Personal income tax is a government tax on individuals that varies based on their taxable income. Generally, taxable income is determined by taking a person’s total income and applying deductions. Depending on the circumstances, credits may also be available to individuals. Many states levy a personal income tax in addition to the federal personal income taxes collected by the Internal Revenue Service. Seven states, however, including Florida, do not collect personal income tax. This article provides a basic overview of taxes in Florida.
Types of Taxes in Florida
Unlike many other states, Florida also does not impose inheritance taxes, gift taxes, or taxes on intangible personal property. Since states require a steady flow of revenue to pay for public goods such as education and infrastructure, Florida makes up for the lack of income tax through relatively high property (levied at the local, not state, level), sales, and corporate taxes. Florida imposes the following taxes within the state:
Certain counties charge additional taxes and fees, which may include the following:
|Code Section||Florida Code, Chapter 220, et seq.|
|Who is Required to File||Individual income is not taxed in Florida. Corporations and other business organizations do pay income taxes.
|Federal Income Tax Deductible||No|
|Federal Income Used as Basis||N/A|
Note: State laws are always subject to change through the passage of new legislation, rulings in the higher courts (including federal decisions), ballot initiatives, and other means. While we strive to provide the most current information available, please consult an attorney or conduct your own legal research to verify the state law(s) you are researching.
Related Resources for Tax Laws:
Get Professional Legal Help With Your Florida Taxes
Florida's tax laws are often changing and ever-confusing for the average consumer. There are many variables that determine the amount of tax Floridians pay each year, although the state does not collect taxes on personal income. You likely have questions about the law. An experienced Florida tax attorney can answer those questions about your tax rights or responsibilities.
Contact a qualified attorney.