Senate Bill sb2274

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    Florida Senate - 2007                                  SB 2274

    By Senator Bennett





    21-1493-07

  1                      A bill to be entitled

  2         An act relating to biofuels; creating s.

  3         206.751, F.S.; providing legislative intent;

  4         creating s. 206.752, F.S.; defining terms

  5         relating to alternative fuels and biofuels;

  6         creating s. 206.753, F.S.; providing

  7         calculation formulas to determine quantity of

  8         biofuels sold by retail sales dealers; creating

  9         s. 206.755, F.S.; requiring each retail dealer

10         to report its total motor fuel gallonage for a

11         determinative period to the Department of

12         Agriculture and Consumer Services; requiring

13         the department to deliver a report to the

14         Governor and the Legislature by a specified

15         date relating to quantity of biofuels sold;

16         providing for the content of the report;

17         creating s. 206.757, F.S.; creating the biofuel

18         marketer's promotion tax credit; providing the

19         criteria for eligibility for the tax credit;

20         providing an expiration date for the tax

21         credit; creating s. 206.759, F.S.; creating the

22         biofuel production tax credit; providing the

23         criteria for eligibility for the tax credit;

24         authorizing the Department of Revenue and the

25         Department of Agriculture and Consumer Services

26         to adopt rules; providing an expiration date

27         for the biofuel production tax credit; amending

28         s. 213.053, F.S.; authorizing the Department of

29         Revenue to provide information relating to the

30         biofuel promotion tax credit and the biofuel

31         production tax credit to the Department of

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 1         Agriculture and Consumer Services; amending s.

 2         220.02, F.S.; providing that is is the intent

 3         of the Legislature to offset the credits of the

 4         biofuel promotion tax credit and the biofuel

 5         production tax credit against the corporate

 6         income tax or the franchise tax of this state;

 7         amending s. 220.13, F.S.; requiring that

 8         certain business deductions be included within

 9         the definition of "adjusted federal income";

10         creating the ethanol and biodiesel mixtures tax

11         credit; defining terms relating to ethanol and

12         biodiesel fuel mixtures; creating a tax credit

13         to be applied against the motor fuel tax for

14         producers of ethanol and biodiesel fuel

15         mixtures; providing penalties for producers who

16         use the biofuels for purposes other than that

17         for which the biofuels were intended; providing

18         an expiration date for the ethanol and

19         biodiesel mixtures tax credit; reenacting ss.

20         220.181(1)(c), 220.182(1)(b), 220.183(1)(e),

21         220.184(3), 220.1845(1)(c), 220.1895,

22         220.19(1)(e), 220.191(3)(b), and 220.193(3)(d),

23         F.S., relating to the enterprise zone jobs

24         credit, enterprise zone property tax credit,

25         community contribution tax credit, hazardous

26         waste facility tax credit, contaminated site

27         rehabilitation tax credit, rural job tax

28         credit, child care tax credits, capital

29         investment tax credit, and Florida renewable

30         energy production credit, respectively, to

31         incorporate the amendments made to s. 220.02,

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 1         F.S., in references thereto; providing an

 2         effective date.

 3  

 4  Be It Enacted by the Legislature of the State of Florida:

 5  

 6         Section 1.  Section 206.751, Florida Statutes, is

 7  created to read:

 8         206.751  Legislative intent.--It is the intent of the

 9  Legislature that biofuel replace 10 percent of petroleum used

10  in the formulation of gasoline by January 1, 2012.

11         Section 2.  Section 206.752, Florida Statutes, is

12  created to read:

13         206.752  As used in ss. 206.751-206.759, the term:

14         (1)  "Advertise" means to present a commercial message

15  in any medium including, but not limited to, print, radio,

16  television, sign, display, label, tag, or articulation.

17         (2)  "Biodiesel" means the mono-alkyl esters of

18  long-chain fatty acids derived from plant or animal matter for

19  use as a source of energy and meeting the specifications for

20  biodiesel and biodiesel blends with petroleum products as

21  adopted by the Department of Agriculture and Consumer

22  Services. Biodiesel may refer to biodiesel blends designated

23  BXX, where XX represents the volume percentage of biodiesel

24  fuel in the blend.

25         (3)  "Biofuel" means ethanol or biodiesel.

26         (4)  "Department" means the Department of Agriculture

27  and Consumer Services.

28         (5)  "Diesel fuel" has the same meaning as in s.

29  206.86.

30         (6)  "E85 gasoline" means ethanol-blended gasoline

31  formulated with a minimum percentage of between 70 percent and

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 1  85 percent by volume of ethanol, if the formulation meets the

 2  standards provided in s. 206.753.

 3         (7)  "Ethanol" means nominally anhydrous denatured

 4  alcohol produced by the fermentation of plant sugars and

 5  meeting the specifications for fuel ethanol and fuel ethanol

 6  blends with petroleum products as adopted by the Department of

 7  Agriculture and Consumer Services. Ethanol may refer to fuel

 8  ethanol blends designated EXX, where XX represents the volume

 9  percentage of fuel ethanol in the blend.

10         (8)  "Gasoline" means any liquid product prepared,

11  advertised, offered for sale, or sold for use as, or commonly

12  and commercially used as, motor fuel for use in a

13  spark-ignition, internal combustion engine, and which meets

14  the specifications adopted by the Department of Agriculture

15  and Consumer Services.

16         (9)  "Motor fuel" has the same meaning as in s. 206.01.

17         (10)  "Motor fuel pump" means a pump, meter, or similar

18  device used to measure and dispense motor fuel on a retail

19  basis.

20         (11)  "Retail motor fuel site" means a geographic

21  location in this state where a retail dealer sells and

22  dispenses motor fuel for the purpose of retail sales.

23         (12)  "Retail dealer" has the same meaning as in s.

