Income tax in Florida

[Fatbrit]

Originally Posted by RICHNTRISH

Sorry studies for a job that would gain her a visa leading to a green card.
reading up , $100,000 business is allowed but would need to put the cash up100% myself and work out a business plan to employ US national in 5 years .

Would say that 150k is closer to the mark these days, but an actual figure is not quoted. London has mainly been issuing 2-year visas recently. And a couple of employees would be a lot safer.

[synthia]

Is that 3% a state or a county specific rule? I thought mine went up more. I will check when I get back, if I still have the records.

I just looked on the Pinellas county website and could find nothing about any limits on the increase in value related to the homestead exemption. Where did you get your information?

[Fatbrit]

Originally Posted by synthia

Is that 3% a state or a county specific rule? I thought mine went up more. I will check when I get back, if I still have the records.

I just looked on the Pinellas county website and could find nothing about any limits on the increase in value related to the homestead exemption. Where did you get your information?

The 3% cap was known as the "Save our Homes" legislation. You will find it in Section 193.155(1) of the Florida Statutes. Google is your friend.

BTW, I'm still awaiting explanation of your 20% accusation.

[synthia]

I thought you were the one who posted that Florida property tax was 20%. I thought it was a typo, but the poster insisted until faced with the actual rules. I've tried to find the post but have had no luck with the search facility. It didn't even bring up your post.

Once I knew what the legislation was called, it was easy to find information. However, googling for homestead exemption, all found was the property tax data.

I did notice that beginning next year, there is a cap of 10% increase in valuation for non-homestead property.

[RICHNTRISH]

Ok , So no state income tax but what about Federal tax ? you must have to pay taxes on your income to the federal government ?
Richard.

[Bevdeforges]

Originally Posted by RICHNTRISH

Ok , So no state income tax but what about Federal tax ? you must have to pay taxes on your income to the federal government ?
Richard.

Oh, but of course. (Had to go back to the start of this discussion to check your original question.) There is US (i.e. federal) income tax everywhere in the US. The fact that you asked about "in Florida" is what threw us.

As far as your business goes, there are a couple different ways to file federal taxes. It's possible as an unincorporated business to file the business tax return as part of your personal income taxes. If you incorporate, you separate the business and its assets legally from your personal assets (and there are a bunch of other considerations in the decision to incorporate or not). The business then becomes a legal entity of its own and files its own separate federal income tax returns.

This site might help you with some of the requirements of running a business in Florida: State of Florida.com - Doing Business in the State of Florida
Cheers,
Bev

[uk355]

When you buy a property in Florida there will be closing costs and prepaid items which will be largely eliminated if you pay cash. If you buy a property today then property taxes for 2008 are due in November and late by April 2009. The tax bill in November will be estimated and prorated so the existing owner pays the taxes fom Jan 1 until today. You will then be charged taxes from today until Dec 31. When you close on the property you will recieve a credit for the sellers prorated tax amount and and will then be completely responsible for the entire bill in November.

There are requirements for Homestead Exemption but if you meet the criteria you will receive a $25,000 reduction from the assessed value of your home. If you have a $100,000 value then the reduction is significant, if you have a $1 mill home then it has little impact. The Save Our Homes exemption limits annual increases in the assessed value to 3%. Every county has a property appraiser website that will explain this in more detail. (If you find a home - go to the property appraiser website for that county, go to the search records option, then search by address. Type in the address for the home you like and there will be a tax link that will show the recent history for property taxes on that home). Historically, this exemption has little benefit in the short term as property prices have not gone up significantly. Only non-exempt owners in recent years were hurt when the property market exploded. As homes are assessed annually taxes for those people are now coming down in conjunction with the overall market.

If you are looking to obtain green cards in the near future then not qualifying for homestead exemption is not a big deal - just make sure you file when you become qualified.

Hope this helps

[uk355]

When you get to the point of qualifying for homstead, do research on amendment 1 that could double your exemption up to $50,000 but in the meantime annual increases are capped at 10%. (Again, not an issue in this market!!!)