265,30
Section
30. 71.30 (3) (cd) of the statutes is created to read:
71.30 (3) (cd) Postsecondary education credit under s. 71.28 (5r).
71.34 (1k) (g) An addition shall be made for credits computed by a tax-option corporation under s. 71.28 (1dd), (1de), (1di), (1dj), (1dL), (1dm), (1ds), (1dx), (1dy), (3), (3g), (3h), (3n), (3p), (3q), (3r), (3t), (3w), (5e), (5f), (5g), (5h), (5i), (5j), (5k), (5r), and (8r) and passed through to shareholders.
71.45 (2) (a) 10. By adding to federal taxable income the amount of credit computed under s. 71.47 (1dd) to (1dy), (3g), (3h), (3n), (3p), (3q), (3r), (3w), (5e), (5f), (5g), (5h), (5i), (5j), (5k), (5r), and (8r) and not passed through by a partnership, limited liability company, or tax-option corporation that has added that amount to the partnership's, limited liability company's, or tax-option corporation's income under s. 71.21 (4) or 71.34 (1k) (g) and the amount of credit computed under s. 71.47 (1), (3), (3t), (4), (4m), and (5).
71.47 (3q) (c) 3. The maximum amount of credits that may be awarded under this subsection and ss. 71.07 (3q) and 71.28 (3q) for the period beginning on January 1, 2010, and ending on June 30, 2013, is $14,500,000, not including the amount of any credits reallocated under s. 560.205 (3) (d).
265,32g
Section 32g. 71.47 (5b) (b) 1. of the statutes is amended to read:
71.47 (5b) (b) 1. For taxable years beginning after December 31, 2004, subject to the limitations provided under this subsection and s. 560.205, and except as provided in subd. 2., a claimant may claim as a credit against the tax imposed under s. 71.43, up to the amount of those taxes, 25 percent of the claimant's investment paid to a fund manager that the fund manager invests in a business certified under s. 560.205 (1), except that, for taxable years beginning after December 31, 2009, and before January 1, 2014, a claimant may claim 40 percent of the claimant's investment paid to a fund manager that the fund manager invests in a business certified under s. 560.205 (1), if the fund manager has invested no more than $500,000 in the business and the business has received no more than $2,000,000 in investments that have qualified for credits under this subsection or s. 71.07 (5b) or 71.28 (5b).
265,32h
Section 32h. 71.47 (5b) (b) 2. of the statutes is amended to read:
71.47 (5b) (b) 2. In the case of a partnership, limited liability company, or tax-option corporation, the computation of the 25 or 40 percent limitation under subd. 1. shall be determined at the entity level rather than the claimant level and may be allocated among the claimants who make investments in the manner set forth in the entity's organizational documents. The entity shall provide to the department of revenue and to the department of commerce the names and tax identification numbers of the claimants, the amounts of the credits allocated to the claimants, and the computation of the allocations.
265,33
Section
33. 71.47 (5r) of the statutes is created to read:
71.47 (5r) Postsecondary education credit. (a) Definitions. In this subsection:
1. "Claimant" means a corporation that files a claim under this subsection.
2. "Course of instruction" has the meaning given in s. 38.50 (1) (c).
3. "Family member" has the meaning given in s. 157.061 (7).
4. "Managing employee" means an individual who wholly or partially exercises operational or managerial control over, or who directly or indirectly conducts, the operation of the claimant's business.
5. "Paid or incurred" includes any amount paid by the claimant to reimburse an individual for the tuition that the individual paid or incurred.
6. "Qualified postsecondary institution" means all of the following:
a. A University of Wisconsin System institution, a technical college system institution, or a regionally accredited 4-year nonprofit college or university having its regional headquarters and principal place of business in this state.
b. A school approved under s. 38.50, if the delivery of education occurs in this state.
(b) Filing claims. Subject to the limitations provided in this subsection, a claimant may claim as a credit against the tax imposed under s. 71.43 an amount equal to the following:
1. Twenty-five percent of the tuition that the claimant paid or incurred for an individual to participate in an education program of a qualified postsecondary institution, if the individual was enrolled in a course of instruction and eligible for a grant from the Federal Pell Grant Program.
