Effective July 1, 2006, Florida expanded the exemptions previously offered for research and development to include all machinery or equipment used predominantly (more than 50% of the time) for these purposes. The exemption was previously limited to 25% of the tax imposed. Taxpayers claiming the exemption must supply an affidavit to the vendor stating that the equipment will be used for exempt research and development. The exemption also includes the purchase, rental or repair of real property used in research and development. Companies using equipment for semiconductor, defense or space technology research must initially apply to Enterprise Florida, Inc. Other rules apply. (CH 2006-57, H.B. 415, Laws 2006)