LRB-1156/2
JK:kmg:pg
2001 - 2002 LEGISLATURE
January 16, 2001 - Introduced by Representatives M. Lehman, Sykora, Wood,
Ziegelbauer, Vrakas, Wade, Ainsworth, Bock, Rhoades, Huebsch, Black,
Kreibich, Leibham, Olsen, Musser, Kedzie, Gronemus, Grothman, Petrowski,
Wasserman, F. Lasee and Owens, cosponsored by Senators S. Fitzgerald,
Darling and Baumgart. Referred to Committee on Ways and Means.
AB15,1,3
1An Act to amend 77.51 (4) (b) 1. and 77.51 (15) (b) 1. of the statutes;
relating
2to: the sales tax and the use tax on purchases made with a manufacturer's
3rebate.
Analysis by the Legislative Reference Bureau
Under current law, the state imposes a sales tax on all retailers at the rate of
5% of the gross receipts from the sale of tangible personal property. The retailer
generally passes the sales tax on to the consumer. The state also imposes a use tax
on all consumers, at the rate of 5% of the sales price for the use or storage of tangible
personal property in this state that the consumer either purchases from out-of-state
retailers or purchases without paying the appropriate sales tax. Under current law,
when a consumer either purchases tangible personal property that qualifies for a
manufacturer's rebate, the consumer pays either a sales tax or a use tax on the
original price of the tangible personal property rather than on the price as reduced
by the manufacturer's rebate.
Under this bill, when a consumer purchases tangible personal property that
qualifies for a manufacturer's rebate, the consumer pays either a sales tax or a use
tax on the price of the tangible personal property as reduced by the manufacturer's
rebate rather than on the original price.
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:
AB15, s. 1
1Section
1. 77.51 (4) (b) 1. of the statutes is amended to read:
AB15,2,42
77.51
(4) (b) 1. Cash or term discounts
; or amounts paid by the manufacturer
3of the item sold that reduce the amount paid to the retailer of the item at the time
4of sale; allowed and taken on sales.
AB15, s. 2
5Section
2. 77.51 (15) (b) 1. of the statutes is amended to read:
AB15,2,86
77.51
(15) (b) 1. Cash discounts
; or amounts paid by the manufacturer of the
7item sold that reduce the amount paid to the retailer of the item at the time of sale; 8allowed and taken on sales.
AB15,2,1010
(1)
Manufacturers' rebates. This act takes effect on July 1, 2001.
