When were tree seedlings sold for reforestation exempt from Florida sales tax?

Subject

Sale of Pine Seedlings Used for Reforestation

Plain-English summary

Tree and shrub seedlings sold directly by a producer were exempt when the purchaser planted them primarily to raise a crop of timber for sale or manufacture into products for sale. The Department applied that rule to private landowners, corporations, partnerships, trusts, joint ventures, and forest-industry companies. A forest-management company could buy as an agent only when a genuine agency agreement authorized the purchase for the landowner.

Not every project called reforestation qualified. Establishing timber on cut-over land or abandoned farmland met the crop-production test. Planting for reclamation, wetland restoration, wildlife habitat, windbreaks, boundary markings, or barriers did not qualify unless producing timber for sale was the primary purpose and the other objective was secondary.

Christmas-tree seedlings also qualified when bought directly from a producer and planted to raise trees for sale. Government agencies had a separate exemption when they held and furnished the required exemption documentation.

Transportation did not change an otherwise qualifying Florida agricultural exemption. For delivery outside Florida, the sale was not taxable when the seller documented a continuous export process through its own vehicles, a common carrier, or a licensed exporter. Qualifying in-state buyers also had to execute an agriculture exemption affidavit.

What this means for you

The seedling species and the word "reforestation" did not decide the tax result. Sellers needed to document who produced the seedlings, who bought them, whether any management company was a true agent, the buyer's primary commercial crop purpose, and any interstate delivery.

Common questions

Were all seedlings used for reforestation exempt? No. The Department limited the exemption to qualifying producer sales primarily for growing a crop of trees for sale.

Did wildlife or reclamation planting qualify? Not by itself. Those goals could be secondary, but crop production for sale had to be primary.

Were Christmas-tree seedlings exempt? Yes, when bought directly from a producer and planted to raise Christmas trees for sale.

Did customer pickup versus carrier delivery change the agricultural exemption? No. The transportation method did not affect an otherwise qualifying sale.

What documentation was required? The purchaser had to execute an agriculture exemption affidavit for a qualifying agricultural sale. Out-of-state sales also required records supporting continuous export.

Citations and references

• Fla. Stat. §§ 212.08(5)(a), 212.08(6), 212.07(5)-(8), and 212.06(5)(a)1.
• Fla. Admin. Code rr. 12A-1.048(1)-(4), (8), (11), and (15); 12A-1.087(4) and (6); and 12A-1.064(1)
• Asphalt Pavers v. Department of Revenue, 584 So. 2d 57 (Fla. 1st DCA 1991), and the other exemption-construction authorities quoted in the advisement
• McGilvray v. Askew, 340 So. 2d 475 (Fla. 1976), and Great Lakes Dredge & Dock Co. v. Department of Revenue, 381 So. 2d 1078 (Fla. 1st DCA 1979), on export treatment
• Fla. Stat. § 213.22

Source

• Landing page: Florida Tax Law Library
• Advisement: TAA 94A-067

Original ruling text

Dec 21, 1994

Re: Technical Assistance Advisement 94(A)-067
Sales Tax - Sale of Pine Seedlings Used for Reforestation
ss. 212.08(5)(a) and 212.07, F.S.
Rules 12A-1.048(1) and (2) and 12A-1.087(4), F.A.C.
Taxpayer: XXX (Herein "the Association")

Dear :

This response is in reply to your September 1, 1994, petition
for the Department's issuance of a Technical Assistance
Advisement ("TAA") pursuant to s. 213.22, F.S. Your petition
regards the referenced matter and party. The Department has
carefully examined your petition and finds it to meet the
criteria set forth in Chapter 12-11, F.A.C., requisite to
issuance of a TAA. Therefore, the Department is hereby issuing
the requested TAA.

DISCUSSION OF FACTS

Your petition and supporting documents impart the following
significant information regarding the issues under advisement
herein:

"Most of the reforestation effort in Florida is
accomplished by what is called artificial regeneration' whereby appropriate tree seedling growing stock is planted in prescribed land types and situations. This is opposed tonatural regeneration' whereby `nature is allowed to
take its course' -- usually taking much longer and
frequently giving inadequate results.

"Reforestation involves the planting of trees utilizing
nursery grown seedling growing stock. These seedlings may
be sold bareroot or in small containers (tubes or pots).
These reforestation efforts are aimed toward reestablishment of timber stands on cut-over forest land;
establishment of forests on marginal or abandoned farm land

and pastures; reclaiming disturbed land (strip mining,
etc.); reconstruction of wetland ecosystems; reestablishment of wildlife habitat (usually done in
conjunction with other reforestation objectives); and
establishment of windbreaks.

