Title: Small Business Tax Credit

Summary: Defining the term "new small business"; providing a tax credit to new small businesses in a specified amount; requiring new small businesses to apply to the Department of Revenue for tax credit approval; authorizing a new small business to use the remaining amount of tax credit that is greater than can be taken on a single tax return on future tax returns, etc.

Full Text:
An act relating to a small business tax credit; creating s. 220.197, F.S.; defining the term  new small business ; providing a tax credit to new small businesses in a specified amount; requiring new small businesses to apply to the Department of Revenue for tax credit approval; providing application requirements; authorizing a new small business to reapply if an application is deemed insufficient; limiting the amount of tax credits that a new small business may receive; authorizing a new small business to use the remaining amount of tax credit that is greater than can be taken on a single tax return on future tax returns; providing an effective date. Be It Enacted by the Legislature of the State of Florida: Section 1. Section 220.197, Florida Statutes, is created to read: 220.197 Small business tax credit.  (1) As used in this section, the term  new small business  means a sole proprietorship, firm, partnership, or corporation located in this state that employs fewer than employees and that has been in operation for months or less. (2) A new small business may apply for a tax credit under this section at any time, but only once during its first months of operation. The new small business shall receive a $1,500 tax credit for each employee, which may be taken against the tax remitted under this chapter. (3) In order to claim a credit under this section, a new small business must apply to the department for approval. Each application for a credit must include all information required to verify the business s status as a new small business and any other information required by the department. (4) If an application is deemed insufficient to support the credit authorized in this section, the department shall notify the business of the insufficiency. The business may reapply for the credit at any time after receiving such notice. (5) A new small business may not receive tax credits under this section in excess of $21,000. (6) If the credit under this section is greater than can be taken on a single tax return, excess amounts may be taken as credits on any tax return submitted within months after the approval of the application by the department. Section 2. This act shall take effect July 1, 2014.