Chapter 2016-059, L.O.F., modified provisions related to secondhand dealers to add a kiosk option, and to clarify registration and holding requirements for dealers. The purpose of the proposed amendments to Rule 12A-17.003, F.A.C., is to update ...

 

DEPARTMENT OF REVENUE

Sales and Use Tax

RULE NOS.:RULE TITLES:

12A-17.003Registration

12A-17.005Public Use Forms

PURPOSE AND EFFECT: Chapter 2016-059, L.O.F., modified provisions related to secondhand dealers to add a kiosk option, and to clarify registration and holding requirements for dealers. The purpose of the proposed amendments to Rule 12A-17.003, F.A.C., is to update registration requirements for secondhand dealers and secondary metal recyclers to comply with statutory changes.

The purpose of the proposed amendments to Rule 12A-17.005, F.A.C., is to adopt, by reference, changes to two forms used by the Department in the registration of secondhand dealers and secondary metal recyclers. The modified forms are the DR-1S (Registration Application for Secondhand Dealers and Secondary Metals Recyclers), and the DR-1SN (Instructions - Registration Application for Secondhand Dealers and Secondary Metals Recyclers).

SUMMARY: The proposed amendments implement statutory changes to the registration process for secondhand dealers. These amendments revise both the rule language in Rule 12A-17.003, F.A.C., as well as updating two related forms, incorporated by reference in Rule 12A-17.005, F.A.C.

SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS AND LEGISLATIVE RATIFICATION: The Agency has determined that this will not have an adverse impact on small business or likely increase directly or indirectly regulatory costs in excess of $200,000 in the aggregate within one year after the implementation of the rule. A SERC has not been prepared by the Agency.

The Agency has determined that the proposed rule is not expected to require legislative ratification based on the statement of estimated regulatory costs or if no SERC is required, the information expressly relied upon and described herein: 1) no requirement for the Statement of Economic Regulatory Costs (SERC) was triggered under Section 120.541(1), F.S.; and 2) based on past experiences regarding the procedures for processing written protests of assessments and rules of this nature, the adverse impact or regulatory cost, if any, do not exceed nor would exceed any one of the economic analysis criteria in a SERC, as set forth in Section 120.541(2)(a), F.S. Any person who wishes to provide information regarding a Statement of Estimated Regulatory Costs, or provide a proposal for a lower cost regulatory alternative, must do so in writing within 21 days of this notice.

Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.

RULEMAKING AUTHORITY: 213.06(1), 538.11, 538.37 FS

LAW IMPLEMENTED: 213.053(9), (11), 538.09, 538.25, 538.31, 538.32, 539.002 FS.

IF REQUESTED WITHIN 21 DAYS OF THE DATE OF THIS NOTICE, A HEARING WILL BE HELD AT THE DATE, TIME AND PLACE SHOWN BELOW (IF NOT REQUESTED, THIS HEARING WILL NOT BE HELD):

DATE AND TIME: November 16, 2016, 9:00 a.m.

PLACE: 2450 Shumard Oak Boulevard, Building Two, Room 1220, Tallahassee, Florida

Pursuant to the provisions of the Americans with Disabilities Act, any person requiring special accommodations to participate in this workshop/meeting is asked to advise the agency at least 48 hours before the workshop/meeting by contacting: Becky Nall at [phone]. If you are hearing or speech impaired, please contact the agency using the Florida Relay Service, 1(800)955-8771 (TDD) or 1(800)955-8770 (Voice).

THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Kimberly Berg, Technical Assistance and Dispute Resolution, Department of Revenue, P.O. Box 7443, Tallahassee, Florida 32314-7443, telephone: [phone]

 

THE FULL TEXT OF THE PROPOSED RULE IS:

 

 

12A-17.003 Registration.

(1)(a) Any person, corporation, or other business entity must submit file a completed Application for Secondhand Dealer and Secondary Metals Recycler Registration (Form DR-1S, incorporated by reference in Rule 12A-17.005, F.A.C.) application package for registration as a secondhand dealer, mail-in secondhand precious metals dealer, or secondary metals recycler and obtain a certificate of registration before engaging in business as a secondhand dealer or secondary metals recycler. One application package is required for each dealer. If a dealer is engaged in business as a secondhand dealer or a mail-in secondhand precious metals dealer and a secondary metals recycler, a separate application package must be filed for each type of business. If a secondhand dealer, mail-in secondhand precious metals dealer, or secondary metals recycler is the owner of more than one business location, the application package must list each location owned by the same legal entity. The Department will issue a certificate of registration to the applicant for each location.

(b) Each business owner, officer, member, director, partner and stockholder with a controlling interest in the business entity must undergo a To apply for registration as a secondhand dealer, mail-in secondhand precious metals dealer, or secondary metals recycler, a business entity is required to provide:

1. A completed Application for Secondhand Dealer or Secondary Metals Recycler Registration (Form DR-1S, incorporated by reference in Rule 12A-17.005, F.A.C.) for each business location.

2. A state and federal criminal history record check (background check) performed by the Florida Department of Law Enforcement. Employees of secondhand dealers or secondary metals recyclers with no controlling interest, financial or otherwise, are not required to undergo a criminal history record check. Form GT-200403, Electronic Fingerprint Procedures for Secondhand Dealer and Secondary Metals Recycler Applicants (incorporated by reference in Rule 12A-17.005, F.A.C.) provides instructions for meeting the record check requirements.