"Most of the reforestation seedling growing stock is
produced by Florida nurseries. Some of these nurseries are
privately owned and operated; some nurseries are owned and
operated by Forest industry; and some nurseries are owned
and operated by the State of Florida (Florida Division of
Forestry).

"A wide variety of tree species are utilized in these
reforestation programs:
*

The Southern pines -- longleaf, slash pine,
loblolly pine, sand pine, spruce pine and
Virginia pine

*

Native Southern Hardwoods -- oaks, gums, maples,
magnolias, ash, etc.

*

Shrub species for wetland restoration and game
habitat (buttonbush, wild plum, lespedeza, etc.)

*

Southern redcedar

*

Baldcypress and pondcypress.

"These reforestation programs are carried out by:

*

Individual private landowners

*

Closely-held corporate landowners

*

Forest tree farm management companies (as agents
for landowners)

*

Partnerships, trusts or joint ventures that own
forest tree farms

*

Timber companies that own and manage forest tree
farms and may or may not have their own forest
products manufacturing facilities

*

Forest Industry corporations that own and/or
manage forest tree farms and have their own
forest products manufacturing facilities (pulp
mills, sawmills, plywood plants, etc.)

*

Governmental agencies.

"The State owned tree seedling nursery does not collect
Florida sales tax on seedlings sold for reforestation. The
private nurseries who are members of the [the Association]
generally use a `Blanket Certificate of Resale or
Exemption' such as exhibit A for reforestation seedlings."

REQUESTED ADVISEMENT

You endeavor to elicit the Department's advice regarding the
following specific questions:

"1) Are the sales of pine, hardwood, other conifer and
shrub seedlings sold bareroot or in containers for the
purposes of reforestation exempt from Florida sales
tax: Reforestation being defined as (a) the
establishment or a timberstand on cut-over timberland
or abandoned farmland, (b) the establish of a
timerstand on reclamation or mitigation sites, (c) the
reestablishment of wildlife habitat and (d) the
establishment of windbreaks, boundary markings or
barriers.
"2) Are sale of these products for reforestation to
private landowners (incorporated, partnerships, trust
or proprietorships) exempt from Florida sales tax?
"3) Are sale of these products to Forest Industry
corporations that own and/or manage forest tree farms
and may or may not own and operate their own
manufacturing facilities (pulp mills, sawmills,
plywood plants, etc.) exempt from Florida sales tax if
sold for reforestation?
"4) Are the following entities regarded as `farmers' for
the purposes of Florida Sales and Use tax when engaged
in tree farming:
"a) Individual private landowners?
"b) Closely-held corporate landowners?
"c) Forest tree farm management companies acting as
agents for private landowners?
"d) Partnerships, trusts and joint ventures?
"e) Forest Industry corporations?
"f) Government agencies?

"5) Are the sales of conifer seedlings for the purpose of
christmas tree production exempt from Florida sales
tax?
"6) Does the method of transportation or shipment of
seedlings sold for reforestation affect the taxability
of the sale under the following circumstances?
"a) customer picks up the seedlings at the nursery in
his own vehicle?
"b) customer engages a commercial carrier to
transport seedlings?
"c) nursery engages a commercial carrier to transport
seedlings and bills the customer for
transportation?
"7) Should an Agriculture Exemption Affidavit be obtained
from the purchaser of seedlings for reforestation? If
so[,] what is the suggested wording of such an
affidavit?
"8) Would the sale of seedlings for reforestation for
delivery out of the State of Florida change any of the
answers to the above questions?

DISCUSSION OF LAW

We consult the following statutory, administrative, and case law
in addressing the issues under advisement herein.

Section 212.08(5)(a), F.S., provides, among other things, an
exemption from sales and use tax for certain agricultural items.
Included among these exempt items is "seedlings". This
paragraph of statute provides in part the following:

"(a) Items in agricultural use and certain nets.
"There are exempt from the tax imposed by this chapter nets
designed and used exclusively by commercial fisheries;
fertilizers, insecticides, herbicides, and fungicides used
for application on crops or groves; portable containers
used for processing farm products; field and garden seeds;
nursery stock, seedlings, cuttings, or other propagative
material purchased for growing stock; cloth, plastic, and
other similar materials used for shade, mulch, or
protection from frost or insects on a farm... ; however,

such exemption shall not be allowed unless the purchaser or
lessee signs a certificate stating that the item to be
exempted is for the exclusive use designated herein."
(Emphasis Supplied)

