Florida Regulations 12A-12.001: New Tire Fee
Current as of: 2024 | Check for updates
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(1)(a) Florida Statutes § 403.718, imposes a fee at the rate of $1 for each new motor vehicle tire sold at retail in this state.
(b) The fee is imposed upon the dealer selling the new motor vehicle tire and not upon the purchaser.
(c) The fee is applicable even when the sale of a new motor vehicle tire is to any governmental agency or any organization that holds a Florida Consumer’s Certificate of Exemption.
(d) The fee is required to be stated separately on the sales invoice or other tangible evidence of sale given to the purchaser.
(e) The fee is to be included in the price upon which sales or use tax or any other tax imposed by Florida Statutes Chapter 212, is computed, even though the fee is listed as a separate item on the invoice.
(2) For purposes of this rule:
(a) “”Motor vehicle”” means an automobile, motorcycle, truck, trailer, semitrailer, truck tractor and semitrailer combination, or any other vehicle operated in this state, used to transport persons or property, and propelled by power other than muscular power. Any vehicle that has been designed for the primary purpose of carrying multiple passengers in addition to a driver or operator is considered as being used to transport persons. Any vehicle that has been designed for the primary purpose of carrying freight, baggage or bulk materials or bulk liquids is considered as being used to transport property.
1. The term motor vehicle also includes:
a. All-terrain vehicles or ATVs, as defined by Florida Statutes § 317.0003
b. Golf carts, as defined by Florida Statutes § 320.01
c. Trucks defined as “”goats”” by Florida Statutes § 320.08
d. Utility vehicles, as defined by Florida Statutes § 320.01
2. The term motor vehicle specifically does not include:
a. Bicycles.
b. Electric personal assistive mobility devices, commonly known as Segways, as defined by Florida Statutes § 316.003(83)
c. Farm tractors, as provided by Florida Statutes § 320.51
d. Farm trailers, as provided by Florida Statutes § 320.51
e. Forklift trucks, motorized pallet trucks, or other similar industrial equipment used in warehouse or supply yard operations.
f. Mopeds, as defined by Florida Statutes § 320.01
g. Racing vehicles that run exclusively at a “”closed-course motorsport facility,”” as defined by Florida Statutes § 549.09, or at a “”motorsports entertainment complex,”” as defined by Florida Statutes § 549.10
h. Special mobile equipment, as defined by Florida Statutes § 316.003(48), such as traction engines, road rollers, motor graders, haulers, backhoes, wheel loaders, or other similar heavy-duty vehicles requiring specialized off-the-road tires or continuous tracks.
i. Vehicles that are designed with the specific primary purpose of performing work and are not intended to transport persons or property, such as aircraft pushback tractors or riding mowers, regardless of the fact that an operator or materials are also being carried during the performance of the work.
j. Wheelchairs, including powered models.
(b) “”New tire”” or “”new motor vehicle tire”” is one that has never been used in the movement of a motor vehicle, regardless of the time that has elapsed since the tire was manufactured. A tire is not “”new”” for purposes of this rule if it has been so used, including a tire that has been used but has been recapped or retreaded. The terms include the original retail sale of a spare tire as a component part of a new motor vehicle.
(c) The term “”sales tax resale certificate”” means an Annual Resale Certificate issued by a dealer to make tax exempt purchases for the purposes of resale, as provided in Fl. Admin. Code R. 12A-1.039
(d) “”Tire”” means a continuous solid or pneumatic rubber covering encircling the wheel of a motor vehicle.
(3)(a) The new tire fee imposed by Florida Statutes § 403.718, applies to retail sales of new motor vehicle tires, whether sold separately or as a component part of a new or used motor vehicle sold at retail in Florida.
(b) Retail sales of new motor vehicles are subject to the fee.
(c) Retail sales of used motor vehicles are considered as having been made with used tires and are not subject to the fee unless the sales invoice indicates that a new tire or tires have been installed by the dealer prior to sale.
