996  surtax at a rate other than 1 percent which transactions would
 2997  otherwise have been transactions taxable at the rate of 6
 2998  percent. Likewise, the department shall make available in an
 2999  electronic format or otherwise the tax amounts and brackets
 3000  applicable to transactions taxable at 7 percent pursuant to s.
 3001  212.05(1)(e) and on transactions which would otherwise have been
 3002  so taxable in counties which have adopted a discretionary sales
 3003  surtax.
 3004         (10)(12) It is hereby declared to be the legislative intent
 3005  that, whenever in the construction, administration, or
 3006  enforcement of this chapter there may be any question respecting
 3007  a duplication of the tax, the end consumer, or last retail sale,
 3008  be the sale intended to be taxed and insofar as may be
 3009  practicable there be no duplication or pyramiding of the tax.
 3010         (11)(13) In order to aid the administration and enforcement
 3011  of the provisions of this chapter with respect to the rentals
 3012  and license fees, each lessor or person granting the use of any
 3013  hotel, apartment house, roominghouse, tourist or trailer camp,
 3014  real property, or any interest therein, or any portion thereof,
 3015  inclusive of owners; property managers; lessors; landlords;
 3016  hotel, apartment house, and roominghouse operators; and all
 3017  licensed real estate agents within the state leasing, granting
 3018  the use of, or renting such property, shall be required to keep
 3019  a record of each and every such lease, license, or rental
 3020  transaction which is taxable under this chapter, in such a
 3021  manner and upon such forms as the department may prescribe, and
 3022  to report such transaction to the department or its designated
 3023  agents, and to maintain such records as long as required by s.
 3024  213.35, subject to the inspection of the department and its
 3025  agents. Upon the failure by such owner; property manager;
 3026  lessor; landlord; hotel, apartment house, roominghouse, tourist
 3027  or trailer camp operator; or real estate agent to keep and
 3028  maintain such records and to make such reports upon the forms
 3029  and in the manner prescribed, such owner; property manager;
 3030  lessor; landlord; hotel, apartment house, roominghouse, tourist
 3031  or trailer camp operator; receiver of rent or license fees; or
 3032  real estate agent is guilty of a misdemeanor of the second
 3033  degree, punishable as provided in s. 775.082 or s. 775.083, for
 3034  the first offense; for subsequent offenses, they are each guilty
 3035  of a misdemeanor of the first degree, punishable as provided in
 3036  s. 775.082 or s. 775.083. If, however, any subsequent offense
 3037  involves intentional destruction of such records with an intent
 3038  to evade payment of or deprive the state of any tax revenues,
 3039  such subsequent offense shall be a felony of the third degree,
 3040  punishable as provided in s. 775.082 or s. 775.083.
 3041         (14)If it is determined upon audit that a dealer has
 3042  collected and remitted taxes by applying the applicable tax rate
 3043  to each transaction as described in subsection (9) and rounding
 3044  the tax due to the nearest whole cent rather than applying the
 3045  appropriate bracket system provided by law or department rule,
 3046  the dealer shall not be held liable for additional tax, penalty,
 3047  and interest resulting from such failure if:
 3048         (a)The dealer acted in a good faith belief that rounding
 3049  to the nearest whole cent was the proper method of determining
 3050  the amount of tax due on each taxable transaction.
 3051         (b)The dealer timely reported and remitted all taxes
 3052  collected on each taxable transaction.
 3053         (c)The dealer agrees in writing to future compliance with
 3054  the laws and rules concerning brackets applicable to the
 3055  dealer's transactions.
 3056         Section 13. Subsection (3) of section 212.17, Florida
 3057  Statutes, is amended to read:
 3058         212.17 Credits for returned goods, rentals, or admissions;
 3059  goods acquired for dealer's own use and subsequently resold;
 3060  additional powers of department.—
 3061         (3) A dealer who has paid the tax imposed by this chapter
 3062  on tangible personal property or services may take a credit or
 3063  obtain a refund for any tax paid by the dealer on the unpaid
 3064  balance due on worthless accounts within 12 months following the
 3065  month in which the bad debt has been charged off for federal
 3066  income tax purposes. A dealer that has paid the tax imposed by
 3067  this chapter on tangible personal property or services and that
 3068  is not required to file federal income tax returns may take a
 3069  credit against or obtain a refund for any tax paid by the dealer
 3070  on the unpaid balance due on worthless accounts within 12 months
 3071  following the month in which the bad debt is written off as
 3072  uncollectible in the dealer's books and records and would be
 3073  eligible for a bad-debt deduction for federal income tax
 3074  purposes if the dealer was required to file a federal income tax
 3075  return.
 3076         (a)A dealer that is taking a credit against or obtaining a
 3077  refund on worthless accounts shall base the bad-debt-recovery
 3078  calculation in accordance with 26 U.S.C. s. 166.
 3079         (b)When the amount of bad debt exceeds the amount of
 3080  taxable sales for the period during which the bad debt is
 3081  written off, a refund claim must be filed, notwithstanding s.
 3082  215.26(2), within 3 years after the due date of the return on
 3083  which the bad debt could first be claimed.
 3084         (c) If any accounts so charged off for which a credit or
 3085  refund has been obtained are thereafter in whole or in part paid
 3086  to the dealer, the amount so paid shall be included in the first
 3087  return filed after such collection and the tax paid accordingly.
 3088         (d)If filing responsibilities have been assumed by a
 3089  certified service provider, the certified service provider shall
 3090  claim, on behalf of the seller, any bad-debt allowance provided
 3091  by this subsection. The certified service provider shall credit
 3092  or refund to the seller the full amount of any bad-debt
 3093  allowance or refund received.
 3094         (e)For the purposes of reporting a payment received on a
 3095  previously claimed bad debt, any payments made on a debt or
 3096  account shall first be applied proportionally to the taxable
 3097  price of the property or service and the sales tax on such
 3098  property, and second to any interest, service charges, and any
 3099  other charges.
 3100         (f)In situations in which the books and records of the
 3101  party claiming the bad-debt allowance support an allocation of
 3102  the bad debts among states that are members of the Streamlined
 3103  Sales and Use Tax Agreement, the allocation is permitted among
 3104  those states.
 3105         Section 14. Paragraph (a) of subsection (3) of section
 3106  212.18, Florida Statutes, is amended to read:
 3107         212.18 Administration of law; registration of dealers;
 3108  rules.—
 3109         (3)(a) Every person desiring to engage in or conduct
 3110  business in this state as a dealer, as defined in this chapter,
 3111  or to lease, rent, or let or grant licenses in living quarters
 3112  or sleeping or housekeeping accommodations in hotels, apartment
 3113  houses, roominghouses, or tourist or trailer camps that are
 3114  subject to tax under s. 212.03, or to lease, rent, or let or
 3115  grant licenses in real property, as defined in this chapter, and
 3116  every person who sells or receives anything of value by way of
 3117  admissions, must file with the department an application for a
 3118  certificate of registration for each place of business, showing
 3119  the names of the persons who have interests in such business and
 3120  their residences, the address of the business, and such other
 3121  data as the department may reasonably require. However, owners
 3122  and operators of vending machines or newspaper rack machines are
 3123  required to obtain only one certificate of registration for each
 3124  county in which such machines are located. The department, by
 3125  rule, may authorize a dealer that uses independent sellers to
 3126  sell its merchandise to remit tax on the retail sales price
 3127  charged to the ultimate consumer in lieu of having the
 3128  independent seller register as a dealer and remit the tax. The
 3129  department may appoint the county tax collector as the
 3130  department's agent to accept applications for registrations. The
 3131  application must be made to the department before the person,
 3132  firm, copartnership, or corporation may engage in such business,
 3133  and it must be accompanied by a registration fee of $5. However,
 3134  a registration fee is not required to accompany an application
 3135  to engage in or conduct business to make mail order sales. The
 3136  department may waive the registration fee for applications
 3137  submitted through the department's Internet registration process
 3138  or central electronic registration system provided by member
 3139  states of the Streamlined Sales and Use Tax Agreement.
