238.305(2)
(2) Supplies false or misleading information to obtain tax benefits under
s. 238.303.
238.305(3)
(3) Leaves the state to conduct substantially the same business outside of the state.
238.305(4)
(4) Ceases operations in the state and does not renew operation of the business or a similar business within 12 months.
238.305 History
History: 2009 a. 2;
2011 a. 32 s.
3417; Stats. 2011 s. 238.305.
238.306
238.306
Responsibilities of the corporation. The corporation shall do all of the following:
238.306(1)(b)
(b) Notify and obtain written approval from the chief executive officer of the corporation for any certification under
sub. (2) (j).
238.306(2)
(2) Rules. Establish by rule all of the following:
238.306(2)(a)
(a) A schedule of hourly wage ranges to be paid, and health insurance benefits to be provided, to an employee by a person certified under
s. 238.301 (2) and the corresponding per employee tax benefit for which a person certified under
s. 238.301 (2) may be eligible.
238.306(2)(b)
(b) A definition of “significant investment of capital" for purposes of
s. 238.302 (2), together with a corresponding schedule of tax benefits for which a person who is certified under
s. 238.301 (2) and who conducts a project described in
s. 238.302 (2) may be eligible. The corporation shall include in the definition required under this paragraph a schedule of investments that takes into consideration the size or nature of the business.
238.306(2)(c)
(c) A definition of “significant investments in the training or reeducation of employees" for purposes of
s. 238.302 (3), together with a corresponding schedule of tax benefits for which a person who is certified under
s. 238.301 (2) and who conducts a project under
s. 238.302 (3) may be eligible.
238.306(2)(d)
(d) A schedule of tax benefits for which a person who is certified under
s. 238.301 (2) and who conducts a project that will result in the location or retention of a person's corporate headquarters in Wisconsin may be eligible.
238.306(2)(e)
(e) The methodology for designating an area as economically distressed under
s. 238.304 (1). The methodology under this paragraph shall require the corporation to consider the most current data available for the area and for the state on the following indicators:
238.306(2)(e)7.
7. Other significant or irregular indicators of economic distress, such as a natural disaster.
238.306(2)(f)
(f) A schedule of additional tax benefits for which a person who is certified under
s. 238.301 (2) and who conducts an eligible activity described under
s. 238.304 may be eligible.
238.306(2)(g)
(g) Reporting requirements, minimum benchmarks, and outcomes expected of a person certified under
s. 238.301 (2) before that person may receive tax benefits under
s. 238.303.
238.306(2)(h)
(h) Policies, criteria, and methodology for allocating a portion of the tax benefits available under
s. 238.303 to rural areas.
238.306(2)(i)
(i) Policies, criteria, and methodology for allocating a portion of the tax benefits available under
s. 238.303 to small businesses.
238.306(2)(j)
(j) Policies and criteria for certifying a person who may be eligible for tax benefits greater than or equal to $3,000,000.
238.306(3)
(3) Reporting. Annually, 6 months after the report has been submitted under
s. 238.07 (2), submit to the joint legislative audit committee and to the appropriate standing committees of the legislature under
s. 13.172 (3) a comprehensive report assessing the program under
ss. 238.301 to
238.306. The report under this subsection shall update the applicable information provided in the report under
s. 238.07 (2).
238.306 History
History: 2009 a. 2;
2011 a. 32 s.
3418; Stats. 2011 s. 238.306.
238.308
238.308
Business development tax credit. 238.308(1)
(1)
Definition. In this section, “eligible employee" means a person employed in a full-time job by a person certified under
sub. (2).
238.308(2)(a)(a) The corporation may certify a person to receive tax benefits under this section if all of the following apply:
238.308(2)(a)1.
1. The person is operating or intends to operate a business in this state.
238.308(2)(a)2.
2. The person applies under this section and enters into a contract with the corporation.
238.308(2)(b)
(b) The certification of a person under
par. (a) may remain in effect for no more than 10 cumulative years.
238.308(3)
(3) Eligibility for tax benefits. A person is eligible to receive tax benefits if, in each year for which the person claims tax benefits under this section, the person increases net employment in this state in the person's business above the net employment in this state in the person's business during the year before the person was certified under
sub. (2), as determined by the corporation under its policies and procedures.
238.308(4)(a)(a) The corporation may award all of the following tax benefits to a person certified under
sub. (2):
238.308(4)(a)1.
1. An amount equal to up to 10 percent of the amount of wages that the person paid to an eligible employee in the taxable year.
238.308(4)(a)2.
2. In addition to any tax benefits awarded for an eligible employee under
subd. 1., an amount equal to up to 5 percent of the amount of wages that the person paid to the eligible employee in the taxable year, if the eligible employee is employed in an economically distressed area, as determined by the corporation.
238.308(4)(a)3.
3. An amount equal to up to 50 percent of the person's training costs incurred to undertake activities to enhance an eligible employee's general knowledge, employability, and flexibility in the workplace; to develop skills unique to the person's workplace or equipment; or to develop skills that will increase the quality of the person's product.
238.308(4)(a)4.
