Chapter 14 TAXATION

ARTICLE I. INSURANCE PREMIUM TAXES

Sec. 14‑1. Property insurance-Levy of tax.

There is hereby assessed, imposed, and levied on every insur­ance company, corporation, or other insurer now engaged in or carrying on, or who shall hereafter engage in or carry on the business of property insurance as shown by the State of Florida, Department of Insurance, an excise tax in addition to any lawful license or excise tax now levied by the town. The additional tax shall be in the amount of one and eighty‑five one‑hundredths percent (1.85%) of the gross amount of receipts of premiums from policy holders on all premiums collected on property insurance policies covering property within the town. In the case of multiple peril policies with a single premium for both the property and casualty coverages in such policies, seventy percent (70%) of the premium shall be used as the basis for the one and eighty‑five one‑hundredths‑percent tax. (Ord. No. 91‑6, 1, 1‑15‑91)

Sec. 14‑2. Same-When payable.

The excise tax levied by section 14‑1 shall be payable annually on the first day of March of each year in the manner specified in Sections 624.509 and 624.5092, Florida Statutes, and Chapter 12B‑8, Florida Administrative Code. Funds shall thereafter be paid by the state to the town in the manner provided by law. Said tax shall be deposited in the firefighters’ pension trust fund. (Ord. No. 91‑6, 2, 1‑15‑91)

Secs. 14‑3–14‑5. Reserved.

Sec. 14‑6. Casualty insurance-Tax levied.

There is hereby assessed, imposed, and levied on every insur­ance company, corporation, or other insurer now engaged in or carrying on, or who shall hereafter engage in or carry on the business of casualty insurance, as shown by the records of the State of Florida, Department of Insurance, an excise tax in addi­tion to any license tax or excise tax now levied by the town, which tax shall be in the amount of eighty‑five one‑hundredths percent (.85%) of the gross amount of receipts of premiums from policy holders on all premiums collected on casualty insurance policies covering property within the town. In the case of multiple peril policies with a single premium for both property and casualty coverages in such policies, thirty percent (30%) of such premium shall be used as the basis for the eighty‑five one‑hundredths-percent tax above. (Ord. No. 91‑7, 1, 1‑15‑91)

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*Cross reference–Occupational license taxes, Ch. 9.

Sec. 14‑7. Same-When payable.

The excise tax levied by section 14‑6 shall be payable annually on the first day of March of each year hereafter in the manner specified in Sections 624.509 and 624.5092, Florida Statutes, and Chapter 12B‑8, Florida Administrative Code. Funds shall there­after be paid by the State of Florida to the town in the manner provided by law. (Ord. No. 91‑7, 2, 1‑15‑91)

Secs. 14‑8–14‑10. Reserved.

ARTICLE II. PUBLIC SERVICE TAX*

Sec. 14‑11. Levied.

In addition to all other taxes of every kind now imposed, there is hereby levied by the town on each and every purchase in the town of electricity (not including fuel adjustment), metered or bottled gas (natural or manufactured liquified petroleum gas), and water services, a tax equal to ten percent (10%) of the payments received by the seller of such utility service; in the case of individually metered units in a multi‑unit building, each metered unit shall constitute a separate purchase. (Code 1962, 25‑2; Ord. No. 267, 1, 8‑23‑79; Ord. No. 280, 1, 4‑30‑80; Ord. No. 81‑287, 1, 12‑30‑80; Ord. No. 82‑315, 1, 9‑21‑82; Ord. No. 83‑337, 1, 9‑20‑83; Ord. No. 85‑23, 1, 9‑17‑85; Ord. No. 16-07, 1, 4-13-16)

Sec. 14‑12. Applicability of tax.

The tax levied by this article shall also apply to all sales of electricity and gas whether delivered through the medium of a meter or other measuring devices, or otherwise, to premises lo­cated in the town. (Code 1962, 25‑10; Ord. No. 16-07, 2, 4-13-16)

Sec. 14‑13. Exclusion of fuel adjustment charge.

