Florida franchise tax 2025

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  1. Click ‘Get Form’ to open the Florida Franchise Tax Form F-851 in the editor.
  2. Begin by entering the calendar year or other taxable year at the top of the form. This is crucial for accurate tax reporting.
  3. In Part I, provide details about the Florida Common Parent Corporation, including the Federal Employer Identification Number (FEIN), address, and name of the corporation.
  4. Indicate whether the listed corporations comprise an affiliated group by checking 'Yes' or 'No'. If applicable, check the box for Florida Nexus Group if it differs from the federal group.
  5. In Part II, document any changes to your consolidated group during the tax year. List affected corporations and mark them as additions or deletions accordingly.
  6. Finally, ensure that an authorized officer signs and dates the form, providing their title and telephone number for verification purposes.

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File Using the Modernized e-File (MeF) Program File the Florida Corporate Income/Franchise Tax Return (Form F-1120) File the Declaration/Installment of Florida Estimated Income/Franchise Tax (Form F-1120ES) File the Tentative Income/Franchise Tax Return and Application for Extension of Time to File Return (Form F-7004)
Compute the tax by multiplying Florida net income by the appropriate tax rate (i.e., generally 5.5% but reduced to 3.535% for tax years beginning between January 1, 2021 to December 31, 2021). Corporate income tax is reported using a Florida Corporate Income/Franchise Tax Return Form F-1120 or Form F-1120A.
This means no state sales tax or discretionary sales surtax applies to rent or license fees for rental or occupancy periods beginning on or after October 1, 2025. Examples of commercial rentals subject to the repeal include rentals of commercial office or retail space, warehouses, and self-storage units.
State Local Sales Tax Rates as of July 1, 2025 StateState Tax RateCombined Tax Rate Delaware 0.00% 0.00% Florida 6.00% 7.02% Georgia 4.00% 7.44% Hawaii (b) 4.00% 4.50%47 more rows Jul 8, 2025
Legislation Eliminates State Business Rent Tax and County Surtax on Commercial Lease Rentals. In a major win for Floridas commercial real estate market, Gov. Ron DeSantis signed Florida House Bill (HB) 7031, eliminating both the State Business Rent Tax and County Surtax on commercial leases effective Oct. 1, 2025.

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Yes. Effective October 1, 2025, Florida House Bill 7031 repeals Floridas 2% state sales tax and local discretionary taxes on commercial lease payments. Rent or license fee payments for rental periods through September 2025 are taxable even if payment is made after October 1.
LLCs are shielded from state income tax, and their owners pay no taxes to the state of Florida on the personal income that passes through to them from the business. That means most LLCs only need to pay federal self-employment taxes, Floridas sales tax, and any applicable additional local taxes.

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