Additionally, s. 212.07(5), F.S., exempts from sales and use tax
the sale of certain agricultural products direct by the
producer, excepting "ornamental nursery stock". The subsection
provides the following:

"(5) The gross proceeds derived from the sale in this state
of livestock, poultry, and other farm products direct from
the farm are exempted from the tax levied by this chapter
provided such sales are made directly by the producers....
When sales of livestock, poultry, or other farm products
are made to consumers by any person, as defined herein,
other than a producer, they are not exempt from the tax
imposed by this chapter. The foregoing exemption does not
apply to ornamental nursery stock offered for retail sale
by the producer." (Emphasis Supplied)

Also relevant are the following provisions of s. 212.07, F.S.:

"(6) It is specifically provided that the use tax as
defined herein does not apply to livestock and livestock
products, to poultry and poultry products, or to farm and
agricultural products, when produced by the farmer and used
by him and members of his family and his employees on the
farm.
"(7) Provided, however, that each and every agricultural
commodity sold by any person, other than a producer, to any
other person who purchases not for direct consumption but
for the purpose of acquiring raw products for use or for
sale in the process of preparing, finishing, or
manufacturing such agricultural commodity for the ultimate
retail consumer trade shall be and is exempted from any and
all provisions of this chapter, including payment of the
tax applicable to the sale, storage, use, or transfer, or
any other utilization or handling thereof, except when such
agricultural commodity is actually sold as a marketable or
finished product to the ultimate consumer; in no case shall

more than one tax be exacted.
"(8) The term `agricultural commodity,' for the purposes
hereof, means horticultural, poultry and farm products, and
livestock and livestock products." (Emphasis Supplied)

In construing the above statutory exemptions, the Department
must adhere to and be guided by the long-standing and
fundamental precept of statutory construction, established by
the Florida Supreme Court, which mandates that exemptions from
or exceptions to taxing statutes must be strictly construed
against the taxpayer. See Asphalt Pavers v. Dept. of Revenue,
584 So.2d 57 (Fla. 1st DCA 1991); Dade Cty. Taxing Auth. v.
Cedars of Lebanon, 355 So.2d 1205 (Fla. 1978), reh. den. April
5, 1978; Williams v. Jones, 326 So.2d 425 (Fla. 1975), reh. den.
March 4, 1976; Straughn v. Camp, 293 So.2d 689 (Fla. 1974);
United States Gypsum Company v. Green, 110 So.2d 409 (Fla.
1959).

Furthermore, the courts presume that statutes are passed with
knowledge of prior existing statutes and that the legislature
does not intend to keep contradictory enactments on the books.
Where possible, it is the duty of the courts to adopt that
construction of a statutory provision which harmonizes and
reconciles it with other provisions of statute. See Woodgate
Develop. v. Hamilton Inv. Trust, 351 So.2d 14, 16 (Fla. 1977),
reh. den. Oct. 14, 1977; State ex rel. School Board v. Dept. of
Education, 317 So.2d 68 (Fla. 1975). Consequently, the
provisions of ss. 212.08(5)(a) and 212.07(5), F.S., must be
construed in such manner as to result in such provisions having
a harmonious application, as opposed to being in conflict.

The statutory exemptions set forth in ss. 212.08(5)(a) and
212.07(5), F.S., are given administrative elucidation by the
provisions of Rules 12A-1.048 and 12A-1.087, F.A.C. The
relevant portions of these rules are hereinafter quoted for
purposes of introduction into this ruling and will be referred
to in the responses expressed hereinafter:

Rule 12A-1.048, F.A.C.: "Sale of Agricultural Products,
Including Poultry and Livestock.
"(1) The sales of agricultural products... direct from the