The tax imposed by this article shall not be applied against any fuel adjustment charge, and such charge shall be separately stated on each bill. “Fuel adjustment charge” shall mean all increases in the cost of utility services to the ultimate consumer resulting from an increase in the cost of fuel to the utility subsequent to October 1, 1973.

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*State law reference–Provisions governing public service taxes, F.S. 166.231.

Sec. 14-14. Exemption for governmental agencies.

The United States of America, State of Florida and the political subdivisions and agencies, boards, commissions and authorities thereof, are exempt from payment of the tax levied by this article. (Code 1962, 25-11)

Sec. 14‑15. Exemption for churches.

The tax imposed by this article shall not be levied or collected on the purchases of utility services by any recognized church in the state for use exclusively for church purposes.

Sec. 14‑16. Seller to collect from purchaser.

In every case the tax shall be collected from the purchaser of such utility service and paid by such purchaser, for the use of the town, to the seller of such utility service at the time the purchaser pays the charge therefor to the seller, and not less often than monthly. (Code 1962, 25‑2)

Sec. 14‑17. Purchaser failing or refusing to pay.

If any purchaser shall fail, neglect or refuse to pay to the seller the tax imposed by this article, the seller shall have, and is hereby vested with, the right to discontinue immediately further service to such purchaser until the tax and the seller’s bill have been paid in full. (Code 1962, 25‑3)

Sec. 14‑18. Collection and paying over to town.

It shall be the duty of every seller of any utility service de­scribed in section 14‑11, in acting as a tax collecting medium or agency for the town, to collect from the purchaser for the use of the town the tax imposed and levied by this article and to report and pay over to the town on or before the tenth day of each month all such taxes collected during the preceding calendar month. (Code 1962, 25‑4)

Sec. 14‑19. Computation.

In all cases where the seller of electricity, metered or bottled gas (natural, liquefied gas or manufactured),  and water services, collects the price thereof at monthly periods, the tax levied by this article may be computed on the aggregate amount of sales during such period. The amount of tax to be collected shall be the nearest whole cent to the amount computed. (Code 1962, 25‑5; Ord. No. 267, 2, 8‑23‑79; Ord. No. 16-07, 3, 4-13-16)

Sec. 14‑20. Failure of seller to collect.

(a) It shall be unlawful for any seller to collect the price of any sale of a utility service without at the same time collecting the tax levied in respect to such sale.

(b) Any seller failing to collect such tax at the time of collecting the price of any sale shall be liable to the town for the amount of such tax in like manner as if the same had been actually paid to the seller, and the director of finance of the town shall bring all suits and actions and take all proceedings as may be necessary for the recovery of such tax. Provided, however the seller shall not be liable for the payment of the tax upon unpaid bills. (Code 1962, 25‑6)

Sec. 14‑21. Records of sellers.

(a) Every seller of any utility service on which a tax is levied by section 14‑11 shall keep complete records showing all sales within the town of electricity, metered or bottled gas (natural, liquefied petroleum gas or manufactured), or water services, which records shall show the price charged upon each sale, the date thereof, and the date of payment thereof.

(b) The records shall, at all reasonable times, be open for in­spection by duly authorized agents of the town during business hours on any business day, and the agents shall have authority to make such transcripts thereof as they may desire. (Code 1962, 25‑7; Ord. No. 16-07, 4, 4-13-16)

Sec. 14‑22. Monthly report by seller required.

It shall be the duty of each such seller of utility service each month in paying over to the town the tax collected, to make such report or reports as may be reasonably required on forms to be furnished by the town for that purpose. (Code 1962, 25‑8)

Sec. 14‑23. Penalty for failure to make report and pay tax.

Any such seller of utility service failing to make the report required by section 14‑22 and to pay over to the town the tax collected during the previous month on or before the fifteenth day of each month immediately following the month in which the tax is collected, shall be liable for and, in addition to the tax collected, shall pay a penalty at the time of paying the tax and making the report equal to five percent (5%) of the tax, for each month or part of a month that the report and tax is past due. This penalty shall be in addition to the penalty provided for violation of this Code of Ordinances. (Code 1962, 25‑9)

ARTICLE III.  COMMUNICATIONS SERVICES TAX

Sec. 14-24.  Intent; Definitions.

