SESSION WATCH
Became law HOUSE · SESSION 2026 · CHAPTER 2026-137

No. HB 7031

Internal Revenue Code
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SPONSOR
Ways & Means Committee; Duggan
FILED BY
Wyman Duggan — District 12, Republican [search donations]
EFFECTIVE
6/11/2026

Filed under Taxes & Budget.

PROVIDED SUMMARY

Internal Revenue Code ; Revises the definition of the term "Internal Revenue Code"; conforms provisions to changes made by the act; provides for retroactive application; requires the Department of Revenue to adopt rules; authorizes the department to adopt emergency rules.

Full bill text →

Plain English Summary

AI-GENERATED
Updates the federal tax code year used for Florida state tax calculations.

Florida's state tax code will now reference the federal tax laws as they existed on January 1, 2026, rather than January 1, 2025. This change ensures state tax calculations align with the most recent federal tax rules.

The bill specifically excludes certain federal tax sections from the 2026 update, keeping them at their 2025 versions. This prevents specific federal tax changes from automatically altering how Florida calculates state taxes for those areas.

The Department of Revenue is required to adopt new rules to implement these changes. The department is also authorized to adopt emergency rules to ensure the new tax year is applied correctly.

These changes apply retroactively to January 1, 2026. This means the new federal tax year will be used for state tax calculations for that date, even if the bill is passed later in the year.

KEY PROVISIONS
§ 1 Updated Federal Tax Code Reference majors. 220.03(1)(n)

AIUpdates the definition of the Internal Revenue Code to reflect federal tax laws as they exist on January 1, 2026, rather than January 1, 2025.

“"Internal Revenue Code" means the United States Internal Revenue Code of 1986, as amended and in effect on January 1, 2026” bill text, line 21 →
§ 2 Specific Federal Sections Excluded majors. 220.03(1)(n)

AIExcludes specific federal tax sections (168(n) and 174A) from the definition of the Internal Revenue Code for Florida purposes.

“Sections 168(n) and 174A are not included.” bill text, line 28 →
§ 3 Retroactive Application moderates. 220.03(1)(n)

AIMakes the amendments to the tax code definitions and adjusted federal income rules retroactive to January 1, 2026.

“operate retroactively to January 1, 2026” bill text, line 131 →
§ 4 Mandatory Rule Adoption moderates. 220.03(1)(n)

AIRequires the Department of Revenue to adopt rules to implement the act and authorizes the adoption of emergency rules.

“the Department of Revenue shall adopt rules to implement this act” bill text, line 137 →
TIMELINE
6/12/2026
Chapter No. 2026-137
6/11/2026
Approved by Governor
6/9/2026
Signed by Officers and presented to Governor
3/12/2026
Ordered engrossed, then enrolled
3/12/2026
Passed as amended; YEAS 109, NAYS 0
3/12/2026
Amendment 611560 Concur
3/12/2026
Added to Senate Message List
3/6/2026
In Messages
3/6/2026
Passed as amended; YEAS 34 NAYS 0 -SJ 634
3/6/2026
Read 3rd time -SJ 634
3/6/2026
Amendment(s) adopted (611560) -SJ 633
3/6/2026
Read 2nd time -SJ 633
3/6/2026
Substituted for CS/SB 7048 -SJ 633
3/6/2026
Placed on Calendar, on 2nd reading
3/6/2026
Withdrawn from Rules -SJ 632
3/5/2026
Received
3/5/2026
Referred to Rules
3/5/2026
In Messages
3/5/2026
Passed; YEAS 105, NAYS 2
3/5/2026
Read 3rd time
3/5/2026
Added to Third Reading Calendar
3/5/2026
Read 2nd time
3/2/2026
Bill added to Special Order Calendar (3/5/2026)
3/2/2026
Added to Second Reading Calendar
3/2/2026
Bill referred to House Calendar
2/26/2026
1st Reading (Original Filed Version)
2/26/2026
Filed
21 EARLIER →
STATUTES IT CHANGES
s. 220.03
+46 / −2
s. 220.13
+8 / −0
STAFF ANALYSES