Florida Intangible Tax Reduced on July 1, 2001

In late December, 2001, the Florida legislature delayed this change in exemptions. The exemption amounts remain as in the past, $20,000 for individuals and $40,000 for joint returns. The action was taken in response to the deteriorating economy and consequent reductions in tax revenues.

Governor Bush and the 2001 Florida Legislature have increased the exemptions for intangible personal property that is subject to tax. This increase in the exemption amount reduces the tax most people owe.

This exemption increase will first apply to intangible personal property assessed for taxation on January 1, 2002.  The final due date to submit these taxes to the Florida Department of Revenue is June 30, 2002.

Previously, every individual filing an intangible tax return was entitled each year to an exemption of the first $20,000 of the value of property subject to the annual tax; this exemption amount has been increased to $250,000.  A husband and wife filing jointly had an exemption of $40,000; this exemption has been increased to $500,000.

Also, every taxpayer that is not a natural person (corporations, partnerships, etc.) has been granted an exemption each year of the first $250,000 of the value of property otherwise subject to the tax. Previously there had been no exemption.

At this time, final regulations regarding rules clarifying when (or if) a return must be filed when no tax is owing have not been issued. Contact us if you have questions regarding changes in the Florida Intangible Tax.

Related Information:
        Ideas and Information About Taxes
        Selecting a Tax Advisor
        Tax Services

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