farm when made directly by the producers are exempt;
provided, however, that the exemption does not apply to the
sale of ornamental nursery stock.... Neither does the tax
apply when such agricultural products are produced by the
farmer and used by him and members of his family or
employees on his farm.
"(2)(a) The term `ornamental nursery stock' applies to all
plants, shrubs and trees customarily sold by nurseries for
landscaping purposes and includes plants, shrubs and trees
that may bear edible nuts, fruits and berries provided,
however, that such term shall not include plants, trees or
shrubs sold to a commercial farmer for use on his own farm
in producing a crop for sale.
"(b) The sale of ornamental nursery stock by the producer
to anyone for any purpose other than resale is subject to
the tax. All sales of ornamental nursery stock will be
presumed to be retail sales and subject to the tax, unless
the seller shall have obtained a resale certificate from
his customer in accordance with the provisions contained in
the Florida Department of Revenue Rule 12A-1.038 and Rule
12A-1.039 or, in the case of an out-of-state dealer, [an]
affidavit in accordance with the provisions contained in
Rule 12A-1.064(2)(b)1.
"For example: The sale by the producer of ornamental
nursery stock (regardless of state of growth or maturity)
to a broker, wholesaler or retailer will be regarded as a
retail sale and taxable unless the purchaser furnishes the
seller with a resale certificate or affidavit as provided
hereinabove.
"(c) A landscape contractor who purchases ornamental
nursery stock to fulfill a lump sum, cost plus, fixed fee
or guaranteed price contract for the improvement of realty
is construed to be the consumer of such nursery stock and
he is liable for the sales tax at the time of purchase. A
person who fulfills a contract as above described should
not collect the tax as such from his customer because the
tax should be paid by the landscaper on all materials used
in fulfilling the contract. A landscaper who produces his
own ornamental nursery stock or who obtains stock that he
acquired without cost, such as by digging up wild plants in
the woods, is not liable for the tax on such stock which he

uses in fulfilling the aforesaid types of contracts.
"(d) A person who agrees by contract to sell specifically
described and itemized materials and supplies at an agreed
price or at the regular retail price and to complete the
work either for an additional agreed price or on the basis
of time consumed is deemed to be selling tangible personal
property (ornamental nursery stock) at an agreed retail
price and shall collect sales tax from his purchaser based
upon the amount of the receipts from such sales, excluding
installation charges if separately stated. Sales tax
applies even though all or part of the ornamental nursery
stock is grown or obtained from its natural habitat for no
consideration by the person completing the contract....
"(3) Sales of agricultural products to any person who
purchases them for the purpose of acquiring raw products
not for direct consumption but for use or for sale in the
process of preparing, finishing or manufacturing such
agricultural products for the ultimate retail consumer
trade is exempt.
"(4) A sale of such agricultural products or any part
thereof, when sold by any person other than the producer as
a marketable or finished product to the ultimate consumer
(except in the form of general groceries, including food
and food products) is taxable. For example: Marketable
products such as nursery stock, etc., and finished products
such as hides, bones, hooves, feathers, etc., are taxable.
For the sale of ornamental nursery stock by the producer,
refer to Paragraph (1) of this Rule....
"(8) Nurserymen are in the same category as farmers and are
entitled to the same exemptions on their purchases of
tangible personal property for use exclusively in
farming....
"(11) Registered dealers may extend resale certificates in
writing to their suppliers in lieu of tax on items for
resale as well as items entitled to exemption because of
exclusive agricultural use....
"(15) Nursery stock, plants, shrubs, trees, etc., purchased
by one nurseryman from another for stock are exempt.
Nursery stock purchased for direct resale and sold at
retail should be purchased on a resale certificate and is
taxable when sold to the ultimate consumer...." (Emphasis

Supplied)

Rule 12A-1.087, F.A.C.: "Sales to Farmers....
"(4) The sale of fertilizers, insecticides, pesticides,
fungicides and weed killers used for application on or in
the cultivation of crops or groves; portable containers
used for processing farm products; field and garden seeds,
nursery stock, seedlings, cuttings or other propagative
material purchased for growing on or growing stock; cloth,
plastic, and other similar materials used for shade, mulch,
protection from frost or insects on a farm, are exempt,
provided that such exemption shall not be allowed unless
the purchaser or lessee signs a certificate as provided in
Rule 12A-1.039, stating that the item to be exempted is for
the exclusive use designated therein....
"(6) Nurserymen, dairymen, poultrymen, cattle ranchers,
apiarists (beekeepers), and breeders and producers of fish
are in the same category as farmers and are entitled to the
same limitation or exemption on their purchases of tangible
personal property...." (Emphasis Supplied)

An agency's administrative interpretation of a statute by rule
has been accorded great deference by the courts, and will not be
overturned unless the agency's interpretation of the statutes is
clearly erroneous; reviewing court will defer to any
interpretation within the range of possible interpretation. See
Pershing Industries v. Department of Banking, 591 So.2d 991, 993
(Fla. 1 DCA 1991); Eager v. Florida Keys Aqueduct Authority, 580
So.2d 771 (Fla. 3 DCA 1991); Natelson v. Department of Ins., 454
So.2d 31 (Fla. 1 DCA 1984); State ex rel. Szabo Food Serv., Inc.
of N.C. v. Dickinson, 286 So.2d 529 (Fla. 1973), reh. den. Jan.
9, 1974.

