MACHINERY AND EQUIPMENT SALES TAX EXEMPTION - Eligibility - Application Process - Approval Process - Suggested Exemption Certificate

Sep 19, 2026

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Machinery and equipment sales and use tax exemptions cover labor charges and certain purchases of industrial machinery and equipment used by eligible manufacturing businesses in Florida. Eligibility depends on the business type, timing of purchases, qualifying manufacturing activities, and use at fixed locations. The process requires Florida registration, completing exemption certification or a temporary permit application, and vendor documentation. After Department of Revenue approval, a temporary permit is issued or refunds are directed; submitted permits must be returned after purchases conclude.

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Eligibility

Application Process

Approval Process

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Suggested Exemption Certificate

MACHINERY AND EQUIPMENT SALES TAX EXEMPTION Eligibility An exemption from sales and use tax applies to the amount charged to customers for labor associated with the maintenance or repair of: • New Manufacturers - In order to qualify for the new business exemption, the machinery and equipment must have been purchased, or a purchase agreement made, prior to the date the business first begins to produce a product for inventory or immediate sale. Purchased machinery and equipment must be received within twelve months of the date that production began. • Expanding Manufacturers - Industrial machinery and equipment is exempt from tax when purchased by an expanding business. • Mining Activities - Machinery and equipment purchased for use in phosphate or other solid minerals severance, mining, or processing operations is also eligible for the above tax exemptions. • An exemption from sales and use tax is available for purchases of industrial machinery and equipment used at a fixed location in Florida by an eligible manufacturing business that will manufacture, process, compound, or produce for sale items of tangible personal property. The exemption also includes parts and accessories for the industrial machinery and equipment if they are purchased before the due date the machinery and equipment are placed in service. • An “eligible manufacturing business” means any business whose primary business activity atthe location where the industrial machinery are located is within the industries classified under manufacturing NAICS (North American Classification System) codes 31, 32, and 33. Examples of types of manufacturing establishments represented by the applicable NAICS codes include, but are not limited to: food, apparel, wood, paper, printing, chemical, pharmaceutical, plastic, rubber, metal, transportation, and furniture. • The tax exemption statute specifically excludes electric utility companies, communications companies, oil or gas exploration or production operations, publishing firms that do not export at least 50 percent of their finished product out of the state, any firm subject to regulation by the Division of Hotels and Restaurants of the Department of Business Regulation, or any firm that does not manufacture, process, compound, or produce for sale items of tangible personal property or that does not use such machinery and equipment in spaceport activities as specified. • The selling dealer (vendor) should obtain a signed certificate from the purchaser certifying the purchaser’s entitlement to tax exemption under the exemption statute ( Certificate provided at end of document) . | Application Process
Enterprise Florida, Inc. (EFI) staff will shepherd businesses through the entire application process, ensuring that the company understands what is required for a complete, effective application.
To access this exemption, the following process is required:
1. Register for sales and use tax purposes with the Florida Department of Revenue (Form DR-1) and obtain a certificate of registration for each business location conducting business in Florida.
2A. Complete the suggested exemption certificate and present to vendor of equipment, found here. ( Used for current purchases)
---OR---
2B. Submit an Application for Temporary Tax Exemption Permit (Form DR-1214) . Businesses are encouraged to file this form as early as possible before purchasing machinery and equipment. ( Used to claim exemption on purchases retroactively for up to 3 years prior) | | --- | | Approval Process
For forms and other information, visit the Department of Revenue (DOR) website [at ](at dor.myflorida.com)[dor.myflorida.com](at dor.myflorida.com)[ ](at dor.myflorida.com)or call Taxpayer Services, 8:00 [a.m. to](a.m. to) 5:00 p. m. , ET, Monday through Friday, excluding holidays, at 850.488.6800. | | Award
Upon approval by the Department of Revenue, a Temporary Tax Exemption Permit will be issued to the qualifying busi

FAQs

What types of purchases and charges qualify for the machinery and equipment sales tax exemption?

The exemption applies to amounts charged to customers for labor associated with maintenance or repair of qualifying machinery and equipment, and to purchases of industrial machinery and equipment used at a fixed location in Florida by eligible manufacturing businesses. It can also include parts and accessories when purchased before the machinery and equipment are placed into service.

What are the key eligibility requirements for manufacturers under the exemption?

A qualifying business must be an eligible manufacturing business whose primary activity at the location is within manufacturing NAICS codes 31, 32, and 33. For certain categories (such as new or expanding manufacturers), timing and purchase conditions determine eligibility, including purchase timing relative to production or business expansion.

How does a business apply for the exemption and temporary permit?

First, register for sales and use tax purposes with the Florida Department of Revenue (Form DR-1) for each business location. Businesses then either complete the suggested exemption certificate for current purchases or submit an Application for Temporary Tax Exemption Permit (Form DR-1214) to claim exemption retroactively for up to three years prior to qualifying purchases.

Sep 19, 2026

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