At the December 13, 2023, City of Miami Beach Commission meeting, an item regarding Home-Based Local Business Tax Receipts (BTRs) was referred to the Finance and Economic Resiliency Committee (FERC) for discussion.

The referral requested Administration review portions of the City’s fees as they relate to home-based businesses, as well as conduct an informal survey of what other municipalities in Miami-Dade County tax for the similar right to operate a home-based business.

BTRs are issued annually in accordance with Florida Statutes Chapter 205, as well as, locally governed by Article V, Section 102 of the Code of the City of Miami Beach.  BTR proceeds are deposited into the General Fund and are used to complement property taxes in paying for City functions such as:  Police, Fire and Code.

As of February 5^th, 2023, there are 139 home-based businesses that have obtained a BTR in the City of Miami Beach.  These businesses generate approximately $53,000 in tax revenues for the City.

After reaching out to multiple Miami-Dade County municipalities, the Administration received responses from the following organizations:

·         City of Miami

·         City of Coral Gables

·         City of Hialeah

·         Town of Surfside

·         City of Sunny Isles Beach

·         City of North Bay Village

·         City of Miami Springs

To have comparable data for an analysis, the following scenario was presented to each municipality:  what tax, if any, would your municipality charge a business which wishes to operate an office out of their home.

Below is a summary of the analysis:

Home-Based Business – Municipal BTR Analysis       

Of the City’s surveyed, the analysis demonstrated that the City of Miami Beach is at the high-end of the spectrum when it comes to home-based business fees charged in Miami-Dade County.

The Administration is providing the requested home-based business data for discussion and will report any policy guidance directions from the Committee to the full Commission.