Florida Senate - 2014                        COMMITTEE AMENDMENT
       Bill No. SB 110
       
       
       
       
       
       
                                Ì344052xÎ344052                         
       
                              LEGISLATIVE ACTION                        
                    Senate             .             House              
                  Comm: RCS            .                                
                  12/10/2013           .                                
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       Domestic Security (Bullard) recommended the following:
       
    1         Senate Amendment (with title amendment)
    2  
    3         Delete everything after the enacting clause
    4  and insert:
    5         Section 1. Section 220.197, Florida Statutes, is created to
    6  read:
    7         220.197 Tax credit for employment of veterans.—
    8         (1) This section may be cited as the “Florida Veterans
    9  Employment Act.”
   10         (2) A business qualifies for a one-time credit against the
   11  tax imposed by this chapter in the amount of $5,000 per
   12  individual for hiring a veteran, as defined in s. 1.01, after
   13  the business has paid $5,000 in gross salary to the veteran.
   14  Veterans for whom the credit is claimed must first begin
   15  employment in the operations of the qualifying business on or
   16  after January 1, 2015, and perform duties in connection with the
   17  operations of the business for an average of at least 36 hours
   18  per week. Veterans who have been previously employed by the
   19  qualifying business or any other member of the same controlled
   20  group of corporations of which the qualifying business is a
   21  member may not be claimed for the tax credit. As used in this
   22  section, the term “controlled group of corporations” has the
   23  same meaning as provided in 26 U.S.C. s. 1563(a).
   24         (3) A qualifying business is eligible for an additional
   25  one-time credit against the tax imposed by this chapter in the
   26  amount of $5,000 per individual for hiring a veteran, as defined
   27  in s. 1.01, after the business has paid an additional $5,000 in
   28  gross salary to the veteran if such veteran has an official
   29  letter from the United States Department of Veterans Affairs
   30  stating that he or she has a service-connected disability.
   31         (4) In order to claim a tax credit under this section, a
   32  qualifying business must submit an application and receive
   33  approval from the department to claim the credit. Applications
   34  for credit under subsection (3) must include a copy of the
   35  veteran’s official letter from the United States Department of
   36  Veterans Affairs stating that the veteran has a service
   37  connected disability. Qualified applicants shall be approved on
   38  a first-come, first-served basis, based on the date the
   39  completed application is received by the department. The
   40  department may not accept an incomplete application as a
   41  placeholder for the completed application, and the submission of
   42  such incomplete application does not secure a place in the
   43  first-come, first-served approval process.
   44         (5) The department may not approve more than $10 million in
   45  tax credits per calendar year pursuant to this section.
   46         (6) The department may adopt rules governing the manner and
   47  form of application for the tax credits. The department may
   48  establish guidelines for making an affirmative showing of
   49  qualification for the tax credits under this section.
   50         (5) This section expires December 31, 2019. However, a
   51  qualifying business may carry forward any unused credit for up
   52  to 2 taxable years after the year the credit is earned.
   53         (6) This section applies to taxable years beginning on or
   54  after January 1, 2015.
   55         Section 2. Subsection (8) of section 220.02, Florida
   56  Statutes, is amended to read:
   57         220.02 Legislative intent.—
   58         (8) It is the intent of the Legislature that credits
   59  against either the corporate income tax or the franchise tax be
   60  applied in the following order: those enumerated in s. 631.828,
   61  those enumerated in s. 220.191, those enumerated in s. 220.181,
   62  those enumerated in s. 220.183, those enumerated in s. 220.182,
   63  those enumerated in s. 220.1895, those enumerated in s. 220.195,
   64  those enumerated in s. 220.184, those enumerated in s. 220.186,
   65  those enumerated in s. 220.1845, those enumerated in s. 220.19,
   66  those enumerated in s. 220.185, those enumerated in s. 220.1875,
   67  those enumerated in s. 220.192, those enumerated in s. 220.193,
   68  those enumerated in s. 288.9916, those enumerated in s.
   69  220.1899, those enumerated in s. 220.194, and those enumerated
   70  in s. 220.196, and those enumerated in s. 220.197.
   71         Section 3. Paragraph (a) of subsection (1) of section
   72  220.13, Florida Statutes, is amended to read:
   73         220.13 “Adjusted federal income” defined.—
   74         (1) The term “adjusted federal income” means an amount
   75  equal to the taxpayer’s taxable income as defined in subsection
   76  (2), or such taxable income of more than one taxpayer as
   77  provided in s. 220.131, for the taxable year, adjusted as
   78  follows:
   79         (a) Additions.—There shall be added to such taxable income:
   80         1. The amount of any tax upon or measured by income,
   81  excluding taxes based on gross receipts or revenues, paid or
   82  accrued as a liability to the District of Columbia or any state
   83  of the United States which is deductible from gross income in
   84  the computation of taxable income for the taxable year.
   85         2. The amount of interest which is excluded from taxable
   86  income under s. 103(a) of the Internal Revenue Code or any other
   87  federal law, less the associated expenses disallowed in the
   88  computation of taxable income under s. 265 of the Internal
