Quick answer: A commercial building in Florida is reassessed at just value the January 1 after a sale, so the seller's tax bill is not the buyer's (s. 193.1555(5), 2025 Florida Statutes). Closing adds deed stamps of 70 cents per $100 of consideration, mortgage stamps of 35 cents per $100 borrowed and a 2 mill intangible tax on the loan, which is $22,250 on a hypothetical $2,000,000 purchase with a $1,500,000 mortgage. Sales tax on commercial rent ended for rental periods beginning October 1, 2025. The millage figures below are the latest I found for each county, labeled proposed or adopted exactly as their sources label them (Indian River's are 2025 tax year rates), and I found no published premium data for commercial buildings, so insurance is a quote, not an estimate.
When a buyer looks at a commercial building on the Treasure Coast or the Space Coast, the seller's operating statement shows one tax bill and one insurance premium. Neither is the buyer's number. The property tax resets after a sale, Citizens has its own eligibility rules for commercial buildings, and closing adds documentary stamp and intangible taxes. This article explains each piece, gives the latest millage figures I found for the four counties, and works a hypothetical example. It is not a quote for any property.
How Florida assesses commercial property
Commercial property is "nonresidential real property" under s. 193.1555, 2025 Florida Statutes, and it carries a 10 percent assessment cap for every levy except school district levies: the assessed value may not rise more than 10 percent in a year and may never exceed just value. The cap resets after a "change of ownership or control," which includes "any sale, foreclosure, transfer of legal title or beneficial title in equity to any person" and the cumulative transfer of control or more than 50 percent of the owning entity, so buying control of the company instead of the building generally does not keep the old assessment, subject to the statute's exceptions. After a reset the property is assessed at just value as of the next January 1, so the seller's bill may reflect a capped value while the buyer's first full bill reflects just value. My post on why the seller's tax bill is misleading explains the residential version of the same reset.
The latest millage figures, county by county
A millage rate is dollars of tax per $1,000 of taxable value, and a parcel's bill stacks the rates of every taxing authority that covers it. The table gives the latest figures I found for each county, with each source's status and year as the source states them. Proposed rates are not final rates, the St. Lucie and Brevard rows show named levies only, not a parcel total, and addresses in different cities and districts carry different totals, so confirm the parcel's districts and rates with the property appraiser.
| County | Mills per $1,000 of taxable value | Status of the source |
|---|---|---|
| St. Lucie | Selected levies only (the property appraiser's table lists about twenty): County General Fund 4.0441; Fine and Forfeiture 2.7294; Fire District 3.0000; school levies 2.9970 + 1.5000 + 0.7480 + 1.0000 = 6.2450; City of Port St. Lucie 4.6107 plus 0.2643 voted debt; City of Fort Pierce 6.9000 | Property appraiser table labeled "2026 Proposed Millage Rate," not labeled final; MSTUs, water management, mosquito control and Children's Services Council levies not shown. A secondary report (citizenportal.ai, September 18, 2026) says commissioners adopted a final county-commission aggregate rate of 7.8341 mills on September 17. |
| Martin | Real property totals by levy code from 15.3273 (Sewall's Point) to 17.1323 (City of Stuart, city rate 5.0750); unincorporated District One 15.4782; Hutchinson Island 15.6581; Indiantown 16.5199 | Property appraiser page titled "2026 Final Millage Codes (Tax Rates)." The breakdown by authority is published as images I could not read. |
| Indian River | County 3.5475; County MSTU 1.1506; Emergency Services District 2.3531; Vero Beach 2.9816; Sebastian 3.4455; Fellsmere 5.3500; Indian River Shores 1.2810; Orchid 0.7000 | Department of Revenue Table 1, FY 2025-26 (the 2025 tax year), labeled As Adopted; county and municipal levies only, no school district levies. I found no county source for the 2026-27 rates. |
| Brevard | County levies only: BCC Operating 3.0942; Library 0.3240; Mosquito Control 0.1339; Fire Control MSTU 0.6431; Law Enforcement MSTU 0.8504; Road and Bridge MSTUs 0.1641 to 0.4756 by district; Environmentally Endangered Lands 0.0457 plus 0.0262 voted debt; aggregate 4.7491 | Adopted as final by Resolution No. 26-090, September 22, 2026. School, municipal and other district rates are not captured here. |
Doc stamps and intangible tax at closing
Three state taxes attach to a financed purchase. The deed carries documentary stamp tax of 70 cents on each $100 of consideration, and consideration includes any mortgage or other encumbrance on the property whether or not the buyer assumes it (s. 201.02(1)(a), 2025 Florida Statutes). The same section taxes a sale of an interest in a "conduit entity" within three years after an untaxed conveyance at 70 cents per $100 of the price paid for the interest (s. 201.02(1)(b)). The mortgage carries 35 cents on each $100 of indebtedness. The $2,450 cap in s. 201.08(1)(a) applies to promissory notes and written obligations; for a recorded mortgage, s. 201.08(1)(b) states no cap. The nonrecurring intangible tax is 2 mills, or $2 per $1,000, on obligations secured by a mortgage on Florida real property (s. 199.133, 2025 Florida Statutes). Which side pays each is a contract term, so read the purchase agreement and loan documents before you compute cash to close.
