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Legal Department Solutions is your dedicated legal partner, offering affordable and effective legal solutions.

Say goodbye to external legal fees and hello to a secure and prosperous future.

 

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Who is Legal Department Solutions for?

Legal Department Solutions is your dedicated legal partner, offering an affordable and effective in-house legal solution. Say goodbye to external legal fees and hello to a secure and prosperous future.

 

With us, you gain access to top-notch legal services, proactive legal strategies, and a team dedicated to your business's success.

 

No more unexpected legal expenses – just reliable legal support.

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Streamline Your Legal Processes

Our team of experienced legal professionals is dedicated to providing you with comprehensive services, from contract reviews to corporate governance.

 

We simplify industry jargon, ensuring you understand every step of the process.

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Secure Your Business Assets

Protecting your business assets is crucial for growth and stability.

 

Our legal services are designed to safeguard your business, minimizing risks and ensuring compliance with relevant laws and regulations.

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We Help Businesses Solve Their Legal Problems

Our membership provides you with cost-effective access to top-notch legal services, ensuring that your business remains in compliance with all relevant laws.

 

Say goodbye to unexpected legal expenses and hello to a more secure and prosperous future for your business.

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Transparent Pricing for Comprehensive Legal Coverage

We believe in transparency, especially when it comes to pricing. With us, you know exactly what you're paying for.

 

No hidden charges, just clear, affordable legal services tailored to your business needs.

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How It Works

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Free Legal Intro Call

 

First and foremost, schedule your complimentary Legal Intro Call. This service provides a comprehensive overview of your current business legal standing, highlighting areas of strength and identifying potential risks.

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Customized Service Plan

 

We will create a customized service plan tailored to your specific business needs. Whether you require assistance in contract reviews, corporate governance, or want to secure your business assets, our plan will clearly outline the services you need.

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Clear Pricing

 

Once we've determined the services required for your business, we provide clear pricing with no hidden fees. You'll know exactly what you're investing in, allowing you to manage your legal budget effectively.

Services

At Legal Department Solutions in Florida, we understand the importance of having a dedicated and knowledgeable in-house legal team. Our business lawyers have years of experience and expertise in the field of corporate law, providing the best possible legal counsel for your company.

Business Law

Our team of business law attorneys helps clients with corporate entity formation, business and corporation acquisition, business planning, business agreements, customs, administrative audits, FDA inspections, and import and trade law.

Business Litigation

At Legal Department Solutions, business attorneys may try to resolve disputes through mediation or arbitration. But when a resolution can’t be reached at pre-trial, we fiercely advocate for our clients in myriad areas of business law where business litigation commonly happens. These cases include contract disputes, licensing issues, partnership dissolution, regulatory compliance, and corporate governance.

Contracts & Agreements

Our team of experienced business and corporate attorneys represent clients in a range of industries, ranging from health care, consumer products, life sciences, media and entertainment, telecommunications, and technology to retail, service, energy, aviation, and financial services. Naturally, we’ve cemented our status as one of Miami’s leading law firms by helping many of our clients navigate tricky contracting laws, including the specifics of negotiation and drafting. 

Corporate Law

We represent clients in a broad range of industries, from consumer products, media and entertainment, technology and telecommunications to aviation, energy, financial services, restaurants and retail, and some of the services we do for these business professionals include:

  • Intellectual Property Protection
  • Business Entity Selection, Organization & Structuring
  • Executive Agreements, Compensation & Benefits
  • Corporate Governance
  • Cross-Border Planning, Investments & Transactions
  • Joint Ventures & Strategic Alliances

Intellectual Property

We help our clients with legal issues concerning:

  • Trademarks
  • Non-compete agreements
  • Trade secrets
  • Copyrights
  • E-commerce and Internet issues
  • Entertainment and commercial litigation

Partnership & Shareholder Disputes

Disputes between business partners happen in every industry. Many times, disputes occur between business partners in the healthcare sector when their business agreement doesn’t include language that removes one of the partners who is no longer contributing to the business or is exhibiting unethical behavior, has no language to appraise to the practice if a partner wishes to buy another partner’s shares or be bought out themselves, does not deal with the dissolution of the practice if one or more doctors wants to leave, or does not address how current shares will be affected when new shareholders enter the scene.

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Santiago A. Cueto

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Top Rated Business Lawyers in Florida

I knew Legal Department Solutions would be successful if we built a business based on a philosophy to value relationships with our clients and their legal needs. To create a culture of thoughtful advice and personal service. I’m proud to say this industry-disruptive approach must be working.

 

 

As one of Florida's fastest-growing legal counsel services, we have been featured in the Wall Street Journal, Fox Business News, CNBC, Forbes, the National Law Journal, the Daily Business Review, the Miami Herald, the Los Angeles Business Journal, Sports Illustrated, Entrepreneur, PC World, and many other media outlets.

 

We have represented Fortune 100 companies and foreign governments in various complex commercial litigation and transaction matters.

 

Our vast corporate and business experience has served to counsel companies operating throughout the world. We currently serve as the legal department to many companies including insurance technology, logistics, healthcare, real estate, manufacturing, and pharmaceutical industries.

 

It is the spirit of teamwork and working together that enables us to be the best.

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What is the Sales Tax on Selling a Business in Florida?

Business Law
January 30, 2024•4 min read

What is the Sales Tax on Selling a Business in Florida?

Business

Selling a business is a substantial milestone. Amid all the strategic planning, transition discussions, and legal paperwork, it's crucial to pay attention to the financial facets, including one often overshadowed: sales tax. In Florida, sales tax can significantly influence the final payout and complexities of navigating the tax laws shouldn't be overlooked. Let's demystify it and ensure you're well-prepared when it comes to this often-overlooked cost.

Understanding Sales Tax in Florida

What Exactly is Sales Tax?

Sales tax is a form of consumption tax imposed by the government on a wide range of goods and services at the point of sale. Although the general premise is straightforward, the intricacies of its application, especially in the context of business sales, can be less clear.

Florida's Sales Tax Laws

The Sunshine State imposes a state sales tax of 6% on the purchase of most goods and some services. However, the story gets more complex for businesses who sell off their enterprise.

Sales Tax on Selling a Business

Exemption for the Sale of a Business

Florida law provides an intriguing exemption for businesses who sell their enterprise. It allows for the exclusion of sales tax on the amount considered goodwill, which is the difference between the total purchase price and the value of tangible personal property being sold. This goodwill value can include items like business signage, customer lists, and trade names.

Conditioning on Qualifying

It's important to note that not every business sale qualifies for this exemption. In Florida, your business must operate for at least one year before the sale to be eligible. Also, the buyer must continue the business or the seller must not be willing to compete.

Calculating Sales Tax on Tangible Personal Property

For tangible personal property that's being sold along with the business, Florida calculates sales tax as a percentage of the agreement's sale price. The state tax is 6%, and counties can impose additional local taxes that may push the total rates to as high as 8.5%.

Reporting and Remitting the Sales Tax

The responsibility of reporting and remitting sales tax usually falls on the seller unless the buyer is a registered Florida dealer. It's also the seller’s obligation to provide the buyer with proper documentation that your transaction qualifies for the business sale exemption.

Common Questions and Issues

FAQs About Sales Tax on Selling a Business

Here are some frequently asked questions by business sellers:

·        Do I need to pay sales tax on the sale of my business?

·        At what point is sales tax due in a business sale transaction?

·        Can I collect sales tax from the buyer and then remit it to the state?

Challenges Faced by Business Sellers

Sellers in Florida often struggle with pinpointing the correct value of goodwill and distinguishing it from the value of tangible property, as well as understanding the nuances of sales tax exemption eligibility and its documentation requirements.

Tips for Compliance

Best Practices to Ensure Compliance in Business Sales

·        Keep meticulous records of all sales tax transactions, documents, and communication with buyers and the state.

·        Consider consulting a tax professional who is well-versed in Florida’s business sales tax laws.

·        When in doubt, reach out to the Florida Department of Revenue for clarification to remain compliant and avoid penalties.

The Role of Tax Professionals

Engaging with a professional familiar with Florida's sales tax laws can alleviate much of the stress and risk associated with non-compliance. They can guide you through the sales tax process and ensure you're not leaving money on the table or in danger of audits and penalties.

Conclusion: The Value of Knowing Sales Tax When Selling a Business in Florida

Understanding Florida's sales tax laws and how they apply to the sale of a business is vital. It's a significant financial factor that can impact your bottom line or even the completion of the sale itself if not handled correctly. By familiarizing yourself with the basics outlined here, you're equipping yourself with the knowledge to navigate the sales tax considerations of a business sale in Florida. Whether you're a seasoned entrepreneur or this is your first venture into the murky waters of business selling, make sales tax a top priority in your checklist. Your future self—and your wallet—will thank you.

Legal Department Solutions offer a full range of services to your company, from helping you comply with government regulations to ensuring that your company can meet its contractual obligations. Legal Department Solutions can also provide valuable protection in the event that your company is sued or your intellectual property is misappropriated. Having your own legal department has many advantages over relying on external services from law firms and other providers, not the least of which is the cost savings.

Legal Department Solutions

Legal Department Solutions offer a full range of services to your company, from helping you comply with government regulations to ensuring that your company can meet its contractual obligations. Legal Department Solutions can also provide valuable protection in the event that your company is sued or your intellectual property is misappropriated. Having your own legal department has many advantages over relying on external services from law firms and other providers, not the least of which is the cost savings.

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Disclaimer: The information you obtain at this site is not, nor is it intended to be, legal advice. You should consult an attorney for advice regarding your individual situation.

 

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