2. Thirty percent of the tuition that the claimant paid or incurred for an individual to participate in an education program of a qualified postsecondary institution, if the individual was enrolled in a course of instruction that relates to a projected worker shortage in this state, as determined by the local workforce development boards established under
29 USC 2832, and if the individual was eligible for a grant from the Federal Pell Grant Program.
(c) Limitations. 1. No credit maybe allowed under par. (b) unless the claimant certifies to the department of revenue that the claimant will not be reimbursed for any amount of tuition for which the claimant claims a credit under par. (b).
2. A claimant may not claim the credit under par. (b) for any tuition amounts that the individual described under par. (b) excluded under section
127 of the Internal Revenue Code.
3. A claimant may not claim the credit under par. (b) for any tuition amounts that the claimant paid or incurred for a family member of a managing employee unless all of the following apply:
a. The family member was employed an average of at least 20 hours per week as an employee of the claimant, or the claimant's business, during the one-year period prior to commencing participation in the education program in connection with which the claimant claims a credit under par. (b).
b. The family member is enrolled in a course of instruction that is substantially related to the claimant's business.
3m. A claimant may not claim the credit under par. (b) for any tuition amounts that the claimant paid or incurred for an individual who is not a resident of this state.
4. The claimant shall claim the credit for the taxable year in which the individual graduates from a course of instruction in an amount equal to the total amount the claimant paid or incurred under par. (b) for all taxable years in which the claimant paid or incurred such amounts related to that individual.
5. Partnerships, limited liability companies, and tax-option corporations may not claim the credit under this subsection, but the eligibility for, and the amount of, the credit are based on their payment of tuition under par. (b). A partnership, limited liability company, or tax-option corporation shall compute the amount of credit that each of its partners, members, or shareholders may claim and shall provide that information to each of them. Partners, members of limited liability companies, and shareholders of tax-option corporations may claim the credit in proportion to their ownership interest.
(d) Administration. Section 71.28 (4) (e) to (h), as it applies to the credit under s. 71.28 (4), applies to the credit under this subsection.
265,34
Section
34. 71.49 (1) (cd) of the statutes is created to read:
71.49 (1) (cd) Postsecondary education credit under s. 71.47 (5r).
77.92
(4) "Net business income," with respect to a partnership, means taxable income as calculated under section
703 of the Internal Revenue Code; plus the items of income and gain under section
702 of the Internal Revenue Code, including taxable state and municipal bond interest and excluding nontaxable interest income or dividend income from federal government obligations; minus the items of loss and deduction under section
702 of the Internal Revenue Code, except items that are not deductible under s. 71.21; plus guaranteed payments to partners under section
707 (c) of the Internal Revenue Code; plus the credits claimed under s. 71.07 (2dd), (2de), (2di), (2dj), (2dL), (2dm), (2dr), (2ds), (2dx), (2dy), (3g), (3h), (3n), (3p), (3q), (3r), (3s), (3t), (3w), (5e), (5f), (5g), (5h), (5i), (5j), (5k),
(5r), and (8r); and plus or minus, as appropriate, transitional adjustments, depreciation differences, and basis differences under s. 71.05 (13), (15), (16), (17), and (19); but excluding income, gain, loss, and deductions from farming. "Net business income," with respect to a natural person, estate, or trust, means profit from a trade or business for federal income tax purposes and includes net income derived as an employee as defined in section
3121 (d) (3) of the Internal Revenue Code.
265,35g
Section 35g. 560.03 (9) of the statutes is amended to read:
560.03
(9) Establish and operate a small business ombudsman clearinghouse for business and industry to facilitate the flow of information from other state and federal agencies, to assist state agencies in establishing methods to encourage the participation of small businesses in rule making under s. 227.114 (4) and to serve as ombudsman for small business stationary sources, as defined in s. 285.79 (1), in connection with the implementation of the federal clean air act,
42 USC 7401 to
7671q.
