The Hillsborough County Surtax settlement got the final approval from the Circuit Court of Florida on 18 November 2024. The class members who have filed the claim before 31 December 2024 now await the refund of the 1% unconstitutional taxes they paid between 2019 and 2021.
The settlement administrator has not updated anything about the payment distribution yet on the official website. However, based on the settlement agreement, the payment distribution may begin within 90 to 180 days of the deadline, as the administration may need time to evaluate the payout for the class member based on their claim.
A standard claim was filed by Hillsborough County residents’ class members, and an itemized claim was filed by visitors who paid the surtax during the class period. The $569 million in surtax collected will be utilized for road improvements, a brief sales tax holiday, and refunds to class members.
| Settlement | Hillsborough County Surtax settlement |
| Settlement Fund | $569 million (collected tax) |
| Who qualifies? | Resident and non-resident who paid the sales Surtax during the class period |
| Class period | 01 January 2019, and 15 March 2021 |
| Max. Payout | Tax you paid or $100 |
| Settlement Fund Distribution | Refund to class members, Sales Surtax holiday, and funds for transportation improvement projects |
| Official Settlement Website | https://www.fltaxrefund.com/ |
Who will receive it?
People living in Hillsborough County or people who visited the county can get compensation from the Hillsborough County Surtax settlement when they meet the following conditions:
- Members of the class are the businesses and individuals who paid the sales surtax in Hillsborough County, Florida, between class period, January 1, 2019, and March 15, 2021.
- Class members Hillsborough surtax settlement who filed the claim before 31 December 2024 will be eligible for the payout.
Exception:
- People or businesses who filed the administration refund with the Florida Department of Revenue will be excluded;
- Class members who have timely submitted the settlement exclusion form by 25 October 2024 and have decided to opt out of the settlement will be excluded.
What’s the lawsuit about?
The plaintiffs challenged the 1% unconstitutional surtax in the Hillsborough County Surtax lawsuit on behalf of all county residents and visitors. The 1% transportation sales surtax was adopted by the county voters in 2018, however, the Florida Supreme Court ruled that it was illegal.
The sales surtax was applied to transactions subject to the state-wide sales and use tax, for retail purchases and many other transactions. Some transactions were exempted under the sales surtax, but the tax was applied to the first $5000 in sales.
The lawsuit was filed against the Florida legislature and Hillsborough County, though the defendants did not admit any wrongdoing, however, they have admitted to using the 1% collected tax to pay it back to the class members.
Settlement Distribution
The Hillsborough County Surtax settlement payout will be processed through the tax collected in the class period (up to $569 million), as well as fund the surtax holiday, and transportation project funding. The administration will first use the fund to cover administrative costs & expenses, service awards up to $50,000 to class representatives to bring this case into light, and attorney’s fees & costs.
The Hillsborough Surtax settlement fund will be distributed and provide the following benefits:
- Refund from Common Benefit Fund: The class members with a valid claim will receive compensation from the $171 million fund of the settlement.
- Sales Surtax Holiday: The revenue department has earned $19 million in interest through the collected surtax, which will be a part of the $161 million fund of the Sales Surtax holiday. Until the allocated funds are used up completely, this fund will be used to establish a temporary sales surtax holiday in the county, which will lower the sales tax available to both locals and visitors.
- Funding for Transportation projects: From the collected tax, around $256 million will be used to fund the County transportation projects, like road improvement, infrastructure development, etc.
Payout per Person
The Common Benefit fund is used for compensation, where the county residents and visitors who have filed the claim can expect an equal amount of the surtax they paid if they present the proper documentation.
However, if you live in the county and do not have the proper documentation of the surtax you paid during the class period, you can claim the standard $100 payout from the settlement, depending on your residency during the class period.
The administrator will check your period of stay in the county during the class period to estimate your payout if you do not have the proper documentation of the taxes you paid during your stay.
Check claim status
The Hillsborough surtax settlement class members who have filed the claim form can check their claim status in the following steps:
- You can visit the official Hillsborough Surtax settlement website mentioned in the table above.
- Next, click the log in option and enter your email address with the password you created when you filed the claim.
- Next, you can view your submitted Hillsborough settlement claim form and check the status.
If you have any information to update to ensure you receive the payment timely manner, you can contact the administrator at 1-888-715-9373 or mail it to the administrator’s postal address.