HB 7055 passed in the 2017 Legislative Session, and with it Floridians will be able to make contributions to the Hope Scholarship Fund enabling children who are facing any form of bullying to apply for a grant of up to $7,100 to attend a private, chartered school.

These contributions to the Hope program will be funded by what happens under your roof on every used and new car sale beginning October 1.  Leases are excluded as are heavy trucks, trailers and motorcycles.

On and after October 1, those buying new or used cars will be able to designate from $1 up to $105 from the sales tax due on their purchase to the Hope program.  The consumer must pay the entire tax due but can divert whatever they wish, up to $105, away from DOR to the Hope program.

When the total sales tax is calculated after the trade, but before any auxiliary sales, such as hard adds or other taxable aftermarket products, you will provide the consumer with a new DOR form that will allow them to designate up to $105 of the sales tax due to Hope and the balance of the tax will go, as it always has to DOR on the DR15.

Dealers will complete the new form either recording that no sales tax has been designated or the amount of the consumer’s choice.  Dealers will have to create a new sub-account to house these Hope contributions and you will remit these contributions to a new entity; Step Up for Students.  A new form will provide a way for you to report the Hope designations by all of your customers monthly, like you do currently to DOR.

FADA is working on the forms being developed by DOR and the processes involved, including the DMS programming changes that will be necessary for you to process these new contributions.  We do not know whether our suggestions will be followed so there will be more specifics provided to you in the next 60 days.  View our Overview – Hope Scholarship document now and talk to your staff about this new requirement. Please let us know any comments or questions you may have at [email protected].