This is part two of Florida’s 2023 tax package with updates to various Florida sales and use tax laws that all vendors must know or potentially face dire consequences.
The sixth update is another temporary exemption for the disaster preparedness sales tax holiday. There will be two periods of the holiday. One will be May 27, 2023, through June 9, 2023, while the other one will be August 26, 2023, through September 8, 2023. The items that will be exempt can be found below.
- A portable self-powered light source with a sales price of $40 or less.
- A portable self-powered radio, two-way radio, or weather-band radio with a sales price of $50 or less.
- A tarpaulin or other flexible waterproof sheeting with a sales price of $100 or less.
- An item normally sold as, or generally advertised as, a ground anchor system or tie-down kit with a sales price of $100 or less.
- A gas or diesel fuel tank with a sales price of $50 or less.
- A package of AA-cell, AAA-cell, C-cell, D-cell, 6-volt, or 9-volt batteries, excluding automobile and boat batteries, with a sales price of $50 or less.
- A nonelectric food storage cooler with a sales price of $60 or less.
- A portable generator used to provide light or communications or preserve food in the event of a power outage with a sales price of $3,000 or less.
- Reusable ice with a sales price of $20 or less.
- A portable power bank with a sales price of $60 or less.
- A smoke detector or smoke alarm with a sales price of $70 or less.
- A fire extinguisher with a sales price of $70 or less.
- A carbon monoxide detector with a sales price of $70 or less.
- The following supplies needed for evacuation of household pets and purchased for noncommercial use:
- Bags of dry dog food or cat food weighing 50 or fewer pounds with a sales price of $100 or less per bag.
- Cans or pouches of wet dog food or cat food with a sales price of $10 or less per can or pouch or the equivalent if sold in a box or case.
- Over-the-counter pet medications with a sales price of $100 or less per item.
- Portable kennels or pet carriers with a sales price of $100 or less per item.
- Manual can openers with a sales price of $15 or less per item.
- Leashes, collars, and muzzles with a sales price of $20 or less per item.
- Collapsible or travel-sized food bowls or water bowls with a sales price of $15 or less per item.
- Cat litter weighing 25 or fewer pounds with a sales price of $25 or less per item.
- Cat litter pans with a sales price of $15 or less per item.
- Pet waste disposal bags with a sales price of $15 or less per package.
- Pet pads with a sales price of $20 or less per box or package.
- Hamster or rabbit substrate with a sales price of $15 or less per package.
- Pet beds with a sales price of $40 or less per item.
- Common household consumable items with a sales price of $30 or less. The following is a list of items qualifying for the exemption.
- The following laundry detergent and supplies: powder detergent; liquid detergent; or pod detergent, fabric softener, dryer sheets, stain removers, and bleach.
- Toilet paper.
- Paper towels.
- Paper napkins and tissues.
- Facial tissues.
- Hand soap, bar soap and body wash.
- Sunscreen and sunblock.
- Dish soap and detergents, including powder detergents, liquid detergents, or pod detergents or rinse agents that can be used in dishwashers.
- Cleaning or disinfecting wipes and sprays.
- Hand sanitizer.
- Trash bags.
Like with the Back to School Exemption, the exemption will not apply in theme parks or entertainment complexes within a public lodging establishment or in an airport.
The seventh update is another temporary exemption making another appearance from prior years. This is for “Freedom Summer,” which used to be “Freedom Week.” Instead of being roughly a week long exemption, the temporary exemption is for sales made from May 29, 2023, through September 4, 2023. The following is a list of items exempt from tax.
- Sales of admissions for:
- A live music event scheduled to be held on any date or dates from May 29, 2023, through December 31, 2023.
- A live sporting event scheduled to be held on any date or dates from May 29, 2023, through December 31, 2023.
- A movie to be shown in a movie theater on any date or dates from May 29, 2023, through December 31, 2023.
- Entry to a museum, including any annual passes.
- Entry to a state park, including any annual passes.
