Florida Regulations 12A-1.107: Community Contribution Tax Credit
Current as of: 2024 | Check for updates
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(1) Who May Claim the Community Contribution Tax Credit.
(a) Any taxpayer who received prior approval from the Florida Department of Commerce, Division of Strategic Business Development for a community contribution to any revitalization project undertaken by an eligible sponsor will be allowed a credit of 50 percent of the value of the contribution. The total annual credit for each taxpayer, applied against state sales and use tax is limited to $200,000. Taxpayers who elect to claim the credit against state sales and use tax are ineligible to claim the credit against corporate income tax or insurance premium tax.
(b) Valuation of the Credit.
1. The valuation of the contribution determined by the Florida Department of Commerce will be used in the computation of the credit.
2. A contribution of more than $400,000 may be made in a tax year. However, the credit received for any contribution may not exceed the $200,000 annual credit limitation.
(c) When to Claim the Credit. The credit must be claimed as a refund of sales and use tax reported on returns and remitted to the Department within the 12 months preceding the date of the application for refund. If a taxpayer is unable to fully utilize the amount of credit granted in a year due to insufficient tax payments during the 12-month period preceding the granting of the credit, the unused amount may be carried forward for a period not to exceed 3 years and may be included in an application for refund filed during those years.
(d) Forms Required. Taxpayers claiming the credit must file an Application for Refund-Sales and Use Tax (Form DR-26S) with a copy of the letter issued to the taxpayer by the Florida Department of Commerce authorizing the taxpayer to claim the credit. The applicant is responsible for submitting to the Department of Revenue an Application for Refund-Sales and Use Tax (Form DR-26S) and a copy of the donation approval letter issued by the Florida Department of Commerce. Only one application may be submitted in any 12-month period.
Rulemaking Authority 212.11(5)(b), 212.18(2), 213.06(1) FS. Law Implemented 212.08(5)(p), 212.11(5) FS. History-New 1-3-96, Amended 6-19-01, 8-1-02, 5-4-03, 5-1-06, 1-25-12, 1-1-24.
(b) Valuation of the Credit.
1. The valuation of the contribution determined by the Florida Department of Commerce will be used in the computation of the credit.
2. A contribution of more than $400,000 may be made in a tax year. However, the credit received for any contribution may not exceed the $200,000 annual credit limitation.
(c) When to Claim the Credit. The credit must be claimed as a refund of sales and use tax reported on returns and remitted to the Department within the 12 months preceding the date of the application for refund. If a taxpayer is unable to fully utilize the amount of credit granted in a year due to insufficient tax payments during the 12-month period preceding the granting of the credit, the unused amount may be carried forward for a period not to exceed 3 years and may be included in an application for refund filed during those years.
(d) Forms Required. Taxpayers claiming the credit must file an Application for Refund-Sales and Use Tax (Form DR-26S) with a copy of the letter issued to the taxpayer by the Florida Department of Commerce authorizing the taxpayer to claim the credit. The applicant is responsible for submitting to the Department of Revenue an Application for Refund-Sales and Use Tax (Form DR-26S) and a copy of the donation approval letter issued by the Florida Department of Commerce. Only one application may be submitted in any 12-month period.
Rulemaking Authority 212.11(5)(b), 212.18(2), 213.06(1) FS. Law Implemented 212.08(5)(p), 212.11(5) FS. History-New 1-3-96, Amended 6-19-01, 8-1-02, 5-4-03, 5-1-06, 1-25-12, 1-1-24.