Title: Employment of the Homeless

Summary: Specifies order for applying tax credit for employment of homeless; redefines term "adjusted federal income" to include adjustment for tax credit; provides definitions; provides tax credit for corporation hiring homeless person who resides in transitional, permanent supportive, or permanent housing facility; specifies information to be provided to DOR when applying for credit; provides for unused credit carryover; requires filing application with DOR by specified date annually; provides penalties for fraudulently claiming tax credit. etc.

Full Text:
An act relating to employment of the homeless; amending s. 220.02, F.S.; specifying the order for applying the tax credit for employment of the homeless; amending s. 220.13, F.S.; redefining the term "adjusted federal income" to include an adjustment for such tax credit; creating s. 220.194, F.S.; providing definitions; providing a tax credit for a corporation that hires a homeless person residing in a transitional, permanent supportive, or permanent housing facility; specifying the information that must be provided to the Department of Revenue when applying for the credit; providing for the carryover of unused credits; requiring that the application be filed with the department by a specified date each year; providing penalties for fraudulently claiming the tax credit; limiting the total amount of tax credits that may be granted per taxable year; authorizing the department to adopt rules; providing for the expiration of the tax credit; requiring that the department collect certain data; providing an effective date. 22 Be It Enacted by the Legislature of the State of Florida: 24 Section 1. Subsection (8) of section 220.02, Florida Statutes, is amended to read: 220.02 Legislative intent.-(8) It is the intent of the Legislature that credits against either the corporate income tax or the franchise tax be applied in the following order: those enumerated in s. 631.828, those enumerated in s. 220.191, those enumerated in s. 220.181, those enumerated in s. 220.183, those enumerated in s. 220.182, those enumerated in s. 220.1895, those enumerated in s. 221.02, those enumerated in s. 220.184, those enumerated in s. 220.186, those enumerated in s. 220.1845, those enumerated in s. 220.19, those enumerated in s. 220.185, those enumerated in s. 220.1875, those enumerated in s. 220.192, those enumerated in s. 220.193, those enumerated in s. 288.9916, those enumerated in s. 220.1899, and those enumerated in s. 220.1896,and those enumerated under s. 220.194.Section 2. Paragraph (a) of subsection (1) of section 220.13, Florida Statutes, is amended to read: 220.13 "Adjusted federal income" defined.-(1) The term "adjusted federal income" means an amount equal to the taxpayer's taxable income as defined in subsection (2), or such taxable income of more than one taxpayer as provided in s. 220.131, for the taxable year, adjusted as follows: (a) Additions.-There shall be added to such taxable income: 1. The amount of any tax upon or measured by income, excluding taxes based on gross receipts or revenues, paid or accrued as a liability to the District of Columbia or any state of the United States which is deductible from gross income in the computation of taxable income for the taxable year. 2. The amount of interest which is excluded from taxable income under s. 103(a) of the Internal Revenue Code or any other federal law, less the associated expenses disallowed in the computation of taxable income under s. of the Internal Revenue Code or any other law, excluding percent of any amounts included in alternative minimum taxable income, as defined in s. 55(b)(2) of the Internal Revenue Code, if the taxpayer pays tax under s. 220.11(3). 3. In the case of a regulated investment company or real estate investment trust, an amount equal to the excess of the net long-term capital gain for the taxable year over the amount of the capital gain dividends attributable to the taxable year. 4. That portion of the wages or salaries paid or incurred for the taxable year which is equal to the amount of the credit allowable for the taxable year under s. 220.181. This subparagraph shall expire on the date specified in s. 290.016 for the expiration of the Florida Enterprise Zone Act. 5. That portion of the ad valorem school taxes paid or incurred for the taxable year which is equal to the amount of the credit allowable for the taxable year under s. 220.182. This subparagraph shall expire on the date specified in s. 290.016 for the expiration of the Florida Enterprise Zone Act. 6. The amount of emergency excise tax paid or accrued as a liability to this state under chapter which tax is deductible from gross income in the computation of taxable income for the taxable year. 7. That portion of assessments to fund a guaranty association incurred for the taxable year which is equal to the amount of the credit allowable for the taxable year. 8. In the case of a nonprofit corporation which holds a pari-mutuel permit and which is exempt from federal income tax as a farmers' cooperative, an amount equal to the excess of the gross income attributable to the pari-mutuel operations over the attributable expenses for the taxable year. 9. The amount taken as a credit for the taxable year under s. 220.1895. 10. Up to nine percent of the eligible basis of any designated project which is equal to the credit allowable for the taxable year under s. 220.185. 