- Entry to a ballet, play, or musical theatre performance scheduled to be held on any date or dates from May 29, 2023, through December 31, 2023.
- Season tickets for ballets, plays, music events, or musical theatre performances.
- Entry to a fair, festival, or cultural event scheduled to be held on any date or dates from May 29, 2023, through December 31, 2023.
- Use of or access to private and membership clubs providing physical fitness facilities from May 29, 2023, through December 31, 2023.
- Sale of boating and water activity supplies, camping supplies, fishing supplies, general outdoor supplies, residential pool supplies, children’s toys and children’s athletic equipment. This exemption is defined as below.
- “Boating and water activity supplies” means life jackets and coolers with a sales price of $75 or less; recreational pool tubes, pool floats, inflatable chairs, and pool toys with a sales price of $35 or less; safety flares with a sales price of $50 or less; water skis, wakeboards, kneeboards, and recreational inflatable water tubes or floats capable of being towed with a sales price of $150 or less; paddleboards and surfboards with a sales price of $300 or less; canoes and kayaks with a sales price of $500 or less; paddles and oars with a sales price of $75 or less; and snorkels, goggles, and swimming masks with a sales price of $25 or less.
- “Camping supplies” means tents with a sales price of $200 or less; sleeping bags, portable hammocks, camping stoves, and collapsible camping chairs with a sales price of $50 or less; and camping lanterns and flashlights with a sales price of $30 or less.
- “Fishing supplies” means rods and reels with a sales price of $75 or less if sold individually, or $150 or less if sold as a set; tackle boxes or bags with a sales price of $30 or less; and bait or fishing tackle with a sales price of $5 or less if sold individually, or $10 or less if multiple items are sold together. The term does not include supplies used for commercial fishing purposes.
- “General outdoor supplies” means sunscreen, sunblock, or insect repellant with a sales price of $15 or less; sunglasses with a sales price of $100 or less; binoculars with a sales prices of $200 or less; water bottles with a sales price of $30 or less; hydration packs with a sales price of $50 or less; outdoor gas or charcoal grills with a sales price of $250 or less; bicycle helmets with a sales price of $50 or less; and bicycles with a sales price of $500 or less.
- “Residential pool supplies” means individual residential pool and spa replacement parts, nets, filters, lights, and covers with a sales price of $100 or less; and residential pool and spa chemicals purchased by an individual with a sales price of $150 or less.
- “Children’s athletic equipment” means a consumer product with a sales price of $100 or less designed or intended by the manufacturer for use by a child 12 years of age or younger when the child engages in an athletic activity.
- “Children’s toys” means a consumer product with a sales price of $75 or less designed or intended by the manufacturer for a child 12 years of age or younger for use by the child when the child plays.
Like the other two temporary exemptions, the exemption will not apply in theme parks or entertainment complexes within a public lodging establishment or in an airport.
The eight update is another temporary exemption and a repeat of last year – the “Tool Time Sales Tax Holiday.” For the period of September 2, 2023, through September 8, 2023, the following items will be exempt from sales tax.
- Hand tools with a sales price of $50 or less per item.
- Power tools with a sales price of $300 or less per item.
- Power tool batteries with a sales price of $150 or less per item.
- Work gloves with a sales price of $25 or less per pair.
- Safety glasses with a sales price of $50 or less per pair, or the equivalent if sold in sets of more than one pair.
- Protective coveralls with a sales price of $50 or less per item.
- Work boots with a sales price of $175 or less per pair.
- Tool belts with a sales price of $100 or less per item.
- Duffle bags or tote bags with a sales price of $50 or less per item.
- Tool boxes with a sales price of $75 or less per item.
- Tool boxes for vehicles with a sales price of $300 or less per item.
- Industry textbooks and code books with a sales price of $125 or less per item.
- Electrical voltage and testing equipment with a sales price of $100 or less per item.
- LED flashlights with a sales price of $50 or less per item.
- Shop lights with a sales price of $100 or less per item.
