AB528,6,2018 71.21 (4) Credits computed by a partnership under s. 71.07 (2dd), (2de), (2di),
19(2dj), (2dL), (2dm), (2ds), (2dx), (3g), (3n), (3s), (3t), (3w), and (5b) and passed through
20to partners shall be added to the partnership's income.
AB528, s. 11 21Section 11. 71.26 (2) (a) of the statutes is amended to read:
AB528,7,1422 71.26 (2) (a) Corporations in general. The "net income" of a corporation means
23the gross income as computed under the Internal Revenue Code as modified under
24sub. (3) minus the amount of recapture under s. 71.28 (1di) plus the amount of credit
25computed under s. 71.28 (1), (3), (4), and (5) minus, as provided under s. 71.28 (3) (c)

17., the amount of the credit under s. 71.28 (3) that the taxpayer added to income
2under this paragraph at the time that the taxpayer first claimed the credit plus the
3amount of the credit computed under s. 71.28 (1dd), (1de), (1di), (1dj), (1dL), (1dm),
4(1ds), (1dx), (3g), (3n), (3t), (3w), and (5b) and not passed through by a partnership,
5limited liability company, or tax-option corporation that has added that amount to
6the partnership's, limited liability company's, or tax-option corporation's income
7under s. 71.21 (4) or 71.34 (1) (g) plus the amount of losses from the sale or other
8disposition of assets the gain from which would be wholly exempt income, as defined
9in sub. (3) (L), if the assets were sold or otherwise disposed of at a gain and minus
10deductions, as computed under the Internal Revenue Code as modified under sub.
11(3), plus or minus, as appropriate, an amount equal to the difference between the
12federal basis and Wisconsin basis of any asset sold, exchanged, abandoned, or
13otherwise disposed of in a taxable transaction during the taxable year, except as
14provided in par. (b) and s. 71.45 (2) and (5).
AB528, s. 12 15Section 12. 71.28 (3w) of the statutes is created to read:
AB528,7,1816 71.28 (3w) Comparable worth credit. (a) Definition. In this subsection,
17"claimant" means a person who files a claim under this subsection and who is
18certified to receive tax benefits under s. 111.365 (3).
AB528,7,2419 (b) Filing claims. For taxable years beginning after December 31, 2005, and
20before January 1, 2016, subject to the limitations provided under this subsection and
21s. 111.365 (3), a claimant may claim as a credit against the tax imposed under s.
2271.23, up to the amount of the tax, an amount equal to the amount of the wage
23differential the claimant paid to the claimant's employees to achieve compliance with
24s. 111.365 (2) (a).
AB528,8,8
1(c) Limitations. Partnerships, limited liability companies, and tax-option
2corporations may not claim the credit under this subsection, but the eligibility for,
3and the amount of, the credit are based on their payment of amounts described under
4par. (b). A partnership, limited liability company, or tax-option corporation shall
5compute the amount of credit that each of its partners, members, or shareholders
6may claim and shall provide that information to each of them. Partners, members
7of limited liability companies, and shareholders of tax-option corporations may
8claim the credit in proportion to their ownership interests.
AB528,8,109 (d) Administration. Subsection (4) (e) to (h), as it applies to the credit under
10sub. (4), applies to the credit under this subsection.
AB528, s. 13 11Section 13. 71.30 (3) (dm) of the statutes is created to read:
AB528,8,1212 71.30 (3) (dm) Comparable worth credit under s. 71.28 (3w).
AB528, s. 14 13Section 14. 71.34 (1) (g) of the statutes is amended to read:
AB528,8,1614 71.34 (1) (g) An addition shall be made for credits computed by a tax-option
15corporation under s. 71.28 (1dd), (1de), (1di), (1dj), (1dL), (1dm), (1ds), (1dx), (3), (3g),
16(3n), (3t), (3w), and (5b) and passed through to shareholders.
AB528, s. 15 17Section 15. 71.45 (2) (a) 10. of the statutes is amended to read:
AB528,8,2318 71.45 (2) (a) 10. By adding to federal taxable income the amount of credit
19computed under s. 71.47 (1dd) to (1dx), (3n), (3w), and (5b) and not passed through
20by a partnership, limited liability company, or tax-option corporation that has added
21that amount to the partnership's, limited liability company's, or tax-option
22corporation's income under s. 71.21 (4) or 71.34 (1) (g) and the amount of credit
23computed under s. 71.47 (1), (3), (3t), (4), and (5).
AB528, s. 16 24Section 16. 71.47 (3w) of the statutes is created to read:
AB528,9,3
171.47 (3w) Comparable worth credit. (a) Definition. In this subsection,
2"claimant" means a person who files a claim under this subsection and who is
3certified to receive tax benefits under s. 111.365 (3).