The department shall assign one full-time employee of the small business ombudsman clearinghouse to provide assistance to businesses as specified under s. 560.42 (1m).
560.03 (19) Establish a regulatory ombudsman center an office of regulatory assistance in the department to provide services as set forth in subch. III.
265,36
Section
36. 560.203 of the statutes is created to read:
560.203 Targeted microloans. The department shall create a pilot program for making microloans from the appropriation under s. 20.143 (1) (c) at nominal interest rates for the creation of new businesses. The department shall designate 2 areas of the state, one urban and one rural, that are affected by high unemployment. Only residents of the areas designated by the department are eligible for loans under this section, and the amount of a loan under this section may not exceed $25,000. The department shall, through a competitive process, select a Wisconsin nonprofit finance corporation to administer the pilot program. The department shall partner with federal, state, regional, and local economic development entities to provide business training for applicants and borrowers under this section. The department may not make a loan under this section after July 31, 2013.
265,37
Section
37. 560.205 (3) (d) of the statutes, as affected by
2009 Wisconsin Act 2, is renumbered 560.205 (3) (d) (intro.) and amended to read:
560.205 (3) (d) Rules. (intro.) The department of commerce, in consultation with the department of revenue, shall promulgate rules to administer this section. The rules shall further define "bona fide angel investment" for purposes of s. 71.07 (5d) (a) 1. The rules shall limit the aggregate amount of tax credits under s. 71.07 (5d) that may be claimed for investments in businesses certified under sub. (1) at $3,000,000 per calendar year for calendar years beginning after December 31, 2004, and before January 1, 2008, $5,500,000 per calendar year for calendar years beginning after December 31, 2007, and before January 1, 2011 2010, $6,500,000 for calendar year 2010, and $18,000,000 $20,000,000 per calendar year for calendar years beginning after December 31, 2010, plus, for taxable years beginning after December 31, 2010, an additional $250,000 for tax credits that may be claimed for investments in nanotechnology businesses certified under sub. (1). The rules shall also limit the aggregate amount of the tax credits under ss. 71.07 (5b), 71.28 (5b), 71.47 (5b), and 76.638 that may be claimed for investments paid to fund managers certified under sub. (2) at $3,500,000 per calendar year for calendar years beginning after December 31, 2004, and before January 1, 2008, $6,000,000 per calendar year for calendar years beginning after December 31, 2007, and before January 1, 2011 2010, $8,000,000 for calendar year 2010, and $18,500,000 $20,500,000 per calendar year for calendar years beginning after December 31, 2010, plus, for taxable years beginning after December 31, 2010, an additional $250,000 for tax credits that may be claimed for investments in nanotechnology businesses certified under sub. (1). The rules shall also provide that, for calendar years beginning after December 31, 2007, no person may receive a credit under ss. 71.07 (5b) and (5d), 71.28 (5b), 71.47 (5b), or 76.638 unless the person's investment is kept in a certified business, or with a certified fund manager, for no less than 3 years. The rules shall permit the department to reallocate credits under this section that are unused in any calendar year to a person eligible for tax benefits, as defined under s. 560.2055 (1) (d), if all of the following apply:
265,38
Section
38. 560.205 (3) (d) 1. of the statutes is created to read:
560.205 (3) (d) 1. The department notifies the joint committee on finance in writing of its proposed reallocation.
265,39
Section
39. 560.205 (3) (d) 2. of the statutes is created to read:
560.205 (3) (d) 2. One of the following is true:
a. The cochairpersons of the joint committee on finance fail to notify the department, within 14 working days after the date of the department's notification under subd. 1., that the committee has scheduled a meeting for the purpose of reviewing the proposed reallocation.
b. The cochairpersons of the joint committee on finance notify the department that the committee has approved the proposed reallocation.
560.2055 (4) (c) The Subject to a reallocation by the department pursuant to rules promulgated under s. 560.205 (3) (d), the department may allocate up to $5,000,000 in tax benefits under this section in any calendar year.
