2015 - 2016 LEGISLATURE
September 11, 2015 - Introduced by Senators Marklein and Stroebel, cosponsored
by Representatives Ripp, Kooyenga, E. Brooks, Murphy, Jarchow,
Brandtjen, Knodl, Neylon and Thiesfeldt. Referred to Committee on
Revenue, Financial Institutions, and Rural Issues.
1An Act to amend
71.05 (1) (b) of the statutes; relating to: sunsetting the
2individual income tax deduction for expense allowances that may be claimed
3by certain state legislators.
Analysis by the Legislative Reference Bureau
For state legislators who live 50 miles or fewer from the state capitol, this bill
discontinues the individual income tax deduction that may be claimed by such
legislators for amounts the legislators receive from the state for expenses incurred
for food and lodging while in Madison on legislative business. The bill federalizes
Wisconsin's treatment of per diem and has no effect on legislators who live more than
50 miles from the state capitol.
The reimbursable amount commonly known as a per diem may be claimed in
an amount of up to 90 percent of the per diem rate for travel for federal government
business within the city of Madison, as established by the federal government. If a
legislator does not establish a temporary residence at the state capital, he or she may
claim one-half of the allowance that is otherwise allowed. Under the bill, for a
legislator who lives 50 miles or fewer from the capitol, the tax deduction for a
legislator's per diem may not be claimed for amounts received that relate to a taxable
year beginning after December 31, 2015.
Because this bill relates to an exemption from state or local taxes, it may be
referred to the Joint Survey Committee on Tax Exemptions for a report to be printed
as an appendix to the bill.
For further information see the state and local fiscal estimate, which will be
printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
71.05 (1) (b) of the statutes is amended to read:
(b) State legislature allowance for expenses.
All amounts received in 3
accordance with s. 13.123 (1) (a) which are spent for the purposes specified in s. 4
13.123 (1) (a) if the person does not claim a deduction for travel expenses away from 5
home on legislative days. In this chapter, the place of residence of a member of the 6
state legislature within the legislative district which the member represents shall 7
be considered the member's home. No subtraction may be claimed under this
8paragraph for any amount received that relates to a taxable year beginning after
9December 31, 2015.