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How Much Is Sales Tax In Florida

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Tax Rates By City In Lee County Florida

Florida Gov. Ron DeSantis signs online sales tax bill estimated to produce $1 billion a year

The total sales tax rate in any given location can be broken down into state, county, city, and special district rates. Florida has a 6% sales tax and Lee County collects an additional 1%, so the minimum sales tax rate in Lee County is 7% . This table shows the total sales tax rates for all cities and towns in Lee County, including all local taxes.

City

Buying A Car In Florida

In Florida, vehicle sales tax is owed on the purchase of any car, motorcycle, truck, trailer or RV. Be sure to consider all other costs before buying a car.

Below is a list of common expenses to plan ahead for.

  • Title fee: Your cars title is the document proving that you are the legal owner of your vehicle. This paper may be given to you during a car buying exchange, or you may receive one from the dealer when you buy your car. The title fee in Florida typically costs $75.75.
  • Registration fees: these expenses will vary based on the type and size of the vehicle. Registration is$225 for the initial fee but depending on what kind of vehicle you drive and how large it is, it could be higher.
  • License plates and tags: The sunshine state is proud to support organizations, causes, and military drivers, so they offer a variety of options when it comes to picking out your plates. Florida also has 120 specialty license plates. If you want to Protect Our Reefs or Fish Florida! or support one of the states colleges or universities, there is a special fee tacked on.

When looking to pay these fees, contact your local Florida Department of Motor Vehicles to pay them directly. To learn more, research the overall cost to own and auto insurance on the new car as well.

Sales Tax For Cars Purchased Outside Of Florida

If you bought a car outside the state and brought it to Florida, you will be expected to pay Florida’s six percent use tax. This rate typically applies to cars that you are registering in the state of Florida, even if they were purchased elsewhere. That said, if you paid any state and local taxes where you purchased the vehicle, Florida law will credit you for the use tax and discretionary sales surtax amounts you paid.

When the payment is the same or more than what you would pay in Florida, you aren’t required to pay anymore. If the out-of-state tax is less than the amount due in Florida, you only have to pay the difference. In addition, you won’t be required to pay any Florida use tax if you have proof that you used the car for at least six months out of state before registering it in Florida.

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Florida Sales Tax Exemptions:

Florida Sales Tax Exemptions List

In general, FL does not collect sales tax on purchases of:

  • Prescriptions drugs
  • Long term residential real property leases
  • Seeds and fertilizers

Florida Sales Tax Exemptions for Aviation

The primary Florida sales tax exemptions for the aviation industry include:

  • Aircraft repair parts and labor
  • All aircraft repairs or modifications done under the permission of a Supplemental Type Certificate issued by the Federal Aviation Administration regardless of aircraft weight.

Note:Purchases of aircraft in Florida or brought into Florida are subject to sales and use tax. More information about Sales and use tax on Aircraft purchases can be found here.

Florida Sales Tax Exemptions for Healthcare

The primary Florida sales tax exemptions for the medical & healthcare industry include:

  • Chemical compounds and test kits
  • Hypodermic needles & syringes
  • Prosthetic and orthopedic appliances
  • Single-use medical products

Note: Nonprofit entities in healthcare are treated differently by the state of Florida and are generally afforded more sales tax exemptions.

Florida Sales Tax Exemptions for Manufacturing

The primary Florida sales tax exemptions for manufacturing include:

  • Purchases of labor
  • Machinery & equipment used in manufacturing
  • Raw materials
  • Utilities used in manufacturing

Florida Sales Tax Exemptions for Software

The primary Florida sales tax exemptions for software include:

  • Custom Software

How Often Should You File

How Much Is Sales Tax In Florida 2018

How often you need to file depends upon the total amount of sales tax your business collects.

  • Annual filing: If your business collects less than $100.00 in sales tax per year then your business should file returns on an annual basis.
  • Semiannual filing: If your business collects between $101.00 and $500.00 in sales tax per month then your business should file returns on a semiannual basis.
  • Quarterly filing: If your business collects between $501.00 and $1000.00 in sales tax per month then your business should file returns on a quarterly basis.
  • Monthly filing: If your business collects more than $1000.00 in sales tax per month then your business should file returns on a monthly basis.

Note: Florida requires you to file a sales tax return even if you have no sales tax to report.

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Florida Sales Tax Deadlines

Monthly: Due on the 1st day of the month and late after the 20th day of the month following the collection period. For example, if the sale took place during January, then tax is due on the 1st of February and late after the 20th.

