Florida Florida Statutes
§ 220.196 — Research and development tax credit
FS § 220.196Ch. 220
Statute text
View on source(1)DEFINITIONS.—As used in this section, the term:(a) “Base amount” means the average of the business enterprise's qualified research expenses in this state allowed under 26 U.S.C. s. 41 for the 4 taxable years preceding the taxable year for which the credit is determined. The qualified research expenses taken into account in computing the base amount shall be determined on a basis consistent with the determination of qualified research expenses for the taxable year.
(b)“Business enterprise” means any corporation as defined in s. 220.03 which meets the definition of a target industry business as defined in s. 288.005.
(c)“Qualified research expenses” means research expenses qualifying for the credit under 26 U.S.C. s. 41 for in-house research expenses incurred in this state or contract research expenses incurred in this state. The term does not include research conducted outside this state or research expenses that do not qualify for a credit under 26 U.S.C. s. 41.
(2)TAX CREDIT.—(a) As provided in this section, a business enterprise is eligible for a credit against the tax imposed by this chapter if it:1. Has qualified research expenses in this state in the taxable year exceeding the base amount; 2. Claims and is allowed a research credit for such qualified research expenses under 26 U.S.C. s. 41 for the same taxable year as subparagraph 1.; and 3. Is a qualified target industry business as defined in former s. 288.106(2)(n), Florida Statutes 2022. Only qualified target industry businesses in the manufacturing, life sciences, information technology, aviation and aerospace, homeland security and defense, cloud information technology, marine sciences, materials science, and nanotechnology industries may qualify for a tax credit under this section. A business applying for a credit pursuant to this section shall include a letter from the Department of Commerce certifying whether the business meets the requirements of this subparagraph with its application for credit. The Department of Commerce shall provide such a letter upon receiving a request.
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Legislative history
s. 17, ch. 2011-76; s. 21, ch. 2015-221; s. 33, ch. <a href="#!-- #