Current through Reg. 51, No. 122; June 24, 2025
(1) Newspapers, Community newpapers,
shoppers, magazines, and other periodicals.
(a) For purposes of this rule, the term
"periodicals" includes newspapers, community newspapers, shoppers, newsletters,
magazines, and other periodicals, but excludes books, whether published in
serial form or otherwise.
(b)
1. The sale of copies of periodicals is
subject to tax. The sale of subscriptions to periodicals that are delivered to
a subscriber in this state by a carrier or means other than by mail, such as
home delivery, is subject to tax. When the designation of delivery is in this
state by means other than by mail at the beginning of the subscription period,
and it is later changed to outside this state or to be delivered by mail, the
sale of the subscription is subject to tax.
2. The sale of subscriptions to periodicals
that are delivered to the subscriber by mail are exempt whether delivered to a
customer in this state or outside this state. When the destination of delivery
at the beginning of the subscription period is by mail, but it is changed
during the subscription period to be delivered in this state by a carrier or by
means other than by mail, the sale of the subscription is
exempt.
(c) When a
publisher bills or invoices the consumer directly for copies of or
subscriptions to periodicals for delivery other than by mail, the publisher is
required to register as a dealer and collect and remit tax. (See Rule
12A-1.060, F.A.C.)
(d)
1.
a. When a publisher sells newspapers to its
carriers and the carriers bill their customers and collect the payments, the
publisher may elect to remit the applicable tax due for the carriers. The
Department will authorize a publisher that uses carriers to sell its newspapers
to remit tax on the retail sales price charged to the ultimate consumer in lieu
of having the carrier register as a dealer and remit the tax, if the publisher
properly complies with the provisions of Rule
12A-1.0911, F.A.C., Self-Accrual
Authorization.
b. A publisher that
has elected to remit the tax due for its carriers may take a credit for the
amount of tax paid on the uncollected charges for periodicals credited to the
carrier's account. The publisher should obtain for its records a signed
statement from the carrier indicating the uncollected amount of the retail
sales price charged to its customers. (See Rule
12A-1.012, F.A.C.)
c. For purposes of this rule, "carrier" means
any independent contractor, agent, street news vendor, or other person
distributing periodicals on their own account and not as an employee of the
publisher.
2. Any person
who purchases newspapers from a publisher that has not elected to remit the tax
due as provided in subparagraph 1., is required to register as a dealer and
collect and remit tax on the retail sales price of the newspaper. Dealers
registered with the Department may extend a copy of their Annual Resale
Certificate (Form DR-13) to the publisher to purchase newspapers for resale tax
exempt.
(2)
Periodicals sold through rack machines.
(a)
The sale of periodicals through rack machines is a sale of tangible personal
property through vending machines, as defined in Section
212.0515(1),
F.S., subject to tax at the rate established in Section
212.0515(2),
F.S. A notice must be conspicuously displayed on the face of the rack machine
that the purchase price of a copy includes sales tax.
1. If a rack machine is owned by a publisher
and serviced by the publisher's employees, the publisher is required to remit
tax on sales made through such machine.
2. If a rack machine is owned by a retail
establishment and is serviced by the employees of that establishment, the
retail establishment is required to remit tax on sales made through such
machine.
3. If a rack machine is
owned and serviced by a carrier of a publisher who has elected to remit tax for
its carriers, as provided in paragraph (1)(d), the publisher is required to
remit tax on sales made through such machine.
4. If a rack machine is owned and serviced by
a carrier of a publisher that has not elected to remit tax for its independent
carriers, the carrier is required to remit tax on sales made through such
machine.
(b) Owners or
operators of rack machines through which sales are made must obtain a separate
Sales and Use Tax Certificate of Registration (Form DR-11) for each county in
which such machines are located. One Sales and Use Tax Certificate of
Registration is sufficient for all the rack machines and devices within a
single county. (See Rule
12A-1.060, F.A.C.)
(c) For guidelines on the purchase or repair
of rack machines, see Rule
12A-1.044, F.A.C.
