AB208,7,3
11. "Base year" means the taxable year beginning during the calendar year prior
2to the calendar year in which the rural enterprise development zone in which the
3claimant is located takes effect.
AB208,7,54 2. "Claimant" means a person who is certified to claim tax benefits under s.
5560.799 (5) and who files a claim under this subsection.
AB208,7,86 3. "Full-time employee" means an individual who is employed in a regular,
7nonseasonal job and who, as a condition of employment, is required to work at least
82,080 hours per year, including paid leave and holidays.
AB208,7,109 4. "Rural enterprise development zone" means a zone designated under s.
10560.799.
AB208,7,1211 5. "State payroll" means the amount of payroll apportioned to this state, as
12determined under s. 71.04 (6).
AB208,7,1813 6. "Zone payroll" means the amount of state payroll that is attributable to
14compensation paid to individuals for services that are performed in a rural
15enterprise development zone or who are working from an office located in a rural
16enterprise development zone if the work is incidental to any work that the individual
17performs within the rural enterprise development zone. "Zone payroll" does not
18include the amount of compensation paid to any individual that exceeds $100,000.
AB208,7,2119 (b) Filing claims; payroll. Subject to the limitations provided in this subsection
20and s. 560.799, a claimant may claim as a credit against the tax imposed under s.
2171.02 an amount calculated as follows:
AB208,7,2222 1. Determine the amount that is the lesser of:
AB208,7,2423 a. The claimant's zone payroll in the taxable year, minus the claimant's zone
24payroll in the base year.
AB208,8,2
1b. The claimant's state payroll in the taxable year, minus the claimant's state
2payroll in the base year.
AB208,8,63 2. Subtract the number of full-time employees that the claimant employed in
4the area that comprises the rural enterprise development zone in the base year from
5the number of full-time employees that the claimant employed in the rural
6enterprise development zone in the taxable year.
AB208,8,87 3. Multiply the amount determined under subd. 2., but not an amount less than
8zero, by $30,000.
AB208,8,109 4. Subtract the amount determined under subd. 3. from the amount
10determined under subd. 1.
AB208,8,1111 5. Multiply the amount determined under subd. 4. by 7 percent.
AB208,8,1512 (bm) Filing supplemental claims. In addition to the credit under par. (b) and
13subject to the limitations provided in this subsection and s. 560.799, a claimant may
14claim as a credit against the tax imposed under s. 71.02 an amount equal to all of the
15following:
AB208,8,1816 1. The amount of the property taxes that the claimant paid in the taxable year
17for the claimant's personal property that is located in a rural enterprise development
18zone.
AB208,8,2119 2. The amount of taxes imposed under subch. III of ch. 77 that the claimant paid
20in the taxable year on the purchase of tangible personal property and taxable
21services that are used or consumed primarily in a rural enterprise development zone.
AB208,9,222 3. If all of the claimant's payroll is zone payroll and all of the claimant's
23business-related property is located in a rural enterprise development zone, the
24amount obtained by multiplying 20 percent of the sum of the claimant's zone payroll
25in the taxable year and the adjusted basis of the claimant's property at the time that

1the property is first placed in service in the rural enterprise development zone by 6.5
2percent.
AB208,9,73 4. The amount the claimant paid in the taxable year to upgrade or improve the
4skills of any of the claimant's full-time employees, to train any of the claimant's
5full-time employees on the use of new technologies, or to train any full-time
6employee whose employment with the claimant represents the employee's first
7full-time job.
AB208,9,128 (c) Limitations. 1. If the allowable amount of the claim under this subsection
9exceeds the taxes otherwise due on the claimant's income under s. 71.02, the amount
10of the claim that is not used to offset those taxes shall be certified by the department
11of revenue to the department of administration for payment by check, share draft,
12or other draft drawn from the appropriation under s. 20.835 (2) (cm).
AB208,9,2013 2. Partnerships, limited liability companies, and tax-option corporations may
14not claim the credit under this subsection, but the eligibility for, and the amount of,
15the credit are based on their payment of amounts described under pars. (b) and (bm).