 3140         Section 15. Section 212.20, Florida Statutes, is amended to
 3141  read:
 3142         212.20 Funds collected, disposition; additional powers of
 3143  department; operational expense; refund of taxes adjudicated
 3144  unconstitutionally collected.—
 3145         (1) The department shall pay over to the Chief Financial
 3146  Officer of the state all funds received and collected by it
 3147  under the provisions of this chapter, to be credited to the
 3148  account of the General Revenue Fund of the state.
 3149         (2) The department is authorized to employ all necessary
 3150  assistants to administer this chapter properly and is also
 3151  authorized to purchase all necessary supplies and equipment
 3152  which may be required for this purpose.
 3153         (3) The estimated amount of money needed for the
 3154  administration of this chapter shall be included by the
 3155  department in its annual legislative budget request for the
 3156  operation of its office.
 3157         (4)When there has been a final adjudication that any tax
 3158  pursuant to s. 212.0596 was levied, collected, or both, contrary
 3159  to the Constitution of the United States or the State
 3160  Constitution, the department shall, in accordance with rules,
 3161  determine, based upon claims for refund and other evidence and
 3162  information, who paid such tax or taxes, and refund to each such
 3163  person the amount of tax paid. For purposes of this subsection,
 3164  a “final adjudication” is a decision of a court of competent
 3165  jurisdiction from which no appeal can be taken or from which the
 3166  official or officials of this state with authority to make such
 3167  decisions has or have decided not to appeal.
 3168         (4)(5) For the purposes of this section, the term:
 3169         (a) “Proceeds” means all tax or fee revenue collected or
 3170  received by the department, including interest and penalties.
 3171         (b) “Reallocate” means reduction of the accounts of initial
 3172  deposit and redeposit into the indicated account.
 3173         (5)(6) Distribution of all proceeds under this chapter and
 3174  s. 202.18(1)(b) and (2)(b) shall be as follows:
 3175         (a) Proceeds from the convention development taxes
 3176  authorized under s. 212.0305 shall be reallocated to the
 3177  Convention Development Tax Clearing Trust Fund.
 3178         (b) Proceeds from discretionary sales surtaxes imposed
 3179  pursuant to ss. 212.054 and 212.055 shall be reallocated to the
 3180  Discretionary Sales Surtax Clearing Trust Fund.
 3181         (c) Proceeds from the fees imposed under ss. 212.05(1)(h)3.
 3182  and 212.18(3) shall remain with the General Revenue Fund.
 3183         (d) The proceeds of all other taxes and fees imposed
 3184  pursuant to this chapter or remitted pursuant to s. 202.18(1)(b)
 3185  and (2)(b) shall be distributed as follows:
 3186         1. In any fiscal year, the greater of $500 million, minus
 3187  an amount equal to 4.6 percent of the proceeds of the taxes
 3188  collected pursuant to chapter 201, or 5 percent of all other
 3189  taxes and fees imposed pursuant to this chapter or remitted
 3190  pursuant to s. 202.18(1)(b) and (2)(b) shall be deposited in
 3191  monthly installments into the General Revenue Fund.
 3192         2. Two-tenths of one percent shall be transferred to the
 3193  Ecosystem Management and Restoration Trust Fund to be used for
 3194  water quality improvement and water restoration projects.
 3195         3. After the distribution under subparagraphs 1. and 2.,
 3196  8.814 percent of the amount remitted by a sales tax dealer
 3197  located within a participating county pursuant to s. 218.61
 3198  shall be transferred into the Local Government Half-cent Sales
 3199  Tax Clearing Trust Fund. Beginning July 1, 2003, the amount to
 3200  be transferred pursuant to this subparagraph to the Local
 3201  Government Half-cent Sales Tax Clearing Trust Fund shall be
 3202  reduced by 0.1 percent, and the department shall distribute this
 3203  amount to the Public Employees Relations Commission Trust Fund
 3204  less $5,000 each month, which shall be added to the amount
 3205  calculated in subparagraph 4. and distributed accordingly.
 3206         4. After the distribution under subparagraphs 1., 2., and
 3207  3., 0.095 percent shall be transferred to the Local Government
 3208  Half-cent Sales Tax Clearing Trust Fund and distributed pursuant
 3209  to s. 218.65.
 3210         5. After the distributions under subparagraphs 1., 2., 3.,
 3211  and 4., 2.0440 percent of the available proceeds pursuant to
 3212  this paragraph shall be transferred monthly to the Revenue
 3213  Sharing Trust Fund for Counties pursuant to s. 218.215.
 3214         6. After the distributions under subparagraphs 1., 2., 3.,
 3215  and 4., 1.3409 percent of the available proceeds pursuant to
 3216  this paragraph shall be transferred monthly to the Revenue
 3217  Sharing Trust Fund for Municipalities pursuant to s. 218.215. If
 3218  the total revenue to be distributed pursuant to this
 3219  subparagraph is at least as great as the amount due from the
 3220  Revenue Sharing Trust Fund for Municipalities and the former
 3221  Municipal Financial Assistance Trust Fund in state fiscal year
 3222  1999-2000, no municipality shall receive less than the amount
 3223  due from the Revenue Sharing Trust Fund for Municipalities and
 3224  the former Municipal Financial Assistance Trust Fund in state
 3225  fiscal year 1999-2000. If the total proceeds to be distributed
 3226  are less than the amount received in combination from the
 3227  Revenue Sharing Trust Fund for Municipalities and the former
 3228  Municipal Financial Assistance Trust Fund in state fiscal year
 3229  1999-2000, each municipality shall receive an amount
 3230  proportionate to the amount it was due in state fiscal year
 3231  1999-2000.
 3232         7. Of the remaining proceeds:
 3233         a. In each fiscal year, the sum of $29,915,500 shall be
 3234  divided into as many equal parts as there are counties in the
 3235  state, and one part shall be distributed to each county. The
 3236  distribution among the several counties shall begin each fiscal
 3237  year on or before January 5th and shall continue monthly for a
 3238  total of 4 months. If a local or special law required that any
 3239  moneys accruing to a county in fiscal year 1999-2000 under the
 3240  then-existing provisions of s. 550.135 be paid directly to the
 3241  district school board, special district, or a municipal
 3242  government, such payment shall continue until such time that the
 3243  local or special law is amended or repealed. The state covenants
 3244  with holders of bonds or other instruments of indebtedness
 3245  issued by local governments, special districts, or district
 3246  school boards prior to July 1, 2000, that it is not the intent
 3247  of this subparagraph to adversely affect the rights of those
 3248  holders or relieve local governments, special districts, or
 3249  district school boards of the duty to meet their obligations as
 3250  a result of previous pledges or assignments or trusts entered
 3251  into which obligated funds received from the distribution to
 3252  county governments under then-existing s. 550.135. This
 3253  distribution specifically is in lieu of funds distributed under
 3254  s. 550.135 prior to July 1, 2000.
 3255         b. The department shall distribute $166,667 monthly
 3256  pursuant to s. 288.1162 to each applicant that has been
 3257  certified as a “facility for a new professional sports
 3258  franchise” or a “facility for a retained professional sports
 3259  franchise” pursuant to s. 288.1162. Up to $41,667 shall be
 3260  distributed monthly by the department to each applicant that has
 3261  been certified as a “facility for a retained spring training
 3262  franchise” pursuant to s. 288.1162; however, not more than
 3263  $416,670 may be distributed monthly in the aggregate to all
 3264  certified facilities for a retained spring training franchise.
 3265  Distributions shall begin 60 days following such certification
 3266  and shall continue for not more than 30 years. Nothing contained
 3267  in this paragraph shall be construed to allow an applicant
 3268  certified pursuant to s. 288.1162 to receive more in
 3269  distributions than actually expended by the applicant for the
 3270  public purposes provided for in s. 288.1162(6).
