April 2012
Did You Know?
Revenue Has New Online Application for Tax Clearance Letters
Did you know that you can now request a tax clearance letter online? A taxpayer can use a clearance
letter (also called a certificate of clearance or a letter of good standing) when selling a business or
business interest, or requesting certain federal grants. The letter represents a snapshot in time and
shows that the taxpayer does not currently have outstanding tax delinquencies and/or bills. Read more
about tax clearance letters or apply for one here.
Check it out!
Current Topics
•
Revenue to Use New Collection Analytics System
•
New Law Requires Sales and Use Tax Dealers to File and Pay Tax Electronically to Receive a
Collection Allowance
•
2012 Unemployment Tax Changes
•
Florida's Sales Tax Holiday Set for August 3-5, 2012
•
Sales and Use Tax Filing Frequency
News Releases
•
Pensacola Man Charged with Sales Tax Theft
•
Ocala Used Car Dealer Arrested in Theft Case
•
Tampa Business Owner Arrested
•
Key Largo man Arrested in Theft Case
•
Bradenton Truck Repair Shop Owner Arrested in Theft Case
•
Broward County Restaurant Owner Arrested
•
West Palm Beach Used Car Dealer Arrested in Theft Case
•
Pasco County Restaurant Owner Arrested for Theft of $210,000 in State Taxes
Rules Adopted/Repealed
Corporate Income Tax and Emergency Excise Tax:
12CER11-15
Adjustments for Excess Section 179 Expense and Special Bonus Depreciation
Documentary Stamp Tax:
12B-4.003
12B-4.060
Public Use Forms
Tax on Transfers of Ownership Interest in Legal Entities
Florida Department of Revenue Customer Service
Visit our Tax Questions page
Tax Information Publications (TIPS)
Administrative:
12ADM-02
Prepaid Communications Services
Communications Services Tax:
12ADM-02
Prepaid Communications Services
Sales and Use Tax:
12ADM-02
12A01-01
Prepaid Communications Services
Motor Vehicle Sales Tax Rates by State as of November 30, 2011 and Tax Credit
Application
Severance Taxes and Fees:
12B07-01
Solid Mineral Tax Rates for 2012
Unemployment Tax:
1160BB-02R
1260BB-01
REVISED: Unemployment Tax - Understanding Your 2012 Tax Rate Calculation
Changes to Unemployment Tax Rate Calculation and Taxable Wage Base
Technical Assistance Advisements
Corporate Income Tax and Emergency Excise Tax:
12C1-001
12C1-002
12C1-003
12C1-004
Request for Authority to Discontinue Consolidated Filing
Request for Authority to Discontinue Consolidated Filing (Document not posted at
time of print)
Request for Authority to Discontinue Consolidated Filing (Document not posted at
time of print)
Written Request for Agreement with Department of Revenue for Income
Determination (Document not posted at time of print)
Documentary Stamp Tax:
12B4-001
Transfer of Life Estate Interest in Real Property (Document not posted at time of
print)
Sales and Use Tax:
12A-001
12A-002
12A-003
12A-004
12A-005
12A-006
12A-007
12A-008
12A-012
2
Pollution Control Exemption
Public Works Contracts (Document not posted at time of print)
Club Membership Fees Subject to Sales and Use Tax on Admissions (Document not
posted at time of print)
Secondhand Dealers and Secondary Metals Recyclers
Admissions (Document not posted at time of print)
Design and Printing of Labels That are Part of the Packaging of Food Products Sold
By Taxpayer (Document not posted at time of print)
Refunds of Lead-Acid Battery Core Fee
Public Works Contracts (Document not posted at time of print)
Federal Instrumentality (Document not posted at time of print)
Facts on Tax
January – March 2012
Stay Informed!
Current
Topics
Want the latest tax information and due-date reminders for sales tax and
unemployment tax returns? Go to www.myflorida.com/dor and click on:
"Subscribe to our tax publications." It's fast, easy, and secure.
Current Topics
January 1 – March 31, 2012
Revenue to Use New Tax Collection System
The Department switched to a collection analytics system in April. It will allow us to better focus our
tax collection efforts to determine positive future tax payment outcomes, based on predictive
behavioral models.
