TIP # 13C02-01
DATE ISSUED: March 26, 2013
The Florida Legislature has provided that all leasehold estates, or related possessory interest, in property of the United States, the State of Florida, or any of its political subdivisions, municipalities, agencies, authorities, or other governmental units, are to be taxed as intangible personal property if the leased property is undeveloped or predominately used for a residential or commercial purpose, and rental payments are due in consideration of the leasehold estate or possessory interest. Lessees of governmentally owned property are required to file an annual intangible tax return, unless the leasehold estate qualifies for specific exemptions, beginning with the 1984 tax year.
In calculating the intangible tax due to the State of Florida, the just value of a lessee's leasehold estate or possessory interest to be reported on the return is determined by the rent payments for the remaining term of the lease, at the Federal Reserve – Atlanta – discount rate on the last business day of the previous year, plus one (1) percent. Valuation factor tables are determined annually by the Department of Revenue based on that discount rate, plus one (1) percent.
The valuation factor table for the 2013 Governmental Leasehold Intangible Personal Property Tax Return (DR-601G R. 01/13) is provided below.
Reference: Section 199.155, Florida Statutes
This document is intended to alert you to the requirements contained in Florida laws and administrative rules. It does not by its own effect create rights or require compliance.
For forms and other information, visit our website at www.myflorida.com/dor or call Taxpayer Services, 8:00 a.m. to 7:00 p.m., ET, Monday through Friday, excluding holidays, at 800-352-3671.
For a detailed written response to your questions, write the Florida Department of Revenue, Taxpayer Services, MS 3-2000, 5050 West Tennessee Street, Tallahassee, FL 32399-0112.