AB100: Bill Text Engrossed

AB100-engrossed,1221,5 77.51 (15) (b) 4. In all transactions, except those to which subd. 6. applies, in which an article of tangible personal property is traded toward the purchase of an article of greater value, the sales price shall be only that portion of the purchase price represented by the difference between the full purchase price of the article of greater value and the amount allowed for the article traded.

AB100-engrossed, s. 2385 Section 2385. 77.51 (15) (b) 6. of the statutes is created to read:

AB100-engrossed,1221,11 77.51 (15) (b) 6. For the sale of a manufactured building, as defined in s. 101.71 (6); at the retailer's option, except that after a retailer chooses an option, the retailer may not use the other option for other sales without the department's written approval; either 35% of the sales price or an amount equal to the sales price minus the cost of the materials that become an ingredient or component part of the building.

AB100-engrossed, s. 2386 Section 2386. 77.51 (17r) of the statutes is created to read:

AB100-engrossed,1221,14 77.51 (17r) "Sign" means write one's signature or, if the department prescribes another method of authenticating, use that other method.

AB100-engrossed, s. 2386g Section 2386g. 77.51 (18) (intro.) of the statutes is renumbered 77.51 (18) and amended to read:

AB100-engrossed,1221,19 77.51 (18) "Storage" includes any keeping or retention in this state of tangible personal property purchased from a retailer for any purpose except the following: sale in the regular course of business.

AB100-engrossed, s. 2386h Section 2386h. 77.51 (18) (a) and (b) of the statutes are repealed.

AB100-engrossed, s. 2386j Section 2386j. 77.51 (21m) of the statutes is amended to read:

AB100-engrossed,1222,9 77.51 (21m) "Telecommunications services" means sending messages and information transmitted through the use of local, toll and wide-area telephone service; channel services; telegraph services; teletypewriter; computer exchange services; cellular mobile telecommunications service; specialized mobile radio; stationary two-way radio; paging service; or any other form of mobile and portable one-way or two-way communications; or any other transmission of messages or information by electronic or similar means between or among points by wire, cable, fiber optics, laser, microwave, radio, satellite or similar facilities. "Telecommunications services" does not include sending collect telecommunications that are received outside of the state. In this subsection, "computer exchange services" does not include providing access to or use of the internet. In this subsection, "internet" means interconnecting networks that are connected to network access points by telecommunications services.

AB100-engrossed, s. 2386p Section 2386p. 77.51 (22) (a) of the statutes is amended to read:

AB100-engrossed,1222,16 77.51 (22) (a) "Use" includes the exercise of any right or power over tangible personal property or taxable services incident to the ownership, possession or enjoyment of the property or services, or the results produced by the services, including installation or affixation to real property and including the possession of, or the exercise of any right or power over tangible personal property by a lessee under a lease, except that "use" does not include the activities under sub. (18) (a) and (b).

AB100-engrossed, s. 2386q Section 2386q. 77.52 (2) (a) 1. of the statutes is amended to read:

AB100-engrossed,1223,12 77.52 (2) (a) 1. The furnishing of rooms or lodging to transients by hotelkeepers, motel operators and other persons furnishing accommodations that are available to the public, irrespective of whether membership is required for use of the accommodations, not including the furnishing of rooms or lodging through the sale of a time-share property, as defined in s. 707.02 (32), if the use of the rooms or lodging is not fixed at the time of sale as to the starting day or the lodging unit. In this subdivision, "transient" means any person residing for a continuous period of less than one month in a hotel, motel or other furnished accommodations available to the public. In this subdivision, "hotel" or "motel" means a building or group of buildings in which the public may obtain accommodations for a consideration, including, without limitation, such establishments as inns, motels, tourist homes, tourist houses or courts, lodging houses, rooming houses, summer camps, apartment hotels, resort lodges and cabins and any other building or group of buildings in which accommodations are available to the public, except accommodations, including mobile homes as defined in s. 66.058 (1) (d), rented for a continuous period of more than one month and accommodations furnished by any hospitals, sanatoriums, or nursing homes, or by corporations or associations organized and operated exclusively for religious, charitable or educational purposes provided that no part of the net earnings of such corporations and associations inures to the benefit of any private shareholder or individual.

AB100-engrossed, s. 2387 Section 2387. 77.52 (2) (a) 5. of the statutes is amended to read:

AB100-engrossed,1223,19 77.52 (2) (a) 5. The sale of telecommunications services that either originate or terminate in this state; except services that are obtained by means of a toll-free number, that originate outside this state and that terminate in this state; and are charged to a service address in this state, regardless of the location where that charge is billed or paid , and the sale of telecommunications services that are paid for before the services are rendered.