We will maximize collection outcomes by routing accounts to the collection step most likely to result
in payment in the least amount of time, which will mean fewer follow-up notices and shorter time
frames between collection and enforcement actions.
It is extremely important for taxpayers to respond promptly to bills and delinquency notices from the
Department. Collection analytics should have no impact on taxpayers who file and remit their full
amount of taxes on time.
Find out more about Revenue's tax collection process.
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Facts on Tax
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New Law Requires Sales and Use Tax Dealers to File and Pay Tax Electronically
to Receive a Collection Allowance
Starting with returns and payments due in July 2012, only taxpayers who electronically file and pay
sales and use tax can deduct a collection allowance.
This change in law will affect returns and payments due beginning in July 2012 for:
• Monthly filers’ June 2012 tax returns and payments;
• Quarterly filers’ April-June 2012 returns and payments; and
• Semi-annual filers’ January-June 2012 returns and payments.
What does this mean for taxpayers?
Sales and use tax dealers, who continue to file paper tax returns and/or pay by check, cash, or money
order, will not receive a collection allowance as of July 1. In June, the Department will mail
replacement coupon books to all dealers who use coupons to file quarterly and monthly tax returns. If
you choose not to switch to electronic filing and payment, make sure to use the DR-15 or DR-15EZ
payment coupons included in your replacement book.
If you wish to continue receiving a collection allowance, enroll for e-Services. You have two options
for filing and paying tax:
• File and pay taxes electronically using the Department’s free online filing application.
• Buy software from a Department-approved vendor. Software products often provide additional
features.
The Department will soon issue a Tax Information Publication (TIP) containing more details. The TIP
will be posted on our website and mailed with the replacement coupon books.
2012 Unemployment Tax Changes
The Legislature passed a bill making several changes to unemployment tax law, including:
• Changing the tax rate calculations.
• Reducing the taxable wage base to $8,000.
• Renaming “unemployment compensation” to “reemployment assistance.”
Tax rates and taxable wage base
These changes apply to the Employer's Quarterly Report (Form UCT-6) due by April 30, 2012. The
Department mailed a new Unemployment Compensation Tax Rate Notice (Form UCT-20) to
employers in late March. Employers who file quarterly report forms via paper should have received
their UCT-6 form with the new tax rate in early April. If you have not received one or both of these
forms, contact your local service center or call Taxpayer Services at 800-352-3671 to verify your
address and request a duplicate form.
Reemployment assistance
The bill changes the name of the Unemployment Compensation Law to the Reemployment Assistance
Program Act and changes the focus of Chapter 443, Florida Statutes, and the Department of
Economic Opportunity’s Division of Workforce Services to assisting Florida’s job seekers with
becoming reemployed.
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The Department of Revenue will participate in this renaming effort throughout 2012 by changing
“unemployment tax” references to “reemployment tax.” During the year, you will see changes to form
names and numbers, brochures, web pages, and other documents.
Other changes to unemployment tax law
The new law also:
• Grants employee leasing companies an election to select reporting by client tax rates.
• Requires private employers to identify certain wages paid to employees performing services
for an educational institution. The Department will soon post a Tax Information Publication
(TIP) containing details about the reporting requirements.
For an overview of all the law changes that affect unemployment tax, read TIP #1260BB-01. To read
the law, go to Chapter 2012-30, Laws of Florida (House Bill 7027).
Florida’s Sales Tax Holiday Set for Aug 3-5, 2012
If you sell clothing, footwear, certain accessories, or certain school supplies in the State of Florida, the
upcoming sales tax holiday may affect your business. No sales tax or local option tax (also known as
discretionary sales surtax) will be collected during this period on sales of:
• Clothing, footwear, and certain accessories selling for $75 or less.
• Certain school supplies selling for $15 or less.
This three-day tax holiday is in effect from 12:01 a.m. on Friday, August 3, 2012, through 11:59 p.m.
on Sunday, August 5, 2012.
The sales tax exemption applies to each eligible item of clothing selling for $75 or less and to each
eligible school supply item selling for $15 or less. The exemption will apply no matter how many
items are sold on the same invoice to a customer.
