12C-1.0222: Returns; Time and Place for Filing
12C-1.032: Payments of Tentative Tax
PURPOSE AND EFFECT: The Internal Revenue Service recently reduced the extension period for filing a Florida partnership return from six months to five months. (Bulletin IR-2008-084, June 30, 2008). The purpose of the proposed substantial rewording of Rule 12C-1.0222, F.A.C. (Returns; Extensions of Time; Payments of Tentative Tax), is to change the extension period for filing a Florida partnership return to five months. Changes are also necessary to include the requirements for filing corporate income tax returns with the Department electronically and to simplify all provisions on how to obtain an extension of time to file a Florida corporate income tax return or a Florida partnership return. The purpose of the proposed repeal of Rule 12C-1.032, F.A.C. (Payment of Tentative Tax), is to remove provisions regarding the requirement to pay tentative tax that will be included in the proposed substantial rewording of Rule 12C-1.0222, F.A.C.
SUMMARY: The proposed substantial rewording of Rule 12C-1.0222, F.A.C.: (1) changes the title to “Returns; Extensions of Time; Payments of Tentative Tax,” to reflect the revised provisions of the rule; (2) provides when a return submitted to the Department by electronic means or by a paper return is timely filed; (3) provides that an extension of time will be valid until 15 days after the expiration of the federal extension or until six months after the due date, whichever occurs earlier; (4) provides that a taxpayer who has not obtained a federal extension of time to file a return may obtain an extension of time to file a Florida return by establishing good cause as to why the return cannot be filed by the original due date; (5) requires that taxpayers who request an extension of time to file a return must submit Form F-7004 (Florida Tentative Income/Franchise and Emergency Excise Tax Return and Application for Extension of Time to File Return) with the amount of tentative tax due to the Department; (6) provides the extended return due dates for the Florida corporate income tax return and for the Florida partnership return; and (7) provides when the request for an extension of time to file will be invalidated for failure to pay the tentative tax due.
The proposed repeal of Rule 12C-1.032, F.A.C. (Payment of Tentative Tax), removes provisions regarding when a tentative tax return will be considered timely filed with the Department that are incorporated into the proposed substantial rewording of Rule 12C-1.0222, F.A.C.
SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS: No Statement of Estimated Regulatory Cost was prepared.
Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.
SPECIFIC AUTHORITY: 213.06(1), 220.51 FS.
LAW IMPLEMENTED: 220.222, 220.32, 220.801 FS.
A HEARING WILL BE HELD AT THE DATE, TIME AND PLACE SHOWN BELOW:
DATE AND TIME: June 29, 2009, 10:00 a.m.
PLACE: Room 118, Carlton Building, 501 South Calhoun Street, Tallahassee, Florida
Pursuant to the provisions of the Americans with Disabilities Act, any person requiring special accommodations to participate in this workshop/meeting is asked to advise the agency at least 48 hours before the workshop/meeting by contacting: Larry Green at (850)922-4830. If you are hearing or speech impaired, please contact the agency using the Florida Relay Service, 1(800)955-8771 (TDD) or 1(800)955-8770 (Voice).
THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Robert DuCasse, Tax Law Specialist, Technical Assistance and Dispute Resolution, Department of Revenue, P. O. Box 7443, Tallahassee, Florida 32314-7443, telephone (850)922-4715
THE FULL TEXT OF THE PROPOSED RULE IS:
(Substantial Rewording of Rule 12C-1.0222 follows. See Florida Administrative Code for present text.)
12C-1.0222 Returns; Filing Requirements; Extensions of Time; Payments of Tentative Tax.
(1) Returns.
(a) A return submitted to the Department by electronic means, as provided in Rule Chapter 12-24, F.A.C., is considered to be timely filed if the submission of the electronic return is initiated, and a confirmation from the Department is received, before 5:00 p.m., Eastern Time, on or before the due date (including any extensions) prescribed by law. Taxpayers who meet the requirements of subsection (3) of Rule 12-24.003, F.A.C., must submit returns by electronic means. A hard-copy (paper) return is considered to be timely filed if postmarked on or before the due date (including any extensions) prescribed by law. If the due date falls on a Saturday, Sunday, or legal holiday, a return will be considered timely if a confirmation for an electronic return is received by the Department on or before 5:00 p.m., Eastern Time, or a hard-copy (paper) return is postmaked, on the next succeeding day that is not a Saturday, Sunday, or legal holiday. For this purpose, a legal holiday will mean a holiday that is observed by federal or state agencies as this term is defined in Chapter 683, F.S., and Section 7503 of the Internal Revenue Code of 1986, as amended.
(b)1. Example: Corporation A’s Florida corporate return was due Thursday, November 1. The envelope in which the return was mailed was postmarked November 1; therefore, the return is considered to have been filed on time.
