HB 1247

1	A bill to be entitled
2	An act relating to the corporate income tax; providing
3	legislative findings and intent; amending s. 220.03, F.S.;
4	revising a definition; defining the terms "tax haven" and
5	"water's edge group"; amending s. 220.13, F.S.; conforming
6	a cross-reference; redefining the term "adjusted federal
7	income" to limit the subtraction of certain deductions and
8	certain carryovers; requiring the subtraction of certain
9	dividends from taxable income; creating s. 220.136, F.S.;
10	providing rules and criteria to determine if a corporation
11	is a member of a water's edge group; creating s. 220.1363,
12	F.S.; providing a reporting method for a water's edge
13	group; providing for the apportionment of income to the
14	state; requiring a member of a water's edge group having
15	nexus with this state to file a single return for the
16	water's edge group; providing for the determination of
17	income for a member of a water's edge group having a
18	different tax year than the water's edge group; requiring
19	a water's edge group return to include a computational
20	schedule; requiring a water's edge group to file a
21	domestic disclosure spreadsheet along with its return;
22	authorizing the Department of Revenue to adopt rules;
23	amending s. 220.14, F.S.; providing for the proration of
24	an exemption during a leap year; limiting a water's edge
25	group to a single claim of a specified exemption; amending
26	s. 220.15, F.S.; deleting provisions relating to
27	affiliated groups with respect to certain sales of a
28	financial institution; amending s. 220.183, F.S.; deleting
29	provisions relating to affiliated groups with respect to
30	community contribution tax credits; amending s. 220.1845,
31	F.S.; deleting provisions relating to affiliated groups
32	with respect to the contaminated site rehabilitation tax
33	credit; amending s. 220.187, F.S.; deleting provisions
34	relating to affiliated groups with respect to the tax
35	credit for contributions to nonprofit scholarship funding
36	organizations; amending s. 220.191, F.S.; deleting
37	provisions relating to affiliated groups with respect to
38	the capital investment tax credit; amending s. 220.192,
39	F.S.; deleting provisions relating to affiliated groups
40	with respect to the renewable energy technologies
41	investment tax credit; amending s. 220.193, F.S.; deleting
42	provisions relating to affiliated groups with respect to
43	the Florida renewable energy production tax credit;
44	amending s. 220.51, F.S.; deleting provisions relating to
45	the rulemaking authority of the Department of Revenue with
46	respect to consolidated reporting for affiliated groups;
47	amending s. 220.64, F.S.; conforming cross-references;
48	providing transitional rules for corporate income tax
49	returns filed by water's edge groups and affiliated groups
50	of corporations; specifying the allocation of funds that
51	are recaptured under the act; amending s. 376.30781, F.S.;
52	correcting cross-references; repealing s. 220.131, F.S.,
53	relating to adjusted federal income for affiliated groups;
54	providing an effective date.
55
56	Be It Enacted by the Legislature of the State of Florida:
57
58	Section 1.  Legislative findings and intent.--The
59	Legislature finds that the separate accounting system used to
60	measure the income of multistate and multinational corporations
61	for tax purposes often places Florida corporations at a
62	competitive disadvantage. Moreover, corporate business is
63	increasingly conducted through groups of commonly owned
64	corporations. Therefore, the Legislature intends to more
65	accurately measure the business activities of corporations by
66	adopting a combined system of income tax reporting.
67	Section 2.  Paragraph (z) of subsection (1) of section
68	220.03, Florida Statutes, is amended and paragraphs (gg) and
69	(hh) are added to that subsection to read:
70	220.03  Definitions.--
71	(1)  SPECIFIC TERMS.--When used in this code, and when not
72	otherwise distinctly expressed or manifestly incompatible with
73	the intent thereof, the following terms shall have the following
74	meanings:
75	(z)  "Taxpayer" means any corporation subject to the tax
76	imposed by this code, and includes all corporations that are
77	members of a water's edge group for which a consolidated return
78	is filed under s. 220.131. However, "taxpayer" does not include
79	a corporation having no individuals (including individuals
80	employed by an affiliate) receiving compensation in this state
81	as defined in s. 220.15 when the only property owned or leased
82	by said corporation (including an affiliate) in this state is
83	located at the premises of a printer with which it has
84	contracted for printing, if such property consists of the final
85	printed product, property which becomes a part of the final
86	printed product, or property from which the printed product is
87	produced.
88	(gg)  "Tax haven" means a jurisdiction that, for a
89	particular tax year:
90	1.  Is identified by the Organization for Economic Co-
91	operation and Development as a tax haven or as having a harmful
92	preferential tax regime; or
93	2.a.  Is a jurisdiction that does not impose or imposes
94	only a nominal, effective tax on relevant income;
95	b.  Has laws or practices that prevent the effective
96	exchange of information for tax purposes with other governments
97	regarding taxpayers who are subject to, or benefiting from, the
98	tax regime;
99	c.  Lacks transparency;
100	d.  Facilitates the establishment of foreign-owned entities
101	without the need for a local substantive presence or prohibits
102	these entities from having any commercial impact on the local
103	economy;
104	e.  Explicitly or implicitly excludes the jurisdiction's
105	resident taxpayers from taking advantage of the tax regime's
106	benefits or prohibits enterprises that benefit from the regime
107	from operating in the jurisdiction's domestic market; or
108	f.  Has created a tax regime that is favorable for tax
109	avoidance, based upon an overall assessment of relevant factors,
110	including whether the jurisdiction has a significant untaxed
111	offshore financial or other services sector relative to its
112	overall economy.
113
114	For purposes of this paragraph, a tax regime lacks transparency
115	if the details of legislative, legal, or administrative
116	requirements are not open to public scrutiny and apparent, or
117	are not consistently applied among similarly situated taxpayers.
118	As used in this paragraph, the term "tax regime" means a set or
119	system of rules, laws, regulations, or practices by which taxes
120	are imposed on any person, corporation, or entity, or on any
121	income, property, incident, indicia, or activity pursuant to
122	government authority.
123	(hh)  "Water's edge group" means a group of corporations
124	related through common ownership whose business activities are
125	integrated with, dependent upon, or contribute to a flow of
126	value among members of the group.
127	Section 3.  Subsection (1) of section 220.13, Florida
128	Statutes, is amended to read:
129	220.13  "Adjusted federal income" defined.--
130	(1)  The term "adjusted federal income" means an amount
131	equal to the taxpayer's taxable income as defined in subsection
132	(2), or such taxable income of more than one taxpayer as
133	provided in s. 220.1363 s. 220.131, for the taxable year,
134	adjusted as follows:
135	(a)  Additions.--There shall be added to such taxable
136	income:
137	1.  The amount of any tax upon or measured by income,
138	excluding taxes based on gross receipts or revenues, paid or
139	accrued as a liability to the District of Columbia or any state
140	of the United States which is deductible from gross income in
141	the computation of taxable income for the taxable year.