(d) When a rack machine is placed on location
by the owner of the machine under a written agreement, the terms of the
agreement will govern whether the lease is a lease or license to use tangible
personal property or a lease or license to use real property. For guidelines on
the purchase or lease of rack machines and the lease or license to use real
property for the placement of rack machines, see Rule
12A-1.044,
F.A.C.
(3) Periodicals
exempt from tax.
(a) Periodicals that meet the
following requirements are exempt from tax:
1.
The periodical is published on a regular basis;
2. The periodical is distributed free of
charge to the recipient by mail, home delivery, rack machines, newsstands, or
similar method; and,
3. The content
of the periodical is primarily advertising.
(b) The sale of subscriptions to periodicals
that are delivered to the subscriber by mail are exempt.
(c) Distributors of tax exempt periodicals
may issue an exemption certificate to their vendors in lieu of paying tax on
the publishing or printing costs of, or for the purchase of items, such as
paper and ink, that are incorporated into and become a component part of, the
publication.
(4) Inserts
distributed with periodicals.
(a) Inserts,
such as magazines, handbills, circulars, flyers, advertising supplements, and
other printed materials distributed with a newspaper, community newspaper,
shopper, or magazine are a component part of the newspaper, community
newspaper, shopper, or magazine.
(b) Inserts are exempt from tax when:
1. The inserts are either printed by the
publisher of the newspaper, community newspaper, shopper, or magazine or
delivered directly to the publisher by any other printer for inclusion in a
distributed newspaper, community newspaper, shopper, or magazine; and
2. The inserts are labeled as part of the
designated newspaper, community newspaper, shopper, or magazine in the
masthead, logo, gang logo, or supplement line of the newspaper, community
newspaper, shopper, or magazine to which they are inserted; and,
3. If the purchaser of the insert acquires
the insert from a dealer other than the publisher of the periodical, the
purchaser must present to the selling dealer a copy of the purchaser's Annual
Resale Certificate (Form DR-13) or an exemption certificate, as provided in
Rule 12A-1.038, F.A.C., stating that
the publication is exempt from tax pursuant to Section
212.08(7)(w),
F.S.
(5)
Advertising materials distributed free of charge.
(a) Certain advertising materials are exempt
from sales and use tax only if the materials:
1. Consist exclusively of advertisements,
such as individual coupons or other individual cards, sheets, or pages of
printed advertising; and,
2. Are
distributed free of charge by mail in an envelope; and,
3. The envelope contains advertisements from
10 or more persons (advertisers).
(b) Sales and use tax is not due on the
purchase of materials, such as paper, ink, envelopes, glue, or replenisher,
that are incorporated into and become a component part of the exempt
advertising materials. No use tax is imposed on the cost of manufacturing,
producing, processing, or fabricating the exempt advertising materials. Dealers
registered with the Department may extend a copy of their Annual Resale
Certificate at the time of purchase, as provided in Rule
12A-1.039, F.A.C., to purchase
materials that will be incorporated into and become a component part of the
tax-exempt advertising materials.
(6) Periodicals sold or distributed by
associations.
(a) Periodicals that are
provided by an association to its members for a charge that is separate and
apart from the payment of membership dues are considered to be sold by the
association. If an association indicates on it dues invoices, membership
billing statements, dues notices, or membership applications that a specified
portion of the dues payment by the member is attributed to a periodical
subscription, the amount specified for the subscription constitutes a sale of a
subscription to the specified periodical.
(b) The charge for copies of periodicals, and
subscriptions to periodicals that are not delivered to the purchaser by mail,
are subject to tax. However, charges for subscriptions to periodicals that are
delivered by mail to the member are exempt, whether the charge for such
subscription is separately stated or included in the members' dues.
(c) Associations that make taxable sales of
copies of periodicals and of subscriptions to periodicals are required to
register with the Department, and collect and remit the applicable tax on such
sales. (See Rule 12A-1.060, F.A.C.) Associations
may issue a copy of their Annual Resale Certificate to their vendors in lieu of
paying tax on the publishing or printing costs of, or for the purchase of
items, such as paper and ink, that are incorporated into and become a component
part of, a periodical that is sold to its members.
(d)
1. An
association that publishes a periodical for distribution to its members is not
selling such publications when:
a. Each member
is entitled to receive the periodical in return for payment of dues; and,
b. There is no charge made for the
periodical separate and apart from the payment of, or designated as a component
part of, membership dues.