24  206.01.

25         (13)  "Tax credit" means the biofuel marketers

26  promotion tax credit as provided in s. 206.757.

27         Section 3.  Section 206.753, Florida Statutes, is

28  created to read:

29         206.753  Calculation of fuel gallonage; retail sales

30  and dealers.--

31  

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 1         (1)  A determination period is any 12-month period

 2  beginning on January 1 and ending on December 31.

 3         (2)(a)  A retail dealer's total gasoline gallonage is

 4  calculated as the total number of gallons of gasoline which

 5  the retail dealer sells and dispenses from all motor fuel

 6  pumps operated by the retail dealer in this state during a

 7  12-month period beginning January 1 and ending December 31.

 8  The retail dealer's total gasoline gallonage is divided into

 9  the following classifications:

10         1.  The total ethanol-blended gasoline gallonage that

11  is the retail dealer's total number of gallons of

12  ethanol-blended gasoline and that includes all of the

13  following subclassifications:

14         a.  The total EXX gasoline gallonage that is the total

15  number of gallons of ethanol-blended gasoline other than E85

16  gasoline.

17         b.  The total E85 gasoline gallonage that is the total

18  number of gallons of E85 gasoline.

19         2.  The total nonblended gasoline gallonage that is the

20  total number of gallons of nonblended ethanol gasoline.

21         (b)  A retail dealer's total ethanol gallonage is the

22  total number of gallons of ethanol, which is a component of

23  ethanol-blended gasoline, which the retail dealer sells and

24  dispenses from motor fuel pumps as provided in paragraph (a)

25  during a 12-month period beginning January 1 and ending

26  December 31.

27         (3)(a)  A retail dealer's total diesel fuel gallonage

28  is the total number of gallons of diesel fuel which the retail

29  dealer sells and dispenses from all motor fuel pumps operated

30  by the retail dealer in this state during a 12-month period

31  beginning January 1 and ending December 31.  The retail

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 1  dealer's total diesel fuel gallonage is divided into the

 2  following classifications:

 3         1.  The total biodiesel-blended fuel gallonage that is

 4  the retail dealer's total number of gallons of

 5  biodiesel-blended fuel.

 6         2.  The total nonblended diesel fuel gallonage that is

 7  the total number of gallons of diesel fuel which is not

 8  biodiesel or biodiesel-blended fuel.

 9         (b)  A retail dealer's total biodiesel gallonage is the

10  total number of gallons of biodiesel which may or may not be a

11  component of biodiesel-blended fuel, and which the retail

12  dealer sells and dispenses from motor fuel pumps as provided

13  in paragraph (a) during a 12-month period beginning January 1

14  and ending December 31.

15         (4)(a)  The aggregate gasoline gallonage is the total

16  number of gallons of gasoline which all retail dealers sell

17  and dispense from all motor fuel pumps operated by the retail

18  dealers in this state during a 12-month period beginning

19  January 1 and ending December 31. The aggregate gasoline

20  gallonage is divided into the following classifications:

21         1.  The aggregate ethanol-blended gasoline gallonage

22  that is the aggregate total number of gallons of

23  ethanol-blended gasoline and that includes all of the

24  following subclassifications:

25         a.  The aggregate EXX gasoline gallonage that is the

26  aggregate total number of gallons of ethanol-blended gasoline

27  other than E85 gasoline.

28         b.  The aggregate E85 gasoline gallonage that is the

29  aggregate total number of gallons of E85 gasoline.

30  

31  

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 1         2.  The aggregate nonblended gasoline gallonage that is

 2  the aggregate number of gallons of nonblended ethanol

 3  gasoline.

 4         (b)  The aggregate ethanol gallonage is the total

 5  number of gallons of ethanol, which is a component of

 6  ethanol-blended gasoline, which all retail dealers sell and

 7  dispense from motor fuel pumps as provided in paragraph (a)

 8  during a 12-month period beginning January 1 and ending

 9  December 31.

10         (5)(a)  The aggregate diesel fuel gallonage is the

11  total number of gallons of diesel fuel which all retail

12  dealers sell and dispense from all motor fuel pumps operated

13  by the retail dealers in this state during a 12-month period

14  beginning January 1 and ending December 31. The aggregate

15  diesel fuel gallonage is divided into the following

16  classifications:

17         1.  The aggregate biodiesel-blended fuel gallonage that

18  is the aggregate number of gallons of biodiesel-blended fuel.

19         2.  The aggregate nonblended diesel fuel gallonage that

20  is the aggregate number of gallons of diesel fuel which is not

21  biodiesel or biodiesel-blended fuel.

22         (b)  The aggregate biodiesel gallonage is the total

23  number of gallons of biodiesel that may or may not be a

24  component of biodiesel-blended fuel, and that all retail

25  dealers sell and dispense from motor fuel pumps as provided in

26  paragraph (a) during a 12-month period beginning January 1 and

27  ending December 31.

28         (6)(a)  The aggregate ethanol distribution percentage

29  is the aggregate ethanol gallonage expressed as a percentage

30  of the aggregate gasoline gallonage calculated for a 12-month

31  period beginning January 1 and ending December 31.

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 1         (b)  The aggregate per-gallon distribution percentage

 2  is the aggregate ethanol-blended gasoline gallonage expressed

 3  as a percentage of the aggregate gasoline gallonage calculated

 4  for a 12-month period beginning January 1 and ending December

 5  31.

 6         (7)(a)  The aggregate biodiesel distribution percentage

 7  is the aggregate biodiesel gallonage expressed as a percentage

 8  of the aggregate diesel fuel gallonage calculated for a

 9  12-month period beginning January 1 and ending December 31.

10         (b)  The aggregate per-gallon distribution percentage

11  is the aggregate biodiesel-blended fuel gallonage expressed as

12  a percentage of the aggregate diesel fuel gallonage calculated

13  for a 12-month period beginning January 1 and ending December

14  31.