 3271         c. Beginning 30 days after notice by the Office of Tourism,
 3272  Trade, and Economic Development to the Department of Revenue
 3273  that an applicant has been certified as the professional golf
 3274  hall of fame pursuant to s. 288.1168 and is open to the public,
 3275  $166,667 shall be distributed monthly, for up to 300 months, to
 3276  the applicant.
 3277         d. Beginning 30 days after notice by the Office of Tourism,
 3278  Trade, and Economic Development to the Department of Revenue
 3279  that the applicant has been certified as the International Game
 3280  Fish Association World Center facility pursuant to s. 288.1169,
 3281  and the facility is open to the public, $83,333 shall be
 3282  distributed monthly, for up to 168 months, to the applicant.
 3283  This distribution is subject to reduction pursuant to s.
 3284  288.1169. A lump sum payment of $999,996 shall be made, after
 3285  certification and before July 1, 2000.
 3286         8. All other proceeds shall remain with the General Revenue
 3287  Fund.
 3288         Section 16. Section 213.052, Florida Statutes, is created
 3289  to read:
 3290         213.052Notice of state sales and use tax rate changes.—
 3291         (1)A sales or use tax rate change imposed under chapter
 3292  212 is effective on January 1, April 1, July 1, or October 1.
 3293  The Department of Revenue shall provide notice of such rate
 3294  change to all affected sellers 60 days before the effective date
 3295  of the rate change.
 3296         (2)Failure of a seller to receive notice does not relieve
 3297  the seller of its obligation to collect sales or use tax.
 3298         Section 17. Section 213.0521, Florida Statutes, is created
 3299  to read:
 3300         213.0521Effective date of state sales and use tax rate
 3301  changes.—The effective date for services covering a period
 3302  starting before and ending after the statutory effective date is
 3303  as follows:
 3304         (1)For a rate increase, the new rate applies to the first
 3305  billing period starting on or after the effective date.
 3306         (2)For a rate decrease, the new rate applies to bills
 3307  rendered on or after the effective date.
 3308         Section 18. Section 213.215, Florida Statutes, is created
 3309  to read:
 3310         213.215Sales and use tax amnesty upon registration in
 3311  accordance with Streamlined Sales and Use Tax Agreement.—
 3312         (1)Amnesty shall be provided for uncollected or unpaid
 3313  sales or use tax to a seller who registers to pay or to collect
 3314  and remit applicable sales or use tax in accordance with the
 3315  terms of the Streamlined Sales and Use Tax Agreement authorized
 3316  under s. 213.256, if the seller was not registered with the
 3317  Department of Revenue in the 12-month period preceding the
 3318  effective date of participation in the agreement by this state.
 3319         (2)The amnesty precludes assessment for uncollected or
 3320  unpaid sales or use tax, together with penalty or interest for
 3321  sales made during the period the seller was not registered with
 3322  the Department of Revenue, if registration occurs within 12
 3323  months after the effective date of this state's participation in
 3324  the agreement.
 3325         (3)The amnesty is not available to a seller with respect
 3326  to any matter for which the seller received notice of the
 3327  commencement of an audit if the audit is not yet finally
 3328  resolved, including any related administrative and judicial
 3329  processes.
 3330         (4)The amnesty is not available for sales or use taxes
 3331  already paid or remitted to the state or to taxes collected by
 3332  the seller.
 3333         (5)The amnesty is fully effective, absent the seller's
 3334  fraud or intentional misrepresentation of a material fact, as
 3335  long as the seller continues registration and continues payment
 3336  or collection and remittance of applicable sales or use taxes
 3337  for at least 36 months.
 3338         (6)The amnesty applies only to sales or use taxes due from
 3339  a seller in its capacity as a seller and not to sales or use
 3340  taxes due from a seller in its capacity as a buyer.
 3341         Section 19. Subsections (1) and (2) of section 213.256,
 3342  Florida Statutes, are amended to read:
 3343         213.256 Simplified Sales and Use Tax Administration Act.—
 3344         (1) As used in this section and s. 213.2567, the term:
 3345         (a) “Agent” means, for purposes of carrying out the
 3346  responsibilities placed on a dealer, a person appointed by the
 3347  seller to represent the seller before the department.
 3348         “Department” means the Department of Revenue.
 3349         (b) “Agreement” means the Streamlined Sales and Use Tax
 3350  Agreement as amended and adopted on January 27, 2001, by the
 3351  Executive Committee of the National Conference of State
 3352  Legislatures.
 3353         (c) “Certified automated system” means software certified
 3354  jointly by the state states that are signatories to the
 3355  agreement to calculate the tax imposed by each jurisdiction on a
 3356  transaction, determine the amount of tax to remit to the
 3357  appropriate state, and maintain a record of the transaction.
 3358         (d) “Certified service provider” means an agent certified
 3359  jointly by the states that are signatories to the agreement to
 3360  perform all of the seller's sales tax functions other than the
 3361  seller's obligation to remit tax on its own purchases.
 3362         (e)“Department” means the Department of Revenue.
 3363         (f)“Governing board” means the governing board of the
 3364  agreement.
 3365         (g)1.“Model 1 seller” means a seller that has selected a
 3366  certified service provider as the seller's agent to perform all
 3367  of the seller's sales and use tax functions other than the
 3368  seller's obligation to remit tax on the seller's purchases.
 3369         2.“Model 2 seller” means a seller that has selected a
 3370  certified automated system to perform part of the seller's sales
 3371  and use tax functions, but retains responsibility for remitting
 3372  the tax.
 3373         3.“Model 3 seller” means a seller that has sales in at
 3374  least five member states, has total annual sales revenue of at
 3375  least $500 million, has a proprietary system that calculates the
 3376  amount of tax due each jurisdiction, and has entered into a
 3377  performance agreement with the member states which establishes a
 3378  tax performance standard for the seller. As used in this
 3379  paragraph, a seller includes an affiliated group of sellers
 3380  using the same proprietary system.
 3381         (h)(e) “Person” means an individual, trust, estate,
 3382  fiduciary, partnership, limited liability company, limited
 3383  liability partnership, corporation, or any other legal entity.
 3384         (i)“Registered under this agreement” means registration by
 3385  a seller with the member states under the central registration
 3386  system.
 3387         (j)(f) “Sales tax” means the tax levied under chapter 212.
 3388         (k)(g) “Seller” means any person making sales, leases, or
 3389  rentals of personal property or services.
 3390         (l)(h) “State” means any state of the United States and the
 3391  District of Columbia.
 3392         (m)(i) “Use tax” means the tax levied under chapter 212.
 3393         (2)(a) The executive director of the department is
 3394  authorized to shall enter into an agreement the Streamlined
 3395  Sales and Use Tax Agreement with one or more states to simplify
 3396  and modernize sales and use tax administration in order to
 3397  substantially reduce the burden of tax compliance for all
 3398  sellers and for all types of commerce. In furtherance of the
 3399  agreement, the executive director of the department or his or
 3400  her designee shall act jointly with other states that are
 3401  members of the agreement to establish standards for
 3402  certification of a certified service provider and certified
 3403  automated systems system and central registration systems
 3404  establish performance standards for multistate sellers.
 3405         (b) The executive director of the department or his or her
 3406  designee shall take other actions reasonably required to
 3407  administer this section. Other actions authorized by this
 3408  section include, but are not limited to, the adoption of rules
 3409  and the joint procurement, with other member states, of goods
 3410  and services in furtherance of the cooperative agreement.
 3411         (c) The executive director of the department or his or her
 3412  designee may represent this state before the other states that
 3413  are signatories to the agreement.
 3414         (d)The executive director of the department or his or her
 3415  designee is authorized to prepare and submit from time to time
 3416  such reports and certifications as may be determined necessary
 3417  according to the terms of an agreement and to enter into such
 3418  other agreements with the governing board, member states, and
 3419  service providers as are determined by the executive director to
 3420  facilitate the administration of the tax laws of this state.
