Integrated Tax System Designed to Improve Service
The Florida Department of Revenue (DOR) is moving all tax accounts into a new, integrated computer system called SUNTAX (System for Unified Taxation). Currently, four of Florida's largest revenue sources: sales tax, corporate income tax, documentary stamp tax, and communications services tax are administered in SUNTAX along with a number of minor taxes. Positioned at the cutting edge of revenue-administration technology, this new system is used to collect more than $30 billion per year in Florida taxes, provide service to approximately 1.8 million taxpayers, and support more than 10.5 million financial transactions. By 2007, DOR expects to use SUNTAX to manage all 36 DOR-administered taxes and fees.
SUNTAX:
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Provides a "one-stop shop"
Previously, DOR administered taxes using numerous older computer systems. A DOR employee might have used 8 to 10 different computer systems to find data needed to assist a taxpayer with a problem. Through SUNTAX, the Department can support any taxpayer using a single business identifier.
This improved system can streamline and simplify contacts between DOR and taxpayers for all types of tax obligations. For example, a taxpayer can register for multiple tax obligations through a single contact. Department employees can update a business' address for multiple taxes with one transaction.
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Supports an integrated accounting and collection system
Since all financial transactions for a taxpayer are posted on a single account, DOR employees can see all accounts receivable and payable. This not only allows our collections process to be more efficient but provides better service to taxpayers who inquire about the status of their account. Audit assessments, returned items, outstanding bills, and delinquencies for a taxpayer are displayed on a single system instead of multiple systems. All taxpayer contacts, such as letters, fliers, bills, and telephone calls are documented to provide better service.
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Supports a level playing field for business
SUNTAX helps DOR administer tax law more fairly, uniformly, and effectively than ever before. Our data warehouse capabilities allow us to discover unregistered taxpayers, under-reported income, and other noncompliant taxpayer behavior.
An example of this was our commercial rental project. Unlike long-term residential rentals, lease of commercial space is subject to sales tax. But not all businesses that lease property to commercial tenants are collecting tax. SUNTAX helped DOR compare property tax records to sales tax registrations and find businesses that might owe tax on commercial rentals. After an extensive outreach effort in 2003, thousands of businesses have paid more than $34 million in back taxes, penalty, and interest.
More importantly, tens of thousands of other businesses that already comply with tax law are assured that a competitor isn’t getting an unfair advantage by evading taxes.
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Features innovative accounting and case management tools
SUNTAX helps DOR auditors manage their cases more efficiently, helping to minimize the impact of an audit on a business's day-to-day operations. By 2005, SUNTAX will help DOR focus its compliance-enforcement resources in areas where needed, helping to protect law-abiding taxpayers from unnecessary audits, improving compliance with the law, and maximizing the state's return on investment.
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Saves money for Florida's citizens
SUNTAX and related technologies have already saved Florida taxpayers more than the projected $40 million cost of the system. Through 2003, the system generated $141 million in increased compliance and cut administrative costs by $44 million. Future savings are projected at $15.5 million per year.
Governing magazine awarded Florida’s Department of Revenue with its highest rating of four stars in the area of tax administration. In fact, Florida was one of only two large states - and one of only six overall - to receive this organization's highest rating in this important category. Governing commented that "much of Florida's improved efficiency can be traced to the use of technology." The magazine went on to state that "More impressive than the tax structure is the state's revenue management… which is widely admired around the country."
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