Recently, the Florida state legislation offers important protections for timeshare owners. The HB 61 bill codifies a common industry practice regarding the taxation of transient stays at timeshare resorts and let the timeshare developers to offer debt cancellation products. In addition to this, it also ensures that timeshare owners will not pay tax on timeshare exchange transactions. Take note that due to several disadvantages of timeshare ownership, an increasing number of owners want to get out of their timeshares. This newly passed law will definitely benefit local timeshare owners.
Florida is the third state to pass a legislation that specifically protect the timeshare owners from taxes on exchange which is one of the major attractions for timeshare buyers. The said law protects the ability of Florida timeshare owners to effectively utilize the exchange process by preventing taxes that could eventually raise the cost and lower the desirability of exchanges into the state. It has also become an issue of debate as state and local governments seek new revenue to fill the ever-growing budget shortfalls this year.
The American Resort Development Association (ARDA) along with its Resort Owner’s Coalition has advocated this law that guarantee timeshare owners are protected from such taxes. With the strong support from Sen. Mike Haridopolos and Rep. Steve Precourt, the HB 61 have been successfully enacted.
The said law will benefit the local owners in many ways. Consequently, it also lessens the bad reputation that the timeshare industry is gaining today due to a number of disadvantages brought about it. Remember that there is an increasing number of owners who want to get rid of their timeshares nowadays. Some even hire a timeshare transfer company like the Transfer Smart just to get rid of it.