Jobs Tax Credit (Sales Tax):  Rural Enterprise Zones
s.212.096, F.S.

Forms:

• EZ Jobs Tax Credit  Form DR-15ZC (must be submitted to an EZ Coordinator and DOR within six months after the new employee is hired).

Purpose:

• Allows business located in a Florida Enterprise Zone a monthly credit against their tax due on wages paid to new employees.

Advantages:

• Provides a credit of 30% of wages paid to new eligible employees who are residents of Florida Enterprise Zone.  
• If more than 20% of the employees are residents of a Florida Enterprise Zone, the credit is 45%.

Limitations:

• The credit is limited to the amount of tax due on each return.
• There is no refund or carry-forward for credit in excess of the tax due.
• This credit is not available if the Enterprise Zone Jobs Tax Credit against corporate tax is taken.
• The credit is limited to 24 months if the employee remains employed for 24 months.

Eligibility Requirements:

Business:   

• Must be located within a Rural Enterprise Zone. (See  s. 290.004(8), F.S. for Rural Enterprise Zone definition.)
• Must collect and pay sales and use tax.
• Must not be taking E.Z. Jobs Tax Credit against corporate income tax.
• Form DR-15ZC must be submitted to an EZ Coordinator and DOR within six months after the new employee is hired.

Employee:

• Must work in a new job in an Enterprise Zone and reside within a rural county. (See s. 288.106(1)( r ), F.S. for more details.)
• Welfare Transition Program participants may reside anywhere, but must work within a zone.
• Must work at least 36 hours per week (no part-time employees).
• Must be employed for three consecutive months.
• New employee cannot be an Owner, Partner, or Stockholder.
• Employees leased from an employee leasing company must continuously be leased to an employer for more than 6 months.
• Previous employees must not have been employed by the hiring business in the preceding 12 months.  
• Tax credits shall be allowed for up to 24 months per new employee.
• Tax credit amount cannot be more than amount of sales tax owed for the month.

Calculations:

• Number of permanent, full-time zone employees/Number of total permanent, full-time zone and non zone employees
• If this calculation is less than 20% the tax credit will be 30% of monthly wages paid to new employee.
• If this calculation is 20% or more the tax credit will be 45% of monthly wages paid to new employee.