August, 2010 – Florida Tax Amnesty

By the Numbers

Florida Tax Amnesty

By Donna Kuebler and Juan Cocuy

With all the budget shortfalls, the State of Florida is looking for ways to increase revenue.  As a result, the Florida Department of Revenue is once again offering the “Florida Tax Amnesty Program”.  This program allows Florida Taxpayers to take advantage of paying outstanding or late tax liabilities with no penalty, a reduction of interest, no criminal prosecution, and an opportunity for you to become compliant with Florida tax laws.

Florida’s Tax Amnesty Days start July 1^st and end September 30, 2010.  Amnesty only applies to state and local option taxes that were due before July 1, 2010.  You must complete and submit a Tax Amnesty Agreement which can be found on the State’s website, www.dor.myflorida.com/dor.  This agreement must be submitted by September 30, 2010.

All taxes that are administered by the Florida Department of Revenue are eligible for the amnesty except for unemployment taxes and Miami-Dade County Lake Belt Fees.  The eligibility requirements are:

·         You must first complete a tax amnesty agreement.

·         The liability is not already covered by a settlement or installment payment agreement.

·         You are not under criminal investigation, indictment, information, or persecution regarding a Florida revenue law and of violating a Florida revenue law.

·         You are not under a pretrial investigation or diversion program, probation, community control, or in a work camp, jail, state provision, or another correctional system regarding a Florida revenue law.

Many businesses may not be aware they are overlooking tax liability such as, use tax, tax registration requirements, commercial and transient rentals, discretionary sales surtax, corporate income tax, and fuel tax. 

One tax in particular that often gets overlooked is use tax.  Businesses and citizens who purchase merchandise over the internet or from an out-of-state vendor and don’t pay sales tax must remit the 6% plus any county tax to the state.  If a business purchases on a tax exempt basis for resale but later uses it for the business or personal use, they must remit the tax on their return. 

The other often overlooked state tax is the corporate income tax.  Corporations, unless an S Corp., must file a Florida corporate income tax return unless exempt.  Even if you owe no corporate income tax, you must file a corporate income tax return.  Failure to file this return can result in a $360 penalty.

If you have any questions and/or would like to take advantage of Florida’s Tax Amnesty Days, please contact me or Donna Kuebler at our office (Cocuy, Burns & Co., P.A.) at (561)-793-1927.