142	2.  The amount of interest which is excluded from taxable
143	income under s. 103(a) of the Internal Revenue Code or any other
144	federal law, less the associated expenses disallowed in the
145	computation of taxable income under s. 265 of the Internal
146	Revenue Code or any other law, excluding 60 percent of any
147	amounts included in alternative minimum taxable income, as
148	defined in s. 55(b)(2) of the Internal Revenue Code, if the
149	taxpayer pays tax under s. 220.11(3).
150	3.  In the case of a regulated investment company or real
151	estate investment trust, an amount equal to the excess of the
152	net long-term capital gain for the taxable year over the amount
153	of the capital gain dividends attributable to the taxable year.
154	4.  That portion of the wages or salaries paid or incurred
155	for the taxable year which is equal to the amount of the credit
156	allowable for the taxable year under s. 220.181. This
157	subparagraph shall expire on the date specified in s. 290.016
158	for the expiration of the Florida Enterprise Zone Act.
159	5.  That portion of the ad valorem school taxes paid or
160	incurred for the taxable year which is equal to the amount of
161	the credit allowable for the taxable year under s. 220.182. This
162	subparagraph shall expire on the date specified in s. 290.016
163	for the expiration of the Florida Enterprise Zone Act.
164	6.  The amount of emergency excise tax paid or accrued as a
165	liability to this state under chapter 221 which tax is
166	deductible from gross income in the computation of taxable
167	income for the taxable year.
168	7.  That portion of assessments to fund a guaranty
169	association incurred for the taxable year which is equal to the
170	amount of the credit allowable for the taxable year.
171	8.  In the case of a nonprofit corporation which holds a
172	pari-mutuel permit and which is exempt from federal income tax
173	as a farmers' cooperative, an amount equal to the excess of the
174	gross income attributable to the pari-mutuel operations over the
175	attributable expenses for the taxable year.
176	9.  The amount taken as a credit for the taxable year under
177	s. 220.1895.
178	10.  Up to nine percent of the eligible basis of any
179	designated project which is equal to the credit allowable for
180	the taxable year under s. 220.185.
181	11.  The amount taken as a credit for the taxable year
182	under s. 220.187.
183	12.  The amount taken as a credit for the taxable year
184	under s. 220.192.
185	13.  The amount taken as a credit for the taxable year
186	under s. 220.193.
187	14.  Any amount in excess of $25,000 allowable as a
188	deduction for federal income tax purposes under s. 179 of the
189	Internal Revenue Code of 1986, as amended, for the taxable year.
190	15.  Any amount allowable as a deduction for federal income
191	tax purposes under s. 167 or s. 168 of the Internal Revenue Code
192	of 1986, as amended, for the taxable year to the extent that
193	such amount includes bonus depreciation allowable as deduction
194	under s. 168(k).
195	(b)  Subtractions.--
196	1.  There shall be subtracted from such taxable income:
197	a.  The net operating loss deduction allowable for federal
198	income tax purposes under s. 172 of the Internal Revenue Code
199	for the taxable year,
200	b.  The net capital loss allowable for federal income tax
201	purposes under s. 1212 of the Internal Revenue Code for the
202	taxable year,
203	c.  The excess charitable contribution deduction allowable
204	for federal income tax purposes under s. 170(d)(2) of the
205	Internal Revenue Code for the taxable year, and
206	d.  The excess contributions deductions allowable for
207	federal income tax purposes under s. 404 of the Internal Revenue
208	Code for the taxable year.
209
210	However, a net operating loss and a capital loss shall never be
211	carried back as a deduction to a prior taxable year, but all
212	deductions attributable to such losses shall be deemed net
213	operating loss carryovers and capital loss carryovers,
214	respectively, and treated in the same manner, to the same
215	extent, and for the same time periods as are prescribed for such
216	carryovers in ss. 172 and 1212, respectively, of the Internal
217	Revenue Code. A deduction is not allowed for net operating
218	losses, net capital losses, or excess contribution deductions
219	under 26 U.S.C. ss. 170(d)(2), 172, 1212, and 404 for a member
220	of a water's edge group that is not a United States member.
221	Carryovers of net operating losses, net capital losses, or
222	excess contribution deductions under 26 U.S.C. ss. 170(d)(2),
223	172, 1212, and 404 may be subtracted only by the member of the
224	water's edge group that generates a carryover.
225	2.  There shall be subtracted from such taxable income any
226	amount to the extent included therein the following:
227	a.  Dividends treated as received from sources without the
228	United States, as determined under s. 862 of the Internal
229	Revenue Code.
230	b.  All amounts included in taxable income under s. 78 or
231	s. 951 of the Internal Revenue Code.
232
233	However, as to any amount subtracted under this subparagraph,
234	there shall be added to such taxable income all expenses
235	deducted on the taxpayer's return for the taxable year which are
236	attributable, directly or indirectly, to such subtracted amount.
237	Further, no amount shall be subtracted with respect to dividends
238	paid or deemed paid by a Domestic International Sales
239	Corporation.
240	3.  Amounts received by a member of a water's edge group as
241	dividends paid by another member of the water's edge group shall
242	be subtracted from the taxable income to the extent that the
243	dividends are included in the taxable income.
244	4.3.  In computing "adjusted federal income" for taxable
245	years beginning after December 31, 1976, there shall be allowed
246	as a deduction the amount of wages and salaries paid or incurred
247	within this state for the taxable year for which no deduction is
248	allowed pursuant to s. 280C(a) of the Internal Revenue Code
249	(relating to credit for employment of certain new employees).
250	5.4.  There shall be subtracted from such taxable income
251	any amount of nonbusiness income included therein.
252	6.5.  There shall be subtracted any amount of taxes of
253	foreign countries allowable as credits for taxable years
254	beginning on or after September 1, 1985, under s. 901 of the
255	Internal Revenue Code to any corporation which derived less than
256	20 percent of its gross income or loss for its taxable year
257	ended in 1984 from sources within the United States, as
258	described in s. 861(a)(2)(A) of the Internal Revenue Code, not
259	including credits allowed under ss. 902 and 960 of the Internal
260	Revenue Code, withholding taxes on dividends within the meaning
261	of sub-subparagraph 2.a., and withholding taxes on royalties,
262	interest, technical service fees, and capital gains.
