Could a multi-park operator use its proposed matrix to calculate county surtax on single-park, multi-park, and multi-state admissions?

Plain-English summary

The Florida Department of Revenue approved this amusement-park operator's proposed matrix for calculating discretionary county surtax on its various admissions.

The operator sold single-park, multi-park, annual, and multi-state admissions through park locations, the Internet, and trade channels. For multi-park products, it could not always know at the time of sale which park or county the customer would use.

Florida surtax on admissions is tied to the county where the event occurs. Given the submitted facts and representations, the Department accepted the proposed matrix as a practical calculation method but did not establish a general formula for other operators.

What this means for you

Multi-location attraction operators

Build a documented method for admissions covering locations with different county surtax rates, especially when use is unknown at sale.

Ticketing and finance teams

Separate state admissions tax from county surtax and retain the assumptions, product definitions, and location data supporting the method.

Accountants and tax professionals

Treat this as approval of one taxpayer's matrix, not a universal allocation rule.

Common questions

Q: Did the Department approve the matrix?
A: Yes.

Q: Why was a matrix needed?
A: The customer could use some admissions at parks in different counties, and the location was not always known at sale.

Q: Did the ruling publish a general formula for everyone?
A: No.

Citations and references

• Fla. Stat. §§ 212.02, 212.04, 212.054, 212.055, and 213.22
• Fla. Admin. Code r. 12A-15.003

Source

• Landing page: Florida Tax Law Library
• Advisement: TAA 15A-017

Original ruling text

Executive Director
Marshall Stranburg

QUESTION: IS THE TAXPAYER’S PROPOSED TAXABILITY MATRIX AN ACCEPTABLE
METHOD OF COMPUTING THE AMOUNT OF SURTAX DUE FOR THE VARIOUS PARK
ADMISSIONS THAT THE TAXPAYER SELLS.
ANSWER: YES, GIVEN THE SPECIFIC CIRCUMSTANCES INVOLVED IN THIS CASE, AND
BASED ON THE REPRESENTATION BY THE TAXPAYER, THE DEPARTMENT AGREES THAT
THE TAXPAYER’S PROPOSED TAXABILITY MATRIX IS AN ACCEPTABLE METHOD OF
COMPUTING THE AMOUNT OF SURTAX DUE FOR THE VARIOUS PARK ADMISSIONS THAT
THE TAXPAYER SELLS.
November 10, 2015
Re:

Technical Assistance Advisement – TAA 15A-017
Sales and Use Tax– Admissions
Sections 212.02, 212.04, 212.054, and 212.055, Florida Statutes (F.S.)
Rule 12A-15.003, Florida Administrative Code (F.A.C.)
XX, LLC, FEI #:XX;
XX, FEI #:XX;
XX, FEI #:XX; and
XX, FEI # XX (collectively the Taxpayer)

Dear XX:
This is in response to your letter dated June 22, 2015, requesting this Department’s issuance of a
Technical Assistance Advisement (“TAA”) pursuant to section 213.22, F.S., and Rule Chapter 12-11,
F.A.C., concerning the Department’s approval of the “Proposed Taxability Matrix” submitted with your
request. An examination of your letter has established you have complied with the statutory and
regulatory requirements for issuance of a TAA. Therefore, the Department is hereby granting your
request for a TAA.
Facts
Your letter dated June 22, 2015, provides that following in part:
[The Taxpayer] owns and/or operates numerous amusement parks and attractions (“Parks”) in
Florida and across the United States. . . .
Description of Florida Parks
The Taxpayer’s . . . Florida Park, XX, is owned by XX and is located in XX County. XX sells
admissions to [enter] the Park and an adjacent . . . Park. Admission to the [adjacent] Park may
only be purchased in conjunction with a ticket to [Taxpayer’s . . . Florida Park].
Child Support – Ann Coffin, Director  General Tax Administration – Maria Johnson, Director
Property Tax Oversight – Dr. Maurice Gogarty, Director  Information Services – Damu Kuttikrishnan, Director

http://dor.myflorida.com/dor/
Florida Department of Revenue
Tallahassee, Florida 32399-0100