15         (8)  The aggregate biofuel distribution percentage is

16  the sum of the aggregate ethanol gallonage plus the aggregate

17  biodiesel gallonage expressed as a percentage of the sum of

18  the aggregate gasoline gallonage plus the aggregate diesel

19  fuel gallonage calculated for a 12-month period beginning

20  January 1 and ending December 31.

21         (9)  For ethanol-blended gasoline other than E85

22  gasoline, at least 10 percent of the gasoline by volume must

23  be ethanol.

24         (10)  In calculating the percentage of ethanol required

25  for the formulation of ethanol-blended gasoline, a percentage

26  of a denaturant or contaminants permitted in the

27  ethanol-blended gasoline may be excluded as provided by rules

28  adopted by the department.

29         (11)  At least 1 percent of biodiesel-blended fuel by

30  volume must be biodiesel.

31  

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 1         (12)  Of the total gallons of diesel fuel that the

 2  retail dealer sells and dispenses through all motor fuel pumps

 3  during the retail dealer's tax year, 50 percent or more must

 4  be biodiesel-blended fuel that meets the requirements of this

 5  section.

 6         (13)  The tax credit shall apply to biodiesel-blended

 7  fuel formulated with a minimum percentage of 2 percent by

 8  volume of biodiesel, if the formulation meets the

 9  biodiesel-blended fuel standards set forth in this section.

10         (14)  The biodiesel may be blended with diesel fuel

11  whose sulfur, aromatic, lubricity, and cetane levels do not

12  comply with ASTM international specification D975 grades 1-D

13  or 2-D, low sulfur 1-D or 2-D, or ultra-low sulfur grades 1-D

14  or 2-D if the finished biodiesel-blended fuel meets ASTM

15  international specification D975 or a successor ASTM

16  international specification as established by rules adopted by

17  the department.

18         Section 4.  Section 206.755, Florida Statutes, is

19  created to read:

20         206.755  Reporting requirements.--

21         (1)(a)  Each retail dealer shall report its total motor

22  fuel gallonage for a determination period as follows:

23         1.  The total gasoline gallonage and the total ethanol

24  gallonage, including each classification and

25  subclassification.

26         2.  The total diesel fuel gallonage and the total

27  biodiesel gallonage, including each classification and

28  subclassification.

29         (b)  The retail dealer shall report the information

30  required in paragraph (a) for each retail motor fuel site or

31  

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 1  other permanent or temporary location from which the retail

 2  dealer sells and dispenses motor fuel.

 3         (c)  The retail dealer shall prepare and submit the

 4  report in a manner and according to procedures required by the

 5  department. The department may require that retail dealers

 6  report to the department on an annual, quarterly, or monthly

 7  basis.

 8         (2)  On or before February 1, 2008, and each year

 9  thereafter through 2011, the department shall deliver a report

10  to the Governor and the Legislature. The report shall compile

11  information reported by retail dealers to the department as

12  provided in this section and shall include, at a minimum, all

13  of the following:

14         (a)1.  The aggregate gasoline gallonage for the

15  previous determination period, including all classifications

16  and subclassifications.

17         2.  The aggregate diesel fuel gallonage for the

18  previous determination period, including all classifications

19  and subclassifications.

20         (b)1.  The aggregate ethanol distribution percentage

21  for the previous determination period.

22         2.  The aggregate biodiesel distribution percentage for

23  the previous determination period.

24         (c)  The report may not include information regarding

25  motor fuel or biofuel sold and dispensed by an individual

26  retail dealer or at a particular retail motor fuel site. The

27  report may not include a trade secret protected as a

28  confidential record.

29         Section 5.  Section 206.757, Florida Statutes, is

30  created to read:

31         206.757  Biofuel marketer's promotion tax credit.--

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 1         (1)  In order for a retail dealer to be eligible for a

 2  biofuel marketer's promotion tax credit, the dealer must

 3  satisfy the following criteria:

 4         (a)  The taxpayer must be a retail dealer who sells and

 5  dispenses biofuel through a motor fuel pump in the tax year in

 6  which the tax credit is claimed; and

 7         (b)  The retail dealer must comply with the

 8  requirements of the department.

 9         (2)  In order to receive the tax credit, the retail

10  dealer must calculate all of the following:

11         (a)  The retail dealer's biofuel distribution

12  percentage, which is the sum of the retail dealer's total

13  ethanol gallonage plus the retail dealer's total biodiesel

14  gallonage, expressed as a percentage of the retail dealer's

15  total gasoline gallonage, in the retail dealer's applicable

16  determination period.

17         (b)  The retail dealer's biofuel threshold percentage,

18  which is:

19         1.  Three percent for the determination period

20  beginning on January 1, 2008, and ending December 31, 2008.

21         2.  Five percent for the determination period beginning

22  on January 1, 2009, and ending December 31, 2009.

23         3.  Seven percent for the determination period

24  beginning on January 1, 2010, and ending December 31, 2010.

25         4.  Ten percent for the determination period beginning

26  on January 1, 2011, and ending December 31, 2011.

27         (c)  The retail dealer's biofuel threshold percentage

28  disparity, which is a positive percentage difference obtained

29  by taking the minuend, which is the retail dealer's biofuel

30  distribution percentage, and subtracting from it the

31  subtrahend, which is the retail dealer's biofuel threshold

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 1  percentage, in the retail dealer's applicable determination

 2  period.

 3  

 4  The tax credit shall be calculated separately for each retail

 5  motor fuel site or other permanent or temporary location from

 6  which the retail dealer sells and dispenses biofuel.