263	7.6.  Notwithstanding any other provision of this code,
264	except with respect to amounts subtracted pursuant to
265	subparagraphs 1. and 4. 3., any increment of any apportionment
266	factor which is directly related to an increment of gross
267	receipts or income which is deducted, subtracted, or otherwise
268	excluded in determining adjusted federal income shall be
269	excluded from both the numerator and denominator of such
270	apportionment factor. Further, all valuations made for
271	apportionment factor purposes shall be made on a basis
272	consistent with the taxpayer's method of accounting for federal
273	income tax purposes.
274	(c)  Installment sales occurring after October 19, 1980.--
275	1.  In the case of any disposition made after October 19,
276	1980, the income from an installment sale shall be taken into
277	account for the purposes of this code in the same manner that
278	such income is taken into account for federal income tax
279	purposes.
280	2.  Any taxpayer who regularly sells or otherwise disposes
281	of personal property on the installment plan and reports the
282	income therefrom on the installment method for federal income
283	tax purposes under s. 453(a) of the Internal Revenue Code shall
284	report such income in the same manner under this code.
285	(d)  Nonallowable deductions.--A deduction for net
286	operating losses, net capital losses, or excess contributions
287	deductions under ss. 170(d)(2), 172, 1212, and 404 of the
288	Internal Revenue Code which has been allowed in a prior taxable
289	year for Florida tax purposes shall not be allowed for Florida
290	tax purposes, notwithstanding the fact that such deduction has
291	not been fully utilized for federal tax purposes.
292	Section 4.  Section 220.136, Florida Statutes, is created
293	to read:
294	220.136  Determination of the members of a water's edge
295	group.--
296	(1)  MEMBERSHIP RULES.--
297	(a)  A corporation having 50 percent or more of its
298	outstanding voting stock directly or indirectly owned or
299	controlled by a water's edge group is presumed to be a member of
300	the group. A corporation having less than 50 percent of its
301	outstanding voting stock directly or indirectly controlled by a
302	water's edge group is a member of the group if the businesses
303	activities of the corporation show that the corporation is a
304	member of the group. All of the income of a corporation that is
305	a member of a water's edge group is presumed to be unitary.
306	(b)  A corporation that conducts business outside the
307	United States is not a member of a water's edge group if 80
308	percent or more of the corporation's property and payroll, as
309	determined by the apportionment factors described in ss. 220.15
310	and 220.1363, may be assigned to locations outside the United
311	States. However, such corporations that are incorporated in a
312	tax haven may be a member of a water's edge group pursuant to
313	paragraph (a). This paragraph does not exempt a corporation that
314	is not a member of a water's edge group from the provisions of
315	this chapter.
316	(2)  MEMBERSHIP EVALUATION CRITERIA.--
317	(a)  The attribution rules of 26 U.S.C. 318 shall be used
318	to determine whether voting stock is owned indirectly.
319	(b)  As used in this paragraph, the term "United States"
320	means the 50 states, the District of Columbia, and Puerto Rico.
321	(c)  The apportionment factors described in ss. 220.15 and
322	220.1363 shall be used to determine whether a special industry
323	corporation has engaged in a sufficient amount of activities
324	outside the United States to exclude it from treatment as a
325	member of a water's edge group.
326	Section 5.  Section 220.1363, Florida Statutes, is created
327	to read:
328	220.1363  Water's edge groups; special requirements.--
329	(1)  All members of a water's edge group must use the
330	water's edge reporting method. Under the water's edge reporting
331	method:
332	(a)  Adjusted federal income for purposes of s. 220.12
333	means the sum of adjusted federal income for all members of the
334	group as determined for a concurrent tax year.
335	(b)  The numerators and denominators of the apportionment
336	factors shall be calculated for all members of the group
337	combined.
338	(c)  Intercompany sales transactions between members of the
339	group are not included in the numerator or denominator of the
340	sales factor pursuant to ss. 220.15 and 220.151, regardless of
341	whether indicia of a sale exist. As used in this subsection, the
342	term "sale" includes, but is not limited to, loans, payments for
343	the use of intangibles, dividends, and management fees.
344	(d)  For sales of intangibles, including, but not limited
345	to, accounts receivable, notes, bonds, and stock, which are made
346	to entities outside of the group, only the net proceeds are
347	included in the numerator and denominator of the sales factor.
348	(e)  Sales that are not allocated or apportioned to any
349	taxing jurisdiction, otherwise known as "nowhere sales," may not
350	be included in the numerator or denominator of the sales factor.
351	(f)  The income attributable to the Florida activities of a
352	corporation that is exempt from taxation under Pub. L. No. 86-
353	272 is excluded from the apportionment factor numerators in the
354	calculation of corporate income tax even if another member of
355	the water's edge group has nexus with Florida and is subject to
356	tax.
357	(g)  For purposes of this section, the term "water's edge
358	reporting method" is a method to determine the taxable business
359	profits of a group of entities conducting a unitary business.
360	Under this method, the net income of the entities must be added
361	together along with the additions and subtractions under s.
362	220.13 and apportioned to this state as a single taxpayer under
363	s. 220.15 and 220.151. However, each special industry member
364	included in a water's edge group return, which would otherwise
365	be permitted to use a special method of apportionment under s.
366	220.151, shall convert its single-factor apportionment to a
367	three-factor apportionment of property, payroll, and sales. The
368	special industry member shall calculate the denominator of its
369	property, payroll, and sales factors in the same manner as those
370	denominators are calculated by members that are not a special
371	industry member. The numerator of its sales, property, and
372	payroll factors is the product of the denominator of each factor
373	multiplied by the premiums or revenue-miles-factor ratio
374	otherwise applicable under s. 220.151.
375	(2)(a)  A single water's edge group return must be filed in
376	the name and federal employer identification number of the
377	parent corporation if the parent is a member of the group and
378	has nexus with Florida. If the group does not have a parent
379	corporation, if the parent corporation is not a member of the
380	group, or if the parent corporation does not have nexus with
381	Florida, the members of the group must choose a member subject
382	to the Florida corporate income tax to file the return. The
383	members of the group may not choose another member to file a
384	corporate income tax return in subsequent years unless the
385	filing member does not maintain nexus with Florida or remain a
386	member of that group. The return must be signed by an authorized
387	officer of the filing member as the agent for the group.
388	(b)  If members of a water's edge group have different tax
389	years, the tax year of a majority of the members of the group is
390	the tax year of the group. If the tax years of a majority of the
391	members of a group do not correspond, the tax year of the member
392	that must file the return for the group is the tax year of the
393	group.
394	(c)1.  A member of a water's edge group having a tax year
395	that does not correspond to the tax year of the group shall
396	determine its income for inclusion on the tax return for the
397	group. The member shall use:
398	a.  The precise amount of taxable income received during
399	the months corresponding to the tax year of the group, if the
400	precise amount can be readily determined from the member's books
401	and records.
