Each sale, admission, storage, or rental in Florida is taxable, unless the transaction is exempt. Sales tax is added to the price of taxable goods or services and
collected from the purchaser at the time of sale. Florida's general state sales tax rate is 6% with the following exceptions: 4% on amusement machine receipts, 5.5% on the lease or license
of commercial real property, and 6.95% on electricity.
Use tax is due on the use or consumption of taxable goods or services when sales tax was not paid at the time of purchase. For example:
- If you buy a taxable item in Florida and did not pay sales tax, you owe use tax.
- If you buy an item tax exempt intending to resell it, and then use the item in your business or for personal use, you owe use tax.
- If you buy a taxable item outside Florida and bring it into (or have it delivered into) Florida, and you did not pay sales tax on the item, you owe use
Discretionary Sales Surtax
Many Florida counties have a discretionary sales surtax
(county tax) that applies to most transactions subject to the sales or use tax. The county surtax rate applies to a taxable item or service delivered into a county
imposing a surtax. (The surtax rate that applies to motor vehicles and mobile homes is determined by the home address of the purchaser.) For a list of discretionary
sales surtax rates, visit the Department's Forms and Publications webpage and select the current year Discretionary Sales Surtax
Information (Form DR-15DSS) under the Discretionary Sales Surtax section, updated yearly in November.
For certain transactions, only the first $5,000 of a taxable sale or purchase is subject to the discretionary sales surtax.
Transient Rental Taxes
In addition to state sales and use tax and discretionary sales surtax, Florida law allows counties to impose local option transient rental taxes on rentals or leases
of accommodations in hotels, motels, apartments, rooming houses, mobile home parks, RV parks, condominiums, or timeshare resorts for a term of six months or less. For a
list of local option transient rental taxes, visit the Department's Local Option
In many counties, the local transient rental taxes are reported and remitted directly to the local government; however, sales tax and discretionary
sales surtax on transient rentals are always reported and remitted to the Department. View a list of the Local Option Transient
Rental Tax Rates (Tourist Development Tax Rates) (Form DR-15TDT
Who Must Pay Tax
Before you begin business in Florida, you must first find out if your business activity or products will be subject to sales and use tax. If it is, you must
register to collect sales tax or pay use tax. Here is a partial list of business activities that require you to register with the Florida Department of Revenue:
- Sales of taxable items at retail
- Repairs or alterations of tangible personal property
- Rentals, leases, or licenses to use real property (for example: commercial office space or mini-warehouses)
- Rentals of short-term living accommodations (for example: motel/hotel rooms, beach houses, condominiums, timeshare resorts, vacation houses, or travel
- Rentals or leases of personal property (for example: vehicles, machinery, equipment, or other goods)
- Charges for admission to any place of amusement, sport, or recreation
- Manufacturing or producing goods for retail sales
- Selling service warranty contracts
- Operating vending or amusement machines
- Providing taxable services (for example: investigative and crime protection services, interior nonresidential cleaning services, or nonresidential pest
How Tax is Calculated
Sales tax and discretionary sales surtax are calculated on each taxable transaction. Florida uses a bracket system for calculating sales tax when the transactions
fall below or in between whole dollar amounts. Multiply the whole dollar amount by the tax rate (6% plus the county discretionary sales surtax rate) and use the bracket
system to figure the tax on amounts less than a dollar. The Florida Department of Revenue has the Common Sales Tax Brackets
) to help you. Additional sales tax brackets can be found on the Department's
Tax and Interest Rates webpage.
Any person making taxable sales in Florida must separately state Florida sales tax on each customer’s invoice, sales slip, receipt, billing, or other evidence of sale.
The sales tax and discretionary sales surtax may be shown as one total, or the sales tax and surtax may be shown separately.
Effective tax rates and rate divisors may be used by certain industries when it is impractical to separately state Florida sales tax on an invoice, sales slips,
receipt, billing, or other evidence of a sale. These industry specific effective tax rates and rate divisors, and instructions for computing sales tax and discretionary
sales surtax are available in the following brochures:
- Sales and Use Tax on Alcoholic Beverages (GT-800046 )
- Sales and Use Tax on Amusement Machines (GT-800020 )
- Sales and Use Tax on Concession Stands (GT-800003 )
- Sales and Use Tax on Vending Machines (GT-800041 )
Tips for Filing Your Return
- File on time for each reporting period even if no tax is due. Don't skip reporting periods or add a partial reporting period to the next
- If you file a paper return, you can sign up to receive a due date reminder email every reporting period. Electronic filers are automatically signed up to receive
reminders when they enroll.
- Sales reported on lines A through E of the Sales and Use Tax Return
) may have different tax rates. Enter your transactions on the right lines so no
additional tax will be due.
- Compute the correct sales tax, including discretionary sales surtax (county tax), if any. Common Sales Tax
Brackets (Form DR-2X
) are available to help you.
- Complete all information on your return, including front and back. Be sure to include your signature and your preparer's signature.
