Nonprofit organizations may qualify for exemption from some Florida taxes. Each tax is separate and distinct and has its own requirements. As a result, exemption from
one tax does not necessarily exempt the organization from all taxes and not all Florida tax exemptions require the organization obtain a federal tax-exempt status.
Nonprofit Organizations and Corporate Income Tax
Tax-exempt organizations that have "unrelated trade or business income" for federal income tax purposes are subject to Florida corporate income
tax and must file either the Florida Corporate Income/Franchise Tax Return
) or the Florida Corporate Short Form Income Tax Return
Any nonprofit or tax-exempt organization, including a private foundation, exempt from Federal Income Tax under I.R.C. s. 501(a) and described in I.R.C. s. 501(c)
is required to file Form F-1120 only when:
- the organization has "unrelated trade or business taxable income" according to I.R.C. s. 512, or
- it is filing Form 990T with the Internal Revenue Service.
An organization required to apply for a "determination letter" to be exempt under I.R.C. s. 501(a) that has not timely filed such application as required by I.R.C.
Reg. s. 1.508-1 or has received an adverse determination will not be considered a tax-exempt organization. The organization is subject to Florida corporate income tax
and required to file a Form F-1120 unless it receives a retroactively effective determination letter. If the Internal Revenue Service determines the organization was
not exempt from federal income tax for any period, the organization will be required to file Form F-1120 or Form F-1120X pursuant to Section 220.23, F.S.
Visit the Department's Corporate Income Tax webpage for additional
Nonprofit Organizations and Reemployment Tax
A nonprofit organization is liable for reemployment tax if it employs four or more workers for any portion of a day in 20 different calendar weeks during the
current or preceding calendar year. Churches and church schools are exempt from this liability. For purposes of the Florida Reemployment Assistance Program Law, a
nonprofit organization is defined in Section 3306(c)(8) of the Federal Unemployment Tax Act and Section 501(c)(3) of the Internal Revenue Code (IRC).
Nonprofit organizations have the option of being contributing employers or reimbursing employers. A contributing employer submits quarterly reports and tax due
by applying their tax rate to the taxable wages they have paid each quarter. A reimbursing employer is one who must pay the Unemployment Compensation Trust Fund on
a dollar-for-dollar basis for the benefits paid to its former employees. The reimbursing employer is billed quarterly for reimbursement of benefits paid in the
prior quarter. Regardless of the method of payment, all employers must submit wage reports each quarter. If an employer chooses to change the method of paying,
it must sign a special election form and stay with the chosen method for at least two years. More information is available in the
Employer Guide to Reemployment Tax (RT-800002) and Information for Nonprofit Organizations
Visit the Department's Reemployment Tax webpage for additional
Nonprofit Organizations and Sales and Use Tax
Florida law grants certain nonprofit organizations specific exemptions from Florida sales and use tax. To be eligible for the exemption, nonprofit organizations
must obtain a Florida Consumer’s Certificate of Exemption from the Florida Department of Revenue.
Other Florida Requirements
Florida Department of Agriculture and Consumer Services (DACS) - Division of Consumer Services
Call 800-435-7352 (Florida only) or 850-410-3800, or visit the
Charitable organizations or sponsors intending to solicit contributions from the public in Florida must annually register with the Division of Consumer Services.
Access the required forms on the DACS website. See Chapter 496, F.S.
Florida Department of State (DOS) - Division of Corporations
Call 850-245-6052, or visit the Division of Corporations website.
Download the Florida Department of State, Division of Corporations,
Florida Not for Profit Corporation Act booklet, which contains all
necessary forms and instructions that must be filed by not-for-profit organizations in Florida.
Florida Department of Transportation (DOT) - State Maintenance Office
Call 866-374-3368 ext. 5757, or visit the DOT website.
Not-for-profit organizations intending to solicit contributions from the public at Florida highway rest stops can find permit information at the
FDOT One-Stop Permitting website.
Internal Revenue Service (IRS)
Call 877-829-5500, or visit the IRS website.
Exemptions provided by Section 501(a), Internal Revenue Code Publication 557, Tax-Exempt Status for Your Organization, describes the various types of
organizations that may qualify for federal tax exempt status and the forms needed to file. To request recognition from the IRS for tax exempt status as defined
under Section 501(a), complete federal Form 1023. To ask the IRS for a determination letter clarifying your organization's filing obligations, complete federal