Florida Senate - 2013 CS for SB 1598 By the Committee on Military and Veterans Affairs, Space, and Domestic Security; and Senator Soto 583-02831-13 20131598c1 1 A bill to be entitled 2 An act relating to corporate income tax; creating s. 3 220.197, F.S.; providing a short title; establishing a 4 corporate income tax credit for the hiring of 5 veterans; providing eligibility requirements; 6 establishing an additional corporate income tax credit 7 for the hiring of disabled veterans; providing 8 eligibility requirements; authorizing the Department 9 of Revenue to adopt rules; authorizing the Department 10 of Revenue to determine guidelines for qualification 11 of the tax credit; providing for expiration of the tax 12 credit; amending s. 220.02, F.S.; revising the order 13 in which credits against the corporate income tax or 14 franchise tax may be taken to include the hiring of 15 veterans; amending s. 220.13, F.S.; redefining the 16 term “adjusted federal income” to include certain tax 17 credits taken relating to the hiring of veterans; 18 providing an effective date. 19 20 Be It Enacted by the Legislature of the State of Florida: 21 22 Section 1. Section 220.197, Florida Statutes, is created to 23 read: 24 220.197 Corporate income tax credits for employment of 25 veterans.— 26 (1) This section may be cited as the “Florida Veterans 27 Employment Act.” 28 (2) A business qualifies for a one-time corporate income 29 tax credit against the tax imposed by this chapter in the amount 30 of $5,000 per individual for hiring a veteran, as defined in s. 31 1.01, after the business has paid $5,000 in gross salary to the 32 veteran. 33 (3) A qualifying business qualifies for an additional one 34 time corporate income tax credit in the amount of $5,000 per 35 individual for hiring a veteran, as defined in s. 1.01, after 36 the business has paid an additional $5,000 in gross salary to a 37 veteran who: 38 (a) Has established the present existence of a service 39 connected disability, as defined in 38 U.S.C. s. 101(16), that 40 is compensable under public laws administered by the United 41 States Department of Veterans Affairs; or 42 (b) Is receiving disability retirement benefits from the 43 United States Department of Defense. 44 (4) The Department of Revenue may adopt rules governing the 45 manner and form of applications for the tax credit. The 46 department may establish guidelines for making an affirmative 47 showing of qualification for the tax credit under this section. 48 (5) This section expires June 30, 2018. However, a 49 qualifying business that is awarded a credit under this section 50 may carry forward any unused credit for a period not to exceed 2 51 years. 52 Section 2. Subsection (8) of section 220.02, Florida 53 Statutes, is amended to read: 54 220.02 Legislative intent.— 55 (8) It is the intent of the Legislature that credits 56 against either the corporate income tax or the franchise tax be 57 applied in the following order: those enumerated in s. 631.828, 58 those enumerated in s. 220.191, those enumerated in s. 220.181, 59 those enumerated in s. 220.183, those enumerated in s. 220.182, 60 those enumerated in s. 220.1895, those enumerated in s. 220.195, 61 those enumerated in s. 220.184, those enumerated in s. 220.186, 62 those enumerated in s. 220.1845, those enumerated in s. 220.19, 63 those enumerated in s. 220.185, those enumerated in s. 220.1875, 64 those enumerated in s. 220.192, those enumerated in s. 220.193, 65 those enumerated in s. 288.9916, those enumerated in s. 66 220.1899, those enumerated in s. 220.1896, those enumerated in 67 s. 220.194,
andthose enumerated in s. 220.196, and those 68 enumerated in s. 220.197. 69 Section 3. Paragraph (a) of subsection (1) of section 70 220.13, Florida Statutes, is amended to read: 71 220.13 “Adjusted federal income” defined.— 72 (1) The term “adjusted federal income” means an amount 73 equal to the taxpayer’s taxable income as defined in subsection 74 (2), or such taxable income of more than one taxpayer as 75 provided in s. 220.131, for the taxable year, adjusted as 76 follows: 77 (a) Additions.—There shall be added to such taxable income: 78 1. The amount of any tax upon or measured by income, 79 excluding taxes based on gross receipts or revenues, paid or 80 accrued as a liability to the District of Columbia or any state 81 of the United States which is deductible from gross income in 82 the computation of taxable income for the taxable year. 83 2. The amount of interest which is excluded from taxable 84 income under s. 103(a) of the Internal Revenue Code or any other 85 federal law, less the associated expenses disallowed in the 86 computation of taxable income under s. 265 of the Internal 87 Revenue Code or any other law, excluding 60 percent of any 88 amounts included in alternative minimum taxable income, as 89 defined in s. 55(b)(2) of the Internal Revenue Code, if the 90 taxpayer pays tax under s. 220.11(3). 91 3. In the case of a regulated investment company or real 92 estate investment trust, an amount equal to the excess of the 93 net long-term capital gain for the taxable year over the amount 94 of the capital gain dividends attributable to the taxable year. 95 4. That portion of the wages or salaries paid or incurred 96 for the taxable year which is equal to the amount of the credit 97 allowable for the taxable year under s. 220.181. This 98 subparagraph shall expire on the date specified in s. 290.016 99 for the expiration of the Florida Enterprise Zone Act. 100 5. That portion of the ad valorem school taxes paid or 101 incurred for the taxable year which is equal to the amount of 102 the credit allowable for the taxable year under s. 220.182. This 103 subparagraph shall expire on the date specified in s. 290.016 104 for the expiration of the Florida Enterprise Zone Act. 105 6. The amount taken as a credit under s. 220.195 which is 106 deductible from gross income in the computation of taxable 107 income for the taxable year. 108 7. That portion of assessments to fund a guaranty 109 association incurred for the taxable year which is equal to the 110 amount of the credit allowable for the taxable year. 111 8. In the case of a nonprofit corporation which holds a 112 pari-mutuel permit and which is exempt from federal income tax 113 as a farmers’ cooperative, an amount equal to the excess of the 114 gross income attributable to the pari-mutuel operations over the 115 attributable expenses for the taxable year. 116 9. The amount taken as a credit for the taxable year under 117 s. 220.1895. 118 10. Up to nine percent of the eligible basis of any 119 designated project which is equal to the credit allowable for 120 the taxable year under s. 220.185. 121 11. The amount taken as a credit for the taxable year under 122 s. 220.1875. The addition in this subparagraph is intended to 123 ensure that the same amount is not allowed for the tax purposes 124 of this state as both a deduction from income and a credit 125 against the tax. This addition is not intended to result in 126 adding the same expense back to income more than once. 127 12. The amount taken as a credit for the taxable year under 128 s. 220.192. 129 13. The amount taken as a credit for the taxable year under 130 s. 220.193. 131 14. Any portion of a qualified investment, as defined in s. 132 288.9913, which is claimed as a deduction by the taxpayer and 133 taken as a credit against income tax pursuant to s. 288.9916. 134 15. The costs to acquire a tax credit pursuant to s. 135 288.1254(5) that are deducted from or otherwise reduce federal 136 taxable income for the taxable year. 137 16. The amount taken as a credit for the taxable year 138 pursuant to s. 220.194. 139 17. The amount taken as a credit for the taxable year under 140 s. 220.196. The addition in this subparagraph is intended to 141 ensure that the same amount is not allowed for the tax purposes 142 of this state as both a deduction from income and a credit 143 against the tax. The addition is not intended to result in 144 adding the same expense back to income more than once. 145 18. The amount taken as a credit for the taxable year under 146 s. 220.197. 147 Section 4. This act shall take effect July 1, 2013.