CONCLUSIONS OF LAW

RESPONSE, QUESTION 1: Applying the above noted doctrine of
strict construction to the provisions of ss. 212.08(5)(a) and
212.07(5), F.S., while at the same time giving a harmonious
construction to such provisions, compels the conclusion that
"seedlings" are exempt when sold directly by the "producer" as
other than "ornamental nursery stock." Applying the

administrative definition for the term "ornamental nursery
stock" provided in Rule 12A-1.048(2), F.A.C., above, it is clear
that tree seedlings would fall within the scope of such
definition unless sold to a commercial farmer for use on his own
farm for producing a crop for sale. Further, applying this
standard to your definition of "reforestation", we must conclude
that only "(a)" -- the establishment of timberstand on cut-over
timberland or abandoned farmland -- would serve to satisfy the
requirement of planting the seedlings for the purpose of
producing a crop for sale. The other purposes for reforestation
you described in (b), (c), and (d) of your definition of such
term all appear to have an objective other than producing a crop
of timber for sale and, hence, would not be eligible for
exemption unless crop production is the primary purpose and the
establishment of wildlife habitat, windbreaks, boundary
markings, or barriers is only a secondary purpose or objective
of planting.

RESPONSE, QUESTION 2: Your question is responded to in the
affirmative, so long as the private landowners (incorporated,
partnerships, trust or proprietorships) purchase the "seedlings"
directly from a producer and plant them for the purpose of
raising a crop of timber for sale.

RESPONSE, QUESTION 3: Your question is responded to in the
affirmative, so long as the Forest Industry corporations that
own and manage tree farms purchase the "seedlings" directly from
a producer and plant them for the purpose of raising a crop of
timber for sale or for manufacture into other products for sale.

RESPONSE, QUESTION 4(a): Your question is responded to in the
affirmative, so long as the individual private land owner
purchases the "seedlings" directly from a producer and plants
them for the purpose of raising a crop of timber for sale or for
manufacture into other products for sale.

RESPONSE, QUESTION 4(b): Your question is responded to in the
affirmative, so long as the closely-held corporate landowners
purchase the "seedlings" directly from a producer and plant them
for the purpose of raising a crop of timber for sale or for
manufacture into other products for sale.

RESPONSE, QUESTION 4(c): Your question is responded to in the
affirmative, so long as the forest tree farm management
companies (the "FTFMC") acting as agents for private landowners
purchase the "seedlings" directly from a producer and plant them
for the purpose of raising a crop of timber for sale or for
manufacture into other products for sale. And, further provided
there is in fact a true agency relationship existing by and
between the parties as evidenced by an agency agreement
authorizing the "FTFMC" to make seedling acquisitions for such
purposes on behalf of the landowner.

In ascertaining the presence or absence of an agency
relationship between the FTFMC and the landowner, recognition
must be given to the essential elements of an "agency
relationship" by Florida courts. Dade County Police Benevolent
Association v. City of Homestead, 444 So.2d 465 (Fla. 3 DCA
1984), cites the "ordinary law of agency" found in Sunset Line &
Twine Co., 79 N.L.R.B. 1487 (1948). Its three elements are as
follows: (1) The burden of proof is on the party asserting an
agency relationship, both as to the existence of the
relationship and as to the nature and extent of the agent's
authority. (2) Agency is a contractual relationship deriving
from the mutual consent of principal and agent that the agent
shall act for the principal. (3) A principal may be responsible
for the act of his agent within the scope of the agent's general
authority. An agent's "apparent authority" (as contrasted from
actual or real authority) results from appearances created by
the principal. Taco Bell of California v. Zappone, 324 So.2d
121 (Fla. 2 DCA 1975).

RESPONSE, QUESTION 4(d): Your question is responded to in the
affirmative, so long as the partnerships, trusts and joint
ventures purchase the "seedlings" directly from a producer and
plant them for the purpose of raising a crop of timber for sale
or for manufacture into other products for sale.

RESPONSE, QUESTION 4(e): Your question is responded to in the
affirmative, so long as the Forest Industry corporations that
own and manage tree farms purchase the "seedlings" directly from
a producer and plant them for the purpose of raising a crop of

timber for sale or for manufacture into other products for sale.