 3421         Section 20. Section 213.2562, Florida Statutes, is created
 3422  to read:
 3423         213.2562Approval of software to calculate tax.—The
 3424  department shall review software submitted to the governing
 3425  board for certification as a certified automated system. If the
 3426  software accurately reflects the taxability of product
 3427  categories included in the program, the department shall certify
 3428  the approval of the software to the governing board.
 3429         Section 21. Section 213.2567, Florida Statutes, is created
 3430  to read:
 3431         213.2567Simplified Sales and Use Tax registration,
 3432  certification, liability, and audit.—
 3433         (1)A seller that registers under the agreement agrees to
 3434  collect and remit sales and use taxes for all taxable sales into
 3435  the member states, including member states joining after the
 3436  seller's registration. Withdrawal or revocation of this state
 3437  does not relieve a seller of its responsibility to remit taxes
 3438  previously or subsequently collected on behalf of the state.
 3439         (a)When registering, the seller may select a model 1,
 3440  model 2, or model 3 method of remittance or other method allowed
 3441  by state law to remit the taxes collected.
 3442         (b)A seller may be registered by an agent. Such an
 3443  appointment must be in writing and submitted to a member state.
 3444         (2)(a)A certified service provider is the agent of a model
 3445  1 seller with whom the certified service provider has contracted
 3446  for the collection and remittance of sales and use taxes. As the
 3447  model 1 seller's agent, the certified service provider is liable
 3448  for sales and use tax due this state on all sales transactions
 3449  it processes for the model 1 seller, except as set out in
 3450  paragraph (b).
 3451         (b)A model 1 seller is not liable to the state for sales
 3452  or use tax due on transactions processed by the certified
 3453  service provider unless the model 1 seller has misrepresented
 3454  the type of items it sells or has committed fraud. In the
 3455  absence of probable cause to believe that the model 1 seller has
 3456  committed fraud or made a material misrepresentation, the model
 3457  1 seller is not subject to audit on the transactions processed
 3458  by the certified service provider. A model 1 seller is subject
 3459  to audit for transactions that have not been processed by the
 3460  certified service provider. The member states acting jointly may
 3461  perform a system check of the model 1 seller and review the
 3462  model 1 seller's procedures to determine if the certified
 3463  service provider's system is functioning properly and to
 3464  determine the extent to which the model 1 seller's transactions
 3465  are being processed by the certified service provider.
 3466         (3)A model 2 seller that uses a certified automated system
 3467  remains responsible and is liable to this state for reporting
 3468  and remitting tax. However, a model 2 seller is not responsible
 3469  for errors in reliance on a certified automated system.
 3470         (4)A model 3 seller is liable for the failure of the
 3471  proprietary system to meet the performance standard.
 3472         (5)A person that provides a certified automated system is
 3473  not liable for errors contained in software that was approved by
 3474  the department and certified to the governing board. However,
 3475  such person:
 3476         (a)Is responsible for the proper functioning of that
 3477  system;
 3478         (b)Is liable to this state for underpayments of tax
 3479  attributable to errors in the functioning of the certified
 3480  automated system; and
 3481         (c)Is liable for the misclassification of an item or
 3482  transaction that is not corrected within 10 days following the
 3483  receipt of notice from the department.
 3484         (6)The executive director of the department or his or her
 3485  designee may certify a person as a certified service provider if
 3486  the person meets all of the following requirements:
 3487         (a)Uses a certified automated system;
 3488         (b)Integrates its certified automated system with the
 3489  system of a seller for whom the person collects tax so that the
 3490  tax due on a sale is determined at the time of the sale;
 3491         (c)Agrees to remit the taxes it collects at the time and
 3492  in the manner specified by chapter 212;
 3493         (d)Agrees to file returns on behalf of the sellers for
 3494  whom it collects tax;
 3495         (e)Agrees to protect the privacy of tax information it
 3496  obtains in accordance with s. 213.053; and
 3497         (f)Enters into a contract with the department and agrees
 3498  to comply with the terms of the contract.
 3499         (7)The department shall review software submitted to the
 3500  governing board for certification as a certified automated
 3501  system. The executive director of the department shall certify
 3502  the approval of the software to the governing board if the
 3503  software:
 3504         (a)Determines the applicable state and local sales and use
 3505  tax rate for a transaction in accordance with s. 212.06(3) and
 3506  (4);
 3507         (b)Determines whether an item is exempt from tax;
 3508         (c)Determines the amount of tax to be remitted for each
 3509  taxpayer for a reporting period; and
 3510         (d)Can generate reports and returns as required by the
 3511  governing board.
 3512         (8)The department may by rule establish one or more sales
 3513  tax performance standards for model 3 sellers.
 3514         (9)Disclosure of information necessary under this section
 3515  must be made according to a written agreement between the
 3516  executive director of the department or his or her designee and
 3517  the certified service provider. The certified service provider
 3518  is bound by the same requirements of confidentiality as the
 3519  department employees. Breach of confidentiality is a misdemeanor
 3520  of the first degree, punishable as provided in s. 775.082 or s.
 3521  775.083.
 3522         Section 22. It is the intent of the Legislature to urge the
 3523  United States Congress to consider adequate protections for
 3524  small businesses engaging in both offline and online
 3525  transactions from added costs, administrative burdens, and
 3526  requirements imposed on intermediaries relating to the
 3527  collection and remittance of sales and use tax.
 3528         Section 23. The executive director of the Department of
 3529  Revenue may adopt emergency rules to implement this act.
 3530  Notwithstanding any other law, the emergency rules shall remain
 3531  effective for 6 months after the date of adoption and may be
 3532  renewed during the pendency of procedures to adopt rules
 3533  addressing the subject of the emergency rules.
 3534         Section 24. Paragraph (a) of subsection (5) of section
 3535  11.45, Florida Statutes, is amended to read:
 3536         11.45 Definitions; duties; authorities; reports; rules.—
 3537         (5) PETITION FOR AN AUDIT BY THE AUDITOR GENERAL.—
 3538         (a) The Legislative Auditing Committee shall direct the
 3539  Auditor General to make an audit of any municipality whenever
 3540  petitioned to do so by at least 20 percent of the registered
 3541  electors in the last general election of that municipality
 3542  pursuant to this subsection. The supervisor of elections of the
 3543  county in which the municipality is located shall certify
 3544  whether or not the petition contains the signatures of at least
 3545  20 percent of the registered electors of the municipality. After
 3546  the completion of the audit, the Auditor General shall determine
 3547  whether the municipality has the fiscal resources necessary to
 3548  pay the cost of the audit. The municipality shall pay the cost
 3549  of the audit within 90 days after the Auditor General's
 3550  determination that the municipality has the available resources.
 3551  If the municipality fails to pay the cost of the audit, the
 3552  Department of Revenue shall, upon certification of the Auditor
 3553  General, withhold from that portion of the distribution pursuant
 3554  to s. 212.20(5)(d)6. s. 212.20(6)(d)6. which is distributable to
 3555  such municipality, a sum sufficient to pay the cost of the audit
 3556  and shall deposit that sum into the General Revenue Fund of the
 3557  state.
 3558         Section 25. Subsection (6) of section 196.012, Florida
 3559  Statutes, is amended to read:
 3560         196.012 Definitions.—For the purpose of this chapter, the
 3561  following terms are defined as follows, except where the context
 3562  clearly indicates otherwise:
 3563         (6) Governmental, municipal, or public purpose or function
 3564  shall be deemed to be served or performed when the lessee under
 3565  any leasehold interest created in property of the United States,
 3566  the state or any of its political subdivisions, or any
 3567  municipality, agency, special district, authority, or other
 3568  public body corporate of the state is demonstrated to perform a
 3569  function or serve a governmental purpose which could properly be
 3570  performed or served by an appropriate governmental unit or which
 3571  is demonstrated to perform a function or serve a purpose which
 3572  would otherwise be a valid subject for the allocation of public
 3573  funds. For purposes of the preceding sentence, an activity
 3574  undertaken by a lessee which is permitted under the terms of its
 3575  lease of real property designated as an aviation area on an
 3576  airport layout plan which has been approved by the Federal
 3577  Aviation Administration and which real property is used for the
 3578  administration, operation, business offices and activities
 3579  related specifically thereto in connection with the conduct of
 3580  an aircraft full service fixed base operation which provides
 3581  goods and services to the general aviation public in the
 3582  promotion of air commerce shall be deemed an activity which
 3583  serves a governmental, municipal, or public purpose or function.
