Florida contribution tax credits: Strong Families, scholarships, Live Local and more

By the Tax Field Guide editorial team. Published 2026-10-30. Facts checked 2026-10-30. Related strategies: Donor-Advised Funds.

Education only; not tax, legal or investment advice. Tax rules change, and how they apply depends on your facts. No outcome is guaranteed.

Florida has a family of tax credits that let a business redirect part of its Florida tax bill to a specific kind of charity or public program. The taxpayer applies to the Florida Department of Revenue for an allocation of credit, makes the contribution, and claims a credit for the contribution against Florida tax. Most of these credits are worth 100% of the eligible contribution. Because Florida has no personal income tax, they are mainly used against the corporate income tax (5.5% of Florida net income) and, for some programs, the insurance premium tax and other state taxes.¹² Every program below is also listed, with sources, on the Florida state page.

The programs and their 2026 limits

Program	Contribution goes to	Statewide cap in the statute	Carryforward
Strong Families tax credit	DCF-designated child welfare charities	$53.1 million in 2026-27 and 2027-28, then $40 million a year	10 years
Florida Tax Credit Scholarship Program	Eligible nonprofit scholarship-funding organizations	Set by formula in §1002.395	10 years
Live Local Program tax credit	Florida Housing Finance Corporation (State Apartment Incentive Loan program)	$100 million a year	10 years
New Worlds Reading Initiative credit	The program's administrator	$60 million a year	10 years
Home Away From Home tax credit	Florida charities that house families of critically ill children in treatment	$13 million a year from 2026-27	10 years
Community contribution tax credit	Approved sponsors of community development and housing projects	$25 million (special-needs and homeownership projects) plus $4.5 million (other projects) a year	5 years

Sources: the statute for each program.³⁴⁵⁶⁷⁸ The community contribution credit is different from the others: it equals 50% of the contribution, up to $200,000 per business a year, and projects are approved through the Florida Department of Commerce.⁸⁹

Two newer details are worth knowing. Beginning January 1, 2027, a taxpayer may not apply for more than $2 million of Strong Families credit per eligible charitable organization in a state fiscal year. The Department of Revenue may not approve more than $10 million of credits for any single organization in a fiscal year.³ The Home Away From Home credit takes no new approvals for state fiscal years after 2031-32.⁷

How the allocation process works

Apply for an allocation. Apply through the Department of Revenue's online Multi-Tax Credits application. The application names the organization and the amount you plan to contribute for each tax. Taxpayers who must file and pay electronically must apply online.¹⁰
Wait for approval, then contribute. Allocations are limited by each program's cap. For Strong Families, corporate income tax applications open on the first business day in January.¹⁰
Get the certificate. The organization issues a Certificate of Contribution, and you attach a copy to the return that claims the credit.¹⁰¹¹

Federal interaction and add-back

The Department of Revenue's program pages say the credit must be reduced by any resulting decrease in federal income tax. They also say the amount of credit taken must be added back to taxable income, once.¹⁰¹¹ Model the federal effect before you assume a full dollar-for-dollar benefit. For charitable planning at the individual level, see donor-advised funds and DAFs and CRTs for W-2 earners.

Can these credits be sold or transferred?

No. For Strong Families, Live Local and the other credits in this family, a taxpayer may not convey, transfer or assign an approved or carryforward credit unless all of its assets are transferred in the same transaction. A transfer between members of an affiliated group of corporations is allowed if the type of credit stays the same and the Department of Revenue approves it.³⁵ Florida credits that can be transferred are covered in Florida tax credits you can transfer or buy.

Finding help

Allocation timing, credit ordering under section 220.02(8) and the federal add-back are the usual planning points. Firms listed on this site with Florida offices include Kaufman Rossin (Miami), Pivot CPAs (Ponte Vedra Beach) and Miller & Company, whose charitable giving page covers donor-advised fund and charitable remainder trust planning and which lists Sarasota and Fort Myers offices. Their sites do not specifically mention these Florida credits, and listing is not an endorsement. See the full advisor directory.

Common questions

Is the Florida Strong Families tax credit dollar for dollar?

Yes. One hundred percent of an eligible contribution is allowed as a credit, but the Department of Revenue says the credit must be reduced by any resulting decrease in federal income tax, and the credit taken is added back to taxable income once.

What is the Strong Families tax credit cap for 2026-2027?

Section 402.62 sets the cap at $53.1 million for the 2026-2027 and 2027-2028 state fiscal years and $40 million a year after that.

How long can unused Florida contribution credits be carried forward?

Ten years for Strong Families, the scholarship program, Live Local, New Worlds Reading and Home Away From Home. Five years for the community contribution tax credit.

Can a corporation sell a Florida Live Local tax credit?

No. It can move only with a transfer of all of the taxpayer's assets, or between members of an affiliated group of corporations with Department of Revenue approval.

Education only; not tax, legal or investment advice. Talk to a qualified professional before acting.

Sources

Florida Statutes §220.11 (2026), https://www.flsenate.gov/Laws/Statutes/2026/220.11
Florida Department of Revenue, Multi-Tax Credits, https://floridarevenue.com/taxes/taxesfees/Pages/multitaxcredits.aspx
Florida Statutes §402.62 (2026), https://www.flsenate.gov/Laws/Statutes/2026/402.62
Florida Statutes §1002.395 (2026), https://www.flsenate.gov/Laws/Statutes/2026/1002.395
Florida Statutes §420.50872 (2026), https://www.flsenate.gov/Laws/Statutes/2026/420.50872
Florida Statutes §1003.485 (2026), https://www.flsenate.gov/Laws/Statutes/2026/1003.485
Florida Statutes §402.63 (2026), https://www.flsenate.gov/Laws/Statutes/2026/402.63
Florida Statutes §220.183 (2026), https://www.flsenate.gov/Laws/Statutes/2026/220.183
Florida Department of Revenue, Corporate Income Tax Incentives, https://floridarevenue.com/taxes/taxesfees/Pages/corp_tax_incent.aspx
Florida Department of Revenue, Strong Families Tax Credit, https://floridarevenue.com/taxes/taxesfees/Pages/strongfamilies.aspx
Florida Department of Revenue, Florida Tax Credit Scholarship Program, https://floridarevenue.com/taxes/taxesfees/Pages/sfo_taxes.aspx

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