Florida Regulations 12-26.004: Refund Approval Process
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(1) The Department shall review the completed application for refund, and, as provided by sections 213.255 and 215.26(2), F.S., determine the amount due, if any, under the applicable laws and rules governing the particular tax.
(2)(a) If the completed refund application is approved and the refund paid or credited to the taxpayer’s account within 90 consecutive calendar days of receipt of the completed application, except as provided by paragraph (c) of this subsection, the Department will notify the taxpayer and:
1. Shall voucher a request for warrant for submission to the Comptroller with appropriate supporting documentation as required, or necessary, for proper audit and payment, or;
2. Apply the amount as a credit against a tax, penalty, or interest liability of the taxpayer.
(b) If a refund is not paid or credited to the taxpayer’s account within 90 consecutive calendar days of receipt of the completed application, except as provided by paragraph (c) of this subsection, the Department must pay interest pursuant to sections 213.235 and 213.255, F.S., starting with the 91st day through the day that the voucher requesting a warrant for the refund amount is submitted to the Comptroller.
(c) The 90 consecutive calendar day period and the requirement to pay interest on refund amounts not timely paid or credited to a taxpayer, as discussed in paragraphs (a) and (b), above, will be tolled if:
1. Both the taxpayer and the Department agree that an audit or other verification process is necessary to validate the taxpayer’s refund request, and;
2. Both parties complete and sign Department Form DR-370026 (Agreement to Audit Refund Claim), incorporated by reference in Fl. Admin. Code R. 12-26.008
(3)(a) For the purpose of implementing the 90 consecutive calendar day interest provision required pursuant to Florida Statutes § 213.255, and this rule, an application will be considered complete when all information or corrections requested from the applicant are received by the Department, based on the postmark date, fax date, email submission date, or date of hand-delivery of such requested information.
(b) The 90 consecutive calendar day period will not expire on a Saturday, Sunday or legal holiday. The term “”legal holiday”” shall mean a holiday observed by federal or state agencies as a legal holiday pursuant to chapter 683, F.S., and section 7503 of the Internal Revenue Code of 1986, as amended. If the 90 consecutive calendar day period ends on a Saturday, Sunday or legal holiday, such period will not expire until the next successive day that is not a Saturday, Sunday, or legal holiday.
(4) The following example is intended to help taxpayers understand how this interest rate provision applies. The Department receives a completed application for refund on 2/05/2000. The Department pays the refund on 8/01/2000. Assuming an interest rate of 8 percent for the 1/01/2000 through 6/30/2000 period, and an interest rate of 9 percent for the 7/01/2000 through 12/31/2000 period, interest would be calculated as follows [NOTE: Interest does not start to accrue until the 91st day after the Department receives the complete application for refund, which is 5/06/2000]:
Terms Used In Florida Regulations 12-26.004
- Interest rate: The amount paid by a borrower to a lender in exchange for the use of the lender's money for a certain period of time. Interest is paid on loans or on debt instruments, such as notes or bonds, either at regular intervals or as part of a lump sum payment when the issue matures. Source: OCC
1. Shall voucher a request for warrant for submission to the Comptroller with appropriate supporting documentation as required, or necessary, for proper audit and payment, or;
2. Apply the amount as a credit against a tax, penalty, or interest liability of the taxpayer.
(b) If a refund is not paid or credited to the taxpayer’s account within 90 consecutive calendar days of receipt of the completed application, except as provided by paragraph (c) of this subsection, the Department must pay interest pursuant to sections 213.235 and 213.255, F.S., starting with the 91st day through the day that the voucher requesting a warrant for the refund amount is submitted to the Comptroller.
(c) The 90 consecutive calendar day period and the requirement to pay interest on refund amounts not timely paid or credited to a taxpayer, as discussed in paragraphs (a) and (b), above, will be tolled if:
1. Both the taxpayer and the Department agree that an audit or other verification process is necessary to validate the taxpayer’s refund request, and;
2. Both parties complete and sign Department Form DR-370026 (Agreement to Audit Refund Claim), incorporated by reference in Fl. Admin. Code R. 12-26.008
(3)(a) For the purpose of implementing the 90 consecutive calendar day interest provision required pursuant to Florida Statutes § 213.255, and this rule, an application will be considered complete when all information or corrections requested from the applicant are received by the Department, based on the postmark date, fax date, email submission date, or date of hand-delivery of such requested information.
(b) The 90 consecutive calendar day period will not expire on a Saturday, Sunday or legal holiday. The term “”legal holiday”” shall mean a holiday observed by federal or state agencies as a legal holiday pursuant to chapter 683, F.S., and section 7503 of the Internal Revenue Code of 1986, as amended. If the 90 consecutive calendar day period ends on a Saturday, Sunday or legal holiday, such period will not expire until the next successive day that is not a Saturday, Sunday, or legal holiday.
(4) The following example is intended to help taxpayers understand how this interest rate provision applies. The Department receives a completed application for refund on 2/05/2000. The Department pays the refund on 8/01/2000. Assuming an interest rate of 8 percent for the 1/01/2000 through 6/30/2000 period, and an interest rate of 9 percent for the 7/01/2000 through 12/31/2000 period, interest would be calculated as follows [NOTE: Interest does not start to accrue until the 91st day after the Department receives the complete application for refund, which is 5/06/2000]:
NUMBER
DAYS IN
TOTAL
PERIOD
TAX DUE
OF DAYS
YEAR
RATE
INTEREST DUE
5/06/00-6/30/00
$1,000
56
366
8% per year
$12.24
7/01/00-8/01/00
$1,000
32
366
9% per year
$7.87
Total Interest Due
$20.11
Rulemaking Authority 213.06(1), 213.23 FS. Law Implemented 95.091(3), 213.235, 213.255, 213.34, 213.345, 215.26 FS. History-New 11-14-91, Amended 4-2-00, 10-4-01, 4-16-18.