Did Florida's temporary impact-window and door exemption apply when delivery occurred after June 30, 2024 under TAA 24A-022?

Plain-English summary

The temporary exemption applied when payment for qualifying impact-resistant windows and doors occurred from July 1, 2022 through June 30, 2024, even if delivery occurred after June 30, 2024.

For the described remote orders, the order also had to be accepted during the exemption period for immediate shipment, without a delivery delay requested by the purchaser.

When those conditions were met, the seller did not charge sales tax and the contractor did not remit use tax on the qualifying transaction.

What this means for you

This historical ruling tied the expired exemption to payment and order-acceptance conditions, not delivery alone.

Common questions

What payment period qualified? July 1, 2022 through June 30, 2024.

Could delivery occur later? Yes, if the stated conditions were satisfied.

Could the purchaser request a delayed shipment? Not under the remote-order condition described in the advisement.

Citations and references

• Fla. Stat. §§ 212.02, 212.05, and 212.06, section 52 of chapter 2022-97, Laws of Florida, and Emergency Rule 12AER22-7, as cited in the advisement.

Source

• Landing page: Florida Tax Law Library
• Advisement: TAA 24A-022

Original ruling text

EPARTMENT OF REVENUE

Florida Department of Revenue Jim Zingale
Office of Technical Assistance Executive Director
a
5050 West Tennessee Street Tallahassee FL 32399 floridarevenue.com

QUESTION: Whether Taxpayer must charge sales tax or remit use tax on transactions for impact-
resistant windows and doors entered into before the expiration of the exemption despite invoicing,
payment, and delivery occurring after the exemption has expired.

RESPONSE: If payment for the impact-resistant windows and impact-resistant doors occurred
from July 1, 2022, through June 30, 2024, the sale/purchase would have been exempt from Florida
sales and use tax, even if the delivery of the impact-resistant doors and impact-reistant windows
occurred after June 30, 2024; and, therefore, Taxpayer would not have been required to charge
sales tax or remit use tax on such transactions.

January 10, 2025

Vio Fi rrr

Subject: Technical Assistance Advisement — TAA #: 24A-022

Sales Tax Exemption Impact-Resistant Doors, Garage Doors, and Windows
STATUTE CITE(S): Sections 212.02(15) and (19), Florida Statutes (F.S.)
Section 52, Chapter 2022-97, Laws of Florida (L.O.F.)

RULE CITE: Emergency Rule 12AER22-7, Florida Administrative Code (F.A.C.)
("Taxpayer")
BP#:

oo

This is in response to your letter i 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., regarding the matter discussed below. Your request has been carefully examined,
and the Department finds it to be in compliance with the requisite criteria set forth in Chapter 12-

11, F.A.C. This response to your request constitutes a TAA and is issued to you under the
authority of s. 213.22, F.S.

Technical Assistance Advisement
January 10, 2025
Page 2

Requested Advisement

Whether Taxpayer must charge sales tax or remit use tax on transactions for impact-resistant
windows and impact-resistant doors entered into before the expiration of the exemption despite
invoicing, payment, and delivery occurring after the exemption has expired.

Facts

Taxpayer is engaged in the business of purchasing and selling windows as well as doors. Some of
the windows and doors Taxpayer purchases and sells are impact-resistant. Taxpayer will sell the
impact-resistant windows and doors solely as a sale of tangible personal property (i.e., no
installation services). In other instances, Taxpayer will sell the impact-resistant windows and doors
via a real property improvement contract in which Taxpayer provides the labor and materials to
permanently attach said items to the realty.

When Taxpayer purchases the impact-resistant windows solely for the purpose of reselling the
tangible personal property, Taxpayer will present its Florida Annual Resale Certificate to the
vendor and then collect Florida sales tax from its customer, barring an exemption from sales tax
being applicable. For real property improvement contracts, Taxpayer will pay sales tax to its
vendor on the acquisition of the materials, unless an exemption applies, and not charge its customer
any sales tax.

Currently, Taxpayer does not charge its customers sales tax on sales of impact-resistant windows
and doors when sold solely as tangible personal property. Moreover, Taxpayer does not pay sales
tax or remit use tax on the acquisition of impact-resistant windows and doors when used to
complete a real property improvement contract by Taxpayer. Both occur due to a temporary sales
and use tax exemption for impact-resistant windows and doors set to expire after June 30, 2024.

Taxpayer Position

Generally, sales of tangible personal property are subject to sales tax. Section 212.05, Florida
Statutes (“F.S.”). The use, consumption, distribution, and storage for use or consumption in Florida
of tangible personal property is subject to use tax. Section 212.06(1)(a), F.S.

