Florida Lowers Sales Tax on Commercial Rentals and Leases Again
As of January 1, 2020, the sales tax on commercial rentals, leases, and licenses to use commercial real property in Florida was lowered again; this time to 5.5% plus the applicable county surtax rate. For these type of commercial properties in Walton County the total new sales tax rate is therefore 6.5%.
We would like to remind you that payments for services required to be paid by the tenant, such as charges for common area maintenance, customer parking provided at no charge to the customer, or janitorial services, are included in the total rent charged and are subject to sales tax.
Rentals, leases, and licenses to use or occupy commercial real property by related persons are also subject to sales tax. For example, if you personally own a piece of property that you lease out to your business, the rent payments are subject to sales tax in Florida.
We can help you prepare and or file your sales tax returns. Just call one of our offices or send an email to info@warrensasser.com and one of our friendly staff members will be happy to assist you.
For more information about Florida sales tax, you can also visit the Florida Department of Revenue’s website.