Florida to Tax E-Commerce Transactions

The state of Florida will begin taxing all online purchases at a rate of 6 percent beginning July 1, 2021, according to Forbes. The new tax is expected to raise about $1 billion annually.

The new law will require out-of-state retailers that sell more than $100,000 online to collect sales tax on purchases made by Florida residents. Most states already tax online purchases, but Floridians have resisted legislation to that effect until just recently.

The sales tax raised will reportedly replenish a dwindling unemployment trust fund and, once it’s restored, will fund a commercial rent tax cut.