Property Taxes on US Real Estate (Florida Focus)

If you own rental property in Florida, you’re subject to a variety of local and state taxes—each with its own filing deadlines and compliance requirements. Below is a summary of the key tax obligations associated with owning and renting property in Florida. (For other US states, please contact us directly.)

1. Real Estate (Property) Tax

• What It Is: An annual tax assessed on the value of the property by the County Property Appraiser—not the market value (which is typically higher).
• Billing Date: Tax bills are usually issued around November 1 each year.
• Payment Deadline: Taxes must be paid by March 31 of the following year to avoid penalties. Pay early for a discount offered by the county.
• Who Collects It: Payments are made to the County Tax Collector’s Office the property is located in.

2. Tangible Personal Property Tax (TPP)

• What It Covers: This tax applies to furniture, fixtures, and equipment located in rental properties, where the value exceeds $25,000.
• Filing Requirement: An annual TPP Tax Return must be filed with the County Property Appraiser’s Office if the fair market value of tangible personal property in the rental property exceeds $25,000. A first-year return will be required to obtain an exemption if the fair market value is under $25,000.
• Due Date: March 31
• Penalties: Late filing results in penalties, even though bills are typically sent out around November 1 each year.

3. Sales & Use Tax / Tourist Development Tax

• Who Must File: Anyone renting their property on a short-term basis (bookings of less than six months) must pay this tax.
• Filing Frequency: Monthly, with returns due to the Florida Department of Revenue (DOR) by the 1st of each month.
• Penalties: Late returns filed after the 20th of the month are subject to a $50 minimum penalty—even if no rental income was earned a zero report must be filed.
• Collection: In most cases, your property management company will collect these taxes from your tenants and remit these taxes on your behalf.

4. Local Business Tax (Previously Occupational License)

• Requirement: Applies to property owners who receive rental income directly from tenants or guests.
• Paid To: The County Tax Collector’s Office in the county where your rental property is located.
• Renewal: Paid annually, and a Local Business Tax Receipt (or “Occupational License”) is issued as proof of compliance – to be displayed in the rental property.

5. Florida Hotel License (DBPR)

• Who Needs It: Every property generating short-term rental income (bookings of less than six months) must hold a valid license from the Florida Department of Business and Professional Regulation (DBPR).
• Renewal: Required annually.
• Application Process: This is typically managed by your rental management company, but owners remain ultimately responsible for compliance.

We Help You Stay Compliant in Florida and Beyond

From property tax returns to tourist tax filings, we guide international clients through every step of managing US real estate tax obligations. Our services help you:

• File required tax filings accurately and on time
• Coordinate with your property manager on sales & use tax, and hotel license filings
• Avoid late filing penalties and interest charges
• Understand tax requirements across multiple counties or states

Need help managing your US property tax obligations?
Contact us today for expert support tailored to foreign investors.