Do you have sales tax nexus in Florida and sell food? This guide will walk you through when you are required to collect Florida sales tax, and when the groceries or food products you sell are tax exempt in the Sunshine State.
Are groceries taxable in Florida?
Grocery food is generally tax exempt in Florida. The Florida Department of Revenue provides a list of general groceries in Publication DR-46NT.
Are meals taxable in Florida?
Meals in Florida, such as restaurant meals or prepared items sold to be eaten immediately, are subject to Florida’s state sales tax as well as any applicable local sales tax.
One exception is bakery goods, as long as the bakery does not provide eating facilities. For example, a baker selling baked goods at a market stall with no seating facilities would not be required to collect sales tax on bakery items. But if a coffee shop that provides tables and chairs for customers sells baked goods, those baked goods are taxable.
Are beverages taxable in Florida?
Drinks like bottled water, coffee and tea are generally non-taxable in Florida.
Soft drinks in Florida are generally taxable, as are any beverage containing fruit or vegetable juice labeled with the word(s) “ade,” “beverage,” “cocktail,” “drink,” or “fruit or vegetable flavor, flavored, or flavorings.” Malted and ice cream drinks are also taxable.
Drinks sold for consumption on the premises or for immediate consumption are generally taxable.
You can read more about food taxability in Florida in publication GT-800035.
How to Always Collect the Correct Amount of Sales Tax in Florida
Do you sell groceries, meals or beverages? Are you required to collect sales tax in Florida? Then this may sound like a huge headache.
That’s where TaxJar can help.
With the TaxJar API, you can be sure you’re collecting the right amount of sales tax on every transaction. Our product tax codes ensure you do collect sales tax on that soft drink but don’t collect sales tax on that plain coffee drink.
Not to mention, most eCommerce businesses have nexus in multiple states. For example, groceries are taxable in some states, but non-taxable in others. Or, like Florida, where most grocery food is non-taxable but where soft drinks are taxable. With TaxJar, you’ll collect the right amount of sales tax from every customer, in every state, every time.
Further food and meal taxability resources
- Sales Tax by State: Are grocery items taxable?
- Sales Tax by State: To-Go Restaurant Orders
- Is the food I sell on my food truck taxable?
- Florida Sales Tax Guide for Businesses
Ready to automate sales tax collection, reporting and filing? Click here for more on how TaxJar can take the headache out of sales tax in your food & beverage business.