Prepaid Wireless E911 Fee

Transcription

1 Objectives After completing this course, you will be able to: Understand the purpose of the fee. State the amount of the fee. Determine the registration requirements. Determine the filing requirements for the fee. Determine the due date for the return. Determine the county in which a sales transaction occurs for reporting purposes. 1

2 Overview Effective January 1, 2015, retail sellers of prepaid wireless services must begin collecting 40 for the E911 fee on the sale of each prepaid wireless service that allows a caller to connect to and interact with the Enhanced 911 (E911) System. These prepaid wireless services are wireless services that are paid for in advance and sold in predetermined units or dollars that must expire on a predetermined schedule or decrease on a predetermined basis. This includes: calling cards plans replenishments or devices sold with prepaid wireless service 2

3 Overview The fee is to be separately stated on an invoice, receipt, or similar document provided to the consumer or otherwise disclosed to the consumer, and is to be collected by the seller from the consumer. The prepaid wireless E911 fee is not subject to sales tax. If a consumer makes a purchase of multiple prepaid wireless services in a single transaction, each individual prepaid wireless service is considered a separate retail transaction for the purposes of calculating the E911 fee. January 10, 2015 XXXXXX 1234 Main Street Yourtown, FL XXXXX XXX-XXX-XXXX 1:17 PM PHONE CARD 60MIN xxxxxxxxxxxxxxxxx PHONE CARD 120MIN xxxxxxxxxxxxxxxxx LIGHT BULBS 3.39 xxxxxxxxxxxxxxxxx SUBTOTAL SALES 4.00 E911 FEE (2 X 40 ).80 TOTAL If a prepaid wireless device is sold with a prepaid wireless service of 10 minutes or less, or for $5 or less, the seller may elect not to apply the prepaid wireless E911 fee to the transaction.

4 Registration All sellers of prepaid wireless service must register each business location with the Department to collect, report and pay the E911 fee. Sellers must register to collect and pay the E911 fee, along with any other tax obligations, using the Florida Business Tax Application (Form DR-1). 4

5 Filing Requirements Registered sellers must file the new Florida Prepaid Wireless E911 Fee Return (Form E911-PPW) to report and pay the fees collected beginning with the March collections due on April 1, The easiest way to report and pay the prepaid wireless E911 fees is to use the Department s convenient, free, and secure website at Sellers may file returns using the same filing frequency as their sales and use tax returns. In addition, sellers who anticipate their fee collections to be less than $50 per month may elect to report fees quarterly. The Florida Prepaid Wireless E911 Fee Return and payments are due on the 1 st and late after the 20 th day of the month following each reporting period. Returns and fees filed and paid electronically must be submitted before 5:00 p.m., ET, on the business day immediately preceding the 20th. 5

6 Determining where the sale occurred Sellers will be required to report the prepaid wireless E911 fees by the county in which the sales transaction occurs. The Department s Address/Jurisdiction database located at can be used to determine in which county a Florida address is located. If a Retail Transaction for Prepaid Wireless Service Takes place in person by a consumer at a retail location in Florida Does not take place at a retail location in Florida and items are shipped to the consumer Does not take place at a retail location in Florida and no items are shipped to the consumer The Transaction Occurs in the county of the retail location Occurs in the county of the consumer s shipping address Occurs in the county of the consumer s address or the location associated with the consumer s mobile telephone number If the county in which the transaction occurs cannot be determined, the fee is to be reported as nonspecific. 6

7 Form E911-PPWS If reporting fees in eight (8) or more Florida counties, use a Schedule of Florida Prepaid Wireless E911 Fee by County (Form E911-PPWS) Enter the amount collected for each county in which prepaid wireless service transactions occurred during the reporting period. 7

8 Form E911-PPW - Back Sellers of prepaid wireless services are required to report the prepaid wireless E911 fees by the county in which the transaction occurs. If any sales of prepaid wireless service occurs in a county other than the county in which the seller is located, complete the back of the return to report the fees collected in each county. Enter the county name, county code, and the amount collected for each county in which prepaid wireless service transactions occurred during the reporting period. A list of all the Florida counties and their corresponding county codes is provided with paper returns or coupon books and is available on our website under the E911 forms section. 8

9 Form E911-PPW - Front Enter the total number of prepaid wireless services sold at retail and subject to the prepaid wireless E911 fee during the reporting period. Fees Collected from Line 1 or E911-PPWS Schedule Adjustments Allowable deductions include prepaid wireless E911 fees refunded to customers for credits or refunds Total Collected (after Adjustments) Collection Allowance If filed and paid timely, seller is entitled to receive a 5% collection allowance Amount Due Line 4 - Line 5) DOR Credit Memo Enter the amount of any E911 credit memo(s) issued by the Department 9

10 Example 1 Sales in 1 county AAA, Inc. located in Santa Rosa county sold 125 prepaid wireless services to customers located in the same county. Enter the: 1. county name, Santa Rosa 2. county code, and the amount collected 125 X 40 = $50 for each county in which prepaid wireless service transactions occurred during the reporting period Santa Rosa Fees Collected from Line 1 or E911-PPWS Schedule $50.00 Enter the total number of prepaid wireless services sold at retail and subject to the prepaid wireless E911 fee during the reporting period Total Collected (after Adjustments) $50.00 AAA, Inc. 303 Berryhill Street Munson, FL Collection Allowance - If filed and paid timely, seller is entitled to receive a 5% collection allowance. $50 X.05 = $ Amount Due $47.50

11 Example 2 Sales in 2 counties ABC, Inc. is located in Broward county. ABC, Inc. sold 228 prepaid wireless services at their store in Broward county and 180 online to customers located in Palm Beach county. Enter the: 1. county names, Broward / Palm Beach 2. county code, and 16 / the amount collected 228 X 40 = $ X 40 = $72.00 $ for each county in which prepaid wireless service transactions occurred during the period Fees Collected from Line 1 or E911-PPWS Schedule $ Enter the total number of prepaid wireless services sold at retail and subject to the prepaid wireless E911 fee during the reporting period = 408 Total Collected (after Adjustments) $ Collection Allowance - If filed and paid timely, seller is entitled to receive a 5% collection allowance. $ X.05 = $8.16 Santa Broward Rosa Palm Beach 6 0 ABC, Inc. 999 N Federal Hwy Pompano Beach, FL Amount Due $155.04

12 Example 3 Sales in multiple counties XYZ, Inc. is located in Florida and sells and ships prepaid cards to its customers throughout Florida. XYZ, Inc. xxxx Main Street City, St xxxxx-xxxx xx xxxxxxxxxxx x xxxxxxxxxx x XYZ, Inc. xxxx Main Street City, St xxxxx-xxxx