Florida Tax Legislation Provides a Hodgepodge of Tax Breaks Totaling Over $400 Million
Florida House Bill 33, which was enacted just a few weeks ago, provides a number of tax cuts and incentives. The bill’s key provisions include:
- A $60,000 cap on the amount of sales tax paid on repairs of a vessel, which would apply to a repair costing in excess of $1 million;
- An expansion of the number of sales tax exemptions for agricultural equipment, including aquacultural products and feed for aquacultural products, storage, equipment, irrigation equipment, trailers, and plant stakes;
- Changed the corporate income tax credit program from a first-come-first-served basis to a prorated credit and limited the target industries allowed to claim the credit;
- An additional $14 million for the corporate income tax research and development tax credit program in 2016;
- A sales tax exemption on admissions for gun club memberships;
- An extension of the community contribution tax credit programs to June 30, 2018, and a $3 million increase in the tax credit cap for housing projects;
- An additional $16.6 million to be spent in fiscal year 2015-2016 on the brownfields tax credit program;
- A 1.73% Communications Services Tax reduction, which went into effect July 1; and
- A 10-day back-to-school sales tax holiday from August 7 through August 16.