Florida Administrative Code › 12 - DEPARTMENT OF REVENUE › 12B - Miscellaneous Tax › Chapter 12B-8 - INSURANCE PREMIUM TAXES, FEES AND SURCHARGES › Section 12B-8.001 - Premium Tax; Rate and Computation

Current through Reg. 50, No. 138; July 16, 2024
(1) A tax
				is imposed on insurance premiums or assessments, including membership fees,
				finance charges, and policy fees and gross deposits received from subscribers
				to reciprocal or interinsurance agreements, and on annuity premiums or
				considerations, received during the preceding calendar year. Such tax is
				imposed no matter whether the insurer possesses a valid Florida certificate of
				authority, if the issuing or collecting insurer would have been required to
				obtain a certificate of authority prior to issuing these policies and contracts
				or collecting premiums on them. The administration, auditing, collection, and
				enforcement of the insurance premium taxes and assessments are vested in the
				Department of Revenue, with the exception of taxes under Chapters 175 and 185,
				F.S., where the Department's only functions are collection and maintenance of a
				database. "Policies and premiums" respectively mean and include those policies
				or other contracts or agreements effecting and evidencing insurance, and
				premiums and other considerations for such policies as described and
				contemplated by the provisions of Sections
				624.509 and
				624.510, F.S.; or any other
				sections subject to the provisions of Section
				624.509, F.S. Per-policy fees
				charged under Section
				626.7451(11),
				F.S., by licensed managing general agents fall under the definition of
				"premiums" as defined in Section
				627.403, F.S., and are subject
				to premium tax as set forth in Section
				624.509, F.S.
(a) A tax at the rate of 1.75 percent of the
				gross amount of receipts for insurance premiums and assessments shall be
				applied to the following types of policies:
1.
				Life and health insurance policies covering Florida residents.
2. Policies and contracts covering property,
				subjects, or risks located, resident, or to be performed in Florida (except
				annuity policies and contracts).
3.
				Reciprocal insurance under Chapter 629, F.S.
4. Prepaid limited health services contracts
				issued under Chapter 636, F.S.
5.
				Insurance issued by a risk retention group certified in Florida under Part XIX,
				Chapter 627, F.S.
6. Insurance
				issued by a legal expense insurance corporation under Chapter 642,
				F.S.
7. Insurance issued by a
				captive or industrial captive insurer under Part V, Chapter 628, F.S.
8. Surety insurance issued by a licensed
				surety company.
9. Insurance issued
				by a joint underwriting association (JUA) or joint underwriting plan (JUP)
				under Part I, Chapter 627, F.S. Note: Each JUA/JUP may elect to pay premium
				taxes on the premiums received on its behalf or may elect to have the member
				insurers to whom the premiums are allocated pay the premium taxes where the
				member insurer had written the policy. The JUA/JUP is required to notify the
				member insurers and the Department of Revenue by January 15 of each year
				concerning how these taxes are to be treated. Notification to the Department of
				Revenue must be in the form of a letter stating its intentions. The letter is
				to be attached to the Insurance Premium Tax Return, Form DR-908. Additionally,
				JUA/JUP's which elect to pay the tax must file an Insurance Premium Tax Return,
				Form DR-908, by March 1 of each year to report the association's or plan's
				premium receipts and to remit the tax. These tax returns will be considered
				amended returns if they are the second return of the taxable year for the
				JUA/JUP. The first return is the January 15 notification. However, if the
				JUA/JUP is able to file a complete return and remit any required tax by the
				January 15 notification date, a subsequent return is not
				required.