SB 1632 – relating to Special Districts
On Monday, April 28th, SB 1632, by Senator Kelli Stargel (R-Lakeland) was substituted for HB 1237 and unanimously passed the House chamber. Representative Larry Metz (R-Groveland) sponsored the House companion bill. The bill now heads to the Governor for consideration.

The bill seeks to reorganize chapter 189, F.S., relating to special districts, into eight parts; revises duties of Legislative Auditing Committee; specifies applicability of procedures regarding suspension & removal of member of governing body of special district; revises when special district may be declared inactive; prohibits special districts declared inactive from collecting taxes, fees, or assessments; and provides for costs of litigation & reasonable attorney fees under certain conditions. These bills also require each special district to update and maintain an internet website on which the district must publish extensive information. In addition, the legislation clarifies a special district declared inactive on the unanimous vote of its governing body may be dissolved without a referendum and repeals a part of the Community Improvement Authority Act due to its irrelevance throughout the Act’s duration in statute.

AIF supports common-sense and transparent policy in regards to the creation and enforcement of special districts. In addition, AIF supports legislation that reduces uncertainty and red tape for Florida’s business community.

SB 1676 – relating to Internal Revenue Code
On Wednesday, April 30th, SB 1676, relating to Internal Revenue Code, by Senate Committee on Appropriations unanimously passed the House chamber. The bill now heads to the Governor for consideration.

The bill updates Florida’s corporate Income Tax Code by adopting the Internal Revenue Code as in effect on January 1, 2014. By doing this, Florida adopts any changes that were made in the previous year to the determination of federal taxable income.

AIF supports the bill as it prevents Florida’s companies from having to keep two sets of books.

HB 5601 – relating to Economic Development
On Friday, May 2nd,  HB 5601, relating to Economic Development, by House Finance & Tax Subcommittee, Senator Dorothy Hukill (R-Port Orange), and Representative Ritch Workman (R-Melbourne) unanimously passed both the Senate and House chambers. The bill now heads to the Governor for consideration.

The bill contains the final $105 million in tax cuts of the Governor’s goal of $500 million this session. The bill accomplishes the following:

• Three-day back to school tax holiday in August, estimated to save $40 million for families
• Sales tax holiday for hurricane supplies worth up to $750
• Sales tax holiday in September for energy-efficient appliances
• Three-year exemption on sales tax for cement mixing drums
• Eliminates the sales tax for child car seats, bicycle helmets, medicinal pet food, and college meal plans
• Reduces the tax on prepaid calling plans
• Increases tax credits for New Market programs and Habitat for Humanity
• Cuts taxes on uncollectable debt on credit cards issued by retailers
• Lowers the effective tax rate for title insurance
• Distributes $5 million from cigarette taxes to the Moffitt Cancer Center and Research Institute
• Reduces taxes on electricity for businesses and shifts revenue to the Public Education Capital Outlay program, a top priority of Commissioner Putnam
  
  

AIF supports the bill because it reduces taxes for individuals and businesses, stimulating the economy and making Florida a more attractive place to live and conduct business.

HB 803 – relating to Communications Services Tax
On Friday, May 2nd, HB 803, relating to Communications Services Tax, by Representative Jim Boyd (R-Bradenton) unanimously passed the Senate chamber. Senator Joseph Abruzzo (D-Wellington) sponsored the Senate companion bill. The bill now heads to the Governor for consideration.

The bill seeks to clarify that the state’s Communications Service Tax (CST) is not applicable to communications between hotels and their franchises.  Recently, the state’s Department of Revenue (DoR) began auditing various hotels, large and small, and assessing the CST despite having no statutory direction to do so.  HB 803 is a consensus product between the state’s DoR and the hotel lodging industry that seeks to clarify that these charges are not applicable.  The bill was scored to be revenue neutral for the state.

AIF supports reducing communication services taxes on Florida’s businesses. Subsequently, businesses could utilize this tax savings to reinvest in their business.