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TIP #98(A)1-27
Date Issued: 12/30/98

Beginning January 1, 1999, Pollution Control Equipment for Landfills and Disposal Facilities Will Be Exempt From Sales and Use Tax

The 1998 Legislature provided an exemption from sales and use tax for pollution control equipment for privately owned or operated landfills and disposal facilities. This exemption is subject to the following limitations:

  • Equipment, machinery, or materials purchased or leased for the monitoring, prevention, abatement, or control of pollution or contaminants at privately owned or operated landfills or construction and demolition debris disposal facilities shall not be subject to sales and use tax. Such purchases must be completed, or lease payments made, on or after January 1, 1999. Purchases completed, or lease payments made, prior to January 1, 1999, are not eligible for exemption.
  • To qualify, such items must be installed or constructed to comply with a law implemented by, or a condition of a permit issued by, the Florida Department of Environmental Protection.
  • The purchaser of the pollution control equipment must sign a certificate stating that the equipment, machinery, or materials to be exempted are required to meet such law or permit condition. A suggested format for the certificate is enclosed.
  • The exemption does not include solid waste collection vehicles, compactors, graders, or other earthmoving equipment.
  • The exemption is available to the owner or operator of the facility, to the general contractor, and to the general contractor's subcontractors.

To exempt the qualifying purchase(s), the owner or operator of the facility must give a certificate of exemption to the contractor or vendor. The contractor, in turn, would issue its own certificate to its subcontractors or to the vendor along with a copy of the certificate provided by the owner or operator. This process continues from subcontractors to sub-subcontractors until the actual purchase order is issued to the vendor or supplier for the qualifying equipment, machinery, or materials.

When extending a certificate for this exemption do not include another business entity's Certificate of Registration number (sales tax number) or Direct Pay Certificate number. A Certificate of Registration number or Direct Pay Certificate number may be used only by the business entity to which it was assigned.

In order to support this exemption, the owner/operator, the contractor, and the subcontractors should retain all documents and records that could be used to support this exemption. These documents include, but are not limited to: (1) photocopies of certificates; (2) purchase orders; (3) invoices; (4) depreciation schedules; (5) chart of accounts; and, (6) permits.

For More Information

References:

s. 212.051, F.S.

Suggested Certificate (pdf format, download Adobe Acrobat. It Free!)