From the Desk of Jennifer Kobylarz, CPA, MST, Tax Staff
As we get closer to end of another year; we start compiling year-end reports, payroll, 1099’s, etc., please be aware of sales tax changes/increases that should be addressed immediately in your data processing systems effective January 1, 2017.
As you may know, Florida voters passed a number of discretionary sales tax increases in the November 8th election. The types of discretionary sales taxes that passed include:
- Infrastructure Surtax: this surtax can vary between 0.5- 1.0%, as approved by voters in the applicable county. The revenue generated by this surtax can only be used to fund the specified projects listed on the ballot.
- School Capital Outlay Surtax: The revenue from this surtax, of .5%, can only be used to fund school capital projects. The specific projects must be included on the ballot and conform with state requirements.
- Emergency Fire Rescue services Surtax: The revenue from this surtax is used to fund services, such as preventing and extinguishing fires and enforcing fire prevention laws. The maximum surtax is 1.0%.
- Indigent Care Surtax: This surtax can only be adopted by counties with a total population of 800,000 or less. The revenue generated is used to provide health care services to qualified residents of the county.
The following surtaxes were approved by the majority of voters in each county:
- Alachua County: 0.5% infrastructure surtax, applicable from January 1, 2017-December 31, 2024.
- Bay County: 0.5% infrastructure surtax, applicable from January 1, 2017-December 31, 2026.
- Brevard County: 0.5% infrastructure surtax, applicable from January 1, 2017-December 31, 2026.
- Clay County: 1.0% infrastructure surtax, extending the current surtax until December 31, 2039.
- Highlands County: 0.5% school surtax, applicable from January 1, 2017-December 31, 2036.
- Indian River County: 1.0% infrastructure surtax, extending the current surtax until December 31, 2034.
- Liberty County: 0.5% emergency fire rescue services surtax, applicable from January 1, 2017-December 31, 2021.
- Manatee County: 0.5% infrastructure surtax, applicable from January 1, 2017 to December 31, 2031.
- Marion County: 1.0% infrastructure surtax, applicable from January 1, 2017-December 31, 2020.
- Osceola County: 0.5% school surtax, applicable from January 1, 2017-December 2036.
- Palm Beach County: 1.0% infrastructure surtax, applicable from January 1, 2017-December 31, 2026.
- Polk County: 0.5% indigent care surtax, extended until December 31, 2044.
- Santa Rosa County: 0.5% infrastructure surtax, applicable from January 1, 2017-December 31, 2021.
- Wakulla County: 1.0% infrastructure surtax, extended to December 31, 2037.
This list may not reflect all enacted discretionary sales taxes in all counties, so please check any changes in any counties in which you do business and collect sales tax.
Work with your data processing systems personnel or providers to ensure that all changes are implemented when calculating and collecting these additional discretionary sales taxes.
If you have any questions relating to your county’s enacted sales taxes, please contact our Orlando office at (407) 849.6400.