AB528,9,94 (b) Filing claims. For taxable years beginning after December 31, 2005, and
5before January 1, 2016, subject to the limitations provided under this subsection and
6s. 111.365 (3), a claimant may claim as a credit against the tax imposed under s.
771.43, up to the amount of the tax, an amount equal to the amount of the wage
8differential the claimant paid to the claimant's employees to achieve compliance with
9s. 111.365 (2) (a).
AB528,9,1710 (c) Limitations. Partnerships, limited liability companies, and tax-option
11corporations may not claim the credit under this subsection, but the eligibility for,
12and the amount of, the credit are based on their payment of amounts described under
13par. (b). A partnership, limited liability company, or tax-option corporation shall
14compute the amount of credit that each of its partners, members, or shareholders
15may claim and shall provide that information to each of them. Partners, members
16of limited liability companies, and shareholders of tax-option corporations may
17claim the credit in proportion to their ownership interests.
AB528,9,1918 (d) Administration. Section 71.28 (4) (e) to (h), as it applies to the credit under
19s. 71.28 (4), applies to the credit under this subsection.
AB528, s. 17 20Section 17. 71.49 (1) (dm) of the statutes is created to read:
AB528,9,2121 71.49 (1) (dm) Comparable worth credit under s. 71.28 (3w).
AB528, s. 18 22Section 18. 77.52 (2) (a) 21. of the statutes is created to read:
AB528,9,2323 77.52 (2) (a) 21. Legal services.
AB528, s. 19 24Section 19. 77.67 of the statutes is created to read:
AB528,10,3
177.67 Comparable worth fund. The department of revenue shall deposit the
2amount of the taxes imposed under this subchapter on legal services under s. 77.52
3(2) (a) 21. into the comparable worth fund.
AB528, s. 20 4Section 20. 77.92 (4) of the statutes is amended to read:
AB528,10,195 77.92 (4) "Net business income," with respect to a partnership, means taxable
6income as calculated under section 703 of the Internal Revenue Code; plus the items
7of income and gain under section 702 of the Internal Revenue Code, including taxable
8state and municipal bond interest and excluding nontaxable interest income or
9dividend income from federal government obligations; minus the items of loss and
10deduction under section 702 of the Internal Revenue Code, except items that are not
11deductible under s. 71.21; plus guaranteed payments to partners under section 707
12(c) of the Internal Revenue Code; plus the credits claimed under s. 71.07 (2dd), (2de),
13(2di), (2dj), (2dL), (2dm), (2dr), (2ds), (2dx), (3g), (3s), (3n), (3t), (3w), and (5b); and
14plus or minus, as appropriate, transitional adjustments, depreciation differences,
15and basis differences under s. 71.05 (13), (15), (16), (17), and (19); but excluding
16income, gain, loss, and deductions from farming. "Net business income," with respect
17to a natural person, estate, or trust, means profit from a trade or business for federal
18income tax purposes and includes net income derived as an employee as defined in
19section 3121 (d) (3) of the Internal Revenue Code.
AB528, s. 21 20Section 21. 111.365 of the statutes is created to read:
AB528,10,21 21111.365 Comparable worth. (1) Definitions. In this section:
AB528,10,2522 (a) "Local governmental unit" means a political subdivision of this state, a
23special purpose district in this state, an instrumentality or corporation of such a
24political subdivision or special purpose district, a combination or subunit of any of
25the foregoing, or an instrumentality of the state or any of the foregoing.
AB528,11,2
1(b) "Tax benefit" means the comparable worth credit under ss. 71.07 (3w), 71.28
2(3w), and 71.47 (3w).
AB528,11,53 (c) "Wage differential" means the difference between the amount of wages paid
4by an employer to achieve compliance with sub. (2) (a) and the amount of wages that
5the employer would have paid, but for the employer's compliance with sub. (2) (a).
AB528,11,15 6(2) Equal pay for jobs of comparable worth. (a) Beginning on January 1,
72016, employment discrimination because of sex includes discriminating between an
8employee employed at a place of business in a job that is dominated by employees of
9a particular sex and an employee employed at the same place of business in a job that
10is dominated by employees of the opposite sex in compensation paid for work that is
11of comparable worth, as measured by the composite of the skill, effort, and
12responsibility normally required in the performance of the work and the conditions
13under which the work is normally performed. An employer may not achieve
14compliance with this paragraph by reducing the compensation of any employee or
15reducing the rate of compensation for any position.
AB528,11,1916 (b) Paragraph (a) does not prohibit the payment of different compensation to
17employees when that compensation is calculated under a bona fide seniority system,
18a merit system, or a system that measures earnings by quality or quantity of
19production.