16A partnership, limited liability company, or tax-option corporation shall compute
17the amount of credit that each of its partners, members, or shareholders may claim
18and shall provide that information to each of them. Partners, members of limited
19liability companies, and shareholders of tax-option corporations may claim the
20credit in proportion to their ownership interests.
AB208,9,2321 3. No credit may be allowed under this subsection unless the claimant includes
22with the claimant's return a copy of the claimant's certification for tax benefits under
23s. 560.799 (5).
AB208,9,2524 (d) Administration. Section 71.28 (4) (g) and (h), as it applies to the credit under
25s. 71.28 (4), applies to the credit under this subsection.
AB208, s. 8
1Section 8. 71.08 (1) (intro.) of the statutes is amended to read:
AB208,10,112 71.08 (1) Imposition. (intro.) If the tax imposed on a natural person, married
3couple filing jointly, trust, or estate under s. 71.02, not considering the credits under
4ss. 71.07 (1), (2dd), (2de), (2di), (2dj), (2dL), (2dr), (2ds), (2dx), (2fd), (3c), (3e), (3m),
5(3n), (3s), (3t), (3w), (5b), (5d), (6), and (9e), 71.28 (1dd), (1de), (1di), (1dj), (1dL), (1ds),
6(1dx), (1fd), (2m), (3), (3n), and (3t), and (3w), and 71.47 (1dd), (1de), (1di), (1dj),
7(1dL), (1ds), (1dx), (1fd), (2m), (3), (3n), and (3t), and (3w), and subchs. VIII and IX,
8and payments to other states under s. 71.07 (7), is less than the tax under this
9section, there is imposed on that natural person, married couple filing jointly, trust,
10or estate, instead of the tax under s. 71.02, an alternative minimum tax computed
11as follows:
AB208, s. 9 12Section 9. 71.10 (4) (i) of the statutes is amended to read:
AB208,10,2013 71.10 (4) (i) The total of claim of right credit under s. 71.07 (1), farmland
14preservation credit under subch. IX, homestead credit under subch. VIII, farmland
15tax relief credit under s. 71.07 (3m), farmers' drought property tax credit under s.
1671.07 (2fd), rural enterprise development income credit under s. 71.07 (3c), rural
17enterprise development capital gains credit under s. 71.07 (3e), rural enterprise
18development zone jobs credit under s. 71.07 (3w),
earned income tax credit under s.
1971.07 (9e), estimated tax payments under s. 71.09, and taxes withheld under subch.
20X.
AB208, s. 10 21Section 10. 71.21 (4) of the statutes is amended to read:
AB208,10,2422 71.21 (4) Credits computed by a partnership under s. 71.07 (2dd), (2de), (2di),
23(2dj), (2dL), (2dm), (2ds), (2dx), (3g), (3n), (3s), (3t), (3w), and (5b) and passed through
24to partners shall be added to the partnership's income.
AB208, s. 11 25Section 11. 71.26 (2) (a) of the statutes is amended to read:
AB208,11,18
171.26 (2) (a) Corporations in general. The "net income" of a corporation means
2the gross income as computed under the Internal Revenue Code as modified under
3sub. (3) minus the amount of recapture under s. 71.28 (1di) plus the amount of credit
4computed under s. 71.28 (1), (3), (4), and (5) minus, as provided under s. 71.28 (3) (c)
57., the amount of the credit under s. 71.28 (3) that the taxpayer added to income
6under this paragraph at the time that the taxpayer first claimed the credit plus the
7amount of the credit computed under s. 71.28 (1dd), (1de), (1di), (1dj), (1dL), (1dm),
8(1ds), (1dx), (3g), (3n), (3t), (3w), and (5b) and not passed through by a partnership,
9limited liability company, or tax-option corporation that has added that amount to
10the partnership's, limited liability company's, or tax-option corporation's income
11under s. 71.21 (4) or 71.34 (1) (g) plus the amount of losses from the sale or other
12disposition of assets the gain from which would be wholly exempt income, as defined
13in sub. (3) (L), if the assets were sold or otherwise disposed of at a gain and minus
14deductions, as computed under the Internal Revenue Code as modified under sub.
