Newly proposed legislation could usher in a new tax credit program aimed at supporting businesses that hire and house employees facing homelessness.
Gainesville Democratic Rep. Yvonne Hinson filed the measure (HB 51) that would incentivize businesses to provide affordable housing to employees in need by offering corporate tax credits.[1]
Florida’s limited supply of affordable housing for low-income families continues to shrink. While there are both subsidized and unsubsidized accommodations, there aren’t enough to meet demand, which contributes to the state’s 27,000-plus homeless population on any given day, according to the Florida Housing Coalition.[2]
For tax years beginning on or after Jan. 1, 2027, a qualified business would be eligible for a base credit of $2,000 for every qualified employee they provide housing to.
The business would be eligible for an additional $1,000 per eligible qualified employee if the housing provided is owned and converted into housing by the employer while satisfying all building, housing and health codes.
The bill defines a qualified business as one that offers housing to qualified employees at rent levels that do not exceed the 50% income category specified in the Florida Housing Finance Corporation guidelines.[3]
Businesses can submit an application for the additional credits to the Florida Department of Commerce with all details of employees and the conditions under which they are housed, including rent charged, and whether it is converted housing.[4]
The tax credit program would also come with rules and limits, including an annual cap of $5 million in total credits distributed per year. Credits would be required to be approved before a business is able to claim it on tax returns, unused credits could be carried forward for up to 2 years, and credits would not be allowed to be sold or transferred to any other entities.
The Department of Commerce and the Department of Revenue would adopt rules to implement the program, including emergency rules. [5]
The tax credits would apply to taxable years beginning on or after Jan. 1, 2027.
The term “employee” includes traditional employees, apprentices, pre-apprentices, and student interns. A qualified employee is someone homeless immediately before being offered housing by an employer and has resided in that housing for less than three years.
A homeless person is defined as a person experiencing a temporary state of lacking a permanent home due to a sudden crisis or catastrophic event such as job loss, a natural disaster, a medical emergency or domestic violence.
If enacted, the bill would take effect July 1, 2026.
References
- ^ HB 51 (www.flsenate.gov)
- ^ Florida Housing Coalition (flhousing.org)
- ^ Florida Housing Finance Corporation (www.floridahousing.org)
- ^ Florida Department of Commerce (www.floridajobs.org)
- ^ Department of Revenue (floridarevenue.com)