Professional Services & Consultants Bookkeeping in Florida

Whether professional services & consultants services are taxable in Florida is the question that catches people out — states differ enormously, and several have been broadening what counts. Discretionary sales surtax varies by county and applies only to the first $5,000 of a single tangible item. We code service revenue separately from any product revenue so the treatment is explicit rather than assumed.

Economic nexus in Florida is $100,000 in sales. For professional services & consultants, that threshold is the one to watch, because it is reached by selling into the state — no office, no staff, no physical presence required. Once you cross it you are expected to register with the Florida Department of Revenue and begin collecting. We track your Florida sales against it and tell you before you cross, not after.

Registering to do business in Florida runs through the Florida Division of Corporations, with tax accounts through the Florida Department of Revenue and employer accounts through the Florida Department of Commerce. Florida treats these as wholly independent, so being in good standing with one says nothing about the others — and the sales tax account is the one that accrues a real balance while you are not looking.

The Florida statewide base rate is 6%. Local rates stack on top and are generally sourced to the delivery address, so the effective rate varies within the state. Getting sourcing right is what keeps the liability account matching what you actually collected.