(4)(a) A motor vehicle dealer can purchase tires exempt from the fee as a sale for resale by presenting a sales tax resale certificate to the seller of the tires. If the motor vehicle dealer subsequently withdraws any such tire from inventory to use on the dealer’s own vehicle, to give away, or for any purpose except for resale, the motor vehicle dealer will owe the fee at the time the tire is withdrawn from inventory. If the motor vehicle dealer sells the tire at retail, whether separately or installed on a motor vehicle, that sale will be subject to the fee. If the motor vehicle dealer resells the tire to a dealer who presents a sales tax resale certificate, no fee will be due on that transaction.
(b) Motor vehicle dealers that exclusively sell used motor vehicles may elect to pay the fee to the tire wholesaler on the purchase of tires instead of purchasing tires exempt from the tire fee. If the used motor vehicle dealer elects to do so, the dealer must pay the tire fee to the tire wholesaler on all its purchases of tires. For the purpose of the tire fee only, the wholesale tire dealer is to treat the sale as a retail sale and must separately state the tire fee on the sales invoice to the used motor vehicle dealer. On subsequent retail sales by the used motor vehicle dealer, the dealer must state in the contract or on the sales invoice to the purchaser that the applicable tire fee has been previously paid.
(5) A sale to a motor vehicle leasing company of a new motor vehicle tire or a vehicle of which a new motor vehicle tire is a component part is not a retail sale for purposes of the fee when the leasing company gives the seller a sales tax resale certificate. Instead, the fee is payable by the leasing company when it first puts the vehicle into use in this state.
(6)(a) When a sale of a new tire, upon which the fee has been paid, is cancelled or the tire is returned to the seller, and the sale price is refunded in full to the purchaser, the dealer may take a credit for the fee previously paid.
(b) If, instead of refunding the purchase price of the tire, the customer is given a new tire in exchange for the tire that was returned, the dealer cannot take credit for the fee on the returned tire, but no fee is due on the new tire that is given in exchange.
(c) If the purchaser of a new tire who returns it to the dealer is given a partial refund, based on mileage or wear on the tire, the dealer cannot take credit for the fee previously paid.
(d) If the purchaser of a new tire who returns it is not given another new tire in exchange but, instead, is given a credit in partial payment on a new tire, the dealer is not allowed a credit for the fee previously paid and must pay a fee on the sale of the new tire for which a partial credit was given.
(7)(a) When there is a sale of a new tire that can either be used on a “”motor vehicle,”” or on a farm tractor, farm trailer, or other equipment that is specifically excluded from that definition, it will be presumed to be purchased for use on a “”motor vehicle”” unless the purchaser gives to the seller at the time of purchase a certificate to the effect that the new tire will be used on a farm tractor, farm trailer, or other equipment that is specifically excluded from that definition. The exemption certificate must be retained by the selling dealer until the fee imposed under Florida Statutes § 403.718, may no longer be determined and assessed under Florida Statutes § 95.091(3)
(b) The following is a suggested exemption certificate to be completed by a purchaser and presented to the seller:
EXEMPTION CERTIFICATE
TIRE FEE
The undersigned hereby certifies that the new tire(s) listed on the attached sales invoice or purchase order will be used exclusively on the following type of vehicle or equipment, which is excluded from the definition of “”motor vehicle,”” as provided by Fl. Admin. Code R. 12A-12.001(2)(a):
_____ Farm tractor
_____ Farm trailer
_____ Other (specify) _____
I understand that if I fraudulently issue this certificate to evade the payment of the fee imposed on a new tire I will be liable for payment of the fee, plus a penalty of 200% of the fee, and may be subject to conviction of a third degree felony.
Under the penalties of perjury, I declare that I have read the foregoing Exemption Certificate and the facts stated in it are true.
Purchaser’s Name _______________________
By (Purchaser’s Signature) ________________
Date _______________
Rulemaking Authority 212.07(1)(b), 212.18(2), 213.06(1), 403.718(3)(b) FS. Law Implemented 212.07(1)(b), 212.12, 212.17(1)(a), 403.717, 403.718 FS. History-New 1-2-89, Amended 10-16-89, 12-16-91, 3-20-96, 6-19-01, 10-29-13.
