Sales Tax Exemptions

Does Your Business Qualify?

If your business is a nursing home, assisted living facility, agricultural operation, manufacturer, church, charity, non-profit organization, school or governmental entity, you may be eligible for the Florida sales tax exemption on your electricity, gas or steam purchases. If your business qualifies, you would not only save money on your energy costs every year, but you may also be eligible for a refund of taxes already paid.

One new exemption you may qualify for went into effect on July 1 of this year. Electricity used directly and exclusively for production and processing of agricultural farm products is now exempt from Florida sales tax. The savings could be significant. For instance, a qualifying customer with a $10,000 monthly bill would save approximately $645. This usage must be metered separately from non-exempt operations, such as offices and retail operations. Farming operations that qualify include horsebreeding, plant nurseries, dairy farms, poultry farms, beekeepers, and fisheries, as well as production such as viniculture (grapes), floriculture, and equipment used in production, such as milking machines, irrigation pumps and the like.

To find out if your facility qualifies and/or how to apply for any of the tax exemptions, call the Florida Department of Revenue at 1-800-352-3671 or visit http://www.myflorida.com/dor/tips/tip06a01-09.html. Manufacturers interested in the steam exemption can visit: http://www.eflorida.com/incentives/SalesTaxElectrictySteam.pdf.