Here is a part of an article from the Orlando Sentinel about legislation to benefit timeshare owners by providing more certainty on taxes.
Quote:
The legislation would ensure that time-share units rented through exchange programs aren't subject to bed taxes, provided the guest isn't also paying money to the unit's owner. And it would ensure that taxes aren't collected on the membership fees owners pay to belong to exchange programs, which ARDA says are typically in the neighborhood of $100 a year.
Time-share exchanges have grown dramatically in recent years, and are now a key piece of a $44 billion exchange-and-rental industry. Nearly 80percent of time-share owners are members of exchange companies, according to industry estimates, and they make close to 4million trades a year.
Jason Garcia at Orlando Sentinel's Tourism Central had this to report recently:
"The Florida House of Representatives today unanimously approved a bill to help the time-share industry by allowing developers to sell debt-cancellation policies and ensuring time-share exchanges aren’t subject to taxes.
The House voted 112-0 for the measure (HB 61), which has been lobbied for by the American Resort Development Association, Walt Disney World and a number of others.
Just before the final vote, the House stripped out a controversial provision that would have allowed counties to spend hotel taxes building publicly owned convention hotels. The language had been inserted to help Broward County, which is trying to build a 1,000-room hotel next to its convention center in Fort Lauderdale, but it ignited fierce opposition from hoteliers.
The measure now heads to the Senate, where it also has widespread support. The session ends May 1."
Here's an update by Jason Garcia at the Orlando Sentinel:
Quote:
Time shares will get the ability to sell policies under which they would let buyers walk away from their mortgages if they lose their income, under a bill approved Wednesday by the Florida Legislature.
So-called "debt-cancellation" policies have been made famous by Hyundai's "Assurance" program and similar initiatives at other carmakers, which have offered them in hopes of convincing nervous consumers to make a big-ticket purchase even as unemployment continues to rise.
The bill (HB 61) will permit time shares to sell such policies by ensuring that it won't be considered insurance, sparing the companies from strict oversight by insurance regulators. Boosters hope time shares can market the policies much like carmakers have.
"Hopefully, that provides them [buyers] with the additional comfort to be able to go ahead and make a purchase," said Jason Gamel, vice president of state government affairs at the American Resort Development Association, the time-share industry's trade group.
The legislation also ensures time-share rentals aren't taxable when they are booked through exchanges, such as those run by Group RCI and Miami-based Interval International, or when they are booked as part of certain promotional packages.
But it would also make clear that time shares are subject to taxes when they rented for cash, much like hotel rooms. Most time-share operators already follow that practice.
Walt Disney World, Westgate Resorts and Interval International were among the companies lobbying for the legislation.
Ensuring local governments don't sue to collect taxes on time-share exchanges is a particular plum for the industry. Gamel said it provides "the certainty of time-share owners to be able to exchange into Florida inventory without having to worry about those transactions being taxed."
The Florida Senate approved the bill on a 39-0 vote, following a 112-0 vote in the state House last week. It now heads to the desk of Gov. Charlie Crist, who is expected to sign it into law.
Florida Timeshare Legislation 
Florida Timeshare Legislation 
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