Figuring out what you owe in sales tax to Florida—and to Citrus County specifically—trips up a lot of small-business owners. You’re selling tangible goods, or maybe you think you’re selling services that don’t get taxed, and then the Florida Department of Revenue wants to know why your DR-15 return doesn’t match what they calculated. The rules are specific, they’re different for Citrus County than they are elsewhere in the state, and getting them wrong costs time and money. This guide walks you through exactly how sales tax works in your county, how to calculate what you owe, and how to file the DR-15 form itself so you stay on the right side of compliance.
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Does this apply to your business in Florida?
Yes, if you sell tangible personal property (goods you can touch) in Citrus County, you’re required to collect and remit sales tax. Florida’s rule: tangible property is taxable unless a specific exemption exists. Services are generally not taxable unless they’re listed in Florida Statute 212. Your county combines Florida’s 6% state sales tax rate with a county surtax—the exact combined rate depends on which surtaxes Citrus County has authorized. Check the Florida Department of Revenue website or a current tax calculator for your precise local rate, because surtax rates can change.
How the rate works
Florida’s sales tax starts with a 6% state rate. On top of that, Citrus County may have one or more county surtaxes—small additional percentages that go to local projects, schools, or infrastructure. The combined rate is state rate plus county surtax. Don’t guess the exact number. Visit floridarevenue.com and use their sales tax rate lookup tool, or ask your CPA to confirm the current combined rate for your specific location within the county. Surtax rates don’t change often, but they can, and an outdated rate on your DR-15 return creates problems later.
Your tax obligation applies at the point of sale. If you’re selling to another business in the state, the buyer may provide you with a resale certificate (Form ST 103), which exempts that sale from tax—they’ll collect and remit the tax when they sell the item to the end customer. Keep resale certificates on file. If a customer doesn’t provide one and they’re supposed to, you’re responsible for the tax you didn’t collect.
How to file step by step
You file sales tax using the DR-15 return, a monthly form you submit to the Florida Department of Revenue by the 20th of the following month. Say you conduct business in January; your DR-15 is due by February 20th. Here’s what the process looks like:
Step 1: Gather your transaction data. You need to know your total sales for the month, including both taxable and exempt sales. If you’re using a point-of-sale system or online sales platform, export your monthly sales. If you’re operating manually, add up your invoices and cash receipts. Separate out any sales where a resale certificate was provided—those don’t count as taxable sales.
Step 2: Calculate taxable sales and tax owed. Take your total sales minus any exempt sales (resales with certificates, items that are exempt, services that aren’t taxable in Florida). Multiply that number by your combined state + county rate. This is the sales tax you owe. Our platform walks you through this calculation automatically, categorizing transactions and producing a summary report for your CPA’s review—no need to do it by hand.
Step 3: Log into FLATS (Florida Automated Tax System) or file by mail. Most businesses today file through the Department of Revenue’s online system. You’ll enter your gross sales, taxable sales, tax collected, and any credits or adjustments. Review it carefully—mismatches between what you report and what your merchant processor or point-of-sale system shows create audits.
Step 4: Pay the tax and submit. You pay the sales tax you owe at the same time you file. Payments are due by the 20th of the following month. If you file late, penalties and interest start accruing. If you file and don’t pay, that’s a separate violation.
Step 5: Keep records. Hold onto receipts, resale certificates, invoices, and bank statements for at least three years. The Florida Department of Revenue may audit you, and these documents are your evidence that you reported accurately.
Common mistakes
Mistake 1: Not knowing what counts as a service. You might think all services are exempt from Florida sales tax. That’s not quite right. Most services are exempt—like consulting, labor, or professional fees—but some are taxable: installation of tangible property, repair of tangible property, and a few specialized services listed in the statute. If you install what you sell, tax applies to the installation portion. If you’re unsure, check with your CPA or the Department of Revenue before you file.
Mistake 2: Accepting resale certificates without verifying them. A customer hands you a resale certificate and you don’t collect tax. Sounds right. But if the certificate is fake or the customer isn’t actually reselling, you’re liable for the tax you didn’t collect. Verify the certificate format matches the official Form ST 103, note the customer’s name and number, and ask yourself: are they actually a reseller? If something looks off, collect the tax anyway or ask for clarification.
Mistake 3: Using an outdated tax rate. The combined rate in Citrus County hasn’t changed in years, so you file using last year’s number. Then surtaxes shift or the Department of Revenue updates the official rate, and now your returns are wrong for the months where the rate changed. Before you file, confirm the rate with floridarevenue.com or your CPA. It takes 30 seconds and saves hours of correction later.
Mistake 4: Filing late or skipping months. You’re busy and you miss the 20th deadline. Or you had zero sales that month so you think you don’t need to file. Florida requires a return even if you owe zero tax. Filing late can trigger penalties and interest, and skipping returns flags your account for audit. Mark the 20th on your calendar every month, even if your tax owed is $0.
Frequently Asked Questions
Is labor taxable in Florida?
No. Labor and professional services are generally exempt from Florida sales tax. However, if you install tangible property while providing labor—say, you sell a fixture and install it—tax applies to the property, not the installation itself. When in doubt, separate the taxable and non-taxable portions on your invoice and confirm with your CPA.
What’s the difference between the state rate and the county surtax?
Florida’s state rate is 6%. Citrus County, like all Florida counties, can authorize local surtaxes on top of that to fund schools, roads, or other projects. The combined rate you charge customers is 6% plus the county surtax total. This combined rate is what you report on your DR-15. Check floridarevenue.com for the exact combined percentage in your location.
Can I claim a sales tax exemption for my business purchases?
It depends. If you’re buying tangible property that you’ll resell without modification, you can provide a resale certificate and avoid tax. If you’re buying property for your own business use—office supplies, equipment, inventory you’ll use internally—you typically pay sales tax on those purchases. Resale certificates apply only to goods held for resale to customers.
What happens if I file the DR-15 late?
Filing after the 20th of the following month triggers penalties and interest on the unpaid tax. The exact penalty depends on how late you are and whether it’s a first offense. The longer you wait, the more you owe. If you’re going to be late, file as soon as you can and contact the Department of Revenue to discuss your situation.
Do I need a sales tax permit to operate in Citrus County?
Yes. You need a Florida sales tax permit (Form DR 1) to collect and remit sales tax. You apply for it through the Florida Department of Revenue when you register your business. Selling without a permit is a violation. If you don’t have one yet, apply immediately—the process is straightforward and the Department can issue one same-day in many cases.
This article is for general educational purposes and isn’t a substitute for advice from a licensed CPA or tax attorney. Rules vary by jurisdiction and change over time—always confirm current requirements with the Florida Department of Revenue or your advisor.
Sales tax compliance is about rhythm, not stress. File the DR-15 on the same day each month, keep your transaction data organized, and verify your tax rate once a year. When you stay ahead of the deadline and keep good records, the Florida Department of Revenue has no reason to audit you. Start now with your transaction data, organize it by taxable and exempt, and file on time. The effort you put in today saves you money and headache next year.
This article is for general educational purposes and isn’t a substitute for advice from a licensed CPA or tax attorney. Rules vary by jurisdiction and change over time — always confirm current requirements with the Florida Department of Revenue or your advisor.
If you are comparing this against your Florida sales tax obligations, the complete Florida sales tax guide is the best next stop.