Florida Sales Tax on Commercial Rentals Repealed Effective October 1, 2025 – What You Need to Know

The Florida Department of Revenue released a Tax Information Publication which repeals Sales Tax on rent or license fees for Commercial Rentals. Below, we’ve outlined some of the key takeaways:

Key Takeaways at a Glance

• No state sales tax or discretionary sales surtax will apply to most rental or occupancy periods starting on or after Oct 1, 2025.

• Rent through Sept 2025 remains taxable even if paid after Oct 1, 2025.

• Certain rentals remain taxable under other statutes, including:

• • Short-term accommodations (≤ 6 months)
  • Parking/storage spaces for vehicles
  • Docking/storage for boats
  • Tie-down/storage for aircraft

• Owners must file returns for all periods up to September 2025, even if no tax is due.

• No new commercial rental-related credits after July 1, 2025, but credits before July 1, 2025 can be used against sales tax due.

• Sales tax collected for rent post-Oct 1, 2025, must be refunded to the tenant before requesting a refund from the state with form DR-265.