Sales Tax – Definition Information
The Tax Collector is the agent of the Florida Department of Revenue for the collection of certain sales taxes, which is 7%. This includes the county discretionary tax of 1% on purchases up to $5,000.00.
Definitions of Sales Tax are as follows:
| Discretionary Tax | Additional surtax imposed by certain counties on vessels and/or vehicles purchased by residents of that county. |
|
| Sales Tax | A tax imposed by the State of Florida on vessels and/or vehicles sold in the State of Florida (sales tax is collected on the purchase price of the vessel/vehicle less the retail value of the trade-in). |
|
| Use Tax | A tax imposed by the State of Florida on the purchase of a vessel and/or vehicle which was not purchased in Florida, but brought into and used in Florida during the first six months of ownership. Proof of actual sales tax paid in other states may be allowed as a credit against this use tax. Vessels/vehicles previously regis- tered in a foreign country are subject to the full use tax regardless of how long they have been owned or how much tax was paid in the foreign country. |
|
| Sales Tax Exemption | Sales tax is not collected on a gift, inheritance, equal trade, trade-down, divorce settlement, transfer between spouses, business, promotional and rental purposes. |
For more in-depth explanations of how and when sales tax is applied for vessels/vehicles please Click Here.
