HOUSE AMENDMENT
                                                Bill No. CS/HB 271   Barcode 570677
    Amendment No. ___ (for drafter's use only)
                            CHAMBER ACTION
              Senate                               House
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 5                                           ORIGINAL STAMP BELOW
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11  Representative(s) Stansel and Weissman offered the following:
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13         Amendment (with title amendment) 
14         On page 1, line 25 through page 7, line 15
15  remove from the bill:  all of said lines
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17  and insert in lieu thereof:  
18         Section 1.  Section 220.187, Florida Statutes, is
19  created to read:
20         220.187  Credits for contributions to public schools
21  and nonprofit scholarship funding organizations.--
22         (1)  PURPOSE.--The purpose of this section is to:
23         (a)  Provide a tax credit for certain contributions to
24  public schools and nonprofit scholarship funding
25  organizations.
26         (b)  Expand educational opportunities for children of
27  families that have limited financial resources.
28         (c)  Enable children in this state to achieve a greater
29  level of excellence in their education.
30         (2)  DEFINITIONS.--As used in this section:
31         (a)  "Eligible contribution" means a monetary
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    File original & 9 copies    03/06/01                          
    hmo0006                     06:17 pm         00271-0011-570677

HOUSE AMENDMENT Bill No. CS/HB 271 Barcode 570677 Amendment No. ___ (for drafter's use only) 1 contribution from a corporation, subject to the restrictions 2 provided in this section, to public schools or an eligible 3 nonprofit scholarship funding organization, if the taxpayer 4 making the contribution does not designate a specific child as 5 the beneficiary of the contribution. 6 (b) "Eligible nonpublic school" means a nonpublic 7 school located in Florida that offers a general education to 8 K-12 students and complies with the antidiscrimination 9 provisions of 42 U.S.C., s.2000d. 10 (c) "Eligible nonprofit scholarship funding 11 organization" means a charitable organization that is exempt 12 from federal income tax pursuant to s. 501(c)(3) of the 13 Internal Revenue Code and that complies with the provisions of 14 subsection (4). 15 (3) AMOUNT OF CREDIT.--A corporate taxpayer shall be 16 allowed a credit equal to 100 percent of all eligible 17 contributions made during a taxable year against any tax due 18 for that taxable year under this chapter. However, such a 19 credit shall not exceed 75 percent of the tax due under this 20 chapter for the taxable year after the application of any 21 other allowable credits by the taxpayer. 22 (4) ELIGIBLE NONPROFIT SCHOLARSHIP FUNDING 23 ORGANIZATION OBLIGATIONS.-- 24 (a) An eligible nonprofit scholarship funding 25 organization shall provide scholarships from eligible 26 contributions to children from families that meet the income 27 eligibility guidelines for free and reduced price lunch meals 28 pursuant to the National School Lunch Act for: 29 1. Any expenses, including, but not limited to, 30 tuition, textbook, and transportation expenses, at an eligible 31 nonpublic school; 2 File original & 9 copies 03/06/01 hmo0006 06:17 pm 00271-0011-570677
HOUSE AMENDMENT Bill No. CS/HB 271 Barcode 570677 Amendment No. ___ (for drafter's use only) 1 2. Instructional expenses for participation in a home 2 education program as defined in s. 232.0201; or 3 3. Transportation expenses to a Florida public school 4 that is located outside of the district in which the student 5 resides. 6 (b) The amount of a scholarship provided to any child 7 for any single school year by all eligible nonprofit 8 scholarship funding organization from eligible contributions 9 shall not exceed the following annual limits: 10 1. $4,000 for a scholarship awarded to a student 11 enrolled in an eligible nonpublic school. 12 2. $1,000 for a scholarship awarded to a student 13 enrolled in a home education program as defined in s. 14 232.0201. 