CS/HB 7099 Summary

• Creates the Florida Sales Tax Credit Scholarship Program allowing registered sales tax dealers to contribute to nonprofit scholarship-funding organizations and receive a 100% tax credit against state sales and use tax.

• Establishes annual tax credit cap limits beginning at $401.45 million in 2014-2015, with automatic increases of 25% when usage reaches 90% of the cap, up to a maximum of $917.45 million.

• Expands eligibility requirements for the existing Florida Tax Credit Scholarship Program and adds new student income-based scholarship reduction tiers for the 2016-2017 school year and beyond.

• Requires nonprofit scholarship-funding organizations to maintain surety bonds or letters of credit equal to undisbursed funds, submit annual audits, and comply with background screening standards for owners and operators.

• Effective date is July 1, 2014, with emergency rulemaking authority granted to the Department of Revenue and Department of Education.