Overview

• Commercial rent or license fees for occupancy beginning Oct. 1, 2025 are no longer taxed, while amounts covering periods through Sept. 30, 2025 remain taxable even if billed or paid later.
• Annual savings are estimated between $1.6 billion and $2.5 billion, reflecting elimination of the state levy and the local discretionary surtaxes that had applied to commercial leases.
• Florida had been the only state taxing commercial leases, and supporters say repeal improves the state’s competitiveness for attracting and retaining businesses.
• Landlords, property managers and tenants are advised to revise lease language, update accounting systems and reconcile prepayments and overlapping rent and CAM charges to avoid misapplication.
• Short-term residential rentals of six months or less and parking or storage for vehicles, boats or aircraft remain taxable under other statutes, and county officials warn of revenue losses from the end of surtax collections on rent.