The first is an excise tax imposed on written obligations to pay money, like promissory notes (the "documentary stamp tax") §201.08, Fla. Stat. Section 201.01, Florida Statutes (2018), lists the documents that are generally subject to the documentary stamp tax. EXHIBIT A TO SECURED PROMISSORY NOTE (with optional conversion) CONVERSION NOTICE. In our example, $100,000 times 0.007 equals a Documentary Stamp Tax of $700. 13-2004) 8) Is any document, transaction or arrangement entered into under Financial Lease subject to Documentary Stamp Tax? The same tax rate applies to mortgages and other evidences of indebtedness recorded in the state. 1718 (25) Student Loans: Documentary stamp tax is not required on promissory notes executed by students who are receiving financial aid from federal or state assistance programs, or any financial aid program administered by a state university or community college, or loans guaranteed by the Federal Government or the state when federal regulations prohibit the assessment of such taxes … To: MMAX Media, Inc. Promissory notes and other written obligations to pay money, including each renewal of a promissory note and other written obligations to pay money (except those exempt under section 201.09(1), Florida Statutes), that are signed or delivered in Florida are subject to documentary stamp tax. This must be paid to the Florida Department of Revenue. The tax rate is $.35 per $100 (or portion thereof) based on the face value of the bond. var date = new Date(); §201.08, Fla. Stat. Deeds and other documents that transfer an interest in real property are taxed at a rate of 70 cents per $100, or any fraction thereof, of taxable consideration. The Florida documentary stamp (“promise to pay”) tax is due in the amount of $.35 on every $100 (or fraction thereof) of indebtedness secured by a mortgage on Florida real property. Home; Order Services. Documentary stamp tax is collected in an amount equal to 35 cents per $100.00 of the amount financed. Common examples of documents subject to the stamp tax are deeds, promissory notes and mortgages. This return shall be filed in triplicate by the following person making, signing, issuing, accepting or transferring the document or facility evidencing transaction: 1. Additionally, … If you are using any other web browsers, this site may not appear or function as designed. The amount of this tax is equal to $0.35 per $100 of the face value of the promissory note. $(document).ready(function () { Deeds and other documents that transfer an … The best practice is to pay the doc stamps … The State of Florida Department of Revenue presumes a note was executed in Florida if the note is made payable to a Florida lender and held in the Florida lender’s files. As described above, the documentary stamp tax will be an amount equal to 35 cents per $100.00 of the amount financed unless the loan amount is $700,000.00 or more, in which instance the maximum amount of tax payable is capped at $2,450.00. Florida requires payment of a documentary stamp tax on every promissory note made, executed, delivered, sold, transferred or assigned in the state at a rate of 35 cents for every $100 of indebtedness on the note. THIS CONSOLIDATED, AMENDED AND RESTATED PROMISSORY NOTE (the “ Note ”) is made and entered into as of the 12 th day of August, 2011, by and between MARINA TOWERS, LLC, a Florida … As of August 12, 2011 . Although the facts set forth indicate that a Florida lending institution receives in Florida an application for a loan from an out-of-state borrower and approves the loan within the state, the facts further show that the promissory note … In Florida, all parties are legally liable for the stamp, unless one party is otherwise exempt. (25) Student Loans: Documentary stamp tax is not required on promissory notes executed by students who are receiving financial aid from federal or state assistance programs, or any financial aid program administered by a state university or community college, or loans guaranteed by the Federal Government or the state when federal regulations prohibit the assessment of such taxes against the borrower. New York, New York . $('.cookie_content_stip_div').css('display', 'none'); $('body').removeClass('cookie_visible'); The “intangible tax” is a nonrecurring tax on intangible personal property levied on obligations for payment of money which are secured by a mortgage or other liens upon real property located in the state of Florida. Title Services; Encompass Integration; Tools and Resources. Yes; No; Sales Price; Loan Amount; Surtax 0.00 Florida Mortgage Doc Stamps 0.00 Florida Intangible Tax 0.00 Deed Doc Stamps 0.00. Renewal loans, though, are considered to be exempt from tax provided certain rules are followed. There are two types of tax that the lender should be aware of: Loan executed in Florida – secured by Florida real property: Loan executed in Florida – not secured by Florida real property, Loan executed outside of Florida – secured by Florida real property, Loan executed out of Florida – not secured by Florida real property (Note: This applies only to Florida lenders.). Generally, in Florida, a written promise to pay a sum certain, executed or delivered in the state, is subject to documentary stamp tax at the rate of 35 cents per $100 of the obligation. The “documentary stamp tax” is an excise tax imposed on obligations to pay money. Florida’s Constitution prohibits a state income tax and would be very difficult to amend. Documentary stamp tax is collected in an amount equal to 35 cents per $100.00 of the amount financed. Again, intangible tax will be due at the at the rate of 2 mills on each dollar of the just valuation of the note or other obligation for the payment of money which are secured by a mortgage upon real property situated in the state of Florida. If the mortgage limits recoverability to an amount less than the face amount of the note, then documentary stamp tax is due on the limitation of the mortgage (or the cap of $2,450.00 if the loan amount is $700,000.00 or more and the mortgage is limited to less than that amount). Documentary Stamp Tax Declaration/Return (One-Time Transactions) Description. Litigators and transactional counsel alike should be aware that there is uncertainty in Florida courts as to what it takes to enforce a promissory note in court. $7,550,000.00. DOCUMENTARY STAMP TAXES HAVE BEEN PAID UPON THE RECORDING OF THE MORTGAGE SECURING THIS CONSOLIDATED, AMENDED AND RESTATED PROMISSORY NOTE . 5, RR No. The Florida statutes currently impose a documentary stamp tax in the amount of 35 cents per $100 on promissory notes, non-negotiable notes, written obligations to pay money and assignments of salaries, wages or other compensation which are made, delivered, sold, transferred or assigned in Florida. On occasion, a lender will close a loan where the promissory note is made, executed and physically delivered to the Lender outside of Florida but includes Florida real property as secured collateral in addition to other out-of-state collateral. Are Florida documentary stamp taxes imposed by Ch. The common knowledge is that to enforce a promissory note, the documentary stamp taxes must be paid. For more information on Florida documentary stamp tax or intangible tax, please contact the attorneys at Starfield & Smith at (407) 667-8811 or (215) 542-7070. On any bank, credit union or finance company loan (for property or otherwise), a note is created. $('.accept_cookies_opt').click(function(){ $.cookie(cname, cvalue, {path: '/', expires: date}); 201.08 Tax on promissory or nonnegotiable notes, written obligations to pay money, or ... similar language along with the certificate of registration number shall be made on each individual document requiring tax: “Florida documentary stamp tax required by law in the amount of $ has been paid or will be paid directly to the Department of Revenue. 1836 (28) Note Executed and Delivered: All notes or written obligations to pay money delivered to the lender, such as master notes and notes drawn in connection with a line of credit, letter of credit, bail bond, or otherwise, executed in Florida or approved and accepted in Florida, are subject to Florida documentary stamp tax. We are proud to have so many clients share their experience with Starfield and Smith. 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