4. An amount equal to up to 3 percent of the person's personal property investment and up to 5 percent of the person's real property investment in a capital investment project, if the project involves a total capital investment of at least $1,000,000 or, if less than $1,000,000, the project involves a capital investment that is equal to at least $10,000 per eligible employee employed on the project.
238.308(4)(a)5.
5. An amount, as determined by the corporation, equal to a percentage of the amount of wages that the person paid to an eligible employee in the taxable year, if the position in which the eligible employee was employed was created or retained in connection with the person's location or retention of the person's corporate headquarters in Wisconsin and the job duties associated with the eligible employee's position involve the performance of corporate headquarters functions.
238.308(4)(b)
(b) Subject to a reallocation by the corporation under
s. 238.15 (3) (d), the corporation may allocate up to $17,000,000 in tax benefits under this section in 2016 and up to $22,000,000 per year thereafter. Any unused allocation may be carried forward.
238.308(5)(a)(a) The corporation may require a person to repay any tax benefits the person claims for a year in which the person failed to employ an eligible employee required by an agreement under
sub. (2) (b).
238.308(5)(c)
(c) The corporation shall adopt policies and procedures for the implementation and operation of this section.
238.308 History
History: 2015 a. 55.
238.31
238.31
Designation of development zone. 238.31(1)
(1) The corporation may designate an area as a development zone if all of the following apply:
238.31(1)(ac)
(ac) The corporation has invited a local governing body to nominate the area under
s. 238.315.
238.31(1)(b)
(b) The corporation has evaluated the local governing body's application as described in
s. 238.325.
238.31(1)(e)
(e) The corporation determines all of the following:
238.31(1)(e)1.
1. That designation of the area as a development zone will serve a public purpose.
238.31(1)(e)2.
2. That designation of the area as a development zone will likely retain or increase employment in the area.
238.31(1)(e)3.
3. That economic development in the area is not likely to occur or continue without the corporation's designation of the area as a development zone.
238.31(1)(e)4.
4. That the area meets at least 3 of the following criteria:
238.31(1)(e)4.a.
a. The unemployment rate in the area is higher than the state average for the 18 months immediately preceding the date on which the application under
s. 238.32 (2) or
(3) was submitted to the corporation.
238.31(1)(e)4.b.
b. The percentage of persons residing in the area who are members of households with household income levels at or below 80 percent of the statewide median household income is higher than the state average.
238.31(1)(e)4.c.
c. The percentage of households in the area receiving unemployment insurance under
ch. 108, relief funded by a relief block grant under
ch. 49, or aid to families with dependent children under
s. 49.19 is higher than the state average.
238.31(1)(e)4.d.
d. In the 36 months immediately preceding the date on which the application under
s. 238.32 (2) or
(3) was submitted to the corporation, a number of workers in the area were permanently laid off by their employer or became unemployed as a result of a business action subject to
s. 109.07 (1m).
238.31(1)(e)4.e.
e. An employer in the vicinity of the area has given public notice under
s. 109.07 (1m) (a) of either a business closing or a mass layoff of at least 25 employees, or 25 percent of the employees, of a business, whichever is greater, that will result in a number of workers in the area being laid off permanently.
238.31(1m)
(1m) In making a determination under
sub. (1) (e), the corporation shall consider all of the following:
238.31(1m)(a)
(a) The extent of poverty, unemployment, or other factors contributing to general economic hardship in the area.
238.31(1m)(b)
(b) The prospects for new investment and economic development in the area.
238.31(1m)(c)
(c) The amount of investment that is likely to result from the designation of the area as a development zone.
238.31(1m)(d)
(d) The number of full-time jobs that are likely to be created or retained in the area as a result of its designation as a development zone.
238.31(1m)(e)
(e) The number of full-time jobs that are likely to be available to the target population as a result of the designation of the area as a development zone.
238.31(1m)(f)
(f) The competitive effect of designating the area as a development zone on other businesses in the vicinity of the area.
238.31(1m)(h)
(h) Any other factors that the corporation considers relevant.
238.31(2)
(2) In determining whether an area meets the requirements under
sub. (1) (e) or
s. 238.335, the corporation may rely on any data provided by the local governing body that the corporation determines is relevant.
238.31(3)
(3) The corporation shall do all of the following:
238.31(3)(a)
(a) Determine the number of development zones designated under
sub. (1) but may not designate more than 22 development zones over the life of the program.
238.31(3)(b)
(b) Divide the number of development zones as evenly as possible between metropolitan statistical areas and areas that are not metropolitan statistical areas.
238.31(3)(c)1.1. Designate at least one development zone that is entirely within a 1st class city.
238.31(3)(c)2.
2. Designate at least 2 development zones that are each at least partially within an Indian reservation.
238.31(3)(c)3.
3. Of the development zones that are designated after April 25, 1996, designate one that is in an urban area.
238.31(4)
(4) No development zone may be designated under this section after March 6, 2009.
238.315
238.315
Invitation to nominate area. If the corporation determines that an area has experienced or is about to experience economic distress, the corporation may invite local governing bodies in the area to nominate the area as a development zone.
238.315 History
History: 1997 a. 103;
2011 a. 32 s.
3420; Stats. 2011 s. 238.315.
