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INFORMATION TO APPROVE PAYMENT IN AMOUNT NOT TO EXCEED $65,000 TO FL DEPARTMENT OF REVENUE FOR ASSESSMENT OF SALES AND USE TAX AND LOCAL GOVERNMENT INFRASTRUCTURE SURTAX AND INTEREST 'ti:L j""~ . ,.j~(. ~LOF TIi< ~...., 'I'.,:. v~..u,' ~~- 'L""I" "')'/.1-:' ....::;:::... .'.... ~.'~ ',.,,-. ... C'-5" '. \ I, <'7V I 1 --:. ~ ~ :~;~---~'~<t:: "~~C..,f2~ ':.~-;.- . .'~~ -:.' A''... ...,1' f',.......'" -?'(,f/-,,:.,' ..<~'\~\ \ #T;/,tfT"O '\ , ....,/i 1."".,.1 '-'-IIJ' CITY OF 9.~,9q' *'I~ CLEARWATER POST OFFICE Box 4748, CLEARWATER, FLORIDA 33758-4748 MUNICIPAL SERVICES BUILDING, 100 SOUTH MYRUE AVENUE, CLEARWATER, FLORIDA 33756 TELEPHONE (727) 562-4530 FAX (727) 562-4535 FINANCE DEPARTMENT Mr. Jose T. Bautista Audit Office Clearwater Service Center Arbor Shoreline Office Park 19337 U.S. Hwy. 19N:,-Suite 300 Clearwater, FL 33764 July 26, 1999 Dear Mr. Bautista, We received your Notice ofIntent to Make Audit Changes for our Sales and Use Tax Returns and Local Government Infrastructure Tax dated July 23, 1999 for the audit period 02/01/94 through 01/31/99. Pursuant to our phone conversation on July 26, 1999, we agree with your assessment of$41,870.02 for Sales and Use Tax and $12,738.70 interest through 07/23/99, subject to waiver of penalty in the amount of $20,935.24 at 7/23/99. We also agree with your assessment of $6,497.46 for Local Government Infrastructure Tax and $2,061.83 interest through 07/23/99, subject to waiver of penalty in the amount of $3,248.97 at 7/23/99. As we discussed, this has been our fIrst audit by the Florida Department of Revenue in approximately 15 years. We believe that we have exercised due care and prudence over this period of time in collecting and remitting taxes and therefore request that the penalties mentioned above be waived. Thank you for your consideration. Sincerely, . ~~ Karen H. Miles, CPA Accounting Manager ONE CIll'. ONE FlJTIJRE. (j "EQUAL EMPLOYMENT AND AFFIRMATIVE ACTIO!': EMPLOYER" STATE OF FLORIDA DEPARTMENT OF REVENUE TALLAHASSEE, FLORIDA 32399-0100 L. H. Fuchs Executive Director General Tax Administration Child Support Enforcement Property Tax Administration Administrative Services Information Services July 27, 1999 Ms. Karen H. Miles, CPA Accounting Manager City of Clearwater P. O. Box 4748 Clearwater, FL 33758-4748 Re: Audit No. 9829914039 Dear Ms. Miles: This is to acknowledge receipt of your letter dated July 26, 1999, requesting abatement of penalty due in this audit. We have carefully considered your request, and since you have agreed to all the tax issues 1n the referenced audit we can act on your request. Based on the information in your letter and our review of the facts and circumstances in this case, we believe there is reasonable cause for compromise of the penalty. We offer a compromise of the penalty for: FROM TO Sales and Use Local Gov't Infrastructure Surtax $20,935,24 $ 3,248.97 $ - 0 - $ - 0 - If you agree with our proposed compromise, we request payment of the tax and interest assessments. If I can be of further assistance, please call upon me at (727) 507-6297. Very truly yours, ~~') Service Center Manager I ' STATE OF FLORIDA DEPARTMENT OF REVENUE DR-640 R- 2/90 TALLAHASSEE, FLORIDA 32399-0100 L. H. Fuchs Executive Director General Tax Administration Child Support Enforcement Property Tax Administration Administrative Services Information Services March 5,1999 CITY OF CLEARWATER P. O. Box 4748 Clearwater, FL 34618-4748 SUBJECT: NOT!FICATION OF INTENT TO AUDIT BOOKS AND RECORDS Audit #: 9829914039 FEI #: 59-6000289 SALES TAX # 80-00-003059-82/7 Dear Taxpayer: Your account has been assigned to me for the purpose of conducting an examination of your books and records as authorized under the following Florida Statute(s): FLORIDA STATUTES 212 212.054; 212.055 TAX CODE 010 016 TAX Sales and Use Local Government Infrastructure Surtax PERIOD(S) 02/01/94 - 01/31/99 02/01/94 - 01/31/99 I will begin the audit at the following location, 112 S. Osceola Ave., on a mutually agreed date but not before May 4, 1999. I will contact you by telephone to confirm a date to begin the audit. Pursuant to ~ 212.13(5), F.S., sixty (60) days notice must be given before any routine sales and use tax audit under Part I of Chapter 212, F.S., can be commenced. If you have no objections to waiving the sixty (60) day require- ment, please read and sign the waiver en page two. If, as the audit progresses, it is determined that an examination of other taxes is necessary, you will be advised of such taxes and the records required. Please make available all records and information checked on the attached list when the audit begins. You will be notified if additional records are needed during the course of the audit. If a sales tax audit is to be conducted you are required under ~ 212.13(5), F.S., to make available all records, receipts, invoices, resale certificates, and related documentation. All records and information must be available when the audit commences to be deemed acceptable for conducting the audit. I Arbor Shoreline Office Park / 19337 U.S. Hwy. 19 North I Suite 300 I Clearwater. FL 33764/ Tel: 813-538-7388/ Fax: 813-538-73261 CITY OF CLEARWATER Page 2 It is imperative that you review all exemption and resale certificates (where applicable) to ensure that they are completed and up-to-date as required by Rule 12B-5.003 (Motor Fuel) and Rules 12A-1.038 and 1.039 (Sales Tax). VALID RESALE AND CONSUMER CERTIFICATES OF EXEMPTION (SALES TAX) Only valid certificates will be accepted during the audit process as proper documentation for exempt transactions. The Florida courts have ruled that sales tax is a vendor's tax; therefore, if a valid certificate is not on file, the vendor is liable for the tax regardless to whom the sale is made or for what purpose. If you have any needs for forms or other information, please let us know and we will be happy to provide any assistance you may require. Your cooperation is appreciated. If you have any questions regarding this matter, please do not hesitate to call me. Florida Department of Revenue Executive Director By: Attachment WAIVER AND CONSENT Chapter 212.13(5), F.S., requires that the taxpayer be given a Notice of Intent to Audit at least sixty (60) days prior to the commencement of a routine sales and use tax audit under Part I of Chapter 212, F.S. Hcwever, the taxpayer may waive this requirement by signing below and returning a signed copy to the writer. ~~p.-,-,,-,~ .;e. A..c4nrTIf''' ).) Signature t=.()Qnc..ldl SeNIc.ec;;.. IlclmlTl/(fz:,r Title 3/8199 , Date Florida Department of Revenue, Division of Audits AUDIT DOCUMENTS CHECKLIST Please make available the records and information checked (X) below. You will be nc:::':ed if addirional records are needed during the course of the audit. Federal Income Tax Returns ~ Sales Invoices ~ Florida Corporation Income Tax Returns Shipping Documents Florida Intangible Personal . Property Tax Returns rurchase Invoices Payroll Records ~ Tangible Personal Property Returns Job Cost Records Fiorida Motor Fue! Tax Returns Fue! .A.cquj~;rjon & Dis;:c ~:: Records Florica Special Fue! Tax Returns - Florida Gross Receipts Tax Returns Fue! Repons to Other ~ =:::5 x Florida Sales & Use Tax Returns Intangible Fer~ona; Froce-:; Records _ Depreciation Schedules -X- Sa!e~ Tax Exemption Ce-:<cc:es L General Ledger Special Fue! Tax Exem;:::- Certificate~ _ Property Records L Cash Receipts Journal Annual Report to Stock'":.: :ers Cash Disbursements Journal _ Corporate Minute Book Purchase Journal ~ Corporate Stock Book ~ General Journal X Lea~e .A.greemenrs for Re:''Jr Tangible Property (Where Applicable) L Sales Journal Other Documents . Bank and Financial State~ents; Chart of Accounts; Power of Attorney; Detail of Fixed Asset Purchas~s 11/94 " Pre-Audit Questionnaire Page 2 6. How is your company represented in the State of Florida? Such as salesman, manufacturers' representatives, plants, sales offices, warehouses, etc.) 7. Does your company own, lease or rent real property in the State of Florida? Own Lease/Rent None 8. If the nature of your business is such that you make out-of- state purchases of equipment, furniture, fixtures, tools, office supplies, posters, leaflets, catalogs, brochures or other promotional materials, and have these items shipped into Florida, are these purchase invoices available for examination purposes? 9. Do you have monthly sales destination runs or general records by state and do these runs break out the tax charged? YES ( NO SAMPLE: Date 3/01/95 3/02/95 Invoice Number 32504 32505 Customer Number 2509 2560 Code 09 04 State Tax Amount $500.00 $830.00 Charqed $25.00 -0- (This type of summary could expedite the audit by reducing the number of invoices needing to be examined) 10. How are the monthly sales invoices stored or filed? ( ) In numerical sequence by month ( ) By customer name or number ( ) Other - Please explain 12. What is your annual sales activity in Florida? ( ) $ 0 - $ 1,000 ( ) $ 1,000 - $ 10,000 ( ) $ 10,000 - $ 100,000 ( ) More than $ 100,000 What are your annual exempt sales for Florida? ( ) $ 0 - $ 1,000 ( ) $ 1,000 - $ 10,000 ( ) $ 10,000 - $ 100,000 ( ) More than $ 100,000 11. Pre-Audit Questionnaire Page 3 13. What is the billed each average number month for each $ 0 - $ $ 500 - $ $ 1,000 - $ More than $ of invoices (for total of these categories? 500 1,000 500,000 500,000 sales) 14. What is the average sales invoice dollar amount? ( ) Under $ 100 - ( ) $ 100 - $ 1,000 ( ) $ 1,000 - $ 10,000 ( ) $10,000 or more 15. Where ( ) ( ) ( ) do you keep your exemption certificates? Your location Sales office(s) Other - Please explain 16. What ( ) ( ) ( ) ( ) tax reports are filed with the State of Florida? Sales and Use Tax (DR-15's) Corporate Income Tax (Fl120) Intangible Tax (DR-601C) Other - Please explain 17. If you file Florida Corporate Income Tax Returns (Fl120), please send a copy, for information purposes only, of your apportionment schedule, along with copies of your balance sheets for the last two years. ( ) Sent ( ) Did not send 18. Please furnish a copy of your ANNUAL REPORT. Prepared by: Title: Date: You will contacted shortly to arrange a mutually convenient time to begin the audit. Please return this completed questionnaire to me as soon as possible. If you have any questions, please contact me at the address and/or telephone number listed below. Your cooperation certainly will be appreciated. Name: JOSE T. BAUTISTA Address: Department of Revenue 19337 U.S. H~. 19 N. Ste. # 300 Clearw~ r, F 33764 (813) 507-6275 FAX (813) 538-7326 Exhibit 2 FLORIDA DEPARTMENT OF REVENUE DIVISION OF AUDIT PRE-AUDIT QUESTIONNAIRE AND REQUEST FOR INFORMATION TO: CITY OF CLEARWATER ADDRESS: P. O. Box4748 Clearwater, FL 34618-4748 DATE: _03/05/99 AUDIT NUMBER: 9829914039 Your case file has been assigned to me for audit. In order for me to determine the nature of the audit and the necessary procedures to complete the audit, I request your cooperation in completing and returning this questionnaire as soon as possible. 1. What is the organizational structure of this company? (i.e., sole proprietorship, corporation, partnership) If a parent company, give the name, FEI number and address of each subsidiary and/or division. If a subsidiary or division, give the name and address of the parent company. 2. Was there a name change or a change in ownership during the audit period? If yes, list previous/current owner(s) 3. If any of the companies mentioned above, are registered in Florida, list their registration number and the location from which the tax returns are filed. 4. Please furnish the name, title and telephone number of the individual through whom this audit will be conducted. 5. Identify the type of product sold or activity in Florida. FLORIDA DEPARTMENT OF REVENUE NOTICE OF INTENT TO MAKE AUDIT CHANGES AUDIT AUTHORITY: SECTION 213.34, F.S. DR-1215 N.10/96 Page 1 of 2 TAX: Sales and Use Tax CITE: Chapter 212, F.S. FLORIDA TAX NUMBER: 80-00-003059-82/7 NAME AND ADDRESS OF TAXPAYER REPLY TO - AUDIT OFFICE AUD: 9829914039 FEI: 59-6000289 CITY OF CLEARWATER P.O. BOX 4748 Clearwater, FL 33758-4748 Clearwater Service Center GEORGE WATSON, TAB Arbor Shoreline Office Park 19337 U.S. Hwy. 19 N., Ste.300 Clearwater, FL 33764 PHONE: ( 72 7 ) 538 - 7388 FAX (727) 538-7326 The Department of Revenue is issuing this Notice of Intent to Make Audit Changes to advise you of the results of our audit for the period (or date for Documentary Stamp Tax) : 02/01/94 through 01/31/99, inclusive. An Explanation of Items is enclosed with schedules describing the adjustment items that form the basis for the amounts shown below: TAX PENALTIES FRAUD PENALTY INTEREST THROUGH 07/23/99 $41,870.02 20,935.24 0.00 12,738.70 TOTAL DEFICIENCY PAYMENT(S) APPLIED AGAINST AUDIT $75,543.96 0.00 BALANCE DUE THROUGH 07/23/99 $75,543.96 Plus additional interest of $ 13.77 per day (or per month for Documentary Stamp Tax) from 07/24/99 through the date your payment is postmarked or hand delivered. If you agree with all the audit adjustments: * please sign and date the agreement section below; * make your remittance check payable to the Florida Department of Revenue; * attach your check to a copy of this notice and mail both to the audit office listed above; anc * remember - the total amount due includes any balance due plus any additional interest accrued from the interest date listed above through the postmark or hand delivery date of your payment. If you agree with a portion of the audit adjustments: * submit payment for the agreed amount to stop the further accrual of interest on the agreed portion; and * make your remittance check payable to the Florida Department of Revenuej * attach your check to a copy of this notice and mail both to the audit office listed abovej anc * review the If you do not agree and Your Rights sections listed below. FLORIDA DEPARTMENT OF REVENUE NOTICE OF INTENT TO MAKE AUDIT CHANGES AUDIT AUTHORITY: SECTION 213.34, F.S. DR-1215 N.10/96 Page 2 of 2 TAX: Sales and Use Tax CITE: Chapter 212, F.S. FLORIDA TAX NUMBER: 80-00-003059-82/7 NAME AND ADDRESS OF TAXPAYER REPLY TO - AUDIT OFFICE AUD: 9829914039 FEI: 59-6000289 CITY OF CLEARWATER P.O. BOX 4748 Clearwater, FL 33758-4748 Clearwater Service Center GEORGE WATSON, TAS Arbor Shoreline Office Park 19337 U.S. Hwy. 19 N., Ste.300 Clearwater, FL 33764 PHONE: ( 727 ) 538 - 7388 FAX (727) 538-7326 If you do not agree or if you have questions about these audit adjustments: * do not sign this notice; * request an Audit Conference to review the factual circumstances and reasons for the adjustments. You have until (08/23/99) to request a conference; * if you need an extension, submit a written request before the date referenced in the previous line. Your Rights * Information about Taxpayer's Rights is attached or enclosed explaining your options regarding the audit adjustments. Review your rights carefully. * Review the audit adjustments that are attached to this notice. * Take advantage of your right to an audit conference to discuss the audit adjustments, if you have questions or disagree. * Your right to an audit conference expires if we do not hear from you within 30 days of our issuing you this notice. We will then issue a Notice of Proposed Assessment for the audit, based on the adjustments outlined in this notice. * After the Notice of Proposed Assessment has been issued, you also have the right to review the audit findings through f rmal and informal protest procedures. x 07/23/99 Date Taxpayer Agreement: The right to an audit conference is waived and I agree to the audit adjustments shown above. x Signature of Taxpayer or Representative Title Date This notice, and the signatures on it, does not constitute a closing agreement for the audit period under s. 213.21, F.S., and does not preclude our assertion of a further deficiency in the manner provided by law if it is later determined that an additional amount is due. The time availabe for assessment, refund or collection of any tax, interest or penalty for the audit period is not extended by this notice. NOTICE OF TAXPAYER RIGHTS N.06/9S INFORMAL PROTESTS What is an informal protest? An informal protest is an objection to an assessment filed with the Department. For informal protests, a taxpayer may serve as their own representative. At the taxpayer's request, a meeting or conference may be held in Tallahassee or by telephone, but is not required. What is the deadline for filing an informal protest? The deadline is 60 days from the date the Notice of Proposed Assessment (NOPA) or Notice of Proposed Refund Denial (NOPRD) was issued. However, an extension to file may be granted. The request for an extension and the reason it is needed MUST be filed within 60 days of the date the NOPA/NOPRD was issued. Extension requests should be sent to Compliance Support, P.O. Box 5139, Tallahassee, FL 32314-5139. Or, you can fax your request to Compliance Support at 850-488-0325, with the original timely postmarked by mail. What information is needed to submit a written informal protest? The written informal protest must include: *the taxpayer's name, address, and federal employer identification number (where appropriate)j *the type and dollar amount(s) of tax, interest, or penalty challengedj *the period covered under the assessment (or denial of claim for refund) and the amount of tax protestedj *a schedule of the protsted adjustmentsj *a statement of factual and legal grounds for the objection, and any contested factual issue; *a description or copy of the assessment or denial of claim for refund; and *a statement of whether a personal conference with a Department specialist is desired. Where should I send the informal protest request? The original protest should be mailed to Compliance Support, P.O. Box 5139, Tallahassee, FL 32314-5139. Or, you can fax your protest to Compliance Support at 850-488-0325, with the original timely sent by mail. Also,a copy of the protest or statement that a protest has been filed should be mailed to Technical Assistance and Dispute Resolution, P.O. Box 7443, Tallahassee, FL 32314-7443. What happens after my protest is received? After it is received, your protest will be reviewed for possible resolution. If resolution is not possible, you will receive written confirmation that your protest has been forwarded to Technical Assistance and Dispute Resolution. You will be contacted when the informal review begins. After a review of the audit file and your protest, a Notice of Decision (NOD) will be issued. The assessment becomes final upon issuance of the NOD. What if I still disagree? If you still disagree, the NOD will explain any review rights available. These rights include filing a "Petition for Reconsideration," filing a petition for review by the Division of Administrative Hearings (DOAH), or filing an action in circuit court or the district court of appeal. Please note that interest continues to accrue during the protest period. For additional information, see Rules 12-6.003 and 12-6.004, Florida Administrative Code. FORMAL PROTBSTS What is a formal protest? A formal protest is an objection to an assessment or refund denial that is filed and decided by the Division of Administrative Hearings (DOAR), or by a circuit court. When filing a formal protest, payment is required of any taxes, penalties, and accrued interest not being contested. You may file either a DOAR protest or an action in circuit court. I. FORMAL PROTEST UNDER THE ADMINISTRATIVE PROCEDURES ACT, CHAPTER 120, F.S. What is the deadline for filing a petition for a formal hearing? The deadline is 120 days from the date the Notice of Proposed Assessment or Notice of Proposed Refund Denial is issued, unless an informal protest was filed. If a Notice of Decision (NOD) was issued through informal protest procedures, the petition must actually be received by the Department (not postmarked) within 60 days from the date on the NOD. There are no provisions for extending the time to file a petition for a formal hearing. What information should be contained in a petition for formal hearing? Each petition should be printed, typewritten or otherwise duplicated in legible form on standard letter-size white paper. Unless printed, the impression should be on one side of the paper and lines should be double-spaced and indented. All petitions should contain: *the name and address of each agency affected and each agency's file or identification number, if known; *the name and address of the petitioner or petitioners, and an explanation of how their substantial intereses will be affected by the agency determination; *a statement of when and how the petitioner received notice of the agency decision or intent to render a decision; *a statement of all disputed issues of material fact. If there are none, the petitioner must so indicate; *a concise statement of the ultimate facts alleged, as well as the rules and statutes which entitle the petitioner to relief; *a demand for relief to which the petitioner deems entitled; and *other information which the petitioner contends is material. Where should I send a petition for a formal Division of Administration hearing? Send your petition to Office of the General Counsel, Department of Revenue, P. O. Box 6668, Room 201 Carlton Building, Tallahassee, FL 32314-6668. Or, you can fax it to the Office of the General Counsel at 850-488-7112, with the original sent by mail. The fax date will be considered the date filed. What happens after my formal hearing petition is received? After recieving the petition, the agency will either accept or deny it. If accepted, the agency will conduct the hearing itself through the agency head, his designee, or assigned person authorized by section 120.57(1) (a), F.S., or other authority; or request that a hearing officer from the Division of Administrative Hearings (DOAR) be assigned to conduct the hearing and issue a recommended order. A petition may be denied if the petitioner does not adequately state the material facts, or if the petition is untimely. The agency will promptly give written notice to the parties of the action taken, and will state its reasons for that action. If the agency elects to request that a DOAR hearing officer be assigned to conduct the hearing, the agency will forward the petition (and all materials filed with the agency) to DOAR. Parties will be notified either personally or by mail of any final order issued by the department. What if I still disagree? If you still disagree, your appeal must be filed with the appropriate Florida district court of appeals. For additional information, see Section 120.80, Florida Statutes. II. FORMAL PROTEST IN CIRCUIT COURT What is the deadline for filing an action in circuit court? The deadline is 120 days from the date the Notice of Proposed Assessment was issued, unless an informal protest was filed. If a Notice of Decision (NOD) was issued through informal protest procedures, the complaint must be filed with the clerk of the court (not postmarked) within 60 days from the date on the NOD. There are no provisions for extending the time to file an action in circuit court. What is required when filing an action in circuit court? You are required to pay the Department any uncontested taxes, penalties and accrued interest; and you must either pay into the registry of the court or post a cash or surety bond for any contested portion of the assessment, including penalties and interest, unless this requirement is waived in writing by the executive director of the Department. Where do I file an action in circuit court? Taxpayers who are residents of Florida should file an action either in the Second Judicial Circuit Court or in the circuit court in the county where the taxpayer resides or maintains their principal commercial domicile. Taxpayers who are not residents of Florida or who do not maintain a commercial domicile in this state should file their action in the Second Judicial Circuit Court. What if I still disagree? After receiving a decision from the circuit court, if you still disagree, your appeal must be filed with the appropriate Florida district court of appeal. For additional information, see Section 72.011, Florida Statutes. ACTIONS IN DISTRICT COURT OF APPEALS You may contest a Notice of Decision or a Notice of Reconsideration in the appropriate district court of appeal by filing a Notice of Appeal meeting the requirements of Rule 9.110, Florida Rules of Apellate Procedure, with the Office of the General Counsel, Department of Revenue, P.O. Box 6668, Tallahassee, FL 32314-6668, and with the clerk of the appropriate district I court of appeal, accompanied by the applicable fiing fee. The Notice of Appeal must be filed within 30 days of the Notice of Decision. For additional information, see Section 120.68, Florida Statutes. What is the role of the Taxpayer Rights Advocate? The Taxpayer Rights Advocate facilitates the review and resolution of taxpayer problems and complaints not remedied through normal administrative procedures. (It is not a substitute for informal protest procedures.) Your requests for assistance in tax disputes and complaints regarding unsatisfactory treatment by Department employees may be forwarded to the Taxpayer Rights Advocate by calling 850-488-2321 or writing the Taxpayer Rights Advocate at P.O. Box 5906, Tallahassee, FL 32314-5906. TAXPAYER NAME CITY OF CLEARWATER AUDIT# 9829914039 YEAR(S) 02/01/94 STN: 80-00-003059-82/7, ET.AL. THROUGH 01/31/99 SALES AND USE TAX INDEX TO WORKPAPERS DESCRIPTION PAGE NUMBER Basis for Tax Adjustments, Penalties and Interest................. A Summary Total. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 Tax, Penalty, & Interest for Schedule A........................... 2 Summary of Exhibits for Schedule A......... ......... ..... ......... 3 Explanation of Items for Exhibit A010................ ............. 4 Additional Tax Due for Exhibit A010................. .............. 5 Detail Information for Exhibit A010................. .............. 6 Supporting Schedule for Exhibit A010................ .............. 10 Explanation of Items for Exhibit A020................ ............. 11 Additional Tax Due for Exhibit A020.................. ............. 12 Detail Information for Exhibit A020.. ............... ........ ...... 13 Supporting Schedule for Exhibit A020............... ............... 16 Explanation of Items for Exhibit A030......... ... .......... ....... 17 Additional Tax Due for Exhibit A030....... .... .... ................ 18 Detail Information for Exhibit A030............... ................ 19 Supporting Schedule for Exhibit A030.............. .......... ...... 21 Explanation of Items for Exhibit A040............................. 22 Additional Tax Due for Exhibit A040.............. ......... ........ 23 Detail Information for Exhibit A040..... ..... ... ......... ......... 24 Explanation of Items for Exhibit AOSO....... ...................... 25 Additional Tax Due for Exhibit AOSO.......... ..................... 26 Detail Information for Exhibit AOSO........... .................... 27 Explanation of Items for Exhibit A060............................. 28 Additional Tax Due for Exhibit A060.. ......... ............. ... .... 29 Detail Information for Exhibit A060............................... 30 Explanation of Items for Exhibit A070............................. 31 Additional Tax Due for Exhibit A070............ ................... 32 Detail Information for Exhibit A070............ ................... 33 Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Audit Number: 9829914039 Audit period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax SUMMARY TOTAL Schedule A Sales Summary Total Tax Due 41,870.02 Penalty 20,935.24 Fraud Penalty 0.00 Int. Through: 07/23/99 12,738.70 Late Payment Penalty 0.00 Late Payment Interest 0.00 Total 75,543.96 41,870.02 20,935.24 0.00 12,738.70 0.00 0.00 75,543.96 Add'l daily interest will accrue at $13.77 until payment is received. An audit of your books and records pursuant to Section 212.12(6) and/or (7), Florida Statutes, has revealed certain tax deficiencies. The basis for each separate type of adjustment is found within the EXPLANATION OF ITEMS for each exhibit. Summary Total Report PAGE: I Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Tax, Penalty, " Interest for Schedule A Audit Tax Due/ Cumulative Amount Subject Penalty Due Interest Due Period Overpaid Tax Due to Penalty Per Month @ 12% / Year Total Feb 94 199.94 199.94 199.94 19.99 2.00 221. 93 Mar 94 199.94 399.88 399.88 39.99 4.00 243.93 Apr 94 199.94 599.82 599.82 59.98 6.00 265.92 May 94 199.94 799.76 799.76 79.98 8.00 287.92 Jun 94 199.94 999.70 999.70 99.97 10.00 309.91 Jul 94 648.83 1,648.53 1,448.59 144.86 16.49 810.18 Aug 94 648.83 2,297.36 1,897.48 189.75 22.97 861.55 Sep 94 648.83 2,946.19 2,346.37 234.64 29.46 912.93 Oct 94 648.83 3,595.02 2,795.26 279.53 35.95 964.31 Nov 94 648 .83 4,243.85 3,244.15 324.42 42.44 1,015.69 Dec 94 648.83 4,892.68 3,244.15 324.42 48.93 1,022.18 Jan 95 648.83 5,541.51 3,244.15 324.42 55.42 1,028.67 Feb 95 648.83 6,190.34 3,244.15 324.42 61.90 1,035.15 Mar 95 648.83 6,839.17 3,244.15 324.42 68.39 1,041.64 Apr 95 648.83 7,488.00 3,244.15 324.42 74.88 1,048.13 May 95 648.83 8,136.83 3,244.15 324.42 81. 37 1,054.62 Jun 95 648.83 8,785.66 3,244 . 15 324.42 87.86 1,061.11 Jul 95 648.83 9,434.49 3,244 . 15 324.42 94.34 1,067.59 Aug 95 648.83 10,083.32 3,244.15 324.42 100.83 1,074.08 Sep 95 648.83 10,732.15 3,244.15 324.42 107.32 1,080.57 Oct 95 648.83 11,380.98 3,244.15 324.42 113.81 1,087.06 Nov 95 648.83 12,029.81 3,244.15 324.42 120.30 1,093.55 Dec 95 648.83 12,678.64 3,244.15 324.42 126.79 1,100.04 Jan 96 648.83 13,327.47 3,244.15 324.42 133.27 1,106.52 Feb 96 648.83 13,976.30 3,244.15 324.42 13 9.76 1,113.01 Mar 96 648.83 14,625.13 3,244.15 324.42 146.25 1,119.50 Apr 96 648.83 15,273.96 3,244.15 324.42 152.74 1,125.99 May 96 648.83 15,922.79 3,244.15 324.42 159.23 1,132.48 Jun 96 648.83 16,571.62 3,244.15 324.42 165.72 1,138.97 Jul 96 648.83 17,220.45 3,244.15 324.42 172.20 1,145.45 Aug 96 648.83 17,869.28 3,244.15 324.42 178.69 1,151. 94 Sep 96 648.83 18,518.11 3,244.15 324.42 185.18 1,158.43 Oct 96 648.83 19,166.94 3,244.15 324.42 191. 67 1,164.92 Nov 96 648.83 19,815.77 3,244.15 324.42 198.16 1,171.41 Dec 96 648.83 20,464.60 3,244.15 324.42 204.65 1,177.90 Jan 97 648.83 21,113.43 3,244.15 324.42 211.13 1,184.38 Feb 97 648.83 21,762.26 3,244.15 324.42 217.62 1,190.87 Mar 97 648.83 22,411.09 3,244.15 324.42 224.11 1,197.36 Apr 97 648.83 23,059.92 3,244.15 324.42 230.60 1,203.85 May 97 648.83 23,708.75 3,244.15 324.42 237.09 1,210.34 Jun 97 648.83 24,357.58 3,244 .15 324.42 243.58 1,216.83 Jul 97 648.83 25,006.41 3,244.15 324.42 250.06 1,223.31 Aug 97 648.83 25,655.24 3,244.15 324.42 256.55 1,229.80 Sep 97 648.83 26,304.07 3,244.15 324.42 263.04 1,236.29 Oct 97 648 .83 26,952.90 3,244.15 324.42 269.53 1,242.78 Nov 97 648.83 27,601. 73 3,244.15 324.42 276.02 1,249.27 Dec 97 648.83 28,250.56 3,244.15 324.42 282.51 1,255.76 Jan 98 648.83 28,899.39 3,244.15 324.42 288.99 1,262.24 Feb 98 648.83 29,548.22 3,244.15 324.42 295.48 1,268.73 Mar 98 3,843.27 33,391.49 6,438.59 643.86 333.91 4,821.04 Apr 98 648.83 34,040.32 6,438.59 643.86 340.40 1,633.09 May 98 1,385.15 35,425.47 7,174.91 717.49 354.25 2,456.89 Jun 98 648.83 36,074.30 7,174.91 717.49 360.74 1,727.06 Jul 98 648 .83 36,723.13 7,174.91 717.49 367.23 1,733.55 Aug 98 648.83 37,371.96 3,980.47 398.05 373.72 1,420.60 Sep 98 648.83 38,020.79 3,980.47 398.05 380.21 1,427.09 Oct 98 648.83 38,669.62 3,244.15 324.42 386.70 1,359.95 Nov 98 1,678.76 40,348.38 4,274.08 427.41 403.48 2,509.65 Dec 98 648.83 40,997.21 4,274.08 427.41 409.97 1,486.21 Jan 99 872.81 41,870.02 4,498.06 449.81 418.70 1,741.32 SUB-T 41,870.02 19,990.83 11,022.59 72,883.44 Remaining Penalty and Interest Through 07/23/99 944.41 1,716.11 TOTAL 41,870.02 20,935.24 12,738.70 75,543.96 Note: Additional Daily Interest will accrue at $13.77 Tax, Penalty, " Interest Report PAGE: 2 Taxpayer: CITY OF CLEARNATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Summary of Exhibits to Schedule A Month Exh-A010 Exh-A020 Exh-A030 Exh-A040 Exh-A050 Exh-A060 Exh-A070 Schedule A &. Year Tax Due Tax Due Tax Due Tax Due Tax Due Tax Due Tax Due Total Feb 94 0.00 0.00 4.78 12.58 113.11 69.47 0.00 199.94 Mar 94 0.00 0.00 4.78 12.58 113.11 69.47 0.00 199.94 Apr 94 0.00 0.00 4.78 12.58 113.11 69.47 0.00 199.94 May 94 0.00 0.00 4.78 12.58 113.11 69.47 0.00 199.94 Jun 94 0.00 0.00 4.78 12.58 113.11 69.47 0.00 199.94 Jul 94 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Aug 94 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Sep 94 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Oct 94 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Nov 94 411.29 37.60 4.78 12.58 113 . 11 69.47 0.00 648.83 Dec 94 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Jan 95 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Feb 95 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Mar 95 411.29 37.60 4.78 12.58 113 . 11 69.47 0.00 648.83 Apr 95 411.29 37.60 4.78 12.58 113 . 11 69.47 0.00 648.83 May 95 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Jun 95 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Jul 95 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Aug 95 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Sep 95 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Oct 95 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Nov 95 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Dee 95 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Jan 96 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Feb 96 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Mar 96 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Apr 96 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 May 96 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Jun 96 411.29 37.60 4.78 12.58 113.11 69.4 7 0.00 648.83 Jul 96 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Aug 96 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Sep 96 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Oct 96 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Nov 96 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Dee 96 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Jan 97 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Feb 97 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Mar 97 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Apr 97 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 May 97 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Jun 97 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Jul 97 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Aug 97 411. 29 37.60 4.78 12.58 113 . 11 69.47 0.00 648.83 Sep 97 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Oct 97 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Nov 97 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Dee 97 411.29 37.60 4.78 12.58 113 . 11 69.47 0.00 648.83 Jan 98 411.29 37.60 4.78 12.58 113 . 11 69.47 0.00 648.83 Feb 98 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Mar 98 411.29 37.60 4.78 12.58 113.11 69.47 3,194.44 3,843.27 Apr 98 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 May 98 411.29 37.60 4.78 12.58 113 . 11 69.47 736.32 1,385.15 Jun 98 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Jul 98 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Aug 98 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Sep 98 411.29 37.60 4.78 12.58 113.11 69.47 0.00 648.83 Oct 98 411.29 37.60 4.78 12.58 113 . 11 69.47 0.00 648.83 Nov 98 411.29 37.60 4.78 12.58 113 . 11 69.47 1,029.93 1,678.76 Dec 98 411.29 37.60 4.78 12.58 113 . 11 69.47 0.00 648.83 Jan 99 411.29 37.60 4.78 12.58 113.11 69.47 223.98 872.81 Totals 22,620.95 2,068.00 286.80 754.80 6,786.60 4,168.20 5,184.67 41,870.02 A010: TAXABLE ADMISSIONS A020: UNTAXED ADMISSIONS A030: TAXABLE SALES A040: REAL PROPERTY RENTALS A050: DISALLOWED EXEMPT SALES A060: TAXABLE RENTALS Summary of Exhibits Report PAGE: ~ Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Audit Number: 9829914039 Audit period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Explanation of Items for Exhibit: A010 TAXABLE ADMISSIONS An examination of sales/revenues was made in conjunction with the type of taxpayer's business operations to determine if sales/revenues were handled in a proper manner concerning the collection and reporting of sales tax. As agreed with the taxpayer's representative, the examination of revenue transactions will be done through sampling procedures. A review and in depth analysis was made on the sales tax reports, collection vouchers, cashier's reports, cash register journal tapes, and general ledger to decide if sales tax are properly charged, exempt sales were substantiated with valid resale or exemption certificate, and if sales were properly accounted for. EXHIBIT A010. TAXABLE ADMISSIONS. The taxpayer owned a recreational and sport facilities. They have a registration policy whereby all persons, resident and non resident, should have a Participation Card in order to participate in the City recreational programs and to use recreational and sport facilities. For a city resident the participation or I.D. card will cost $3.00 for 2 years and $56.00 for non resident valid for one year. Obviously, the holder of the I.D. card has acquired the privilege of entering or using the taxpayer's recreational and sport facilities. Because of the privileges accorded to the holder of the I.D. card, the cost of the card or fee charged becomes a taxable admission in accordance with the provisions of Rule 12A-1.005, F.A.C., but sales tax has not been charged or collected. The taxpayer's representative requested for two years sample period in this case. The deficiency was tax assessed using the average method of computing the additional tax due for the audit period. Records examined: Collection Vouchers, Sales Tax Reports, Cashier's Reports, Cash Register Journal Tapes, Deposit Slips, General Ledger, and Sales Tax Returns. Specific and Implementing Authority: Chapter(s) Chapters: 95.091; 212.02 (1), (2), (8), (12), (13), (14), (16); 212.031 (1) (a) (b) (c) , (2) (a) , (3) , (6); 212.04; 212.05 (1) (a) 1.a., (2) , (3) , (4) ; 212.07(1) I (2) ,(3), (4), (9); 212.12 (1) , (2), (3) , (4) , (5) ,(6) , (9) , (10) , (13) ; 212.13; 212.14(1),(2),(6),(7); 212.15; 212.17(6); 212.18(2); 212.21(2), Florida Statutes. Regulation(s): Rule 12A-1.005, F.A.C. Explanation Of Items PAGE: t./ Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Additional Tax Due for Exhibit: A010 TAXABLE ADMISSIONS Avg. Taxable Tax Avg Tax Amount Rate Due Feb 94 0.00 0.060000 0.00 Mar 94 0.00 0.060000 0.00 Apr 94 0.00 0.060000 0.00 May 94 0.00 0.060000 0.00 Jun 94 0.00 0.060000 0.00 Jul 94 6,854.77 0.060000 411.29 Aug 94 6,854.77 0.060000 411.29 Sep 94 6,854.77 0.060000 411.29 Oet 94 6,854.77 0.060000 411.29 Nov 94 6,854.77 0.060000 411.29 Dee 94 6,854.77 0.060000 411.29 Jan 95 6,854.77 0.060000 411.29 Feb 95 6,854.77 0.060000 411.29 Mar 95 6,854.77 0.060000 411.29 Apr 95 6,854.77 0.060000 411.29 May 95 6,854.77 0.060000 411.29 Jun 95 6,854.77 0.060000 411.29 Jul 95 6,854.77 0.060000 411.29 Aug 95 6,854.77 0.060000 411.29 Sep 95 6,854.77 0.060000 411.29 Oet 95 6,854.77 0.060000 411.29 Nov 95 6,854.77 0.060000 411.29 Dee 95 6,854.77 0.060000 411.29 Jan 96 6,854.77 0.060000 411.29 Feb 96 6,854.77 0.060000 411.29 Mar 96 6,854.77 0.060000 411.29 Apr 96 6,854.77 0.060000 411.29 May 96 6,854.77 0.060000 411.29 Jun 96 6,854.77 0.060000 411.29 Jul 96 6,854.77 0.060000 411.29 Aug 96 6,854.77 0.060000 411.29 Sep 96 6,854.77 0.060000 411.29 Oet 96 6,854.77 0.060000 411.29 Nov 96 6,854.77 0.060000 411.29 Dee 96 6,854.77 0.060000 411.29 Jan 97 6,854.77 0.060000 411.29 Feb 97 6,854.77 0.060000 411.29 Mar 97 6,854.77 0.060000 411.29 Apr 97 6,854.77 0.060000 411.29 May 97 6,854.77 0.060000 411.29 Jun 97 6,854.77 0.060000 411.29 Jul 97 6,854.77 0.060000 411.29 Aug 97 6,854.77 0.060000 411.29 Sep 97 6,854.77 0.060000 411.29 Oct 97 6,854.77 0.060000 411.29 Nov 97 6,854.77 0.060000 411.29 Dee 97 6,854.77 0.060000 411.29 Jan 98 6,854.77 0.060000 411.29 Feb 98 6,854.77 0.060000 411.29 Mar 98 6,854.77 0.060000 411.29 Apr 98 6,854.77 0.060000 411.29 May 98 6,854.77 0.060000 411.29 Jun 98 6,854.77 0.060000 411.29 Jul 98 6,854.77 0.060000 411.29 Aug 98 6,854.77 0.060000 411.29 Sep 98 6,854.77 0.060000 411.29 Oet 98 6,854.77 0.060000 411.29 Nov 98 6,854.77 0.060000 411.29 Dee 98 6,854.77 0.060000 411.29 Jan 99 6,854.77 0.060000 411.29 Total 377,012.35 22,620.95 . Per Sample n Total Taxable Amount: 164514.50 n Total Taxed Amount: 0.00 n Additional Taxable Amount: 164514. SO II Months in Sample: 24 II Average Per Month: 6854.77 II II Additional Tax Due for Exhibit: A010 TAXABLE ADMISSIONS Audit Number: 9829914039 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax 5"' PAGE:_ Taxpayer: CITY OF CLEARNATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Detail Information for Exhibit: A010 TAXABLE ADMISSIONS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Oescription VARIOUS 10/31/96 PER SCH. 3623.00 3623.00 0.060000 217.38 217.38 ID/REGISTRATION CARD Oct 96 3623.00 3623.00 217.38 0.00 217.38 VARIOUS 11/30/96 PER SCH. 1369.00 1369.00 0.060000 82.14 82.14 IO/REGISTRATION CARD Nov 96 1369.00 1369.00 82.14 0.00 82.14 VARIOUS 12/31/96 PER SCH. 3817.00 3817.00 0.060000 229.02 229.02 ID/REGISTRATION CARD Oec 96 3817.00 3817 . 00 229.02 0.00 229.02 VARIOUS 01/31/97 PER SCH. 22669.00 22669.00 0.060000 1360.14 1360.14 ID/REGISTRATION CARD Jan 97 22669.00 22669.00 1360.14 0.00 1360.14 VARIOUS 02/28/97 PER SCH. 3565.00 3565.00 0.060000 213.90 213.90 IO/REGISTRATION CARD Feb 97 3565.00 3565.00 213.90 0.00 213.90 VARIOUS 03/31/97 PER SCH. 3447.00 3447.00 0.060000 206.82 206.82 IO/REGISTRATION CARD Mar 97 3447.00 3447.00 206.82 0.00 206.82 VARIOUS 04/30/97 PER SCH. 27821.00 27821.00 0.060000 1669.26 1669.26 IO/REGISTRATION CARD Apr 97 27821.00 27821. 00 1669.26 0.00 1669.26 VARIOUS 05/31/97 PER SCH. 6640.00 6640.00 0.060000 398.40 398.40 IO/REGISTRATION CARD May 97 6640.00 6640.00 398.40 0.00 398.40 Oetail Information for Exhibit: A010 TAXABLE ADMISSIONS PAGE:~ Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Detail Information for Exhibit: A010 T~XABLE ADMISSIONS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax. Due Description VARIOUS 06/30/97 PER SCH. 2576.00 2576.00 0.060000 154.56 154.56 ID/REGISTRATION CARD Jun 97 2576.00 2576.00 154.56 0.00 154.56 VARIOUS 07/31/97 PER SCH. 1526.00 1526.00 0.060000 91. 56 91. 56 ID/REGISTRATION CARD Jul 97 1526.00 1526.00 91. 56 0.00 91. 56 VARIOUS 08/31/97 PER SCH. 1745.00 1745.00 0.060000 104.70 104.70 ID/REGISTRATION CARD Aug 97 1745.00 1745.00 104.70 0.00 104.70 VARIOUS 09/30/97 PER SCH. 6905.00 6905.00 0.060000 414.30 414.30 ID/REGISTRATION CARD Sep 97 6905.00 6905.00 414.30 0.00 414.30 VARIOUS 10/31/97 PER SCH. 4468.00 4468.00 0.060000 268.08 268.08 ID/REGISTRATION CARD Oct 97 4468.00 4468.00 268.08 0.00 268.08 VARIOUS 11/30/97 PER SCH. 1062.00 1062.00 0.060000 63.72 63.72 ID/REGISTRATION CARD Nov 97 1062.00 1062.00 63.72 0.00 63.72 VARIOUS 12/31/97 PER SCH. 3234.00 3234.00 0.060000 194.04 194.04 ID/REGISTRATION CARD Dec 97 3234.00 3234.00 194.04 0.00 194.04 VARIOUS 01/31/98 PER SCH. 23980.00 23980.00 0.060000 1438.80 1438.80 ID/REGISTRATION CARD Jan 98 23980.00 23980.00 1438.80 0.00 1438.80 Detail Information for Exhibit: A010 TAXABLE ADMISSIONS PAGE:~ Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Detail Information for Exhibit: AC10 TAXABLE ADMISSIONS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description VARIOUS 02/28/98 PER SCH. 6761.00 6761.00 0.060000 405.66 405.66 ID/REGISTRATION CARD Feb 98 6761.00 6761. 00 405.66 0.00 405.66 VARIOUS 03/31/98 PER SCH. 4089.00 4089.00 0.060000 245.34 245.34 ID/REGISTRATION CARD Mar 98 4089.00 4089.00 245.34 0.00 245.34 VARIOUS 04/30/98 PER SCH. 11587.00 11587.00 0.060000 695.22 695.22 ID/REGISTRATION CARD Apr 98 11587.00 11587.00 695.22 0.00 695.22 VARIOUS 05/31/98 PER SCH. 5213.00 5213.00 0.060000 312.78 312.78 ID/REGISTRATION CARD May 98 5213.00 5213.00 312.78 0.00 312.78 VARIOUS 06/30/98 PER SCH. 8067.00 8067.00 0.060000 484.02 484.02 ID/REGISTRATION CARD Jun 98 8067.00 8067.00 484.02 0.00 484.02 VARIOUS 07/31/98 PER SCH. 5366.00 5366.00 0.060000 321.96 321. 96 ID/REGISTRATION CARD Jul 98 5366.00 5366.00 321. 96 0.00 321.96 VARIOUS 08/31/98 PER SCH. 2468.50 2468.50 0.060000 148.11 148.11 ID/REGISTRATION CARD Aug 98 2468.50 2468.50 148.11 0.00 148.11 VARIOUS 09/30/98 PER SCH. 2516.00 2516.00 0.060000 150.96 150.96 ID/REG'!:STRATION CA.'ID Sep 98 2516.00 2516.00 150.96 0.00 150.96 Detail Information for Exhibit: A010 TAXABLE ADMISSIONS PAGE: 2 Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Detail Information for Exhibit: A010 TAXABLE ADMISSIONS Audit Number: 9829914039 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Trans Trans Number Add'l Tax Due Description Name Date Trans Amount Taxable Amount Tax Rate Tax Due Tax Paid Grand Total 164514.50 Detail Information for Exhibit: A010 TAXABLE ADMISSIONS 164514.50 9870.87 0.00 9870.87 PAGE:~ CITY OF CLEARWATER Supporting Schedule for Exhibit A01 0 - Taxable Admissions (2-year sample period) ************************************************************************************************************ #347291 #34793 #34794 Total Less: Taxable Date Description Amount Amount Amount Receipts Credits Amount ************************************************************************************************************ 10/31/96 IDlRegistration Card 2919.00 222.00 1172.00 4313.00 690.00 3623.00 11/30/96 ID/Registration Card 396.00 249.00 724.00 1369.00 1369.00 12/31/96 I D/Registration Card 3028.00 108.00 681.00 3817.00 3817.00 01/31/97 ID/Registration Card 20542.00 84.00 2043.00 22669.00 22669.00 02/28/97 ID/Registration Card 2386.00 123.00 1056.00 3565.00 3565.00 03/31/97 ID/Registration Card 2433.00 123.00 891.00 3447.00 3447.00 04/30/97 ID/Registration Card 28544.00 135.00 1512.00 30191.00 2370.00 27821 .00 05/31 /97 ID/Registration Card 7130.00 108.00 1752.00 8990.00 2350.00 6640.00 06/30/97 ID/Registration Card 742.00 99.00 1735.00 2576.00 2576.00 07/31/97 ID/Registration Card 224.00 1 35.00 1167.00 1526.00 1526.00 08/31/97 ID/Registration Card 815.00 93.00 837.00 1745.00 1745.00 09/30/97 ID/Registration Card 6855.00 48.00 1 202.00 8105.00 1200.00 6905.00 10/31/97 ID/Registration Card 3475.00 1 83.00 810.00 4468.00 4468.00 11/30/97 I D/Registration Card 201.00 87.00 774.00 1062.00 1062.00 12/31/97 ID/Registration Card 3246.00 60.00 1618.00 4924.00 1690.00 3234.00 01/31/98 ID/Registration Card 19133.00 48.00 7479.00 26660.00 2680.00 23980.00 02/28/98 ID/Registration Card 6459.00 57.00 2085.00 8601.00 1840.00 6761.00 03/31/98 ID/Registration Card 2171.00 66.00 1852.00 4089.00 4089.00 04/30/98 ID/Registration Card 8954.00 90.00 2543.00 11587.00 . 11587.00 05/31/98 ID/Registration Card 2948.00 33.00 2922.00 5903.00 690.00 5213.00 06/30/98 ID/Registration Card 14320.00 75.00 2982.00 17377.00 9310.00 8067.00 07/31/98 ID/Registration Card 7834.00 63.00 2097.00 9994.00 4628.00 5366.00 08/31/98 I D/Registration Card 653.50 96.00 1719.00 2468.50 2468.50 09/30/98 I D/Registration Card 8056.00 63.00 1087.00 9206.00 6690.00 2516.00 ------------------------------------------------------------------------ ------------- ----------------------------------------------------------- TOTALS 153464.50 2448.00 42740.00 198652.50 34138.00 164514.50 ------------------------------------------------------------------------ ------------------------------------------------------------------------ /0 Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Audit Number: 9829914039 Audit period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Explanation of Items for Exhibit: A020 UNTAXED ADMISSIONS EXHIBIT A020. UNTAXED ADMISSIONS. During the examination, it was disclosed that taxpayer sponsors "dance party" at its facilities, like Norton Recreation Center, M.L.King Center, and King's Hwy. Center, and admission fees are charged. The City also derived revenues from sale of tickets, gate charges, or entrance fees from boxing tournament, hay ride, and moccasin lake tour, but failed to charged or collect the sales tax as required under Rule 12A-1.005(1), which states: "Every dealer is exercising a taxable privilege who sells or receives anything of value by way of admissions, except those admissions which are specifically exempt." The 12 months of the fiscal period October 1997 to September 1998 was used as sample period in this case. The deficiency was tax assessed using the average method of projecting the additional tax due for the audit period. Records examined: Collection Vouchers, Sales Tax Reports, Cashier's Reports, General Ledger, and Sales Tax Returns. Specific and Implementing Authority: Chapter(s) Chapters: 95.091; 212.02 (1), (2), (8); (12), (13), (14), (16)); 212.031 (1) (a) (b) (c) , (2) (a) , (3) , (4); 212.04: 212.05 (1) (a) l.a., (2), (3), (4) ; 212.07(1), (2), (3), (4), (9); 212.12(1), (2), (3), (4), (5), (6), (9), (10), (13); 212.13; 212.14(1),(2),(6),(7); 212.15; 212.17(6); 212.18(2); 212.21(2), Florida Statutes. Regulation(s): Rule 12A-l.005, F.A.C. Explanation Of Items PAGE: 1/ Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Additional Tax Due for Exhibit: A020 UNTAXED ADMISSIONS Ayg. Taxable Tax Avg Tax Amount Rate Due Feb 94 0.00 0.060000 0.00 Mar 94 0.00 0.060000 0.00 Apr 94 0.00 0.060000 0.00 May 94 0.00 0.060000 0.00 Jun 94 0.00 0.060000 0.00 Jul 94 626.60 0.060000 37.60 Aug 94 626.60 0.060000 37.60 Sep 94 626.60 0.060000 37.60 Oct 94 626.60 0.060000 37.60 NaY 94 626.60 0.060000 37.60 Dee 94 626.60 0.060000 37.60 Jan 95 626.60 0.060000 37.60 Feb 95 626.60 0.060000 37.60 Mar 95 626.60 0.060000 37.60 Apr 95 626.60 0.060000 37.60 May 95 626.60 0.060000 37.60 Jun 95 626.60 0.060000 37.60 Jul 95 626.60 0.060000 37.60 Aug 95 626.60 0.060000 37.60 Sep 95 626.60 0.060000 37.60 Oct 95 626.60 0.060000 37.60 Noy 95 626.60 0.060000 37.60 Dee 95 626.60 0.060000 37.60 Jan 96 626.60 0.060000 37.60 Feb 96 626.60 0.060000 37.60 Mar 96 626.60 0.060000 37.60 Apr 96 626.60 0.060000 37.60 May 96 626.60 0.060000 37.60 Jun 96 626.60 0.060000 37.60 Jul 96 626.60 0.060000 37.60 Aug 96 626.60 0.060000 37.60 Sep 96 626.60 0.060000 37.60 Oct 96 626.60 0.060000 37.60 Noy 96 626.60 0.060000 37.60 Dee 96 626.60 0.060000 37.60 Jan 97 626.60 0.060000 37.60 Feb 97 626.60 0.060000 37.60 Mar 97 626.60 0.060000 37.60 Apr 97 626.60 0.060000 37.60 May 97 626.60 0.060000 37.60 Jun 97 626.60 0.060000 37.60 Jul 97 626.60 0.060000 37.60 Aug 97 626.60 0.060000 37.60 Sep 97 626.60 0.060000 37.60 Oct 97 626.60 0.060000 37.60 Nov 97 626.60 0.060000 37.60 Dee 97 626.60 0.060000 37.60 Jan 98 626.60 0.060000 37.60 Feb 98 626.60 0.060000 37.60 Mar 98 626.60 0.060000 37.60 Apr 98 626.60 0.060000 37.60 May 98 626.60 0.060000 37.60 Jun 98 626.60 0.060000 37.60 Jul 98 626.60 0.060000 37.60 Aug 98 626.60 0.060000 37.60 Sep 98 626.60 0.060000 37.60 Oct 98 626.60 0.060000 37.60 NaY 98 626.60 0.060000 37.60 Dee 98 626.60 0.060000 37.60 Jan 99 626.60 0.060000 37.60 Total 34,463.00 2,068.00 Per Sample Total Taxable Amount: 7519.25 Total Taxed Amount: 0.00 Additional Taxable Amount: 7519.25 Months in Sample: 12 Average Per Month: 626.60 Additional Tax Due for Exhibit: A020 UNTAXED ADMISSIONS Audit Number: 9829914039 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax PAGE: /:6 Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Detail Information for Exhibit: A020 UNTAXED ADMISSIONS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description VARIOUS 10/31/97 PER SCH. 119.00 119.00 0.060000 7.14 7.14 ADMISSION CHARGES (MOCC. LAKE) Oct 97 119.00 119.00 7.14 0.00 7.14 VARIOUS 11/10/97 PER SCH. 309.00 309.00 0.060000 18.54 18.54 TICKET SALES (MEMORIAL CIVIC CTR. ) VARIOUS 11/20/97 PER SCH. 152.25 152.25 0.060000 9.14 9.14 TICKET SALES (MEMORIAL CIVIC CTR. ) Nov 97 461. 25 461. 25 27.68 0.00 27.68 VARIOUS 12/20/97 PER SCH. 328.00 328.00 0.060000 19.68 19.68 ADMISSION CHARGES FROM HAY RIDE Dee 97 328.00 328.00 19.68 0.00 19.68 VARIOUS 01/23/98 PER SCH. 105.00 105.00 0.060000 6.30 6.30 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 01/31/98 PER SCH. 13 9.00 139.00 0.060000 8.34 8.34 ADMISSION CHARGES (MOCC. LAKE) Jan 98 244.00 244.00 14.64 0.00 14.64 VARIOUS 02/13/98 PER SCH. 79.00 79.00 0.060000 4.74 4.74 ADMISSION CHARGES FROM TEEN DANCE Feb 98 79.00 79.00 4.74 0.00 4.74 VARIOUS 04/03/98 PER SCH. 113.00 113.00 0.060000 6.78 6.78 ADMISSION CHARGES FROM SPLASH PARTY VARIOUS 04/14/98 PER SCH. 714.00 714.00 0.060000 42.84 42.84 TICKET SALES (MORNINGSIDE REC. CTR. ) VARIOUS 04/30/98 PER SCH. 273.00 273.00 0.060000 16.38 16.38 ADMISSION CHARGES (MOCC. LAKE) Apr 98 1100.00 1100.00 66.00 0.00 66.00 VARIOUS 05/04/98 PER SCH. 160.50 160.50 0.060000 9.63 9.63 ADMISSION CHARGES Detail Information for Exhibit: A020 UNTAXED ADMISSIONS PAGE:~ Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Detail Information for Exhibit: A020 UNTAXED ADMISSIONS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description FROM TEEN DANCE May 98 160.50 160.50 9.63 0.00 9.63 VARIOUS 06/03/98 PER SCH. 401.00 401. 00 0.060000 24.06 24.06 ADMISSION CHARGES FROM SPLASH PARTY VARIOUS 06/11/98 PER SCH. 31. 00 31.00 0.060000 1. 86 1. 86 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 06/12/98 PER SCH. 1845.00 1845.00 0.060000 110.70 110.70 TICKET SALES ON BOXING TOURNAMENT VARIOUS 06/12/98 PER SCH. 261.00 261.00 0.060000 15.66 15.66 ADMISSION CHARGES FROM SPLASH PARTY Jun 98 2538.00 2538.00 152.28 0.00 152.28 VARIOUS 07/20/98 PER SCH. 200.50 200.50 0.060000 12.03 12.03 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 07/20/98 PER SCH. 200.50 200.50 0.060000 12.03 12.03 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 07/22/98 PER SCH. 116.00 116.00 0.060000 6.96 6.96 ADMISSION CHARGES FROM SPLASH PARTY VARIOUS 07/24/98 PER SCH. 271.50 271.50 0.060000 16.29 16.29 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 07/31/98 PER SCH. 121. 50 121.50 0.060000 7.29 7.29 ADMISSION CHARGES (MOCC. LAKE) Jul 98 910.00 910.00 54.60 0.00 54.60 VARIOUS 08/04/98 PER SCH. 144.00 144.00 0.060000 8.64 8.64 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 08/04/98 PER SCH. 144.00 144.00 0.060000 8.64 8.64 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 08/07/98 PER SCH. 167.00 167.00 0.060000 10.02 10.02 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 08/13/98 PER SCH. 71.00 71.00 0.060000 4.26 4.26 ADMISSION CHARGES FROM SPLASH PARTY VARIOUS 08/13/98 PER SCH. 170.00 170.00 0.060000 10.20 10.20 ADMISSION CHARGES FROM SPLASH PARTY VARIOUS 08/20/98 PER SCH. 140.00 140.00 0.060000 8.40 8.40 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 08/20/98 PER SCH. 140.00 140.00 0.060000 8.40 8.40 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 08/25/98 PER SCH. 193.50 193.50 0.060000 11. 61 11. 61 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 08/28/98 PER SCH. 205.00 205.00 0.060000 12.30 12.30 ADMISSION CHARGES Detail Information for Exhibit: A020 UNTAXED ADMISSIONS PAGE: /t./. Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Detail Information for Exhibit: A02e UNTAXED ADMISSIONS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description FROM TEEN DANCE Aug 98 1374. SO 1374.50 82.47 0.00 82.47 VARIOUS 09/01/98 PER SCH. 205.00 205.00 0.060000 12.30 12.30 ADMISSION CHARGES FROM TEEN DANCE Sep 98 205.00 205.00 12.30 0.00 12.30 Grand Total 7519.25 7519.25 451.16 0.00 451.16 Detail Information for Exhibit: AD2D UNTAXED ADMISSIONS PAGE: /S Supporting Schedule for Exhibit A020 - Untaxed Admissions (one-year sample period) ************************************************************************************************************ Date Amount Remarks ***~******************************************************************************************************** Posted To 06/12/98 06/11/98 1 2/20/97 01 /23/98 02/1 3/98 05/04/98 06/12/98 07/24/98 08/07/98 08/13/98 08/28/98 08/25/98 09/01/98 07/20/98 08/04/98 08/20/98 04/03/98 06/03/98 07/22/98 08/13/98 07/20/98 08/20/98 08/04/98 11/1 0/97 04/14/98 11/20/97 10/31/97 01/31/98 04/30/98 07/31/98 1845.00 Ticket sales on Boxing Tournament 31.00 Admission Charges from Teen Dance 328.00 Admission Charges from Hay Ride 105.00 Admission Charges from Teen Dance 79.00 Admission Charges from Teen Dance 160.50 Admission Charges from Teen Dance 261.00 Admission Charges from Splash Party 271.50 Admission Charges from Teen Dance 167.00 Admission Charges from Teen Dance 71.00 Admission Charges from Splash party 205.00 Admission Charges from Teen Dance 193.50 Admission Charges from Teen Dance 205.00 Admission Charges from Teen Dance 200.50 Admission Charges from Teen Dance 144.00 Admission Charges from Teen Dance 140.00 Admission Charges from Teen Dance 113.00 Admission Charges from Splash Party 401.00 Admission Charges from Splash Party 116.00 Admission Charges from Splash Party 170.00 Admission Charges from Splash Party 200.50 Admission Charges from Teen Dance 140.00 Admission Charges from Teen Dance 144.00 Admission Charges from Teen Dance 309.00 Ticket Sales - (Memorial Civic Ctr.) 714.00 Ticket Sales -(Morningside Rec. Center) 152.25 Ticket Sales -(Memorial Civic Ctr.) 119.00 Admission Charges (Mocc. Lake Tour) 139.00 Admission Charges (Mocc. Lake Tour) 273.00 Admission Charges (Mocc. Lake Tour) 121.50 Admission Charges (Mocc. Lake Tour) NC#181-366906 NC#181-366906 NC#181-366906 NC#181 -366906 NC#181 -366906 NC#181-366906 A/C#181 -366906 NC#181 -366906 A/C#181 -366906 NC#181 -366906 NC#181 .,...366906 NC#181 -366906 NC#181 -366906 NC#181 -366906 NC#181 -366906 NC#181 -366906 NC#181 -366906 NC#181 -366906 NC#181 -366906 NC#181 -366906 NC#181 -366906 NC#181 -366906 NC#181 -366906 NC#181 -366906 NC#181 -366906 NC#181-366906 NC #010-346541 NC #010-346541 NC #010-346541 NC #010-346541 TOTAL ------------------------------------------------------------------------ ------------------------------------------------------------------------ 7519.25 ------------------------------------------------------------------------ ------------------------------------------------------------------------ /~ Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Audit Number: 9829914039 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Explanation of Items for Exhibit: A030 TAXABLE SALES EXHIBIT A030. TAXABLE SALES. It was discovered that taxpayer generate revenues from sales of tangible personal properties, like pottery, ping-pong ball, flip, and also from sales of food and drinks for human consumption at their facilities and sales tax was not charged or collected as required under Rule 12A-1.011 and 12A-1.016, F.A.C. The 12 months of the fiscal period October 1997 to September 1998 was used as the sample period in this case. The deficiency was tax assessed using the average method of computing the additional tax due for the audit period. Records examined: Collection Vouchers, Sales Tax Reports, Cashier's Reports, General Ledger, and Sales Tax Returns. Specific and Implementing Authority: Chapter(s} Chapters: 95.091; 212.02 (2) , (4) , (8) I (l3) I (14) , (15) , (16) , (19) , (20) ; 212.05 (1) (a) 1.a., (2) I (3) , (4) ; 212.06 (1) (a) (b) (c) , (2) , (3), (4) , (5), (6) ; 212.07(1), (2), (3), (4), (9); 212.12 (1), (2), (3), (4), (5), (6), (9), (10), (13); 212.13; 212.14(1}(2},(6},(7}; 212.17(6); 212.18(2); 212.21(2}, Florida Statutes. Regulation(s): Rules: 12A-1.011; 12A-1.016, F.A.C. Explanation Of Items PAGE: /7 . Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Additional Tax Due for Exhibit: A030 TAXABLE SALES Avg. Taxable Tax Avg Tax Amount Rate Due Feb 94 79.59 0.060000 4.78 Mar 94 79.59 0.060000 4.78 Apr 94 79.59 0.060000 4.78 May 94 79.59 0.060000 4.78 Jun 94 79.59 0.060000 4.78 Jul 94 79.59 0.060000 4.78 Aug 94 79.59 0.060000 4.78 Sep 94 79 .59 0.060000 4.78 Oet 94 79.59 0.060000 4.78 Nov 94 79.59 0.060000 4.78 Dee 94 79.59 0.060000 4.78 Jan 95 79.59 0.060000 4.78 Feb 95 79.59 0.060000 4.78 Mar 95 79.59 0.060000 4.78 Apr 95 79.59 0.060000 4.78 May 95 79.59 0.060000 4.78 Jun 95 79.59 0.060000 4.78 Jul 95 79.59 0.060000 4.78 Aug 95 79.59 0.060000 4.78 Sep 95 79.59 0.060000 4.78 Oet 95 79.59 0.060000 4.78 Nov 95 79.59 0.060000 4.78 Dee 95 79.59 0.060000 4.78 Jan 96 79.59 0.060000 4.78 Feb 96 79.59 0.060000 4.78 Mar 96 79.59 0.060000 4.78 Apr 96 79.59 0.060000 4.78 May 96 79.59 0.060000 4.78 Jun 96 79.59 0.060000 4.78 Jul 96 79.59 0.060000 4.78 Aug 96 79.59 0.060000 4.78 Sep 96 79.59 0.060000 4.78 Oct 96 79.59 0.060000 4.78 Nov 96 79.59 0.060000 4.78 Dee 96 79.59 0.060000 4.78 Jan 97 79.59 0.060000 4.78 Feb 97 79.59 0.060000 4.78 Mar 97 79.59 0.060000 4.78 Apr 97 79.59 0.060000 4.78 May 97 79.59 0.060000 4.78 Jun 97 79.59 0.060000 4.78 Jul 97 79.59 0.060000 4.78 Aug 97 79.59 0.060000 4.78 Sep 97 79.59 0.060000 4.78 Oct 97 79.59 0.060000 4.78 Nov 97 79.59 0.060000 4.78 Dee 97 79.59 0.060000 4.78 Jan 98 79.59 0.060000 4.78 Feb 98 79.59 0.060000 4.78 Mar 98 79.59 0.060000 4.78 Apr 98 79.59 0.060000 4.78 May 98 79.59 0.060000 4.78 Jun 98 79.59 0.060000 4.78 Jul 98 79.59 0.060000 4.78 Aug 98 79.59 0.060000 4.78 Sep 98 79.59 0.060000 4.78 Oet 98 79.59 0.060000 4.78 Nov 98 79.59 0.060000 4.78 Dee 98 79.59 0.060000 4.78 Jan 99 79.59 0.060000 4.78 Total 4,775.40 286.80 Per Sample Total Taxable Amount: 955.11 Total Taxed Amount: 0.00 Additional Taxable Amount: 955.11 Months in Sample: 12 Average Per Month: 79.59 Additional Tax Due for Exhibit: A030 TAXABLE SALES PAGE: /2 - Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Numbe r : 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Detail Information for Exhibit: A030 TAXABLE SALES Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description VARIOUS 10/07/97 PER SCH. 144.00 144.00 0.060000 8.64 8.64 PING-PONG BALL SALES VARIOUS 10/27/97 PER SCH. 10.00 10.00 0.060000 0.60 0.60 PING-PONG BALL SALES Oct 97 154.00 154.00 9.24 0.00 9.24 VARIOUS 11/10/97 PER SCH. 29.50 29.50 0.060000 1. 77 1. 77 POTTERY SALES Nov 97 29.50 29.50 1. 77 0.00 1. 77 VARIOUS 12/19/97 PER SCH. 32.25 32.25 0.060000 1. 94 1. 94 PING-PONG BALL SALES Dee 97 32.25 32.25 1. 94 0.00 1. 94 VARIOUS 01/15/98 PER SCH. 16.25 16.25 0.060000 0.98 0.98 PING-PONG BALL SALES VARIOUS 01/23/98 PER SCH. 33.25 33.25 0.060000 2.00 2.00 POTTERY SALES VARIOUS 01/28/98 PER SCH. 48.00 48.00 0.060000 2.88 2.88 CONCESSION SALES Jan 98 97.50 97.50 5.86 0.00 5.86 VARIOUS 02/20/98 PER SCH. 10.00 10.00 0.060000 0.60 0.60 PING-PONG BALL SALES Feb 98 10.00 10.00 0.60 0.00 0.60 VARIOUS 03/20/98 PER SCH. 101.85 101. 85 0.060000 6.12 6.12 PING-PONG BALL SALES Mar 98 101. 85 101.85 6.12 0.00 6.12 VARIOUS 04/16/98 PER SCH. 57.40 57.40 0.060000 3.45 3.45 POTTERY SALES Apr 98 57.40 57.40 3.45 0.00 3.45 VARIOUS 06/12/98 PER SCH. 48.50 48.50 0.060000 2.91 2.91 CONCESSION SALES Detail Information for Exhibit: A030 TAXABLE SALES PAGE: /9 Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Detail Information for Exhibit: A030 TAXABLE SALES Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description Jun 98 48.50 48.50 2.91 0.00 2.91 VARIOUS 07/23/98 PER SCH. 26.03 26.03 0.060000 1.56 1. 56 FLIP SALES VARIOUS 07/23/98 PER SCH. 61.17 61.17 0.060000 3.68 3.68 FLIP SALES Jul 98 87.20 87.20 5.24 0.00 5.24 VARIOUS 08/04/98 PER SCH. 71. 25 71.25 0.060000 4.28 4.28 FLIP SALES VARIOUS 08/05/98 PER SCH. 34.60 34.60 0.060000 2.08 2.08 FLIP SALES VARIOUS 08/11/98 PER SCH. 35.20 35.20 0.060000 2.12 2.12 FLIP SALES VARIOUS 08/11/98 PER SCH. 27.42 27.42 0.060000 1. 65 1. 65 CONCESSION SALES VARIOUS 08/21/98 PER SCH. 11.00 11.00 0.060000 0.66 0.66 PING-PONG BALL SALES VARIOUS 08/21/98 PER SCH. 47.50 47.50 0.060000 2.85 2.85 FLIP SALES VARIOUS 08/21/98 PER SCH. 13.94 13.94 0.060000 0.84 0.84 CONCESSION SALES VARIOUS 08/24/98 PER SCH. 62.00 62.00 0.060000 3.72 3.72 PING-PONG BALL SALES Aug 98 302.91 302.91 18.20 0.00 18.20 VARIOUS 09/22/98 PER SCH. 34.00 34.00 0.060000 2.04 2.04 PING-PONG BALL SALES Sep 98 34.00 34.00 2.04 0.00 2.04 Grand Total 955.11 955.11 57.37 0.00 57.37 Detail Information for Exhibit: A030 TAXABLE SALES PAGE: ZO Supporting Schedule for Exhibit A030 - Taxable Sales (one-year sample period) ************************************************************************************************************ Date Amount Remarks Posted To ************************************************************************************************************ 11 /1 0/97 01/23/98 04/16/98 1 0/27/97 12/19/97 01 /1 5/98 02/20/98 08/24/98 08/21/98 09/22/98 1 0/07/97 03/1 0/98 07/23/98 07/23/98 08/21 /98 08/04/98 08/05/98 08/11/98 01/23/98 06/12/98 08/11/98 08/21/98 29.50 Pottery Sales 33.25 Pottery Sales 57.40 Pottery Sales 10.00 Ping-Pong Ball Sales 32.25 Ping-Pong Ball Sales 16.25 Ping-Pong Ball Sales 10.00 Ping-Pong Ball Sales 62.00 Ping-Pong Ball Sales 11.00 Ping-Pong Ball Sales 34.00 Ping-Pong Ball Sales 144.00 Ping-Pong Ball Sales 101 .86 Ping - Pong Ball Sales 26.03 Flip Sales 61.17 Flip Sales 47.50 Flip Sales 71.26 Flip Sales 34.60 Flip Sales 35.20 Flip Sales 48.00 Concession Sales 48.50 Concession Sales 27.42 Concession Sales 13.94 Concession Sales #181 -366906 #181 -366906 #181 -366906 #181 -366906 #181 -366906 #181 -366906 #181 -366906 #181 -366906 #181-366906 #181 -366906 #181 -366906 #181 -366906 #181 -366906 #181 -366906 #181 -366906 #181 -366906 #181 -366906 #181 -366906 #181-366906 #181 -366906 #181 -366906 #181 -366906 ------------------------------------------------------------------------ ------------------------------------------------------------------------ TOTAL 955.1 3 ------------------------------------------------------------------------ ------------------------------------------------- - ------------- --------- 2/ Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Audit Number: 9829914039 Audit period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax REAL PROPERTY RENTALS Explanation of Items for Exhibit: A040 EXHIBIT A040. REAL PROPERTY RENTALS. The review of the collection vouchers and general ledger revealed that some revenues generated from leases or license to use real properties owned by the taxpayer were not charged of sales tax. Pursuant to the provisions of Rule 12A-1.070(4) (b), F.A.C. which states: 'The tax shall be paid at the rate of 5 percent to February 1, 1988, and 6 percent on or after February 1, 1988, on all considerations due and payable by the tenant or other person actually occupying, using, or entitled to use any real property to his landlord or other person for the privilege of use, occupancy, or the right to use or occupy any real property for any purpose." The 12 months of the fiscal period October 1997 to September 1998 was used as the sample period in this case. The deficiency was tax assessed using the average method of projecting the additional tax due for the audit period. Records examined: Collection Vouchers, Sales Tax Reports, Cashier's Reports, General Ledger and Sales Tax Returns. Specific and Implementing Authority: Chapter(s) Chapters: 95.091; 212.02 (2) , (8) , (10) , (12), (13) , (14) , (15) , (16), (20) ; 212.031 (1) (a) (b) (c) , (2) (a) , (3) , (6) ; 212.05 (1) (a) l.a., (2), (3), (4); 212.06(2), (3), (4), (5); 212.07(1), (2), (3), (4), (9); 212.12 (1) , (2) , (3) , (4) , (5), (6) , (8) , (9) , (10) , (12) ; 212.13; 212.14(1),(2),(6),(7); 212.15; 212.17(6); 212.18(2); 212.21(2), Florida Statutes. Regulation(s): Rule 12A-l.070, F.A.C. Explanation Of Items PAGE: 2 ;(/ Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Additional Tax Due for Exhibit: A040 REAL PROPERTY RENTALS Avg. Taxable Tax Avg Tax Amount Rate Due Feb 94 209.74 0.060000 12.58 Mar 94 209.74 0.060000 12.58 Apr 94 209.74 0.060000 12.58 May 94 209.74 0.060000 12.58 Jun 94 209.74 0.060000 12.58 Jul 94 209.74 0.060000 12.58 Aug 94 209.74 0.060000 12.58 Sep 94 209.74 0.060000 12.58 Oet 94 209.74 0.060000 12.58 Nov 94 209.74 0.060000 12.58 Dee 94 209.74 0.060000 12.58 Jan 95 209.74 0.060000 12.58 Feb 95 209.74 0.060000 12.58 Mar 95 209.74 0.060000 12.58 Apr 95 209.74 0.060000 12.58 May 95 209.74 0.060000 12.58 Jun 95 209.74 0.060000 12.58 Jul 95 209.74 0.060000 12.58 Aug 95 209.74 0.060000 12.58 Sep 95 209.74 0.060000 12.58 Oet 95 209.74 0.060000 12.58 Nov 95 209.74 0.060000 12.58 Dee 95 209.74 0.060000 12.58 Jan 96 209.74 0.060000 12.58 Feb 96 209.74 0.060000 12.58 Mar 96 209.74 0.060000 12.58 Apr 96 209.74 0.060000 12.58 May 96 209.74 0.060000 12.58 Jun 96 209.74 0.060000 12.58 Jul 96 209.74 0.060000 12.58 Aug 96 209.74 0.060000 12.58 Sep 96 209.74 0.060000 12.58 Oct 96 209.74 0.060000 12.58 Nov 96 209.74 0.060000 12.58 Dee 96 209.74 0.060000 12.58 Jan 97 209.74 0.060000 12.58 Feb 97 209.74 0.060000 12.58 Mar 97 209.74 0.060000 12.58 Apr 97 209.74 0.060000 12.58 May 97 209.74 0.060000 12.58 Jun 97 209.74 0.060000 12.58 Jul 97 209.74 0.060000 12.58 Aug 97 209.74 0.060000 12.58 Sep 97 209.74 0.060000 12.58 Oct 97 209.74 0.060000 12.58 Nov 97 209.74 0.060000 12.58 Dee 97 209.74 0.060000 12.58 Jan 98 209.74 0.060000 12.58 Feb 98 209.74 0.060000 12.58 Mar 98 209.74 0.060000 12.58 Apr 98 209.74 0.060000 12.58 May 98 209.74 0.060000 12.58 Jun 98 209.74 0.060000 12.58 Jul 98 209.74 0.060000 12.58 Aug 98 209.74 0.060000 12.58 Sep 98 209.74 0.060000 12.58 Oet 98 209.74 0.060000 12.58 Nov 98 209.74 0.060000 12.58 Dee 98 209.74 0.060000 12.58 Jan 99 209.74 0.060000 12.58 Total 12,584.40 754.80 II II Per Sample II Total Taxable Amount: 2516.84 II Total Taxed Amount: 0.00 II Additional Taxable Amount: 2516.84 II Months in Sample: 12 II Average Per Month: 209.74 II Additional Tax Due for Exhibit: A040 REAL PROPERTY RENTALS Audit Number: 9829914039 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Z3 PAGE:_ Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Detail Information for Exhibit: A040 REAL PROPERTY RENTALS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description VARIOUS 06/12/98 PER SCH. 1530.00 1530.00 0.060000 91.80 91. 80 RENTALS FROM CONCESSION STAND VARIOUS 06/30/98 PER SCH. 736.84 736.84 0.060000 44.22 44.22 RENTALS FROM CONCESSION STAND Jun 98 2266.84 2266.84 136.02 0.00 136.02 FL. CORP. 07/31/98 CK#235 250.00 250.00 0.060000 15.00 15.00 SPORTSFENCE RENTAL SPORTS FEST Jul 98 250.00 250.00 15.00 0.00 15.00 Grand Total 2516.84 2516.84 151. 02 0.00 151.02 Detail Information for Exhibit: A040 REAL PROPERTY RENTALS PAGE: zt/ Explanation of Items for Exhibit: A050 Audit Number: 9829914039 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax DISALLOWED EXEMPT SALES Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 EXHIBIT A050. DISALLOWED EXEMPT SALES. It was also discovered that taxpayer generate revenues from sales of recycling materials and other tangible personal properties but failed to charged or collect sales tax as required under Rule 12A-1.016, F.A.C., nor it was substantiated with valid resale certificate as required under Rule 12A-1.038, F.A.C.. The 4 months of the fiscal period October 1997 to September 1998, i.e., Oct. 97; Jan. 98; Apr. 98; and Jul. 98 was ,used as the sample period in this case. The deficiency was tax assessed using the average method of computing the additional tax due for the audit period. Records examined: Collection Vouchers, Sales Tax Reports, Cashier's Reports, General Ledger, and Sales Tax Returns. Specific and Implementing Authority: Chapter(s) Chapters: 95.091; 212.02 (2) , (4) , (8) , (12) , (13) , (14) , (15) , (16) , (19) , (20) ; 212.05 (1) (a) l.a., (2) , (3) , (4) ; 212.06 (1) (a) (b) , (2) , (3) , (4) , (5) , (6) ; 212.07 (1) , (2) , (3) , (4) , (9) ; 212.12 (1) , (2) , (3) , (4) , (5) , (6) , (9) , (10) , (12) ; 212.13; 212.14(1), (2), (6), (7); 212.15; 212.17(6); 212.18(2); 212.21(2), Florida Statutes. Regulation(s): Rules: 12A-1.016; 12A-1.038, F.A.C. Explanation Of Items PAGE: :J.-S- Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Additional Tax Due for Exhibit: A050 DISALLOWED EXEMPT SALES Avg. Taxable Tax Avg Tax Amount Rate Due Feb 94 1,885.21 0.060000 113.11 Mar 94 1,885.21 0.060000 113.11 Apr 94 1,885.21 0.060000 113 . 11 May 94 1,885.21 0.060000 113.11 Jun 94 1,885.21 0.060000 113.11 Jul 94 1,885.21 0.060000 113.11 Aug 94 1,885.21 0.060000 113.11 Sep 94 1,885.21 0.060000 113.11 Oct 94 1,885.21 0.060000 113.11 Nov 94 1,885.21 0.060000 113.11 Dee 94 1,885.21 0.060000 113.11 Jan 95 1,885.21 0.060000 113.11 Feb 95 1,885.21 0.060000 113.11 Mar 95 1,885.21 0.060000 113.11 Apr 95 1,885.21 0.060000 113.11 May 95 1,885.21 0.060000 113.11 Jun 95 1,885.21 0.060000 113.11 Jul 95 1,885.21 0.060000 113.11 Aug 95 1,885.21 0.060000 113.11 Sep 95 1,885.21 0.060000 113.11 Oct 95 1,885.21 0.060000 113.11 Nov 95 1,885.21 0.060000 113.11 Dee 95 1,885.21 0.060000 113.11 Jan 96 1,885.21 0.060000 113.11 Feb 96 1,885.21 0.060000 113 . 11 Mar 96 1,885.21 0.060000 113 . 11 Apr 96 1,885.21 0.060000 113.11 May 96 1,885.21 0.060000 113.11 Jun 96 1,885.21 0.060000 113 . 11 Jul 96 1,885.21 0.060000 113 . 11 Aug 96 1,885.21 0.060000 113.11 Sep 96 1,885.21 0.060000 113.11 Oct 96 1,885.21 0.060000 113.11 Nov 96 1,885.21 0.060000 113 . 11 Dee 96 1,885.21 0.060000 113 . 11 Jan 97 1,885.21 0.060000 113.11 Feb 97 1,885.21 0.060000 113.11 Mar 97 1,885.21 0.060000 113.11 Apr 97 1,885.21 0.060000 113 . 11 May 97 1,885.21 0.060000 113.11 Jun 97 1,885.21 0.060000 113.11 Jul 97 1,885.21 0.060000 113.11 Aug 97 1,885.21 0.060000 113.11 Sep 97 1,885.21 0.060000 113. 11 Oct 97 1,885.21 0.060000 113. 11 Nov 97 1,885.21 0.060000 113 . 11 Dee 97 1,885.21 0.060000 113.11 Jan 98 1,885.21 0.060000 113 . 11 Feb 98 1,885.21 0.060000 113. 11 Mar 98 1,885.21 0.060000 113.11 Apr 98 1,885.21 0.060000 113.11 May 98 1,885.21 0.060000 113 . 11 Jun 98 1,885.21 0.060000 113. 11 Jul 98 1,885.21 0.060000 113 . 11 Aug 98 1,885.21 0.060000 113.11 Sep 98 1,885.21 0.060000 113 . 11 Oct 98 1,885.21 0.060000 113 . 11 Nov 98 1,885.21 0.060000 113 . 11 Dee 98 1,885.21 0.060000 113.11 Jan 99 1,885.21 0.060000 113 .11 Total 113,112.60 6,786.60 Per Sample Total Taxable Amount: 7540.82 Total Taxed Amount: 0.00 Additional Taxable Amount: 7540.82 Months in Sample: 4 Average Per Month: 1885.21 Additional Tax Due for Exhibit: A050 DISALLOWED EXEMPT SALES Audit Number: 9829914039 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax PAGE: 2~ Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Salea Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Detail Information for Exhibit: A050 DISALLOWED EXEMPT SALES Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description SUNCOAST INSULATION 10/30/97 PER SCH. 3534.60 3534.60 0.060000 212.08 212.08 NO VALID RESALE CERTIFICATE STRATEGIC MATERIALS 10/31/97 PER SCH. 1408.07 1408.07 0.060000 84.48 84.48 NO VALID RESALE CERTIFICATE JAMES METALS 10/31/97 PER SCH. 42.25 42.25 0.060000 2.54 2.54 NO VALID RESALE CERTIFICATE VARIOUS 10/31/97 PER SCH. 157.00 157.00 0.060000 9.42 9.42 MATERIAL FEES Oct 97 5141.92 5141.92 30B.52 0.00 308.52 STRATEGIC MATERIALS 01/31/98 PER SCH. 311.50 311.50 0.060000 18.69 18.69 NO VALID RESALE CERTIFICATE JAMES METALS 01/31/98 PER SCH. 56.35 56.35 0.060000 3.39 3.39 NO VALID RESALE CERTIFICATE VARIOUS 01/31/98 PER SCH. 232.00 232.00 0.060000 13.92 13.92 MATERIAL FEES Jan 98 599.85 599.85 36.00 0.00 36.00 STRATEGIC MATERIALS 04/30/98 PER SCH. 1084.00 1084.00 0.060000 65.04 65.04 NO VALID RESALE CERTIFICATE VARIOUS 04/30/98 PER SCH. 171.00 171.00 0.060000 10.26 10.26 MATERIAL FEES Apr 98 1255.00 1255.00 75.30 0.00 75.30 STRATEGIC MATERIALS 07/31/98 PER SCH. 338.40 338.40 0.060000 20.31 20.31 NO VALID RESALE CERTIFICATE JAMES METALS 07/31/98 PER SCH. 46.15 46.15 0.060000 2.77 2.77 NO VALID RESALE CERTIFICATE VARIOUS 07/31/98 PER SCH. 159.50 159.50 0.060000 9.57 9.57 MATERIAL FEES Jul 98 544.05 544.05 32 .65 0.00 32.65 Grand Total 7540.82 7540.82 452.47 0.00 452.47 Detail Information for Exhibit: A050 DISALLOWED EXEMPT SALES PAGE:~ Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Audit Number: 9829914039 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Explanation of Items for Exhibit: A060 TAXABLE RENTALS EXHIBIT A060. TAXABLE RENTALS. The review of the collection vouchers and general ledger disclosed that taxpayer generated some revenues from leases or licenses to use its real property but sales tax was not charged or collected as required under Rule 12A-1.070, F.A.C. With regards to revenues or commissions received from vending machines operator, we cite the provision of Rule 12A-1. 044 (9) (a), F .A. C., which states: "(a). If the machine owner is also the operator and the operator places the machine at another person' location, the arrangement between the machine owner and the location owner is a lease or license to use real property. The location owner shall collect tax from the machine owner on the amount the location owner receives for the lease or license to use the real property. The tax must be separately stated from the amount of the lease or license payment." The 4 months of the fiscal period October 1997 to September 1998, i.e., Oct. 97; Jan. 98; Apr. 98; and Jul. 98 was used as the sample period in this case. The deficiency was tax assessed using the average method of projecting the additional tax due for the audit period. Records examined: Collection Vouchers, Sales Tax Reports, Cashier's Reports, General Ledger, and Sales Tax Returns. Specific and Implementing Authority: Chapter(s) Chapters: 95.091; 212.02 (2), (8) , (10, (12) , (13), (14) , (15) , (16), (20) , (24) ; 212.031 (1) (a) (b) (c) , (2) (a) ,(3) , (6) ; 212.05 (1) (a) 1.a. 1(2) , (3) , (4) ; 212.06(2), (3), (4), (5); 212.07(1), (2), (3), (4), (9); 212.12 (1) , (2) , (3) , (4) , (5) , (6) , (8) , (9) , (10) , (13) ; 212.13; 212.14(1), (2), (6) ,(7); 212.17(6); 212.18(2); 212.21(2), Florida Statutes. Regulation(s): Rules: 12A-1.044; 12A-1.070, F.A.C. Explanation Of Items PAGE: zg Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Additional Tax Due for Exhibit: A060 TAXABLE RENTALS Avg. Taxable Tax Avg Tax Amount Rate Due Feb 94 1,157.85 0.060000 69.47 Mar 94 1,157.85 0.060000 69.47 Apr 94 1,157.85 0.060000 69.47 May 94 1,157.85 0.060000 69.47 Jun 94 1,157.85 0.060000 69.47 Jul 94 1,157.85 0.060000 69.47 Aug 94 1,157.85 0.060000 69.47 Sep 94 1,157.85 0.060000 69.47 Oct 94 1,157.85 0.060000 69.47 Nov 94 1,157.85 0.060000 69.47 Dee 94 1,157.85 0.060000 69.47 Jan 95 1,157.85 0.060000 69.47 Feb 9S 1,157.85 0.060000 69.47 Mar 95 1,157.85 0.060000 69.47 Apr 95 1,157.85 0.060000 69.47 May 95 1,157.85 0.060000 69.47 Jun 95 1,157.85 0.060000 69.47 Jul 95 1,157.85 0.060000 69.47 Aug 95 1,157.85 0.060000 69.47 Sep 95 1,157.85 0.060000 69.47 Oct 95 1,157.85 0.060000 69.47 Nov 95 1,157.85 0.060000 69.47 Dee 95 1,157.85 0.060000 69.47 Jan 96 1,157.85 0.060000 69.47 Feb 96 1,157.85 0.060000 69.47 Mar 96 1,157.85 0.060000 69.47 Apr 96 1,157.85 0.060000 69.47 May 96 1,157.85 0.060000 69.47 Jun 96 1,157.85 0.060000 69.47 Jul 96 1,157.85 0.060000 69.47 Aug 96 1,157.85 0.060000 69.47 Sep 96 1,157.85 0.060000 69.47 Oct 96 1,157.85 0.060000 69.47 Nov 96 1,157.85 0.060000 69.47 Dee 96 1,157.85 0.060000 69.47 Jan 97 1,157.85 0.060000 69.47 Feb 97 1,157.85 0.060000 69.47 Mar 97 1,157.85 0.060000 69.47 Apr 97 1,157.85 0.060000 69.47 May 97 1,157.85 0.060000 69.47 Jun 97 1,157.85 0.060000 69.47 Jul 97 1,157.85 0.060000 69.47 Aug 97 1,157.85 0.060000 69.47 Sep 97 1,157.85 0.060000 69.47 Oct 97 1,157.85 0.060000 69.47 Nov 97 1,157.85 0.060000 69.47 Dee 97 1,157.85 0.060000 69.47 Jan 98 1,157.85 0.060000 69.47 Feb 98 1,157.85 0.060000 69.47 Mar 98 1,157.85 0.060000 69.47 Apr 98 1,157.85 0.060000 69.47 May 98 1,157.85 0.060000 69.47 Jun 98 1,157.85 0.060000 69.47 Jul 98 1,157.85 0.060000 69.47 Aug 98 1,157.85 0.060000 69.47 Sep 98 1,157.85 0.060000 69.47 Oct 98 1,157.85 0.060000 69.47 Nov 98 1,157.85 0.060000 69.47 Dee 98 1,157.85 0.060000 69.47 Jan 99 1,157.85 0.060000 69.47 Total 69,471. 00 4,168.20 Per Sample Total Taxable Amount: 4631.41 Total Taxed Amount: 0.00 Additional Taxable Amount: 4631. 41 Months in Sample: 4 Average Per Month: 1157.85 Additional Tax Due for Exhibit: A060 TAXABLE RENTALS PAGE: ~Cj Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Detail Information for Exhibit: A060 TAXABLE RENTALS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description J. COOPER 01/21/98 PER SCH. 50.00 50.00 0.060000 3.00 3.00 REAL PROPERTY RENTAL J. COOPER 01/21/98 PER SCH. 25.00 25.00 0.060000 1. 50 1. 50 REAL PROPERTY RENTAL TAMPA BAY CLUB 01/22/98 PER SCH. 1100.00 1100.00 0.060000 66.00 66.00 REAL PROPERTY RENTAL JOLLY TROLLEY 01/26/98 PER SCH. 318.00 318.00 0.060000 19.08 19.08 OTHER RENTAL CONSIDERATIONS Jan 98 1493.00 1493.00 89.58 0.00 89.58 J. COOPER 04/07/98 PER SCH. 25.00 25.00 0.060000 1. 50 1. 50 REAL PROPERTY RENTAL CLW. COMM. 04/17 /98 PER SCH. 150.00 150.00 0.060000 9.00 9.00 REAL PROPERTY VOLUNTEERS RENTAL H. HEAVEN 04/21/98 PER SCH. 25.00 25.00 0.060000 1. 50 1.50 REAL PROPERTY RENTAL JOLLY TROLLEY 04/21/98 PER SCH. 318.00 318.00 0.060000 19.08 19.08 OTHER RENTAL CONSIDERATIONS VARIOUS 04/22/98 PER SCH. 409.52 409.52 0.060000 24.58 24.58 VENDING MACHINE COMMISSIONS J. COOPER 04/30/98 PER SCH. 25.00 25.00 0.060000 1. 50 1. 50 REAL PROPERTY RENTAL Apr 98 952.52 952.52 57.16 0.00 57.16 VARIOUS 07/31/98 PER SCH. 2185.89 2185.89 0.060000 131.16 131.16 VENDING MACHINE COMMISIONS Jul 98 2185.89 2185.89 131.16 0.00 131.16 Grand Total 4631.41 4631.41 277 . 90 0.00 277 .90 Detail Information for Exhibit: A060 TAXABLE RENTALS PAGE: ..31J Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Audit Number: 9829914039 Audit period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Explanation of Items for Exhibit: A070 DISALLOWED REFUNDS EXHIBIT A070. DISALLOWED REFUNDS. Between the period of March 1997 and January 1999, the City has received and processed applications for tax refund on gas sales. These applications were precipitated by the clarifications of Rule 12A-1.0s3, F.A.C., whereby Nursing Homes and Adult Living Facilities were considered to be residential rather than commercial facilities. As such, they become exempt from sales tax of their utilities (gas and electric) . All refunds were made by crediting or reducing the sales tax collected for the month. Pursuant to the provision of Rule 12A-1.014(4) (b), F.A.C., which states: "Any dealer who is entitled to a refund of taxes paid to the Department of Revenue may, in lieu of applying to the Department for a refund, take credit for such amount on any subsequent report filed within 36 months of the date on which the dealer remitted the tax to the state. x x x." However, a review of the records relative to the tax refunds disclosed that the taxpayer has made various tax refunds in excess of the 36 months regulation. Hence, the excesses were disallowed. Records examined: Application for Refund, Finance/UCS Error Correction, and Service History Information. Specific and Implementing Authority: Chapter(s) Chapters: 95.091; 212.02 (2) , (4) , (12) , (13) , (14) , (IS) , (16) , (19) , (21) ; 212.05(1), (2); 212.095; 212.12(6); 212.13(1); 212.17(6); 212.18(2); 212.21(2), Florida Statutes. Regulation(s): Rule 12A-l.014, F.A.C. Explanation Of Items PAGE: ...3/ Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Additional Tax Due for Exhibit: A070 DISALLOWED REFUNDS Taxable Tax Correct Less: Tax Addi tional A.C1ount Rate Tax Due Collected Tax Due Feb 94 0.00 0.000000 0.00 0.00 0.00 Mar 94 0.00 0.000000 0.00 0.00 0.00 Apr 94 0.00 0.000000 0.00 0.00 0.00 May 94 0.00 0.000000 0.00 0.00 0.00 Jun 94 0.00 0.000000 0.00 0.00 0.00 Jul 94 0.00 0.000000 0.00 0.00 0.00 Aug 94 0.00 0.000000 0.00 0.00 0.00 Sep 94 0.00 0.000000 0.00 0.00 0.00 Oct 94 0.00 0.000000 0.00 0.00 0.00 Nov 94 0.00 0.000000 0.00 0.00 0.00 Dec 94 0.00 0.000000 0.00 0.00 0.00 Jan 95 0.00 0.000000 0.00 0.00 0.00 Feb 95 0.00 0.000000 0.00 0.00 0.00 Mar 95 0.00 0.000000 0.00 0.00 0.00 Apr 95 0.00 0.000000 0.00 0.00 0.00 May 95 0.00 0.000000 0.00 0.00 0.00 Jun 95 0.00 0.000000 0.00 0.00 0.00 Jul 95 0.00 0.000000 0.00 0.00 0.00 Aug 95 0.00 0.000000 0.00 0.00 0.00 Sep 95 0.00 0.000000 0.00 0.00 0.00 Oct 95 0.00 0.000000 0.00 0.00 0.00 Nov 95 0.00 0.000000 0.00 0.00 0.00 Dec 95 0.00 0.000000 0.00 0.00 0.00 Jan 96 0.00 0.000000 0.00 0.00 0.00 Feb 96 0.00 0.000000 0.00 0.00 0.00 Mar 96 0.00 0.000000 0.00 0.00 0.00 Apr 96 0.00 0.000000 0.00 0.00 0.00 May 96 0.00 0.000000 0.00 0.00 0.00 Jun 96 0.00 0.000000 0.00 0.00 0.00 Jul 96 0.00 0.000000 0.00 0.00 0.00 Aug 96 0.00 0.000000 0.00 0.00 0.00 Sep 96 0.00 0.000000 0.00 0.00 0.00 Oct 96 0.00 0.000000 0.00 0.00 0.00 Nov 96 0.00 0.000000 0.00 0.00 0.00 Dec 96 0.00 0.000000 0.00 0.00 0.00 Jan 97 0.00 0.000000 0.00 0.00 0.00 Feb 97 0.00 0.000000 0.00 0.00 0.00 Mar 97 0.00 0.000000 0.00 0.00 0.00 Apr 97 0.00 0.000000 0.00 0.00 0.00 May 97 0.00 0.000000 0.00 0.00 0.00 Jun 97 0.00 0.000000 0.00 0.00 0.00 Jul 97 0.00 0.000000 0.00 0.00 0.00 Aug 97 0.00 0.000000 0.00 0.00 0.00 Sep 97 0.00 0.000000 0.00 0.00 0.00 Oct 97 0.00 0.000000 0.00 0.00 0.00 Nov 97 0.00 0.000000 0.00 0.00 0.00 Dec 97 0.00 0.000000 0.00 0.00 0.00 Jan 98 0.00 0.000000 0.00 0.00 0.00 Feb 98 0.00 0.000000 0.00 0.00 0.00 Mar 98 53,240.00 0.060000 3,194.44 0.00 3,194.44 Apr 98 0.00 0.000000 0.00 0.00 0.00 May 98 12,271.86 0.060000 736.32 0.00 736.32 Jun 98 0.00 0.000000 0.00 0.00 0.00 Jul 98 0.00 0.000000 0.00 0.00 0.00 Aug 98 0.00 0.000000 0.00 0.00 0.00 Sep 98 0.00 0.000000 0.00 0.00 0.00 Oct 98 0.00 0.000000 0.00 0.00 0.00 Nov 98 17,165.43 0.060000 1,029.93 0.00 1,029.93 Dec 98 0.00 0.000000 0.00 0.00 0.00 Jan 99 3,733.00 0.060000 223.98 0.00 223.98 Total 86,410.29 5,184.67 0.00 5,184.67 Additional Tax Due for Exhibit: A070 DISALLOWED REFUNDS PAGE: .32-., Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 010 - Sales and Use Tax Detail Information for Exhibit: A070 DISALLOWED REFUNDS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description PALM GARDEN OF 03/31/98 PER SCH. 10368.14 10368.14 0.060000 622.09 622.09 REFUNDS IN EXCESS PINELLAS OF 36 MONTHS NEW ATLANTIS CLUB 03/31/98 PER SCH. 742.00 742.00 0.060000 44.52 44 .52 REFUNDS IN EXCESS CONDO OF 36 MONTHS PINELLAS II 03/31/98 PER SCH. 9845.86 9845.86 0.060000 590.76 590.76 REFUNDS IN EXCESS HEALTHCARE OF 36 MONTHS LARGO ACLF 03/31/98 PER SCH. 71.71 71. 71 0.060000 4.31 4.31 REFUNDS IN EXCESS OF 36 MONTHS INTEGRATED HEATH 03/31/98 PER SCH. 20084.43 20084.43 0.060000 1205.07 1205.07 REFUNDS IN EXCESS SVCS. OF 36 MONTHS PALM GARDEN OF 03/31/98 PER SCH. 8417.43 8417.43 0.060000 505.05 505.05 REFUNDS IN EXCESS CLEARWATER OF 36 MONTHS GAGNE WALLCOVERINGS 03/31/98 PER SCH. 3177.86 3177.86 0.060000 190.68 190.68 REFUNDS IN EXCESS OF 36 MONTHS NEW ATLANTIS CLUB 03/31/98 PER SCH. 532.57 532.57 0.060000 31. 96 31.96 REFUNDS IN EXCESS CONDO OF 36 MONTHS Mar 98 53240.00 53240.00 3194.44 0.00 3194.44 DREW VILLAGE 05/31/98 PER SCH. 12271.86 12271.86 0.060000 736.32 736.32 REFUNDS IN EXCESS NURSING HOME OF 36 MONTHS May 98 12271.86 12271.86 736.32 0.00 736.32 DUNEDIN CARE CENTER 11/30/98 PER SCH. 17165.43 17165.43 0.060000 1029.93 1029.93 REFUNDS IN EXCESS OF 36 MONTHS Nov 98 17165.43 17165.43 1029.93 0.00 1029.93 SUNSET POINT 01/31/99 PER SCH. 3733.00 3733.00 0.060000 223.98 223.98 REFUNDS IN EXCESS NURSING CENTER OF 36 MONTHS Jan 99 3733.00 3733.00 223.98 0.00 223.98 Grand Total 86410.29 86410.29 5184.67 0.00 5184.67 Detail Information for Exhibit: A070 DISALLOWED REFUNDS PAGE:' ~ FLORIDA DEPARTMENT OF REVENUE NOTICE OF INTENT TO MAKE AUDIT CHANGES AUDIT AUTHORITY: SECTION 213.34, F.S. DR-1215 N.10/96 Page 1 of 2 TAX: Local Government Infrastructure Surtax CITE: Chapter 212, F.S. FLORIDA TAX NUMBER: 80-00-003059-82/7 NAME AND ADDRESS OF TAXPAYER REPLY TO - AUDIT OFFICE AUD: 9829914039 FEI: 59-6000289 CITY OF CLEARWATER P.O. BOX 4748 Clearwater, FL 33758-4748 Clearwater Service Center GEORGE WATSON, TAS Arbor Shoreline Office Park 19337 U.S. Hwy. 19 N., Ste.300 Clearwater, FL 33764 PHONE: ( 72 7 ) 538 - 7388 FAX: (727) 538-7326 The Department of Revenue is issuing this Notice of Intent to Make Audit Changes to advise you of the results of our audit for the period (or date for Documentary Stamp Tax) : 02/01/94 through 01/31/99, inclusive. An Explanation of Items is enclosed with schedules describing the adjustment items that form the basis for the amounts shown below: TAX PENALTIES FRAUD PENALTY INTEREST THROUGH 07/23/99 $6,497.46 3,248.97 0.00 2,061.83 TOTAL DEFICIENCY PAYMENT(S) APPLIED AGAINST AUDIT $11,808.26 0.00 BALANCE DUE THROUGH 07/23/99 $11,808.26 Plus additional interest of $ 2.14 per day (or per month for Documentary Stamp Tax) from 07/24/99 through the date your payment is postmarked or hand delivered. If you agree with all the audit adjustments: * please sign and date the agreement section below; * make your remittance check payable to the Florida Department of Revenue; * attach your check to a copy of this notice and mail both to the audit office listed above; and * remember - the total amount due includes any balance due plus any additional interest accrued from the interest date listed above through the postmark or 4and delivery date of your payment. If you agree with a portion of the audit adjustments: * submit payment for the agreed amount to stop the further accrual of interest on the agreed portion; and * make your remittance check payable to the Florida Department of Revenue; * attach your check to a copy of this notice and mail both to the audit office listed above; and * review the If you do not agree and Your Rights sections listed below. FLORIDA DEPARTMENT OF REVENUE NOTICE OF INTENT TO MAKE AUDIT CHANGES AUDIT AUTHORITY: SECTION 213.34, F.S. DR-1215 N.10/96 Page 2 of 2 TAX: Local Government Infrastructure Surtax CITE: Chapter 212, F.S. FLORIDA TAX NUMBER: 80-00-003059-82/7 NAME AND ADDRESS OF TAXPAYER REPLY TO - AUDIT OFFICE AUD: 9829914039 FEI: 59-6000289 CITY OF CLEARWATER P.O. BOX 4748 Clearwater, FL 33758-4748 Clearwater Service Center GEORGE WATSON, TAS Arbor Shoreline Office Park 19337 U.S. Hwy. 19 N., Ste.300 Clearwater, FL 33764 PHONE: ( 72 7 ) 538 - 7388 FAX (727) 538-7326 If you do not agree or if you have questions about these audit adjustments: * do not sign this notice; * request an Audit Conference to review the factual circumstances and reasons for the adjustments. You have until (08/23/99) to request a conference; * if you need an extension, submit a written request before the date referenced in the previous line. Your Rights * Information about Taxpayer's Rights is attached or enclosed explaining your options regarding the audit adjustments. Review your rights carefully. * Review the audit adjustments that are attached to this notice. * Take advantage of your right to an audit conference to discuss the audit adjustments, if you have questions or disagree. * Your right to an audit conference expires if we do not hear from you within 30 days of our issuing you this notice. We will then issue a Notice of Proposed Assessment for the audit, based on the adjustments outlined in this notice. * After the Notice of Proposed Assessment has been issued, you also have the right to review the audit findings through fo and informal protest procedures. '- Signature 07/23/99 x Date Taxpayer Agreement: The right to an audit conference is waived and I agree to the audit adjustments shown above. X Signature of Taxpayer or Representative Title Date This notice, and the signatures on it, does not constitute a closing agreement for the audit period under s. 213.21, F.S., and does not preclude our assertion of a further deficiency in the manner provided by law if it is later determined that an additional amount is due. The time availabe for assessment, refund or collection of any tax, interest or penalty for the audit period is not extended by this notice. NOTZCB OP TAXPAYBR RZGHTS N.06/98 ZNPORMAL PROTBSTS What i. an informal protest? An informal protest is an objection to an assessment filed with the Department. For informal protests, a taxpayer may serve as their own representative. At the taxpayer1s request, a meeting or conference may be held in Tallahassee or by telephone, but is not required. What is the deadline for filing an informal protest? The deadline is 60 days from the date the Notice of Proposed Assessment (NOPA) or Notice of Proposed Refund Denial (NOPRD) was issued. However, an extension to file may be granted. The request for an extension and the reason it is needed MUST be filed within 60 days of the date the NOPA/NOPRD was issued. Extension requests should be sent to Compliance Support, P.O. Box 5139, Tallahassee, FL 32314-5139. Or, you can fax your request to Compliance Support at 850-488-0325, with the original timely postmarked by mail. What information is needed to submit a written informal protest? The written informal protest must include: *the taxpayer's name, address, and federal employer identification number (where appropriate) ; *the type and dollar amount(s) of tax, interest, or penalty challenged; *the period covered under the assessment (or denial of claim for refund) and the amount of tax protested; *a schedule of the protsted adjustments; *a statement of factual and legal grounds for the objection, and any contested factual issue; *a description or copy of the assessment or denial of claim for refund; and *a statement of whether a personal conference with a Department specialist is desired. Where should Z send the informal protest request? The original protest should be mailed to Compliance Support, P.O. Box 5139, Tallahassee, FL 32314-5139. Or, you can fax your protest to Compliance Support at 850-488-0325, with the original timely sent by mail. Also,a copy of the protest or statement that a protest has been filed should be mailed to Technical Assistance and Dispute Resolution, P.O. Box 7443, Tallahassee, FL 32314-7443. What happens after my protest is received? After it is received, your protest will be reviewed for possible resolution. If resolution is not possible, you will receive written confirmation that your protest has been forwarded to Technical Assistance and Dispute Resolution. You will be contacted when the informal review begins. After a review of the audit file and your protest, a Notice of Decision (NOD) will be issued. The assessment becomes final upon issuance of the NOD. What if Z still disagree? If you still disagree, the NOD will explain any review rights available. These rights include filing a. "petition for Reconsideration," filing a petition for review by the Division of Administrative Hearings (DOAH), or filing an action in circuit court or the district court of appeal. Please note that interest continues to accrue during the protest period. For additional information, see Rules 12-6.003 and 12-6.004, Florida Administrative Code. FORMAL PROTESTS What is a formal protest? A formal protest is an objection to an assessment or refund denial that is filed and decided by the Division of Administrative Hearings (DOAH), or by a circuit court. When filing a formal protest, payment is required of any taxes, penalties, and accrued interest not being contested. You may file either a DOAR protest or an action in circuit court. I. FORMAL PROTEST UNDER THE ADMINISTRATIVE PROCEDURES ACT, CHAPTER 120, F.S. What is the deadline for filing a petition for a formal hearing? The deadline is 120 days from the date the Notice of Proposed Assessment or Notice of proposed Refund Denial is issued, unless an informal protest was filed. If a Notice of Decision (NOD) was issued through informal protest procedures, the petition must actually be received by the Department (not postmarked) within 60 days from the date on the NOD. There are no provisions for extending the time to file a petition for a formal hearing. What information should be contained in a petition for formal hearing? Each petition should be printed, typewritten or otherwise duplicated i~ legible form on standard letter-size white paper. Unless printed, the impression should be on one side of the paper and lines should be double-spaced and indented. All petitions should contain: *the name and address of each agency affected and each agency's file or identification number, if known; *the name and address of the petitioner or petitioners, and an explanation of how their substantial intereses will be affected by the agency determination; *a statement of when and how the petitioner received notice of the agency decision or intent to render a decision; . *a statement of all disputed issues of material fact. If there are none, the petitioner must so indicate; *a concise statement of the ultimate facts alleged, as well as the rules and statutes which entitle the petitioner to relief; *a demand for relief to which the petitioner deems entitled; and *other information which the petitioner contends is material. Where should I send a petition for a formal Division of Administration hearing? Send your petition to Office of the General Counsel, Department of Revenue, P. O. Box 6668, Room 201 Carlton Building, Tallahassee, FL 32314-6668. Or, you can fax it to the Office of the General Counsel at 850-488-7112, with the original sent by mail. The fax date will be considered the date filed. What happens after my formal hearing petition is received? After recieving the petition, the agency will either accept or deny it. If accepted, the agency will conduct the hearing itself through the agency head, his designee, or assigned person authorized by section 120.57(1) (a), F.S., or other authority; or request that a hearing officer from the Division of Administrative Hearings (DOAH) be assigned to conduct the hearing and issue a recommended order. A petition may be denied if the petitioner does not adequately state the material facts, or if the petition is untimely. The agency will promptly give written notice to the parties of the action taken, and will state its reasons for that action. If the agency elects to request that a DOAH hearing officer be assigned to conduct the hearing, the agency will forward the petition (and all materials filed with the agency) to DOAR. Parties will be notified either personally or by mail of any final order issued by the department. What if I still disagree? If you still disagree, your appeal must be filed with the appropriate Florida district court of appeals. For additional information, see Section 120.80, Florida Statutes. XX. FORMAL PROTBST XN CXRCUXT COURT What is the deadline for filing an action in circuit court? The deadline is 120 days from the date the Notice of Proposed Assessment was issued, unless an informal protest was filed. If a Notice of Decision (NOD) was issued through informal protest procedures, the complaint must be filed with the clerk of the court (not postmarked) within 60 days from the date on the NOD. There are no provisions for extending the time to file an action in circuit court. What is required when filing an action in circuit court? . You are required to pay the Department any uncontested taxes, penalties and accrued interest; and you must either pay into the registry of the court or post a cash or surety bond for any contested portion of the assessment, including penalties and interest, unless this requirement is waived in writing by the executive director of the Department. Where do I file an action in circuit court? Taxpayers who are residents of Florida should file an action either in the Second Judicial Circuit Court or in the circuit court in the county where the taxpayer resides or maintains their principal commercial domicile. Taxpayers who are not residents of Florida or who do not maintain a commercial domicile in this state should file their action in the Second Judicial Circuit Court. What if X still disagree? After receiving a decision from the circuit court, if you still disagree, your appeal must be filed with the appropriate Florida district court of appeal. For additional information, see Section 72.011, Florida Statutes. ACTXONS XN DISTRICT COURT OF APPEALS You may contest a Notice of Decision or a Notice of Reconsideration in the appropriate district court of appeal by filing a Notice of Appeal meeting the requirements of Rule 9.110, Florida Rules of Apellate Procedure, with the Office of the General Counsel, Department of Revenue, P.O. Box 6668, Tallahassee, FL 32314-6668, and with the clerk of the appropriate district court of appeal, accompanied by the applicable fiing fee. The Notice of Appeal must be filed within 30 days of the Notice of Decision. For additional information, see Section 120.68, Florida Statutes. What is the role of the Taxpayer Rights Advocate? The Taxpayer Rights Advocate facilitates the review and resolution of taxpayer problems and complaints not remedied through normal administrative procedures. (It is not a substitute for informal protest procedures.) . Your requests for assistance in tax disputes and complaints regarding unsatisfactory treatment by Department employees may be forwarded to the Taxpayer Rights Advocate by calling 850-488-2321 or writing the Taxpayer Rights Advocate at P.O. Box 5906, Tallahassee, FL 32314-5906. TAXPAYER NAME CITY OF CLEARWATER AUDIT# 9829914039 YEAR(S) 02/01/94 STN 80-00-003059-82/7, ET.AL. THROUGH 01/31/99 LOCAL GOVERNMENT INFRASTRUCTUE SURTAX INDEX TO WORKPAPERS DESCRIPTION PAGE NUMBER Basis for Tax Adjustments, Penalties and Interest... .............. A Summary Total. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 Tax, Penalty, & Interest for Schedule A-016....................... 2 Summary of Exhibits for Schedule A-OI6.... ..... ..... .............. 3 Explanation of Items for Exhibit AOI0.. ............. .............. 4 Additional Tax Due for Exhibit AOI0.... ... .... ...... ........ ...... 5 Detail Information for Exhibit AOI0....... ........... ............. 6 Supporting Schedule for Exhibit AOI0..... .... ....... .............. 10 Explanation of Items for Exhibit A020.. ........ ..... ......... ..... 11 Additional Tax Due for Exhibit A020....... ..... .... ......... ...... 12 Detail Information for Exhibit A020............................... 13 Supporting Schedule for Exhibit A020...... ..... ... ........... ..... 16 Explanation of Items for Exhibit A030. .... .................. ...... 17 Additional Tax Due for Exhibit A030....... .......... .............. 18 Detail Information for Exhibit A030....... ..... ..... .............. 19 Supporting Schedule for Exhibit A030..... ...... ..... ........ ...... 21 Explanation of Items for Exhibit A040..... ..... .... ......... ...... 22 Additional Tax Due for Exhibit A040.............,... .............. 23 Detail Information for Exhibit A040....... .......... ........ ...... 24 Explanation of Items for Exhibit AOSO.... ........... ....... ....... 25 Additional Tax Due for Exhibit AOSO... ................... ... ...... 26 Detail Information for Exhibit AOSO............................... 27 Explanation of Items for Exhibit A060............................. 28 Additional Tax Due for Exhibit A060... ........................ .... 29 Detail Information for Exhibit A060............................... 30 Explanation of Items for Exhibit A070........................ ..... 31 Additional Tax Due for Exhibit A070.... ........................... 32 Detail Information for Exhibit A070. .............................. 33 Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Audit Number: 9829914039 Audit period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax SUMMARY TOTAL Schedule A Sales Summary Total Tax Due 6,497.46 Penalty 3,248.97 Fraud Penalty 0.00 Int. Through: 07/23/99 2,061.83 Late Payment Penalty 0.00 Late Payment Interest 0.00 Total 11,808.26 6,497.46 3,248.97 0.00 2,061.83 0.00 0.00 11,808.26 Add'l daily interest will accrue at $2.14 until payment is received. An audit of your books and records pursuant to Section 212.12(6) and/or (7), Florida Statutes, has revealed certain tax deficiencies. The basis for each separate type of adjustment is found within the EXPLANATION OF ITEMS for each exhibit. Summary Total Report PAGE:L Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Tax, Penalty, &. Interest for Schedule A Audit Tax Due/ CUmulative Amount Subject Penalty Due Interest Due Period Overpaid Tax Due to Penalty Per Month <I 12\ / Year Total Feb 94 33.33 33.33 33.33 3.33 0.33 36.99 Mar 94 33.33 66.66 66.66 6.67 0.67 40.67 Apr 94 33.33 99.99 99.99 10.00 1. 00 44.33 May 94 33.33 133.32 133.32 13.33 1. 33 47.99 Jun 94 33.33 166.65 166.65 16.67 1.67 51.67 Jul 94 108.15 274.80 241.47 24.15 2.75 135.05 Aug 94 108.15 382.95 316.29 31.63 3.83 143.61 Sep 94 108.15 491.10 391.11 39.11 4.91 152.17 Oct 94 108.15 599.25 465.93 46.59 5.99 160.73 Nov 94 108.15 707.40 540.75 54.08 7.07 169.30 Dec 94 108.15 815.55 540.75 54.08 8.16 170.39 Jan 95 108.15 923.70 ,540.75 54.08 9.24 171. 4 7 Feb 95 108.15 1,031.85 540.75 54.08 10.32 172.55 Mar 95 108.15 1,140.00 540.75 54.08 11.40 173.63 Apr 95 108.15 1,248.15 540.75 54.08 12.48 174.71 May 95 108.15 1,356.30 540.75 54.08 13.56 175.79 Jun 95 108.15 1,464.45 540.75 54.08 14.64 176.87 Ju1 95 108.15 1,572.60 540.75 54.08 15.73 177.96 Aug 95 108.15 1,680.75 540.75 54.08 16.81 179.04 Sep 95 108.15 1,788.90 540.75 54.08 17.89 180.12 Oct 95 108.15 1,897.05 540.75 54.08 18.97 181. 20 Nov 95 108.15 2,005.20 540.75 54.08 20.05 182.28 Dec 95 108.15 2,113.35 540.75 54.08 21.13 183.36 Jan 96 108.15 2,221.50 540.75 54.08 22.22 184.45 Feb 96 108.15 2,329.65 540.75 54.08 23.30 185.53 Mar 96 108.15 2,437.80 540.75 54.08 24.38 186.61 Apr 96 108.15 2,545.95 540.75 54.08 25.46 187.69 May 96 108.15 2,654.10 540.75 54.08 26.54 188.77 Jun 96 108.15 2,762.25 540.75 54.08 27.62 189.85 Jul 96 108.15 2,870.40 540.75 54.08 28.70 190.93 Aug 96 108.15 2,978.55 540.75 54.08 29.79 192.02 Sep 96 108.15 3,086.70 540.75 54.08 30.87 193.10 Oct 96 108.15 3,194.85 540.75 54.08 31. 95 194.18 Nov 96 108.15 3,303.00 540.75 54.08 33.03 195.26 Dec 96 108.15 3,411.15 540.75 54. 08 34.11 196.34 Jan 97 108.15 3,519.30 540.75 54.08 35.19 197.42 Feb 97 108.15 3,627.45 540.75 54.08 36.27 198.50 Mar 97 108.15 3,735.60 540.75 54.08 37.36 199.59 Apr 97 108.15 3,843.75 540.75 54.08 38.44 200.67 May 97 108.15 3,951.90 540.75 54.08 39.52 201.75 Jun 97 108.15 4,060.05 540.75 54.08 40.60 202.83 Jul 97 108.15 4,168.20 540.75 54.08 41.68 203.91 Aug 97 108.15 4,276.35 540.75 54.08 42.76 204.99 Sep 97 108.15 4,384.50 540.75 54.08 43.85 206.08 Oct 97 108.15 4,492.65 540 . 75 54.08 44.93 207.16 Nov 97 108.15 4,600.80 540.75 54.08 46.01 208.24 Dec 97 108.15 4,708.95 540.75 54.08 47.09 209.32 Jan 98 108.15 4,817.10 540.75 54.08 48.17 210.40 Feb 98 108.15 4,925.25 540.75 54.08 49.25 211.48 Mar 98 353.38 5,278.63 785.98 78.60 52.79 484.77 Apr 98 108.15 5,386.78 785.98 78.60 53.87 240.62 May 98 158.15 5,544.93 835.98 83.60 55.45 297.20 Jun 98 108.15 5,653.08 835.98 83.60 56.53 248.28 Jul 98 108.15 5,761.23 835.98 83.60 57.61 249.36 Aug 98 108.15 5,869.38 590.75 59.08 58.69 225.92 Sep 98 108.15 5,977.53 590.75 59.08 59.78 227.01 Oct 98 108.15 6,085.68 540.75 54.08 60.86 223.09 No.... 98 158.15 6,243.83 590.75 59.08 62.44 279.67 Dec 98 108.15 6,351.98 590.75 59.08 63.52 230.75 Jan 99 145.48 6,497.46 628.08 62.81 64.97 273.26 SUB-T 6,497.46 3,115.89 1,795.53 11,408.88 Remaining Penalty and Interest Through 07/23/99 133.08 266.30 TOTAL 6,497.46 3,248.97 2,061.83 11,808.26 Note: Additional Daily Interest will accrue at $2.14 Tax, Penalty, &. Interest Report PAGE: z Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax SUl1'lll8ry of Exhibits to Schedule A Month Exh-AOI0 Exh-A020 Exh-A030 Exh-A040 Exh-A050 Exh-A060 Exh-A070 Schedule A & Year Tax Due Tax Due Tax Due Tax Due Tax Due Tax Due Tax Due Total Feb 94 0.00 0.00 0.80 2.10 18.85 11. 58 0.00 33.33 Mar 94 0.00 0.00 0.80 2.10 18.85 11.58 0.00 33.33 Apr 94 0.00 0.00 0.80 2.10 18.85 11.58 0.00 33.33 May 94 0.00 0.00 0.80 2.10 18.85 11.58 0.00 33.33 Jun 94 0.00 0.00 0.80 2.10 18.85 11.58 0.00 33.33 Jul 94 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Aug 94 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Sep 94 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Oct 94 68.55 6.27 0.80 2.10 18.85 11. 58 0.00 108.15 Nov 94 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Dee 94 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Jan 95 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Feb 95 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Mar 95 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Apr 95 68.55 6.27 0.80 2.10 18.85 11. 58 0.00 108.15 May 95 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Jun 95 68.55 6.27 0.80 2.10 18.85 11. 58 0.00 108.15 Jul 95 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Aug 95 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Sep 95 68.55 6.27 0.80 2.10 18.85 11. 58 0.00 108.15 Oct 95 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Nov 95 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Dec 95 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Jan 96 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Feb 96 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Mar 96 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Apr 96 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 May 96 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Jun 96 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Jul 96 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Aug 96 68.55 6.27 0.80 2.10 18.85 11. 58 0.00 108.15 Sep 96 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Oct 96 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Nov 96 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Dec 96 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Jan 97 68.55 6.27 0.80 2.10 18.85 11. 58 0.00 108.15 Feb 97 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Mar 97 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Apr 97 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 May 97 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Jun 97 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Jul 97 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Aug 97 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Sep 97 68.55 6.27 0.80 2.10 18.85 11. 58 0.00 108.15 Oct 97 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Nov 97 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Dec 97 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Jan 98 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Feb 98 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Mar 98 68.55 6.27 0.80 2.10 18.85 11.58 245.23 353.38 Apr 98 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 May 98 68.55 6.27 0.80 2.10 18.85 11.58 50.00 158.15 Jun 98 68.55 6.27 0.80 2.10 18.85 11. 58 0.00 108.15 Jul 98 68.55 6.27 0.80 2.10 18.85 11. 58 0.00 108.15 Aug 98 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Sep 98 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Oct 98 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Nov 98 68.55 6.27 0.80 2.10 18.85 11.58 50.00 158.15 Dec 98 68.55 6.27 0.80 2.10 18.85 11.58 0.00 108.15 Jan 99 68.55 6.27 0.80 2.10 18.85 11. 58 37.33 145.48 Totals 3,770.25 344.85 48.00 126.00 1,131.00 694.80 382.56 6,497.46 A010: TAXABLE ADMISSIONS A020: UNTAXED ADMISSIONS A030: TAXABLE SALES A040: REAL PROPERTY RENTALS A050: DISALLOWED EXEMPT SALES A060: TAXABLE RENTALS summary of Exhibits Report PAGE: ~ - Explanation of Items for Exhibit: A010 Audit Number: 9829914039 Audit period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax TAXABLE ADMISSIONS Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 An examination of sales/revenues was made in conjunction with the type of taxpayer's business operations to determine if sales/revenues were handled in a proper manner concerning the collection and reporting of sales tax. As agreed with the taxpayer's representative, the examination of revenue transactions will be done through sampling procedures. A review and in depth analysis was made on the sales tax reports, collection vouchers, cashier's reports, cash register journal tapes, and general ledger to decide if sales tax are properly charged, exempt sales were substantiated with valid resale or exemption certificate, and if sales were properly accounted .for. EXHIBIT A010. TAXABLE ADMISSIONS. The taxpayer owned a recreational and sport facilities. They have a registration policy whereby all persons, resident and non resident, should have a participation Card in order to participate in the City recreational programs and to use recreational and sport facilities. For a city resident the participation or I.D. card will cost $3.00 for 2 years and $56.00 for non resident valid for one year. Obviously, the holder of the I.D. card has acquired the privilege of entering or using the taxpayer's recreational and sport facilities. Because of the privileges accorded to the holder of the I.D. card, the cost of the card or fee charged becomes a taxable admission in accordance with the provisions of Rule 12A-1.005, F.A.C., but sales tax has not been charged or collected. The taxpayer's representative requested for two years sample period in this case. The deficiency was tax assessed using the average method of computing the additional tax due for the audit period. Records examined: Collection Vouchers, Sales Tax Reports, Cashier's Reports, Cash Register Journal Tapes, Deposit Slips, General Ledger, and Sales Tax Returns. Specific and Implementing Authority: Chapter(s) Chapters: 95.091; 212.02 (1) , (2), (8) , (12) , (13) , (14) , (16) ; 212.031 (1) (a) (b) (c) , (2) (a) , (3) , (6); 212.04; 212.05 (1) (a) l.a., (2), (3), (4) ; 212.07(1), (2), (3), (4), (9); 212.12(1), (2), (3), (4), (5), (6), (9), (10), (13); 212.13; 212.14(1), (2), (6), (7); 212.15; 212.17(6); 212.18(2); 212.21(2); 212.054; 212.055, Florida Statutes. Regulation(s): Rules: 12A-1.005; 12A-15.002; 12A-15.003; 12A-15.006, F.A.C. Explanation Of Items PAGE:~ Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Additional Tax Due for Exhibit: A010 Tl\XABLB ADMISSIONS Avg. Taxable Tax Amount Rate Feb 94 0.00 0.010000 Mar 94 0.00 0.010000 Apr 94 0.00 0.010000 May 94 0.00 0.010000 Jun 94 0.00 0.010000 Jul 94 6,854.77 0.010000 Aug 94 6,854.77 0.010000 Sep 94 6,854.77 0.010000 Oct 94 6,854.77 0.010000 Nov 94 6,854.77 0.010000 Dec 94 6,854.77 0.010000 Jan 95 6,854.77 0.010000 Feb 95 6,854.77 0.010000 Mar 95 6,854.77 0.010000 Apr 95 6,854.77 0.010000 May 95 6,854.77 0.010000 Jun 95 6,854.77 0.010000 Jul 95 6,854.77 0.010000 Aug 95 6,854.77 0.010000 Sep 95 6,854.77 0.010000 Oct 95 6,854.77 0.010000 Nov 95 6,854.77 0.010000 Dec 95 6,854.77 0.010000 Jan 96 6,854.77 0.010000 Feb 96 6,854.77 0.010000 Mar 96 6,854.77 0.010000 Apr 96 6,854.77 0.010000 May 96 6,854.77 0.010000 Jun 96 6,854.77 0.010000 Jul 96 6,854.77 0.010000 Aug 96 6,854.77 0.010000 Sep 96 6,854.77 0.010000 Oct 96 6,854.77 0.010000 Nov 96 6,854.77 0.010000 Dec 96 6,854.77 0.010000 Jan 97 6,854.77 0.010000 Feb 97 6,854.77 0.010000 Mar 97 6,854.77 0.010000 Apr 97 6,854.77 0.010000 May 97 6,854.77 0.010000 Jun 97 6,854.77 0.010000 Jul 97 6,854.77 0.010000 Aug 97 6,854.77 0.010000 Sep 97 6,854.77 0.010000 Oct 97 6,854.77 0.010000 Nov 97 6,854.77 0.010000 Dec 97 6,854.77 0.010000 Jan 98 6,854.77 0.010000 Feb 98 6,854.77 0.010000 Mar 98 6,854.77 0.010000 Apr 98 6,854.77 0.010000 May 98 6,854.77 0.010000 Jun 98 6,854.77 0.010000 Jul 98 6,854.77 0.010000 Aug 98 6,854.77 0.010000 Sep 98 6,854.77 0.010000 Oct 98 6,854.77 0.010000 Nov 98 6,854.77 0.010000 Dec 98 6,854.77 0.010000 Jan 99 6,854.77 0.010000 Total 377,012.35 II U Per Sample II Total Taxable Amount: 164514. SO II Total Taxed Amount: 0.00 II Additional Taxable Amount: 164514.50 II Months in Sample: 24 II Average Per Month: 6854.77 I' Additional Tax Due for Exhibit: A010 Tl\XABLE ADMISSIONS Audit Number: 9829914039 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Avg Tax Due 0.00 0.00 0.00 0.00 0.00 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 68.55 3,770.25 .s- PAGE:_ Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Detail Information for Exhibit: A010 TAXABLE ADMISSIONS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description VARIOUS 10/31/96 PER SCH. 3623.00 3623.00 0.010000 36.23 36.23 ID/REGISTRATION CARD Oct 96 3623.00 3623.00 36.23 0.00 36.23 VARIOUS 11/30/96 PER SCH. 1369.00 1369.00 0.010000 13.69 13.69 ID/REGISTRATION CARD Nov 96 1369.00 1369.00 13.69 0.00 13.69 VARIOUS 12/31/96 PER SCH. 3817.00 3817.00 0.010000 38.17 38.17 ID/REGISTRATION CARD Dec 96 3817.00 3817.00 38.17 0.00 38.17 VARIOUS 01/31/97 PER SCH. 22669.00 22669.00 0.010000 226.69 226.69 ID/REGISTRATION CARD Jan 97 22669.00 22669.00 226.69 0.00 226.69 VARIOUS 02/28/97 PER SCH. 3565.00 3565.00 0.010000 35.65 35.65 ID/REGISTRATION CARD Feb 97 3565.00 3565.00 35.65 0.00 35.65 VARIOUS 03/31/97 PER SCH. 3447.00 3447.00 0.010000 34.47 34.47 IO/REGISTRATION CARD Mar 97 3447.00 3447.00 34.47 0.00 34.47 VARIOUS 04/30/97 PER SCH. 27821.00 27821.00 0.010000 278.21 278.21 IO/REGISTRATION CARD Apr 97 27821.00 27821.00 278.21 0.00 278.21 VARIOUS 05/31/97 PER SCH. 6640.00 6640.00 0.010000 66.40 66.40 IO/REGISTRATION CARD May 97 6640.00 6640.00 66.40 0.00 66.40 Oetail Information for Exhibit: AOlO TAXABLE ADMISSIONS PAGE:~ Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Detail Information for Exhibit: A010 TAXABLE ADMISSIONS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description VARIOUS 06/30/97 PER SCH. 2576.00 2576.00 0.010000 25.76 25.76 ID/REG I STRAT ION CARD Jun 97 2576.00 2576.00 25.76 0.00 25.76 VARIOUS 07/31/97 PER SCH. 1526.00 1526.00 0.010000 15.26 15.26 ID/REGISTRATION CARD Jul 97 1526.00 1526.00 15.26 0.00 15.26 VARIOUS 08/31/97 PER SCH. 1745.00 1745.00 0.010000 17.45 17.45 ID/REGISTRATION CARD Aug 97 1745.00 1745.00 17.45 0.00 17.45 VARIOUS 09/30/97 PER SCH. 6905.00 6905.00 0.010000 69.05 69.05 ID/REG I STRATI ON CARD Sep 97 6905.00 6905.00 69.05 0.00 69.05 VARIOUS 10/31/97 PER SCH. 4468.00 4468.00 0.010000 44.68 44.68 ID/REGISTRATION CARD Oct 97 4468.00 4468.00 44.68 0.00 44.68 VARIOUS 11/30/97 PER SCH. 1062.00 1062.00 0.010000 10.62 10.62 ID/REGISTRATION CARD Nov 97 1062.00 1062.00 10.62 0.00 10.62 VARIOUS 12/31/97 PER SCH. 3234.00 3234.00 0.010000 32 .34 32.34 ID/REGISTRATION CARD Dec 97 3234.00 3234.00 32.34 0.00 32.34 VARIOUS 01/31/98 PER SCH. 23980.00 23980.00 0.010000 239.80 239.80 ID/REGISTRATION CARD Jan 98 23980.00 23980.00 239.80 0.00 239.80 Detail Information for Exhibit: A010 TAXABLE ADMISSIONS PAGE:~ Taxpayer: CITY OF CLEARWATER Audi t Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Detail Information for Exhibit: A010 TAXABLE ADMISSIONS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description VARIOUS 02/28/98 PER SCH. 6761. 00 6761. 00 0.010000 67.61 67.61 ID/REGISTRATION CARD Feb 98 6761. 00 6761. 