Florida Administrative Code › 62 - DEPARTMENT OF ENVIRONMENTAL PROTECTION › 62 - Departmental › Chapter 62-788 - VOLUNTARY CLEANUP TAX CREDIT RULE › Section 62-788.301 - Site Rehabilitation Voluntary Cleanup Tax Credit Application Process

Current through Reg. 50, No. 138; July 16, 2024
(1) A tax credit applicant, or multiple tax
				credit applicants working jointly to conduct site rehabilitation at a single
				contaminated site, can only file one tax credit application per contaminated
				site per year, claiming the percentage and the amount for the Site
				Rehabilitation Tax Credit Type in Table 1, for the cost of voluntary cleanup
				activity that is integral to site rehabilitation. If multiple tax credit
				applicants submit an application, then they must indicate on the application
				form each tax credit applicant's percentage contribution toward payment of site
				rehabilitation costs.
(2) Complete
				applications for the annual site rehabilitation tax credit must be received by
				the Department's Division of Waste Management in Tallahassee by 5:00 p.m.
				(Eastern Standard Time) on January 31 of the year following the calendar year
				for which a tax credit applicant is claiming site rehabilitation costs. If
				January 31 falls on a weekend, then the deadline moves forward to the next
				business day. A tax credit applicant shall submit an application using Form
				 62-788.101(1),
				incorporated by reference in subsection
				 62-788.101(1),
				F.A.C. In addition to the requirements of subsection
				 62-788.101(3),
				F.A.C., the application must include the following:
(a) A completed and signed affidavit from
				each tax credit applicant (multiple tax credit applicants submitting a joint
				application must each sign a separate affidavit) certifying that all
				information contained in the application, including all records of costs
				incurred and paid and claimed in the tax credit application, are true and
				correct [Section VII. of Form
				 62-788.101(1),
				incorporated by reference in subsection
				 62-788.101(1),
				F.A.C.];
(b) If the application is
				submitted by the real property owner, then the Real Property Owner Affidavit
				section of the application form must also be completed and signed by the real
				property owner stating that it is not, and has never been, the owner or
				operator of the drycleaning facility where the contamination exists [Section
				II.D. of Form  62-788.101(1),
				incorporated by reference in subsection
				 62-788.101(1),
				F.A.C.];
(c) Proof that the tax
				credit applicant has entered into a voluntary cleanup agreement (VCA) or a
				BSRA, as applicable. A copy of the cover page and the signature page(s) of the
				VCA or BSRA, as applicable, will suffice as proof;
(d) Proof of payment of all applicable
				deductibles pursuant to Section
				 376.3078(3)(e),
				F.S., for eligible drycleaning solvent cleanup program sites. If deductibles
				were paid prior to submitting a tax credit application, then the tax credit
				applicant shall include a copy of the cancelled check or a receipt for a
				cashier's check or money order as proof of payment and note the application
				year the deductible was paid in Section II.C. of Form
				 62-788.101(1),
				incorporated by reference in subsection
				 62-788.101(1),
				F.A.C. If deductibles have not been paid, the tax credit applicant shall fill
				out the deductible information in Section II.C. of Form
				 62-788.101(1),
				incorporated by reference in subsection
				 62-788.101(1),
				F.A.C., and enclose a cashier's check or money order for the appropriate
				amount.
(e) Copies of documents
				that clearly describe the goods or services and associated costs that are being
				claimed in the application. If such documents also include costs for goods or
				services that are not being claimed in the application such goods or services
				and the associated costs shall be clearly annotated or shall otherwise clearly
				identify such goods or services and unclaimed costs. Though not required,
				inclusion of a cost-summary table that provides detail of claimed costs as
				represented by payment requests and payment records is encouraged. Copies of
				documents for goods or services that are being claimed shall demonstrate a link
				between the contractual records, the payment requests associated with the
				contractual records, and the payment records for the claimed portions of the
				payment requests, as required by each of the following three subparagraphs:
1. Contractual records must describe the
				scope of work performed that was integral to site rehabilitation during the
				time period covered by the application. These contractual records shall
				correlate the costs claimed with both the payment requests and the payment
				records provided in accordance with subparagraphs
				 62-788.301(2)(e) 
				2. and 3., F.A.C. If the tax credit applicant did not procure the services
				listed on the contractual records included in the application, then the tax
				credit applicant must explain its relationship to the entity that procured
				those services. Examples of such contractual records include contracts,
				documentation of contract negotiations, proposals, work orders, task
				assignments, and change orders;
2.
				Payment requests must describe the goods or services provided that were
				integral to site rehabilitation during the time period covered by the
				application. These payment requests shall correlate the costs claimed with both
				the contractual records and payment records provided in accordance with
				subparagraphs  62-788.301(2)(e) 
				1. and 3., F.A.C. The payment requests must include the name of the payee, a
				description of the goods or services provided, the period of service during
				which the goods or services were provided, the date upon which the payment
				request was issued, and the total amount being requested. Examples of such
				payment requests are invoices, payment applications, sales tickets, and account
				statements. Payment requests that include costs for goods or services that are
				not being claimed in the VCTC application must clearly identify which costs are
				being claimed; and
3. Payment
				records involving actual costs incurred that were integral to site
				rehabilitation during the time period covered by the application and paid prior
				to submittal of the tax credit application (or by the January 31 application
				deadline). These payment records shall correlate the costs claimed with both
				the contractual records and the payment requests provided in accordance with
				subparagraphs  62-788.301(2)(e) 
				1. and 2., F.A.C. The payment records shall also demonstrate that the tax
				credit applicant, which must be the signatory to the VCA or BSRA, paid the
				costs of site rehabilitation. For cases in which costs were prepaid (e.g., made
				in a previous year), the amount claimed must be only for the prorated portion
				of the prepaid work conducted in the calendar year for which tax credits are
				sought. Documentation must support these expense amounts and the timing of the
				work and show that it is part of the prepaid scope. Additionally, the Certified
				Public Accountant (CPA) must clearly describe these transactions and the
				proration amount claimed in a given calendar year in the report described in
				paragraph  62-788.301(2)(g).,
				F.A.C. Payment records include, but are not limited to, cancelled checks and
				bank statements;
(f) A
				certification form stating that rehabilitation activities associated with the
				documentation submitted pursuant to paragraph (e) have been conducted under the
				observation of, and related technical documents have been signed and sealed by,
				an appropriate registered technical professional in each contributing technical
				discipline [Section V. of Form
				 62-788.101(1),
				incorporated by reference in subsection
				 62-788.101(1),
				F.A.C.]; and
(g) Proof that the
				documentation submitted pursuant to paragraph (e) has been reviewed and
				verified by an independent CPA in accordance with standards established by the
				American Institute of Certified Public Accountants [Section VI. of Form
				 62-788.101(1),
				incorporated by reference in subsection
				 62-788.101(1),
				F.A.C.]. The CPA's report shall clearly state the total amount claimed in the
				application and the total amount approved by the CPA. A copy of the CPA's
				report shall be submitted with the tax credit application [refer to A Guideline
				for Agreed-Upon Procedures Attestation Service for the Voluntary Cleanup Tax
				Credit (VCTC) Program, dated December 2021, referenced in subsection
				 62-788.151(1),
				F.A.C.].