 7         (3)(a)  For a retail dealer whose tax year is the same

 8  as a determination period beginning on January 1 and ending on

 9  December 31, the retail dealer's tax credit shall be

10  calculated by multiplying the retail dealer's total biofuel

11  gallonage by a tax credit rate, which may be adjusted based on

12  the retail dealer's biofuel threshold percentage disparity.

13  The tax credit rate is as follows:

14         1.  For any tax year in which the retail dealer has

15  attained a biofuel threshold percentage for the determination

16  period, the tax credit rate is 3.5 cents.

17         2.  For any tax year in which the retail dealer has not

18  attained a biofuel threshold percentage for the determination

19  period, the tax credit rate shall be adjusted based on the

20  retail dealer's biofuel threshold percentage disparity. The

21  amount of the adjusted tax credit rate is as follows:

22         a.  If the retail dealer's biofuel threshold percentage

23  disparity equals 2 percent or less, the tax credit rate is 2.5

24  cents.

25         b.  If the retail dealer's biofuel threshold percentage

26  disparity equals more than 2 percent but not more than 4

27  percent, the tax credit rate is 1.5 cents.

28         c.  A retail dealer is not eligible for a tax credit if

29  the retail dealer's biofuel threshold percentage disparity

30  equals more than 4 percent.

31  

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 1         (b)  For a retail dealer whose tax year is not the same

 2  as a determination period beginning on January 1 and ending on

 3  December 31, the retail dealer shall calculate the tax credit

 4  twice, as follows:

 5         1.  For the period beginning on the first day of the

 6  retail dealer's tax year until December 31, the retail dealer

 7  shall calculate the tax credit in the same manner as a retail

 8  dealer who calculates the tax credit on that same December 31

 9  as provided in paragraph (a).

10         2.  For the period beginning on January 1 to the end of

11  the retail dealer's tax year, the retail dealer shall

12  calculate the tax credit in the same manner as a retail dealer

13  who will calculate the tax credit on the following December 31

14  as provided in paragraph (a).

15         (4)  Any credit in excess of the retail dealer's tax

16  liability shall be refunded. In lieu of claiming a refund, the

17  retail dealer may elect to have the overpayment shown on the

18  retail dealer's final, completed return credited to the tax

19  liability for the following tax year.

20         (5)  This section expires January 1, 2012.

21         Section 6.  Section 206.759, Florida Statutes, is

22  created to read:

23         206.759  Biofuel production tax credits.--

24         (1)  For tax years beginning on or after January 1,

25  2007, a credit against the tax imposed under chapter 220 shall

26  be granted in an amount to be determined as follows:

27         (a)  A taxpayer who produces biofuel at a facility

28  located in this state is entitled to a credit against the

29  taxpayer's state tax liability equal to 20 cents per gallon of

30  biofuel produced from this state's feedstocks at a facility

31  that began operating after December 31, 2006, or, under the

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 1  expanded capacity of a facility, the expansion of which

 2  occurred after December 31, 2006.

 3         (b)  A taxpayer may not receive any tax credit under

 4  this section in an amount greater than $3 million for 1 year.

 5  The cumulative annual tax credit under this section may not

 6  exceed $10 million.

 7         (2)  In order to be eligible for the biofuel production

 8  tax credit, a taxpayer must have registered and have met the

 9  requirements contained in this chapter.

10         (3)  The Department of Revenue may adopt rules pursuant

11  to ss. 120.536(1) and 120.54 which are necessary to administer

12  this section, including rules establishing forms and

13  procedures for claiming this credit.

14         (4)  Before beginning production, a taxpayer must

15  submit to the Department of Agriculture and Consumer Services

16  an application for tax credit which includes a complete

17  description of all biofuel that will be produced. The

18  Department of Agriculture and Consumer Services shall

19  determine whether such production is eligible for the credit

20  under this section, and shall establish methods for

21  determining the amount of biofuel produced and sold by a

22  taxpayer during the tax year. A taxpayer must attach the

23  Department of Agriculture and Consumer Services' certification

24  to the tax return on which the credit is claimed. The

25  Department of Agriculture and Consumer Services shall provide

26  assistance when requested by the Department of Revenue on any

27  audits or examinations performed pursuant to this section.

28  The Department of Agriculture and Consumer Services may adopt

29  rules, guidelines, standards, and application materials

30  necessary for the determination of this credit.

31  

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 1         (5)  The Department of Agriculture and Consumer

 2  Services shall determine the total amount of credits available

 3  for any fiscal year. This information shall be communicated to

 4  the Department of Revenue.

 5         (6)  This section expires January 1, 2012.

 6         Section 7.  Subsection (8) of section 213.053, Florida

 7  Statutes, is amended to read:

 8         213.053  Confidentiality and information sharing.--

 9         (8)  Notwithstanding any other provision of this

10  section, the department may provide:

11         (a)  Information relative to chapter 211, chapter 376,

12  or chapter 377 to the proper state agency in the conduct of

13  its official duties.

14         (b)  Names, addresses, and dates of commencement of

15  business activities of corporations to the Division of

16  Corporations of the Department of State in the conduct of its

17  official duties.

18         (c)  Information relative to chapter 212 and chapters

19  561 through 568 to the Division of Alcoholic Beverages and

20  Tobacco of the Department of Business and Professional

21  Regulation in the conduct of its official duties.

22         (d)  Names, addresses, and sales tax registration

23  information to the Division of Hotels and Restaurants of the

24  Department of Business and Professional Regulation in the

25  conduct of its official duties.

26         (e)  Names, addresses, taxpayer identification numbers,

27  and outstanding tax liabilities to the Department of the

28  Lottery and the Office of Financial Regulation of the

29  Financial Services Commission in the conduct of their official

30  duties.

31  

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 1         (f)  State tax information to the Nexus Program of the

 2  Multistate Tax Commission pursuant to any formal agreement for

 3  the exchange of mutual information between the department and

 4  the commission.