15(3), plus or minus, as appropriate, an amount equal to the difference between the
16federal basis and Wisconsin basis of any asset sold, exchanged, abandoned, or
17otherwise disposed of in a taxable transaction during the taxable year, except as
18provided in par. (b) and s. 71.45 (2) and (5).
AB208, s. 12 19Section 12. 71.28 (3w) of the statutes is created to read:
AB208,11,2120 71.28 (3w) Rural enterprise development zone jobs credit. (a) Definitions.
21In this subsection:
AB208,11,2422 1. "Base year" means the taxable year beginning during the calendar year prior
23to the calendar year in which the rural enterprise development zone in which the
24claimant is located takes effect.
AB208,12,2
12. "Claimant" means a person who is certified to claim tax benefits under s.
2560.799 (5) and who files a claim under this subsection.
AB208,12,53 3. "Full-time employee" means an individual who is employed in a regular,
4nonseasonal job and who, as a condition of employment, is required to work at least
52,080 hours per year, including paid leave and holidays.
AB208,12,76 4. "Rural enterprise development zone" means a zone designated under s.
7560.799.
AB208,12,98 5. "State payroll" means the amount of payroll apportioned to this state, as
9determined under s. 71.25 (8).
AB208,12,1510 6. "Zone payroll" means the amount of state payroll that is attributable to
11compensation paid to individuals for services that are performed in a rural
12enterprise development zone or who are working from an office located in a rural
13enterprise development zone if the work is incidental to any work that the individual
14performs within the rural enterprise development zone. "Zone payroll" does not
15include the amount of compensation paid to any individual that exceeds $100,000.
AB208,12,1816 (b) Filing claims; payroll. Subject to the limitations provided in this subsection
17and s. 560.799, a claimant may claim as a credit against the tax imposed under s.
1871.23 an amount calculated as follows:
AB208,12,1919 1. Determine the amount that is the lesser of:
AB208,12,2120 a. The claimant's zone payroll in the taxable year, minus the claimant's zone
21payroll in the base year.
AB208,12,2322 b. The claimant's state payroll in the taxable year, minus the claimant's state
23payroll in the base year.
AB208,13,224 2. Subtract the number of full-time employees that the claimant employed in
25the area that comprises the rural enterprise development zone in the base year from

1the number of full-time employees that the claimant employed in the rural
2enterprise development zone in the taxable year.
AB208,13,43 3. Multiply the amount determined under subd. 2., but not an amount less than
4zero, by $30,000.
AB208,13,65 4. Subtract the amount determined under subd. 3. from the amount
6determined under subd. 1.
AB208,13,77 5. Multiply the amount determined under subd. 4. by 7 percent.
AB208,13,118 (bm) Filing supplemental claims. In addition to the credit under par. (b) and
9subject to the limitations provided in this subsection and s. 560.799, a claimant may
10claim as a credit against the tax imposed under s. 71.23 an amount equal to all of the
11following:
AB208,13,1412 1. The amount of the property taxes that the claimant paid in the taxable year
13for the claimant's personal property that is located in a rural enterprise development
14zone.
AB208,13,1715 2. The amount of taxes imposed under subch. III of ch. 77 that the claimant paid
16in the taxable year on the purchase of tangible personal property and taxable
17services that are used or consumed primarily in a rural enterprise development zone.
AB208,13,2318 3. If all of the claimant's payroll is zone payroll and all of the claimant's
19business-related property is located in a rural enterprise development zone, the
20amount obtained by multiplying 20 percent of the sum of the claimant's zone payroll
21in the taxable year and the adjusted basis of the claimant's property at the time that
22the property is first placed in service in the rural enterprise development zone by 7.9
23percent.
AB208,14,324 4. The amount the claimant paid in the taxable year to upgrade or improve the
25skills of any of the claimant's full-time employees, to train any of the claimant's

1full-time employees on the use of new technologies, or to train any full-time
2employee whose employment with the claimant represents the employee's first
3full-time job.