(a)     Intent.     It is the intent of the town to impose a local communications services tax upon the sales price of communications services within the town in accordance with chapter 202, Florida Statutes.

(b)     Definitions.     The following definitions shall apply to all provisions of this article:

(1)     “Communications services” means the transmission, conveyance, or routing of voice, data, audio, video, or any other information or signals, including video services, to a point, or between or among points, by or through any electronic, radio, satellite, cable, optical, microwave, or other medium or method now in existence or hereafter devised, regardless of the protocol used for such transmission or conveyance.  The term includes such transmission, conveyance, or routing in which computer processing applications are used to act on the form, code, or protocol of the content for purposes of transmission, conveyance, or routing without regard to whether such service is referred to as voice-over-Internet-protocol services or is classified by the Federal Communications Commission as enhanced or value-added.  The term does not include:

(A)  Information services.

(B)  Installation or maintenance of wiring or equipment on a customer’s premises.

(C)  The sale or rental of tangible personal property.

(D)  The sale of advertising, including, but not limited to, directory advertising.

(E)  Bad check charges.

(F)  Late payment charges.

(G)  Billing and collection services.

(H)  Internet access service, electronic mail service, electronic bulletin board service, or similar online computer services.

(2)     “Information service” means the offering of a capability for generating, acquiring, storing, transforming, processing, retrieving, using, or making available information via communications services, including, but not limited to, electronic publishing, web-hosting service, and end-use 900 number service.  The term includes data processing and other services that allow data to be generated, acquired, stored, processed, or retrieved and delivered by an electronic transmission to a purchaser whose primary purpose for the underlying transaction is the processed data or information.  The term does not include video service.

(3)     “Private communications service” means a communications service that entitles the subscriber or user to exclusive or priority use of a communications channel or group of channels between or among channel termination points, regardless of the manner in which such channel or channels are connected, and includes switching capacity, extension lines, stations, and any other associated services that are provided in connection with the use of such channel or channels.

(Ord. No. 16-07, 5, 4-13-16)

Sec. 14-25.  Tax levied; No permit fees assessed.

(a)     Tax levied.

(1)     As provided in and authorized by chapter 202, Florida Statutes, a communications services tax in the town is hereby levied on each taxable transaction at a rate of 5.80 percent of the sales price of the communications service, that:

(A)  Originates and terminates in this state, or

(B)  Originates or terminates in this state and is charged to a service address in this state, when sold at retail, computed on each taxable sale for the purpose of remitting the tax due.

(2)     With respect to private communications services, the tax shall be on the sales price of such service provided within the town, which shall be determined in accordance with the following provisions:

(A)  Any charge with respect to a channel termination point located within the town;

(B)  Any charge for the use of a channel between two channel termination pointes located in the town; and

(C)  Where channel termination points are located both within and outside of the town:

(I)  If any segment between two such channel termination points is separately billed, 50 percent of such charge; and

(II)  If any segment of the circuit is not separately billed, an amount equal to the total charge for such circuit multiplied by a fraction, the numerator of which is the number of channel termination points within the town and the denominator of which is the total number of channel termination points of the circuit.

(3)     Exemptions.

(A)  The tax imposed under this section does not apply to any direct-to-home satellite service.

(B)  The tax imposed under this section shall not exceed $25,000 per calendar year on communications service charges billed to a service address located within the town imposing a local communications services tax for interstate communications services that originate outside this state and terminate within this state.  This sub-paragraph applies only to holders of a direct-pay permit issued under s. 202.12(3), Florida Statutes.

(b)     No permit fees assessed.  Effective October 1, 2001, the town elects not to require the imposition and collection of permit fees from providers of communications services to use or occupy the town’s streets or rights-of-way for the installation of communication services.  Pursuant to s. 202.20(1)(c), Florida Statutes, the town does hereby include within the 5.80 percent communications services tax levied, the additional percentage as allowed by law for municipalities that elect not to impose and collect a permit fee for the use of occupancy of the town’s streets or rights-of-way.

(Ord. No. 16-07, 6, 4-13-16)