15 3. $500 for a scholarship awarded to a student 16 enrolled in a Florida public school that is located outside of 17 the district in which the student resides. 18 (c) An eligible nonprofit scholarship funding 19 organization shall allocate over a 5-year period 100 percent 20 of the annual eligible contributions received for scholarships 21 awarded pursuant to this subsection. At least 20 percent of 22 the eligible contributions received by the organization must 23 be disbursed each year. No portion of eligible contributions 24 may be used for administrative expenses. 25 (5) PUBLIC SCHOOL DISTRIBUTIONS.--Contributions from 26 corporations shall be directed to the school, the school 27 district, or the Department of Education, as directed by the 28 corporation. 29 (6) FUNDING.--The total statewide amount authorized 30 for the tax credit provided by this section shall be annually 31 established in the General Appropriations Act and shall be 3 File original & 9 copies 03/06/01 hmo0006 06:17 pm 00271-0011-570677
HOUSE AMENDMENT Bill No. CS/HB 271 Barcode 570677 Amendment No. ___ (for drafter's use only) 1 allocated to corporations on a first-come, first-served basis. 2 If on any day the amount of tax credits applied for and 3 qualified for approval exceeds the funding provided pursuant 4 to this subsection that remains available to be allocated, the 5 Department of Revenue shall prorate the credits among all 6 corporations applying during that day, as evidenced by the 7 postmark or other identification of the application date, 8 which are qualified for approval, and inform each corporation 9 of the approved amount. 10 (7) ADMINISTRATION; RULES.-- 11 (a) If the credit granted pursuant to this section is 12 not fully used in any one year, the unused amount may not be 13 carried forward. A taxpayer may not convey, assign, or 14 transfer the credit authorized by this section to another 15 entity unless all of the assets of the taxpayer are conveyed, 16 assigned, or transferred in the same transaction. 17 (b) An application for a tax credit pursuant to this 18 section shall be submitted to the Department of Revenue on 19 forms established by rule of the Department of Revenue. 20 (c) The Department of Revenue and the Department of 21 Education shall develop a cooperative agreement to assist in 22 the administration of this section. The Department of 23 Education shall be responsible for annually submitting to the 24 Department of Revenue a list of eligible nonprofit scholarship 25 funding organizations that meet the requirements of paragraph 26 (2)(c). 27 (d) The Department of Revenue shall adopt rules 28 necessary to administer this section, including rules 29 establishing application forms and procedures. 30 (e) The Department of Education shall adopt rules 31 necessary to confirm compliance of nonprofit scholarship 4 File original & 9 copies 03/06/01 hmo0006 06:17 pm 00271-0011-570677
HOUSE AMENDMENT Bill No. CS/HB 271 Barcode 570677 Amendment No. ___ (for drafter's use only) 1 funding organizations. 2 Section 2. Subsection (8) of section 220.02, Florida 3 Statutes, is amended to read: 4 220.02 Legislative intent.-- 5 (8) It is the intent of the Legislature that credits 6 against either the corporate income tax or the franchise tax 7 be applied in the following order: those enumerated in s. 8 631.828, those enumerated in s. 220.191, those enumerated in 9 s. 220.181, those enumerated in s. 220.183, those enumerated 10 in s. 220.182, those enumerated in s. 220.1895, those 11 enumerated in s. 221.02, those enumerated in s. 220.184, those 12 enumerated in s. 220.186, those enumerated in s. 220.1845, 13 those enumerated in s. 220.19, and those enumerated in s. 14 220.185, and those enumerated in s. 220.187. 15 Section 3. Paragraph (a) of subsection (1) of section 16 220.13, Florida Statutes, is amended to read: 17 220.13 "Adjusted federal income" defined.-- 18 (1) The term "adjusted federal income" means an amount 19 equal to the taxpayer's taxable income as defined in 20 subsection (2), or such taxable income of more than one 21 taxpayer as provided in s. 220.131, for the taxable year, 22 adjusted as follows: 23 (a) Additions.--There shall be added to such taxable 24 income: 25 1. The amount of any tax upon or measured by income, 26 excluding taxes based on gross receipts or revenues, paid or 27 accrued as a liability to the District of Columbia or any 28 state of the United States which is deductible from gross 29 income in the computation of taxable income for the taxable 30 year. 31 2. The amount of interest which is excluded from 5 File original & 9 copies 03/06/01 hmo0006 06:17 pm 00271-0011-570677
