Notice of Development of Rulemaking

DEPARTMENT OF REVENUE
Departmental
RULE NO: RULE TITLE
12-22.007: Registration Information Sharing and Exchange Program
PURPOSE AND EFFECT: The purpose of the proposed amendments to Rule 12-22.007, F.A.C. (Registration Information Sharing and Exchange Program), is to: (1) provide that the scope of the rule is to provide guidelines regarding the Registration Information Sharing and Exchange Program (RISE Program) authorized under Section 213.0535, F.S.; (2) provide who in the Department to contact for information regarding the program; (3) update the data elements relating to the licensing or registration activity during each period that will be exchanged consistent with the data elements that are currently exchanged under the program; (4) incorporate, by reference, the agreements used by the Department in administering the program; (5) clarify that any employee authorized by the participating government agency is required to execute a certificate of familiarity with the confidentiality requirements of Section 213.053, F.S., by January 31 of year each; and (6) clarify that Level-one participants in the program are required to exchange the required data on a monthly or quarterly basis.
SUBJECT AREA TO BE ADDRESSED: The subject area of the workshop is the administration by the Department of the RISE Program and the incorporation, by reference, of the agreements executed between the participating government agency and the Department.
SPECIFIC AUTHORITY: 213.0535(4), 213.06(1) FS.
LAW IMPLEMENTED: 213.053(8)(j), 213.0535 FS.
A RULE DEVELOPMENT WORKSHOP WILL BE HELD AT THE DATE, TIME AND PLACE SHOWN BELOW:
DATE AND TIME: November 27, 2006, 9:30 a.m.
PLACE: Room 118, Carlton Building, 501 S. Calhoun Street, Tallahassee, Florida
NOTICE UNDER THE AMERICANS WITH DISABILITIES ACT: Any person requiring special accommodations to participate in any proceeding before the Technical Assistance and Dispute Resolution Office is asked to advise the Department at least five (5) calendar days before such proceeding by contacting Larry Green at (850)922-4830. Persons with hearing or speech impairments may contact the Department by using the Florida Relay Service, which can be reached at (800)955-8770 (Voice) and (800)955-8771 (TDD).
THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE DEVELOPMENT AND A COPY OF THE PRELIMINARY DRAFT, IF AVAILABLE, IS: Gary Gray, Revenue Program Administrator, Technical Assistance and Dispute Resolution, Department of Revenue, P.O. Box 7443, Tallahassee, Florida 32314-7443, telephone (850)922-4729

THE PRELIMINARY TEXT OF THE PROPOSED RULE DEVELOPMENT IS:

12-22.007 Registration Information Sharing and Exchange Program.

(1)(a) The Registration Information Sharing and Exchange Program, or “RISE Program”, is authorized under Section 213.0535, F.S., to allow government agencies who participate in the program to periodically exchange specified tax information with the Department. This rule provides guidelines regarding this program, section prescribes the data elements to be shared, in the Registration Information Sharing and Exchange Program and the frequency of sharing those data elements. This exchange of registration information between the Department, other state agencies, and units of local government is designed to improve the enforcement of specific state and local taxes, license, and permits.

(b) General information regarding the Registration Information Sharing and Exchange (“RISE”) Program and specific questions regarding the status of any data supplied by the Department should be directed to may be obtained by contacting the General Tax Administration (GTA) RISE Coordinator, Compliance Enforcement Process Manager's Office, 4070 Esplanade Esplande Way, Room 315N 335U, Tallahassee, Florida 32399-5139 or by telephone, (850)487-2544 or by visiting the Department’s Internet site at http://www.myflorida.com/dor/governments/rise.html the address shown inside the parenthesis (http://myflorida. com/dor/governments/rise.html).

(c) Specific questions regarding the status of any data supplied by the Department of Revenue should be directed to the RISE Coordinator, General Tax Administration, Compliance Support Process, 4070 Esplande Way, Room 335U, Tallahassee, Florida 32399-5139 or by telephone at (850)487-2544.

(2) RISE Agreements and Information Subject to Sharing.

