Florida Enacts Sales and Use Tax Economic Nexus

On April 19, 2021 Florida became one of the final states to pass legislation adding sales and use tax economic nexus for remote sellers.

The new law requires out-of-state vendors to begin collecting Florida sales tax on July 1, 2021 if their taxable remote sales in Florida exceeded $100,000 in 2020. With the passage of this law, Kansas and Missouri remain the only two states with a sales tax that have not added economic nexus provisions. The new law also includes requirements for marketplace providers to collect Florida sales tax. The same standard ($100,000 in the calendar year 2020) applies to marketplace providers.

The Florida Department of Revenue is providing tax, penalty, and interest relief to new registrants on remote sales made prior to July 1, 2021 if registration is completed by October 1, 2021. The relief offered by Florida is not available to taxpayers under audit or taxpayers that have received a notice from the Department. Businesses with substantial sales activity in Florida should consider registration and prepare their sales and tax systems to begin collecting Florida sales tax on July 1, 2021.

If you have any questions on Florida’s new sales and use tax law and how it may impact your business, contact your Schneider Downs tax advisor.

You’ve heard our thoughts… We’d like to hear yours

The Schneider Downs Our Thoughts On blog exists to create a dialogue on issues that are important to organizations and individuals. While we enjoy sharing our ideas and insights, we’re especially interested in what you may have to say. If you have a question or a comment about this article – or any article from the Our Thoughts On blog – we hope you’ll share it with us. After all, a dialogue is an exchange of ideas, and we’d like to hear from you. Email us at [email protected].

Material discussed is meant for informational purposes only, and it is not to be construed as investment, tax, or legal advice. Please note that individual situations can vary. Therefore, this information should be relied upon when coordinated with individual professional advice.

© 2021 Schneider Downs. All rights-reserved. All content on this site is property of Schneider Downs unless otherwise noted and should not be used without written permission.

our thoughts on
Tax, Tax Reform BY Kirk Mitchell
Tax Reform 2021: Build Back Better Act Update as of Wednesday September 15, 2021
IRS Announces New Update Regarding Streamlined Filing Compliance Procedures and Section 965
New Per Diem Rates Announced for the Transportation Industry – Can Your Company Use This as a Driver Retention Tool?
Tax-Exempt Organizations Must Notify IRS of Responsible Party Changes
Looking for Clarity from the IRS Regarding Foreign Activities? Be Careful What You Wish For!
IRS Provides Taxpayer-Friendly Guidance for the Employee Retention Credit
Register to receive our weekly newsletter with our most recent columns and insights.
Have a question? Ask us!

We’d love to hear from you. Drop us a note, and we’ll respond to you as quickly as possible.

Ask us
contact us

This site uses cookies to ensure that we give you the best user experience. Cookies assist in navigation, analyzing traffic and in our marketing efforts as described in our Privacy Policy.

×