Government Digest: May 6

Corporate income tax exemption quintuples
TALLAHASSEE — House and Senate leaders have agreed to increase the state's corporate income tax exemption from $5,000 to $25,000, which is expected to cut in half the number of businesses that pay the state's corporate income tax. Roughly 30,000 businesses currently pay the tax.
The deal replaces a proposal by Gov. Rick Scott to gradually reduce the tax rate to zero in seven years. According to House spokesperson Katie Betta, increasing the exemption is estimated to cost $30 million in the $68 billion budget agreed to by House and Senate leaders.

Voters may decide on 5% property tax cap
TALLAHASSEE — The House passed a joint resolution, HJR 381, calling for commercial property owners' property tax assessments to be subject to a 5% annual increase cap if approved by voters. Currently, the cap is 10%. Also passed by the Senate, the measure requires voter approval of the proposed state constitutional amendment. The cap also applies to real estate investors and landlords who own non-homestead property.
Owner-occupied homes with a homestead exemption currently have their tax assessment increases limited to 3%, or an increase in the consumer price index, whichever is less.

Senate adds growth reform bill to budget
TALLAHASSEE — If and when the Legislature passes the proposed $68 billion budget, it will also be approving the growth management reform legislation previously passed by the House. Senate leaders added House Bill 7129 to the budget — despite the objections of Sen. Jack Latvala, R-Clearwater — rather than risk amendments to the lengthy package that might make it difficult to reconcile before the end of the session. The bill passed the House 86-31.