Effective January 1, 2020, the Florida state tax imposed rate per Florida Statutes section 212.031 on the total rent charged for renting, leasing, letting, or granting a license to use real estate property in the State of Florida is decreased from 5.7% to 5.5%. This includes lease rent collected from retail spaces, offices, warehouses, and self-storage units or warehouse office combinations.
The reduction only applies to the state level tax – the local county option taxes are still in full effect.
Effective January 2020, the total state and local tax rate for commercial leases in Miami-Dade, Broward, and Palm Beach counties will be 6.5%.
Each county imposes a 1% local option tax. The reduced rate does not apply to short-term residential propery leases of six months or less.
- Miami-Dade County: 6.5%
- Broward County: 6.5%
- Collier County: 6.5%
- Monroe County: 7%
- Palm Beach County: 6.5%
ABOUT THE AUTHOR
Alejandro E. Jordan is the Chair of the Jordan Pascale, PL’s Commercial Real Estate Law Group, with over a decade of experience in commercial lease negotiations for all property types, including office, retail, and industrial properties. His broad base of knowledge allows him to stay ahead of the game and keep abreast of the latest real estate issues and trends.
Jordan + Pascale, P.L. law firm has over 20 years’ experience as counsel to foreign national and domestic real estate investors, real estate owners and tenants, developers, real estate investment companies, and ultra-affluent high net worth individuals. If you have any questions on whether a particular a commercial real estate transaction is right for you, need assistance in leasing or in analyzing due diligence on a particular opportunity, contact us at 305-501-2836 or visit us at www.JordanPascale.com for immediate assistance. Our offices are conveniently located in Miami, Florida (Coral Gables), and service clients throughout the State of Florida.