RESPONSE, QUESTION 4(f): Your question is responded to in the
affirmative, inasmuch as purchases of tangible personal property
(including "seedlings") directly by federal, state, county, or
municipal agencies are specifically exempt from sales or use tax
pursuant to s. 212.08(6), F.S. The governmental agency should
hold a valid Consumer's Certificate of Exemption issued by the
Department and should tender an exemption certificate in
compliance with Rules 12A-1.038 and 12A-1.039, F.A.C., to the
supplier at time of purchase of the seedlings.

RESPONSE, QUESTION 5: Your question is responded to in the
affirmative, so long as the purchase of the Christmas tree
seedlings is directly from a producer and the purchaser plants
them for the purpose of raising a crop of Christmas trees for
sale.

RESPONSE, QUESTION 6(a), (b), and (c): The method of
transportation utilized would have no bearing on eligibility of
a sale for exemption. Hence, your questions (6)(a) through (c)
are answered in the negative.

RESPONSE, QUESTION 7: First, assuming that a sale of "seedlings"
qualifies for exemption by meeting the requirements of being
made directly by a producer and that the purchaser purchases the
seedlings for the purpose of producing a crop of trees for sale,
an Agriculture Exemption Affidavit must be executed to establish
and document the exempt nature of the transaction. The
suggested wording should follow that contained in the Blanket
Certificate of Resale or Exemption attached as Exhibit A to your
petition.

RESPONSE, QUESTION 8: Yes, if the "seedlings" are delivered to
the purchaser out of state via the seller's vehicles, common
carrier, or licensed exporter, then such transaction would not
be subject to sales tax provided that seller has maintained
adequate documentation to show that the sale was in the stream
of interstate and foreign commerce and that the exportation was
a continuous and unbroken process. See s. 212.06(5)(a)1., F.S.,
and Rule 12A-1.064(1), F.A.C.

The Florida Supreme Court in McGilvray v. Askew, 340 So.2d 475
(Fla. 1976), established that a rebuttable presumption exists
that goods are not to be considered in the exempt export stream
unless one of the three conditions specified in s.
212.06(5)(a)1., F.S., is satisfied. Recall, the three
conditions are that the goods are: (1) delivered to a licensed
exporter for exportation, (2) delivered to a common carrier for
shipment outside the state, or (3) mailed through the United
States mail to a destination outside the state.

The rebuttability of the presumption was an issue in Great Lakes
Dredge & Dock Company v. Department of Revenue, 381 So.2d 1078
(Fla. 1 DCA 1979). The court stated that McGilvary "... does
not stand for the proposition that the statutory presumption may
be rebutted only by meeting one of the three stated criteria.
Rather, if one of the three criteria of Section 212.06(5), F.S.,
is met by the taxpayer, then there is no statutory presumption
created that the property sought to be taxed is not within the
stream of exportation." The court then opined that if one of
the three conditions is not met because of the necessity for
greater speed in delivery, or for a variety of other reasons,
the presumption arises and must be rebutted if the goods are not
to be taxed. The facts in this case revealed that none of the
three conditions were satisfied but the presumption was overcome
by what the court saw as a "... continuous and certain process
of exportation." Great Lakes Dredge & Dock Company v.
Department of Revenue, ibid., at 1084. The characterization was
used by the court even though the goods were marshalled, stored,
and some repackaged in Florida prior to actual shipment by ocean
going barges.

These two cases reveal that if one of the criteria of s.
212.06(5)(a)1., F.S., is met the goods are exempt. Or, if none
of the criteria are satisfied, the exemption may nevertheless
obtain should other facts show that the exportation process was
continuous and certain notwithstanding delay, storage or
repackaging of the goods before final shipment. See also,
Greybar Electric Company, Inc. v. State Department of Revenue,
347 So.2d 718 (Fla. 3 DCA 1977); and Linder Industrial Machinery
Company v. Berry, 385 So.2d 742 (Fla. 2 DCA 1980).

This response constitutes a Technical Assistance Advisement
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 and your request are
public records under Chapter 119, F.S., which are subject to
disclosure to the public under the conditions of s. 213.22, F.S.
Your name, address, and any other details which might lead to
identification of the taxpayer must be deleted by the Department
before disclosure. In an effort to protect confidential
information, we request you notify the undersigned in writing
within 15 days of any deletions you wish made to the request or
this response.

Sincerely,

Daniel M. Wagner, Jr.
Tax Law Specialist

DW/
Control No. 17295