Sales tax on commercial rent ended October 1, 2025
Sales tax on commercial rent ended for rental or occupancy periods beginning on or after October 1, 2025, under Chapter 2025-208, Laws of Florida, per Department of Revenue Tax Information Publication 25A01-04 (July 24, 2025). Through September 2025 the rate was 2 percent state tax plus any discretionary sales surtax, and the repeal removes both. Delayed payment of rent for a taxable period does not avoid the tax, and payments made before October 1, 2025 for periods on or after that date are not taxable. Transient rentals of six months or less, parking, boat docks and aircraft tie-downs remain taxable under s. 212.03. Check that the tax line on a seller's rent roll disappeared for October 2025 forward.
Insurance: Citizens and flood
Citizens writes commercial residential policies (multiperil and wind-only where available, excluding liability) and commercial nonresidential policies for owners who "cannot find coverage in the private market" and meet its underwriting criteria. Under Citizens' Commercial Lines New-Business Submission Guide (May 15, 2025), a commercial residential risk qualifies if no authorized insurer will write it at approved rates or if the private premium is more than 20 percent above Citizens' premium for comparable coverage. For a commercial nonresidential building, the applicant must be unable to get any offer from an authorized insurer, and "The 20% rule does NOT apply." Buildings valued over $10 million are submitted for A-Rate, and a property in a special flood zone must show flood coverage of at least 80 percent of Citizens' building limit or the maximum available NFIP limit, or a signed policyholder affirmation.
The National Flood Insurance Program's regular program caps non-residential building coverage at $500,000 and contents at $500,000, with higher deductible options of $2,000 to $50,000 (FEMA, Simple Guide for Non-Residential Buildings, November 2022). If the lender is a bank covered by the federal flood rules and the building sits in a special flood hazard area, the FEMA-designated floodplain with at least a one percent annual chance of flooding, the bank cannot make, increase, extend or renew the loan unless flood insurance covers the building for the loan term for at least the lesser of the outstanding principal balance or the maximum coverage available (12 CFR 339.2 and 339.3). On a loan above $500,000 the federal minimum is the NFIP maximum; whether the lender wants more is a question for the lender.
A hypothetical closing-cost and carrying-cost example
Assume a $2,000,000 purchase with a $1,500,000 recorded note and mortgage, $100,000 of business equipment (assumed to be its assessed value), and a combined rate of 15.000 mills, a round hypothetical near the Martin County totals above. Reassessment at $2,000,000 is an assumption; the property appraiser sets just value. The equipment is tangible personal property, taxed separately: each return is eligible for an exemption of up to $25,000 of assessed value, one return per site, and the exemption is lost for any year a required return is not timely filed (s. 196.183, 2025 Florida Statutes). The Department of Revenue says returns on Form DR-405 are due by April 1, and the penalty for filing no return is 25 percent of the tax for each year.
| Line | Calculation | Amount |
|---|---|---|
| Deed documentary stamp tax | $2,000,000 / $100 = 20,000 x $0.70 | $14,000.00 |
| Mortgage documentary stamp tax | $1,500,000 / $100 = 15,000 x $0.35 | $5,250.00 |
| Nonrecurring intangible tax | $1,500,000 x 0.002 | $3,000.00 |
| One-time state taxes at closing | $14,000 + $5,250 + $3,000 | $22,250.00 |
| Real property tax after reassessment | $2,000,000 x 15.000 / 1,000 | $30,000.00 |
| Same bill paid in November, 4 percent discount | $30,000 x 0.96 | $28,800.00 |
| Tangible personal property tax | ($100,000 less $25,000) x 15.000 / 1,000 | $1,125.00 |
| Annual property taxes before discount | $30,000 + $1,125 | $31,125.00 |
| Property, wind and flood insurance | No published commercial average found | Quote required |
The one-time taxes come to 1.1125 percent of the price ($22,250 / $2,000,000); title, recording, lender and attorney charges are not included. The early payment discount is 4 percent in November, 3 in December, 2 in January, 1 in February and none in March (s. 197.162(1), 2025 Florida Statutes). The 10 percent cap governs the real property line going forward: if just value rose 15 percent the next year, to $2,300,000, the non-school assessed value could rise at most 10 percent, to $2,200,000, while school levies would apply to the full $2,300,000.