- If you are reporting discretionary sales surtax (county tax) collected, you must complete the back of your return. Need more information? Take
our tutorial How to Calculate, Collect, and Report Your Discretionary Sales
- Don't include tax collected in gross sales. If you include the tax collected in gross sales, it will increase the amount of tax due and you will
receive a bill for additional tax due.
- When you electronically file and pay on time, you may take a collection allowance. Be sure to calculate it correctly. The collection allowance is
2.5% (.025) of the first $1,200 of tax due, not to exceed $30 for each reporting location. If you have less than $1,200 in tax due, your collection allowance will be
less than $30.
Registration and Account Changes
Businesses must register each location to collect, report and pay sales tax. You can register using the
online registration system or submit a paper
Florida Business Tax Application (Form DR-1 ).
If you hold an active certificate of registration or reemployment tax account issued by the Department because you previously submitted a Florida Business Tax
Application (Form DR-1), use the Application for Registered Businesses to Add a New Florida Location
) to register:
- An additional business location or Florida rental property, or
- A registered location that has moved from one Florida county to another.
For more information on submitting an application, see Registering Your Business
Once registered, you will be sent a Certificate of Registration (Form DR-11), a
Florida Annual Resale Certificate for Sales Tax (Form DR-13), and tax return forms. If you are registered to pay use tax only,
you will not receive a resale certificate. The Certificate of Registration must be displayed in a clearly visible place at your
When to Notify the Department
You must notify the Florida Department of Revenue if you:
- Change your business name;
- Change your mailing address;
- Change your location address within the same county;
- Close or sell your business; or
- Your business becomes active and you will sell or rent taxable property or services.
The quickest way to notify the Department of these changes is to update your account online.
When to Submit a New Tax Application
You must submit a new registration using the online registration system or complete a paper Florida Business Tax Application
(Form DR-1 ) if
- Change your legal entity; or
- Change the ownership of your business.
File and Pay Tax
Sales and use tax is reported using a Sales and Use Tax Return
). Instructions (Form DR-15N ) are available. You can file and
pay sales and use tax electronically using the Department's free and secure File and Pay webpage, or you may purchase software from a
Returns and payments are due on the 1st and late after the 20th day of the month following each reporting period. If the 20th falls on a Saturday, Sunday, or state or
federal holiday, returns are timely if filed electronically, postmarked or hand-delivered on the first business day following the 20th. For example, if the sale took
place during January and you file returns monthly, your tax return is due February 1 and late after February 20; however, if you file quarterly, your return is due April
1 and late after April 20. A return must be filed for each reporting period, even if no tax is due.
When you electronically pay only or you electronically file and pay at the same time, you must initiate your electronic payment and receive a confirmation
number no later than 5:00 p.m., ET, on the business day prior to the 20th to avoid penalty and interest. For a list of the electronic payment deadlines, visit the Department's Forms
and Publications webpage and select the current year Florida eServices Calendar of Electronic Payment Deadlines (Form DR-659) under the
When you electronically file your sales and use tax return and electronically pay timely, you are entitled to deduct a collection allowance. The
collection allowance is 2.5% (.025) of the first $1,200 of tax due, not to exceed $30.
You can sign up
to receive an email every reporting period, reminding you of the due date. This subscription service is for paper filers only. Electronic filers are automatically signed
up to receive reminders when they enroll.
Taxpayers who paid $20,000 or more in sales and use tax during the most recent state fiscal year (July 1 - June 30) are required to file and pay electronically
during the next calendar year.
If you file your return or pay tax late, a late penalty of 10% of the amount of tax owed, but not less than $50, may be charged. The $50 minimum penalty applies even
if no tax is due. Penalty will also be charged if your return is incomplete. A floating rate of interest applies to underpayments and late payments of tax. Interest rates
can be found on the Department's Tax and Interest Rates webpage.
Most new businesses are set up to file and pay sales and use tax quarterly. Depending on the amount of tax you collect, you may qualify for a different filing
Filing Frequency Limits
|Annual Sales Tax Collections
||Return and Payment Filing Requirement
|More than $1,000
|$501 - $1,000
|$101 - $500
|$100 or less
If you qualify and would like to change your filing frequency, call the Department's Taxpayer Assistance at 850-488-6800 Monday-Friday, excluding
Florida Annual Resale Certificate for Sales Tax
Businesses that register with the Florida Department of Revenue to collect sales tax are issued a Florida Annual Resale Certificate
for Sales Tax. The certificate allows business owners, or their representatives, to buy or rent property or services tax free when the property or service is
resold or re-rented.
Certificates expire on December 31 of each year. Registered, active dealers are issued a new resale certificate annually. Registered, active dealers who electronically
file their tax returns are required to print their own certificate. Dealers who file paper returns will be mailed a new certificate each year in mid-November.
A business that sells or rents property or services tax free must document each tax-exempt sale when the property or service is resold or re-rented by obtaining a copy
of the customer’s certificate or an authorization number issued by the Department. For more information, visit the Department's
Annual Resale Certificate for Sales Tax