Contractors are the ultimate consumers of materials and supplies used to perform real property
improvement contracts. Rule 12A-1.051(4), Florida Administrative Code (“F.A.C.”). As such,
contractors must pay tax on their cost of the materials and supplies. Id. However, the tax levied
under chapter 212, Florida Statutes, may not be collected from July 1, 2022, through June 30,
2024, on the retail sale of impact-resistant windows, doors, and garage doors. 2022-97 FLA.
LAWS 8 52.

Technical Assistance Advisement
January 10, 2025
Page 3

The aforementioned exemption includes orders made and accepted during the exemption period
based on a binding contract despite title, possession, control, and delivery occurring after the
exemption period expires and delivery delay is beyond the control of the purchaser. TECHNICAL
ASSISTANCE ADVISEMENT #22A-015 (Aug. 17, 2022).

Here, and as it relates to Taxpayer’s sales of impact-resistant windows and doors solely as tangible
personal property, Taxpayer must receive orders from its customers on or before June 30, 2024.
To qualify as being exempt, the customer may not have requested any delay. Regardless of when
invoicing, payment, and shipment occur, the sale of the impact-resistant windows and doors will
be exempt from sales and use tax.

Conceming Taxpayer’s purchases of impact-resistant windows and doors pursuant to a real
property improvement contract, Taxpayer must have placed the order to its vendor on or before
June 30, 2024. To qualify as being exempt, Taxpayer may not have requested any delay.
Regardless of when invoicing, payment, and shipment occur, the sale of the impact-resistant
windows and doors to Taxpayer for real property improvement contracts will be exempt from sales
and use tax.

Law and Discussion

Unless a specific exemption applies, s. 212.05, Florida Statutes (“F.S.”), provides that it is the
legislative intent that the sale’ of tangible personal property? in this state is subject to tax. The tax
is due and payable at the rate of 6 percent, plus any applicable surtaxes imposed under s. 212.055,
F.S., on the total consideration for each item or article of tangible personal property when sold at
retail.°

A sale is defined as the transfer of title or possession of property for consideration. In Florida, tax
is due and collectible upon each retail sale, unless an exemption applies.* The tax is collectible
from all dealers? upon each retail sale, is collected from the purchaser,® and applies “as of the
moment of sale.”’ The taxes collected by a dealer from a purchaser become state funds at the

1 Section 212.02(15), F.S., defines the term, “sale,” as any transfer of title or possession, or both of tangible personal property for
a consideration.

2 Section 212.02(19), F.S., defines the term, “tangible personal property,” as personal property which may be seen, weighed,
measured, or touched or is in any manner perceptible to the senses.

3 Section 212.02(14)(a), F.S., defines the term, “sale at retail,” as a sale to a consumer or to any person for any purpose other than
for resale in the form of taxable tangible personal property.

4 Section 212.21(2), F.S., provides the legislative intent to “tax each and every sale, admission, use, storage,
consumption, or rental levied and set forth in this chapter, except as to such sale, admission, use, storage, consumption,
or rental as shall be specifically exempted therefrom by this chapter subject to the conditions appertaining to such
exemption. .. .”

Section 212.06(2), F.S., defines the term “dealer” expansively and in great detail. For the purpose of this advisement,
it is noted that s. 212.06(2)(c), F.S., describes the term to include “every person, as used in this chapter, who sells at
retail or who offers for sale at retail, .. .”

§ Section 212.07(1)(a), provides that “[t]he privilege tax herein levied measured by retail sales shall be collected by
the dealers from the purchaser or consumer.”

7 Section 212.06(1)(a), F.S., provides that “[t]he aforesaid tax at the rate of 6 percent of the retail sales price as of the
moment of sale, 6 percent of the cost price as of the moment of purchase, or 6 percent of the cost price as of the

Technical Assistance Advisement
January 10, 2025
Page 4

moment of collection.® Accordingly, it is clear that the imposition of tax is triggered by payment
received by the dealer from the purchaser. It is axiomatic that the time of payment (i.e., purchase)
is also when any applicable exemption applies.

The Sales Tax Exemption Period on Impact-Resistant Doors, Garage Doors, and Windows was
established through the lawmaking authority of the Florida Legislature. The exemption period
for the retail sale of impact-resistant doors, garage doors and windows was provided in section
52 of Chapter 2022-97, Laws of Florida 9 (”L.O.F.”). The exemption provided under s. 52 of
Chapter 2022-97 L.O.F. and Emergency Rule 12AER22-7(1)(b), F.A.C., pertains to the retail sale
of an “impact-resistant window,” “impact-resistant door,” and “impact-resistant garage door”
which means, “a window, door, or garage door labeled as impact resistant or has an impact-

resistance rating.”

For the purposes of this exemption, it is not required that delivery took place during the holiday
period for the transaction to qualify for the exemption. All that is required is that the retail sale
took place during the exemption period, July 1, 2022, through June 30, 2024. Therefore, if
payment to the dealer for the impact-resistant windows and impact-resistant doors occurred from
July 1, 2022, through June 30, 2024, the sale/purchase would be exempt from Florida sales and
use tax.