AB208,14,84 (c) Limitations. 1. If the allowable amount of the claim under this subsection
5exceeds the taxes otherwise due on the claimant's income under s. 71.23, the amount
6of the claim that is not used to offset those taxes shall be certified by the department
7of revenue to the department of administration for payment by check, share draft,
8or other draft drawn from the appropriation under s. 20.835 (2) (cm).
AB208,14,169 2. Partnerships, limited liability companies, and tax-option corporations may
10not claim the credit under this subsection, but the eligibility for, and the amount of,
11the credit are based on their payment of amounts described under pars. (b) and (bm).
12A partnership, limited liability company, or tax-option corporation shall compute
13the amount of credit that each of its partners, members, or shareholders may claim
14and shall provide that information to each of them. Partners, members of limited
15liability companies, and shareholders of tax-option corporations may claim the
16credit in proportion to their ownership interests.
AB208,14,1917 3. No credit may be allowed under this subsection unless the claimant includes
18with the claimant's return a copy of the claimant's certification for tax benefits under
19s. 560.799 (5).
AB208,14,2120 (d) Administration. Subsection (4) (g) and (h), as it applies to the credit under
21sub. (4), applies to the credit under this subsection.
AB208, s. 13 22Section 13. 71.30 (3) (f) of the statutes is amended to read:
AB208,15,223 71.30 (3) (f) The total of farmers' drought property tax credit under s. 71.28
24(1fd), farmland preservation credit under subch. IX, farmland tax relief credit under

1s. 71.28 (2m), rural enterprise development zone jobs credit under s. 71.28 (3w), and
2estimated tax payments under s. 71.29.
AB208, s. 14 3Section 14. 71.34 (1) (g) of the statutes is amended to read:
AB208,15,64 71.34 (1) (g) An addition shall be made for credits computed by a tax-option
5corporation under s. 71.28 (1dd), (1de), (1di), (1dj), (1dL), (1dm), (1ds), (1dx), (3), (3g),
6(3n), (3t), (3w), and (5b) and passed through to shareholders.
AB208, s. 15 7Section 15. 71.45 (2) (a) 10. of the statutes is amended to read:
AB208,15,138 71.45 (2) (a) 10. By adding to federal taxable income the amount of credit
9computed under s. 71.47 (1dd) to (1dx), (3n), (3w), and (5b) and not passed through
10by a partnership, limited liability company, or tax-option corporation that has added
11that amount to the partnership's, limited liability company's, or tax-option
12corporation's income under s. 71.21 (4) or 71.34 (1) (g) and the amount of credit
13computed under s. 71.47 (1), (3), (3t), (4), and (5).
AB208, s. 16 14Section 16. 71.47 (3w) of the statutes is created to read:
AB208,15,1615 71.47 (3w) Rural enterprise development zone jobs credit. (a) Definitions.
16In this subsection:
AB208,15,1917 1. "Base year" means the taxable year beginning during the calendar year prior
18to the calendar year in which the rural enterprise development zone in which the
19claimant is located takes effect.
AB208,15,2120 2. "Claimant" means a person who is certified to claim tax benefits under s.
21560.799 (5) and who files a claim under this subsection.
AB208,15,2422 3. "Full-time employee" means an individual who is employed in a regular,
23nonseasonal job and who, as a condition of employment, is required to work at least
242,080 hours per year, including paid leave and holidays.
AB208,16,2
14. "Rural enterprise development zone" means a zone designated under s.
2560.799.
AB208,16,43 5. "State payroll" means the amount of payroll apportioned to this state, as
4determined under s. 71.45 (3) (b).
AB208,16,105 6. "Zone payroll" means the amount of state payroll that is attributable to
6compensation paid to individuals for services that are performed in a rural
7enterprise development zone or who are working from an office located in a rural
8enterprise development zone if the work is incidental to any work that the individual
9performs within the rural enterprise development zone. "Zone payroll" does not
10include the amount of compensation paid to any individual that exceeds $100,000.
