Tax Structure

Use tax is due on the use or consumption of taxable goods or services when Florida sales tax was not paid at the time of purchase.

Other Florida Tax Advantages


No corporate income tax on limited partnerships

No state personal income tax

No state-level property tax assessed

No sales and use tax on goods manufactured or produced in Florida for export outside the state

No sales tax on purchases of raw materials incorporated in a final product for resale, including non-reusable containers or packaging

No corporate income tax on subchapter S-corporations

No corporate franchise tax on capital stock

No property tax on goods-in-transit for up to 180 days

No sales and use tax on co-generation of electricity


Sales and Use Tax Exemptions


Manufacturing machinery and equipment

Electricity used in the manufacturing process

Semiconductor, defense and space technology-based industry transactions involving manufacturing equipment

Labor component of research and development expenditures

Aircraft parts, modification, maintenance and repair, sale or lease of qualified aircraft

Commercial space activity — launch vehicles, payloads and fuel, machinery and equipment for production

Labor, parts and materials used in repair of and incorporated into machinery and equipment

Certain boiler fuels (including natural gas) used in the manufacturing process

Machinery and equipment used predominantly in research and development

Production companies engaged in Florida in the production of motion pictures, made for television motion pictures, television series, commercial advertisements, music videos or sound recordings


Real Property Tax & Tangible Personal Property Tax


Taxes are levied in Bay County by the taxing authorities empowered to do so by the State Legislature. The Bay County Property Appraiser establishes the value of real estate and tangible personal property. The Board of County Commissioners set the millage (rate of taxation) for the county; the School Board sets the millage for the schools; and the city councils and commissions set the millage for each municipality. The governing bodies of other independent special taxing districts and authorities set the millage rates for those areas.




Contact Us

For More Information


Bay Economic Development Alliance

5230 West Highway 98
Panama City FL 32401

Phone: 850.215.9965






5230 West Hwy 98,
Panama City FL 32401

Phone: 850.215.9965



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