11. The amount taken as a credit for the taxable year under s. 220.1875. The addition in this subparagraph is intended to ensure that the same amount is not allowed for the tax purposes of this state as both a deduction from income and a credit against the tax. This addition is not intended to result in adding the same expense back to income more than once. 12. The amount taken as a credit for the taxable year under s. 220.192. 13. The amount taken as a credit for the taxable year under s. 220.193. 14. Any portion of a qualified investment, as defined in s. 288.9913, which is claimed as a deduction by the taxpayer and taken as a credit against income tax pursuant to s. 288.9916. 15. The costs to acquire a tax credit pursuant to s. 288.1254(5) that are deducted from or otherwise reduce federal taxable income for the taxable year. 16. The amount taken as a credit for the taxable year under s. 220.194. Section 3. Section 220.194, Florida Statutes, is created to read: 220.194 Tax credit for employment of the homeless.-(1) As used in this section, the term: (a) "Continuously employed" means that an employee has worked for the corporation for at least hours during each 30-day period and has been employed at least months following the date that the employee began working for the corporation on or after July 1, 2011. (b) "Homeless person" means an individual whose primary nighttime residence is a transitional, permanent supportive, or permanent housing facility. (c) "Transitional, permanent supportive, or permanent housing facility" means a facility located in the state which is: 1. A supervised, publicly or privately operated shelter that is designed to provide temporary living accommodations, including welfare hotels, congregate shelters, and transitional housing for the mentally ill, and that receives federal homeless assistance funding distributed by the United States Department of Housing and Urban Development. 2. An emergency shelter that receives county homeless assistance funding. (2) For taxable years beginning on or after January 1, 2012, a tax credit of $1,000 shall be allowed to a corporation against any corporate income tax due under this chapter if the corporation hires a homeless person who resides in an emergency shelter, or a transitional, permanent supportive, or permanent housing facility at the time he or she begins employment and who remains continuously employed by the corporation for at least months. The tax credit may be taken only once per new employee. (3) Upon applying for the credit, the corporation must provide the department with the following information: (a) For each new employee for whom the credit is claimed: 1. The employee's name, social security number, and current address or, if the employee is no longer employed, the last known address of the person while employed by the corporation; 2. The address of the transitional, permanent supportive, or permanent housing facility where the employee was residing at the time he or she began employment and documentation from the facility which demonstrates that the employee qualified for and was residing at the facility at the time he or she began employment; and 3. The salary or hourly wages paid to the new employee during the taxable year. (b) The total salary or hourly wages paid during the taxable year to each employee who is still employed by the corporation and for whom the tax credit was claimed in a prior taxable year. (4) If the credit is not fully used in any one year, the unused amount may be carried forward for up to years. The carryover credit may be used in a subsequent year if the tax imposed by this chapter exceeds the credit for the year after applying any other credits and unused credit carryovers in the order provided in s. 220.02(8). (5) The corporation applying for the credit must affirmatively demonstrate to the satisfaction of the department that it meets the requirements in this section. An application must be filed with the department by February of each year for an allocation of the previous year's credit. The application must show that all of the requirements in this section were met during the preceding calendar year. (6) Any person who fraudulently claims the credit is liable for payment of the credit, plus a mandatory penalty in the amount of percent of the credit and interest at the rate provided in s. 220.807, and commits a felony of the third degree, punishable as provided in s. 775.082, s. 775.083, or s. 775.084. (7) The total amount of tax credit which may be granted under this section is $2 million per calendar year. If the total amount of tax credit for applications submitted in a given calendar year exceeds $2 million, the amount of tax credit per applicant shall be granted on a pro rata basis. If the full amount of the tax credit is not allowed due to the $2 million-annual limitation, the balance shall be allowed in the following tax year. The amount not allowed in the previous tax year shall be allowed in full prior to the pro rata allocation of tax credit in the following tax year. (8) The department may adopt rules and forms to administer this section. (9) This section expires December 31, 2016, except for subsections (3) and (8), which expire December 31, 2022. In determining whether to reenact this section, the Legislature shall consider whether the revenue generated from wages paid to qualifying employees outweighs the cost to the state in terms of the amount of taxes waived. The department shall collect and maintain data relating to the total amount of wages paid to employees for whom a tax credit has been claimed in order to assist the Legislature in making its determination. Section 4. This act shall take effect July 1, 2011.