- Handheld pipe cutters, drain opening tools, and plumbing inspection equipment with a sales price of $150 or less per item.
- Shovels with a sales price of $50 or less.
- Rakes with a sales price of $50 or less.
- Hard hats and other head protection with a sales price of $100 or less.
- Hearing protection items with a sales price of $75 or less.
- Ladders with a sales price of $250 or less.
- Fuel cans with a sales price of $50 or less.
- High visibility safety vests with a sales price of $30 or less.
Similar to the other temporary exemptions, the exemption will not apply in theme parks or entertainment complexes within a public lodging establishment or in an airport.
The ninth sales tax exemption is for Energy Star appliances for noncommercial use. When purchased from July 1, 2023, through June 30, 2024, Energy Star appliances will be exempt from sales tax. The term “Energy Star appliance” means the following products designated by the United States Environmental Protection Agency and the United States Department of Energy as meeting or exceeding each agency’s requirements under the Energy Star Program and is affixed with an Energy Star label.
- A washing machine with a sales price of $1,500 or less.
- A clothes dryer with a sales price of $1,500 or less.
- A water heater with a sales price of $1,500 or less.
- A refrigerator or combination refrigerator/freezer with a sales price of $4,500 or less.
The tenth and final sales tax exemption is for purchasing gas ranges and cooktops from July 1, 2023, through June 30, 2024. A “gas range and cooktop” means any range or cooktop fueled by combustible gas such as natural gas, propane, butane, liquefied petroleum gas, or other flammable gas. It does not include outdoor gas grills, camping stoves, or other portable stoves.
It is critical for sellers to know what is taxable and what is exempt. If the seller does not know, he or she might lose out on sales to better informed competitors. Therefore, sellers must act immediately to implement changes or face dire consequences for not doing so.
About the author: David Brennan is partner with Moffa, Sutton, & Donnini, P.A. His primary practice area is multistate tax controversy. David received a B.S. in Accounting and Finance, with a minor in Computer Science, from Florida State University. He worked as an accountant for a CPA firm before attending law school at Regent University. He received his Juris Doctor in 2013 and was licensed to practice law in Florida in the same year. In 2015, David earned his Masters of Laws in Taxation from Boston University. While working for the Florida Department of Revenue as a Senior Attorney, David focused on various sales and use tax issues. You can read his BIO HERE.
At the Law Office of Moffa, Sutton, & Donnini, PA, our primary practice area is Florida taxes, with a very heavy emphasis in Florida sales and use tax. We have defended Florida businesses against the Florida Department of Revenue since 1991 and have over 100 years of cumulative sales tax experience within our firm. Our partners are both CPAs/Accountants and Attorneys, so we understand both the accounting side of the situation as well as the legal side. We represent taxpayers and business owners from the entire state of Florida. Contact us for a FREE INITIAL CONSULTATION to confidentially discuss how we can help put this nightmare behind you.
AUTHORITY
Chapter 2023-157; House Bill 7063
ADDITIONAL RESOURCES
2023 FLORIDA SALES TAX UPDATE PART I, published July 5, 2023, by David J. Brennan, Jr., Esq.
FL SALES TAX CAR DEALERS PLAYBOOK, published April 22, 2023, by David J. Brennan, Jr., Esq.
FLORIDA SALES TAX AUDITS PROCESS AND TRAPS, published March 4, 2023, by David J. Brennan, Jr., Esq.
2023 FLORIDA SALES TAX RATE ON COMMERCIAL RENT, published January 23, 2023, by James Sutton, CPA, Esq.
PHONE CALL FROM FLORIDA DEPARTMENT OF REVENUE: SALES TAX, published October 15, 2022, by Jeanette Moffa, Esq.
FLORIDA SALES TAX INFORMAL WRITTEN PROTEST, published November 17, 2018, by James Sutton, C.P.A., Esq.
FLORIDA SALES TAX - VOLUNTARY DISCLOSURE PROGRAM, published April 9, 2018, by Jeanette Moffa, Esq.