Books will not be tax-exempt during this year’s tax holiday.
The Department will soon post a Tax Information Publication (TIP) containing details about the
holiday, along with a list of taxable and tax-exempt items. The TIP will be mailed to all sales and use
tax dealers in May.
Sales and Use Tax Filing Frequency
The sales tax filing frequencies are: monthly, quarterly, semiannual, or annual. Most new businesses
are set up to file and pay sales and use tax quarterly. However, businesses that paid more than $1,000
in sales and use tax during a state fiscal year will be required to file and pay tax monthly in the next
calendar year.
Each fall, the Department notifies business owners whose tax collections during the previous fiscal
year exceeded $1,000 that they must begin filing and paying tax monthly during the next calendar
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Facts on Tax
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year. For example, a business owner who collects more than $1,000 in tax from July 1, 2011 to June
30, 2012 will be required to file and pay monthly in 2013.
Filing Frequency Limits
Sales Tax Collected During State Fiscal Year
(July 1 - June 30)
More than $1,000
$501 - $1,000
$101 - $500
$100 or less
Return and Payment Filing Requirement
Monthly
Quarterly
Semiannual
Annual
If you qualify and would like to voluntarily change your filing frequency, contact Taxpayer Services
at 800-352-3671.
News
Releases
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News Releases
January 1 – March 31, 2012
Note: Due to the confidential nature of taxpayer records, generally the information found in these
releases is the only information available from the Department of Revenue concerning these
matters. Other information may be available through the arresting agency and the local Clerk of
Court.
January 04, 2012
Pensacola Man Charged with Sales Tax Theft
Jamal S. Abdelwahed, 47, former owner of a Pensacola Meineke Car Care Center, has been arrested
on charges that he stole more than $24,000 in sales tax he collected from customers, the Florida
Department of Revenue announced.
Mr. Abdelwahed, also of Pensacola, was arrested by the Escambia County Sheriff's Department on
January 2, 2012, on a felony charge relating to the theft of state funds and tax evasion. If convicted,
he faces up to 15 years in prison and up to $10,000 in fines, as well as possible repayment of stolen
tax, interest, penalty, and investigative costs. The business was located at 2871 West Michigan
Avenue in Pensacola.
According to Revenue Department investigators, Mr. Abdelwahed collected tax from customers at his
business. However, during various periods starting in 2009 and lasting through periods in 2010, he
failed to send the state all of the sales tax he had collected. Under state law, sales tax is the property of
the state at the moment of collection.
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Facts on Tax
January – March 2012
January 24, 2012
Ocala Used Car Dealer Arrested in Theft Case
Denisse M. Comas, the former owner of Gator Auto Sales, LLC, located in Ocala, has been arrested
on charges that she stole more than $110,000 in sales tax she collected from customers but failed to
send the state, the Florida Department of Revenue announced.
Ms. Comas, 41, who lives in Morriston, was arrested by the Marion County Sheriff's Department on
January 23, 2012, on a felony charge relating to theft of state funds. If convicted, she faces up to 30
years in prison and up to $10,000 in fines, as well as possible repayment of stolen tax, interest,
penalty, and investigative costs. Ms. Comas' dealership was located at 4705 South Pine Avenue in
Ocala.
Revenue Department investigators say Ms. Comas collected tax from customers at her dealership.
However, during various periods beginning in 2007 and lasting through periods in 2010, she failed to
send the state all of the sales tax that she had collected. Under state law, sales tax is the property of
the state at the moment of collection.
January 30, 2012
Tampa Business Owner Arrested
Jonathan G. Owens, the owner of Ybor Technology Group LLC, located in Tampa, has been arrested
on charges that he stole more than $20,000 in sales tax he collected from customers, but failed to send
the state, the Florida Department of Revenue announced.
Mr. Owens, 36, who also lives in Tampa, was arrested by the Hillsborough County Sheriff's
Department on January 26, 2012, on a felony charge relating to theft of state funds as well as
misdemeanor charges for failing to file sales tax returns and pay the taxes due. If convicted, he faces
up to 15 years in prison and up to $10,000 in fines, as well as possible payment of penalty and
investigative costs. Ybor Technology Group LLC is located at 1726 7th Ave E 3605 in Tampa.
