Information presented on this page is provided as a courtesy only and is not meant to be considered legal or tax advice. Please consult with your financial and legal advisors to confirm the accuracy of this information.
Own Lower Taxes. Own EPOCH.
Sarasota has quietly emerged as one of Florida’s most desirable places to call home. It’s no wonder the town is ranked as one of America’s very best places to live, A near perfect climate, thriving arts scene, a walkable small town filled with restaurants and boutiques – effortless and carefree are the essentials here at the water’s edge
Today, there is also the allure of Florida residency and the range of tax advantages that it brings. Florida residents enjoy and benefit from no state income tax, low property taxes and low energy costs. Those considering a real estate investment in Sarasota may be surprised to learn the tax and living costs are favorable not only to other states, but even to cities like Miami, Naples, or Palm Beach.
Tax Advantaged Living
- Florida has no individual state income tax (1 of only 7 states in the U.S.) and no change is expected, as it’s in the State’s Constitution
- There is no state estate tax, no inheritance tax and no state gift tax; meaning you can build your legacy and grow your wealth in Florida.
- Florida provides generous homestead laws for property owners, allowing a deduction of the first $50,000 of the property value of a primary residence. Plus, Florida limits assessedproperty value to no more than 3% in any given year.
- There are very favorable asset protection laws to Florida residents on their primary residence.
- Florida provides a sales tax paid deduction in lieu of a state income tax deduction; however, the new law specifies that the tax deduction is subject to $10,000 limitation.
The State of Florida has a breakdown of taxes residents can expect to pay here.
Becoming a Florida Resident
To enjoy the tax and other benefits offered to Florida residents, establishing residency requires more than simply owning a home in Florida. State of residency often includes convincing your former home state to recognize your status as a Florida resident. County property appraisers will consider a number of relevant factors to determine your intent to establish a permanent residence in Florida, including:
- Obtaining a Florida driver’s license
- Registering to vote
- Filing a Declaration of Domicile with the county Clerk of Courts
- Filing for the Homestead Exemption
- Filing your tax returns using a Florida address
- Declaring Florida as your state of legal residence in your will
- Renting a safe deposit box in Florida
- Using your Florida address for your passport
- Notifying the Social Security Administration of your address change
- Registering your insurance under your Florida address
- Registering your vehicle and tag, as required, once you become a resident
- Making Florida the place of your children’s school and/or your place of employment
- Having the location of bank statements and checking accounts registered in Florida
- Focusing your major affairs and relationships in Florida
For further information please contact hwilliams@kbgrp.com, at Kerkering Barberio & Co., Certified Public Accountants.
Information presented on this page is provided as a courtesy only and is not meant to be considered legal or tax advice. Please consult with your financial and legal advisors to confirm the accuracy of this information.