3. A check, payable to the Florida Department of Revenue, which includes payment of the $6 application fee required for each business location owned or leased by the applicant.

(2)(a) The certificate of registration issued by the Department is not assignable and is only valid for the business entity person, firm, co-partnership, or corporation listed on the certificate and for the registration indicated on the certificate. The certificate of registration may not be assigned or transferred to any other legal entity.

(b) Engaging in business as a secondhand dealer or secondary metals recycler without first obtaining a certificate of registration or after a certificate is revoked or suspended by the Department is prohibited.

(3) The effective date of the certificate of registration issued by the Department is the postmark date the application is postmarked, hand-delivered, or submitted electronically to of the completed application package for registration, if mailed, or the date the completed application package is received by the Department, if it is delivered by means other than mail. For the purposes of this rule, “postmark date” includes the date on which a taxpayer delivers a completed application to an express service or delivery service for delivery to the Department.

(4)(a) For businesses that hold a valid certificate of registration, a new completed application package must be submitted and a new certificate of registration must be obtained when there is a change in the form of ownership in the business. For example, a sole proprietor that incorporates or a corporation that converts to a limited liability company must is required to submit a new completed registration application package to the Department and obtain a new certificate of registration.

(b) When there is a change in a general partner of a partnership, in the members of an association, joint venture, limited liability company, or other non-corporate entity, or in the corporate officers, directors, or stockholders officers/directors who hold a controlling interest in a corporation, each the new partner, new member, or new corporate officer or director, or stockholder officer/directors must undergo submit a state and federal criminal history record check (background check) as provided in Form GT-200403.

(5) Each business that person who holds a secondhand dealer or secondary metals recycler certificate of registration is required to annually file an Application for Renewal of Secondhand Dealer or Secondary Metals Recycler Registration (Form DR-1SR, incorporated by reference in Rule 12A-17.005, F.A.C.) and pay an annual renewal fee of $6 per location. Renewal notices applications are provided annually to each registered business that holds a certificate of registration as a secondhand dealer or as a secondary metals recycler. Annual Completed renewal applications and annual renewal fees are due by October 1 of each year.

(6) No change.

Rulemaking Authority 213.06(1), 538.11, 538.37 FS. Law Implemented 213.053(9), (11), 538.09, 538.25, 538.32 FS. History–New 3-15-90, Amended 11-14-91, 4-18-93, 10-18-93, 10-17-94, 3-20-96, 8-1-02, 9-15-08, 6-1-09, 1-17-13,          .

 

12A-17.005 Public Use Forms.

(1) The following public-use forms and instructions are employed by the Department in its dealings with the public in administering Chapter 538, F.S., and are incorporated by reference in this rule.

(a) Copies of these forms, except those denoted by an asterisk (*), are available, without cost, by: 1) downloading the form from the Department’s Internet site at www.myflorida.com/dor/forms; or, 2) calling the Department at 1(800) 352-3671, Monday through Friday, 8:00 a.m. to 7:00 p.m. (Eastern Time); or, 3) visiting any local Department of Revenue Service Center; or, 4) writing the Florida Department of Revenue, Taxpayer Services, Mail Stop 3-2000, 5050 West Tennessee Street, Tallahassee, Florida 32399-0112. Persons with hearing or speech impairments may call the Florida Relay Service at 1(800) 955-8770 (Voice) and 1(800) 955-8771 (TTY).

(b) Renewal applications specifically denoted by an asterisk (*) are issued by the Department to holders of current certificates of registration as a secondhand dealer or a secondary metals recycler. A copy of a renewal application may be obtained by written request directed to:

Florida Department of Revenue

Taxpayer Services

5050 W. Tennessee St., Mail Stop 3-2000

Tallahassee, Florida 32399-0112

Form Number	Title	Effective Date
(2) DR-1S	Registration Application for Secondhand Dealers and/or Secondary Metals Recyclers (R.       07/12) (http://www.flrules.org/Gateway/reference.asp?No=Ref-          02149)	01/13
(3) DR-1SN *DR-1SR	Instructions - Registration Renewal Application for Secondhand Dealers and/or Secondary Metals Recyclers (N.          R. 07/12)	01/13
	(http://www.flrules.org/Gateway/reference.asp?No=Ref-          02150)
(4) GT-200403	Electronic Fingerprint Procedures for Secondhand Dealer and Secondary Metals Recycler Applicants (R. 03/12) (http://www.flrules.org/Gateway/reference.asp?No=Ref-02151)	01/13

Rulemaking Authority 213.06(1), 538.11, 538.37 FS. Law Implemented 538.09, 538.25, 538.31, 538.32, 539.002 FS. History–New 3-15-90, Amended 11-14-91, 4-18-93, 10-17-94, 8-1-02, 9-28-04, 6-28-05, 9-15-08, 1-11-10, 1-17-13,          .

 

NAME OF PERSON ORIGINATING PROPOSED RULE: Kimberly Berg

NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Governor and Cabinet

DATE PROPOSED RULE APPROVED BY AGENCY HEAD: October 25, 2016

DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAR: September 7, 2016