Florida Senate - 2011 CS for CS for SB 1198
By the Committees on Budget; and Communications, Energy, and
Public Utilities; and Senator Bogdanoff
576-04677-11 20111198c2
1 A bill to be entitled
2 An act relating to communications services tax;
3 amending s. 202.16, F.S.; requiring that a dealer
4 compute the communications services tax based on a
5 rounding algorithm; providing criteria; providing for
6 application of the tax; providing options to the
7 dealer for applying the rounding algorithm; providing
8 that a dealer may apply the rounding algorithm to the
9 aggregate tax amount under certain conditions;
10 providing that a dealer is not required to collect the
11 tax based on a bracket system; removing the provision
12 requiring the Department of Revenue to make available
13 tax amounts and applicable brackets; providing that
14 the provisions of the act are remedial in nature and
15 apply retroactively; providing that the act does not
16 provide a basis for assessment of any tax not paid or
17 create a right to certain refunds or credits;
18 providing an effective date.
19
20 Be It Enacted by the Legislature of the State of Florida:
21
22 Section 1. Subsection (3) of section 202.16, Florida
23 Statutes, is amended to read:
24 202.16 Payment.—The taxes imposed or administered under
25 this chapter and chapter 203 shall be collected from all dealers
26 of taxable communications services on the sale at retail in this
27 state of communications services taxable under this chapter and
28 chapter 203. The full amount of the taxes on a credit sale,
29 installment sale, or sale made on any kind of deferred payment
30 plan is due at the moment of the transaction in the same manner
31 as a cash sale.
32 (3)(a) A dealer must compute the tax due on the sale of
33 communications services imposed pursuant to this chapter and
34 chapter 203 based on a rounding algorithm that meets the
35 following criteria:
36 1. The computation of the tax must be carried to the third
37 decimal place.
38 2. The tax must be rounded to a whole cent using a method
39 that rounds up to the next cent whenever the third decimal place
40 is greater than four.
41 (b) The rounding algorithm must be applied to the local
42 communications services tax imposed pursuant to this chapter
43 separately from its application to the communications services
44 taxes imposed pursuant to s. 202.12 and the gross receipts taxes
45 imposed pursuant to s. 203.01.
46 (c) A dealer may apply the rounding algorithm to the taxes
47 imposed pursuant to ss. 202.12 and 203.01 in one of the
48 following ways:
49 1. Apply the rounding algorithm to the combined taxes
50 imposed pursuant to ss. 202.12 and 203.01.
51 2. Apply the rounding algorithm to the communications
52 services taxes imposed pursuant to s. 202.12(1) and apply the
53 rounding algorithm separately to the combined gross receipts
54 taxes imposed pursuant to ss. 203.01(1)(b)2. and 203.01(1)(b)3.
55 3. Apply the rounding algorithm to the combined taxes
56 imposed pursuant to ss. 202.12(1) and 203.01(1)(b)3., as allowed
57 by ss. 202.12001 and 203.001, and apply the rounding algorithm
58 separately to the gross receipts tax imposed pursuant to s.
59 203.01(1)(b)2.
60 (d) Under paragraph (b) or paragraph (c), a dealer may
61 apply the rounding algorithm to the aggregate tax amount that is
62 computed on all taxable items on an invoice or to each tax
63 amount that is computed on one or more, but less than all,
64 taxable items on an invoice. The aggregate tax amount for all
65 items on the invoice must equal at least the result that would
66 have been obtained if the rounding algorithm had been applied to
67 the aggregate tax amount computed on all taxable items on the
68 invoice. A dealer may satisfy this requirement by setting a
69 minimum tax amount of not less than 1 cent with respect to each
70 item, or group of items, to which the rounding algorithm is
71 applied.
72 (e) The department may not require a dealer to collect the
73 tax based on a bracket system. Notwithstanding the rate of tax
74 on the sale of communications services imposed pursuant to this
75 chapter and chapter 203, the department shall make available in
76 an electronic format or otherwise the tax amounts and brackets
77 applicable to each taxable sale such that the tax collected
78 results in a tax rate no less than the tax rate imposed pursuant
79 to this chapter and chapter 203.
80 Section 2. This act is intended to be remedial in nature
81 and applies retroactively. This act does not provide a basis for
82 an assessment of any tax not paid or create a right to a refund
83 or credit of any tax paid under s. 202.16, Florida Statutes,
84 before July 1, 2011.
85 Section 3. This act shall take effect July 1, 2011.