2. The purchase of printing or the cost of
producing such periodicals by the association is subject to tax. If the
association prints or otherwise produces the periodical itself, it is required
to pay tax on such publications, as provided in Section
212.06(16),
F.S.
(7)
Materials, supplies, and services used in periodicals.
(a) The purchase of materials and supplies,
which become a component part of a periodical for resale, or for distribution
free of charge as provided in subsection (3), is exempt from sales and use tax.
Examples of such items are: paper stock, including newsprint; printer's ink;
and dry spray powder that is used to speed the drying of ink on printed matter.
Publishers whose business activity is limited to the tax exempt distribution of
periodicals, as provided in subsection (3), are not required to register with
the Department as a dealer and may issue an exemption certificate, as provided
in Rule 12A-1.038, F.A.C., to the
selling dealer to purchase such supplies and materials tax exempt. Dealers
registered with the Department may present a copy of the dealer's Annual Resale
Certificate (Form DR-13) to the selling dealer to purchase such supplies and
materials tax exempt.
(b) If a
newspaper company employs another company or a printer to print its newspapers,
the charge for printing is exempt when the purchaser presents a copy of the
purchaser's Annual Resale Certificate (Form DR-13) to the selling printer or
newspaper company. Publishers whose business activity is limited to the tax
exempt distribution of periodicals, as provided in subsection (3), may issue an
exemption certificate, as provided in Rule
12A-1.038, F.A.C., stating that
the publication is exempt from tax pursuant to Section
212.08(7)(w),
F.S., to the selling printer or publishing company.
(c) The purchase of items and materials used
one time only for packaging periodicals, without which the delivery of the
periodical would be impractical, or for the convenience of the customer, is
exempt. Examples of such packaging materials are: boxes, cans, mailing and
wrapping paper, wax and plastic bags, twine, wire and steel band material, and
shipping tags.
(d) The charge for
information services, such as news research services, including photo and news
services, furnished to newspapers is exempt. The charge for press clipping
services is exempt. See Rule
12A-1.062, F.A.C.
(e) The purchase of expendable materials,
supplies, and other items that do not become a component part of, or accompany,
the periodical for sale is subject to tax. Examples of such items are: rosin
paste, gummed paste, flash bulbs, felt packing, art supplies, photographs,
engravings, cuts, mats, mat services, chemicals and additives used for
processing printed materials, chemicals used as cleaning agents or detergents,
blankets, rollers, matrix, wire machines, and other production and packaging
equipment.
(f) The purchase,
production, or creation of film, photographic paper, dyes used for embossing
and engraving, artwork, typography, lithographic plates, and negatives used in
producing periodicals for sale is subject to tax. When such items are
manufactured, produced, compounded, processed, fabricated, or created by the
publisher for his or her own use, the publisher shall pay tax on the cost price
of such items. See Rule
12A-1.043, F.A.C. For the tax
exemption provided for the purchase, production, or creation of these items to
printers whose business is classified in the Standard Industrial Classification
(SIC) Manual, 1987, as published by the Office of Management and Budget,
Executive Office of the President, as SIC Industry Numbers 275, 276, 277, 278,
or 279, see Rule 12A-1.027, F.A.C.
(g) The use by the publisher of copies of a
periodical that does not meet the exemption requirements provided in subsection
(3), through consumption of copies for use by the publisher or copies that are
to be given away by the publisher, is taxable at the usual retail price
thereof, if any, or at the cost price, as defined in Section
212.06(16),
F.S.
Rulemaking Authority
212.07(1)(b),
212.18(2),
213.06(1) FS.
Law Implemented 212.02(4), 212.05(1)(a), (b), (g), 212.0515(1), (2),
212.06(1)(a), (b), (16), 212.07(1), (2), 212.08(7)(o), (v), (w), (yy), (ccc),
212.18(3)(a)
FS.
New 10-7-68, Amended 1-7-70, 6-16-72, Formerly 12A-1.08,
Amended 4-22-86, 12-13-88, 1-30-91, 3-17-94, 3-20-96, 6-19-01,
1-28-08.