2. Example: Corporation B’s Florida corporate return was due Saturday, September 1. Monday, September 3, was Labor Day. The envelope in which the return was mailed was postmarked Tuesday, September 4. The return is considered timely filed because it was postmarked the next succeeding day which was not a Saturday, Sunday, or legal holiday.
(2) Requests for Extensions of Time to File Return.
(a) An extension of the due date of any required return will be effective until 15 days after the expiration of the federal extension or until six (6) months after the due date of the return, whichever occurs earlier. The aggregate amount of time of extensions for a return cannot exceed 6 months. If an automatic extension is not permitted because a federal extension has not been requested or is not allowed, the application for extension of time to file a return must contain sufficient facts to establish good cause why the return cannot be filed on or before the original due date. The Department will apply the definition that has been developed through federal case law and Internal Revenue Service Announcements in determining “good cause” for granting extensions of time for filing Florida corporate income tax returns. An extension of time for filing a return does not operate as an extension of time for payment of the tax or any part thereof.
(b) A corporation or a partnership that has been granted an automatic extension of time for filing its federal corporate income tax return or its federal partnership return by the Internal Revenue Service, or that establishes good cause, will be granted an extension of time to file its Florida return when the following requirements are met:
1. Form F-7004, Florida Tentative Income/Franchise and Emergency Excise Tax Return and Application for Extension of Time to File Return, signed by a person duly authorized by the taxpayer to sign a request for extension, is filed with the Department on or before the due date prescribed for filing the return. See Rule 12C-1.0221, F.A.C., for persons authorized to request an extension of time to file. For affiliated groups, the parent company qualified to file a Florida consolidated income tax return must file Form F-7004. An extension granted to the parent company of an affiliated group applies to the parent company's consolidated return. If any corporate partner requires an extension of time to file its separate Florida corporate income tax return, a separate Form F-7004 must be filed by the corporate partner with the Department.
2. The amount estimated to be the balance of its proper tax due for the taxable year after giving effect to payments and credits on its declaration of estimated income tax is paid to the Department.
(3) Extended Return Due Dates.
(a) Upon the timely filing of Form F-7004, properly prepared and including payment of any tax determined to be due, an extension will be allowed.
(b) An extension of the due date of any required return is effective until 15 days after the expiration of the federal extension, or until six (6) months after the due date prescribed by law, whichever occurs first. The aggregate amount of time of extensions for a return cannot exceed six (6) months. No further extensions are allowed.
1. The automatic federal extension period for a federal corporate income tax return is six (6) months. For a corporation whose fiscal year ends December 31, a required Florida corporate income tax return is due April 1 of the following year. When a taxpayer is granted an extention of time to file its federal corporate income tax return, the extended due date for the federal return is September 15. When the requirements of this rule are met and the corporation is granted an extension of time to file its Florida corporate income tax return, the extended due date for the Florida return is October 1.
2. The automatic federal extension of time to file a federal partnership return is five (5) months. When a taxpayer is granted an extention of time to file its Florida partnership return (Form F-1065), the due date is 15 days after the federal return due date. For example, a partnership whose fiscal year ends on December 31, will be granted an extension of time from May 1 to October 1 to file its Florida partnership return when all the requirements for an extension of the due date of a return provided in this rule are met.
(c)1. Failure to make payment with an application when one is required will void the request for extension of time to file. The taxpayer will be subject to the penalty provided in Section 220.801, F.S., for failure to file a timely return. Interest will be assessed on any tax due from the due date of the return to the date of payment.
2. An extension of time will be invalidated when the:
a. Tentative tax due is not paid with the application for extension (Form F-7004); or,
b. The tax is underpaid by the greater of $2,000 or thirty percent (30%) of the tax due on the return when filed.
Rulemaking Specific Authority 213.06(1), 220.51 FS. Law Implemented 220.222, 220.32, 220.801 FS. History–New 10-20-73, Amended 10-8-74, 4-21-75, 3-5-80, 12-18-83, Formerly 12C-1.222, Amended 12-21-88, 12-19-89, 4-8-92, 3-18-96, 3-13-00, 3-15-04, ________.
12C-1.032 Payments of Tentative Tax.
Tentative returns shall be filed in connection with any extension of time for filing a return. Tentative returns shall be deemed timely filed only if received by the Department of Revenue on or before the due date prescribed by law; provided, however, that a return mailed to the Department and actually received after its due date shall be deemed timely filed if it bears a United States post office postmark dated on or before said due date.
Rulemaking Specific Authority 213.06(1), 220.51 FS. Law Implemented 220.32 FS. History–New 10-20-72, Formerly 12C-1.32, Amended 12-21-88, Repealed_______.