402	b.  The taxable income of the member converted to conform
403	to the tax year of the group on the basis of the number of
404	months falling within the tax year of the group. For example, if
405	the tax year of the water's edge group is a calendar year and a
406	member operates on a fiscal year ending on April 30, the income
407	of the member shall include 2/3 of the income from the current
408	tax year and 1/3 of the income from the preceding tax year. This
409	method to determine the income of a member may be used only if
410	the return can be timely filed after the end of the tax year of
411	the group.
412	c.  The taxable income of the member during its tax year
413	that ends within the tax year of the group.
414	2.  The method of determining the income of a member of a
415	group whose tax year does not correspond to the tax year of the
416	group may not change as long as the member remains a member of
417	the group. The apportionment factors for the member must be
418	applied to the income of the member for the tax year of the
419	group.
420	(3)(a)  A water's edge group return shall include a
421	computational schedule that:
422	1.  Combines the federal income of all members of the
423	water's edge group;
424	2.  Shows all intercompany eliminations;
425	3.  Shows Florida additions and subtractions under s.
426	220.13; and
427	4.  Shows the calculation of the combined apportionment
428	factors.
429	(b)  A water's edge group shall also file a domestic
430	disclosure spreadsheet in addition to its return. The
431	spreadsheet shall fully disclose:
432	1.  The income reported to each state;
433	2.  The state tax liability;
434	3.  The method used for apportioning or allocating income
435	to the various states; and
436	4.  Other information required by the department by rule in
437	order to determine the proper amount of tax due to each state
438	and to identify the water's edge group.
439	(4)  The department may adopt rules and forms to administer
440	this section. The Legislature intends to grant the department
441	extensive authority to adopt rules and forms describing and
442	defining principles for determining the existence of a water's
443	edge business, definitions of common control, methods of
444	reporting, and related forms, principles, and other definitions.
445	Section 6.  Section 220.14, Florida Statutes, is amended to
446	read:
447	220.14  Exemption.--
448	(1)  In computing a taxpayer's liability for tax under this
449	code, there shall be exempt from the tax $5,000 of net income as
450	defined in s. 220.12 or such lesser amount as will, without
451	increasing the taxpayer's federal income tax liability, provide
452	the state with an amount under this code which is equal to the
453	maximum federal income tax credit which may be available from
454	time to time under federal law.
455	(2)  In the case of a taxable year for a period of less
456	than 12 months, the exemption allowed by this section shall be
457	prorated on the basis of the number of days in such year to 365,
458	or in the case of a leap year, to 366.
459	(3)  Only one exemption shall be allowed to taxpayers
460	filing a water's edge group a consolidated return under this
461	code.
462	(4)  Notwithstanding any other provision of this code, not
463	more than one exemption under this section may be allowed to the
464	Florida members of a controlled group of corporations, as
465	defined in s. 1563 of the Internal Revenue Code with respect to
466	taxable years ending on or after December 31, 1970, filing
467	separate returns under this code. The exemption described in
468	this section shall be divided equally among such Florida members
469	of the group, unless all of such members consent, at such time
470	and in such manner as the department shall by regulation
471	prescribe, to an apportionment plan providing for an unequal
472	allocation of such exemption.
473	Section 7.  Subsection (5) of section 220.15, Florida
474	Statutes, is amended to read:
475	220.15  Apportionment of adjusted federal income.--
476	(5)  The sales factor is a fraction the numerator of which
477	is the total sales of the taxpayer in this state during the
478	taxable year or period and the denominator of which is the total
479	sales of the taxpayer everywhere during the taxable year or
480	period.
481	(a)  As used in this subsection, the term "sales" means all
482	gross receipts of the taxpayer except interest, dividends,
483	rents, royalties, and gross receipts from the sale, exchange,
484	maturity, redemption, or other disposition of securities.
485	However:
486	1.  Rental income is included in the term if a significant
487	portion of the taxpayer's business consists of leasing or
488	renting real or tangible personal property; and
489	2.  Royalty income is included in the term if a significant
490	portion of the taxpayer's business consists of dealing in or
491	with the production, exploration, or development of minerals.
492	(b)1.  Sales of tangible personal property occur in this
493	state if the property is delivered or shipped to a purchaser
494	within this state, regardless of the f.o.b. point, other
495	conditions of the sale, or ultimate destination of the property,
496	unless shipment is made via a common or contract carrier.
497	However, for industries in SIC Industry Number 2037, if the
498	ultimate destination of the product is to a location outside
499	this state, regardless of the method of shipment or f.o.b.
500	point, the sale shall not be deemed to occur in this state.
501	2.  When citrus fruit is delivered by a cooperative for a
502	grower-member, by a grower-member to a cooperative, or by a
503	grower-participant to a Florida processor, the sales factor for
504	the growers for such citrus fruit delivered to such processor
505	shall be the same as the sales factor for the most recent
506	taxable year of that processor. That sales factor, expressed
507	only as a percentage and not in terms of the dollar volume of
508	sales, so as to protect the confidentiality of the sales of the
509	processor, shall be furnished on the request of such a grower
510	promptly after it has been determined for that taxable year.
511	3.  Reimbursement of expenses under an agency contract
512	between a cooperative, a grower-member of a cooperative, or a
513	grower and a processor is not a sale within this state.
514	(c)  Sales of a financial organization, including, but not
515	limited to, banking and savings institutions, investment
516	companies, real estate investment trusts, and brokerage
517	companies, occur in this state if derived from:
518	1.  Fees, commissions, or other compensation for financial
519	services rendered within this state;
520	2.  Gross profits from trading in stocks, bonds, or other
521	securities managed within this state;
522	3.  Interest received within this state, other than
523	interest from loans secured by mortgages, deeds of trust, or
524	other liens upon real or tangible personal property located
525	without this state, and dividends received within this state;
526	4.  Interest charged to customers at places of business
527	maintained within this state for carrying debit balances of
528	margin accounts, without deduction of any costs incurred in
529	carrying such accounts;
530	5.  Interest, fees, commissions, or other charges or gains
531	from loans secured by mortgages, deeds of trust, or other liens
532	upon real or tangible personal property located in this state or
533	from installment sale agreements originally executed by a
534	taxpayer or the taxpayer's agent to sell real or tangible
535	personal property located in this state;
536	6.  Rents from real or tangible personal property located
537	in this state; or
538	7.  Any other gross income, including other interest,
539	resulting from the operation as a financial organization within
540	this state.
541
542	In computing the amounts under this paragraph, any amount
543	received by a member of an affiliated group (determined under s.