 5         (g)  Tax information to principals, and their

 6  designees, of the Revenue Estimating Conference for the

 7  purpose of developing official revenue estimates.

 8         (h)  Names and addresses of persons paying taxes

 9  pursuant to part IV of chapter 206 to the Department of

10  Environmental Protection in the conduct of its official

11  duties.

12         (i)  Information relative to chapters 212 and 326 to

13  the Division of Florida Land Sales, Condominiums, and Mobile

14  Homes of the Department of Business and Professional

15  Regulation in the conduct of its official duties.

16         (j)  Information authorized pursuant to s. 213.0535 to

17  eligible participants and certified public accountants for

18  such participants in the Registration Information Sharing and

19  Exchange Program.

20         (k)1.  Payment information relative to chapters 199,

21  201, 212, 220, 221, and 624 to the Office of Tourism, Trade,

22  and Economic Development, or its employees or agents that are

23  identified in writing by the office to the department, in the

24  administration of the tax refund program for qualified defense

25  contractors authorized by s. 288.1045 and the tax refund

26  program for qualified target industry businesses authorized by

27  s. 288.106.

28         2.  Information relative to tax credits taken by a

29  business under s. 220.191 and exemptions or tax refunds

30  received by a business under s. 212.08(5)(j) to the Office of

31  Tourism, Trade, and Economic Development, or its employees or

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 1  agents that are identified in writing by the office to the

 2  department, in the administration and evaluation of the

 3  capital investment tax credit program authorized in s. 220.191

 4  and the semiconductor, defense, and space tax exemption

 5  program authorized in s. 212.08(5)(j).

 6         (l)  Information relative to chapter 212 and the Bill

 7  of Lading Program to the Office of Agriculture Law Enforcement

 8  of the Department of Agriculture and Consumer Services in the

 9  conduct of its official duties.

10         (m)  Information relative to chapter 198 to the Agency

11  for Health Care Administration in the conduct of its official

12  business relating to ss. 409.901-409.9101.

13         (n)  Information contained in returns, reports,

14  accounts, or declarations to the Board of Accountancy in

15  connection with a disciplinary proceeding conducted pursuant

16  to chapter 473 when related to a certified public accountant

17  participating in the certified audits project, or to the court

18  in connection with a civil proceeding brought by the

19  department relating to a claim for recovery of taxes due to

20  negligence on the part of a certified public accountant

21  participating in the certified audits project.  In any

22  judicial proceeding brought by the department, upon motion for

23  protective order, the court shall limit disclosure of tax

24  information when necessary to effectuate the purposes of this

25  section.

26         (o)  Information relative to ss. 376.70 and 376.75 to

27  the Department of Environmental Protection in the conduct of

28  its official business and to the facility owner, facility

29  operator, and real property owners as defined in s. 376.301.

30  

31  

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 1         (p)  Information relative to ss. 220.1845 and 376.30781

 2  to the Department of Environmental Protection in the conduct

 3  of its official business.

 4         (q)  Names, addresses, and sales tax registration

 5  information to the Division of Consumer Services of the

 6  Department of Agriculture and Consumer Services in the conduct

 7  of its official duties.

 8         (r)  Information relative to the returns required by

 9  ss. 175.111 and 185.09 to the Department of Management

10  Services in the conduct of its official duties. The Department

11  of Management Services is, in turn, authorized to disclose

12  payment information to a governmental agency or the agency's

13  agent for purposes related to budget preparation, auditing,

14  revenue or financial administration, or administration of

15  chapters 175 and 185.

16         (s)  Names, addresses, and federal employer

17  identification numbers, or similar identifiers, to the

18  Department of Highway Safety and Motor Vehicles for use in the

19  conduct of its official duties.

20         (t)  Information relative to the tax exemptions under

21  ss. 212.031, 212.06, and 212.08 for those persons qualified

22  under s. 288.1258 to the Office of Film and Entertainment. The

23  Department of Revenue shall provide the Office of Film and

24  Entertainment with information in the aggregate.

25         (u)  Information relative to s. 220.187 to the

26  Department of Education in the conduct of its official

27  business.

28         (v)  Information relative to chapter 202 to each local

29  government that imposes a tax pursuant to s. 202.19 in the

30  conduct of its official duties as specified in chapter 202.

31  Information provided under this paragraph may include, but is

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 1  not limited to, any reports required pursuant to s. 202.231,

 2  audit files, notices of intent to audit, tax returns, and

 3  other confidential tax information in the department's

 4  possession relating to chapter 202.  A person or an entity

 5  designated by the local government in writing to the

 6  department as requiring access to confidential taxpayer

 7  information shall have reasonable access to information

 8  provided pursuant to this paragraph.  Such person or entity

 9  may disclose such information to other persons or entities

10  with direct responsibility for budget preparation, auditing,

11  revenue or financial administration, or legal counsel.  Such

12  information shall only be used for purposes related to budget

13  preparation, auditing, and revenue and financial

14  administration. Any confidential and exempt information

15  furnished to a local government, or to any person or entity

16  designated by the local government as authorized by this

17  paragraph may not be further disclosed by the recipient except

18  as provided by this paragraph.

19         (w)  Tax registration information to the Agency for

20  Workforce Innovation for use in the conduct of its official

21  duties, which information may not be redisclosed by the Agency

22  for Workforce Innovation.

23         (x)  Rental car surcharge revenues authorized by s.

24  212.0606, reported according to the county to which the

25  surcharge was attributed to the Department of Transportation.

26         (y)  Information relative to ss. 212.08(7)(ccc) and

27  220.192 to the Department of Environmental Protection for use

28  in the conduct of its official business.

