Fla. Admin. Code R. 12A-19.043

Current through Reg. 50, No. 235-239, December 10, 2024

Section 12A-19.043 - Homes for the Aged and Religious and Educational Institutions Exemptions from the Communications Services Tax

(1)

(a) The sale of communications services, as defined in Section 202.11(1), F.S., is subject to the Florida communications services tax and the local communications services tax, unless specifically exempt.

(b) This rule provides guidelines regarding sales by religious institutions and the documentation and recordkeeping requirements regarding the exemption for sales to homes for the aged and to religious or educational institutions from the communications services taxes.

(2) SALES TO HOMES FOR THE AGED.

(a) The sale of communications services to a home for the aged, as defined by Section 202.125(4), F.S., is exempt from the Florida communications services tax and the local communications services tax when the home for the aged is exempt from federal income tax under s. 501(c)(3) of the Internal Revenue Code, holds a valid Consumer's Certificate of Exemption (form DR-14) issued by the Department for sales and use tax purposes, and meets one of the following provisions:

1. The home for the aged is licensed as a nursing home or an assisted living facility under Chapter 400, F.S.; or an assisted living facility under Chapter 429, F.S.; or

2. At least 75 percent of the occupants in the home for the aged are 62 years of age or older or totally and permanently disabled and the home for the aged qualifies for an ad valorem property tax exemption under Section 196.196, 196.197, or 196.1975, F.S.

(b) DOCUMENTATION REQUIREMENTS.

1. To be entitled to exemption as a home for the aged at the time of purchase, the purchaser must issue to the selling dealer a certificate signed by an authorized representative stating that the purchases are for a home for the aged, as defined by Section 202.125(4), F.S., that is exempt from federal income tax under s. 501(c)(3) of the Internal Revenue Code. Dealers are not required to obtain copies of Internal Revenue Service determination letters granting the home for the aged an exemption under s. 501(c)(3) of the Internal Revenue Code.

2. The following is a suggested format to be provided by a home for the aged to the selling dealer.

EXEMPTION CERTIFICATE FOR PURCHASES OF

COMMUNICATIONS SERVICES BY

HOMES FOR THE AGED

DATE:____________________________

TO:_______________________________ (Selling Dealer's Business Name)

_________________________________ (Selling Dealer's Address)

I, the undersigned, am a representative of the exempt home for the aged identified below. The purchases of communications services made on or after ________________ from the business identified above are for use by the home for the aged identified below.

The charges for the purchases of communications services from the dealer identified above will be billed to and paid directly by the exempt home for the aged identified below. These purchases are exempt from the Florida communications services tax and the local communications services tax because the entity is exempt from federal income tax under s. 501(c)(3) of the Internal Revenue Code, holds a valid Florida Consumer's Certificate of Exemption, and is a "home for the aged, " as defined by Section 202.125(4), F.S.

Under penalties of perjury, I declare that I have read the foregoing and that the facts stated in it are true.

_____________________________________________________________________________

AUTHORIZED SIGNATURE ON BEHALF OF THE EXEMPT HOME FOR THE AGED

_____________________________________________________________________________

PRINTED NAME OF AUTHORIZED SIGNATORY AND TITLE

_____________________________________________________________________________

NAME OF THE EXEMPT HOME FOR THE AGED

_____________________________________________________________________________

ADDRESS OF EXEMPT HOME FOR THE AGED

(3) SALES TO OR BY TO RELIGIOUS INSTITUTIONS.

(a) The sale of communications services by a religious institution is exempt from the Florida communications services tax and the local communications services tax when the religious institution:

1. Is exempt form federal income tax under s. 501(c)(3) of the Internal Revenue Code; and

2. Has an established physical place for worship at which nonprofit religious services and activities are regularly conducted and carried on.

(b) The sale of communications services to a religious institution, as defined by Section 202.125(4), F.S., is exempt from the Florida communications services tax and the local communications services tax when the religious institution is exempt from federal income tax under s. 501(c)(3) of the Internal Revenue Code and is an organization which is:

1. An organization owning and operating an established physical place for worship at which nonprofit religious services and activities are regularly conducted;

2. A nonprofit corporation the sole purpose of which is to provide free transportation services to religious institution members, their families, and other religious institution attendees;

3. A nonprofit state, district, or other governing or administrative office the function of which is to assist or regulate the customary activities of religious institutions;

4. A nonprofit corporation that owns and operates a Florida television station, at least 90 percent of the programming of which station consists of programs of a religious nature and the financial support for which, exclusive of receipts for broadcasting from other nonprofit organizations, is predominantly from contributions from the general public;

5. A nonprofit corporation the primary activity of which is making and distributing audio recordings of religious scriptures and teachings to blind or visually impaired persons at no charge; or

6. A nonprofit corporation the sole or primary function of which is to provide, upon invitation, nonprofit religious services, evangelistic services, religious education, administrative assistance, or missionary assistance for a religious institution or established physical place of worship at which nonprofit religious services and activities are regularly conducted.

(c) DOCUMENTATION REQUIREMENTS.

1. To be entitled to exemption as a religious institution at the time of purchase, the purchaser must issue to the selling dealer a certificate signed by an authorized representative stating that the purchases are for a religious institution, as defined by Section 202.125(4), F.S., that is exempt from federal income tax under s. 501(c)(3) of the Internal Revenue Code. Dealers are not required to obtain copies of Internal Revenue Service determination letters granting religious organizations exemption under s. 501(c)(3) of the Internal Revenue Code.

