Florida residents will pay 6% sales tax (sales tax, also known as consumption tax) on purchases made on online shopping platforms in other states starting July 1 of this year.
Republican Florida Governor DeSantis (Ron DeSantis) signed late on the 19th after the effective state law, Florida residents July 1 this year, including Amazon (Amazon) and other out-of-state online shopping platform, will pay 6% sales tax (sales tax, also known as excise tax). This measure will create an annual tax revenue source of $1 billion for Florida, which will first be used to fill the underfunded state unemployment trust fund, and secondly will be used to make up for the budget gap left by the commercial rent tax cut.
Among the 45 states that currently levy sales tax, only Florida and Missouri are not imposing sales tax on online purchases. The Supreme Court ruled in the 2018 South Dakota v. Wayfair lawsuit that the state has the right to require online retailers to cooperate in collecting sales tax, regardless of where the e-tailer is located.
Beginning July 1, out-of-state retailers with more than $100,000 in annual sales will be subject to a 6 percent sales tax on merchandise sold to Florida residents. Business groups, including the Florida Chamber of Commerce, have been advocating for Florida Senate Bill 50 (SB50), commonly known as the “e-fairness measure,” for the past several years, arguing that the bill The passage of the bill would allow out-of-state online sellers to compete on a level playing field with traditional brick-and-mortar businesses.
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