 3584  Any activity undertaken by a lessee which is permitted under the
 3585  terms of its lease of real property designated as a public
 3586  airport as defined in s. 332.004(14) by municipalities,
 3587  agencies, special districts, authorities, or other public bodies
 3588  corporate and public bodies politic of the state, a spaceport as
 3589  defined in s. 331.303, or which is located in a deepwater port
 3590  identified in s. 403.021(9)(b) and owned by one of the foregoing
 3591  governmental units, subject to a leasehold or other possessory
 3592  interest of a nongovernmental lessee that is deemed to perform
 3593  an aviation, airport, aerospace, maritime, or port purpose or
 3594  operation shall be deemed an activity that serves a
 3595  governmental, municipal, or public purpose. The use by a lessee,
 3596  licensee, or management company of real property or a portion
 3597  thereof as a convention center, visitor center, sports facility
 3598  with permanent seating, concert hall, arena, stadium, park, or
 3599  beach is deemed a use that serves a governmental, municipal, or
 3600  public purpose or function when access to the property is open
 3601  to the general public with or without a charge for admission. If
 3602  property deeded to a municipality by the United States is
 3603  subject to a requirement that the Federal Government, through a
 3604  schedule established by the Secretary of the Interior, determine
 3605  that the property is being maintained for public historic
 3606  preservation, park, or recreational purposes and if those
 3607  conditions are not met the property will revert back to the
 3608  Federal Government, then such property shall be deemed to serve
 3609  a municipal or public purpose. The term “governmental purpose”
 3610  also includes a direct use of property on federal lands in
 3611  connection with the Federal Government's Space Exploration
 3612  Program or spaceport activities as defined in s. 212.02 s.
 3613  212.02(22). Real property and tangible personal property owned
 3614  by the Federal Government or Space Florida and used for defense
 3615  and space exploration purposes or which is put to a use in
 3616  support thereof shall be deemed to perform an essential national
 3617  governmental purpose and shall be exempt. “Owned by the lessee”
 3618  as used in this chapter does not include personal property,
 3619  buildings, or other real property improvements used for the
 3620  administration, operation, business offices and activities
 3621  related specifically thereto in connection with the conduct of
 3622  an aircraft full service fixed based operation which provides
 3623  goods and services to the general aviation public in the
 3624  promotion of air commerce provided that the real property is
 3625  designated as an aviation area on an airport layout plan
 3626  approved by the Federal Aviation Administration. For purposes of
 3627  determination of “ownership,” buildings and other real property
 3628  improvements which will revert to the airport authority or other
 3629  governmental unit upon expiration of the term of the lease shall
 3630  be deemed “owned” by the governmental unit and not the lessee.
 3631  Providing two-way telecommunications services to the public for
 3632  hire by the use of a telecommunications facility, as defined in
 3633  s. 364.02 s. 364.02(15), and for which a certificate is required
 3634  under chapter 364 does not constitute an exempt use for purposes
 3635  of s. 196.199, unless the telecommunications services are
 3636  provided by the operator of a public-use airport, as defined in
 3637  s. 332.004, for the operator's provision of telecommunications
 3638  services for the airport or its tenants, concessionaires, or
 3639  licensees, or unless the telecommunications services are
 3640  provided by a public hospital.
 3641         Section 26. Paragraph (b) of subsection (1) and paragraph
 3642  (b) of subsection (2) of section 202.18, Florida Statutes, are
 3643  amended to read:
 3644         202.18 Allocation and disposition of tax proceeds.—The
 3645  proceeds of the communications services taxes remitted under
 3646  this chapter shall be treated as follows:
 3647         (1) The proceeds of the taxes remitted under s.
 3648  202.12(1)(a) shall be divided as follows:
 3649         (b) The remaining portion shall be distributed according to
 3650  s. 212.20(5) s. 212.20(6).
 3651         (2) The proceeds of the taxes remitted under s.
 3652  202.12(1)(b) shall be divided as follows:
 3653         (b) Sixty-three percent of the remainder shall be allocated
 3654  to the state and distributed pursuant to s. 212.20(5) s.
 3655  212.20(6), except that the proceeds allocated pursuant to s.
 3656  212.20(5)(d)3. s. 212.20(6)(d)3. shall be prorated to the
 3657  participating counties in the same proportion as that month's
 3658  collection of the taxes and fees imposed pursuant to chapter 212
 3659  and paragraph (1)(b).
 3660         Section 27. Paragraphs (f), (g), (h), and (i) of subsection
 3661  (1) of section 203.01, Florida Statutes, are amended to read:
 3662         203.01 Tax on gross receipts for utility and communications
 3663  services.—
 3664         (1)
 3665         (f) Any person who imports into this state electricity,
 3666  natural gas, or manufactured gas, or severs natural gas, for
 3667  that person's own use or consumption as a substitute for
 3668  purchasing utility, transportation, or delivery services taxable
 3669  under this chapter and who cannot demonstrate payment of the tax
 3670  imposed by this chapter must register with the Department of
 3671  Revenue and pay into the State Treasury each month an amount
 3672  equal to the cost price of such electricity, natural gas, or
 3673  manufactured gas times the rate set forth in paragraph (b),
 3674  reduced by the amount of any like tax lawfully imposed on and
 3675  paid by the person from whom the electricity, natural gas, or
 3676  manufactured gas was purchased or any person who provided
 3677  delivery service or transportation service in connection with
 3678  the electricity, natural gas, or manufactured gas. For purposes
 3679  of this paragraph, the term “cost price” has the meaning
 3680  ascribed in s. 212.02 s. 212.02(4). The methods of demonstrating
 3681  proof of payment and the amount of such reductions in tax shall
 3682  be made according to rules of the Department of Revenue.
 3683         (g) Electricity produced by cogeneration or by small power
 3684  producers which is transmitted and distributed by a public
 3685  utility between two locations of a customer of the utility
 3686  pursuant to s. 366.051 is subject to the tax imposed by this
 3687  section. The tax shall be applied to the cost price of such
 3688  electricity as provided in s. 212.02 s. 212.02(4) and shall be
 3689  paid each month by the producer of such electricity.
 3690         (h) Electricity produced by cogeneration or by small power
 3691  producers during the 12-month period ending June 30 of each year
 3692  which is in excess of nontaxable electricity produced during the
 3693  12-month period ending June 30, 1990, is subject to the tax
 3694  imposed by this section. The tax shall be applied to the cost
 3695  price of such electricity as provided in s. 212.02 s. 212.02(4)
 3696  and shall be paid each month, beginning with the month in which
 3697  total production exceeds the production of nontaxable
 3698  electricity for the 12-month period ending June 30, 1990. For
 3699  purposes of this paragraph, “nontaxable electricity” means
 3700  electricity produced by cogeneration or by small power producers
 3701  which is not subject to tax under paragraph (g). Taxes paid
 3702  pursuant to paragraph (g) may be credited against taxes due
 3703  under this paragraph. Electricity generated as part of an
 3704  industrial manufacturing process which manufactures products
 3705  from phosphate rock, raw wood fiber, paper, citrus, or any
 3706  agricultural product shall not be subject to the tax imposed by
 3707  this paragraph. “Industrial manufacturing process” means the
 3708  entire process conducted at the location where the process takes
 3709  place.
 3710         (i) Any person other than a cogenerator or small power
 3711  producer described in paragraph (h) who produces for his or her
 3712  own use electrical energy which is a substitute for electrical
 3713  energy produced by an electric utility as defined in s. 366.02
 3714  is subject to the tax imposed by this section. The tax shall be
 3715  applied to the cost price of such electrical energy as provided
 3716  in s. 212.02 s. 212.02(4) and shall be paid each month. The
 3717  provisions of this paragraph do not apply to any electrical
 3718  energy produced and used by an electric utility.
