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Dear Ms. Stacy:

On behalf of the City of Palm Coast, you ask the following question:

Is a municipality required to pay ad valorem tax on newly acquired nonexempt real property for the remainder of the first year of municipal ownership when the seller has paid the prorated tax for the portion of the year the seller owned the property?

You indicate that the property procured by the city is being used for a municipal purpose.1 Municipalities are not subdivisions of the state for purposes of taxation and, therefore, are not immune from taxation.2 The Florida Constitution, however, makes land owned…