Florida residents will vote Aug. 30 on a constitutional amendment regarding solar energy.
Amendment 4 would give businesses tax exemptions for solar, or renewable energy source devices, and would expand the use of solar energy across the state.
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Homeowners already have the option to receive that tax exemption.
The amendment on the ballot is titled, “Solar Devices or Renewable Energy Source Devices: Exemption From Certain Taxation and Assessment."
The ballot question reads: “Proposing an amendment to the state Constitution to authorize the Legislature, by general law, to exempt from ad valorem taxation the assessed value of solar or renewable energy source devices subject to tangible personal property tax, and to authorize the Legislature, by general law, to prohibit consideration of such devices in assessing the value of real property for ad valorem taxation purposes. This amendment takes effect Jan. 1, 2018, and expires on Dec. 31, 2037.”
The amendment has gained support from local businesses and officials, including the Florida Tourist and Lodging Association and Florida Power and Light.
“We are absolutely for the amendment,” Dr. Stephen Smith, of the Southern Alliance for Clean Energy Action Fund, said. “The reason we are for it (is that) Florida has a phenomenal resource for solar energy."
Others see this as a way for jobs to be created in the state.
The amendment exempts solar devices and equipment from being subject to personal tangible property tax.
The personal tangible property would be the solar panels on a business. A business that currently has solar panels is currently being taxed on the panels or devices in addition to their building.
The amendment would exempt businesses with solar panels from paying higher taxes.
Currently, a business is taxed on their real estate, which would mean the business' building and their land.
The Florida Department of Revenue defines personal tangible property tax as, “all goods, property other than real estate and other articles of value that the owner can physically possess and has intrinsic value."
The elimination of the personal tangible property tax would allow more businesses to have solar panels at a reduced cost.
While many people support the amendment, others are against it.
“To be clear, I am not against solar. I want solar to be successful, competitive and innovative, but they need to do it in the free market and to stop relying on the government to provide them exemptions, mandates and other carve-outs to survive,” Jason Hoyt, of Stop Playing Favorites, said.
Hoyt said the proposal would not help residences with solar panels because they are already exempt.
“The purpose of this amendment is specifically to benefit big solar and the big utilities. Solar advocates constantly point to utilities as their favorite nemesis, but in this case utilities will be among the largest parties to be getting a tax break,”Hoyt said.
Sixty percent of votes are needed to pass the amendment into law in Florida.
The Florida Legislature does not start its next session until 2017. The amendment would go into effect on Jan. 1, 2018, and would extend for 20 years until Dec. 31, 2037.