RELATING TO TAX EXPENDITURE EVALUATION.

The agency responsible for receiving tax expenditure disclosure forms changed from the Department of Business, Economic Development, and Tourism to the Department of Taxation.

New statutory subsections were added to explicitly require the Department of Taxation to develop specific schedules and forms for collecting this information.

The requirement for taxpayers to file a 'statement' was updated to require filing a specific 'form' prescribed by the Director of Taxation.

New disclosure items were added to the required forms, including the type of claimant, location of use, annual revenue impact, number of jobs created, and additional capital investments.

The effective date of the Act was changed from July 1, 3000, to July 1, 3050.

Removed the requirement for individual taxpayers to file annual statements disclosing their name, credit amount, and total cost to the state.

Added a mandate for the Department of Business, Economic Development, and Tourism to collaborate with the Department of Taxation to study the effectiveness of tax expenditures.

Added a requirement for the state department to submit an annual report to the legislature by September 1 containing summary statistics on tax expenditures.

Changed the mechanism for tracking tax expenditures from taxpayer self-reporting to state agency data analysis and reporting.

Removed the requirement for the Department of Business, Economic Development, and Tourism to study tax expenditures and prepare reports.

Added a mandatory requirement for taxpayers claiming specific income tax credits and general excise/use tax exemptions to disclose their name, cost of the credit, and amount exempted to the department annually.

Removed the exception allowing department staff to access tax returns for evaluation purposes, as the new law requires direct taxpayer disclosure.

Changed the effective date from July 1, 2026, to July 1, 3000, effectively delaying implementation indefinitely.

Removed the provision making tax return information available for public inspection and dissemination.

Narrowed the bill's focus from general tax expenditure evaluation to specific income tax credits and general excise/use tax exemptions.

Replaced the requirement for individual taxpayers to annually disclose their name and cost of tax credits/exemptions with a mandate for the DBEDT to study effectiveness and prepare statistics.

Added authority for DBEDT staff to access specific tax return information to conduct evaluations, replacing the previous requirement for taxpayers to provide this data directly.

Removed provisions requiring taxpayers to submit their name and total cost of tax credits or exemptions to the department annually.

Strengthened confidentiality protections by removing clauses that allowed the collected taxpayer data to be available for public inspection and dissemination.

Added detailed lists of specific individuals and entities (such as trustees, partners, and bankruptcy receivers) who are legally permitted to examine tax returns, clarifying who has access to confidential information.

Updated the bill's title and description to reflect the shift from taxpayer disclosure to department-led evaluation and study.