Revenue Department investigators determined Mr. Owens collected tax from customers at his
computer services business. However, during various periods beginning in 2007, lasting through
periods in 2011, he failed to send the state all of the sales tax that he had collected.
February 06, 2012
Key Largo Man Arrested in Theft Case
Robert C. Davis, 63, owner of Luxury Limousines of the Florida Keys, located in Key Largo, has
been arrested on charges that he stole more than $14,000 in sales tax he collected from customers but
failed to send the state, the Florida Department of Revenue announced.
Mr. Davis, who also lives in Key Largo, was arrested by the Monroe County Sheriff's Department on
February 3, 2012, on felony and misdemeanor charges relating to theft of state funds, refusal to file
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Facts on Tax
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and pay taxes, as well as willful and fraudulent acts. If convicted, Mr. Davis faces up to 5 years in
prison and up to $5,000 in fines, as well as possible repayment of stolen tax, interest, penalty, and
investigative costs. The limousine service is located at 98700 Overseas Highway in Key Largo.
Mr. Davis collected tax from customers at his business, say Revenue Department investigators.
However, during various periods beginning in 2006 and lasting through periods in 2010, he failed to
send the state all of the sales tax that he had collected or file tax returns as required by law. Under
state law, sales tax is the property of the state at the moment of collection.
February 7, 2012
Bradenton Truck Repair Shop Owner Arrested in Theft Case
Ernest H. Johnson, owner of On-Site Truck Repairs, located in Bradenton, has been arrested on
charges that he stole more than $15,000 in sales tax he collected from customers but failed to send the
state, the Florida Department of Revenue announced.
Mr. Johnson, 51, who also lives in Bradenton, was arrested by the Manatee County Sheriff's
Department on February 5, 2012, on felony charges relating to theft of state funds. If convicted, he
faces up to 5 years in prison and up to $5,000 in fines, as well as possible repayment of stolen tax,
interest, penalty, and investigative costs. Mr. Johnson's business is located at 1424 26th Avenue East
in Bradenton.
According to Revenue Department investigators, Mr. Johnson collected tax from customers at his
repair shop. However, during various periods beginning in 2009 and lasting through periods in 2011,
he failed to send the state all of the sales tax that he had collected. Under state law, sales tax is the
property of the state at the moment of collection.
February 21, 2012
Broward County Restaurant Owner Arrested
Erik H. Brinkmann, 40, owner of Shelby's Kitchen & Deli, has been arrested on charges that he stole
more than $56,000 in sales tax he collected from customers, the Florida Department of Revenue
announced today.
Mr. Brinkmann, who lives in Coconut Creek, was arrested by the Broward County Sheriff's
Department on February 13, 2012, on a felony charge relating to theft of state funds. If convicted, he
faces up to 15 years in prison and up to $10,000 in fines, as well as repayment of stolen tax, interest,
penalty, and investigative costs.
Revenue Department investigators say Mr. Brinkmann collected tax from customers at his restaurant.
However, during various periods beginning in 2008 and lasting through periods in 2010, he failed to
send the state all the sales tax he collected. The restaurant is located at 3952 West Hillsboro Blvd in
Deerfield Beach.
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Facts on Tax
January – March 2012
February 24, 2012
West Palm Beach Used Car Dealer Arrested in Theft Case
David H. Brotman, the owner of P.B. Affordable Transportation, Inc. located in West Palm Beach,
has been arrested on charges that he stole more than $130,000 in sales tax he collected from
customers but failed to send the state, the Florida Department of Revenue announced.
Mr. Brotman, 60, who also lives in West Palm Beach, was arrested by the Palm Beach County
Sheriff's Department on February 22, 2012, on a felony charge relating to theft of state funds. If
convicted, he faces up to 30 years in prison and up to $10,000 in fines, as well as possible repayment
of stolen tax, interest, penalty, and investigative costs. Mr. Brotman's dealership is located at 624
South Military Trail in West Palm Beach.
