Who will pay the sales tax?
The local option sales tax would apply to all transactions subject to the state tax imposed on sales, use, services, rentals, admissions, and other authorized transactions. Anyone who buys goods in Okaloosa County would pay the [half-cent] sales tax. 56% of sales tax generated is collected during the tourist season.
How is sales tax distributed?
The county and municipal governments share the proceeds in accordance with the following statutory formula (F.S. 218.62):
The proportion for each county government shall be computed by dividing the sum of the unincorporated area population plus two-thirds of the incorporated area population by the sum of the total county population plus two-thirds of the incorporated area population.
Okaloosa County: Approximately $18 Million Dollars will be collected annually. Twelve ($12) million will be designated to Okaloosa County Projects. Approximately 1/3 ($4 Million Dollars per year for 10 years) will be assigned to public safety; 1/3 ($4 Million Dollars per year) to roadway projects such as the PJ Adams Crestview bypass and traffic relief projects for the congested HWY 98 corridor. 1/3($4 Million per year for 10 years) water quality and stormwater projects throughout the county.
The proportion for each municipal government shall be computed by dividing the population of that municipality by the sum of the total county population plus two-thirds of the incorporated area population.
Okaloosa County cities: $6 Million Dollars will be assigned to all Cities based on population. For example, Crestview ($1.8 Million per year); Fort Walton Beach ($1.6 Million per year); Niceville & Destin ($1 Million each per year); Valparaiso ($400,000 per year); Mary Esther ($300,000 per year); Shalimar ($63,000 per year); Laurel Hill ($42,000 per year); and Cinco Bayou ($32,000 per year).
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