Form Gt-800046 - Sales And Use Tax On Bars And Lounges printable pdf download

GT-800046

Sales and Use Tax on

R. 12/17

Bars and Lounges

What is Taxable?

Alcoholic beverages, including mixed drinks, beer, ale, wine, and wine coolers, are subject to sales tax

and discretionary sales surtax at the rate where the business is located. Any person who sells alcoholic

beverages must:

•

Calculate sales tax and surtax on the total sales price of each alcoholic beverage sale; or

•

When it is impractical to separately record the sales price and the tax and surtax on each alcoholic

beverage sale, calculate sales tax and surtax using one of the two methods described in this

brochure.

Dealers are prohibited from advertising or holding out to the public that the dealer will absorb any part of the

sales tax or surtax due or that the dealer will relieve the purchaser from the payment of sales tax or surtax.

Beverages given to the customer free of charge as promotional, complimentary, or courtesy are subject to

use tax and surtax on the total cost of the beverage given away. The taxable cost of the complimentary

beverage includes the cost of labor and other overhead costs necessary to prepare and serve the

beverage.

What is Exempt?

Public lodging establishments that advertise that they provide complimentary food and drinks do not

have to pay sales or use tax on complimentary food or drinks when:

•

The food or drinks are furnished as part of a packaged room rate;

•

No specific amount or separate charge is stated to the guest for such food or drinks;

•

The public lodging establishment has a valid license with the Department of Business

and Professional Regulation’s Division of Hotels and Restaurants; and

•

The public lodging establishment rents or leases transient accommodations subject to

sales and use tax.

Wine, liquor, and distilled spirits provided by distributors or vendors for “wine tasting” or “spirituous

beverage tasting” are exempt. Any charge made to the public for “wine tasting” and “spirituous

beverage tasting” is subject to sales tax and surtax.

How is Tax Calculated?

Sales tax and surtax are calculated at the point-in-time when each alcoholic beverage sale is made.

When sales transactions are between whole dollar amounts, the bracket system is used to calculate

tax and surtax due when any part of each total sale is less than a whole dollar amount. The amount

of sales tax and surtax must be separately shown on each guest bill, invoice, or other evidence of the

sales transaction. We provide Sales Tax Rate Tables and individual bracket charts for every current

tax rate in Florida and they are available for download from our website at .

How you calculate the sales tax and surtax due depends on whether you put the public on notice that

tax is already included in the total charge for each sale of alcoholic beverage. If you choose to

include the sales tax and surtax in the cost of the alcoholic beverage we provide a tax rate or tax rate

divisor for computing sales tax and surtax on alcoholic beverages for sales of packaged goods and for

sales of mixed drinks. “Packaged Goods” are those alcoholic beverages that are sold in the original

sealed container and sold only for consumption off the business premises.

Florida Department of Revenue, Sales and Use Tax on Bars and Lounges, Page 1

Form Gt-800046 - Sales And Use Tax On Bars And Lounges

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