LRB-2888/1
MES:kaf:arm
1997 - 1998 LEGISLATURE
March 2, 1998 - Introduced by Representatives Kreibich, Schafer, Albers,
Baldwin, Dobyns, Freese, Goetsch, Green, Grothman, Hahn, Hanson, Kelso,
F. Lasee, Meyer, Murat, Musser, Ott, Plale, Plouff, Springer, Sykora,
Turner, Ward, L. Young and Zukowski, cosponsored by Senators Darling,
Drzewiecki, Schultz and Roessler. Referred to Joint survey committee on
Tax Exemptions.
AB847,1,3
1An Act to create 71.05 (6) (b) 25. of the statutes;
relating to: exempting from
2income taxation any amount of interest paid on certain loans that are used for
3educational expenses.
Analysis by the Legislative Reference Bureau
This bill creates an individual income tax exemption for any amount of interest
that is paid on certain loans. The loans to which the exemption applies are loans that
are used to pay for tuition and other educational expenses, including child care costs
that are necessitated by the student's attendance at school, that are directly related
to attendance at certain accredited, nonprofit, postsecondary educational
institutions.
This bill will be referred to the joint survey committee on tax exemptions for a
detailed analysis, which will be printed as an appendix to this bill.
For further information see the state 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:
AB847, s. 1
4Section
1. 71.05 (6) (b) 25. of the statutes is created to read:
AB847,2,45
71.05
(6) (b) 25. Any amount of interest paid on a loan, the proceeds of which
6are used to pay for tuition, fees, books and educational supplies; miscellaneous
1educational expenses, as determined by the department of revenue; and child care
2costs, as determined by the department of revenue, that are necessitated by the
3student's attendance at an eligible educational institution, as defined in s. 18.81 (2);
4that are directly related to attendance at an eligible educational institution.
AB847,2,96
(1) This act first applies to taxable years beginning on January 1 of the year
7in which this subsection takes effect, except that if this subsection takes effect after
8July 31, this act first applies to taxable years beginning on January 1 of the year
9following the year in which this subsection takes effect.