AB528,11,2120 (c) No labor organization may cause or attempt to cause an employer to
21discriminate against an employee in violation of par. (a).
AB528,12,222 (d) Paragraph (a) does not preclude an employer that is subject to taxation
23under ch. 71, a local governmental unit, or an agency from achieving compliance with
24par. (a) before January 1, 2016, and receiving tax benefits, a grant, or an

1appropriation supplement in the amount of the wage differential paid to achieve that
2compliance as provided in subs. (3) to (5).
AB528,12,7 3(3) Tax benefits. (a) The department may certify as eligible for tax benefits
4an employer subject to taxation under ch. 71 that pays a wage differential to achieve
5compliance with sub. (2) (a). An employer that pays or proposes to pay a wage
6differential and that desires to claim tax benefits shall submit to the department an
7application and a plan for achieving compliance that includes all of the following:
AB528,12,98 1. The name and address of the place of business for which tax benefits will be
9claimed.
AB528,12,1010 2. The appropriate Wisconsin tax identification number of the employer.
AB528,12,1411 3. Information relating to the job classifications in which the employer's
12employees are placed and the wage rates paid for those job classifications and
13documentation of the method, system, calculations, or other bases used to determine
14the wage rates for the employer's job classifications.
AB528,12,1815 4. An evaluation of the comparable worth of the employer's job classifications,
16as measured by the skill, effort, and responsibility normally required in the
17performance of the work and the conditions under which the work is normally
18performed.
AB528,12,2019 5. The amount of the wage differential that the employer is paying or proposes
20to pay to achieve compliance with sub. (2) (a).
AB528,12,2221 6. Any other information required by the department of workforce development
22or the department of revenue.
AB528,13,523 (b) Subject to par. (f), if the department approves an application and plan
24submitted under par. (a), the department shall certify the employer as eligible for tax
25benefits in the amount of the wage differential that the employer is paying or

1proposes to pay to achieve compliance with sub. (2) (a), as determined by the
2department. Within 30 days after certifying an employer under this paragraph, the
3department of workforce development shall notify the department of revenue that
4the employer has been so certified and shall verify the amount of tax credits that the
5employer may claim.
AB528,13,76 (c) The department shall annually verify information submitted to the
7department under ss. 71.07 (3w), 71.28 (3w), and 71.47 (ew).
AB528,13,98 (d) The department shall revoke an employer's certification under par. (b) if the
9employer does any of the following:
AB528,13,1010 1. Supplies false or misleading information to obtain the tax benefits.
AB528,13,1111 2. Fails to maintain compliance with sub. (2) (a).
AB528,13,1412 (e) Within 30 days after revoking an employer's certification under par. (d), the
13department of workforce development shall notify the department of revenue of that
14revocation.
AB528,13,1615 (f) No employer may be certified as eligible for tax benefits for any taxable year
16that begins on or after January 1, 2016.
AB528,13,23 17(4) Grants and revenue limit increases. (a) From the appropriation account
18under s. 20.445 (1) (sq), the department shall provide grants to local governmental
19units that pay a wage differential to achieve compliance with sub. (2) (a). A local
20governmental unit that pays or proposes to pay a wage differential and that desires
21to receive a grant under this paragraph shall submit to the department an
22application and a plan for achieving compliance that includes the information
23specified in sub. (3) (a).
AB528,14,1124 (b) Subject to par. (e), if the department approves an application and plan
25submitted under par. (a), the department shall provide a grant to the local

1governmental unit equal to the amount of the wage differential that the local
2governmental unit is paying or proposes to pay to achieve compliance with sub. (2)
3(a), as determined by the department. Subject to par. (e), if the department approves
4an application and plan submitted by a school district under par. (a), the school
5district, in addition to receiving a grant under this paragraph, shall receive an
6increase in its revenue limit under s. 121.91 (2m) as provided in s. 121.91 (4) (L). If
7in any fiscal year insufficient moneys are available in the appropriation account
8under s. 20.445 (1) (sq) to fund the full amount of wage differentials paid by all local
9governmental units, the department shall prorate the grants provided under this
10paragraph in the proportion that the moneys available bear to the full amount of
11wage differentials paid by those local governmental units.
AB528,14,1312 (c) The department shall revoke a local governmental unit's grant under par.
13(b) if the local governmental unit does any of the following:
AB528,14,1414 1. Supplies false or misleading information to obtain the grant.
AB528,14,1515 2. Fails to maintain compliance with sub. (2) (a).
AB528,14,1816 (d) The department may require a local governmental unit to repay any grant
17moneys received by the local governmental unit for any year in which the local
18governmental unit failed to maintain compliance with sub. (2) (a).