29         (z)  Information relative to the biofuel marketer's

30  promotion tax credit under s. 206.757 and the biofuel

31  production tax credit under s. 206.759 to the Department of

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 1  Agriculture and Consumer Services, or its employees or agents

 2  that are identified in writing by the Department of

 3  Agriculture and Consumer Services to the department, including

 4  information regarding the credit and taxpayers that are

 5  claiming or have claimed such credit.

 6  

 7  Disclosure of information under this subsection shall be

 8  pursuant to a written agreement between the executive director

 9  and the agency.  Such agencies, governmental or

10  nongovernmental, shall be bound by the same requirements of

11  confidentiality as the Department of Revenue.  Breach of

12  confidentiality is a misdemeanor of the first degree,

13  punishable as provided by s. 775.082 or s. 775.083.

14         Section 8.  Subsection (8) of section 220.02, Florida

15  Statutes, is amended to read:

16         220.02  Legislative intent.--

17         (8)  It is the intent of the Legislature that credits

18  against either the corporate income tax or the franchise tax

19  be applied in the following order: those enumerated in s.

20  631.828, those enumerated in s. 220.191, those enumerated in

21  s. 220.181, those enumerated in s. 220.183, those enumerated

22  in s. 220.182, those enumerated in s. 220.1895, those

23  enumerated in s. 221.02, those enumerated in s. 220.184, those

24  enumerated in s. 220.186, those enumerated in s. 220.1845,

25  those enumerated in s. 220.19, those enumerated in s. 220.185,

26  those enumerated in s. 220.187, those enumerated in s.

27  220.192, and those enumerated in s. 220.193 those enumerated

28  in s. 206.757, and those enumerated in s. 206.759.

29         Section 9.  Paragraph (a) of subsection (1) of section

30  220.13, Florida Statutes, is amended to read:

31         220.13  "Adjusted federal income" defined.--

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 1         (1)  The term "adjusted federal income" means an amount

 2  equal to the taxpayer's taxable income as defined in

 3  subsection (2), or such taxable income of more than one

 4  taxpayer as provided in s. 220.131, for the taxable year,

 5  adjusted as follows:

 6         (a)  Additions.--There shall be added to such taxable

 7  income:

 8         1.  The amount of any tax upon or measured by income,

 9  excluding taxes based on gross receipts or revenues, paid or

10  accrued as a liability to the District of Columbia or any

11  state of the United States which is deductible from gross

12  income in the computation of taxable income for the taxable

13  year.

14         2.  The amount of interest which is excluded from

15  taxable income under s. 103(a) of the Internal Revenue Code or

16  any other federal law, less the associated expenses disallowed

17  in the computation of taxable income under s. 265 of the

18  Internal Revenue Code or any other law, excluding 60 percent

19  of any amounts included in alternative minimum taxable income,

20  as defined in s. 55(b)(2) of the Internal Revenue Code, if the

21  taxpayer pays tax under s. 220.11(3).

22         3.  In the case of a regulated investment company or

23  real estate investment trust, an amount equal to the excess of

24  the net long-term capital gain for the taxable year over the

25  amount of the capital gain dividends attributable to the

26  taxable year.

27         4.  That portion of the wages or salaries paid or

28  incurred for the taxable year which is equal to the amount of

29  the credit allowable for the taxable year under s. 220.181.

30  This subparagraph shall expire on the date specified in s.

31  290.016 for the expiration of the Florida Enterprise Zone Act.

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 1         5.  That portion of the ad valorem school taxes paid or

 2  incurred for the taxable year which is equal to the amount of

 3  the credit allowable for the taxable year under s. 220.182.

 4  This subparagraph shall expire on the date specified in s.

 5  290.016 for the expiration of the Florida Enterprise Zone Act.

 6         6.  The amount of emergency excise tax paid or accrued

 7  as a liability to this state under chapter 221 which tax is

 8  deductible from gross income in the computation of taxable

 9  income for the taxable year.

10         7.  That portion of assessments to fund a guaranty

11  association incurred for the taxable year which is equal to

12  the amount of the credit allowable for the taxable year.

13         8.  In the case of a nonprofit corporation which holds

14  a pari-mutuel permit and which is exempt from federal income

15  tax as a farmers' cooperative, an amount equal to the excess

16  of the gross income attributable to the pari-mutuel operations

17  over the attributable expenses for the taxable year.

18         9.  The amount taken as a credit for the taxable year

19  under s. 220.1895.

20         10.  Up to nine percent of the eligible basis of any

21  designated project which is equal to the credit allowable for

22  the taxable year under s. 220.185.

23         11.  The amount taken as a credit for the taxable year

24  under s. 220.187.

25         12.  The amount taken as a credit for the taxable year

26  under s. 220.192.

27         13.  The amount taken as a credit for the taxable year

28  under s. 220.193.

29         14.  In the case of a retail biofuel dealer claiming a

30  tax credit under the biofuel marketer's promotion tax credit

31  under s. 206.757, that portion of the business deductions

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 1  claimed by the biofuel dealer on its federal tax return, paid

 2  or incurred, for the taxable year which is equal to the amount

 3  of the credit allowable for the taxable year under s. 206.757.

 4         Section 10.  Ethanol and biodiesel mixtures tax

 5  credit.--

 6         (1)  As used in this section, the term:

 7         (a)  "Ethanol mixture credit" means the product of the

 8  applicable amount and the number of gallons of ethanol used by

 9  the taxpayer in producing any ethanol mixture for sale or use

10  in a trade or business of the taxpayer.

11         (b)  "Biodiesel mixture credit" means the product of

12  the applicable amount and the number of gallons of biodiesel

13  used by the taxpayer in producing any biodiesel mixture for

14  sale or use in a trade or business of the taxpayer.

15         (c)  "Applicable amount" means 20 cents.