00 67.61 0.00 67.61 VARIOUS 03/31/98 PER SCH. 4089.00 4089.00 0.010000 40.89 40.89 ID/REGISTRATION CARD Mar 98 4089.00 4089.00 40.89 0.00 40.89 VARIOUS 04/30/98 PER SCH. 11587.00 11587.00 0.010000 115.87 115.87 ID/REGISTRATION CARD Apr 98 11587.00 11587.00 115.87 0.00 115.87 VARIOUS 05/31/98 PER SCH. 5213.00 5213.00 0.010000 52.13 52.13 ID/REGISTRATION CARD May 98 5213.00 5213.00 52.13 0.00 52.13 VARIOUS 06/30/98 PER SCH. 8067.00 8067.00 0.010000 80.67 80.67 ID/REGISTRATION CARD Jun 98 8067.00 8067.00 80.67 0.00 80.67 VARIOUS 07/31/98 PER SCH. 5366.00 5366.00 0.010000 53.66 53.66 IO/REGISTRATION CARD Jul 98 5366.00 5366.00 53.66 0.00 53.66 VARIOUS 08/31/98 PER SCH. 2468.50 2468.50 0.010000 24.69 24.69 IO/REGISTRATION CARD Aug 98 2468.50 2468.50 24.69 0.00 24.69 VARIOUS 09/30/98 PER SCH. 2516.00 2516.00 0.010000 25.16 25.16 IO/REGISTRATION CA.'ill Sep 98 2516.00 2516.00 25.16 0.00 25.16 Oetail Information for Exhibit: A010 TAXABLE ADMISSIONS PAGE: g Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Audit Number: 9829914039 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Detail Information for Exhibit: A010 TAXABLE ADMISSIONS Name Trans Date Trans Number Trans Amount Taxable Amount Tax Rate Tax Due Tax Paid Add'l Tax Due Description Grand Total 164514.50 164514.50 1645.15 0.00 1645.15 Detail Information for Exhibit: A010 TAXABLE ADMISSIONS PAGE:3- CITY OF CLEARWATER Supporting Schedule for Exhibit A01 0 - Taxable Admissions (2-year sample period) ************************************************************************************************************ #347291 #34793 #34794 Total Less: Taxable Date Description Amount Amount Amount Receipts Credits Amount ************************************************************************************************************ 10/31/96 ID/Registration Card 2919.00 222.00 1172.00 4313.00 690.00 3623.00 11 /30/96 ID/Registration Card 396.00 249.00 724.00 1369.00 1369.00 12/31/96 ID/Registration Card 3028.00 108.00 681.00 3817.00 3817.00 01/31/97 ID/Registration Card 20542.00 84.00 2043.00 22669.00 22669.00 02/28/97 ID/Registration Card 2386.00 1 23.00 1056.00 3565.00 3565.00 03/31/97 ID/Registration Card 2433.00 123.00 891.00 3447.00 3447.00 04/30/97 ID/Registration Card 28544.00 135.00 1512.00 30191.00 2370.00 27821.00 05/31/97 ID/Registration Card 7130.00 108.00 1752.00 8990.00 2350.00 6640.00 06/30/97 ID/Registration Card 742.00 99.00 1735.00 2576.00 2576.00 07/31/97 ID/Registration Card 224.00 135.00 1167.00 1526.00 1 526.00 08/31/97 I D/Registration Card 815.00 93.00 837.00 1745.00 1745.00 09/30/97 I D/Registration Card 6855.00 48.00 1202.00 8105.00 1200.00 6905.00 10/31/97 ID/Registration Card 3475.00 183.00 810.00 4468.00 4468.00 11/30/97 I D/Registration Card 201.00 87.00 774.00 1062.00 1 062.00 12/31/97 ID/Registration Card 3246.00 60.00 1618.00 4924.00 1690.00 3234.00 01/31/98 ID/Registration Card 19133.00 48.00 7479.00 26660.00 2680.00 23980.00 02/28/98 ID/Registration Card 6459.00 57.00 2085.00 8601.00 1840.00 6761.00 03/31/98 ID/Registration Card 2171.00 66.00 1852.00 4089.00 4089.00 04/30/98 I D/Registration Card 8954.00 90.00 2543.00 11587.00 11587.00 05/31/98 ID/Registration Card 2948.00 33.00 2922.00 5903.00 690.00 5213.00 06/30/98 ID/Registration Card 14320.00 75.00 2982.00 17377.00 9310.00 8067.00 07/31/98 I D/Registration Card 7834.00 63.00 2097.00 9994.00 4628.00 5366.00 08/31/98 tD/Registration Card 653.50 96.00 1719.00 2468.50 2468.50 09/30/98 ID/Registration Card 8056.00 63.00 1087.00 9206.00 6690.00 2516.00 --------------------------------------------------------------- --------- ------------------------------------------------------------------------ TOTALS 153464.50 2448.00 42740.00 198652.50 34138.00 164514.50 --------------------------------------------------------------- --------- ------------------------------------------------------------------------ /0 Explanation of Items for Exhibit: A020 Audit Number: 9829914039 Audit period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax UNTAXED ADMISSIONS Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 EXHIBIT A020. UNTAXED ADMISSIONS. During the examination, it was disclosed that taxpayer sponsors "dance party" at its facilities, like Norton Recreation Center, M.L.King Center, and King's Hwy. Center, and admission fees are charged. The City also derived revenues from sale of tickets, gate charges, or entrance fees from boxing tournament, hay ride, and moccasin lake tour, but failed to charged or collect the sales tax as required under Rule 12A-1.005(1), which states: "Every dealer is exercising a taxable privilege who sells or receives anything of value by way of admissions, except those admissions which are specifically exempt." The 12 months of the fiscal period October 1997 to September 1998 was used as sample period in this case. The deficiency was tax assessed using the average method of projecting the additional tax due for the audit period. Records examined: Collection Vouchers, Sales Tax Reports, Cashier's Reports, General Ledger, and Sales Tax Returns. Specific and Implementing Authority: Chapter(s) Chapters: 95.091; 212.02 (1) , (2) , (8) , (12) , (13) , (14) , (16)) ; 212.031 (1) (a) (b) (c) , (2) (a) , (3) , (4); 212.04: 212.05(1} (a}l.a., (2), (3), (4); 212.07(1), (2), (3), (4), (9); 212.12(1), (2), (3), (4), (5), (6), (9), (10), (13); 212.13; 212.14(1),(2),(6),(7); 212.15; 212.17(6); 212.18(2) i 212.21(2); 212.054; 212.055, Florida Statutes. Regulation(s}: Rules: 12A-1.005; 12A-15.002; 12A-15.003; 12A-15.006, F.A.C. Explanation Of Items PAGE: II Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Additional Tax Due for Exhibit: A020 UNTAXED ADMISSIONS Audit Number: 9829914039 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Avg. Taxable Tax Amount Rate Feb 94 0.00 0.010000 Mar 94 0.00 0.010000 Apr 94 0.00 0.010000 May 94 0.00 0.010000 Jun 94 0.00 0.010000 Jul 94 626.60 0.010000 Aug 94 626.60 0.010000 Sep 94 626.60 0.010000 Oct 94 626.60 0.010000 Nov 94 626.60 0.010000 Dec 94 626.60 0.010000 Jan 95 626.60 0.010000 Feb 95 626.60 0.010000 Mar 95 626.60 0.010000 Apr 95 626.60 0.010000 May 95 626.60 0.010000 Jun 95 626.60 0.010000 Jul 95 626.60 0.010000 Aug 95 626.60 0.010000 Sep 95 626.60 0.010000 Oct 95 626.60 0.010000 Nov 95 626.60 0.010000 Dee 95 626.60 0.010000 Jan 96 626.60 0.010000 Feb 96 626.60 0.010000 Mar 96 626.60 0.010000 Apr 96 626.60 0.010000 May 96 626.60 0.010000 Jun 96 626.60 0.010000 Jul 96 626.60 0.010000 Aug 96 626.60 0.010000 Sep 96 626.60 0.010000 Oct 96 626.60 0.010000 Nov 96 626.60 0.010000 Dec 96 626.60 0.010000 Jan 97 626.60 0.010000 Feb 97 626.60 0.010000 Mar 97 626.60 0.010000 Apr 97 626.60 0.010000 May 97 626.60 0.010000 Jun 97 626.60 0.010000 Jul 97 626.60 0.010000 Aug 97 626.60 0.010000 Sep 97 626.60 0.010000 Oct 97 626.60 0.010000 Nov 97 626.60 0.010000 Dee 97 626.60 0.010000 Jan 98 626.60 0.010000 Feb 98 626.60 0.010000 Mar 98 626.60 0.010000 Apr 98 626.60 0.010000 May 98 626.60 0.010000 Jun 98 626.60 0.010000 Jul 98 626.60 0.010000 Aug 98 626.60 0.010000 Sep 98 626.60 0.010000 Oct 98 626.60 0.010000 Nov 98 626.60 0.010000 Dee 98 626.60 0.010000 Jan 99 626.60 0.010000 Total 34,463.00 Avg Tax Due 0.00 0.00 0.00 0.00 0.00 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 6.27 344.85 Per Sample Total Taxable Amount: Total Taxed Amount: Additional Taxable Amount: Months in Sample: Average Per Month: II n 7519.25 n 0.00 II 7519.25 II 12 II 626.60 II II Additional Tax Due for Exhibit: A020 UNTAXED ADMISSIONS PAGE: /:b Taxpayer: CITY OF CLEARWATER Audi t Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Detail Information for Exhibit: A020 UNTAXED ADMISSIONS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description VARIOUS 10/31/97 PER SCH. 119.00 119.00 0.010000 1.19 1.19 ADMISSION CHARGES (MOCC. LAKE) Oct 97 119.00 119.00 1.19 0.00 1.19 VARIOUS 11/10/97 PER SCH. 309.00 309.00 0.010000 3.09 3.09 TICKET SALES (MEMORIAL CIVIC CTR. ) VARIOUS 11/20/97 PER SCH. 152.25 152.25 0.010000 1. 52 1.52 TICKET SALES (MEMORIAL CIVIC CTR. ) Nov 97 461.25 461.25 4.61 0.00 4.61 VARIOUS 12/20/97 PER SCH. 328.00 328.00 0.010000 3.28 3.28 ADMISSION CHARGES FROM HAY RIDE Dec 97 328.00 328.00 3.28 0.00 3.28 VARIOUS 01/23/98 PER SCH. 105.00 105.00 0.010000 1. 05 1. 05 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 01/31/98 PER SCH. 139.00 139.00 0.010000 1. 39 1. 39 ADMISSION CHARGES (MOCC. LAKE) Jan 98 244.00 244.00 2.44 0.00 2.44 VARIOUS 02/13/98 PER SCH. 79.00 79.00 0.010000 0.79 0.79 ADMISSION CHARGES FROM TEEN DANCE Feb 98 79.00 79.00 0.79 0.00 0.79 VARIOUS 04/03/98 PER SCH. 113.00 113.00 0.010000 1.13 1.13 ADMISSION CHARGES FROM SPLASH PARTY VARIOUS 04/14/98 PER SCH. 714.00 714.00 0.010000 7.14 7.14 TICKET SALES (MORNINGSIDE REC. CTR.) VARIOUS 04/30/98 PER SCH. 273.00 273.00 0.010000 2.73 2.73 ADMISSION CHARGES (MOCC. LAKE) Apr 98 1100.00 1100.00 11. 00 0.00 11. 00 VARIOUS 05/04/98 PER SCH. 160.50 160.50 0.010000 1. 61 1. 61 ADMISSION CHARGES Detail Information for Exhibit: A020 UNTAXED ADMISSIONS PAGE: K3 Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Detail Information for Exhibit: A020 UNTAXED ADMISSIONS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description FROM TEEN DANCE May 98 160.50 160.50 1. 61 0.00 1. 61 VARIOUS 06/03/98 PER SCH. 401. 00 401.00 0.010000 4.01 4.01 ADMISSION CHARGES FROM SPLASH PARTY VARIOUS 06/11/98 PER SCH. 31. 00 31. 00 0.010000 0.31 0.31 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 06/12/98 PER SCH. 1845.00 1845.00 0.010000 18.45 18.45 TICKET SALES ON BOXING TOURNAMENT VARIOUS 06/12/98 PER SCH. 261. 00 261. 00 0.010000 2.61 2.61 ADMISSION CHARGES FROM SPLASH PARTY Jun 98 2538.00 2538.00 25.38 0.00 25.38 VARIOUS 07/20/98 PER SCH. 200.50 200.50 0.010000 2.01 2.01 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 07/20/98 PER SCH. 200.50 200.50 0.010000 2.01 2.01 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 07/22/98 PER SCH. 116.00 116.00 0.010000 1.16 1.16 ADMISSION CHARGES FROM SPLASH PARTY VARIOUS 07/24/98 PER SCH. 271.50 271.50 0.010000 2.72 2.72 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 07/31/98 PER SCH. 121. 50 121.50 0.010000 1.22 1.22 ADMISSION CHARGES (MOCC. LAKE) Jul 98 910.00 910.00 9.12 0.00 9.12 VARIOUS 08/04/98 PER SCH. 144.00 144.00 0.010000 1.44 1.44 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 08/04/98 PER SCH. 144.00 144.00 0.010000 1.44 1.44 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 08/07/98 PER SCH. 167.00 167.00 0.010000 1.67 1.67 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 08/13/98 PER SCH. 71.00 71.00 0.010000 0.71 0.71 ADMISSION CHARGES FROM SPLASH PARTY VARIOUS 08/13/98 PER SCH. 170.00 170.00 0.010000 1. 70 1. 70 ADMISSION CHARGES FROM SPLASH PARTY VARIOUS 08/20/98 PER SCH. 140.00 140.00 0.010000 1.40 1.40 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 08/20/98 PER SCH. 140.00 140.00 0.010000 1.40 1.40 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 08/25/98 PER SCH. 193.50 193.50 0.010000 1. 94 1. 94 ADMISSION CHARGES FROM TEEN DANCE VARIOUS 08/28/98 PER SCH. 205.00 205.00 0.010000 2.05 2.05 ADMISSION CHARGES Detail Information for Exhibit: A020 UNTAXED ADMISSIONS PAGE:~ Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Detail Information for Exhibit: A020 UNTAXED ADMISSIONS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description FROM TEEN DANCE Aug 98 1374.50 1374.50 13.75 0.00 13.75 VARIOUS 09/01/98 PER SCH. 205.00 205.00 0.010000 2.05 2.05 ADMISSION CHARGES FROM TEEN DANCE Sep 98 205.00 205.00 2.05 0.00 2.05 Grand Total 7519.25 7519.25 75.22 0.00 75.22 Detail Information for Exhibit: A020 UNTAXED ADMISSIONS PAGE: /S Supporting Schedule for Exhibit A020 - Untaxed Admissions (one-year sample period) ************************************************************************************************************ Date Amount Remarks ************************************************************************************************************ Posted To 06/12/98 06/11 /98 1 2/20/97 01/23/98 02/13/98 05/04/98 06/12/98 07/24/98 08/07/98 08/13/98 08/28/98 08/25/98 09/01/98 07/20/98 08/04/98 08/20/98 04/03/98 06/03/98 07/22/98 08/13/98 07/20/98 08/20/98 08/04/98 11/1 0/97 04/14/98 11/20/97 10/31/97 01/31/98 04/30/98 07/31/98 1845.00 Ticket sales on Boxing Tournament 31.00 Admission Charges from Teen Dance 328.00 Admission Charges from Hay Ride 105.00 Admission Charges from Teen Dance 79.00 Admission Charges from Teen Dance 160.50 Admission Charges from Teen Dance 261.00 Admission Charges from Splash Party 271.50 Admission Charges from Teen Dance 167.00 Admission Charges from Teen Dance 71.00 Admission Charges from Splash party 205.00 Admission Charges from Teen Dance 193.50 Admission Charges from Teen Dance 205.00 Admission Charges from Teen Dance 200.50 Admission Charges from Teen Dance 144.00 Admission Charges from Teen Dance 140.00 Admission Charges from Teen Dance 113.00 Admission Charges from Splash Party 401.00 Admission Charges from Splash Party 116.00 Admission Charges from Splash Party 170.00 Admission Charges from Splash Party 200.50 Admission Charges from Teen Dance 140.00 Admission Charges from Teen Dance 144.00 Admission Charges from Teen Dance 309.00 Ticket Sales - (Memorial Civic Ctr.) 714.00 Ticket Sales -(Morningside Rec. Center) 152.25 Ticket Sales -(Memorial Civic Ctr.) 119.00 Admission Charges (Mocc. Lake Tour) 139.00 Admission Charges (Mocc. Lake Tour) 273.00 Admission Charges (Mocc. Lake Tour) 121.50 Admission Charges (Mocc. Lake Tour) AlC#181 -366906 AlC#181 -366906 AlC#181 -366906 AlC#181 -366906 AlC#181 -366906 A/C#181 -366906 AlC#181 -366906 AlC#181 -366906 AlC#181 -366906 A/C#181 -366906 A/C#181-366906 A/C#181-366906 AlC#181-366906 AlC#181-366906 AlC#181-366906 AlC#181 -366906 AlC#181 -366906 AlC#181-366906 AlC#181 -366906 AlC#181 -366906 AlC#181 -366906 AlC#181 -366906 AlC#181 -366906 AlC#181-366906 AlC#181-366906 AlC#181 -366906 AlC #010-346541 AlC #010-346541 AlC #010-346541 AlC #010-346541 TOTAL 7519.25 ------------------------------------------------------------------------ ------------------------------------------------------------------------ ------------------------------------------------------------------------ ------------------------------------------------------------------------ Ib Explanation of Items for Exhibit: A030 Tax Type TAXABLE Audit Number: 9829914039 Audit period: 02/01/94 Through 01/31/99 016 - Local Government Infrastructure Su~t~x SALES Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 EXHIBIT A030. TAXABLE SALES. It was discovered that taxpayer generate revenues from sales of tangible personal properties, like pottery, ping-pong ball, flip, and also from sales of food and drinks for human consumption at their facilities and sales tax was not charged or collected as required under Rule 12A-1.011 and 12A-1.016, F.A.C. The 12 months of the fiscal period October 1997 to September 1998 was used as the sample period in this case. The deficiency was tax assessed using the average method of computing the additional tax due for the audit period. Records examined: Collection Vouchers, Sales Tax Reports, Cashier's Reports, General Ledger, and Sales Tax Returns. Specific and Implementing Authority: Chapter(s) Chapters: 95.091; 212.02 (2) I (4) , (8) , (13) 1(14) , (15) I (16) , (19), (20) ; 212.05 (1) (a) 1.a. ,(2), (3), (4); 212.06 (1) (a) (b) (c) , (2) , (3) , (4) , (5) , (6) ; 212.07(1), (2), (3), (4), (9); 212.12 (1) I (2) , (3) , (4) , (5) , (6) , (9) , (10) I (13) ; 212.13; 212.14(1)(2),(6),(7); 212.17(6); 212.18(2); 212.21(2); 212.054; 212.055, Florida Statutes. Regulation(s): Rules: 12A-1.011; 12A-1.016; 12A-15.002; 12A-15.003; 12A-15.006, F.A.C. Explanation Of Items PAGE: /7 Taxpayer: CITY OF CLEARWATER Sales Tax Number: 90-00-003059-92/7 Additional Tax Due for Exhibit: A030 TAXABLE SALES Avg. Taxable Tax Amount Rate Feb 94 79.59 0.010000 Mar 94 79.59 0.010000 Apr 94 79.59 0.010000 May 94 79.59 0.010000 Jun 94 79.59 0.010000 Jul 94 79.59 0.010000 Aug 94 79.59 0.010000 Sep 94 79.59 0.010000 Oct 94 79.59 0.010000 Nov 94 79.59 0.010000 Dec 94 79.59 0.010000 Jan 95 79.59 0.010000 Feb 95 79.59 0.010000 Mar 95 79.59 0.010000 Apr 95 79.59 0.010000 May 95 79.59 0.010000 Jun 95 79.59 0.010000 Jul 95 79.59 0.010000 Aug 95 79.59 0.010000 Sep 95 79.59 0.010000 Oct 95 79.59 0.010000 Nov 95 79.59 0.010000 Dec 95 79.59 0.010000 Jan 96 79.59 0.010000 Feb 96 79.59 0.010000 Mar 96 79.59 0.010000 Apr 96 79.59 0.010000 May 96 79.59 0.010000 Jun 96 79.59 0.010000 Jul 96 79.59 0.010000 Aug 96 79.59 0.010000 Sep 96 79.59 0.010000 Oct 96 79.59 0.010000 Nov 96 79.59 0.010000 Dec 96 79.59 0.010000 Jan 97 79.59 0.010000 Feb 97 79.59 0.010000 Mar 97 79.59 0.010000 Apr 97 79.59 0.010000 May 97 79.59 0.010000 Jun 97 79.59 0.010000 Jul 97 79.59 0.010000 Aug 97 79.59 0.010000 Sep 97 79.59 0.010000 Oct 97 79.59 0.010000 Nov 97 79.59 0.010000 Dec 97 79.59 0.010000 Jan 99 79.59 0.010000 Feb 99 79.59 0.010000 Mar 99 79.59 0.010000 Apr 99 79.59 0.010000 May 98 79.59 0.010000 Jun 99 79.59 0.010000 Jul 98 79.59 0.010000 Aug 99 79.59 0.010000 Sep 99 79.59 0.010000 Oct 99 79.59 0.010000 Nov 98 79.59 0.010000 Dec 99 79.59 0.010000 Jan 99 79.59 0.010000 Total 4,775.40 h II Per Sample II Total Taxable Amount: 955.11 II Total Taxed Amount: 0.00 II Additional Taxable Amount: 955.11 II Months in Sample: 12 II Average Per Month: 79.59 II Additional Tax Due for Exhibit: A030 TAXABLE SALES Audit Number: 9929914039 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Avg Tax Due 0.90 0.80 0.90 0.80 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.90 0.80 0.90 0.90 0.90 0.90 0.80 0.80 0.80 0.80 0.80 0.90 0.80 0.90 0.80 0.80 0.90 0.80 0.80 0.80 0.80 0.90 0.80 0.80 0.90 0.80 0.80 0.80 0.80 0.90 0.90 48.00 PAGE: Ii Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Spies Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Detail Information for Exhibit: A030 TAXABLE SALES Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description VARIOUS 10/07/97 PER SClL 144.00 144.00 0.010000 1. 44 1.44 PING-PONG BALL SALES VARIOUS 10/27/97 PER SCH. 10.00 10.00 0.010000 0.10 0.10 PING-PONG BALL SALES Oct 97 154.00 154.00 1. 54 0.00 1. 54 VARIOUS 11/10/97 PER SCH. 29.50 29.50 0.010000 0.30 0.30 POTTERY SALES Nov 97 29.50 29.50 0.30 0.00 0.30 VARIOUS 12/19/97 PER SCH. 32.25 32.25 0.010000 0.32 0.32 PING- PONG BALL SALES Dec 97 32.25 32.25 0.32 0.00 0,32 VARIOUS 01/15/98 PER SCH. 16.25 16.25 0.010000 0.16 0.16 PING-PONG BALL SALES VARIOUS 01/23/98 PER SCH. 33.25 33.25 0.010000 0.33 0.33 POTTERY SALES VARIOUS 01/28/98 PER SCH. 48.00 48.00 0.010000 0.48 0.48 CONCESSION SALES Jan 98 97.50 97.50 0.97 0.00 0.97 VARIOUS 02/20/98 PER SCH. 10.00 10.00 0.010000 0.10 0.10 PING-PONG BALL SALES Feb 98 10.00 10.00 0.10 0.00 0.10 VARIOUS 03/20/98 PER SCH. 101.85 101.85 0.010000 1. 01 1. 01 PING-PONG BALL SALES Mar 98 101. 85 101.85 1. 01 0.00 1. 01 VARIOUS 04/16/98 PER SCH. 57.40 57.40 0.010000 0.57 0.57 POTIERY SALES Apr 98 57.40 57.40 0.57 0.00 0.57 VARIOUS 06/12/98 PER SCH. 48.50 48.50 0.010000 0.49 0.49 CONCESSION SALES Detail Information for Exhibit: A030 TAXABLE SALES PAGE:~ Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Detail Information for Exhibit: A030 TAXABLE SALES Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description Jun 98 48.50 48.50 0.49 0.00 0.49 VARIOUS 07/23/98 PER SCH. 26.03 26.03 0.010000 0.26 0.26 FLIP SALES VARIOUS 07/23/98 PER SCH. 61.17 61.17 0.010000 0.61 0.61 FLIP SALES Jul 98 87.20 87.20 0.87 0.00 0.87 VARIOUS 08/04/98 PER SCH. 71.25 71.25 0.010000 0.71 0.71 FLIP SALES VARIOUS 08/05/98 PER SCH. 34.60 34.60 0.010000 0.35 0.35 FLIP SALES VARIOUS 08/11/98 PER SCH. 35.20 35.20 0.010000 0.35 0.35 FLIP SALES VARIOUS 08/11/98 PER SCH. 27.42 27.42 0.010000 0.27 0.27 CONCESSION SALES VARIOUS 08/21/98 PER SCH. 11. 00 11.00 0.010000 0.11 0.11 PING-PONG BALL SALES VARIOUS 08/21/98 PER SCH. 47.50 47.50 0.010000 0.48 0.48 FLIP SALES VARIOUS 08/21/98 PER SCH. 13.94 13.94 0.010000 0.14 0.14 CONCESSION SALES VARIOUS 08/24/98 PER SCH. 62.00 62.00 0.010000 0.62 0.62 PING-PONG BALL SALES Aug 98 302.91 302.91 3.03 0.00 3.03 VARIOUS 09/22/98 PER SCH. 34.00 34.00 0.010000 0.34 0.34 PING-PONG BALL SALES Sep 98 34.00 34.00 0.34 0.00 0.34 Grand Total 955.11 955.11 9.54 0.00 9.54 Detail Information for Exhibit: A030 TAXABLE SALES PAGE: :w Supporting Schedule for Exhibit A030 - Taxable Sales (one-year sample period) ************************************************************************************************************ Date Amount Remarks Posted To ************************************************************************************************************ 11/1 0/97 01/23/98 04/16/98 10/27/97 1 2/19/97 01/15/98 02/20/98 08/24/98 08/21/98 09/22/98 1 0/07/97 03/1 0/98 07/23/98 07/23/98 08/21/98 08/04/98 08/05/98 08/11/98 ' 01/23/98 06/1 2/98 08/11/98 08/21/98 29.50 Pottery Sales 33.25 Pottery Sales 57.40 Pottery Sales 10.00 Ping-Pong Ball Sales 32.25 Ping-Pong Ball Sales 16.25 Ping-Pong Ball Sales 10.00 Ping-Pong Ball Sales 62.00 Ping-Pong Ball Sales 11.00 Ping-Pong Ball Sales 34.00 Ping-Pong Ball Sales 144.00 Ping-Pong Ball Sales 101.86 Ping-Pong Ball Sales 26.03 Flip Sales 61 .17 Flip Sales 47.50 Flip Sales 71.26 Flip Sales 34.60 Flip Sales 35.20 Flip Sales 48.00 Concession Sales 48.50 Concession Sales 27.42 Concession Sales 13.94 Concession Sales #181 -366906 #181-366906 #181 -366906 #181-366906 #181 -366906 #181 -366906 #181 -366906 #181 -366906 #181-366906 #181 -366906 #181 -366906 #181 -366906 #181 -366906 #181 -366906 #181 -366906 #181-366906 #181 -366906 #181 -366906 #181 -366906 #181 -366906 #181-366906 #181 -366906 ------------------------------------------------------------------------ ------------------------------------------------------------------------ TOTAL 955.13 ------------------------------------------------------------------------ ------------------------------------------------------------------------ ~J Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Audit Number: 9829914039 Audit period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax REAL PROPERTY RENTALS Explanation of Items for Exhibit: A040 EXHIBIT A040. REAL PROPERTY RENTALS. The review of the collection vouchers and general ledger revealed that some revenues generated from leases or license to use real properties owned by the taxpayer were not charged of sales tax. Pursuant to the provisions of Rule 12A-1.070(4) (b), F.A.C. which states: 'The tax shall be paid at the rate of 5 percent to February 1, 1988, and 6 percent on or after February 1, 1988, on all considerations due and payable by the tenant or other person actually occupying, using, or entitled to use any real property to his landlord or other person for the privilege of use, occupancy, or the right to use or occupy any real property for any purpose." The 12 months of the fiscal period October 1997 to September 1998 was used as the sample period in this case. The deficiency was tax assessed using the average method of projecting the additional tax due for the audit period. Records examined: Collection Vouchers, Sales Tax Reports, Cashier's Reports, General Ledger and Sales Tax Returns. Specific and Implementing Authority: Chapter(s) Chapters: 95.091; 212.02 (2) , (8), (10) , (12), (13) , (14) , (15) , (16) , (20) ; 212.031 (1) (a) (b) (c) , (2) (a) , (3) , (6) ; 212.05 (1) (a) 1.a., (2), (3), (4); 212.06 (2) , (3) , (4) , (5); 212.07 (1) , (2) , (3) , (4) , (9) ; 212.12 (1), (2) , (3) , (4) , (5) , (6) , (8) , (9) , (10), (12) ; 212.13; 212.14(1), (2), (6), (7); 212.15; 212.17(6); 212.18(2); 212.21(2); 212.054; 212.055, Florida Statutes. Regulation(s): Rules: 12A-l.070; 12A-15.002; 12A-15.003; 12A-15.006, F.A.C. Explanation Of Items PAGE: :J..Z Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/1 Additional Tax Due for Exhibit: A040 REAL PROPERTY RENTALS Avg. Taxable Tax Amount Rate Feb 94 209.14 0.010000 Mar 94 209.14 0.010000 Apr 94 209.14 0.010000 May 94 209.14 0.010000 Jun 94 209.14 0.010000 Jul 94 209.14 0.010000 Aug 94 209.14 0.010000 Sep 94 209.14 0.010000 Oct 94 209.14 0.010000 Nov 94 209.14 0.010000 Dee 94 209.14 0.010000 Jan 95 209.14 0.010000 Feb 95 209.14 0.010000 Mar 95 209.14 0.010000 Apr 95 209.14 0.010000 May 95 209.14 0..010000 Jun 95 209.14 0.010000 Jul 95 209.14 0.010000 Aug 95 209.14 0.010000 Sep 95 209.14 0.010000 Oct 95 209.14 0.010000 Nov 95 209.14 0.010000 Dee 95 209.14 0.010000 Jan 96 209.14 0.010000 Feb 96 209.14 0.010000 Mar 96 209.14 0.010000 Apr 96 209.14 0.010000 May 96 209.14 0.010000 Jun 96 209.14 0.010000 Jul 96 209.14 0.010000 Aug 96 209.14 0.010000 Sep 96 209.14 0.010000 Oct 96 209.14 0.010000 Nov 96 209.14 0.010000 Dee 96 209.14 0.010000 Jan 91 209.14 0.010000 Feb 91 209.14 0.010000 Mar 91 209.14 0.010000 Apr 91 209.14 0.010000 May 91 209.14 0.010000 Jun 91 209.14 0.010000 Jul 91 209.14 0.010000 Aug 91 209.14 0.010000 Sep 91 209.14 0.010000 Oct 91 209.14 0.010000 Nov 91 209.14 0.010000 Dee 91 209.14 0.010000 Jan 98 209.14 0.010000 Feb 98 209.14 0.010000 Mar 98 209.14 0.010000 Apr 98 209.14 0.010000 May 98 209.14 0.010000 Jun 98 209.14 0.010000 Jul 98 209.14 0.010000 Aug 98 209.14 0.010000 Sep 98 209.14 0.010000 Oct 98 209.14 0.010000 Nov 98 209.14 0.010000 Dee 98 209.14 0.010000 Jan 99 209.14 0.010000 Total 12,584.40 Audit Number: 9829914039 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Per Sample Total Taxable Amount: Total Taxed Amount: Additional Taxable Amount: Months in Sample: Average Per Month: 2516.84 0.00 2516.84 12 209.14 Additional Tax Due for Exhibit: A040 REAL PROPERTY RENTALS Avg Tax Due 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 2.10 126.00 PAGE: ~ Taxpayer: CITY OF CLEARWATER Audit Number: 9929914039 Sales Tax Number: 90-00-003059-82/7 Audit period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Detail Information for Exhibit: A040 REAL PROPERTY RENTALS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description VARIOUS 06/12/98 PER SCH. 1530.00 1530.00 0.010000 15.30 15.30 RENTALS FROM CONCESSION STAND VARIOUS 06/30/99 PER SCH. 73 6 . 