Florida Tax Exemption Certificates

1. Florida Tax ExemptionCertificates Linda Weyer 239-533-5492 lweyer@leeclerk.org

2. Tax Exemption Certificates - Percentages

3. Lee County - Tax Exemption Certificate Requirements • Tax Exemption requirements

4. FDOR- Tax Exemption Certificate Requirements

5. Example - Certificate of Exemption

6. Example – Payment method

7. Example - Certificate of Exemption

8. Example – Payment method

9. Example – Tax exempt transaction

10. Example – Tax exempt entity?

12. FDOR- Tax Exemption Certificate Requirements (continued) Governmental Entities • I - State Government •  Guests from the State, County, Municipality or Political Subdivision of a state that holds a valid Consumer’s certificate of Exemption (form DR-14) issued by the Florida Department of Revenue may choose one of the two options to exempt the rental: • Payment may be made by a Purchasing or Procurement Card (P-Card). The card must have an exemption number, the account number, the name of the cardholder (employee) and expiration date. Payment must be made with the P-Card card ** and not personal funds.* • Present a certificate* containing the governmental unit’s name, Certificate Exemption number, effect and expiration date, and the signature of an authorized representative of the governmental unit. Payment is remitted directly to the identified dealer. **

13. Example – Local government exemption certificate

14. Example – Method of payment

15. Example – Local government exemption certificate

16. Example – Method of payment

17. FDOR- Tax Exemption Certificate Requirements (continued) II - Federal Government •  Present a completed certificate* and submit identification*. Payment may be made directly by the Government or by the individual.

18. Example – Federal government exemption

19. Example – Method of payment

20. Example - Certificate of Exemption

21. Example – Method of payment

22. FDOR- Tax Exemption Certificate Requirements (continued) • III – Military Personnel on Active Duty • The guest Must present a copy of the official orders support the active duty status making it necessary to occupy the transit accommodation or: • Provide a copy of the overflow certificate issued to military on active duty status. • IV - Other • Exemption Certificates that are granted by another state, the District of Columbia or a territory of the United States are not sufficient to make tax exempt purchases. A Florida Certificate (form DR-14) must be presented. * The dealer must maintain the required documentation in order to support the tax exemption. (TIP 00A01-26) Hard copies or electronic storage of the documentation are acceptable. ** Payment must be made only by the entity named on the certificate. Personal payment that will be repaid by the entity named on the certificate cannot be accepted for tax-exempt purchases.* (GT-800054 R 10/10) Note – “It is a criminal offense to fraudulently present (a DR-14) certificate to evade the payment of sales tax.”

23. Example – Recent appeal to an assessment based on exemption documentation • It appears the difference in calculations is due to your requirement of retaining documentation of proof of identification. We have recently completed audits with State of Florida, Hillsborough County, Alachua County, and other Florida municipalities and they have a different interpretation of the statutes that describe requirements for tax exempt stays. We certainly ask for identification from our tax exempt guests, but your County is the first Florida municipality to indicate we should make and retain copies of Ids.

24. Tax Exemption Certificates – Summary and Conclusion • Questions?