Florida Dept. of Revenue - Rule 12C-1.051

Florida Proposed Rules

Rule Number: Rule Title

12C-1.051

Forms

Next Step:

At the August 23, 2022, meeting, the Governor and Cabinet approved the publication of the Notice of Proposed Rulemaking and subsequent adoption of the proposed rules if the substance of the proposed rules [including materials incorporated by reference, if any] remained unchanged upon reaching the date applicable to filing for final adoption pursuant to s. 120.54(3)(e)2., F.S. No substantive changes were made to the rules and the Department filed the rules for certification with the Department of State on October 6, 2022. These rules will go into effect on January 1, 2023.

Forms:

F-1120: Florida Corporate Income/Franchise Tax Return
F-1120N: Instructions for Corporate Income/Franchise Tax Return for taxable years beginning on or after January 1,2021)
Form F-2220: Underpayment of Estimated Tax on Florida Corporate Income/Franchise Tax

Certified Final Language:	January 1, 2023
Certification Package:	October 6, 2022
Certification Letter to JAPC:	September 26, 2022
Hearing Information:	September 21, 2022 (Canceled, no request received)
Package Filed with JAPC:	August 24, 2022
Notice of Proposed Rule:	August 24, 2022 (Vol. 48, No. 165)
Cabinet Meeting for Hearing:	August 23, 2022
Notice of Public Meeting - Cabinet for Hearing:	August 12, 2022 (Vol. 48, No. 157)
Workshop Information:	July 27, 2022
Draft Rule Language:	July 27, 2022
Notice of Rule Development:	July 12, 2022 (Vol. 48, No. 138, pp. 9-10)

Purpose: The purpose of this rulemaking is to implement legislative changes and other updates to three forms within Rule 12C-1.051, Forms. Pursuant to s. 213.755(1), F.S., taxpayers are required to electronically file returns and electronically remit payments of taxes and fees where the taxpayer paid tax in the prior state fiscal year in an amount greater than or equal to $20,000. Section 2 of Chapter 2022-151, L.O.F., amends s. 213.755(1), F.S., to lower this threshold amount from $20,000 to $5,000 effective January 1, 2023.

In this rulemaking, Form F-1120, Florida Corporate Income/Franchise Tax Return, is revised to update the tax rate from 3.535% to 5.5% pursuant to s. 220.1105(5), F.S. Form F-1120 is also revised to add the New Worlds Reading Initiative, Strong families, and Internship tax credits to Schedule I, Additions and/or Adjustments to Federal Taxable Income, and Schedule V, Credits Against the Corporate Income/Franchise Tax; remove the Florida renewable energy production tax credit from Schedule I and Schedule V; remove Internal Revenue Code s. 179 expense from Schedule II, Subtractions from Federal Taxable Income; and for standard language updates.

Form F-1120N, Instructions for - Corporate Income/Franchise Tax Return, is revised to notify taxpayers of the lowered threshold amount requiring taxpayers to file and pay corporate income/franchise tax electronically if they paid $5,000 or more in tax during the State of Florida1s prior fiscal year (July 1-June 30). Form F-1120N is also revised to add information about the New Worlds Reading Initiative, Strong families, and Internship tax credits to the instructions for Schedule I, Additions and/or Adjustments to Federal Taxable Income, and Schedule V, Credits Against the Corporate Income/Franchise Tax; remove information about the Florida renewable energy production tax credit from the instructions for Schedule I and Schedule V; remove information about Internal Revenue Code s. 179 expense from the instructions for Schedule II, Subtractions from Federal Taxable Income; and for standard language updates.

Form F-2220, Underpayment of Estimated Tax on Florida Corporate Income/Franchise Tax, is revised to advise that the New Worlds Reading Initiative and Strong families tax credits reduce the installment amount that must be paid to meet the prior year exception and for standard language updates