 3719         Section 28. Paragraph (a) of subsection (1) of section
 3720  212.031, Florida Statutes, is amended to read:
 3721         212.031 Tax on rental or license fee for use of real
 3722  property.—
 3723         (1)(a) It is declared to be the legislative intent that
 3724  every person is exercising a taxable privilege who engages in
 3725  the business of renting, leasing, letting, or granting a license
 3726  for the use of any real property unless such property is:
 3727         1. Assessed as agricultural property under s. 193.461.
 3728         2. Used exclusively as dwelling units.
 3729         3. Property subject to tax on parking, docking, or storage
 3730  spaces under s. 212.03(6).
 3731         4. Recreational property or the common elements of a
 3732  condominium when subject to a lease between the developer or
 3733  owner thereof and the condominium association in its own right
 3734  or as agent for the owners of individual condominium units or
 3735  the owners of individual condominium units. However, only the
 3736  lease payments on such property shall be exempt from the tax
 3737  imposed by this chapter, and any other use made by the owner or
 3738  the condominium association shall be fully taxable under this
 3739  chapter.
 3740         5. A public or private street or right-of-way and poles,
 3741  conduits, fixtures, and similar improvements located on such
 3742  streets or rights-of-way, occupied or used by a utility or
 3743  provider of communications services, as defined by s. 202.11,
 3744  for utility or communications or television purposes. For
 3745  purposes of this subparagraph, the term “utility” means any
 3746  person providing utility services as defined in s. 203.012. This
 3747  exception also applies to property, wherever located, on which
 3748  the following are placed: towers, antennas, cables, accessory
 3749  structures, or equipment, not including switching equipment,
 3750  used in the provision of mobile communications services as
 3751  defined in s. 202.11. For purposes of this chapter, towers used
 3752  in the provision of mobile communications services, as defined
 3753  in s. 202.11, are considered to be fixtures.
 3754         6. A public street or road which is used for transportation
 3755  purposes.
 3756         7. Property used at an airport exclusively for the purpose
 3757  of aircraft landing or aircraft taxiing or property used by an
 3758  airline for the purpose of loading or unloading passengers or
 3759  property onto or from aircraft or for fueling aircraft.
 3760         8.a. Property used at a port authority, as defined in s.
 3761  315.02(2), exclusively for the purpose of oceangoing vessels or
 3762  tugs docking, or such vessels mooring on property used by a port
 3763  authority for the purpose of loading or unloading passengers or
 3764  cargo onto or from such a vessel, or property used at a port
 3765  authority for fueling such vessels, or to the extent that the
 3766  amount paid for the use of any property at the port is based on
 3767  the charge for the amount of tonnage actually imported or
 3768  exported through the port by a tenant.
 3769         b. The amount charged for the use of any property at the
 3770  port in excess of the amount charged for tonnage actually
 3771  imported or exported shall remain subject to tax except as
 3772  provided in sub-subparagraph a.
 3773         9. Property used as an integral part of the performance of
 3774  qualified production services. As used in this subparagraph, the
 3775  term “qualified production services” means any activity or
 3776  service performed directly in connection with the production of
 3777  a qualified motion picture, as defined in s. 212.06(1)(b), and
 3778  includes:
 3779         a. Photography, sound and recording, casting, location
 3780  managing and scouting, shooting, creation of special and optical
 3781  effects, animation, adaptation (language, media, electronic, or
 3782  otherwise), technological modifications, computer graphics, set
 3783  and stage support (such as electricians, lighting designers and
 3784  operators, greensmen, prop managers and assistants, and grips),
 3785  wardrobe (design, preparation, and management), hair and makeup
 3786  (design, production, and application), performing (such as
 3787  acting, dancing, and playing), designing and executing stunts,
 3788  coaching, consulting, writing, scoring, composing,
 3789  choreographing, script supervising, directing, producing,
 3790  transmitting dailies, dubbing, mixing, editing, cutting,
 3791  looping, printing, processing, duplicating, storing, and
 3792  distributing;
 3793         b. The design, planning, engineering, construction,
 3794  alteration, repair, and maintenance of real or personal property
 3795  including stages, sets, props, models, paintings, and facilities
 3796  principally required for the performance of those services
 3797  listed in sub-subparagraph a.; and
 3798         c. Property management services directly related to
 3799  property used in connection with the services described in sub
 3800  subparagraphs a. and b.
 3801  This exemption will inure to the taxpayer upon presentation of
 3802  the certificate of exemption issued to the taxpayer under the
 3803  provisions of s. 288.1258.
 3804         10. Leased, subleased, licensed, or rented to a person
 3805  providing food and drink concessionaire services within the
 3806  premises of a convention hall, exhibition hall, auditorium,
 3807  stadium, theater, arena, civic center, performing arts center,
 3808  publicly owned recreational facility, or any business operated
 3809  under a permit issued pursuant to chapter 550. A person
 3810  providing retail concessionaire services involving the sale of
 3811  food and drink or other tangible personal property within the
 3812  premises of an airport shall be subject to tax on the rental of
 3813  real property used for that purpose, but shall not be subject to
 3814  the tax on any license to use the property. For purposes of this
 3815  subparagraph, the term “sale” shall not include the leasing of
 3816  tangible personal property.
 3817         11. Property occupied pursuant to an instrument calling for
 3818  payments which the department has declared, in a Technical
 3819  Assistance Advisement issued on or before March 15, 1993, to be
 3820  nontaxable pursuant to rule 12A-1.070(19)(c), Florida
 3821  Administrative Code; provided that this subparagraph shall only
 3822  apply to property occupied by the same person before and after
 3823  the execution of the subject instrument and only to those
 3824  payments made pursuant to such instrument, exclusive of renewals
 3825  and extensions thereof occurring after March 15, 1993.
 3826         12. Rented, leased, subleased, or licensed to a
 3827  concessionaire by a convention hall, exhibition hall,
 3828  auditorium, stadium, theater, arena, civic center, performing
 3829  arts center, or publicly owned recreational facility, during an
 3830  event at the facility, to be used by the concessionaire to sell
 3831  souvenirs, novelties, or other event-related products. This
 3832  subparagraph applies only to that portion of the rental, lease,
 3833  or license payment which is based on a percentage of sales and
 3834  not based on a fixed price. This subparagraph is repealed July
 3835  1, 2009.
 3836         13. Property used or occupied predominantly for space
 3837  flight business purposes. As used in this subparagraph, “space
 3838  flight business” means the manufacturing, processing, or
 3839  assembly of a space facility, space propulsion system, space
 3840  vehicle, satellite, or station of any kind possessing the
 3841  capacity for space flight, as defined by s. 212.02 s.
 3842  212.02(23), or components thereof, and also means the following
 3843  activities supporting space flight: vehicle launch activities,
 3844  flight operations, ground control or ground support, and all
 3845  administrative activities directly related thereto. Property
 3846  shall be deemed to be used or occupied predominantly for space
 3847  flight business purposes if more than 50 percent of the
 3848  property, or improvements thereon, is used for one or more space
 3849  flight business purposes. Possession by a landlord, lessor, or
 3850  licensor of a signed written statement from the tenant, lessee,
 3851  or licensee claiming the exemption shall relieve the landlord,
 3852  lessor, or licensor from the responsibility of collecting the
 3853  tax, and the department shall look solely to the tenant, lessee,
 3854  or licensee for recovery of such tax if it determines that the
 3855  exemption was not applicable.
