Florida Car Dealers Must Report Sales Price to DMV
On May 11, 2012 the Florida DMV issued a notice to tax collectors and license plate agencies and car dealers making it mandatory for Florida licensed motor vehicle dealers to enter the net selling price of the car prior to the completion of a title transaction.
Currently, the DMV database has fields to provide this information; however, it is not mandatory for dealers to do so. The change will make entering the net selling price mandatory, and DMV will share this data with the Florida Department of Revenue (DOR).
FADA INTERVENES - In reaction to this change, Ted Smith, President of the Florida Automobile Dealers Association (FADA) posted a video on the FADA website (“An Update on Your Sales Data“) on June 19, 2012 in which he said:
- “We certainly didn’t want to create a new public record, wherein, dealerships or vendors or trial lawyers could access names and net selling prices, for a host of reasons.”
- “So we have worked closely with the attorneys at DMV and the attorneys at DOR, and I believe in the next two weeks, prior to July 1 we will be able to report to you, that that specific piece of information you report will be considered a private and not a public record, and will not be accessible by anyone. So that’s our FADA solution…”
In a June 25, 2012 memorandum on the “Entry of Net Selling Price by Motor Vehicles Required” directed to “All Florida Vehicle Dealers” Maria Johnson of the DOR, stated that:
- “The electronic information will be treated as confidential except for official purposes as outlined in 213.053, Florida Statutes.”
MANDATORY REPORTING DELAYED - However, the implementation of this new procedure has been delayed as reported in a DMV Technical Advisory released June 28, 2012 (Advisory Number: R12-06).
- “Initially, the Department asked dealers to begin entering the Net Selling Price beginning July 1, 2012 to coincide with the Department’s legislative mandates and release. However, since this portion is not legislatively mandated and due to a few issues, we are allowing dealers additional time to start entering this information.”
- “We appreciate many dealers and vendors moving forward to implement this item on July 1, 2012. However, we understand that some dealers need more time to print and program their printers for the revised version of form HSMV 82040 (REV. – 6/12).”
- “Therefore, beginning July 1, 2012, the system WILL NOT reject those transactions where the form HSMV 82040 is missing this data. We are asking tax collector offices and license plate agencies to allow additional time for dealers to comply.”