Freedom Week, Florida's 1-week sales tax exemption on certain admission and oudoor activity supplies, runs July 1-7
https://floridarevenue.com/taxes/tips/Documents/TIP_22A01-04.pdf
Freedom Week: Sales Tax Holiday on Specific Admissions and Outdoor Activity Supplies, July 1-7, 2022
The sales tax holiday begins on Friday, July 1, 2022, and ends on Thursday, July 7, 2022. During this sales tax holiday period, tax is not due on the retail sale of admissions to music events, sporting events, cultural events, specified performances, movies, museums, state parks, and fitness facilities. Also exempt from sales tax during this holiday period are eligible boating and water activity supplies, camping supplies, fishing supplies, general outdoor supplies, residential pool supplies, and sporting equipment.
This sales tax holiday does NOT apply to:
• Rentals of any eligible items
• Sales within a theme park, entertainment complex, public lodging establishment or airport
Eligible Items
Admissions to the following events or performances scheduled to be held between July 1, 2022 and December 31, 2022:
• Live music events
• Live sporting events
• Movies to be shown in a movie theater
• Ballet
• Plays
• Musical theatre performances
• Fairs
• Festivals
• Cultural events
• Private and membership clubs providing physical fitness facilities
Admissions purchased for any of the following:
• Museums, including annual passes
• State parks, including annual passes
• Season tickets for ballets, plays, music events, and musical theatre performances
Note: If an admission is purchased tax exempt and subsequently resold, the purchaser must collect tax on the full sales price of the resold admission.
Boating and water activity supplies
On the first $25 of the sales price:
• Goggles
• Snorkels
• Swimming masks
On the first $35 of the sales price:
• Inflatable chairs
• Pool floats
• Pool toys
• Recreational pool tubes
On the first $50 of the sales price:
• Safety flares
On the first $75 of the sales price:
• Coolers
• Life jackets
• Oars
• Paddles
On the first $150 of the sales price:
• Inflatable recreational water tubes and floats capable of being towed
• Kneeboards
• Wakeboards
• Water skis
Reporting Sales
Florida dealers should report the sales of eligible items sold during the sales tax holiday period as exempt sales on their sales tax returns.
Items Normally Sold as a Unit
Items normally sold as a unit must continue to be sold in that manner; these items cannot be separately priced and sold as individual items in order to qualify for the sales tax exemption.
Sets Having Exempt and Taxable Items
When tax-exempt items are normally sold together
with taxable merchandise as a set or single unit, the sales price of the set or unit is subject to sales tax.
Buy One, Get One Free or for a Reduced Price
The total price of items advertised as “buy one, get one free” or “buy one, get one for a reduced price” cannot be averaged for both items to qualify for the exemption.
Gift Cards
The sale of a gift card is not taxable. A gift card does not reduce the sales price of an item. Eligible items purchased during the sales tax holiday period using a gift card qualify for the exemption, regardless of when the gift card was purchased. Eligible items purchased after the sales tax holiday period using a gift card are taxable, even if the gift card was purchased during the sales tax holiday period.
On the first $300 of the sales price:
• Paddleboards
• Surfboards
On the first $500 of the sales price:
• Canoes
• Kayaks
Camping supplies:
On the first $30 of the sales price:
• Camping lanterns
• Flashlights
On the first $50 of the sales price:
• Camping stoves
• Collapsible camping chairs
• Portable hammocks
• Sleeping bags
On the first $200 of the sales price:
• Tents
Fishing supplies:
On the first $5 of the sales price if sold individually or the first $10 of the sales price if multiple items are sold together:
• Bait
• Fishing tackle
On the first $30 of the sales price:
• Tackle Bags
• Tackle boxes
On the first $75 of the sales price if sold individually or the first $150 of the sales price if sold as a set:
• Reels
• Rods
Note: Excludes supplies used for commercial fishing purposes.