 3856         Section 29. Paragraph (c) of subsection (2) and paragraph
 3857  (c) of subsection (3) of section 212.055, Florida Statutes, are
 3858  amended to read:
 3859         212.055 Discretionary sales surtaxes; legislative intent;
 3860  authorization and use of proceeds.—It is the legislative intent
 3861  that any authorization for imposition of a discretionary sales
 3862  surtax shall be published in the Florida Statutes as a
 3863  subsection of this section, irrespective of the duration of the
 3864  levy. Each enactment shall specify the types of counties
 3865  authorized to levy; the rate or rates which may be imposed; the
 3866  maximum length of time the surtax may be imposed, if any; the
 3867  procedure which must be followed to secure voter approval, if
 3868  required; the purpose for which the proceeds may be expended;
 3869  and such other requirements as the Legislature may provide.
 3870  Taxable transactions and administrative procedures shall be as
 3871  provided in s. 212.054.
 3872         (2) LOCAL GOVERNMENT INFRASTRUCTURE SURTAX.—
 3873         (c) Pursuant to s. 212.054 s. 212.054(4), the proceeds of
 3874  the surtax levied under this subsection shall be distributed to
 3875  the county and the municipalities within such county in which
 3876  the surtax was collected, according to:
 3877         1. An interlocal agreement between the county governing
 3878  authority and the governing bodies of the municipalities
 3879  representing a majority of the county's municipal population,
 3880  which agreement may include a school district with the consent
 3881  of the county governing authority and the governing bodies of
 3882  the municipalities representing a majority of the county's
 3883  municipal population; or
 3884         2. If there is no interlocal agreement, according to the
 3885  formula provided in s. 218.62.
 3886  Any change in the distribution formula must take effect on the
 3887  first day of any month that begins at least 60 days after
 3888  written notification of that change has been made to the
 3889  department.
 3890         (3) SMALL COUNTY SURTAX.—
 3891         (c) Pursuant to s. 212.054 s. 212.054(4), the proceeds of
 3892  the surtax levied under this subsection shall be distributed to
 3893  the county and the municipalities within the county in which the
 3894  surtax was collected, according to:
 3895         1. An interlocal agreement between the county governing
 3896  authority and the governing bodies of the municipalities
 3897  representing a majority of the county's municipal population,
 3898  which agreement may include a school district with the consent
 3899  of the county governing authority and the governing bodies of
 3900  the municipalities representing a majority of the county's
 3901  municipal population; or
 3902         2. If there is no interlocal agreement, according to the
 3903  formula provided in s. 218.62.
 3904  Any change in the distribution formula shall take effect on the
 3905  first day of any month that begins at least 60 days after
 3906  written notification of that change has been made to the
 3907  department.
 3908         Section 30. Subsection (3) of section 212.13, Florida
 3909  Statutes, is amended to read:
 3910         212.13 Records required to be kept; power to inspect; audit
 3911  procedure.—
 3912         (3) For the purpose of enforcement of this chapter, every
 3913  manufacturer and seller of tangible personal property or
 3914  services licensed within this state is required to permit the
 3915  department to examine his or her books and records at all
 3916  reasonable hours, and, upon his or her refusal, the department
 3917  may require him or her to permit such examination by resort to
 3918  the circuit courts of this state, subject however to the right
 3919  of removal of the cause to the judicial circuit wherein such
 3920  person's business is located or wherein such person's books and
 3921  records are kept, provided further that such person's books and
 3922  records are kept within the state. When the dealer has made an
 3923  allocation or attribution pursuant to the definition of sales
 3924  price in s. 212.02 s. 212.02(16), the department may prescribe
 3925  by rule the books and records that must be made available during
 3926  an audit of the dealer's books and records and examples of
 3927  methods for determining the reasonableness thereof. Books and
 3928  records kept in the regular course of business include, but are
 3929  not limited to, general ledgers, price lists, cost records,
 3930  customer billings, billing system reports, tariffs, and other
 3931  regulatory filings and rules of regulatory authorities. Such
 3932  record may be required to be made available to the department in
 3933  an electronic format when so kept by the dealer. The dealer may
 3934  support the allocation of charges with books and records kept in
 3935  the regular course of business covering the dealer's entire
 3936  service area, including territories outside this state. During
 3937  an audit, the department may reasonably require production of
 3938  any additional books and records found necessary to assist in
 3939  its determination.
 3940         Section 31. Subsection (1) of section 212.15, Florida
 3941  Statutes, is amended to read:
 3942         212.15 Taxes declared state funds; penalties for failure to
 3943  remit taxes; due and delinquent dates; judicial review.—
 3944         (1) The taxes imposed by this chapter shall, except as
 3945  provided in s. 212.06(5)(a)2.e., become state funds at the
 3946  moment of collection and shall for each month be due to the
 3947  department on the first day of the succeeding month and be
 3948  delinquent on the 21st day of such month. All returns postmarked
 3949  after the 20th day of such month are delinquent.
 3950         Section 32. Subsection (3) of section 213.015, Florida
 3951  Statutes, is amended to read:
 3952         213.015 Taxpayer rights.—There is created a Florida
 3953  Taxpayer's Bill of Rights to guarantee that the rights, privacy,
 3954  and property of Florida taxpayers are adequately safeguarded and
 3955  protected during tax assessment, collection, and enforcement
 3956  processes administered under the revenue laws of this state. The
 3957  Taxpayer's Bill of Rights compiles, in one document, brief but
 3958  comprehensive statements which explain, in simple, nontechnical
 3959  terms, the rights and obligations of the Department of Revenue
 3960  and taxpayers. Section 192.0105 provides additional rights
 3961  afforded to payors of property taxes and assessments. The rights
 3962  afforded taxpayers to ensure that their privacy and property are
 3963  safeguarded and protected during tax assessment and collection
 3964  are available only insofar as they are implemented in other
 3965  parts of the Florida Statutes or rules of the Department of
 3966  Revenue. The rights so guaranteed Florida taxpayers in the
 3967  Florida Statutes and the departmental rules are:
 3968         (3) The right to be represented or advised by counsel or
 3969  other qualified representatives at any time in administrative
 3970  interactions with the department, the right to procedural
 3971  safeguards with respect to recording of interviews during tax
 3972  determination or collection processes conducted by the
 3973  department, the right to be treated in a professional manner by
 3974  department personnel, and the right to have audits, inspections
 3975  of records, and interviews conducted at a reasonable time and
 3976  place except in criminal and internal investigations (see ss.
 3977  198.06, 199.218, 201.11(1), 203.02, 206.14, 211.125(3),
 3978  211.33(3), 212.0305(3), 212.12(5)(a), (6)(a), and (11)
 3979  212.12(5)(a), (6)(a), and(13), 212.13(5), 213.05, 213.21(1)(a)
 3980  and (c), and 213.34).
 3981         Section 33. Subsection (3) of section 218.245, Florida
 3982  Statutes, is amended to read:
 3983         218.245 Revenue sharing; apportionment.—
 3984         (3) Revenues attributed to the increase in distribution to
 3985  the Revenue Sharing Trust Fund for Municipalities pursuant to s.
 3986  212.20(5)(d)5. s. 212.20(6)(d)6. from 1.0715 percent to 1.3409
 3987  percent provided in chapter 2003-402, Laws of Florida, shall be
 3988  distributed to each eligible municipality and any unit of local
 3989  government which is consolidated as provided by s. 9, Art. VIII
 3990  of the State Constitution of 1885, as preserved by s. 6(e), Art.
 3991  VIII, 1968 revised constitution, as follows: each eligible local
 3992  government's allocation shall be based on the amount it received
 3993  from the half-cent sales tax under s. 218.61 in the prior state
 3994  fiscal year divided by the total receipts under s. 218.61 in the
 3995  prior state fiscal year for all eligible local governments;
 3996  provided, however, for the purpose of calculating this
 3997  distribution, the amount received from the half-cent sales tax
 3998  under s. 218.61 in the prior state fiscal year by a unit of
 3999  local government which is consolidated as provided by s. 9, Art.