AB208,16,1311 (b) Filing claims; payroll. Subject to the limitations provided in this subsection
12and s. 560.799, a claimant may claim as a credit against the tax imposed under s.
1371.43 an amount calculated as follows:
AB208,16,1414 1. Determine the amount that is the lesser of:
AB208,16,1615 a. The claimant's zone payroll in the taxable year, minus the claimant's zone
16payroll in the base year.
AB208,16,1817 b. The claimant's state payroll in the taxable year, minus the claimant's state
18payroll in the base year.
AB208,16,2219 2. Subtract the number of full-time employees that the claimant employed in
20the area that comprises the rural enterprise development zone in the base year from
21the number of full-time employees that the claimant employed in the rural
22enterprise development zone in the taxable year.
AB208,16,2423 3. Multiply the amount determined under subd. 2., but not an amount less than
24zero, by $30,000.
AB208,17,2
14. Subtract the amount determined under subd. 3. from the amount
2determined under subd. 1.
AB208,17,33 5. Multiply the amount determined under subd. 4. by 7 percent.
AB208,17,74 (bm) Filing supplemental claims. In addition to the credit under par. (b) and
5subject to the limitations provided in this subsection and s. 560.799, a claimant may
6claim as a credit against the tax imposed under s. 71.43 an amount equal to all of the
7following:
AB208,17,108 1. The amount of the property taxes that the claimant paid in the taxable year
9for the claimant's personal property that is located in a rural enterprise development
10zone.
AB208,17,1311 2. The amount of taxes imposed under subch. III of ch. 77 that the claimant paid
12in the taxable year on the purchase of tangible personal property and taxable
13services that are used or consumed primarily in a rural enterprise development zone.
AB208,17,1914 3. If all of the claimant's payroll is zone payroll and all of the claimant's
15business-related property is located in a rural enterprise development zone, the
16amount obtained by multiplying 20 percent of the sum of the claimant's zone payroll
17in the taxable year and the adjusted basis of the claimant's property at the time that
18the property is first placed in service in the rural enterprise development zone by 7.9
19percent.
AB208,17,2420 4. The amount the claimant paid in the taxable year to upgrade or improve the
21skills of any of the claimant's full-time employees, to train any of the claimant's
22full-time employees on the use of new technologies, or to train any full-time
23employee whose employment with the claimant represents the employee's first
24full-time job.
AB208,18,5
1(c) Limitations. 1. If the allowable amount of the claim under this subsection
2exceeds the taxes otherwise due on the claimant's income under s. 71.43, the amount
3of the claim that is not used to offset those taxes shall be certified by the department
4of revenue to the department of administration for payment by check, share draft,
5or other draft drawn from the appropriation under s. 20.835 (2) (cm).
AB208,18,136 2. Partnerships, limited liability companies, and tax-option corporations may
7not claim the credit under this subsection, but the eligibility for, and the amount of,
8the credit are based on their payment of amounts described under pars. (b) and (bm).
9A partnership, limited liability company, or tax-option corporation shall compute
10the amount of credit that each of its partners, members, or shareholders may claim
11and shall provide that information to each of them. Partners, members of limited
12liability companies, and shareholders of tax-option corporations may claim the
13credit in proportion to their ownership interests.
AB208,18,1614 3. No credit may be allowed under this subsection unless the claimant includes
15with the claimant's return a copy of the claimant's certification for tax benefits under
16s. 560.799 (5).
AB208,18,1817 (d) Administration. Section 71.28 (4) (g) and (h), as it applies to the credit under
18s. 71.28 (4), applies to the credit under this subsection.
AB208, s. 17 19Section 17. 71.49 (1) (f) of the statutes is amended to read:
AB208,18,2320 71.49 (1) (f) The total of farmers' drought property tax credit under s. 71.47
21(1fd), farmland preservation credit under subch. IX, farmland tax relief credit under
22s. 71.47 (2m), rural enterprise development zone jobs credit under s. 71.47 (3w), and
23estimated tax payments under s. 71.48.
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