As reported in RePlay, “The National ATM Council [NAC]is working to fight an ATM site commission tax from the Florida Department of Revenue, according to the organization.
The Florida Department of Revenue (FDOR) “is taking a position that ATM site payments are rental or lease payments, which should be subject to a 7 percent sales tax. In fact, the department retroactively levied a six-figure tax on a NAC member, who sought the council’s assistance.
“Although NAC has been working solely with the affected member, given the statements made by FDOR, NAC is treating this as a statewide and potentially nationwide issue,” they said. “If you operate ATMs in Florida, NAC is requesting that you please let us know ASAP how you have been handling state sales tax payments on your site commissions.”
NAC Executive Director Bruce Renard can be reached at 904-710-3522 or [email protected].
What this could mean? There always seems to be a ‘What’s next?’ when it comes to state and local government regulators looking for ways to raise money. I do agree with NAC, that this is now a statewide issue in Florida and potentially a nationwide issue. I am sure that AMOA is now deciding if it should get involved early in a state issue or leave it to AMOAF (AMOA Florida). Note that bowling centers and family entertainment centers in Florida also have revenue-share agreements with ATM operators, so I am sure that BPAA and perhaps even AAMA will be supportive of NAC’s position. Will IAAPA also get involved?
Note also that Florida has some unique revenue-sharing laws that also need to be addressed. Other questions arise such as: How do banks operate their ATM’s? Do they pay commissions to a 2nd party entity or just to themselves? Why pick on ATM’s? Is this just another way for ‘Big Brother’ to eliminate cash?
Lots to think about……