16         (2)  A producer may take as a credit against the motor

17  fuel tax imposed by s. 206.41, Florida Statutes, an amount

18  equal to the sum of:

19         (a)  The ethanol mixture credit; plus

20         (b)  The biodiesel mixture credit.

21         (3)  For the purpose of determining the tax credit

22  under subsection (2), the number of gallons of ethanol with

23  respect to which a credit is allowable under subsection (2)

24  includes the volume of any denaturant, including gasoline,

25  which is added under any formulas approved by the Department

26  of Agriculture and Consumer Services to the extent that the

27  denaturants do not exceed 5 percent of the volume of the

28  ethanol, including denaturants.

29         (4)  This subsection applies to administration of the

30  refunds provided for by subsection (2).

31  

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 1         (a)  In order to procure a permit, a person must file

 2  with the Department of Revenue an application, on forms

 3  furnished by the department, stating that he or she is

 4  entitled to a refund according to subsection (2) and that he

 5  or she intends to file an application for refund for a

 6  calendar quarter during the current calendar year, and must

 7  furnish the Department of Revenue such other information as

 8  the department requests.

 9         (b)  A person is not entitled to a refund unless he or

10  she has filed the application provided for in paragraph (a)

11  with the Department of Revenue. A permit is effective for the

12  year issued by the department and is continuous from year to

13  year so long as the permitholder files refund claims from year

14  to year. If the permitholder fails to file a claim for any

15  year, he or she must apply for a new permit.

16         (5)  If an applicant for a refund permit has violated

17  this section or any rule of the Department of Revenue, or has

18  been convicted of bribery, theft, or false swearing within 5

19  years preceding the tax credit application, or if the

20  department has evidence of the financial irresponsibility of

21  the applicant, the department may require the applicant to

22  execute a corporate surety bond of $1,000 to be approved by

23  the department, conditioned upon the payment of all taxes,

24  penalties, and fines for which the applicant may become

25  liable.

26         (6)  A tax equal to any credit taken under this section

27  is imposed on any person who, having claimed a credit for

28  producing ethanol or biodiesel to be used in the production of

29  an ethanol mixture or biodiesel mixture, separates the ethanol

30  or biodiesel from the mixture or, without separation, uses the

31  mixture for purposes other than as a fuel.

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 1         (7)  This section does not apply to any ethanol or

 2  biodiesel mixture sold or used after December 31, 2011.

 3         Section 11.  For the purpose of incorporating the

 4  amendments made by this act to section 220.02, Florida

 5  Statutes, in a reference thereto, paragraph (c) of subsection

 6  (1) of section 220.181, Florida Statutes, is reenacted to

 7  read:

 8         220.181  Enterprise zone jobs credit.--

 9         (1)

10         (c)  If this credit is not fully used in any one year,

11  the unused amount may be carried forward for a period not to

12  exceed 5 years. The carryover credit may be used in a

13  subsequent year when the tax imposed by this chapter for such

14  year exceeds the credit for such year after applying the other

15  credits and unused credit carryovers in the order provided in

16  s. 220.02(8).

17         Section 12.  For the purpose of incorporating the

18  amendments made by this act to section 220.02, Florida

19  Statutes, in a reference thereto, paragraph (b) of subsection

20  (1) of section 220.182, Florida Statutes, is reenacted to

21  read:

22         220.182  Enterprise zone property tax credit.--

23         (1)

24         (b)  If the credit granted pursuant to this section is

25  not fully used in any one year, the unused amount may be

26  carried forward for a period not to exceed 5 years. The

27  carryover credit may be used in a subsequent year when the tax

28  imposed by this chapter for such year exceeds the credit for

29  such year under this section after applying the other credits

30  and unused credit carryovers in the order provided in s.

31  220.02(8). The amount of credit taken under this section in

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 1  any one year, however, shall not exceed $25,000, or, if no

 2  less than 20 percent of the employees of the business are

 3  residents of an enterprise zone, excluding temporary

 4  employees, the amount shall not exceed $50,000.

 5         Section 13.  For the purpose of incorporating the

 6  amendments made by this act to section 220.02, Florida

 7  Statutes, in a reference thereto, paragraph (e) of subsection

 8  (1) of section 220.183, Florida Statutes, is reenacted to

 9  read:

10         220.183  Community contribution tax credit.--

11         (1)  AUTHORIZATION TO GRANT COMMUNITY CONTRIBUTION TAX

12  CREDITS; LIMITATIONS ON INDIVIDUAL CREDITS AND PROGRAM

13  SPENDING.--

14         (e)  If the credit granted pursuant to this section is

15  not fully used in any one year because of insufficient tax

16  liability on the part of the business firm, the unused amount

17  may be carried forward for a period not to exceed 5 years. The

18  carryover credit may be used in a subsequent year when the tax

19  imposed by this chapter for such year exceeds the credit for

20  such year under this section after applying the other credits

21  and unused credit carryovers in the order provided in s.

22  220.02(8).

23         Section 14.  For the purpose of incorporating the

24  amendments made by this act to section 220.02, Florida

25  Statutes, in a reference thereto, subsection (3) of section

26  220.184, Florida Statutes, is reenacted to read:

27         220.184  Hazardous waste facility tax credit.--

28         (3)  If any credit granted pursuant to this section is

29  not fully used in the first year for which it becomes

30  available, the unused amount may be carried forward for a

31  period not to exceed 5 years.  The carryover may be used in a

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 1  subsequent year when the tax imposed by this chapter for such

 2  year exceeds the credit for such year under this section after

 3  applying the other credits and unused credit carryovers in the

 4  order provided in s. 220.02(8).

