Several years ago fl dept of rev attempted to get us to pay this tax on all wash sold. they wanted msds on all chems we used. We didn't use any wax products at the time so we gladly complied and they went on to the next guy.
Question is I would like to add the "Foaminator " lava wax system but don't want to deal with this headache.
Has anybody had any experience with any of this ?
copied from Florida administrative code -
(16)(a) The charge for a plain wash job, in which only detergent or water softener is added to the water, is exempt. The purchase of detergents or water softeners for use in the performance of the wash job is taxable to the dealer.
(b) The entire charge for a wash job, in which wax, silicones, or any other substance is added that forms a protective film or coating, is taxable. The purchase of materials such as wax, silicones, and the like, which form a protective film or coating, is exempt to the dealer. The dealer shall extend a resale certificate to his supplier in lieu of paying tax.
(c) The purchase of machinery and equipment, parts and accessories, soaps, brushes, or other supplies for operation of a car wash facility is taxable to the dealer.
(d) Dealers who operate car wash facilities which provide both taxable and exempt wash jobs must maintain documentation to distinguish the taxable status of each transaction. In all instances where a dealer is unable to differentiate and document the taxable status of each transaction, it is presumed that all wash jobs performed at such facility are taxable.
(e)1. Dealers who operate coin-operated car wash facilities must calculate the tax at an effective rate of 6.59 percent on each taxable transaction. It is presumed that the amount charged for each taxable transaction is adjusted to include tax. To compute the correct amount of tax due, the dealer should divide the total receipts from taxable transactions by 1.0659 to compute the gross taxable sales and then subtract the gross taxable sales from the total taxable receipts to arrive at the amount of sales tax due. If the dealer is unable to distinguish between the taxable and exempt transactions, it is presumed that all wash jobs performed at such facility are taxable.
2. When a dealer who operates coin-operated car wash facilities can demonstrate to the satisfaction of the Department through its books and records that a lower rate than that which is provided in the preceding subparagraph of this rule is applicable, the tax due on a coin-operated car wash sale shall be at that rate.
3. The local option surtax effective rates for the sale of other items through vending machines in subparagraph 12A-15.011(2)(c)5., F.A.C., are also applicable to a coin-operate car wash.
Question is I would like to add the "Foaminator " lava wax system but don't want to deal with this headache.
Has anybody had any experience with any of this ?
copied from Florida administrative code -
(16)(a) The charge for a plain wash job, in which only detergent or water softener is added to the water, is exempt. The purchase of detergents or water softeners for use in the performance of the wash job is taxable to the dealer.
(b) The entire charge for a wash job, in which wax, silicones, or any other substance is added that forms a protective film or coating, is taxable. The purchase of materials such as wax, silicones, and the like, which form a protective film or coating, is exempt to the dealer. The dealer shall extend a resale certificate to his supplier in lieu of paying tax.
(c) The purchase of machinery and equipment, parts and accessories, soaps, brushes, or other supplies for operation of a car wash facility is taxable to the dealer.
(d) Dealers who operate car wash facilities which provide both taxable and exempt wash jobs must maintain documentation to distinguish the taxable status of each transaction. In all instances where a dealer is unable to differentiate and document the taxable status of each transaction, it is presumed that all wash jobs performed at such facility are taxable.
(e)1. Dealers who operate coin-operated car wash facilities must calculate the tax at an effective rate of 6.59 percent on each taxable transaction. It is presumed that the amount charged for each taxable transaction is adjusted to include tax. To compute the correct amount of tax due, the dealer should divide the total receipts from taxable transactions by 1.0659 to compute the gross taxable sales and then subtract the gross taxable sales from the total taxable receipts to arrive at the amount of sales tax due. If the dealer is unable to distinguish between the taxable and exempt transactions, it is presumed that all wash jobs performed at such facility are taxable.
2. When a dealer who operates coin-operated car wash facilities can demonstrate to the satisfaction of the Department through its books and records that a lower rate than that which is provided in the preceding subparagraph of this rule is applicable, the tax due on a coin-operated car wash sale shall be at that rate.
3. The local option surtax effective rates for the sale of other items through vending machines in subparagraph 12A-15.011(2)(c)5., F.A.C., are also applicable to a coin-operate car wash.
