(1) Definitions. For purpose of this rule, the following terms mean:

Terms Used In Florida Regulations 12C-1.01991

  • Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
  • Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
    (a) “”Credit”” means the credit for manufacturing of human breast milk derived human milk fortifiers authorized under Florida Statutes § 220.1991
    (b) “”Qualifying manufacturing equipment”” means equipment for use in the production of human breast milk derived human milk fortifiers:
    1. That can be sold as a product using a pasteurization or sterilization process; and
    2. That is in compliance with all applicable United States Food and Drug Administration provisions.
    (2) Available Credits. For taxable years beginning during the 2023 and 2024 calendar years, a credit is available against the tax imposed by Florida Statutes Chapter 220, that is equal to 50 percent of the cost of qualifying manufacturing equipment purchased during the state fiscal year for which the application is submitted, or during the 6 months preceding such state fiscal year.
    (a) These tax credits are available on a first-come, first-served basis.
    (b) The Department must approve the tax credit before the taxpayer can take the credit on a return.
    (c) A taxpayer who files a Florida consolidated return as a member of an affiliated group pursuant to Florida Statutes § 220.131(1), may be allowed the credit on a consolidated return basis.
    (d) Taxpayers may carry forward any unused portion of the tax credit for up to five taxable years.
    (3) Application process.
    (a) To apply for available program credits, a taxpayer must submit a Florida Credit for Manufacturing of Human Breast Milk Derived Human Milk Fortifiers – Application for Tax Credit (Form F-11991, incorporated by reference in Fl. Admin. Code R. 12C-1.051), along with documentation demonstrating that the taxpayer purchased qualifying manufacturing equipment.
    (b) Following receipt of an application, the Department will send written correspondence regarding the amount of tax credit approved or providing the reason the tax credit application could not be approved, whether in whole or in part. The taxpayer may protest a denial pursuant to Sections 120.569 and 120.57, F.S. The Department will reserve the denied amount of the allocation for the taxpayer during the protest period.
    (4) Transfers of unused tax credits.
    (a) A taxpayer may not convey, assign, or transfer a credit allocation or tax credit to another entity unless all of the assets of the taxpayer are conveyed, assigned, or transferred in the same transaction. However, an unused credit or credit carryforward may be transferred between members of the same affiliated group of corporations.
    (b) A transferred tax credit may only be taken by the receiving member of the affiliated group during the same period that the transferring member was approved to take the credit.
    (c) A transferred carryforward amount may only be taken as a tax credit during the same time period as the transferring member was authorized to take the carryforward tax credit amount.
    (d) A taxpayer must notify the Department of its intent to transfer a credit allocation or tax credit to another member of its affiliated group by submitting Florida Credit for Manufacturing of Human Breast Milk Derived Human Milk Fortifiers – Notice of Intent to Transfer a Tax Credit (Form F-11991T, incorporated by reference in Fl. Admin. Code R. 12C-1.051). A separate notice must be submitted for each member of an affiliated group of corporations receiving a transfer.
Rulemaking Authority 213.06(1), 220.1991, FS. Law Implemented Florida Statutes § 220.1991. History-New 1-1-24.