2. The following is a suggested format to be provided by a religious institution to the selling dealer.

EXEMPTION CERTIFICATE FOR PURCHASES OF

COMMUNICATIONS SERVICES BY

RELIGIOUS INSTITUTION

DATE: _____________________________

TO: ________________________________ (Selling Dealer's Business Name)

________________________________ (Selling Dealer's Address)

I, the undersigned, am a representative of the exempt religious institution identified below. The purchases of communications services made on or after _________________________ from the business identified above are for use by the exempt religious institution identified below.

The charges for the purchases of communications services from the dealer identified above will be billed to and paid directly by the exempt religious institution identified below. These purchases are exempt from the Florida communications services tax and the local communications services tax because the entity is exempt from federal income tax under s. 501(c)(3) of the Internal Revenue Code and is a "religious institution" as that term is defined by Section 202.125(4), F.S.

Under penalties of perjury, I declare that I have read the foregoing and that the facts stated in it are true.

________________________________________________________________________

AUTHORIZED SIGNATURE ON BEHALF OF THE EXEMPT INSTITUTION

________________________________________________________________________

PRINTED NAME OF AUTHORIZED SIGNATORY AND TITLE

________________________________________________________________________

NAME OF THE EXEMPT INSTITUTION

________________________________________________________________________

ADDRESS OF EXEMPT INSTITUTION

(4) EDUCATIONAL INSTITUTIONS.

(a) The sale of communications services to an educational institution, as defined by Section 202.125(4), F.S., is exempt from the Florida communications services tax and the local communications services tax.

(b) The term "educational institution" only refers to organizations that are exempt from federal income tax under s. 501(c)(3) of the Internal Revenue Code.

(c) "Educational institutions" include:

1. State-tax supported, parochial, religious institution, and nonprofit private schools, colleges, or universities that conduct regular classes and courses of study required for accreditation by or membership in the Southern Association of Colleges and Schools, the Florida Council of Independent Schools, or the Florida Association of Christian Colleges and Schools, Inc.;

2. Nonprofit private schools that conduct regular classes and courses of study accepted for continuing education credit by a board of the Division of Medical Quality Assurance of the Department of Health;

3. Nonprofit libraries;

4. Nonprofit art galleries;

5. Nonprofit performing arts centers that provide educational programs to school children, which programs involve performances or other educational activities at the performing arts center and serve a minimum of 50, 000 school children a year; and

6. Nonprofit museums that are open to the public.

(d) A state-tax supported school, college, or university that is exempt as a governmental organization described in Rule 12A-19.042, F.A.C., and as an educational institution as described in this rule may claim either exemption.

(e) DOCUMENTATION REQUIREMENTS. To be entitled to exemption as an educational institution at the time of purchase, the purchaser must issue to the selling dealer a certificate signed by an authorized representative stating that the purchases are for an educational institution, as defined by Section 202.125(4), F.S., that is exempt from federal income tax under s. 501(c)(3) of the Internal Revenue Code. Dealers are not required to obtain copies of Internal Revenue Service determination letters granting educational institutions exemption under s. 501(c)(3) of the Internal Revenue Code.

(f) The following is a suggested format to be provided by an educational institution to the selling dealer.

EXEMPTION CERTIFICATE FOR PURCHASES OF

COMMUNICATIONS SERVICES BY

EDUCATIONAL INSTITUTIONS

DATE: ____________________________

TO: ______________________________ (Selling Dealer's Business Name)

_________________________________ (Selling Dealer's Address)

I, the undersigned, am a representative of the exempt educational institution identified below. The purchases of communications services made on or after _________________________ from the business identified above are for use by the exempt educational institution identified below.

The charges for the purchases of communications services from the dealer identified above will be billed to and paid directly by the exempt educational institution identified below. These purchases are exempt from the Florida communications services tax and the local communications services tax because the entity is exempt from federal income tax under s. 501(c)(3) of the Internal Revenue Code and is an "educational institution, " as defined by Section 202.125(4), F.S.

Under penalties of perjury, I declare that I have read the foregoing and that the facts stated in it are true.

________________________________________________________________________

AUTHORIZED SIGNATURE ON BEHALF OF THE EXEMPT INSTITUTION

________________________________________________________________________

PRINTED NAME OF AUTHORIZED SIGNATORY AND TITLE

________________________________________________________________________

NAME OF THE EXEMPT INSTITUTION

________________________________________________________________________

ADDRESS OF EXEMPT INSTITUTION

(5) RECORDKEEPING REQUIREMENTS.

(a) When a dealer has complied with the documentation requirements of this rule and the Department determines that tax, penalty, and interest are due, the Department will look to the customer for payment of the tax, penalty, and interest due. The Department will look to a dealer for payment of any applicable tax, penalty, and interest due when a dealer's books and records demonstrate a failure to comply with the documentation requirements of this rule.

(b) Electronic storage of all required records through use of imaging, microfiche, or other electronic storage media will be sufficient compliance with the provisions of this subsection.

Fla. Admin. Code Ann. R. 12A-19.043

Rulemaking Authority 202.26(3)(c) FS. Law Implemented 92.525(2), 202.125(4), 202.13(2), 202.16(4), 202.26(2), 202.34(3), 213.37 FS.

New 1-31-02, Amended 4-17-03, 1-1-04.