94 736.94 0.010000 7.36 7.36 RENTALS FROM CONCESSION STAND Jun 99 2266.94 2266.94 22.66 0.00 22.66 FL. CORP. 07/31/98 CK#l235 250.00 250.00 0.010000 2.50 2.50 SPORTSFENCE RENTAL SPORTS FEST Jul 98 250.00 250.00 2.50 0.00 2.50 Grand Total 2516.84 2516.84 25.16 0.00 25.16 Detail Information for Exhibit: A040 REAL PROPERTY RENTALS PAGE:M Explanation of Items for Exhibit: AOsO Audit Number: 9829914039 Audit period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax DISALLOWED EXEMPT SALES Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 EXHIBIT AOSO. DISALLOWED EXEMPT SALES. It was also discovered that taxpayer generate revenues from sales of recycling materials and other tangible personal properties but failed to charged or collect sales tax as required under Rule 12A-1.016, F.A.C., nor it was substantiated with valid resale certificate as required under Rule 12A-1.038, F.A.C.. The 4 months of the fiscal period October 1997 to September 1998, i.e., Oct. 97; Jan. 98; Apr. 98; and Jul. 98 was used as the sample period in this case. The deficiency was tax assessed using the average method of computing the additional tax due for the audit period. Records examined: Collection Vouchers, Sales Tax Reports, Cashier's Reports, General Ledger, and Sales Tax Returns. Specific and Implementing Authority: Chapter{s) Chapters: 95.091; 212.02 (2) , (4) , (8) , (12) , (13) , (14) , (15) , (16) , (19) , (20) ; 212. OS (1) (a) l.a., (2), (3) 1(4) ; 212.06 (1) (a) (b) , (2) , (3) , (4) , (5) , (6) ; 212.07(1), (2), (3) I (4), {9}; 212.12 (1) I (2), (3) I (4), (S) I (6) I (9) I {10}, {12}; 212.13; 212.14(1) I (2) I (6), (7); 212.15; 212.17(6}; 212.18(2); 212.21(2); 212.054; 212.055, Florida Statutes. Regulation(s}: Rules: 12A-1.016; 12A-1.038; 12A-1s.002; 12A-1s.003; 12A-1s.006, F.A.C. Explanation Of Items PAGE: ~5 Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Additional Tax Due for Exhibit: A050 DISALLOWED EXEMPT SALES Audit Number: 9829914039 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Avg. Taxable Tax Avg Tax Amount Rate Due Feb 94 1,885.21 0.010000 18.85 Mar 94 1,885.21 0.010000 18.85 Apr 94 1,885.21 0.010000 18.85 May 94 1,885.21 0.010000 18.85 Jun 94 1,885.21 0.010000 18.85 Jul 94 1,885.21 0.010000 18.85 Aug 94 1,885.21 0.010000 18.85 Sep 94 1,885.21 0.010000 18.85 Oct 94 1,885.21 0.010000 18.85 Nov 94 1,885.21 0.010000 18.85 Dec 94 1,885.21 0.010000 18.85 Jan 95 1,885.21 0.010000 18.85 Feb 95 1,885.21 0.010000 18.85 Mar 95 1,885.21 0.010000 18.85 Apr 95 1,885.21 0.010000 18.85 May 95 1,885.21 0.010000 18.85 Jun 95 1,885.21 0.010000 18.85 Jul 95 1,885.21 0.010000 18.85 Aug 95 1,885.21 0.010000 18.85 Sep 95 1,885.21 0.010000 18.85 Oct 95 1,885.21 0.010000 18.85 Nov 95 1,885.21 0.010000 18.85 Dec 95 1,885.21 0.010000 18.85 Jan 96 1,885.21 0.010000 18.85 Feb 96 1,885.21 0.010000 18.85 Mar 96 1,885.21 0.010000 18.85 Apr 96 1,885.21 0.010000 18.85 May 96 1,885.21 0.010000 18.85 Jun 96 1,885.21 0.010000 18.85 Jul 96 1,885.21 0.010000 18.85 Aug 96 1,885.21 0.010000 18.85 Sep 96 1,885.21 0.010000 18.85 Oct 96 1,885.21 0.010000 18.85 Nov 96 1,885.21 0.010000 18.85 Dec 96 1,885.21 0.010000 18.85 Jan 97 1,885.21 0.010000 18.85 Feb 97 1,885.21 0.010000 18.85 Mar 97 1,885.21 0.010000 18.85 Apr 97 1,885.21 0.010000 18.85 May 97 1,885.21 0.010000 18.85 Jun 97 1,885.21 0.010000 18.85 Jul 97 1,885.21 0.010000 18.85 Aug 97 1,885.21 0.010000 18.85 Sep 97 1,885.21 0.010000 18.85 Oct 97 1,885.21 0.010000 18.85 Nov 97 1,885.21 0.010000 18.85 Dec 97 1,885.21 0.010000 18 .85 Jan 98 1,885.21 0.010000 18.85 Feb 98 1,885.21 0.010000 18.85 Mar 98 1,885.21 0.010000 18.85 Apr 98 1,885.21 0.010000 18.85 May 98 1,885.21 0.010000 18.85 Jun 98 1,885.21 0.010000 18.85 Jul 98 1,885.21 0.010000 18.85 Aug 98 1,885.21 0.010000 18.85 Sep 98 1,885.21 0.010000 18.85 Oct 98 1,885.21 0.010000 18.85 Nov 98 1,885.21 0.010000 18.85 Dec 98 1,885.21 0.010000 18.85 Jan 99 1,885.21 0.010000 18.85 Total 113,112.60 1,131.00 Per Sample Total Taxable Amount: Total Taxed Amount: Additional Taxable Amount: Months in Sample: Average Per Month: 7540.82 0.00 7540.82 4 1885.21 Additional Tax Due for Exhibit: A050 DISALLOWED EXEMPT SALES ::lr::, PAGE:_ Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Detail Information for Exhibit: A050 DISALLOWED EXEMPT SALES Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description SUNCOAST INSULATION 10/30/97 PER SCH. 3534.60 3534.60 0.010000 35.35 35.35 NO VALID RESALE CERTIFICATE STRATEGIC MATERIALS 10/31/97 PER SCH. 1408.07 1408.07 0.010000 14.08 14.08 NO VALID RESALE CERTIFICATE JAMES METALS 10/31/97 PER SCH. 42.25 42.25 0.010000 0.42 0.42 NO VALID RESALE CERTIFICATE VARIOUS 10/31/97 PER SCH. 157.00 157.00 0.010000 1. 57 1. 57 MATERIAL FEES Oct 97 5141. 92 5141. 92 51.42 0.00 51. 42 STRATEGIC MATERIALS 01/31/98 PER SCH. 311.50 311.50 0.010000 3.12 3.12 NO VALID RESALE CERTIFICATE JAMES METALS 01/31/98 PER SCH. 56.35 56.35 0.010000 0.56 0.56 NO VALID RESALE CERTIFICATE VARIOUS 01/31/98 PER SCH. 232 . 00 232.00 0.010000 2.32 2.32 MATERIAL FEES Jan 98 599.85 599.85 6.00 0.00 6.00 STRATEGIC MATERIALS 04/30/98 PER SCH. 1084.00 1084.00 0.010000 10.84 10.84 NO VALID RESALE CERTIFICATE VARIOUS 04/30/98 PER SCH. 171.00 171.00 0.010000 1.71 1.71 MATERIAL FEES Apr 98 1255.00 1255.00 12.55 0.00 12.55 STRATEGIC MATERIALS 07/31/98 PER SCH. 338.40 338.40 0.010000 3.38 3.38 NO VALID RESALE CERTIFICATE JAMES METALS 07/31/98 PER SCH. 46.15 46.15 0.010000 0.47 0.47 NO VALID RESALE CERTIFICATE VARIOUS 07/31/98 PER SCH. 159.50 159.50 0.010000 1. 60 1.60 MATERIAL 'FEES Jul 98 544.05 544.05 5.45 0.00 5.45 Grand Total 7540.82 7540.82 75.42 0.00 75.42 Detail Information for Exhibit: A050 DISALLOWED EXEMPT SALES PAGE:E Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 Audit Number: 9829914039 Audit period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax TAXABLE RENTALS Explanation of Items for Exhibit: A060 EXHIBIT A060. TAXABLE RENTALS. The review of the collection vouchers and general ledger disclosed that taxpayer generated some revenues from leases or licenses to use its real property but sales tax was not charged or collected as required under Rule 12A-1.070, F.A.C. With regards to revenues or commissions received from vending machines operator, we cite the provision of Rule 12A-L044(9) (a), F.A.C., which states: "(a). If the machine owner is also the operator and the operator places the machine at another person' location, the arrangement between the machine owner and the location owner is a lease or license to use real property. The location owner shall collect tax from the machine owner on the amount the location owner receives for the lease or license to use the real property. The tax must be separately stated from the amount of the lease or license payment." The 4 months of the fiscal period October 1997 to September 1998, i.e., Oct. 97; Jan. 98; Apr. 98; and Jul. 98 was used as the sample period in this case. The deficiency was tax assessed using the average method of projecting the additional tax due for the audit period. Records examined: Collection Vouchers, Sales Tax Reports, Cashier's Reports, General Ledger, and Sales Tax Returns. Specific and Implementing Authority: Chapter(s) Chapters: 95.091; 212.02 (2), (8), (10, (12), (13), (14), (15), (16), (20), (24); 212.031 (1) (a) (b) (c) , (2) (a) , (3) , (6) ; 212.05 (1) (a) La., (2) , (3) , (4) ; 212.06(2), (3), (4), (5); 212.07(1), (2), (3), (4), (9); 212.12 (1) , (2) , (3) , (4) , (5) , (6) , (8) , (9) , (10), (13) ; 212.13; 212.14(1),(2),(6),(7); 212.17(6); 212.18(2); 212.21(2); 212.054; 212.055, Florida Statutes. Regulation(s): Rules: 12A-1.044; 12A-1.070; 12A-15.002; 12A-15.003; 12A-15.006, F.A.C. Explanation Of Items PAGE: 2 g Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Additional Tax Due for Exhibit: A060 TAXABLE RENTALS Avg. Taxable Tax Avg Tax Amount Rate Due Feb 94 1,157.85 0.010000 11.58 Mar 94 1,157.85 0.010000 11. 58 Apr 94 1,157.85 0.010000 11.58 May 94 1,157.85 0.010000 11. 58 Jun 94 1,157.85 0.010000 11.58 Jul 94 1,157.85 0.010000 11.58 Aug 94 1,157.85 0.010000 11.58 Sep 94 1,157.85 0.010000 11.58 Oct 94 1,157.85 0.010000 11.58 Nov 94 1,157.85 0.010000 11.58 Dee 94 1,157.85 0.010000 11.58 Jan 95 1,157.85 0.010000 11.58 Feb 95 1,157.85 0.010000 11. 58 Mar 95 1,157.85 0.010000 11. 58 Apr 95 1,157.85 0.010000 11.58 May 95 1,157.85 0.010000 11. 58 Jun 95 1,157.85 0.010000 11.58 Jul 95 1,157.85 0.010000 11.58 Aug 95 1,157.85 0.010000 11. 58 Sep 95 1,157.85 0.010000 11.58 Oct 95 1,157.85 0.010000 11.58 Nov 95 1,157.85 0.010000 11.58 Dee 95 1,157.85 0.010000 11.58 Jan 96 1,157.85 0.010000 11.58 Feb 96 1,157.85 0.010000 11.58 Mar 96 1,157.85 0.010000 11.58 Apr 96 1,157.85 0.010000 11.58 May 96 1,157.85 0.010000 11.58 Jun 96 1,157.85 0.010000 11.58 Jul 96 1,157.85 0.010000 11.58 Aug 96 1,157.85 0.010000 11.58 Sep 96 1,157.85 0.010000 11. 58 Oct 96 1,157.85 0.010000 11. 58 Nov 96 1,157.85 0.010000 11.58 Dee 96 1,157.85 0.010000 11.58 Jan 97 1,157.85 0.010000 11.58 Feb 97 1,157.85 0.010000 11.58 Mar 97 1,157.85 0.010000 11. 58 Apr 97 1,157.85 0.010000 11. 58 May 97 1,157.85 0.010000 11. 58 Jun 97 1,157.85 0.010000 11.58 Jul 97 1,157.85 0.010000 11.58 Aug 97 1,157.85 0.010000 11.58 Sep 97 1,157.85 0.010000 11.58 Oct 97 1,157.85 0.010000 11.58 Nov 97 1,157.85 0.010000 11.58 Dee 97 1,157.85 0.010000 11.58 Jan 98 1,157.85 0.010000 11. 58 Feb 98 1,157.85 0.010000 11.58 Mar 98 1,157.85 0.010000 11. 58 Apr 98 1,157.85 0.010000 11.58 May 98 1,157.85 0.010000 11.58 Jun 98 1,157.85 0.010000 11.58 Jul 98 1,157.85 0.010000 11.58 Aug 98 1,157.85 0.010000 11.58 Sep 98 1,157.85 0.010000 11.58 Oct 98 1,157.85 0.010000 11.58 Nov 98 1,157.85 0.010000 11.58 Dee 98 1,157.85 0.010000 11. 58 Jan 99 1,157.85 0.010000 11.58 Total 69,471. 00 694.80 I. n Per Sample U Total Taxable Amount: 4631. 41 U Total Taxed Amount: 0.00 U Additional Taxable Amount: 4631. 41 II Months in Sample: 4 II Average Per Month: 1157.85 II Additional Tax Due for Exhibit: A060 TAXABLE RENTALS PAGE:~ Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax NUmber: 80-00-003059-82/7 Audit period: 02101/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Detail Information for Exhibit: A060 TAXABLE RENTALS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description J. COOPER 01/21/98 PER SCH. 50.00 50.00 0.010000 0.50 0.50 REAL PROPERTY RENTAL J. COOPER 01/21/98 PER SCH. 25.00 25.00 0.010000 0.25 0.25 REAL PROPERTY RENTAL TAMPA BAY CLUB 01/22198 PER SCH. 1100.00 1100.00 0.010000 11.00 11.00 REAL PROPERTY RENTAL JOLLY TROLLEY 01/26/98 PER SCH. 318.00 318.00 0.010000 3.18 3.18 OTHER RENTAL CONSIDERATIONS Jan 98 1493.00 1493.00 14.93 0.00 14.93 J. COOPER 04/07/98 PER SCH. 25.00 25.00 0.010000 0.25 0.25 REAL PROPERTY RENTAL CLW. COMM. 04/17/98 PER SCH. 150.00 150.00 0.010000 1. 50 1.50 REAL PROPERTY VOLUNTEERS RENTAL H. HEAVEN 04/21/98 PER SCH. 25.00 25.00 0.010000 0.25 0.25 REAL PROPERTY RENTAL JOLLY TROLLEY 04/21/98 PER SCH. 318.00 318.00 0.010000 3.18 3.18 OTHER RENTAL CONSIDERATIONS VARIOUS 04/22/98 PER SCH. 409.52 409.52 0.010000 4.09 4.09 VENDING MACHINE COMMISSIONS J. COOPER 04/30/98 PER SCH. 25.00 25.00 0.010000 0.25 0.25 REAL PROPERTY RENTAL Apr 98 952.52 952.52 9.52 0.00 9.52 VARIOUS 07/31/98 PER SCH. 2185.89 2185.89 0.010000 21. 86 21. 86 VENDING MACHINE COMMISIONS Jul 98 2185.89 2185.89 21.86 0.00 21.86 Grand Total 4631.41 4631.41 46.31 0.00 46.31 Detail Information for Exhibit: A060 TAXABLE RENTALS PAGE: ..3lJ Explanation of Items for Exhibit: A070 Audit Number: 9829914039 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax DISALLOWED REFUNDS Taxpayer: CITY OF CLEARWATER Sales Tax Number: 80-00-003059-82/7 EXHIBIT A070. DISALLOWED REFUNDS. Between the period of March 1997 and January 1999, the City has received and processed applications for tax refund on gas sales. These applications were precipitated by the clarifications of Rule 12A-1.053, F.A.C., whereby Nursing Homes and Adult Living Facilities were considered to be residential rather than commercial facilities. As such, they become exempt from sales tax of their utilities (gas and electric) . All refunds were made by crediting or reducing the sales tax collected for the month. Pursuant to the provision of Rule 12A-1.014(4) (b), F.A.C., which states: "Any dealer who is entitled to a refund of taxes paid to the Department of Revenue may, in lieu of applying to the Department for a refund, take credit for such amount on any subsequent report filed within 36 months of the date on which the dealer remitted the tax to the state. x x x." However, a review of the records relative to the tax refunds disclosed that the taxpayer has made various tax refunds in excess of the 36 months regulation. Hence, the excesses were disallowed. Records examined: Application for Refund, Finance/UCS Error Correction, and Service History Information. Specific and Implementing Authority: Chapter(s) Chapters: 95.091; 212.02 (2) , (4) , (12) , (13) , (14) , (15) , (16) , (19) , (21) ; 212.05(1),(2); 212.095; 212.12(6); 212.13(1); 212.17(6); 212.18(2); 212.21(2); 212.054; 212.055, Florida Statutes. Regulation(s): Rules: 12A-1.014; 12A-15.002; 12A-15.003; 12A-15.006, F.A.C. Explanation Of Items PAGE: .3/ Taxpayer: CITY OF CLEARWATER Audi t Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Additional Tax Due for Exhibit: A070 DISALLOWED REFUNDS Taxable Tax Correct Less: Tax Additional Amount Rate Tax Due Collected Tax Due Feb 94 0.00 0.000000 0.00 0.00 0.00 Mar 94 0.00 0.000000 0.00 0.00 0.00 Apr 94 0.00 0.000000 0.00 0.00 0.00 May 94 0.00 0.000000 0.00 0.00 0.00 Jun 94 0.00 0.000000 0.00 0.00 0.00 Jul 94 0.00 0.000000 0.00 0.00 0.00 Aug 94 0.00 0.000000 0.00 0.00 0.00 Sep 94 0.00 0.000000 0.00 0.00 0.00 Oct 94 0.00 0.000000 0.00 0.00 0.00 Nov 94 0.00 0.000000 0.00 0.00 0.00 Dee 94 0.00 0.000000 0.00 0.00 0.00 Jan 95 0.00 0.000000 0.00 0.00 0.00 Feb 95 0.00 0.000000 0.00 0.00 0.00 Mar 95 0.00 0.000000 0.00 0.00 0.00 Apr 95 0.00 0.000000 0.00 0.00 0.00 May 95 0.00 0.000000 0.00 0.00 0.00 Jun 95 0.00 0.000000 0.00 0.00 0.00 Jul 95 0.00 0.000000 0.00 0.00 0.00 Aug 95 0.00 0.000000 0.00 0.00 0.00 Sep 95 0.00 0.000000 0.00 0.00 0.00 Oct 95 0.00 0.000000 0.00 0.00 0.00 Nov 95 0.00 0.000000 0.00 0.00 0.00 Dee 95 0.00 0.000000 0.00 0.00 0.00 Jan 96 0.00 0.000000 0.00 0.00 0.00 Feb 96 0.00 0.000000 0.00 0.00 0.00 Mar 96 0.00 0.000000 0.00 0.00 0.00 Apr 96 0.00 0.000000 0.00 0.00 0.00 May 96 0.00 0.000000 0.00 0.00 0.00 Jun 96 0.00 0.000000 0.00 0.00 0.00 Jul 96 0.00 0.000000 0.00 0.00 0.00 Aug 96 0.00 0.000000 0.00 0.00 0.00 Sep 96 0.00 0.000000 0.00 0.00 0.00 Oct 96 0.00 0.000000 0.00 0.00 0.00 Nov 96 0.00 0.000000 0.00 0.00 0.00 Dee 96 0.00 0.000000 0.00 0.00 0.00 Jan 97 0.00 0.000000 0.00 0.00 0.00 Feb 97 0.00 0.000000 0.00 0.00 0.00 Mar 97 0.00 0.000000 0.00 0.00 0.00 Apr 97 0.00 0.000000 0.00 0.00 0.00 May 97 0.00 0.000000 0.00 0.00 0.00 Jun 97 0.00 0.000000 0.00 0.00 0.00 Jul 97 0.00 0.000000 0.00 0.00 0.00 Aug 97 0.00 0.000000 0.00 0.00 0.00 Sep 97 0.00 0.000000 0.00 0.00 0.00 Oct 97 0.00 0.000000 0.00 0.00 0.00 Nov 97 0.00 0.000000 0.00 0.00 0.00 Dee 97 0.00 0.000000 0.00 0.00 0.00 Jan 98 0.00 0.000000 0.00 0.00 0.00 Feb 98 0.00 0.000000 0.00 0.00 0.00 Mar 98 24,524.14 0.010000 245.23 0.00 245.23 Apr 98 0.00 0.000000 0.00 0.00 0.00 May 98 5,000.00 0.010000 50.00 0.00 50.00 Jun 98 0.00 0.000000 0.00 0.00 0.00 Jul 98 0.00 0.000000 0.00 0.00 0.00 Aug 98 0.00 0.000000 0.00 0.00 0.00 Sep 98 0.00 0.000000 0.00 0.00 0.00 Oct 98 0.00 0.000000 0.00 0.00 0.00 Nov 98 5,000.00 0.010000 50.00 0.00 50.00 Dec 98 0.00 0.000000 0.00 0.00 0.00 Jan 99 3,733.00 0.010000 37.33 0.00 37.33 Total 38,257.14 382.56 0.00 382.56 Additional Tax Due for Exhibit: A070 DISALLOWED REFUNDS 3~ PAGE:_ Taxpayer: CITY OF CLEARWATER Audit Number: 9829914039 Sales Tax Number: 80-00-003059-82/7 Audit Period: 02/01/94 Through 01/31/99 Tax Type 016 - Local Government Infrastructure Surtax Detail Information for Exhibit: A070 DISALLOWED REfUNDS Trans Trans Trans Taxable Tax Tax Tax Add'l Name Date Number Amount Amount Rate Due Paid Tax Due Description PALM GARDEN OF 03/31/98 PER SCH. 10368.14 5000.00 0.010000 50.00 50.00 REFUNDS IN EXCESS PINELLAS OF 36 MONTHS NEW ATLANTIS CLUB 03/31/98 PER SCH. 742.00 742.00 0.010000 7.42 7.42 REFUNDS IN EXCESS CONDO OF 36 MONTHS PINELLAS II 03/31/98 PER SCH. 9845.86 5000.00 0.010000 50.00 50.00 REFUNDS IN EXCESS HEALTHCARE OF 36 MONTHS LARGO ACLF 03/31/98 PER SCH. 71.71 71.71 0.010000 0.71 0.71 REFUNDS IN EXCESS OF 36 MONTHS INTEGRATED HEATH 03/31/98 PER SCH. 20084.43 5000.00 0.010000 50.00 50.00 REFUNDS IN EXCESS SVCS. OF 36 MONTHS PALM GARDEN OF 03/31/98 PER SCH. 8417.43 5000.00 0.010000 50.00 50.00 REFUNDS IN EXCESS CLEARWATER OF 36 MONTHS GAGNE WALLCOVERINGS 03/31/98 PER SCH. 3177.86 3177.86 0.010000 31.78 31.78 REFUNDS IN EXCESS OF 36 MONTHS NEW ATLANTIS CLUB 03/31/98 PER SCH. 532.57 532.57 0.010000 5.32 5.32 REFUNDS IN EXCESS CONDO OF 36 MONTHS Mar 98 53240.00 24524.14 245.23 0.00 245.23 DREW VILLAGE 05/31/98 PER SCH. 12271.86 5000.00 0.010000 50.00 50.00 REFUNDS IN EXCESS NURSING HOME OF 36 MONTHS May 98 12271.86 5000.00 50.00 0.00 50.00 DUNEDIN CARE CENTER 11/30/98 PER SCH. 17165.43 5000.00 0.010000 50.00 50.00 REFUNDS IN EXCESS OF 36 MONTHS Nov 98 17165.43 5000.00 50.00 0.00 50.00 SUNSET POINT 01/31/99 PER SCH. 3733.00 3733.00 0.010000 37.33 37.33 REFUNDS IN EXCESS NURSING CENTER OF 36 MONTHS Jan 99 3733.00 3733.00 37.33 0.00 37.33 Grand Total 86410.29 38257.14 382.56 0.00 382.56 Detail Information for Exhibit: A070 DISALLOWED REFUNDS PAGE: ..3.3