It may be possible that Taxpayer’s operations include “remote sales” as defined in Emergency
Rule 12AER22-7, F.A.C. For the purposes of this exemption, a “remote sale” means a retail sale
of tangible personal property ordered by mail, telephone, the Internet, or other means of
communication from a person who receives the order outside of this state and transports the
property or causes the property to be transported from any jurisdiction, including this state, to a
location in this state. For purposes of the emergency rule, tangible personal property delivered to
a location within this state is presumed to be used, consumed, distributed, or stored to be used or
consumed in this state. See Emergency Rule 12AER22-7(1)(c), F.A.C.

Under Emergency Rule 12AER22-7(7), F.A.C., regarding remote sales, provides:

(a) Eligible items purchased through a marketplace provider or from a remote seller
are exempt when the order is accepted by the marketplace provider or remote
seller during the sales tax exemption period for immediate shipment, even if
delivery is made after the sales tax exemption period.

(b) An order is accepted by the company when action has been taken to fill the
order for immediate shipment. Actions to fill an order include assigning an

moment of commingling with the general mass of property in this state, as the case may be, shall be collectible from
all dealers as herein defined on the sale at retail, the use, the consumption, the distribution, and the storage for use or
consumption in this state of tangible personal property or services taxable under this chapter. The full amount of the
tax on a credit sale, installment sale, or sale made on any kind of deferred payment plan shall be due at the moment
of the transaction in the same manner as on a cash sale.”

8 Section 212.15(1), F.S., provides that “[t]he taxes imposed by this chapter shall, except as provided in s.
212.06(5)(a)2.e., become state funds at the moment of collection... .”

Technical Assistance Advisement
January 10, 2025
Page 5

“order number” to a telephone order, confirming an Internet order by an email
to the customer, or placing a date received on an order received by mail.

(c) An order is considered to be for immediate shipment when delayed shipment is
not requested by the customer. An order is for immediate shipment even if the
shipment may be delayed because of a backlog of orders or stock is currently
unavailable or on back order.

Thus, for a remote sale to be made exempt, a purchaser’s order must also be accepted during the
exemption period for immediate shipment (or without a requested delay to outside the exemption
period), even if delivery is made outside the exemption period.

Conclusion

If payment for the impact-resident windows and impact-resistant doors occurred from July 1, 2022,
through June 30, 2024, the sale/purchase would have been exempt from Florida sales and use tax,
even if the delivery of the impact-resistant doors and impact-resistant windows occurred after June
30, 2024, and therefore, Taxpayer would not have been required to charge sales tax or remit use
tax on such transactions.

This response constitutes a TAA under s. 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 s. 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 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
s. 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 TAA, the backup material and this response, deleting names, addresses and any other details
which might lead to identification of the Taxpayer. Your response should be received by the
Department within ten (10) days of the date of this letter.

Technical Assistance Advisement
January 10, 2025
Page 6

If you have any further questions with regard to this matter and wish to discuss them, you may
contact me directly at (850)717-6363.

Sincerely,
Leigh €. Ceci
Leigh L. Ceci, MAcc

Tax Law Specialist
Office of Technical Assistance

CC:

Record ID: 7001241143

Technical Assistance Advisement
January 10, 2025
Page 7
TADR Satisfaction Survey
The Florida Department of Revenue invites you to complete the online TADR Satisfaction Survey to help
us identify ways to improve our service to taxpayers. The survey is an opportunity to provide feedback
on your recent experience with the Department’s office of Technical Assistance and Dispute Resolution
(TADR). To access the survey, place the following address in your browser’s access bar:

https://tadr.questionpro.com

When you open the survey, you’ll be asked to enter the following information. This information will
enable you to complete and submit the survey.

Notification number: 7001241143
Respondent code: 44

Tax type: Sales and Use Tax
Correspondence type: Technical Assistance

If you need technical assistance accessing the survey, please email Douglas Charity at
[email protected].

Thank you.

Technical Assistance Advisement
January 10, 2025
Page 8

Office of Technical Assistance Satisfaction Survey
The Florida Department of Revenue invites you to complete the online Office of Technical Assistance
Satisfaction Survey to help us identify ways to improve our service to taxpayers. The survey is an
opportunity to provide feedback on your recent experience with the Department’s office of Office of
Technical Assistance. To access the survey, place the following address in your browser’s access bar:

https://tadr.questionpro.com

When you open the survey, you'll be asked to enter the following information. This information will
enable you to complete and submit the survey.

Notification number: 7001241143
Respondent code: 44

Tax type: Sales and Use Tax
Correspondence type: Technical Assistance

If you need technical assistance accessing the survey, please email Douglas Charity at
[email protected].

Thank you.