July 1-7, 2021: Consumers can purchase qualifying recreation and outdoor items and admissions to entertainment and cultural events exempt from tax during the 2021 Freedom Week Sales Tax Holiday. Passed by the Florida Legislature and signed into law by Gov. Ron DeSantis, the sales tax holiday begins Thursday, July 1, 2021 and extends through Wednesday, July 7, 2021.
The Department has created the 2021 Freedom Week Sales Tax Holiday webpage with information and promotional materials for consumers, businesses, and other interested parties. Please visit the page at
During this sales tax holiday period, qualifying items, ranging from fishing tackle selling for $5 or less to canoes and kayaks selling for $500 or less, are exempt from sales tax. However, the sales tax holiday does not apply to the rental or repair of any of the qualifying items or to sales in a theme park, entertainment complex, public lodging establishment or airport. For detailed information, please see this Tax Information Publication (TIP).
The Internal Revenue Service (IRS), in response to shortages of undyed diesel fuel caused by the Colonial Pipeline shutdown, announced they will not impose a penalty when dyed diesel fuel is sold for use or used on the highway. This original penalty relief began May 7, 2021 and will continue through May 21, 2021. Consistent with the IRS, the Department of Revenue is also waiving the penalty for state fuel tax purposes through May 21, 2021. This relief is available to any person who sells or uses dyed diesel fuel for on-highway use. During the penalty relief period, dyed diesel fuel sold or used for on-highway use should be reported and taxed in the same manner as undyed diesel fuel. Tax Information Publication #21B05-01 provides additional information on how to report and pay tax on sales of dyed diesel fuel sold for use in highway vehicles.
As a result of a new law, Chapter 2021-2, Laws of Florida, businesses that collect and remit sales and use taxes to the Florida Department of Revenue must use a rounding algorithm in
place of the previous “bracket system” when calculating the sales tax due on a transaction. Using this algorithm, the computation of the tax must be carried to the third decimal place; if the third decimal place is greater than 4,
the tax must be rounded up to the next cent. Businesses may apply the rounding algorithm to the aggregate tax amount computed on all taxable items on an invoice or to the taxable amount on each individual item on the invoice. The
new law takes effect July 1, 2021, and businesses have until September 30, 2021 to update their point of sale systems.
As a result of a new law, Chapter 2021-2, Laws of Florida, businesses making remote sales into Florida must register and collect sales and use tax on such transactions, including any
applicable discretionary sales surtax, if the business has made taxable remote sales in excess of $100,000 over the previous calendar year. The law takes effect July 1, 2021. Affected businesses not previously registered with the
Florida Department of Revenue have until September 30, 2021, to complete a Florida Business Tax Application and avoid a “look back” review of previous remote sales
and use taxes due.
Due to impacts from winter storms, some taxpayers may be unable to file taxes timely. The Florida Department of Revenue will make every attempt allowed by law to work with affected businesses during this difficult time. On a case-by-case basis, the Department will work with tax filers who, despite good-faith efforts, are unable to file tax returns as required by law because of winter storms. Filing deadlines for taxpayers who are able to file will not change.
For Florida corporate income tax filers, the Department will follow the
tax relief granted by the Internal Revenue Service regarding postponement of return due dates. Florida corporate income/franchise tax returns originally due, or due on extension, between February 11, 2021 and June 15, 2021 are now due June 30, 2021.
Taxpayers needing assistance should contact the Department to discuss their individual situations. To speak with a Department representative, call Taxpayer Services at (850) 488-6800, Monday through Friday (excluding holidays).