Quarterly: Due on the 1st and late after the 20th day of the month following the collection period. For example, if the sale took place during April, then tax is due on the 1st of July and late after the 20th.

Semiannually: Due on the 1st and late after the 20th day of the month following the collection period. For example, if the sale took place during April, then tax is due on the 1st of July and late after the 20th.

Annually: Due on the 1st and late after the 20th day of the month following the collection period. For example, if the sale took place during April, then tax is due on the 1st of January of the following year and late after the 20th.

All electronic payments must be submitted by 5:00PM on day of collection, which allows for 1-2 days processing time. Note that this is BEFORE the due date.

If the 20th falls on a weekend or federal or state holiday, then returns will be considered late as of the next business day.

As Of July 1 Florida Will Require Online Sellers To Collect 6% Sales Tax From Residents

Florida’s online shoppers will have to start paying sales taxes on all purchases starting this July.

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Nearly three years after it became legal to tax all online purchases, the nations third-largest state is finally about to do so.

On Monday, Gov. Ron DeSantis signed into law a plan to require out-of-state online retailers to collect sales taxes on purchases made by Floridians. It is expected to raise an estimated $1 billion a year in revenue that will help pay for a tax cut for some businesses.

The move was controversial in Florida even though online shoppers just about everywhere else are already paying sales taxes on all their purchases. In June 2018, the U.S. Supreme Court ruled that state and local governments had the right to collect sales taxes from purchases made online, no matter where the seller was located.

Following the ruling, most states and localities spent about a year or so implementing their own rules and regulations for how theyd go about collecting those sales taxes. But not Florida. Florida business groups have lobbied for years to require out-of-state retailers to collect and remit sales taxes, saying it is a matter of fairness.

Beginning July 1, most retailers selling more than $100,000 a year online will have to start collecting Floridas 6% sales tax at the point of sale.

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Do I Have To Pay Sales Tax On A Used Car

How to File a Florida Sales Tax Return

Florida is one of the best states to purchase a used car because of its large inventory and quality of used cars. Purchasing a used vehicle can help you lower the cost of purchasing a new car, but it wont decrease the tax percentage you owe. You must still pay sales tax on a used car in Florida. The sales tax rate is the same for new and used vehicles. However, since used vehicles are less expensive overall, you can often expect to pay fewer dollars in taxes.

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Florida Corporate Income Tax

Some states including Florida levy a tax on certain businesses for the right to exist as a legal entity and do business in the state. This is usually called a franchise tax, transaction tax or privilege tax. In this state, it’s the Florida Corporate Income Tax.While it’s mandatory for Florida Corporations, it can also sometimes apply to LLCs, specifically those that are classified as corporations for tax purposes.Speak to your accountant or professional tax preparer to find out whether you’re required to pay the Florida Corporate Income Tax to ensure compliance and avoid penalties.

Other Taxes & Fees For Florida

Car buyers will pay other taxes and fees in addition to the sales tax in Florida. The other fees and taxes are collected by the Department of Motor Vehicles. Other car-buying fees for Florida include:

  • DMV Fee: The average DMV fee for a new car purchase in Florida is $181. The DMV fees include the following:
  • Title: $75.75
  • Plate Transfer Fee: $7.85
  • Registration Fee: $1.60 to $91.20.
  • Documentation Fee: Most dealerships charge a documentation fee for filing the contract, sales tax documents, and more. Doc fees in Florida average $670.
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    What Is Sales Tax

    A sales tax is a consumption tax paid to a government on the sale of certain goods and services. Usually, the vendor collects the sales tax from the consumer as the consumer makes a purchase. In most countries, the sales tax is called value-added tax or goods and services tax , which is a different form of consumption tax. In some countries, the listed prices for goods and services are the before-tax value, and a sales tax is only applied during the purchase. In other countries, the listed prices are the final after-tax values, which include the sales tax.

    When To File Taxes In Florida

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    When you register for sales tax, Florida will assign you a certain filing frequency. Youâll be asked to file and pay sales tax either monthly, quarterly, or annually.

    Usually the frequency they choose is based on the amount of sales tax you collect from buyers in Florida. High-revenue businesses file more frequently than lower volume businesses, for example.

    Florida sales tax returns are due on the 20th day of the month following the reporting period. If the due date falls on a weekend or holiday, then your sales tax filing is generally due the next business day.