What I could not confirm, and what to verify
I found no state report with average premiums for commercial buildings, so this post gives no insurance dollar figures, and no Florida definitions for general liability coverage, so the insurance section covers the building and flood only. Before you budget, ask the property appraiser for the parcel's taxing districts and current just value, ask a licensed insurance agent for a quote with wind and flood, ask the lender for its flood requirements, and have a Florida real estate attorney and a CPA review who pays the closing taxes and the tangible personal property return.
The practical takeaway: doc stamps, intangible tax and the reassessed property tax can be calculated from the statutes before you sign. Insurance cannot, so it is the line to quote first.
Questions buyers ask about commercial taxes and insurance
Does the 10 percent cap apply to school taxes?
No. Under s. 193.1555(2) and (3), 2025 Florida Statutes, the cap applies to levies other than school district levies, so the school portion of the bill is not capped.
Is sales tax still charged on commercial rent?
Not for rental or occupancy periods beginning on or after October 1, 2025, under Chapter 2025-208 as explained in DOR Tax Information Publication 25A01-04. Transient rentals of six months or less, parking, docks and aircraft tie-downs remain taxable.
What are doc stamps on a commercial deed?
70 cents per $100 of consideration under s. 201.02, and consideration includes any mortgage on the property whether or not the buyer assumes it. On a $2,000,000 price that is $14,000.
Is there a cap on mortgage doc stamps?
The $2,450 cap in s. 201.08(1)(a) applies to promissory notes and written obligations. A recorded mortgage is taxed at 35 cents per $100 under s. 201.08(1)(b), and the statute states no cap for it.
What is the NFIP limit for a commercial building?
The regular program maximum is $500,000 of building coverage and $500,000 of contents coverage for a non-residential building, per FEMA's November 2022 guide. A lender may ask for coverage beyond the program.
Does Citizens' 20 percent rule apply to a nonresidential building?
No. Citizens' Commercial Lines New-Business Submission Guide (May 15, 2025) says the 20 percent rule does not apply to commercial nonresidential policies; the applicant must be unable to get any offer from an authorized insurer.
Talk with William. Have a specific building in mind? Send me the address and the seller's operating statement. I will help you pull the parcel's taxing districts and current assessment, build the closing-tax lines, and put together the questions for your insurance agent, lender and CPA before you write an offer. Call or text (772) 800-2274 or send a message.
General information, not legal, tax, lending, insurance, survey, environmental or engineering advice. The St. Lucie County rates in this post are labeled proposed by the property appraiser, the Indian River County figures are the adopted 2025-26 rates (the 2025 tax year), Brevard's school and municipal rates were not captured, and no commercial insurance premium data was found. Confirm the parcel's rates with the county property appraiser, the closing taxes with a Florida real estate attorney and a CPA, and coverage with a licensed insurance agent and your lender. Statute and rule references are as reviewed on October 22, 2026. William Merchant, REALTOR®, RE/MAX Gold. Each RE/MAX office is independently owned and operated. Equal Housing Opportunity.
Sources
- Florida Statutes 193.1555, Assessment of certain residential and nonresidential real property (2025)
- Florida Statutes 197.162, Discounts for early payment (2025)
- Florida Statutes 196.183, Exemption for tangible personal property (2025)
- Florida Statutes 201.02, Documentary stamp tax on deeds and other instruments (2025)
- Florida Statutes 201.08, Documentary stamp tax on promissory notes and mortgages (2025)
- Florida Statutes 199.133, Nonrecurring intangible tax (2025)
- 12 CFR 339.3, Requirement to purchase flood insurance where available (FDIC)
- 12 CFR 339.2, Definitions, including designated loan and special flood hazard area (FDIC)
- Florida Department of Revenue: Tax Information Publication 25A01-04, Sales Tax on Commercial Rentals Repealed Effective October 1, 2025 (July 24, 2025)
- Florida Department of Revenue: Tangible personal property (undated)
- St. Lucie County Property Appraiser: Taxing authority rates and hearing information (2026 proposed)
- citizenportal.ai: St. Lucie County adopts final millage rate of 7.8341 mills (September 18, 2026; secondary)
- Martin County Property Appraiser: 2026 Final Millage Codes (Tax Rates)
- Florida Department of Revenue: Indian River County Table 1, Comparison of Taxes Levied, FY 2024-25 and 2025-26
- Brevard County: Resolution No. 26-090, adopting final millages for FY 2026-27 (September 22, 2026)
- Citizens Property Insurance: Commercial policies (undated)
- Citizens Property Insurance: Commercial Lines New-Business Submission Guide (May 15, 2025)
- FEMA: NFIP Risk Rating 2.0 Simple Guide for Non-Residential Buildings (November 2022)
