CODING: Words stricken are deletions; words underlined are additions.

House Bill 0531

Florida House of Representatives - 1997 HB 531 By Representative Wallace 1 A bill to be entitled 2 An act relating to small business employment 3 incentives; providing for issuing tax credit 4 vouchers; requiring the Department of Revenue 5 to develop forms and procedures; limiting the 6 availability of the credit vouchers; providing 7 an effective date. 8 9 Be It Enacted by the Legislature of the State of Florida: 10 11 Section 1. SMALL BUSINESS EMPLOYMENT INCENTIVE.-- 12 (1) In order to encourage the creation of new jobs in 13 this state, any small business, as defined in s. 288.703, 14 Florida Statutes, other than a company-owned franchise 15 business, shall be issued a tax credit voucher of $1,000, for 16 use against any tax liability created under chapter 212 or 17 chapter 220, Florida Statutes, for any new full-time position 18 created by such employer, provided the new position is 19 continuously filled for at least 12 full consecutive months by 20 the same employee, all existing positions are maintained, the 21 salary for such position is at least $7.61 per hour, and the 22 new employee performs duties in connection with the operations 23 of the business on a regular full-time basis for an average of 24 at least 36 hours per week each month throughout the year. 25 (2) Each small business, other than a company-owned 26 franchise business, may qualify for only one such credit which 27 shall be applied for consecutive periods against the taxes 28 imposed under chapter 212, Florida Statutes, or against the 29 taxes imposed under chapter 220, Florida Statutes. 30 (3) If an eligible business has a credit larger than 31 the amount owed the state on the tax return for the time 1 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 531 567-100E-97 1 period for which the credit is claimed, the amount of the 2 credit for that time period shall be limited to the amount 3 owed the state on that tax return. 4 (4) Any small business, other than a company-owned 5 franchise business, may apply for such credit by submitting an 6 application to the Department of Revenue, accompanied by an 7 affidavit verifying the creation and filling of such position 8 and the position salary as specified in this act. The 9 department shall provide forms and a procedure for applying 10 for, processing, and issuing such credit. 11 (5) Small businesses applying for the tax credit 12 voucher may elect to use the voucher against the sales and use 13 tax under chapter 212, Florida Statutes, or the corporate 14 income tax under chapter 220, Florida Statutes. Once the 15 election has been made, the business shall not apply the 16 credit voucher against any other tax imposed by law. The 17 voucher may be used against existing tax liabilities under 18 either chapter and, if not fully used in the first taxable 19 year, may be allowed as a credit carryover against tax 20 liabilities in future time periods, not to exceed 5 years or 21 until such amount is fully used, whichever occurs first. 22 (6) The employment incentive provided by this act 23 shall be available to small businesses for 3 years after the 24 effective date of this act or until 55,000 tax credit vouchers 25 have been issued by the Department of Revenue, whichever 26 occurs first. 27 Section 2. This act shall take effect July 1, 1997. 28 29 30 31 2 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 HB 531 567-100E-97 1 ***************************************** 2 HOUSE SUMMARY 3 Provides for issuance of a $1,000 tax credit voucher, for 4 use solely against sales and use tax liabilities imposed under chapter 212, Florida Statutes, or corporate income 5 tax liabilities imposed under chapter 220, Florida Statutes, to any small business, other than a 6 company-owned franchise business, which creates a new position and fills it continuously for at least 12 7 consecutive calendar months with the same person at a salary of at least $7.61 per hour, maintains all existing 8 positions, and the employee performs business duties on a regular full-time basis. Provides limitations to the 9 credit. Limits the availability of the credit to 3 years or the first 55,000 tax credit vouchers issued by the 10 Department of Revenue. See bill for details. 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 3