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    Florida Sales Tax On Cars In Private Sales

    If you buy a used car from a private seller, FLHSMV recommends you both go to a vehicle service center to complete the transaction, which protects you and the seller. Remember, the sales price of the vehicle doesn’t include sales tax or tag and title fees, so you must pay them at the vehicle service center to transfer ownership. Complete the transfer within 30 days of the sale, or you must pay a late transfer penalty fee. To title your vehicle in another state, buy a temporary tag at the DMV service center. When you purchase the temporary license plate, you must pay the total sales tax. The temporary permit is valid for 30 days, giving you time to drive the vehicle to the other state.

    Whether you’re buying a used motor vehicle from a friend or a new BMW from a dealer, making your vehicle purchase is an exciting event. Calculating the tax for the purchase can help you understand the total purchase price of the vehicle and make transfers of ownership go more smoothly. Know the rules and procedures for dealing with Florida sales tax on cars to handle the transaction with ease and keep all the excitement on a positive note.

    Taxable Sales In Florida

    Most goods and a few services are subject to sales tax in Florida. You must collect and remit sales tax if your business sells taxable tangible personal property, electric power or energy, prepaid phones, and secondhand goods.

    Most services in Florida are not taxable, but there are a few exceptions. Floridas taxable services are:

    • Commercial pest control services
    • Burglary/security services for residential or commercial property
    • Detective services

    If you purchase an item from outside the state of Florida, which is brought or delivered into the state, and if you did not pay sales tax on the item, you owe it as use tax instead.

    Groceries and prescription drugs are exempt from sales tax.

    Shipping charges are usually taxable in Florida. The only way to avoid this is to do both of the following:

  • make it a separately stated item on the invoice , AND
  • give customers an option to avoid it .
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    Florida Sales Tax Calculator

    You can use our Florida Sales Tax Calculator to look up sales tax rates in Florida by address / zip code. The calculator will show you the total sales tax amount, as well as the county, city, and special district tax rates in the selected location.

    $0.00

    Florida has a 6% statewide sales tax rate,but also has 367 local tax jurisdictions that collect an average local sales tax of 1.037% on top of the state tax. This means that, depending on your location within Florida, the total tax you pay can be significantly higher than the 6% state sales tax.

    For example, here is how much you would pay inclusive of sales tax on a $200.00 purchase in the cities with the highest and lowest sales taxes in Florida:

    Calculating County Discretionary Sales Surtaxes

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    In addition to the state’s 6% sales tax rate, Florida law allows counties to assess discretionary sales surtaxes on the sales price of the vehicles residents purchase. When calculating the amount of county tax due, the Florida county in which you buy the car doesn’t matter. The county and city you live in determine how much you pay.

    If you live in Miami-Dade County or Pinellas County, you pay 1% county sales tax on the first $5,000 of your vehicle purchase, which adds $50 if your car costs $5,000, making the state and county sales tax total $350. You pay more if you live in counties where residents pay their county tax collector the maximum allowable rate, 1.5% on the first $5,000.

    So if you live in Escambia County and buy a used car for $5,000, you pay $75 in county sales tax plus the state sales tax of $300 on your purchase price, for a total of $375 in sales taxes. Even when your car costs more than $5,000, the county sales tax is still only $75 because Florida state law limits the tax to the first $5,000.

    Motor vehicle dealers are required by Florida statutes to charge these state and local taxes on all car sales they make.

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    How To Calculate Florida Sales Tax On A Car

    Find the sales tax percentage for your location, as this may increase the total sales tax fee to over the base amount of 6%. Then, youll multiply the cost of the vehicle by the sales tax percentage.

    Lets say in your location the sales tax is at the base of 6%. Imagine you purchased a vehicle from a trade-in. The full price was $30,000, but you received a trade-in value of $5,000, a manufacturers rebate of $500, and a dealer incentive of $1,000. You would pay $23,500 for the vehicle.

    In this case, Florida collects a 6% sales tax on $24,000. $24,000 is the advertised price minus the dealer incentive and trade-in allowance. This price does not factor in the manufacturers rebate. Based on this example, you would need to pay $1,440 in sales tax.

    Remember that the total amount you pay for a car not only includes sales tax, but also registration, and dealership fees.

    What Is Florida’s Sales Tax For Cars

    Florida collects a six percent sales tax on the purchase of all new or used vehicles. According to AutoList.com, buyers are required to register and collect vehicles on every vehicle they sell. That said, if you buy a car from someone privately, you are responsible for paying the sales tax.

    According to It Still Runs, the Florida Department of Highway Safety and Motor Vehicles recommends that when you purchase a car from a private owner, you complete the transaction at the tax collector’s office. The staff at the tax collector’s office can offer you feedback and make sure that you have paid the correct amount.

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