According to Revenue Department investigators, Mr. Brotman collected tax from customers at his
dealership. However, during various periods beginning in 2010 and lasting through periods in 2011,
he failed to send the state all of the sales tax that he had collected. Under state law, sales tax is the
property of the state at the moment of collection.
March 2, 2012
Pasco County Restaurant Owner Arrested for Theft of $210,000 in State Taxes
The owner of a Pasco County restaurant has been arrested on charges that he stole sales tax that he
collected from customers, the Florida Department of Revenue announced.
Warren W. Dunphy, 61, of New Port Richey, was arrested by the Pasco County Sheriff's Department
on a felony charge relating to theft of state funds. If convicted, he faces up to 30 years in prison and
up to $10,000 in fines, as well as possible repayment of tax, interest, penalty, and investigative costs.
Mr. Dunphy owns and operates Alli-Gators of Trinity, LLC, located at 3523 Little Road, New Port
Richey.
Mr. Dunphy routinely collected tax from customers at his business, say Revenue Department
investigators. However, during various periods in 2007 through 2008, he failed to send the state all of
the sales tax that he had collected. Investigators found that Mr. Dunphy had illegally kept over
$210,000. Under state law, sales tax is the property of the state at the moment of collection.
According to Lisa Vickers, Executive Director, Florida
Department of Revenue, "It is an honor to serve the vast
majority of Florida businesses who comply with State tax
requirements. For those that don't, it is our job to enforce the
law and ensure honest businesses are not placed at a
competitive disadvantage by those who ignore the law or
worse—intentionally collect and steal taxpayer dollars."
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Facts on Tax
January – March 2012
Report Tax Violations
If you have information about a tax law violation, you may report it to the Florida Department of
Revenue. The Department will investigate information you provide about an individual or business
that may be evading or violating Florida tax laws.
When you contact the Department to report an alleged tax violation, please be prepared to provide
information about the business, the type of violation, and the date when the violation occurred.
To report a tax violation:
•
Call
800-FL-AWARD (1-800-352-9273)
•
Fax
850-921-1171
Attention: Tax Violations
•
E-mail
Tax Violations
•
Write
Florida Department of Revenue
Tax Violations — General Tax Administration
PO Box 5139
Tallahassee, FL 32399
Compensation for Tax Information - Reward Program
In certain circumstances, you may also be eligible for a monetary reward. Rewards are not automatic
— they are only awarded when an investigation proves there was a violation and all monies are
recovered by the Department. We will send you an Application for Compensation for Tax Information
(Form DR-55) after we receive your report of a tax violation.
You may report a tax violation anonymously; however, you will not be eligible for a reward.
Confidentiality Notice
If you contact us during our investigation of the violation you reported, we will not be able to share
information about the case or the affected business. Tax information is confidential under Florida law
(section 213.053, Florida Statutes). You will receive a letter when we close the case.
Tax Laws
Rewards for reporting tax violations are authorized by section 213.30, Florida Statutes, Compensation
for information relating to a violation of the tax laws., and Rule 12-18, Florida Administrative Code,
Compensation for Tax Information. For more information, visit Revenue's Tax Law Library.
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Facts on Tax
January – March 2012
For Information and Forms
To speak with a Department of Revenue representative, call Taxpayer Services, Monday through Friday,
excluding holidays, 8 a.m. to 7 p.m., ET, at 800-352-3671.
For a written reply to tax questions, write:
Taxpayer Services
Florida Department of Revenue
5050 W Tennessee St Mail Stop 3-2000
Tallahassee FL 32399-0112
Your Opinion Counts!
We would like to know what you think. Please take our online survey after you have read this
issue. The survey is short and should only take a minute to complete.
Click here for survey.
Facts on Tax is published by:
Technical Assistance and Dispute Resolution
Florida Department of Revenue
PO Box 7443
Tallahassee, FL 32314-7443
If you have questions or suggestions about this
publication, contact Terry Branch at
[email protected] or call 850-717-6196.
If you have specific tax-related questions, call
Taxpayer Services at 800-352-3671.
GT-000003 R. 04/12
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Facts on Tax
January – March 2012