Florida Senate - 2023 SB 1432 By Senator Trumbull 2-01665C-23 20231432__ 1 A bill to be entitled 2 An act relating to communications services tax; 3 amending s. 202.12, F.S.; decreasing the tax rate on 4 the retail sale of communications services; amending 5 s. 202.19, F.S.; revising the name of the 6 discretionary communications services tax; requiring a 7 certain tax remain the same rate as it was on a 8 specified past date until a specified future date; 9 specifying the fees, taxes, charges, and other 10 impositions that the a specified tax replaces; 11 prohibiting a certain tax passed after a certain date 12 from being added to the local communications service 13 tax until a future date; providing an effective date. 14 15 Be It Enacted by the Legislature of the State of Florida: 16 17 Section 1.Paragraph (a) of subsection (1) of section 18 202.12, Florida Statutes, is amended to read: 19 202.12Sales of communications services.The Legislature 20 finds that every person who engages in the business of selling 21 communications services at retail in this state is exercising a 22 taxable privilege. It is the intent of the Legislature that the 23 tax imposed by chapter 203 be administered as provided in this 24 chapter. 25 (1)For the exercise of such privilege, a tax is levied on 26 each taxable transaction and is due and payable as follows: 27 (a)Except as otherwise provided in this subsection, at the 28 rate of 3.48 4.92 percent applied to the sales price of the 29 communications service that: 30 1.Originates and terminates in this state;, or 31 2.Originates or terminates in this state and is charged to 32 a service address in this state, 33 34 when sold at retail, computed on each taxable sale for the 35 purpose of remitting the tax due. The gross receipts tax imposed 36 by chapter 203 shall be collected on the same taxable 37 transactions and remitted with the tax imposed by this 38 paragraph. If no tax is imposed by this paragraph due to the 39 exemption provided under s. 202.125(1), the tax imposed by 40 chapter 203 shall nevertheless be collected and remitted in the 41 manner and at the time prescribed for tax collections and 42 remittances under this chapter. 43 Section 2.Subsections (1), (3), and (5) of section 202.19, 44 Florida Statutes, are amended, and paragraph (d) is added to 45 subsection (2) of that section, to read: 46 202.19Authorization to impose local communications 47 services tax. 48 (1)The governing authority of each county and municipality 49 may, by ordinance, levy a local discretionary communications 50 services tax as provided in this section. 51 (2) 52 (d)The local communications services tax rate in effect on 53 January 1, 2023, may not be increased before January 1, 2026. 54 (3)(a)The tax authorized under this section replaces other 55 revenue sources for municipalities and counties and includes the 56 following taxes, charges, fees, and other impositions to the 57 extent that the respective local taxing jurisdictions were 58 authorized to impose those taxes, charges, fees, and other 59 impositions before July 1, 2000, and after January 1, 2023: 60 1.With respect to a charter county or municipality: 61 a.The public service tax on telecommunications authorized 62 by s. 166.231(9), Florida Statutes (2001). 63 b.Franchise fees on providers of cable television services 64 as authorized by 47 U.S.C. s. 542. 65 c.The public service tax on prepaid calling arrangements. 66 d.Franchise fees on dealers of communications services 67 that use the public roads or rights-of-way. 68 e.Actual permit fees relating to placing or maintaining 69 facilities in or on public roads or rights-of-way collected from 70 providers of long-distance, cable, and mobile communications 71 services for the fiscal year ending September 30, 1999; however, 72 if a municipality or charter county elected to continue charging 73 permit fees as authorized by s. 337.401 on or before January 1, 74 2019, the fees may not be included as a replaced revenue source. 75 f.Application fees, transfer fees, renewal fees, or claims 76 for related costs to which the municipality or county is 77 otherwise entitled for granting permission to dealers of 78 communications services, including providers of cable television 79 services as authorized by 47 U.S.C. s. 542, to use or occupy its 80 roads or rights-of-way for the placement, construction, and 81 maintenance of poles, wires, and other fixtures used in the 82 provision of communications services. 83 2.With respect to a noncharter county, franchise fees on 84 providers of cable television services as authorized by 47 85 U.S.C. s. 542 includes and is in lieu of any fee or other 86 consideration, including, but not limited to, application fees, 87 transfer fees, renewal fees, or claims for related costs, to 88 which the municipality or county is otherwise entitled for 89 granting permission to dealers of communications services, 90 including, but not limited to, providers of cable television 91 services, as authorized in 47 U.S.C. s. 542, to use or occupy 92 its roads or rights-of-way for the placement, construction, and 93 maintenance of poles, wires, and other fixtures used in the 94 provision of communications services. 95 (b)This subsection does not supersede or impair the right, 96 if any, of a municipality or county to require the payment of 97 consideration or to require the payment of regulatory fees or 98 assessments by persons using or occupying its roads or rights 99 of-way in a capacity other than that of a dealer of 100 communications services. 101 (5)In addition to the communications services taxes 102 authorized by subsection (1), a discretionary sales surtax that 103 a county or school board has levied under s. 212.055 is imposed 104 as a local communications services tax under this section, and 105 the rate shall be determined in accordance with s. 202.20(3). 106 However, any increase to the discretionary sales surtax levied 107 under s. 212.055 on or after January 1, 2023, may not be added 108 to the local communication services tax under this section 109 before January 1, 2026. 110 (a)Except as otherwise provided in this subsection, each 111 such tax rate shall be applied, in addition to the other tax 112 rates applied under this chapter, to communications services 113 subject to tax under s. 202.12 which: 114 1.Originate or terminate in this state; and 115 2.Are charged to a service address in the county. 116 (b)With respect to private communications services, the 117 tax shall be on the sales price of such services provided within 118 the county, which shall be determined in accordance with the 119 following provisions: 120 1.Any charge with respect to a channel termination point 121 located within such county; 122 2.Any charge for the use of a channel between two channel 123 termination points located in such county; and 124 3.Where channel termination points are located both within 125 and outside of such county: 126 a.If any segment between two such channel termination 127 points is separately billed, 50 percent of such charge; and 128 b.If any segment of the circuit is not separately billed, 129 an amount equal to the total charge for such circuit multiplied 130 by a fraction, the numerator of which is the number of channel 131 termination points within such county and the denominator of 132 which is the total number of channel termination points of the 133 circuit. 134 Section 3.This act shall take effect upon becoming a law.