(a) Level-one Participants. To participate in the Level-one RISE Program, each government agency is required to enter into an agreement with the Department to share information with With regard to the taxes, licenses, and permits enumerated in Section 213.0535(4)(a), F.S., participants in this category exchange and share data regarding new registrants, new filers, or initial reporters, permittees, or licensees. The agreement, including attachments, specifies the data elements relating to the licensing or registration activity during each period that will be exchanged and the frequency of exchange of the information. The information subject to such exchange includes:

1. Registrant's, licensee's, or taxpayer's name (name of business and owner);

2. Business mailing address, including zip code;

3. Business location address, including zip code;

4. Telephone number (business and owner);

5.4. Federal employer identification number or Social Security number (where authorized under the Federal Privacy and Confidentiality Act);

6.5. Business type kind code (NAICS or SIC code);

7.6. County code (as provided by the Department);

8.7. Applicable state or local license or registration number and any other unique identifying number;

9.8. Business opening date; and

9. Telephone number, if available.

10. Indication whether new or re-issuance (not renewals or address changes).

(b) Level-two Participants. To participate in the Level-one RISE Program, each government agency is required to enter into an agreement with the Department to share information with With regard to the taxes enumerated in Section 213.0535(4)(b), F.S., participants in this category share and exchange data as specified in paragraph (a). The agreement, including attachments, specifies the data elements relating to the licensing or registration activity during each period that will be exchanged and the frequency of exchange of the information. In addition to the data shared by Level-one participants, Level-two participants shall exchange data relating to tax payment history, audit assessments, and registration cancellations of sales and use tax, tourist development tax, tourist impact tax, municipal resort tax, and/or convention development tax dealers engaging in transient rentals.

(c) The Department hereby incorporates the following agreements used in the administration of the RISE Program:

1. Registration and Information Sharing and Exchange Program – Level-One Agreement (R. 10/06);

2. Registration and Information Sharing and Exchange Program – Level-Two Agreement (R. 10/06);

3. RISE Attachment B (R. 10/06); and

4. RISE Attachment C. Program Participant Certification for Access to Confidential State Tax Information (R. 10/06).

(d) Each government agency participating in the RISE Program is required to transmit its shared data to the Department within 20 days after the close of the reporting period, using the format specified in RISE Attachment B of the executed RISE agreement.

(e) Section 213.053(8)(j), F.S., provides that the Department may provide the information authorized under Section 213.0535, F.S., to eligible participants and certified public accountants for such participants in the RISE Program. As a part of the Level-One RISE Agreement, or the Level Two Agreement, each authorized employee of the participating government agency is required to execute a certification of familiarity with the confidentiality requirements of Section 213.053, F.S., and Rule Chapter 12-22, F.A.C., by January 31 of each year. Any person who becomes an authorized employee subsequent to January 31 must execute a separate certification of familiarity with the confidentiality requirements. Executed certifications must be forwarded to the RISE Coordinator within 15 business days of the date of hire or the date of change in employment status.

(3)(a) Methods for Transmitting Data. The Department provides for the transmission of data between eligible participants of the RISE program. When submitting data to the Department, the participant is required to indicate the format in which the data is provided to the Department. Data is transmitted to the eligible participant by the Department in the same format as the format in which the participant provides data to the Department.

(b) Eligible participants who are required to transmit information under the RISE program and who are unable to make a timely exchange, because of system failure, incomplete data, or other reasons that are beyond the participant's control, should contact the General Tax Administration RISE Coordinator, General Tax Administration, Compliance Support Process, 4070 Esplande Way, Room 335U, Tallahassee, Florida 32399-5139 or by telephone at (850)487-2544.

(4) Frequency of Exchange.

(a) Units of state and local government that are Level-one participants are required to exchange, on a monthly or quarterly basis, the data enumerated in paragraph (2)(a) of this rule for each new registrant, new filer, or initial reporter, permittee, or licensee with respect to the taxes, licenses, or permits specified in Section 213.0535(4), F.S. Each RISE participant is required to select either a monthly or quarterly reporting period and to notify the Department of its selection.

(b) The Department of Revenue and local officials who are Level-two participants are required to comply with the monthly or quarterly exchange requirements imposed on Level-one participants. Additionally, Level-two participants are required to exchange, on a quarterly basis, information as provided in paragraph (2)(b) of this rule. Audit assessments and registration cancellation information will be exchanged on a quarterly basis. Tax payment history information will be exchanged only upon a written request.

(c) Any requests for tax information outside of the monthly or quarterly exchange provided in this rule should be addressed to the General Tax Administration RISE Coordinator, General Tax Administration, Compliance Support Process, 4070 Esplande Way, Room 335U, Tallahassee, Florida 32399-5139 or by telephone at (850)487-2544.

Specific Authority 213.0535(4), 213.06(1) FS. Law Implemented 213.053(8)(j), 213.0535 FS. History–New 3-17-93, Amended 4-2-00,________.