The Florida Department of Revenue permitted a taxpayer to discontinue filing Florida consolidated corporate income tax returns because the taxpayer established that its affiliated group’s business focus had changed significantly since making its election. In Florida, a parent corporation may elect to file a consolidated corporate income tax return. If the parent makes this election, however, it must continue filing on a consolidated basis absent limited exceptions unless the Executive Director permits the filing of separate returns. Pursuant to Florida Regulation 12c-1.0131(3)(b)(2)(a), the Executive Director will authorize a taxpayer’s affiliated group to discontinue filing a consolidated return if there is good cause for doing so, including changes to the group that do not affect income tax liability. In this case, the taxpayer established that its affiliated group had undergone several significant changes since making its election, including significant growth; expanded activities conducted by the taxpayer and its product line; and a change in the nature of the group’s overall business. The Department ruled that the taxpayer’s overall business focus and its substantial growth, taken together, provided a sufficient basis for granting the taxpayer’s request for deconsolidation. Fla. TAA 14C1-009 (08/11/2014).