Local Business Tax Receipts

Plain English Breakdown

The bill has not passed into law, so its exact impact is uncertain.

Local Business Tax Receipt Requirements

This bill requires individuals applying for or renewing a local business tax receipt to provide proof of an active license from the Office of Foreign Assets Control if their business involves certain transactions.

What This Bill Does

• Requires persons applying for or renewing a local business tax receipt to exhibit an active license or authorization from the Office of Foreign Assets Control if their business conducts transactions subject to sanctions programs administered by OFAC.
• Specifies that online renewal applications can use electronic certification by the applicant instead of physical documents.

Who It Names or Affects

• Businesses in Florida applying for or renewing a local business tax receipt
• Individuals managing businesses that conduct transactions subject to sanctions by the Office of Foreign Assets Control

Terms To Know

Office of Foreign Assets Control (OFAC)

A U.S. government agency responsible for enforcing economic and trade sanctions based on national security and foreign policy objectives.

Local business tax receipt

A document issued by local governments in Florida that allows businesses to operate legally within their jurisdiction.

Limits and Unknowns

• The bill did not pass the Ways & Means Committee and therefore has not become law.
• It is unclear how many businesses will be affected by this requirement.

Official Summary Text

Local Business Tax Receipts; Requires persons applying for or renewing local business tax receipt to practice or engage in or manage any business or occupation that conducts certain transactions to exhibit active license or authorization from Office of Foreign Assets Control of United States Department of Treasury; specifies that online renewals may meet such requirement by electronic certification by applicant.

Current Bill Text

HB 1397 2026

CODING: Words stricken are deletions; words underlined are additions.
hb1397-00
Page 1 of 2
F L O R I D A H O U S E O F R E P R E S E N T A T I V E S

A bill to be entitled 1
An act relating to local business tax receipts; 2
amending s. 205.194, F.S.; requiring persons applying 3
for or renewing a local business tax receipt to 4
practice or engage in or manage any business or 5
occupation that conducts certain transactions to 6
exhibit an active license or authorization from the 7
Office of Foreign Assets Control of the United States 8
Department of the Treasury; specifying that online 9
renewals may meet such requirement by electronic 10
certification by the applicant; providing an effective 11
date. 12
13
Be It Enacted by the Legislature of the State of Florida: 14
15
Section 1. Present subsection (2) of section 205.194, 16
Florida Statutes, is redesignated as subsection (3), and a new 17
subsection (2) is added to that section, to read: 18
205.194 Prohibition of local business tax receipt without 19
exhibition of state license or registration.— 20
(2) Any person applying for or renewing a local business 21
tax receipt to practice any profession or engage in or manage 22
any business or occupation, which conducts transactions subject 23
to the sanction programs administered by the Office of Foreign 24
Assets Control of the United States Department of the Treasury 25

HB 1397 2026

CODING: Words stricken are deletions; words underlined are additions.
hb1397-00
Page 2 of 2
F L O R I D A H O U S E O F R E P R E S E N T A T I V E S

must exhibit an active license or authorization, or proof of 26
copy of the same, from the Office of Foreign Assets before such 27
local receipt may be issued. Online renewals may provide for 28
electronic certification by an applicant to meet this 29
requirement. 30
Section 2. This act shall take effect October 1, 2026. 31