 4000  VIII of the State Constitution of 1885, as amended, and as
 4001  preserved by s. 6(e), Art. VIII, of the Constitution as revised
 4002  in 1968, shall be reduced by 50 percent for such local
 4003  government and for the total receipts. For eligible
 4004  municipalities that began participating in the allocation of
 4005  half-cent sales tax under s. 218.61 in the previous state fiscal
 4006  year, their annual receipts shall be calculated by dividing
 4007  their actual receipts by the number of months they participated,
 4008  and the result multiplied by 12.
 4009         Section 34. Subsections (5), (6), and (7) of section
 4010  218.65, Florida Statutes, are amended to read:
 4011         218.65 Emergency distribution.—
 4012         (5) At the beginning of each fiscal year, the Department of
 4013  Revenue shall calculate a base allocation for each eligible
 4014  county equal to the difference between the current per capita
 4015  limitation times the county's population, minus prior year
 4016  ordinary distributions to the county pursuant to ss.
 4017  212.20(5)(d)3. 212.20(6)(d)3., 218.61, and 218.62. If moneys
 4018  deposited into the Local Government Half-cent Sales Tax Clearing
 4019  Trust Fund pursuant to s. 212.20(5)(d)4. s. 212.20(6)(d)4.,
 4020  excluding moneys appropriated for supplemental distributions
 4021  pursuant to subsection (8), for the current year are less than
 4022  or equal to the sum of the base allocations, each eligible
 4023  county shall receive a share of the appropriated amount
 4024  proportional to its base allocation. If the deposited amount
 4025  exceeds the sum of the base allocations, each county shall
 4026  receive its base allocation, and the excess appropriated amount,
 4027  less any amounts distributed under subsection (6), shall be
 4028  distributed equally on a per capita basis among the eligible
 4029  counties.
 4030         (6) If moneys deposited in the Local Government Half-cent
 4031  Sales Tax Clearing Trust Fund pursuant to s. 212.20(5)(d)4. s.
 4032  212.20(6)(d)4. exceed the amount necessary to provide the base
 4033  allocation to each eligible county, the moneys in the trust fund
 4034  may be used to provide a transitional distribution, as specified
 4035  in this subsection, to certain counties whose population has
 4036  increased. The transitional distribution shall be made available
 4037  to each county that qualified for a distribution under
 4038  subsection (2) in the prior year but does not, because of the
 4039  requirements of paragraph (2)(a), qualify for a distribution in
 4040  the current year. Beginning on July 1 of the year following the
 4041  year in which the county no longer qualifies for a distribution
 4042  under subsection (2), the county shall receive two-thirds of the
 4043  amount received in the prior year, and beginning July 1 of the
 4044  second year following the year in which the county no longer
 4045  qualifies for a distribution under subsection (2), the county
 4046  shall receive one-third of the amount it received in the last
 4047  year it qualified for the distribution under subsection (2). If
 4048  insufficient moneys are available in the Local Government Half
 4049  cent Sales Tax Clearing Trust Fund to fully provide such a
 4050  transitional distribution to each county that meets the
 4051  eligibility criteria in this section, each eligible county shall
 4052  receive a share of the available moneys proportional to the
 4053  amount it would have received had moneys been sufficient to
 4054  fully provide such a transitional distribution to each eligible
 4055  county.
 4056         (7) There is hereby annually appropriated from the Local
 4057  Government Half-cent Sales Tax Clearing Trust Fund the
 4058  distribution provided in s. 212.20(5)(d)4. s. 212.20(6)(d)4. to
 4059  be used for emergency and supplemental distributions pursuant to
 4060  this section.
 4061         Section 35. Paragraph (s) of subsection (1) of section
 4062  288.1045, Florida Statutes, is amended to read:
 4063         288.1045 Qualified defense contractor and space flight
 4064  business tax refund program.—
 4065         (1) DEFINITIONS.—As used in this section:
 4066         (s) “Space flight business” means the manufacturing,
 4067  processing, or assembly of space flight technology products,
 4068  space flight facilities, space flight propulsion systems, or
 4069  space vehicles, satellites, or stations of any kind possessing
 4070  the capability for space flight, as defined by s. 212.02 s.
 4071  212.02(23), or components thereof, and includes, in supporting
 4072  space flight, vehicle launch activities, flight operations,
 4073  ground control or ground support, and all administrative
 4074  activities directly related to such activities. The term does
 4075  not include products that are designed or manufactured for
 4076  general commercial aviation or other uses even if those products
 4077  may also serve an incidental use in space flight applications.
 4078         Section 36. Subsection (6) of section 288.1169, Florida
 4079  Statutes, is amended to read:
 4080         288.1169 International Game Fish Association World Center
 4081  facility.—
 4082         (6) The Department of Commerce must recertify every 10
 4083  years that the facility is open, that the International Game
 4084  Fish Association World Center continues to be the only
 4085  international administrative headquarters, fishing museum, and
 4086  Hall of Fame in the United States recognized by the
 4087  International Game Fish Association, and that the project is
 4088  meeting the minimum projections for attendance or sales tax
 4089  revenues as required at the time of original certification. If
 4090  the facility is not recertified during this 10-year review as
 4091  meeting the minimum projections, then funding will be abated
 4092  until certification criteria are met. If the project fails to
 4093  generate $1 million of annual revenues pursuant to paragraph
 4094  (2)(e), the distribution of revenues pursuant to
 4095  212.20(5)(d)7.d. s. 212.20(6)(d)7.d. shall be reduced to an
 4096  amount equal to $83,333 multiplied by a fraction, the numerator
 4097  of which is the actual revenues generated and the denominator of
 4098  which is $1 million. Such reduction shall remain in effect until
 4099  revenues generated by the project in a 12-month period equal or
 4100  exceed $1 million.
 4101         Section 37. Subsection (8) of section 551.102, Florida
 4102  Statutes, is amended to read:
 4103         551.102 Definitions.—As used in this chapter, the term:
 4104         (8) “Slot machine” means any mechanical or electrical
 4105  contrivance, terminal that may or may not be capable of
 4106  downloading slot games from a central server system, machine, or
 4107  other device that, upon insertion of a coin, bill, ticket,
 4108  token, or similar object or upon payment of any consideration
 4109  whatsoever, including the use of any electronic payment system
 4110  except a credit card or debit card, is available to play or
 4111  operate, the play or operation of which, whether by reason of
 4112  skill or application of the element of chance or both, may
 4113  deliver or entitle the person or persons playing or operating
 4114  the contrivance, terminal, machine, or other device to receive
 4115  cash, billets, tickets, tokens, or electronic credits to be
 4116  exchanged for cash or to receive merchandise or anything of
 4117  value whatsoever, whether the payoff is made automatically from
 4118  the machine or manually. The term includes associated equipment
 4119  necessary to conduct the operation of the contrivance, terminal,
 4120  machine, or other device. Slot machines may use spinning reels,
 4121  video displays, or both. A slot machine is not a “coin-operated
 4122  amusement machine” as defined in s. 212.02 s. 212.02(24) or an
 4123  amusement game or machine as described in s. 849.161, and slot
 4124  machines are not subject to the tax imposed by s. 212.05(1)(h).
 4125         Section 38. Paragraph (a) of subsection (1) of section
 4126  790.0655, Florida Statutes, is amended to read:
 4127         790.0655 Purchase and delivery of handguns; mandatory
 4128  waiting period; exceptions; penalties.—
 4129         (1)(a) There shall be a mandatory 3-day waiting period,
 4130  which shall be 3 days, excluding weekends and legal holidays,
 4131  between the purchase and the delivery at retail of any handgun.
 4132  “Purchase” means the transfer of money or other valuable
 4133  consideration to the retailer. “Handgun” means a firearm capable
 4134  of being carried and used by one hand, such as a pistol or
 4135  revolver. “Retailer” means and includes every person engaged in
 4136  the business of making sales at retail or for distribution, or
 4137  use, or consumption, or storage to be used or consumed in this
 4138  state, as defined in s. 212.02 s. 212.02(13).
 4139         Section 39. Section 212.0596, Florida Statutes, is
 4140  repealed.
 4141         Section 40. This act shall take effect January 1, 2010.