AB528,14,2219 (e) No grant moneys provided under par. (b) may be used to pay a wage
20differential for any work performed after December 31, 2015. A school district's
21revenue limit under s. 121.91 (2m) may not be increased under s. 121.91 (4) (L) in any
22school year after the 2015-16 school year.
AB528,15,3 23(5) Appropriation supplements. (a) The department may certify as eligible for
24an appropriation supplement under s. 20.928 (1) an agency that pays a wage
25differential to achieve compliance with sub. (2) (a). An agency that pays or proposes

1to pay a wage differential and that desires to receive an appropriation supplement
2shall submit to the department an application and a plan for achieving compliance
3that includes the information specified in sub. (3) (a).
AB528,15,134 (b) Subject to par. (f), if the department approves an application and plan
5submitted under par. (a), the department shall certify the agency as eligible for an
6appropriation supplement in the amount of the wage differential that the agency is
7paying or proposes to pay to achieve compliance with sub. (2) (a), as determined by
8the department. If in any fiscal year insufficient moneys are available in the
9appropriation account under s. 20.865 (1) (sq) to fund the full amount of wage
10differentials paid by all agencies, the secretary of administration shall prorate the
11appropriation supplements provided from that appropriation account in the
12proportion that the moneys available bear to the full amount of wage differentials
13paid by those agencies.
AB528,15,1714 (c) Within 30 days after certifying an agency under par. (b), the department of
15workforce development shall notify the department of administration and the
16agency that the agency has been so certified and shall verify the amount of the
17appropriation supplement for which the agency may apply under s. 20.928 (1).
AB528,15,1918 (d) The department shall revoke an agency's certification under par. (b) if the
19agency does any of the following:
AB528,15,2020 1. Supplies false or misleading information to obtain the certification.
AB528,15,2121 2. Fails to maintain compliance with sub. (2) (a).
AB528,15,2422 (e) Within 30 days after revoking an agency's certification under par. (d), the
23department of workforce development shall notify the department of administration
24of that revocation.
AB528,16,2
1(f) No moneys from the appropriation account under s. 20.865 (1) (sq) may be
2used to pay a wage differential for any work performed after December 31, 2015.
AB528,16,4 3(6) Rules. The department shall promulgate rules for the administration of
4this section, including rules relating to all of the following:
AB528,16,75 (a) Guidelines for determining whether a job classification is dominated by
6persons of a particular sex and for determining the comparable worth of different job
7classifications.
AB528,16,128 (b) Criteria for certifying an employer subject to taxation under ch. 71 as
9eligible for tax benefits under sub. (3), for approving a local governmental unit for
10a grant under sub. (4), and for certifying an agency as eligible for an appropriation
11supplement under sub. (5) and standards for determining the amount of those tax
12benefits, grants, and appropriation supplements.
AB528,16,1513 (c) Reporting requirements for employers certified for tax benefits under sub.
14(3), local governmental units that receive grants under sub. (4), and agencies
15certified for appropriation supplements under sub. (5).
AB528,16,1816 (d) The exchange of information between the department of workforce
17development and the department of revenue, the department of public instruction,
18and the department of administration.
AB528, s. 22 19Section 22. 121.91 (4) (L) of the statutes is created to read:
AB528,17,220 121.91 (4) (L) If the department of workforce development approves a school
21district's plan under s. 111.365 (4) (a) for achieving compliance with the requirement
22under s. 111.365 (2) (a) that an employer not discriminate in compensation paid for
23work that is comparable worth, the limit under sub. (2m) is increased by an amount
24equal to the wage differential, as defined in s. 111.365 (1) (c), paid by the school

1district to achieve that compliance, as determined by the department of workforce
2development. This paragraph does not apply after the 2015-16 school year.
AB528, s. 23 3Section 23. Initial applicability.
AB528,17,84 (1) Equal pay for jobs of comparable worth. The treatment of section 111.365
5(2) of the statutes first applies to an employee who is affected by a collective
6bargaining agreement that contains provisions that are inconsistent with that
7treatment on the day on which the collective bargaining agreement expires or is
8extended, modified, or renewed, whichever occurs first.
AB528,17,119 (2) Revenue limit adjustment. The treatment of section 121.91 (4) (L) of the
10statutes first applies to the computation of a school district's revenue limit for the
11school year beginning after the effective date of this subsection.
AB528, s. 24 12Section 24. Effective date.
AB528,17,1413 (1) This act takes effect on the day after publication, or on the 2nd day after
14publication of the 2005-07 biennial budget act, whichever is later.
AB528,17,1515 (End)
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