Florida Tax Credit Scholarship Program
- Aug 27, 2014 | Gail Cole
The Florida Department of Revenue has announced changes to the Florida Tax Credit Scholarship Program. Most notable is the increase in the tax credit cap amount to $447,265,625 for FY 2015-16 (up from $357,812,500).
Taxpayers who contribute to an eligible nonprofit scholarship funding organization (SFO) may receive a tax credit against the following Florida taxes:
- Beverage excise tax (liquor, malt beverages, wine)
- Corporate income tax
- Gas production tax
- Insurance premium tax
- Oil production tax
- Sales tax due from a direct pay permit holder
Taxpayers must apply for the tax credit and if approved, they’ll be issued a letter of approval by the Florida Department of Revenue. A copy of that letter must be sent to affected SFOs.
Recent changes allow tax credits to be transferred between members of an affiliated group, upon approval of the department. However, tax credits cannot be transferred between taxes. In other words, once a sales tax credit, always a sales tax credit. Additional information is available in Tax Information Publication #14ADM-03.