Anyone who purchases or registers a motor vehicle qualifying for the
Florida Tax Credit Scholarship Program in Florida may designate $105
of the state sales tax due at the time of purchase or registration to
an eligible nonprofit scholarship-funding organization (SFO)
participating in the Program. If the state sales tax due is less than
$105, the designated amount would be the state sales tax due.
Example 1: A purchaser buys a motor vehicle from a dealer with
a taxable sales price of $25,000 in a county that imposes a 1%
discretionary sales surtax. The 6% state sales tax is $1,500. The
amount of discretionary sales surtax is $50. The purchaser elects to
contribute to an eligible SFO. The dealer would remit $1,445 to the
Department and $105 to the SFO.
| Sales price: |
$ |
25,000 |
|
Total Tax and Surtax Due: |
$ |
1,550 |
| 6% state sales tax: |
$ |
1,500 |
|
Contribution to SFO: |
$ |
105 |
| 1% discretionary sales surtax: |
$ |
50 |
|
Sales Tax Due to DOR: |
$ |
1,445 |
|
$ |
26,550 |
|
|
|
|
Example 2: A purchaser buys a motor vehicle from an individual
with a taxable sales price of $1,000 in a county that imposes a 1%
discretionary sales surtax. When the purchaser registers the vehicle
with a private tag agent or county tax collector, the purchaser pays
the sales tax and surtax due to the private tag agency or county tax
collector. The 6% state sales tax is $60. The 1% discretionary sales
surtax due is $10. The purchaser elects to contribute to an eligible
SFO. The private tag agent or county tax collector would remit $10 to
the Department and $60 to the SFO.
| Sales price: |
$ |
1,000 |
|
Total Tax and Surtax Due: |
$ |
70 |
| 6% state sales tax: |
$ |
60 |
|
Contribution to SFO: |
$ |
60 |
| 1% discretionary sales surtax: |
$ |
10 |
|
Sales Tax Due to DOR: |
$ |
10 |
|
$ |
1,070 |
|
|
|
|
Example 3: An out of state resident buys a motor vehicle from a
Florida dealer for a taxable sales price of $10,000. The out of state
resident completes and provides the dealer with notice of their intent
to license the vehicle in their home state. The home state imposes a
2% sales tax. The dealer will collect $200 sales tax. The purchaser
elects to contribute to an eligible SFO. The dealer would remit $95 to
the Department and $105 to the SFO.
| Sales price: |
$ |
10,000 |
|
Total Sales Tax: |
$ |
200 |
| 2% state sales tax: |
$ |
200 |
|
Contribution to SFO: |
$ |
105 |
|
$ |
10,200 |
|
Sales Tax Due to DOR: |
$ |
95 |
"Motor vehicle" means any automobile, truck with a net vehicle weight
of less than 8,000 pounds and any other vehicle operated on the roads
of Florida, used to transport persons or property, and propelled by
power other than muscular power. Heavy trucks 8,000 pounds or more,
truck tractors, trailers, motorcycles, and mopeds are not "motor
vehicles" for purposes of the Florida Tax Credit Scholarship Program.
Motor vehicle dealers, private tag agencies, and county tax collectors
are required to provide a
Florida Tax Credit Scholarship Program Motor Vehicle Sales Tax
Credit Contribution Election
(Form DR-HS1
) to each purchaser or registrant of a qualified motor vehicle. If
the purchaser or registrant chooses not to contribute, the Form DR-HS1
does not need to be completed or retained. The dealer, agency, or
county tax collector receiving the contribution must remit the
contribution directly to the designated nonprofit scholarship-funding
organization. If you have questions about the contribution remittance
process, contact the designated nonprofit scholarship-funding
organization.
Motor Vehicle Dealers, Private Tag Agencies, and County Tax Collectors
Motor vehicle dealers, private tag agencies, and county tax collectors
receiving contributions for the Florida Tax Credit Scholarship Program
must report the amount of contributions received during each reporting
period to the eligible nonprofit scholarship-funding organization
designated and to the Department.
The fastest and easiest way to complete the
Florida Tax Credit Scholarship Program -Motor Vehicle Sales Tax
Credit -Dealer Contribution Collection Report
is
online. You may also report by submitting the paper
Florida Tax Credit Scholarship Program Motor Vehicle Sales Tax
Credit Dealer Contribution Collection Report
(Form DR-HS2
).
Reports by motor vehicle dealers and
private tag agencies are due on the 1st day of the month
following the sales and use tax reporting period and are late after
the 20th day of the month following each reporting period. If the 20th
falls on a Saturday, Sunday, or a state or federal holiday, the report
will be timely if received on the first business day following the
20th.
Reports by county tax collectors are due at the same time sales
and use tax reports and payments are due to the Department, as
prescribed in Section 219.07, Florida Statutes.
Motor vehicle dealers, private tag agencies, and county tax collectors
are not required to file a report (Florida Tax Credit Scholarship Program - Motor Vehicle Sales Tax
Credit - Dealer Contribution Collection Report) for reporting periods in which no contributions were collected.
Reporting Tax Credits
Motor vehicle dealers, private tag agencies, and county tax collectors
receiving contributions of state sales tax for the
Florida Tax Credit Scholarship Program - Motor Vehicle Sales Tax
Credit
must report the contributions on their sales and use tax returns for
reporting periods beginning on or after October 1, 2018. The total
amount of tax due reported on the tax return for vehicle sales or
registrations must include the total state sales tax and discretionary
sales surtax due before deducting the contribution of state sales tax
to the
Florida Tax Credit Scholarship Program.
Nonprofit Scholarship-Funding Organizations
Nonprofit scholarship-funding organizations receiving contributions
must file a
Florida Tax Credit Scholarship Program - Motor Vehicle Sales Tax
Credit - Contributions Received by an Eligible Nonprofit
Scholarship-Funding Organization
(Form DR-HS3
) with the Department each month. The report must contain the
contributions received from each motor vehicle dealer, private tag
agency, and county tax collector during the reporting month. Reports
are due to the Department on or before the 20th day of the month
following the month of collection. If the 20th falls on a Saturday,
Sunday, or state or federal holiday, the report must be received on
the first business day following the 20th.
Any motor vehicle dealer, private tag agency, county tax collector, or
eligible nonprofit scholarship-funding organization that fails to file
a required report is subject to a penalty of $1,000 each month, or a
portion of a month, up to $10,000.
Florida law requires the Department to notify an eligible nonprofit
scholarship-funding organization upon a finding that a motor vehicle
dealer, private tag agency, or county tax collector claimed a a
Florida Tax Credit Scholarship Program (Motor Vehicle Sales Tax)
credit and and failed to remit a contribution to the affected
organization. The notification will include the name, address, federal
employer identification number (FEIN), and information related to the
difference between the amount of credit claimed and the contribution
amount remitted to the organization.