544	1504(a) of the Internal Revenue Code, but without reference to
545	whether any such corporation is an "includable corporation"
546	under s. 1504(b) of the Internal Revenue Code) from another
547	member of such group shall be included only to the extent such
548	amount exceeds expenses of the recipient directly related
549	thereto.
550	Section 8.  Subsection (1) of section 220.183, Florida
551	Statutes, is amended to read:
552	220.183  Community contribution tax credit.--
553	(1)  AUTHORIZATION TO GRANT COMMUNITY CONTRIBUTION TAX
554	CREDITS; LIMITATIONS ON INDIVIDUAL CREDITS AND PROGRAM
555	SPENDING.--
556	(a)  There shall be allowed a credit of 50 percent of a
557	community contribution against any tax due for a taxable year
558	under this chapter.
559	(b)  No business firm shall receive more than $200,000 in
560	annual tax credits for all approved community contributions made
561	in any one year.
562	(c)  The total amount of tax credit which may be granted
563	for all programs approved under this section, s. 212.08(5)(p),
564	and s. 624.5105 is $10.5 million annually for projects that
565	provide homeownership opportunities for low-income or very-low-
566	income households as defined in s. 420.9071(19) and (28) and
567	$3.5 million annually for all other projects.
568	(d)  All proposals for the granting of the tax credit shall
569	require the prior approval of the Office of Tourism, Trade, and
570	Economic Development.
571	(e)  If the credit granted pursuant to this section is not
572	fully used in any one year because of insufficient tax liability
573	on the part of the business firm, the unused amount may be
574	carried forward for a period not to exceed 5 years. The
575	carryover credit may be used in a subsequent year when the tax
576	imposed by this chapter for such year exceeds the credit for
577	such year under this section after applying the other credits
578	and unused credit carryovers in the order provided in s.
579	220.02(8).
580	(f)  A taxpayer who files a Florida consolidated return as
581	a member of an affiliated group pursuant to s. 220.131(1) may be
582	allowed the credit on a consolidated return basis.
583	(f)(g)  A taxpayer who is eligible to receive the credit
584	provided for in s. 624.5105 is not eligible to receive the
585	credit provided by this section.
586	(g)(h)  Notwithstanding paragraph (c), and for the 2008-
587	2009 fiscal year only, the total amount of tax credit which may
588	be granted for all programs approved under this section, s.
589	212.08(5)(p), and s. 624.5105 is $13 million annually for
590	projects that provide homeownership opportunities for low-income
591	or very-low-income households as defined in s. 420.9071(19) and
592	(28) and $3.5 million annually for all other projects. This
593	paragraph expires June 30, 2009.
594	Section 9.  Subsection (1) of section 220.1845, Florida
595	Statutes, is amended to read:
596	220.1845  Contaminated site rehabilitation tax credit.--
597	(1)  AUTHORIZATION FOR TAX CREDIT; LIMITATIONS.--
598	(a)  A credit in the amount of 50 percent of the costs of
599	voluntary cleanup activity that is integral to site
600	rehabilitation at the following sites is available against any
601	tax due for a taxable year under this chapter:
602	1.  A drycleaning-solvent-contaminated site eligible for
603	state-funded site rehabilitation under s. 376.3078(3);
604	2.  A drycleaning-solvent-contaminated site at which site
605	rehabilitation is undertaken by the real property owner pursuant
606	to s. 376.3078(11), if the real property owner is not also, and
607	has never been, the owner or operator of the drycleaning
608	facility where the contamination exists; or
609	3.  A brownfield site in a designated brownfield area under
610	s. 376.80.
611	(b)  A tax credit applicant, or multiple tax credit
612	applicants working jointly to clean up a single site, may not be
613	granted more than $500,000 per year in tax credits for each site
614	voluntarily rehabilitated. Multiple tax credit applicants shall
615	be granted tax credits in the same proportion as their
616	contribution to payment of cleanup costs. Subject to the same
617	conditions and limitations as provided in this section, a
618	municipality, county, or other tax credit applicant which
619	voluntarily rehabilitates a site may receive not more than
620	$500,000 per year in tax credits which it can subsequently
621	transfer subject to the provisions in paragraph (f) (g).
622	(c)  If the credit granted under this section is not fully
623	used in any one year because of insufficient tax liability on
624	the part of the corporation, the unused amount may be carried
625	forward for up to 5 years. The carryover credit may be used in a
626	subsequent year if the tax imposed by this chapter for that year
627	exceeds the credit for which the corporation is eligible in that
628	year after applying the other credits and unused carryovers in
629	the order provided by s. 220.02(8). If during the 5-year period
630	the credit is transferred, in whole or in part, pursuant to
631	paragraph (g), each transferee has 5 years after the date of
632	transfer to use its credit.
633	(d)  A taxpayer that files a consolidated return in this
634	state as a member of an affiliated group under s. 220.131(1) may
635	be allowed the credit on a consolidated return basis up to the
636	amount of tax imposed upon the consolidated group.
637	(d)(e)  A tax credit applicant that receives state-funded
638	site rehabilitation under s. 376.3078(3) for rehabilitation of a
639	drycleaning-solvent-contaminated site is ineligible to receive
640	credit under this section for costs incurred by the tax credit
641	applicant in conjunction with the rehabilitation of that site
642	during the same time period that state-administered site
643	rehabilitation was underway.
644	(e)(f)  The total amount of the tax credits which may be
645	granted under this section is $2 million annually.
646	(f)(g)1.  Tax credits that may be available under this
647	section to an entity eligible under s. 376.30781 may be
648	transferred after a merger or acquisition to the surviving or
649	acquiring entity and used in the same manner and with the same
650	limitations.
651	2.  The entity or its surviving or acquiring entity as
652	described in subparagraph 1., may transfer any unused credit in
653	whole or in units of at least 25 percent of the remaining
654	credit. The entity acquiring such credit may use it in the same
655	manner and with the same limitation as described in this
656	section. Such transferred credits may not be transferred again
657	although they may succeed to a surviving or acquiring entity
658	subject to the same conditions and limitations as described in
659	this section.
660	3.  If the credit is reduced due to a determination by the
661	Department of Environmental Protection or an examination or
662	audit by the Department of Revenue, the tax deficiency shall be
663	recovered from the first entity, or the surviving or acquiring
664	entity that claimed the credit up to the amount of credit taken.
665	Any subsequent deficiencies shall be assessed against the entity
666	acquiring and claiming the credit, or in the case of multiple
667	succeeding entities in the order of credit succession.
668	(g)(h)  In order to encourage completion of site
669	rehabilitation at contaminated sites being voluntarily cleaned
670	up and eligible for a tax credit under this section, the tax
671	credit applicant may claim an additional 25 percent of the total
672	cleanup costs, not to exceed $500,000, in the final year of
673	cleanup as evidenced by the Department of Environmental
674	Protection issuing a "No Further Action" order for that site.
675	(h)(i)  In order to encourage the construction of housing
676	that meets the definition of affordable provided in s. 420.0004,
677	an applicant for the tax credit may claim an additional 25
678	percent of the total site rehabilitation costs that are eligible
679	for tax credits under this section, not to exceed $500,000. In
680	order to receive this additional tax credit, the applicant must
681	provide a certification letter from the Florida Housing Finance
682	Corporation, the local housing authority, or other governmental
683	agency that is a party to the use agreement indicating that the
684	construction on the brownfield site has received a certificate
685	of occupancy and the brownfield site has a properly recorded
686	instrument that limits the use of the property to housing that
687	meets the definition of affordable provided in s. 420.0004.
688	(i)(j)  In order to encourage the redevelopment of a
689	brownfield site, as defined in the brownfield site
690	rehabilitation agreement, that is hindered by the presence of
691	solid waste, as defined in s. 403.703, a tax credit applicant,
692	or multiple tax credit applicants working jointly to clean up a
693	single brownfield site, may also claim costs required to address
694	solid waste removal as defined in this paragraph in accordance
695	with rules of the Department of Environmental Protection.
696	Multiple tax credit applicants shall be granted tax credits in
697	the same proportion as each applicant's contribution to payment
698	of solid waste removal costs. These costs are eligible for a tax
699	credit provided the applicant submits an affidavit stating that,
700	after consultation with appropriate local government officials
701	and the Department of Environmental Protection, to the best of
702	the applicant's knowledge according to such consultation and
703	available historical records, the brownfield site was never
704	operated as a permitted solid waste disposal area or was never
705	operated for monetary compensation and the applicant submits all
706	other documentation and certifications required by this section.
707	Under this section, wherever reference is made to "site
708	rehabilitation," the Department of Environmental Protection
709	shall instead consider whether or not the costs claimed are for
710	solid waste removal. Tax credit applications claiming costs
711	pursuant to this paragraph shall not be subject to the calendar-
712	year limitation and January 31 annual application deadline, and
713	the Department of Environmental Protection shall accept a one-
714	time application filed subsequent to the completion by the tax
715	credit applicant of the applicable requirements listed in this
716	section. A tax credit applicant may claim 50 percent of the cost
717	for solid waste removal, not to exceed $500,000, after the
718	applicant has determined solid waste removal is completed for
719	the brownfield site. A solid waste removal tax credit
720	application may be filed only once per brownfield site. For the
721	purposes of this section, the term:
722	1.  "Solid waste disposal area" means a landfill, dump, or
723	other area where solid waste has been disposed of.
724	2.  "Monetary compensation" means the fees that were
725	charged or the assessments that were levied for the disposal of
726	solid waste at a solid waste disposal area.
727	3.  "Solid waste removal" means removal of solid waste from
728	the land surface or excavation of solid waste from below the
729	land surface and removal of the solid waste from the brownfield
730	site. The term also includes:
731	a.  Transportation of solid waste to a licensed or exempt
732	solid waste management facility or to a temporary storage area.
733	b.  Sorting or screening of solid waste prior to removal
734	from the site.
735	c.  Deposition of solid waste at a permitted or exempt
736	solid waste management facility, whether the solid waste is
737	disposed of or recycled.
738	(j)(k)  In order to encourage the construction and
739	operation of a new health care facility as defined in s. 408.032
740	or s. 408.07, or a health care provider as defined in s. 408.07
741	or s. 408.7056, on a brownfield site, an applicant for a tax
742	credit may claim an additional 25 percent of the total site
743	rehabilitation costs, not to exceed $500,000, if the applicant
744	meets the requirements of this paragraph. In order to receive
745	this additional tax credit, the applicant must provide
746	documentation indicating that the construction of the health
747	care facility or health care provider by the applicant on the
748	brownfield site has received a certificate of occupancy or a
749	license or certificate has been issued for the operation of the
750	health care facility or health care provider.
751	Section 10.  Subsection (5) of section 220.187, Florida
752	Statutes, is amended to read:
753	220.187  Credits for contributions to nonprofit
754	scholarship-funding organizations.--
755	(5)  AUTHORIZATION TO GRANT SCHOLARSHIP FUNDING TAX
756	CREDITS; LIMITATIONS ON INDIVIDUAL AND TOTAL CREDITS.--
757	(a)  There is allowed a credit of 100 percent of an
758	eligible contribution against any tax due for a taxable year
759	under this chapter. However, such a credit may not exceed 75
760	percent of the tax due under this chapter for the taxable year,
761	after the application of any other allowable credits by the
762	taxpayer. The credit granted by this section shall be reduced by
763	the difference between the amount of federal corporate income
764	tax taking into account the credit granted by this section and
765	the amount of federal corporate income tax without application
766	of the credit granted by this section.
767	(b)  The total amount of tax credits and carryforward of
768	tax credits which may be granted each state fiscal year under
769	this section is:
770	1.  Through June 30, 2008, $88 million.
771	2.  Beginning July 1, 2008, and thereafter, $118 million.
772	(c)  A taxpayer who files a Florida consolidated return as
773	a member of an affiliated group pursuant to s. 220.131(1) may be
774	allowed the credit on a consolidated return basis; however, the
775	total credit taken by the affiliated group is subject to the
776	limitation established under paragraph (a).
777	(c)(d)  Effective for tax years beginning January 1, 2006,
778	a taxpayer may rescind all or part of its allocated tax credit
779	under this section. The amount rescinded shall become available
780	for purposes of the cap for that state fiscal year under this
781	section to an eligible taxpayer as approved by the department if
782	the taxpayer receives notice from the department that the
783	rescindment has been accepted by the department and the taxpayer
784	has not previously rescinded any or all of its tax credit
785	allocation under this section more than once in the previous 3
786	tax years. Any amount rescinded under this paragraph shall
787	become available to an eligible taxpayer on a first-come, first-
788	served basis based on tax credit applications received after the
789	date the rescindment is accepted by the department.
790	Section 11.  Subsection (3) of section 220.191, Florida
791	Statutes, is amended to read:
792	220.191  Capital investment tax credit.--
793	(3)(a)  Notwithstanding subsection (2), an annual credit
794	against the tax imposed by this chapter shall be granted to a
795	qualifying business which establishes a qualifying project
796	pursuant to subparagraph (1)(h)3., in an amount equal to the
797	lesser of $15 million or 5 percent of the eligible capital costs
798	made in connection with a qualifying project, for a period not
799	to exceed 20 years beginning with the commencement of operations
800	of the project. The tax credit shall be granted against the
801	corporate income tax liability of the qualifying business and as
802	further provided in paragraph (c). The total tax credit provided
803	pursuant to this subsection shall be equal to no more than 100
804	percent of the eligible capital costs of the qualifying project.
805	(b)  If the credit granted under this subsection is not
806	fully used in any one year because of insufficient tax liability
807	on the part of the qualifying business, the unused amount may be
808	carried forward for a period not to exceed 20 years after the
809	commencement of operations of the project. The carryover credit
810	may be used in a subsequent year when the tax imposed by this
811	chapter for that year exceeds the credit for which the
812	qualifying business is eligible in that year under this
813	subsection after applying the other credits and unused
814	carryovers in the order provided by s. 220.02(8).
815	(c)  The credit granted under this subsection may be used
816	in whole or in part by the qualifying business or any
817	corporation that is either a member of that qualifying
818	business's affiliated group of corporations, is a related entity
819	taxable as a cooperative under subchapter T of the Internal
820	Revenue Code, or, if the qualifying business is an entity
821	taxable as a cooperative under subchapter T of the Internal
822	Revenue Code, is related to the qualifying business. Any entity
823	related to the qualifying business may continue to file as a
824	member of a Florida-nexus consolidated group pursuant to a prior
825	election made under s. 220.131(1), Florida Statutes (1985), even
826	if the parent of the group changes due to a direct or indirect
827	acquisition of the former common parent of the group. Any credit
828	can be used by any of the affiliated companies or related
829	entities referenced in this paragraph to the same extent as it
830	could have been used by the qualifying business. However, any
831	such use shall not operate to increase the amount of the credit
832	or extend the period within which the credit must be used.
833	Section 12.  Subsection (2) of section 220.192, Florida
834	Statutes, is amended to read:
835	220.192  Renewable energy technologies investment tax
836	credit.--
837	(2)  TAX CREDIT.--For tax years beginning on or after
838	January 1, 2007, a credit against the tax imposed by this
839	chapter shall be granted in an amount equal to the eligible
840	costs. Credits may be used in tax years beginning January 1,
841	2007, and ending December 31, 2010, after which the credit shall
842	expire. If the credit is not fully used in any one tax year
843	because of insufficient tax liability on the part of the
844	corporation, the unused amount may be carried forward and used
845	in tax years beginning January 1, 2007, and ending December 31,
846	2012, after which the credit carryover expires and may not be
847	used. A taxpayer that files a consolidated return in this state
848	as a member of an affiliated group under s. 220.131(1) may be
849	allowed the credit on a consolidated return basis up to the
850	amount of tax imposed upon the consolidated group. Any eligible
851	cost for which a credit is claimed and which is deducted or
852	otherwise reduces federal taxable income shall be added back in
853	computing adjusted federal income under s. 220.13.
854	Section 13.  Subsection (3) of section 220.193, Florida
855	Statutes, is amended to read:
856	220.193  Florida renewable energy production credit.--
857	(3)  An annual credit against the tax imposed by this
858	section shall be allowed to a taxpayer, based on the taxpayer's
859	production and sale of electricity from a new or expanded
860	Florida renewable energy facility. For a new facility, the
861	credit shall be based on the taxpayer's sale of the facility's
862	entire electrical production. For an expanded facility, the
863	credit shall be based on the increases in the facility's
864	electrical production that are achieved after May 1, 2006.
865	(a)  The credit shall be $0.01 for each kilowatt-hour of
866	electricity produced and sold by the taxpayer to an unrelated
867	party during a given tax year.
868	(b)  The credit may be claimed for electricity produced and
869	sold on or after January 1, 2007. Beginning in 2008 and
870	continuing until 2011, each taxpayer claiming a credit under
871	this section must first apply to the department by February 1 of
872	each year for an allocation of available credit. The department,
873	in consultation with the commission, shall develop an
874	application form. The application form shall, at a minimum,
875	require a sworn affidavit from each taxpayer certifying the
876	increase in production and sales that form the basis of the
877	application and certifying that all information contained in the
878	application is true and correct.
879	(c)  If the amount of credits applied for each year exceeds
880	$5 million, the department shall award to each applicant a
881	prorated amount based on each applicant's increased production
882	and sales and the increased production and sales of all
883	applicants.
884	(d)  If the credit granted pursuant to this section is not
885	fully used in one year because of insufficient tax liability on
886	the part of the taxpayer, the unused amount may be carried
887	forward for a period not to exceed 5 years. The carryover credit
888	may be used in a subsequent year when the tax imposed by this
889	chapter for such year exceeds the credit for such year, after
890	applying the other credits and unused credit carryovers in the
891	order provided in s. 220.02(8).
892	(e)  A taxpayer that files a consolidated return in this
893	state as a member of an affiliated group under s. 220.131(1) may
894	be allowed the credit on a consolidated return basis up to the
895	amount of tax imposed upon the consolidated group.
896	(e)(f)1.  Tax credits that may be available under this
897	section to an entity eligible under this section may be
898	transferred after a merger or acquisition to the surviving or
899	acquiring entity and used in the same manner with the same
900	limitations.
901	2.  The entity or its surviving or acquiring entity as
902	described in subparagraph 1. may transfer any unused credit in
903	whole or in units of no less than 25 percent of the remaining
904	credit. The entity acquiring such credit may use it in the same
905	manner and with the same limitations under this section. Such
906	transferred credits may not be transferred again although they
907	may succeed to a surviving or acquiring entity subject to the
908	same conditions and limitations as described in this section.
909	3.  In the event the credit provided for under this section
910	is reduced as a result of an examination or audit by the
911	department, such tax deficiency shall be recovered from the
912	first entity or the surviving or acquiring entity to have
913	claimed such credit up to the amount of credit taken. Any
914	subsequent deficiencies shall be assessed against any entity
915	acquiring and claiming such credit, or in the case of multiple
916	succeeding entities in the order of credit succession.
917	(f)(g)  Notwithstanding any other provision of this
918	section, credits for the production and sale of electricity from
919	a new or expanded Florida renewable energy facility may be
920	earned between January 1, 2007, and June 30, 2010. The combined
921	total amount of tax credits which may be granted for all
922	taxpayers under this section is limited to $5 million per state
923	fiscal year.
924	(g)(h)  A taxpayer claiming a credit under this section
925	shall be required to add back to net income that portion of its
926	business deductions claimed on its federal return paid or
927	incurred for the taxable year which is equal to the amount of
928	the credit allowable for the taxable year under this section.
929	(h)(i)  A taxpayer claiming credit under this section may
930	not claim a credit under s. 220.192. A taxpayer claiming credit
931	under s. 220.192 may not claim a credit under this section.
