Florida offers a vibrant environment for business with 3.5 million small businesses, employing about 40% of the state’s workforce. Whether you’re an established business owner or planning to start a new venture, understanding the tax landscape in Florida is crucial. This guide provides an overview of the various taxes small businesses in Florida must navigate, including tax rates, filing requirements, and deadlines.
Types of Business Taxes in Florida
Business owners in Florida may be subject to various taxes depending on their business structure, activities, and revenue. Here’s a breakdown of the main types of taxes:
Corporate Income/Franchise Tax
Applicable Entities: C corporations, LLCs classified as corporations
Tax Rate: 5.5%
Filing Requirements: File Form F-1120 by the first day of the fifth month after the tax year ends. For tax years ending June 30, file by October 1.
Estimated Payments: These are required if your company’s annual liability exceeds $2,500. Payments are due on the last day of the fifth month, the last day of the sixth month, the last day of the ninth month, and the last day of the tax year. For tax years ending June 30, payments are due on the last day of the fourth month, the last day of the sixth month, the last day of the ninth month, and the last day of the tax year.
Sales and Use Tax
Applicable Activities: Retail sales, certain services
Tax Rate: 6% (local discretionary rates may also apply)
Filing Requirements: File Form DR-15 monthly, quarterly, or annually based on sales volume.
Reemployment Insurance Tax
Applicable Entities: Employers that pay $1,500 or more in at least one quarterly payroll in a calendar year or have at least one employee during 20 different weeks in a calendar year
Tax Rate: Varies based on the business’s experience rating
Wage Base: $7,000 per employee per year
Filing Requirements:File quarterly reports (Form RT-6) by April 30, July 31, October 31, and January 31.
Tangible Personal Property Tax
Applicable Entities: Businesses owning personal property
Tax Rate: Based on property type and value
Filing Requirements: Report annually to the county assessor by April 1.
How to File and Pay Florida Business Taxes
Business taxes in Florida can be filed and paid through various methods.
Online Filing and Payment: Use the Florida Department of Revenue’s eServices website for electronic submissions and payments.
Mail: Send forms and payments to: Florida Department of Revenue, 5050 W. Tennessee St., Tallahassee, FL 32399-0135.
Important Deadlines
Keep track of these key dates to avoid penalties:
Corporate Income/Franchise Tax Returns: Due by the first day of the fifth month after the tax year ends. For tax years ending June 30, file by October 1
Estimated Tax Payments: These are due quarterly on the last day of the fifth month, the last day of the sixth month, the last day of the ninth month, and the last day of the tax year. For tax years ending June 30, payments are due on the last day of the fourth month, the last day of the sixth month, the last day of the ninth month, and the last day of the tax year.
Sales and Use Tax Returns: Monthly, quarterly, or annual filing based on sales volume
Reemployment Insurance Reports: Due quarterly by April 30, July 31, October 31, and January 31
Tax Credits and Incentives
Florida offers several tax credits and incentives for small businesses, including:
The Experiential Learning Tax Credit: Available to qualified businesses employing apprentices, pre-apprentices, and student interns, worth $2,000 per eligible employee, up to $10,000 total per year.
The Rural Job Tax Credit: Available to certain businesses in designated rural counties that create new jobs, worth $1,000-$1,500 in credits per hired employee and up to $500,000 total during any one calendar year.
The Research and Development Tax Credit: Available to eligible businesses based on qualified research expenses.
Check out our article on Florida tax incentives for more information.
Florida’s business tax breakdown by business type
Business taxes can get complicated, so below, we’ve included a chart that breaks down which taxes different business structures usually pay.
Keep in mind that pass-through entities don’t pay federal income taxes themselves—the obligation is passed on to their business owners or shareholders, who pay them through their personal income tax returns.
Business type | Personal income tax | Corporate income/franchise tax | Sales and use tax | Unemployment tax | Federal income taxes |
C corporation | No | Yes | Yes, if applicable | Yes, if you hire employees | Yes |
S corporation | No | No | Yes, if applicable | Yes, if you hire employees | Yes (pass-through) |
LLC | No | Depends on how it’s structured | Yes, if applicable | Yes, if you hire employees | Yes (pass-through) |
Partnership | No | No | Yes, if applicable | Yes, if you hire employees | Yes (pass-through) |
Sole proprietorship | No | No | Yes, if applicable | Yes, if you hire employees | Yes, by way of individual income tax |
File your Florida small business taxes with Gusto
As a business owner, your time and energy are valuable, finite resources. Gusto can save you time and offer peace of mind. Our easy-to-use software automatically files all your payroll taxes each time you run payroll—freeing up your bandwidth for the work that matters most.
Learn how else Gusto can simplify the operations of your small business by creating an account today.
Florida Small Business Taxes: The Employer’s 2024 Guide
Florida offers a vibrant environment for business with over 3 million small businesses, employing about 41% of the state’s workforce. Whether you’re an established business owner or planning to start a new venture, understanding the tax landscape in Florida is crucial. This guide provides an overview of the various taxes small businesses in Florida must navigate, including tax rates, filing requirements, and deadlines.
Types of Business Taxes in Florida
Business owners in Florida may be subject to various taxes depending on their business structure, activities, and revenue. Here’s a breakdown of the main types of taxes:
Corporate Income/Franchise Tax
Applicable Entities: C corporations, LLCs classified as corporations
Tax Rate: 5.5%
Filing Requirements: File Form F-1120 by the first day of the fifth month after the tax year ends. For tax years ending June 30, file by October 1.
Estimated Payments: These are required if your company’s annual liability exceeds $2,500. Payments due on the last day of the fifth month, the last day of the sixth month, the last day of the ninth month, and the last day of the tax year. For tax years ending June 30, payments due on the last day of the fourth month, the last day of the sixth month, the last day of the ninth month, and the last day of the tax year.
Sales and Use Tax
Applicable Activities: Retail sales, certain services
Tax Rate: 6% (local discretionary rates may also apply)
Filing Requirements: File Form DR-15 monthly, quarterly, or annually based on sales volume.
Reemployment Insurance Tax
Applicable Entities: Employers that pay $1,500 or more in at least one quarterly payroll in a calendar year or have at least one employee during 20 different weeks in a calendar year
Tax Rate: Varies based on business’s experience rating
Wage Base: $7,000 per employee per year
Filing Requirements: File quarterly reports (Form RT-6) by April 30, July 31, October 31, and January 31.
Tangible Personal Property Tax
Applicable Entities: Businesses owning personal property
Tax Rate: Based on property type and value
Filing Requirements: Report annually to county assessor by April 1.
How to File and Pay Florida Business Taxes
Business taxes in Florida can be filed and paid through various methods.
Online Filing and Payment: Use the Florida Department of Revenue’s eServices website for electronic submissions and payments.
Mail: Send forms and payments to: Florida Department of Revenue, 5050 W. Tennessee St., Tallahassee, FL 32399-0135.
Important Deadlines
Keep track of these key dates to avoid penalties:
Corporate Income/Franchise Tax Returns: Due by the first day of the fifth month after the tax year ends. For tax years ending June 30, file by October 1
Estimated Tax Payments: These are due quarterly on the last day of the fifth month, the last day of the sixth month, the last day of the ninth month, and the last day of the tax year. For tax years ending June 30, payments due on the last day of the fourth month, the last day of the sixth month, the last day of the ninth month, and the last day of the tax year.
Sales and Use Tax Returns: Monthly, quarterly, or annual filing based on sales volume
Reemployment Insurance Reports: Due quarterly by April 30, July 31, October 31, and January 31
Tax Credits and Incentives
Florida offers several tax credits and incentives for small businesses, including:
The Experiential Learning Tax Credit: Available to qualified businesses employing apprentices, pre-apprentices, and student interns, worth $2,000 per eligible employee, up to $10,000 total per year.
The Rural Job Tax Credit: Available to certain businesses in designated rural counties that create new jobs, worth $1,000-$1,500 in credits per hired employee and up to $500,000 total during any one calendar year.
The Research and Development Tax Credit: Available to eligible businesses based on qualified research expenses.
Check out our article on Florida tax incentives for more information.
Florida’s business tax breakdown by business type
Business taxes can get complicated, so below, we’ve included a chart that breaks down which taxes different business structures usually pay.
Keep in mind that pass-through entities don’t pay federal income taxes themselves—the obligation is passed on to their business owners or shareholders, who pay them through their personal income tax returns.
Business type | Personal income tax | Corporate income/franchise tax | Sales and use tax | Unemployment tax | Federal income taxes |
C corporation | No | Yes | Yes, if applicable | Yes, if you hire employees | Yes |
S corporation | No | No | Yes, if applicable | Yes, if you hire employees | Yes (pass-through) |
LLC | No | Depends on how it’s structured | Yes, if applicable | Yes, if you hire employees | Yes (pass-through) |
Partnership | No | No | Yes, if applicable | Yes, if you hire employees | Yes (pass-through) |
Sole proprietorship | No | No | Yes, if applicable | Yes, if you hire employees | Yes, by way of individual income tax |
File your Florida small business taxes with Gusto
As a business owner, your time and energy are valuable, finite resources. Gusto can save you time and offer peace of mind. Our easy-to-use software automatically files all your payroll taxes each time you run payroll—freeing up your bandwidth for the work that matters most.
Learn how else Gusto can simplify the operations of your small business by creating an account today.