Technical Assistance Advisement
Page 2 of 4

The Taxpayer is in the process of completing . . . new Parks in XX, Florida . . . .
Sales of Admissions
The Taxpayer sells the various Park admissions through a variety of means including:
• On-site at the Park location, which includes admissions to Taxpayer’s other Parks;
• Internet website; and
• Trade sales
Ticket Types
The Taxpayer generally sells admissions as follows:
• Individual Park Ticket
• Multi-Park Ticket
• XX (“Annual”) Pass for Admission to one or all Parks in Florida, the XX . . . or all U.S.
Attractions.
The [identified entities] are registered dealers for Florida sales and use tax and file sales and use
tax returns with the Florida Department of Revenue. For internal accounting purposes, the
Taxpayer generally assigns the revenues to the Park where the sale was made . . . . In some
situations, revenue is allocated amongst the Parks, but is not indicative of the appropriate sales tax
treatment on the sale of admissions.

. . . There is no precise way at the time of sale to measure or allocate the use of a Multi-Park Pass
purchased by the customer. . . .

Requested Advisement
Along with the request for advisement, the Taxpayer included a “Proposed Taxability Matrix” to illustrate
the method it intends to employ in order to compute the sales tax and discretionary sales surtax for sales of
the various single county, multi-county, and multi-state admissions that it sells. The Taxpayer seeks the
Department’s approval of the computation method provided in the Proposed Taxability Matrix.

Technical Assistance Advisement
Page 3 of 4

Applicable Authority and Discussion
Section 212.04, F.S., imposes a taxable privilege on anyone that receives anything of value by way of
admissions. Section 212.02(1), F.S., defines “admissions” to include “. . . any place where charge is made
by way of sale of tickets, . . . participation fees, [or] entrance fees . . . in any place where there is any
exhibition, amusement, sport, or recreation . . . .” The entity selling such an admission must collect
admissions tax on the entire price charged for the package.
Section 212.055, F.S., authorizes the counties of Florida to levy various types of discretionary sales
surtax. Section 212.054(2)(a), F.S., provides that the discretionary surtax is imposed on “all transactions
occurring in the county which transactions are subject to the state tax imposed on sales, use, services,
rentals, admissions, and other transactions.” Section 212.054(4)(a), F.S., provides that the Department
must administer, collect, and enforce the discretionary sales surtax in accordance with the law governing
administration, collection, and enforcement of the general state sales tax.
The basic principle in applying discretionary surtax is that it piggybacks the state sales and use tax. If a
transaction is subject to sales tax and occurs at a location where surtax is imposed, the surtax also applies.
Section 212.054(3)(b), F.S., and Rule 12A-15.003(3), F.A.C., provide that, for purposes of taxable
admissions, the discretionary sales surtax is due when the event occurs in a county imposing a surtax. The
surtax rate imposed is based on the county where the event occurs.
Here, the Taxpayer offers sales of admissions for Parks that are located in more than one county imposing
discretionary surtax. The Taxpayer is unable to determine which park the customer will enter at the time
of the sale of the admission.
Conclusion
Given the specific circumstances involved in this case, and based on the representation by the Taxpayer,
the Department agrees that the Taxpayer’s Proposed Taxability Matrix is an acceptable method of
computing the amount of surtax due for the various park admissions that the Taxpayer sells.
This response constitutes a Technical Assistance Advisement under section 213.22, F.S., which is binding
on the Department only under the facts and circumstances described in the request for this advice as
specified in section 213.22, F.S. Our response is predicated on those facts and the specific situation
summarized above. You are advised that subsequent statutory or administrative rule changes, or judicial
interpretations of the statutes or rules, upon which this advice is based, may subject similar future
transactions to a different treatment than that expressed in this response.
You are further advised that this response, your request and related backup documents are public records
under Chapter 119, F.S., and are subject to disclosure to the public under the conditions of section 213.22,
F.S. Confidential information must be deleted before public disclosure. In an effort to protect
confidentiality, we request you provide the undersigned with an edited copy of your request for Technical
Assistance Advisement, the backup material, and this response, deleting names, addresses, and any other
details which might lead to identification of the taxpayer.

Technical Assistance Advisement
Page 4 of 4

Your response should be received by the Department within 15 days of the date of this letter.
Sincerely,

Brinton Hevey
Tax Law Specialist
Technical Assistance and Dispute Resolution
850/717-6839
Record ID: XX