932	(i)(j)  When an entity treated as a partnership or a
933	disregarded entity under this chapter produces and sells
934	electricity from a new or expanded renewable energy facility,
935	the credit earned by such entity shall pass through in the same
936	manner as items of income and expense pass through for federal
937	income tax purposes. When an entity applies for the credit and
938	the entity has received the credit by a pass-through, the
939	application must identify the taxpayer that passed the credit
940	through, all taxpayers that received the credit, and the
941	percentage of the credit that passes through to each recipient
942	and must provide other information that the department requires.
943	(j)(k)  A taxpayer's use of the credit granted pursuant to
944	this section does not reduce the amount of any credit available
945	to such taxpayer under s. 220.186.
946	Section 14.  Section 220.51, Florida Statutes, is amended
947	to read:
948	220.51  Promulgation of rules and regulations.--In
949	accordance with the Administrative Procedure Act, chapter 120,
950	the department is authorized to make, promulgate, and enforce
951	such reasonable rules and regulations, and to prescribe such
952	forms relating to the administration and enforcement of the
953	provisions of this code, as it may deem appropriate, including:
954	(1)  Rules for initial implementation of this code and for
955	taxpayers' transitional taxable years commencing before and
956	ending after January 1, 1972.;
957	(2)  Rules or regulations to clarify whether certain
958	groups, organizations, or associations formed under the laws of
959	this state or any other state, country, or jurisdiction shall be
960	deemed "taxpayers" for the purposes of this code, in accordance
961	with the legislative declarations of intent in s. 220.02; and
962	(3)  Regulations relating to consolidated reporting for
963	affiliated groups of corporations, in order to provide for an
964	equitable and just administration of this code with respect to
965	multicorporate taxpayers.
966	Section 15.  Section 220.64, Florida Statutes, is amended
967	to read:
968	220.64  Other provisions applicable to franchise tax.--To
969	the extent that they are not manifestly incompatible with the
970	provisions of this part, parts I, III, IV, V, VI, VIII, IX, and
971	X of this code and ss. 220.12, 220.13, 220.136, 220.1363,
972	220.15, and 220.16 ss. 220.12, 220.13, 220.15, and 220.16 apply
973	to the franchise tax imposed by this part. Under rules
974	prescribed by the department in s. 220.131, a consolidated
975	return may be filed by any affiliated group of corporations
976	composed of one or more banks or savings associations, its or
977	their Florida parent corporation, and any nonbank or nonsavings
978	subsidiaries of such parent corporation.
979	Section 16.  Transitional rules.--
980	(1)  For the first tax year beginning on or after January
981	1, 2010, a taxpayer that filed a Florida corporate income tax
982	return in the preceding tax year and is a member of a water's
983	edge group shall compute its income together with all members of
984	its water's edge group and file a combined Florida corporate
985	income tax return with all members of its water's edge group.
986	(2)  An affiliated group of corporations that filed a
987	Florida consolidated corporate income tax return pursuant to an
988	election provided in s. 220.131, Florida Statutes, as it existed
989	prior to the effective date of this act, shall cease filing a
990	Florida consolidated return for tax years beginning on or after
991	January 1, 2010, and shall file a combined Florida corporate
992	income tax return with all members of its water's edge group.
993	(3)  An affiliated group of corporations that filed a
994	Florida consolidated corporate income tax return pursuant to the
995	election in s. 220.131(1), Florida Statutes (1985), which
996	allowed the affiliated group to make an election within 90 days
997	after December 20, 1984, or upon filing the taxpayer's first
998	return after December 20, 1984, whichever is later, shall cease
999	filing a Florida consolidated corporate income tax return using
1000	that method for tax years beginning on or after January 1, 2010,
1001	and shall file a combined Florida corporate income tax return
1002	with all members of its water's edge group.
1003	(4)  Taxpayers that are not members of a water's edge group
1004	remain subject to chapter 220, Florida Statutes, and shall file
1005	a separate Florida corporate income tax return as previously
1006	required.
1007	(5)  For the tax years beginning on or after January 1,
1008	2010, a tax return for a member of a water's edge group must be
1009	a combined Florida corporate income tax return that includes tax
1010	information for all members of the water's edge group. The tax
1011	return must be filed by a member that has a nexus with Florida.
1012	Section 17.  Of the funds recaptured pursuant to this act,
1013	the sum of $50 million is appropriated from the General Revenue
1014	Fund to the State University System for workforce education, to
1015	be allocated by the Board of Governors; the sum of $50 million
1016	is appropriated from the General Revenue Fund to community
1017	colleges for workforce education, to be allocated by the State
1018	Board of Education; and the remainder of such funds, as
1019	determined by the Revenue Estimating Conference, shall be
1020	appropriated from the General Revenue Fund and allocated as
1021	provided in the General Appropriations Act to the various school
1022	districts to reduce the required local effort millage.
1023	Section 18.  Subsections (9) and (10) of section 376.30781,
1024	Florida Statutes, are amended to read:
1025	376.30781  Tax credits for rehabilitation of drycleaning-
1026	solvent-contaminated sites and brownfield sites in designated
1027	brownfield areas; application process; rulemaking authority;
1028	revocation authority.--
1029	(9)  On or before May 1, the Department of Environmental
1030	Protection shall inform each tax credit applicant that is
1031	subject to the January 31 annual application deadline of the
1032	applicant's eligibility status and the amount of any tax credit
1033	due. The department shall provide each eligible tax credit
1034	applicant with a tax credit certificate that must be submitted
1035	with its tax return to the Department of Revenue to claim the
1036	tax credit or be transferred pursuant to s. 220.1845(1)(f)(g).
1037	The May 1 deadline for annual site rehabilitation tax credit
1038	certificate awards shall not apply to any tax credit application
1039	for which the department has issued a notice of deficiency
1040	pursuant to subsection (8). The department shall respond within
1041	90 days after receiving a response from the tax credit applicant
1042	to such a notice of deficiency. Credits may not result in the
1043	payment of refunds if total credits exceed the amount of tax
1044	owed.
1045	(10)  For solid waste removal, new health care facility or
1046	health care provider, and affordable housing tax credit
1047	applications, the Department of Environmental Protection shall
1048	inform the applicant of the department's determination within 90
1049	days after the application is deemed complete. Each eligible tax
1050	credit applicant shall be informed of the amount of its tax
1051	credit and provided with a tax credit certificate that must be
1052	submitted with its tax return to the Department of Revenue to
1053	claim the tax credit or be transferred pursuant to s.
1054	220.1845(1)(f)(g). Credits may not result in the payment of
1055	refunds if total credits exceed the amount of tax owed.
1056	Section 19.  Section 220.131, Florida Statutes, is
1057	repealed.
1058	Section 20.  This act shall take effect July 1, 2009.

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