So, you’re thinking about moving to the Sunshine State, or maybe you already live here and you’re just trying to figure out why your last trip to the store cost more than you expected. People always talk about Florida being a "tax haven" because we don't have a state income tax. That’s true. It's awesome. But the government has to get its money from somewhere, right?
Honestly, understanding the Florida tax rate is kind of like looking at a jigsaw puzzle. Some pieces are huge, like sales tax, and others are tiny and weird, like the "doc stamps" you pay when you buy a house.
Here is the real breakdown of what’s coming out of your pocket in 2026.
The Big One: Florida Sales Tax Rate
Most people think sales tax is a flat number. It isn't.
The state of Florida takes a base of 6% on most things you buy. But then the counties get involved. Most counties add their own "discretionary surtax," which usually ranges from 0.5% to 1.5%.
If you are shopping in Miami-Dade, you’re looking at a total of 7%. If you’re up in Alachua or Gadsden, it’s 7.5%. A few places, like Collier or Citrus, stick to that base 6% and call it a day. But here is the thing: there’s a new change for 2026 that specifically affects Palm Beach County.
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Back in late 2024, voters there approved a new school surtax, but they also let an old infrastructure tax expire. Basically, as of January 1, 2026, the Palm Beach County tax rate actually dropped from 7% down to 6.5%. It’s a rare win for the wallet.
What is actually taxed?
- Groceries: Mostly exempt. Basic staples like milk and bread are tax-free, but "prepared food" (like that rotisserie chicken that smells so good) is usually taxed.
- Medicine: Prescription drugs and most common over-the-counter meds are exempt.
- Rent: This is a weird Florida quirk. If you rent a commercial space for your business, you pay sales tax on the rent. The good news is the state has been slashing this rate lately to help small businesses.
Property Taxes: The "Save Our Homes" Shield
Florida property taxes can be a shock if you are moving from a state with low home values. Because there is no income tax, the state relies heavily on real estate.
Each county sets a "millage rate." One mill equals $1 for every $1,000 of assessed value.
If you live in your home full-time, you need to file for the Homestead Exemption. This knocks up to $50,000 off your home's assessed value for tax purposes. More importantly, it triggers the "Save Our Homes" cap. This law prevents your home's assessed value from increasing more than 3% per year.
Right now, in the 2026 legislative session, there is a massive push for even more relief. Governor DeSantis and several lawmakers are debating bills like HJR 201 and HJR 205. One of the wildest proposals on the table is the total elimination of "non-school" property taxes for homesteads. If that passes, your tax bill could literally be cut in half, though it would likely require a constitutional amendment and a 60% vote from the public later this year.
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The "Invisible" Taxes: Gas and Communication
You feel these every day, even if you don't see them on a line item.
As of January 1, 2026, the state motor fuel tax bumped up slightly. It’s an annual adjustment based on inflation. The state tax on motor fuel is now 22 cents per gallon, up from 21.5 cents last year. When you add in the federal tax and local county options, you’re often paying over 50 cents in tax for every gallon of gas you pump.
Then there’s the Communication Services Tax (CST).
This is that annoying charge on your cell phone bill or your streaming service. It’s one of the highest in the country. The state takes 4.92%, but cities can add their own chunk, sometimes pushing the total tax on your phone bill over 12%. It’s basically a "convenience tax" for living in a digital world.
Buying a Home? Watch for Doc Stamps
If you are buying or selling real estate, you’ll encounter the Documentary Stamp Tax.
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In most of Florida, the seller pays $0.70 for every $100 of the sale price. So, on a $400,000 home, that’s $2,800 just for the paperwork. Miami-Dade is the outlier here; they charge $0.60 per $100 for single-family homes but add a special surtax for other types of property.
Also, if you're taking out a mortgage, there's a separate "intangible tax" and a doc stamp tax on the mortgage note itself. It’s roughly $0.35 per $100 of the loan amount.
Corporate Income Tax
If you’re a business owner, Florida is generally friendly. The corporate income tax rate is currently 5.5%.
However, many small businesses—like S-Corps, LLCs, and sole proprietorships—don't pay this at all. The income "passes through" to the owners. And since Florida has no personal income tax, that money stays in your pocket. This is why so many entrepreneurs are flocking to Orlando and Miami.
Summary of Florida Tax Rates for 2026
- Personal Income Tax: 0% (The best number in the world).
- State Sales Tax: 6% (Plus 0% to 2.5% in county surtaxes).
- Corporate Income Tax: 5.5%.
- Gas Tax: 22 cents/gallon (State portion only).
- Palm Beach County Total Sales Tax: 6.5%.
- Miami-Dade Total Sales Tax: 7%.
Actionable Next Steps
If you want to keep your tax burden as low as possible in Florida, start with these three moves:
- File for Homestead: If you bought a home recently, you must file by March 1st to get the exemption for the current year. Don't miss this deadline; it's the difference between a stable tax bill and a skyrocketing one.
- Track the 2026 Legislative Session: Watch the news for "HJR 201." If the property tax elimination bill gains traction, it will change the math for every homeowner in the state.
- Check Your County Surtax: If you are making a massive purchase—like a car or a boat—look at the tax rates of neighboring counties. You generally pay the tax based on where the item is delivered or registered, but knowing the local surtax helps you budget more accurately.
Florida isn't "tax-free," but with no income tax and a relatively stable sales tax, it remains one of the most affordable states for people who know how to navigate the system.