Terms Used In Florida Regulations 12A-12.001
- Contract: A legal written agreement that becomes binding when signed.
- Conviction: A judgement of guilt against a criminal defendant.
- Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
(c) The fee is applicable even when the sale of a new motor vehicle tire is to any governmental agency or any organization that holds a Florida Consumer’s Certificate of Exemption.
(d) The fee is required to be stated separately on the sales invoice or other tangible evidence of sale given to the purchaser.
(e) The fee is to be included in the price upon which sales or use tax or any other tax imposed by Florida Statutes Chapter 212, is computed, even though the fee is listed as a separate item on the invoice.
(2) For purposes of this rule:
(a) “”Motor vehicle”” means an automobile, motorcycle, truck, trailer, semitrailer, truck tractor and semitrailer combination, or any other vehicle operated in this state, used to transport persons or property, and propelled by power other than muscular power. Any vehicle that has been designed for the primary purpose of carrying multiple passengers in addition to a driver or operator is considered as being used to transport persons. Any vehicle that has been designed for the primary purpose of carrying freight, baggage or bulk materials or bulk liquids is considered as being used to transport property.
1. The term motor vehicle also includes:
a. All-terrain vehicles or ATVs, as defined by Florida Statutes § 317.0003
b. Golf carts, as defined by Florida Statutes § 320.01
c. Trucks defined as “”goats”” by Florida Statutes § 320.08
d. Utility vehicles, as defined by Florida Statutes § 320.01
2. The term motor vehicle specifically does not include:
a. Bicycles.
b. Electric personal assistive mobility devices, commonly known as Segways, as defined by Florida Statutes § 316.003(83)
c. Farm tractors, as provided by Florida Statutes § 320.51
d. Farm trailers, as provided by Florida Statutes § 320.51
e. Forklift trucks, motorized pallet trucks, or other similar industrial equipment used in warehouse or supply yard operations.
f. Mopeds, as defined by Florida Statutes § 320.01
g. Racing vehicles that run exclusively at a “”closed-course motorsport facility,”” as defined by Florida Statutes § 549.09, or at a “”motorsports entertainment complex,”” as defined by Florida Statutes § 549.10
h. Special mobile equipment, as defined by Florida Statutes § 316.003(48), such as traction engines, road rollers, motor graders, haulers, backhoes, wheel loaders, or other similar heavy-duty vehicles requiring specialized off-the-road tires or continuous tracks.
i. Vehicles that are designed with the specific primary purpose of performing work and are not intended to transport persons or property, such as aircraft pushback tractors or riding mowers, regardless of the fact that an operator or materials are also being carried during the performance of the work.
j. Wheelchairs, including powered models.
(b) “”New tire”” or “”new motor vehicle tire”” is one that has never been used in the movement of a motor vehicle, regardless of the time that has elapsed since the tire was manufactured. A tire is not “”new”” for purposes of this rule if it has been so used, including a tire that has been used but has been recapped or retreaded. The terms include the original retail sale of a spare tire as a component part of a new motor vehicle.
(c) The term “”sales tax resale certificate”” means an Annual Resale Certificate issued by a dealer to make tax exempt purchases for the purposes of resale, as provided in Fl. Admin. Code R. 12A-1.039
(d) “”Tire”” means a continuous solid or pneumatic rubber covering encircling the wheel of a motor vehicle.
(3)(a) The new tire fee imposed by Florida Statutes § 403.718, applies to retail sales of new motor vehicle tires, whether sold separately or as a component part of a new or used motor vehicle sold at retail in Florida.
(b) Retail sales of new motor vehicles are subject to the fee.
(c) Retail sales of used motor vehicles are considered as having been made with used tires and are not subject to the fee unless the sales invoice indicates that a new tire or tires have been installed by the dealer prior to sale.