265,41
Section
41. 560.27 (1) (c) of the statutes is created to read:
560.27 (1) (c) Annually, beginning in fiscal year 2010-11, the department shall award a grant of $100,000 from the appropriation under s. 20.143 (1) (d) to the high-technology business development corporation. The department shall enter into an agreement with the high-technology business development corporation requiring the grant proceeds to be used for employing a grant writer to assist businesses to apply for federal small business innovation research grants. The department shall submit annually to the legislature under s. 13.172 (2) a report detailing the number of grant applications assisted by the grant writer, the number of applications assisted by the grant writer that won grants and the total amount of the grants, and the number of any jobs created as a result of the grant writer's activities.
265,42
Section
42. 560.27 (3) (c) of the statutes is amended to read:
560.27 (3) (c) The department may not make grants under this subsection that exceed $200,000 in total in fiscal year 2000-01, or that exceed $250,000 $750,000 in total in any fiscal year thereafter.
265,43
Section
43. 560.276 of the statutes is created to read:
560.276 Technology transfer grant and loan program. (1) Definitions. In this section:
(a) "Business" has the meaning given in s. 560.60 (2).
(b) "Research institution" means any of the following if located in this state:
1. An accredited college or university.
2. An accredited school of medicine, dentistry, veterinary medicine, medicine and public health, public health, or health professionals.
3. An accredited center for health sciences.
4. A hospital in which research is conducted. In this subdivision, "hospital" has the meaning given in s. 50.33 (2).
(2) Grants and loans. From the appropriations under s. 20.143 (1) (c), (fi), (ie), (ig), (io), and (kj), the department may award a grant or loan to a research institution to provide money for research and development activities related to the creation or retention of jobs by a business, or to improving the competitive position of a business by improving the innovativeness of the business. The department may award a grant or loan under this section if the research institution applies for a grant or loan on a form prepared by the department and all of the following are satisfied:
(a) The department determines that the research and development activities are likely to result in an economic benefit to one or more specific businesses.
(b) The department determines that the research and development activities will be conducted substantially in this state.
(c) The department considers the availability of matching funds from the research institution, the business, and other sources.
(d) The department enters into a written agreement with the research institution that specifies the conditions for use of the grant or loan proceeds, including reporting and auditing requirements.
(3) Limits. No grant or loan awarded to a research institution under this section may exceed $100,000.
560.301 Rules, policies, and standards for awarding grants and making loans. (intro.) The department, in consultation with the board, shall promulgate rules that establish procedures, policies, and standards for implementing this subchapter and awarding grants and making loans under this subchapter. The rules shall include all of the following:
560.304 Forward innovation fund. The department may award a grant or make a loan to an eligible recipient from the appropriations under s. 20.143 (1) (fi), (gm), and (io). The department shall consult with the board prior to awarding a grant or making a loan under this section.
560.305 (1) (intro.) The department, in cooperation with the board, shall encourage small businesses to apply for grants and loans under this subchapter by ensuring that there are no undue impediments to their participation and by actively encouraging small businesses to apply for grants and loans. The department shall do all of the following:
560.305 (3) The board department shall develop a policy relating to obtaining reimbursement of grants and loans provided under this subchapter. The policy may provide that reimbursement shall be obtained through full repayment of the principal amount of the grant or loan plus interest, through receipt of a share of future profits from or an interest in a product or process, or through any other appropriate means.
560.305 (4) The board department shall require, as a condition of a grant or loan, that a recipient contribute to a project an amount that is not less than 25 percent of the amount of the grant or loan.
265,43db
Section 43db. Subchapter III (title) of chapter 560 [precedes 560.41] of the statutes, as affected by
2009 Wisconsin Act 28, is amended to read:
CHAPTER 560
SUBCHAPTER III
office of REGULATORY OMBUDSMAN
CENTER assistance
265,43dc
Section 43dc. 560.41 (1) of the statutes is renumbered 560.41 (1n).
265,43e
Section 43e. 560.41 (1c) of the statutes is created to read:
