Sales Tax Exemption for Electrical Energy:  Rural and Urban Enterprise Zones
s.212.08 (15), F.S.

Forms:

• Sales Tax Exemption Form DR-15 JEZ

Purpose:

• A 50% sales tax exemption is available to qualified businesses located in an Enterprise Zone on the purchase of electrical energy. 

Advantages:

• The tax exemption is available for up to 5 years.

Limitations:

• The tax exemption is limited to municipalities that have passed an ordinance to reduce the municipal utility tax for Enterprise Zone businesses. 

Eligibility Requirements:

• Business located in a Rural Enterprise Zone that is located in a:  newly occupied structure (no previous electrical service); or renovated structure (no electrical service for 3 months); or has received a building materials sales tax refund.
• Tax exemption is limited to municipalities that have passed an ordinance to reduce the municipal utility tax (by at least 50%) for eligible Enterprise Zone businesses.

Tax Credit Calculations

• 50% or 100% exemption from state sales tax on utilities and the abatement of municipality utility tax (based on local ordinance).
• If 20% or more of the business’s permanent, full time employees are residents of an Enterprise zone, the business will receive a 100% exemption from sales tax
• If less than 20% of the business’s permanent full time employees are residents of an Enterprise Zone, the business will receive a 50% exemption from the sales tax.