Form Dr-5 - Application For A Consumer'S Certificate Of Exemption - 2017

ADVERTISEMENT

DR-5
Application for a Consumer's
R. 01/17
Certificate of Exemption
Rule 12A-1.097
Florida Administrative Code
Instructions
Effective 01/17
Exemption Categories
General Information
Exemption from Florida sales and use tax is granted to certain
501(c)(3) Organizations
nonprofit organizations and governmental entities that meet the
Who qualifies? Organizations determined by the Internal Revenue
criteria set forth in sections (ss.) 212.08(6), 212.08(7), and
Service (IRS) to be currently exempt from federal income tax
213.12(2), Florida Statutes (F.S.). Florida law requires that these
pursuant to Internal Revenue Code (IRC) 501(c)(3) ["501(c)(3)
nonprofit organizations and governmental entities obtain an
nonprofit organization"].
exemption certificate from the Department.
What is exempt? Purchases and leases of items or services by, and
Application Process: This application provides the various
rentals or leases of real property and living or sleeping
exemption categories under which a nonprofit organization or
accommodations to, a nonprofit organization that are used in
governmental entity (political subdivision) may obtain a Consumer's
carrying on the organization's customary nonprofit activities.
Certificate of Exemption (Form DR-14). The information in each
How to Establish Qualification as a Single Organization. Verify
exemption category includes:
that the federal employer identification number (FEIN) included in
who qualifies;
the application is identical to the FEIN contained in the
determination letter for 501(c)(3) federal tax status issued by the
what is exempt; and
IRS. Your organization's federal tax exemption status will be verified
how to establish qualification for the exemption.
using the FEIN that you provide and the IRS Exempt Organizations
Select Check [publication of organizations exempt from federal
The Department will issue a Consumer's Certificate of Exemption to
income tax under IRC 501(c)(3)].
each nonprofit organization or governmental entity that qualifies for
an exemption. The certificate will be valid for a period of five (5)
A limited liability company (LLC) whose sole member is a 501(c)(3)
years.
nonprofit organization may receive the benefit of its member's
federal tax-exempt status. To establish qualification, provide:
Renewal Process: At the end of the five-year period, the
A copy of the Articles of Incorporation establishing that a 501(c)(3)
Department will use available information to determine whether
nonprofit organization is the sole member of the LLC; and
your nonprofit organization or governmental entity is actively
engaged in an exempt endeavor. If you are located outside Florida,
A letter signed by a corporate officer stating that the LLC and
the Department will request information on whether you wish to
the 501(c)(3) nonprofit organization perform the same business
have your Consumer's Certificate of Exemption renewed. If you fail
activities and that the LLC is disregarded for federal income tax
to respond to the written requests, your certificate will expire and
purposes.
will not be renewed.
Option to Establish Qualifications for a Group of Organizations:
When the Department is able to determine that your nonprofit
Attach a list of the following information for each subsidiary
organization or governmental entity continues to be actively
applying for exemption: legal name, mailing address, location
engaged in an exempt endeavor using available information, a new
address, and FEIN;
Consumer's Certificate of Exemption will be issued. When the
Provide a copy of the determination letter for 501(c)(3) federal
Department is unable to make a determination based on the
tax status issued by the IRS (including the list of qualified
available information, a letter requesting the documentation listed in
subsidiary organizations); and
"How to Establish Qualification" for the appropriate exemption
category will be mailed to you. If you fail to respond to the written
Provide a copy of any changes submitted to the IRS regarding
requests, your certificate will expire and will not be renewed.
information for the subsidiaries applying for exemption.
Sales and Use Tax Registration: If your nonprofit organization
Community Cemeteries
or governmental entity will be selling items, or will be leasing or
Who qualifies? Nonprofit corporations determined by the IRS to be
renting commercial or transient rental property to others in Florida,
currently exempt from federal income tax pursuant to IRC 501(c)(13)
you will also need to register with the Department to collect,
that operate a cemetery donated by deed to the community.
report, and pay sales and use tax. To register, go to our website
at The site will guide you through an
What is exempt? Purchases and leases of items or services by the
qualified nonprofit corporation used in maintaining the donated
application interview that will help you determine your tax
obligations. If you do not have Internet access, you can complete
cemetery.
a paper Florida Business Tax Application (Form DR-1).
How to Establish Qualification.
Questions? If you have any questions about the application
Provide:
process, call Account Management at 800-352-3671, Monday
A copy of the determination letter for 501(c)(13) federal tax
through Friday, excluding holidays, 8:00 a.m. to 5:00 p.m., ET.
status issued by the IRS; and
A copy of the deed transferring the cemetery property to the
community.

ADVERTISEMENT

00 votes

Related Articles

Related forms

Related Categories

Parent category: Financial
Go
Page of 4