HOUSE AMENDMENT Bill No. CS/HB 271 Barcode 570677 Amendment No. ___ (for drafter's use only) 1 taxable income under s. 103(a) of the Internal Revenue Code or 2 any other federal law, less the associated expenses disallowed 3 in the computation of taxable income under s. 265 of the 4 Internal Revenue Code or any other law, excluding 60 percent 5 of any amounts included in alternative minimum taxable income, 6 as defined in s. 55(b)(2) of the Internal Revenue Code, if the 7 taxpayer pays tax under s. 220.11(3). 8 3. In the case of a regulated investment company or 9 real estate investment trust, an amount equal to the excess of 10 the net long-term capital gain for the taxable year over the 11 amount of the capital gain dividends attributable to the 12 taxable year. 13 4. That portion of the wages or salaries paid or 14 incurred for the taxable year which is equal to the amount of 15 the credit allowable for the taxable year under s. 220.181. 16 The provisions of this subparagraph shall expire and be void 17 on June 30, 2005. 18 5. That portion of the ad valorem school taxes paid or 19 incurred for the taxable year which is equal to the amount of 20 the credit allowable for the taxable year under s. 220.182. 21 The provisions of this subparagraph shall expire and be void 22 on June 30, 2005. 23 6. The amount of emergency excise tax paid or accrued 24 as a liability to this state under chapter 221 which tax is 25 deductible from gross income in the computation of taxable 26 income for the taxable year. 27 7. That portion of assessments to fund a guaranty 28 association incurred for the taxable year which is equal to 29 the amount of the credit allowable for the taxable year. 30 8. In the case of a nonprofit corporation which holds 31 a pari-mutuel permit and which is exempt from federal income 6 File original & 9 copies 03/06/01 hmo0006 06:17 pm 00271-0011-570677
HOUSE AMENDMENT Bill No. CS/HB 271 Barcode 570677 Amendment No. ___ (for drafter's use only) 1 tax as a farmers' cooperative, an amount equal to the excess 2 of the gross income attributable to the pari-mutuel operations 3 over the attributable expenses for the taxable year. 4 9. The amount taken as a credit for the taxable year 5 under s. 220.1895. 6 10. Up to nine percent of the eligible basis of any 7 designated project which is equal to the credit allowable for 8 the taxable year under s. 220.185. 9 11. The amount taken as a credit for the taxable year 10 under s. 220.187. 11 Section 4. This act shall take effect January 1, 2002. 12 13 14 ================ T I T L E A M E N D M E N T =============== 15 And the title is amended as follows: 16 On page 1, lines 2-21 17 remove from the title of the bill: all of said lines 18 19 and insert in lieu thereof: 20 An act relating to corporate income tax; 21 creating s. 220.187, F.S.; providing purpose; 22 providing definitions; providing a credit 23 against said tax for contributions to public 24 schools and nonprofit scholarship funding 25 organizations; providing limitations; providing 26 for use of such contributions by public schools 27 and organizations for scholarships for certain 28 children and providing requirements and 29 limitations with respect thereto; providing for 30 annual funding through the General 31 Appropriations Act; providing for allocation; 7 File original & 9 copies 03/06/01 hmo0006 06:17 pm 00271-0011-570677
HOUSE AMENDMENT Bill No. CS/HB 271 Barcode 570677 Amendment No. ___ (for drafter's use only) 1 providing duties of the Department of Revenue 2 and Department of Education; providing for 3 rules; amending s. 220.02, F.S.; providing 4 order of credits against the tax; amending s. 5 220.13, F.S.; providing for the inclusion of 6 amounts taken as credit under s. 220.187, F.S., 7 in determining a taxpayer's adjusted federal 8 income; providing an effective date. 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 8 File original & 9 copies 03/06/01 hmo0006 06:17 pm 00271-0011-570677