General outdoor supplies:
On the first $15 of the sales price:
• Insect repellant
• Sunscreen
On the first $30 of the sales price:
• Water bottles
On the first $50 of the sales price:
• Bicycle helmets (youth bicycle helmets are always exempt from sales tax)
• Hydration packs
On the first $100 of the sales price:
• Sunglasses (except prescription, which are always exempt from
sales tax)
On the first $200 of the sales price:
• Binoculars
On the first $250 of the sales price:
• Bicycles
• Outdoor gas or charcoal grills
Residential pool supplies
On the first $100 of the sales price:
• Covers
• Filters
• Lights
• Nets
• Residential pool and spa replacement parts
On the first $150 of the sales price:
• Residential pool and spa chemicals when purchased by an individual
Sports equipment:
Selling for $40 or less:
• Any item used in individual or team sports, not
including clothing or footwear
Remote Sales
Eligible items purchased through a marketplace provider or from a remote seller are exempt when the order is accepted by the marketplace provider or remote seller during the sales tax holiday period for immediate shipment, even if delivery is made after the sales tax holiday period.
Coupons, Discounts and Rebates
The sales price of an item includes all consideration received by the retailer for that item. It is not limited to the amount paid by a customer. A coupon, discount or rebate offered by the retail seller reduces the sales price of an item because it reduces the total amount received by the retail seller for such an item. Because a retailer’s coupon, discount or rebate reduces the sales price of an item, such discounts may be used to determine whether an item qualifies for the exemption. However, a retailer is reimbursed for the amount of any discount created by a manufacturer’s coupon
discount or rebate, and the amount of the reimbursement is included in the total sales price of the item. Because the sales price is not actually reduced by a manufacturer’s coupon, discount or rebate, such discounts cannot be used to determine if an item qualifies for the exemption.
Returns
When a customer returns an eligible item purchased during the sales tax holiday period and requests a refund or credit of tax:
• The customer must produce a receipt or invoice showing tax was charged and paid on the original purchase of the item; or
• The retailer must have sufficient documentation to show tax was paid on the original purchase of the item.
Exchanging a Purchase After the Sales Tax Holiday Period
When a customer purchases an eligible item during the sales tax holiday period then later exchanges the item for the same item (e.g., different size or color), no tax is due, even if the exchange is made after the sales tax holiday period.
When a customer purchases an eligible item during the sales tax holiday period then later returns the item and receives credit toward the purchase of an item that did not qualify for the exemption, the new item purchased is subject to sales tax.
Rain Checks
Eligible items purchased during the sales tax holiday period using a rain check qualify for the exemption regardless of when the rain check was issued. However, issuance of a rain check during the sales tax holiday period will not allow for an eligible item to be exempt if the item is purchased after the sales tax holiday period.
Layaway Sales
A layaway sale is a transaction in which merchandise is set aside for future delivery to a customer who makes a deposit, agrees to pay the balance of the purchase price over a period of time and receives the merchandise at the end of the payment period.
Eligible items sold as layaway sales qualify for the exemption when the customer:
• Accepts delivery of the merchandise during thesales tax holiday period; or
• Puts an eligible item on layaway, even if final payment is made after the sales tax holiday period.
Service Warranties
The taxation of any charges for a service warranty contract depends on the taxability of the product being sold. If the retail sale of an item is exempt from tax, the charge for a service warranty sold with the item is exempt.
Shipping and Handling
When separately stated shipping charges are part of the sales price and both taxable and exempt items are listed on a sales invoice or receipt, the shipping charges must be proportionately allocated to the charge for each item to determine the total sales price of the item. The charge for each item is divided by the total charge of all the items ordered to obtain the percentage of charge that each item bears to the total order. The amount of the shipping charge applicable to each item is calculated by multiplying the total shipping charge by the percentage of cost for each item. If the item sold is exempt, the associated shipping charge is also exempt.
Panama City and Panama City Beach Dealers Only:
Panama City and Panama City Beach impose a 1% merchant’s license fee or tax on retailers. The merchant’s license fee is included in the sales price of each item. When the fee is separately stated, and both taxable and exempt items are listed on a sales invoice or receipt, the merchant’s license fee must be allocated to the charge for each item on the invoice. If the item is exempt, the associated merchant’s license fee is exempt.
For More Information
For forms and other information, visit the Department’s website at FloridaRevenue.com or call Taxpayer Services at 850-488-6800, Monday through Friday (excluding holidays).