Tax Lawyers in Orlando

Orlando, Florida, operates under a tax-friendly structure with no state or local personal income tax. Residents do not pay state tax on wages, retirement income-including pensions, 401(k)s, and Social Security or investment income, though federal income tax still applies.

The city’s combined sales tax rate is 6.5%, which includes Florida’s 6% state tax and local 0.5% surtax. This applies to most retail purchases, excluding essentials like groceries, prescription drugs, and medical equipment. Property taxes are administered by the Orange County Property Appraiser, who determines assessed property values.

Tax collection is handled by the Orange County Tax Collector. Exemptions such as the homestead exemption help reduce taxable value, and the “Save Our Homes” amendment limits annual increases to 3% for owner-occupied homes and 10% for commercial properties.

In Orlando, businesses that operate as C corporations are subject to Florida’s 5.5% corporate income tax, which is administered by the Florida Department of Revenue, while other business structures typically pass income through to individual owners for federal taxation. Additional taxes include the Communications Services Tax, which totals 7.44% at the state level and may increase with local surcharges, as well as a flat motor fuel tax of $0.37325 per gallon, with potential local add-ons in Orange County.

In Orlando, residents do not pay state or local personal income tax as the state, Florida’s tax structure exempts wages, salaries, retirement income (including pensions, 401(k)s, and Social Security), and investment income from state taxation. However, federal income tax still applies.

Instead of income taxes, Orlando’s key taxes are sales and property taxes. The combined sales tax rate in Orlando is 6.5%, made up of Florida’s 6% state sales tax and a 0.5% county sales tax imposed by Orange County. The City of Orlando does not impose a city-specific sales tax. This tax applies to most goods and some services, excluding most groceries, prescription drugs, and medical devices.

In Orlando, businesses structured as C corporations are subject to Florida’s 5.5% corporate income tax, collected by the Florida Department of Revenue. Other types of businesses, like partnerships and LLCs, pass income to individual owners for federal taxation. Orlando also sees additional taxes, such as the Communications Services Tax (CST), which totals 7.44% at the state level and may increase with local surcharges. The statewide motor fuel tax is a flat $0.37325 per gallon, with Orange County allowed to add local fuel taxes.

Neither the state of Florida nor the city of Orlando imposes a state or local income tax, meaning many types of earnings are fully exempt from state and local taxation. These include:

• Employment income: Wages, salaries, bonuses, commissions, and self-employment income are not taxed at the state level, though they remain subject to federal income tax.
• Retirement Income: Retirement income, including Social Security benefits, pensions, 401(k) withdrawals, and IRA distributions, is also exempt from state taxation
• Investment Income: Florida does not tax capital gains, dividends, or interest income at the state level, making it a tax-friendly state for investors and retirees.
• Business Income: Business owners operating sole proprietorships, partnerships, and S corporations benefit from Florida’s lack of personal income tax, as these pass-through entities do not pay state tax on their earnings. However, C corporations are subject to a 5.5% corporate income tax on taxable profits.

While Florida and Orlando do not tax personal income, residents still contribute to state revenue through sales taxes, property taxes, and various business taxes.

Yes, the state of Florida and the city of Orlando offer several tax exemptions that benefit residents, businesses, and retirees by reducing overall tax burdens.

• Homestead Exemption: Homeowners can reduce the taxable value of their primary residence by up to $50,000, lowering property taxes. Additional exemptions are available for seniors, disabled veterans, blind persons, widow(er), and first responders.
• Sales Tax Exemptions: Florida and Orlando do not impose sales tax on groceries, prescription medications, and medical devices. Certain business-related purchases, such as manufacturing equipment, R&D machinery, and agricultural supplies, also qualify for exemptions.
• No State Income Tax: Florida does not tax wages, salaries, pensions, Social Security benefits, or investment income, making it especially attractive for retirees and high earners.
• No Estate or Inheritance Tax: There are no state-level taxes on estates or inheritances, allowing for easier wealth transfer without additional state taxation.

While Florida does not levy a personal income tax, residents still contribute through sales taxes, property taxes, and corporate taxes. However, these exemptions help minimize the overall tax burden.

The cost of hiring an Orlando tax lawyer varies based on the complexity of your case, whether it involves IRS audits, offshore compliance, or business tax disputes.

At Taxlawyer.com, we help Orlando residents find licensed tax lawyers Orlando who offer expert legal services without excessive financial burden. Our directory connects you with experienced tax attorneys in Orlando Florida and in-house Orlando tax attorneys ready to assist.

Finding the best tax attorney in Orlando FL is crucial when dealing with IRS audits, tax debt relief, or business tax matters. Follow these key steps:

• Identify your tax issue – Federal audits, state tax disputes, offshore reporting, or business taxation.
• Research and verify credentials – Ensure your attorney specializes in tax law and has IRS representation rights.
• Schedule an initial consultation – Discuss your case details and potential legal strategies.
• Understand service fees – Clarify whether the lawyer charges hourly, a flat fee, or a retainer.

At TaxLawyer.com, we connect Orlando residents with top-rated Orlando tax lawyers ready to assist.