   89  Revenue Code or any other law, excluding 60 percent of any
   90  amounts included in alternative minimum taxable income, as
   91  defined in s. 55(b)(2) of the Internal Revenue Code, if the
   92  taxpayer pays tax under s. 220.11(3).
   93         3. In the case of a regulated investment company or real
   94  estate investment trust, an amount equal to the excess of the
   95  net long-term capital gain for the taxable year over the amount
   96  of the capital gain dividends attributable to the taxable year.
   97         4. That portion of the wages or salaries paid or incurred
   98  for the taxable year which is equal to the amount of the credit
   99  allowable for the taxable year under s. 220.181. This
  100  subparagraph expires shall expire on the date specified in s.
  101  290.016 for the expiration of the Florida Enterprise Zone Act.
  102         5. That portion of the ad valorem school taxes paid or
  103  incurred for the taxable year which is equal to the amount of
  104  the credit allowable for the taxable year under s. 220.182. This
  105  subparagraph expires shall expire on the date specified in s.
  106  290.016 for the expiration of the Florida Enterprise Zone Act.
  107         6. The amount taken as a credit under s. 220.195 which is
  108  deductible from gross income in the computation of taxable
  109  income for the taxable year.
  110         7. That portion of assessments to fund a guaranty
  111  association incurred for the taxable year which is equal to the
  112  amount of the credit allowable for the taxable year.
  113         8. In the case of a nonprofit corporation that which holds
  114  a pari-mutuel permit and which is exempt from federal income tax
  115  as a farmers’ cooperative, an amount equal to the excess of the
  116  gross income attributable to the pari-mutuel operations over the
  117  attributable expenses for the taxable year.
  118         9. The amount taken as a credit for the taxable year under
  119  s. 220.1895.
  120         10. Up to nine percent of the eligible basis of any
  121  designated project which is equal to the credit allowable for
  122  the taxable year under s. 220.185.
  123         11. The amount taken as a credit for the taxable year under
  124  s. 220.1875. The addition in this subparagraph is intended to
  125  ensure that the same amount is not allowed for the tax purposes
  126  of this state as both a deduction from income and a credit
  127  against the tax. This addition is not intended to result in
  128  adding the same expense back to income more than once.
  129         12. The amount taken as a credit for the taxable year under
  130  s. 220.192.
  131         13. The amount taken as a credit for the taxable year under
  132  s. 220.193.
  133         14. Any portion of a qualified investment, as defined in s.
  134  288.9913, which is claimed as a deduction by the taxpayer and
  135  taken as a credit against income tax pursuant to s. 288.9916.
  136         15. The costs to acquire a tax credit pursuant to s.
  137  288.1254(5) which that are deducted from or otherwise reduce
  138  federal taxable income for the taxable year.
  139         16. The amount taken as a credit for the taxable year under
  140  pursuant to s. 220.194.
  141         17. The amount taken as a credit for the taxable year under
  142  s. 220.196. The addition in this subparagraph is intended to
  143  ensure that the same amount is not allowed for the tax purposes
  144  of this state as both a deduction from income and a credit
  145  against the tax. The addition is not intended to result in
  146  adding the same expense back to income more than once.
  147         18. The amount taken as a credit for the taxable year under
  148  s. 220.197.
  149         Section 4. Emergency rules.—
  150         (1) The executive director of the Department of Revenue is
  151  authorized, and all conditions are deemed to be met, to adopt
  152  emergency rules pursuant to ss. 120.536(1) and 120.54(4),
  153  Florida Statutes, for the purpose of implementing this act.
  154         (2) Notwithstanding any other provision of law, the
  155  emergency rules adopted pursuant to subsection (1) remain in
  156  effect for 6 months after adoption and may be renewed during the
  157  pendency of procedures to adopt permanent rules addressing the
  158  subject of the emergency rules.
  159         (3) This section expires July 1, 2015.
  160         Section 5. This act shall take effect July 1, 2014.
  161  
  162  
  163  ================= T I T L E  A M E N D M E N T ================
  164  And the title is amended as follows:
  165         Delete everything before the enacting clause
  166  and insert:
  167                        A bill to be entitled                      
  168         An act relating to taxes on businesses; creating s.
  169         220.197, F.S.; providing a short title; establishing a
  170         tax credit for the hiring of veterans; providing
  171         eligibility requirements; establishing an additional
  172         credit for the hiring of disabled veterans; providing
  173         an application process; providing a cap on the total
  174         amount of tax credits allowed per year; authorizing
  175         the Department of Revenue to adopt rules; authorizing
  176         the department to establish guidelines for qualifying
  177         credits; providing for expiration of the tax credits;
  178         providing applicability; amending s. 220.02, F.S.;
  179         revising the order in which credits against the
  180         corporate income tax or franchise tax may be taken to
  181         include the hiring of veterans; amending s. 220.13,
  182         F.S.; revising the term “adjusted federal income” to
  183         include certain tax credits taken relating to the
  184         hiring of veterans; authorizing the executive director
  185         of the department to adopt emergency rules; providing
  186         for time of effect of emergency rules and for the
  187         expiration of such rule authority; providing an
  188         effective date.