As Special Session-A ended Friday, June 19th, the House and the Senate successfully came together and passed an $80 billion budget for the 2015-2016 fiscal year. Both chambers were able to work together during the conference process and complete a balanced state budget. The budget has been sent to Governor Scott, and if approved will take effect July 1, 2015.
HB 33A- Relating to Taxation
On Monday, June 15th, HB 33A, relating to Taxation, by House Finance & Tax Committee and Rep. Matthew Gaetz (R-Shalimar), was read for a third time on the Senate floor and passed favorably with 34 yeas and 2 nays.
On Monday, June 15th, HB 33A was immediately sent to the House chamber for the amendment to be considered and a vote to be taken on the floor. The House ultimately concurred with the Senate amendment and passed HB 33A with a vote of 91 yeas and 2 nays. HB 33A will now head to the Governor’s desk.
HB 33A was amended by the Senate Appropriations Committee to include far fewer tax cuts than the House passed.
Here is what the tax package, HB 33A, will include:
- Reduces the communications services tax (CST) rate by 1.73 percentage points permanently.
- Provides a tax exemption for aviation fuel used for flight training purposes by certain educational institutions.
- Exempts aquacultural products and feed for aquacultural products from sales tax.
- Expands the farm equipment sales tax exemption to include storage equipment, irrigation equipment, parts and repairs, trailers, and plant stakes.
- Increases the annual limit on the Research and Development Corporate Tax Credit from $9 million to $23 million for calendar year 2016.
- Increases the amount of tax credits available for brownfield rehabilitation from $5 million annually to $21.6 million in Fiscal Year 2015-2016 and returns to $5 million annually thereafter.
- Provides a 10-day “back-to-school” tax holiday.
- Allows businesses in enterprise zones as of May 1, 2015 to apply for enterprise zone incentives for an additional three years.
On Tuesday, June 16th, HB 33A was approved by the Governor and signed into law.
AIF supports tax cuts for Florida’s consumers and businesses.