CS/HB 887

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

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