 5         Section 15.  For the purpose of incorporating the

 6  amendments made by this act to section 220.02, Florida

 7  Statutes, in a reference thereto, paragraph (c) of subsection

 8  (1) of section 220.1845, Florida Statutes, is reenacted to

 9  read:

10         220.1845  Contaminated site rehabilitation tax

11  credit.--

12         (1)  AUTHORIZATION FOR TAX CREDIT; LIMITATIONS.--

13         (c)  If the credit granted under this section is not

14  fully used in any one year because of insufficient tax

15  liability on the part of the corporation, the unused amount

16  may be carried forward for a period not to exceed 5 years. The

17  carryover credit may be used in a subsequent year when the tax

18  imposed by this chapter for that year exceeds the credit for

19  which the corporation is eligible in that year under this

20  section after applying the other credits and unused carryovers

21  in the order provided by s. 220.02(8). Five years after the

22  date a credit is granted under this section, such credit

23  expires and may not be used. However, if during the 5-year

24  period the credit is transferred, in whole or in part,

25  pursuant to paragraph (g), each transferee has 5 years after

26  the date of transfer to use its credit.

27         Section 16.  For the purpose of incorporating the

28  amendments made by this act to section 220.02, Florida

29  Statutes, in a reference thereto, section 220.1895, Florida

30  Statutes, is reenacted to read:

31  

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 1         220.1895  Rural Job Tax Credit and Urban High-Crime

 2  Area Job Tax Credit.--There shall be allowed a credit against

 3  the tax imposed by this chapter amounts approved by the Office

 4  of Tourism, Trade, and Economic Development pursuant to the

 5  Rural Job Tax Credit Program in s. 212.098 and the Urban

 6  High-Crime Area Job Tax Credit Program in s. 212.097. A

 7  corporation that uses its credit against the tax imposed by

 8  this chapter may not take the credit against the tax imposed

 9  by chapter 212. If any credit granted under this section is

10  not fully used in the first year for which it becomes

11  available, the unused amount may be carried forward for a

12  period not to exceed 5 years. The carryover may be used in a

13  subsequent year when the tax imposed by this chapter for such

14  year exceeds the credit for such year under this section after

15  applying the other credits and unused credit carryovers in the

16  order provided in s. 220.02(8).

17         Section 17.  For the purpose of incorporating the

18  amendments made by this act to section 220.02, Florida

19  Statutes, in a reference thereto, paragraph (e) of subsection

20  (1) of section 220.19, Florida Statutes, is reenacted to read:

21         220.19  Child care tax credits.--

22         (1)  AUTHORIZATION TO GRANT TAX CREDITS; LIMITATIONS.--

23         (e)  If the credit granted under this section is not

24  fully used in any one year because of insufficient tax

25  liability on the part of the corporation, the unused amount

26  may be carried forward for a period not to exceed 5 years. The

27  carryover credit may be used in a subsequent year when the tax

28  imposed by this chapter for that year exceeds the credit for

29  which the corporation is eligible in that year under this

30  section after applying the other credits and unused carryovers

31  in the order provided by s. 220.02(8).

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 1         Section 18.  For the purpose of incorporating the

 2  amendments made by this act to section 220.02, Florida

 3  Statutes, in a reference thereto, paragraph (b) of subsection

 4  (3) of section 220.191, Florida Statutes, is reenacted to

 5  read:

 6         220.191  Capital investment tax credit.--

 7         (3)

 8         (b)  If the credit granted under this subsection is not

 9  fully used in any one year because of insufficient tax

10  liability on the part of the qualifying business, the unused

11  amount may be carried forward for a period not to exceed 20

12  years after the commencement of operations of the project. The

13  carryover credit may be used in a subsequent year when the tax

14  imposed by this chapter for that year exceeds the credit for

15  which the qualifying business is eligible in that year under

16  this subsection after applying the other credits and unused

17  carryovers in the order provided by s. 220.02(8).

18         Section 19.  For the purpose of incorporating the

19  amendments made by this act to section 220.02, Florida

20  Statutes, in a reference thereto, paragraph (d) of subsection

21  (3) of section 220.193, Florida Statutes, is reenacted to

22  read:

23         220.193  Florida renewable energy production credit.--

24         (3)  An annual credit against the tax imposed by this

25  section shall be allowed to a taxpayer, based on the

26  taxpayer's production and sale of electricity from a new or

27  expanded Florida renewable energy facility. For a new

28  facility, the credit shall be based on the taxpayer's sale of

29  the facility's entire electrical production. For an expanded

30  facility, the credit shall be based on the increases in the

31  

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 1  facility's electrical production that are achieved after May

 2  1, 2006.

 3         (d)  If the credit granted pursuant to this section is

 4  not fully used in one year because of insufficient tax

 5  liability on the part of the taxpayer, the unused amount may

 6  be carried forward for a period not to exceed 5 years. The

 7  carryover credit may be used in a subsequent year when the tax

 8  imposed by this chapter for such year exceeds the credit for

 9  such year, after applying the other credits and unused credit

10  carryovers in the order provided in s. 220.02(8).

11         Section 20.  This act shall take effect July 1, 2007.

12  

13            *****************************************

14                          SENATE SUMMARY

15    Provides calculation formulas to determine quantity of
      biofuels sold by retail sales dealers. Requires each
16    retail dealer to report its total motor fuel gallonage
      for a determinative period to the Department of
17    Agriculture and Consumer Services. Creates the biofuel
      promotion tax credit and the biofuel production tax
18    credit. Provides the criteria for eligibility for the tax
      credits. Authorizes the Department of Revenue to provide
19    information relating to the biofuel promotion tax credit
      and the biofuel production tax credit to the Department
20    of Agriculture and Consumer Services. Creates the ethanol
      and biodiesel mixtures tax credit. Provides for the tax
21    credit to apply against the motor fuel tax for producers
      of ethanol and biodiesel fuel mixtures. Provides
22    penalties for producers who use the biofuels for purposes
      other than that for which the biofuels were intended.
23  

24  

25  

26  

27  

28  

29  

30  

31  

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