(4)(a) A motor vehicle dealer can purchase tires exempt from the fee as a sale for resale by presenting a sales tax resale certificate to the seller of the tires. If the motor vehicle dealer subsequently withdraws any such tire from inventory to use on the dealer’s own vehicle, to give away, or for any purpose except for resale, the motor vehicle dealer will owe the fee at the time the tire is withdrawn from inventory. If the motor vehicle dealer sells the tire at retail, whether separately or installed on a motor vehicle, that sale will be subject to the fee. If the motor vehicle dealer resells the tire to a dealer who presents a sales tax resale certificate, no fee will be due on that transaction.
(b) Motor vehicle dealers that exclusively sell used motor vehicles may elect to pay the fee to the tire wholesaler on the purchase of tires instead of purchasing tires exempt from the tire fee. If the used motor vehicle dealer elects to do so, the dealer must pay the tire fee to the tire wholesaler on all its purchases of tires. For the purpose of the tire fee only, the wholesale tire dealer is to treat the sale as a retail sale and must separately state the tire fee on the sales invoice to the used motor vehicle dealer. On subsequent retail sales by the used motor vehicle dealer, the dealer must state in the contract or on the sales invoice to the purchaser that the applicable tire fee has been previously paid.
(5) A sale to a motor vehicle leasing company of a new motor vehicle tire or a vehicle of which a new motor vehicle tire is a component part is not a retail sale for purposes of the fee when the leasing company gives the seller a sales tax resale certificate. Instead, the fee is payable by the leasing company when it first puts the vehicle into use in this state.
(6)(a) When a sale of a new tire, upon which the fee has been paid, is cancelled or the tire is returned to the seller, and the sale price is refunded in full to the purchaser, the dealer may take a credit for the fee previously paid.
(b) If, instead of refunding the purchase price of the tire, the customer is given a new tire in exchange for the tire that was returned, the dealer cannot take credit for the fee on the returned tire, but no fee is due on the new tire that is given in exchange.
(c) If the purchaser of a new tire who returns it to the dealer is given a partial refund, based on mileage or wear on the tire, the dealer cannot take credit for the fee previously paid.
(d) If the purchaser of a new tire who returns it is not given another new tire in exchange but, instead, is given a credit in partial payment on a new tire, the dealer is not allowed a credit for the fee previously paid and must pay a fee on the sale of the new tire for which a partial credit was given.
(7)(a) When there is a sale of a new tire that can either be used on a “”motor vehicle,”” or on a farm tractor, farm trailer, or other equipment that is specifically excluded from that definition, it will be presumed to be purchased for use on a “”motor vehicle”” unless the purchaser gives to the seller at the time of purchase a certificate to the effect that the new tire will be used on a farm tractor, farm trailer, or other equipment that is specifically excluded from that definition. The exemption certificate must be retained by the selling dealer until the fee imposed under Florida Statutes § 403.718, may no longer be determined and assessed under Florida Statutes § 95.091(3)
(b) The following is a suggested exemption certificate to be completed by a purchaser and presented to the seller:
EXEMPTION CERTIFICATE
TIRE FEE
The undersigned hereby certifies that the new tire(s) listed on the attached sales invoice or purchase order will be used exclusively on the following type of vehicle or equipment, which is excluded from the definition of “”motor vehicle,”” as provided by Fl. Admin. Code R. 12A-12.001(2)(a):
_____ Farm tractor
_____ Farm trailer
_____ Other (specify) _____
I understand that if I fraudulently issue this certificate to evade the payment of the fee imposed on a new tire I will be liable for payment of the fee, plus a penalty of 200% of the fee, and may be subject to conviction of a third degree felony.
Under the penalties of perjury, I declare that I have read the foregoing Exemption Certificate and the facts stated in it are true.
Purchaser’s Name _______________________
By (Purchaser’s Signature) ________________
Date _______________
Rulemaking Authority 212.07(1)(b), 212.18(2), 213.06(1), 403.718(3)(b) FS. Law Implemented 212.07(1)(b), 212.12, 212.17(1)(a), 403.717, 403.718 FS. History-New 1-2-89, Amended 10-16-89, 12-16-91, 3-20-96, 6-19-01, 10-29-13.