Florida Regulations 12A-1.072: Advertising Agencies
Current as of: 2024 | Check for updates
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(1) Definitions. The following terms and phrases when used in this rule shall have the meaning ascribed to them in this subsection, except where the context clearly indicates a different meaning.
(a) “”Advertising”” is the expression of an idea created and produced for reproduction and distribution through means such as television, radio, Internet, newspapers, newsletters, periodicals, trade journals, publications, books, magazines, standardized outdoor billboards, direct mail, point-of-sale displays, leaflets, brochures, fliers, or package design, and which is designed to promote sales of a particular product or service or to enhance the image of the advertiser. Advertising includes public service messages that are designed to affect the behavior of the public and messages that are political in nature.
(b)1. “”Advertising agency”” means any firm that is primarily engaged in the business of providing advertising materials and services to clients.
2. Examples.
a. Firms that are primarily engaged in consulting with their clients about marketing and advertising products or services, formulating a marketing plan intended to improve their image or increase their market share, and executing those plans, are considered to be advertising agencies.
b. Firms that are primarily engaged in the business of printing, imprinting, or reproducing tangible personal property and firms that are primarily engaged in the business of photography or broadcasting are not advertising agencies.
c. Firms that primarily specialize in providing pre-press service(s), such as graphic art, color separations, or velox providers are not advertising agencies.
d. Firms that primarily provide audio/visual production or recording services are not advertising agencies.
(c) “”Firm”” means corporation, sole proprietorship, partnership, or limited liability company.
(d)1. “”Primarily engaged in the business of providing advertising materials and services”” means more than 50 percent of its gross receipts in the firm’s previous tax year were, or in the first tax year are budgeted to be, from receipts for the sale of advertising materials and services to clients. For purposes of determining whether the firm qualifies under this definition, there shall be deducted from gross receipts amounts paid by the agency on behalf of its client to a third party for charges such as printing, imprinting, reproduction, publishing of tangible personal property, broadcasting advertisements, media placement, or other out-sourced activities before applying the 50 percent test.
2. Example.
Gross Receipts
Terms Used In Florida Regulations 12A-1.072
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
- Personal property: All property that is not real property.
(b)1. “”Advertising agency”” means any firm that is primarily engaged in the business of providing advertising materials and services to clients.
2. Examples.
a. Firms that are primarily engaged in consulting with their clients about marketing and advertising products or services, formulating a marketing plan intended to improve their image or increase their market share, and executing those plans, are considered to be advertising agencies.
b. Firms that are primarily engaged in the business of printing, imprinting, or reproducing tangible personal property and firms that are primarily engaged in the business of photography or broadcasting are not advertising agencies.
c. Firms that primarily specialize in providing pre-press service(s), such as graphic art, color separations, or velox providers are not advertising agencies.
d. Firms that primarily provide audio/visual production or recording services are not advertising agencies.
(c) “”Firm”” means corporation, sole proprietorship, partnership, or limited liability company.
(d)1. “”Primarily engaged in the business of providing advertising materials and services”” means more than 50 percent of its gross receipts in the firm’s previous tax year were, or in the first tax year are budgeted to be, from receipts for the sale of advertising materials and services to clients. For purposes of determining whether the firm qualifies under this definition, there shall be deducted from gross receipts amounts paid by the agency on behalf of its client to a third party for charges such as printing, imprinting, reproduction, publishing of tangible personal property, broadcasting advertisements, media placement, or other out-sourced activities before applying the 50 percent test.
2. Example.
Gross Receipts