AB100-engrossed, s. 2388 Section 2388. 77.52 (2) (a) 5m. of the statutes is created to read:

AB100-engrossed,1223,25 77.52 (2) (a) 5m. The sale of services that consist of recording telecommunications messages and transmitting them to the purchaser of the service or at that purchaser's direction, but not including those services if they are merely an incidental, as defined in s. 77.51 (5), element of another service that is sold to that purchaser and is not taxable under this subchapter.

AB100-engrossed, s. 2388m Section 2388m. 77.52 (7) of the statutes is created to read:

AB100-engrossed,1224,14 77.52 (7) Every person desiring to operate as a seller within this state who holds a valid certificate under s. 73.03 (50) shall file with the department an application for a permit for each place of operations. Every application for a permit shall be made upon a form prescribed by the department and shall set forth the name under which the applicant intends to operate, the location of the applicant's place of operations, and the other information that the department requires. The application shall be signed by the owner if a sole proprietor; in the case of sellers other than sole proprietors, the application shall be signed by the person authorized to act on behalf of such sellers. A nonprofit organization that has gross receipts taxable under s. 77.54 (7m) shall obtain a seller's permit and pay taxes under this subchapter on all taxable gross receipts received after it is required to obtain that permit. If that organization becomes eligible later for the exemption under s. 77.54 (7m) except for its possession of a seller's permit, it may surrender that permit.

AB100-engrossed, s. 2388no Section 2388no. 77.52 (9) of the statutes is repealed and recreated to read:

AB100-engrossed,1224,21 77.52 (9) After compliance with sub. (7) and s. 77.61 (2) by the applicant, the department shall grant and issue to each applicant a separate permit for each place of operations within the state. A permit is not assignable and is valid only for the person in whose name it is issued and for the transaction of operations at the place designated in it. It shall at all times be conspicuously displayed at the place for which it was issued.

AB100-engrossed, s. 2388p Section 2388p. 77.52 (12) of the statutes is amended to read:

AB100-engrossed,1225,7 77.52 (12) A person who operates as a seller in this state without a permit or after a permit has been suspended, or revoked or has expired, unless the person has a temporary permit under sub. (11), and each officer of any corporation, partnership member, limited liability company member or other person authorized to act on behalf of a seller who so operates, is guilty of a misdemeanor. Permits shall be held only by persons actively operating as sellers of tangible personal property or taxable services. Any person not so operating shall forthwith surrender that person's permit to the department for cancellation. The department may revoke the permit of a person found not to be actively operating as a seller of tangible personal property or taxable services.

AB100-engrossed, s. 2391 Section 2391. 77.52 (17m) (a) of the statutes is amended to read:

AB100-engrossed,1225,11 77.52 (17m) (a) A person who holds a valid certificate issued under s. 73.03 (50) may apply for a direct pay permit by submitting to the department filing a completed form that the department prescribes.

AB100-engrossed, s. 2391m Section 2391m. 77.52 (17m) (b) 7. of the statutes is amended to read:

AB100-engrossed,1225,14 77.52 (17m) (b) 7. The applicant holds a valid certificate under s. 73.03 (50) permit under sub. (9) or is registered under s. 77.53 (9).

AB100-engrossed, s. 2391mn Section 2391mn. 77.525 of the statutes is created to read:

AB100-engrossed,1225,23 77.525 Reduction to prevent double taxation. Any person who is subject to the tax under s. 77.52 (2) (a) 5. on telecommunications services that terminate in this state and who has paid a similar tax on the same services to another state may reduce the amount of the tax remitted to this state by an amount equal to the similar tax properly paid to another state on those services or by the amount due this state on those services, whichever is less. That person shall refund proportionally to the persons to whom the tax under s. 77.52 (2) (a) 5. was passed on an amount equal to the amounts not remitted.

AB100-engrossed, s. 2392 Section 2392. 77.53 (1m) (a) of the statutes is amended to read:

AB100-engrossed,1226,18 77.53 (1m) (a) If the motor vehicle is assigned to and used by an employe of the dealer for whom the dealer is required to withhold amounts for federal income tax purposes or by a person who both has an ownership interest in the dealership and actively participates in the day-to-day operation of the dealership, $96 per month for each motor vehicle registration plate held by the dealer, except that beginning in 1997 the department shall annually, as of January 1, adjust the dollar amount under this paragraph, rounded to the nearest whole dollar, to reflect the annual percentage change in the U.S. consumer price index for all urban consumers, U.S. city average, as determined by the U.S. department of labor, for the 12 months ending on June 30 of the year before the change. In this paragraph, "actively participates" means performs services for the motor vehicle dealership; including selling, accounting, managing and consulting; for more than 500 hours in a taxable year for which the person receives compensation, and "actively participates" does not include services performed only in the capacity of an investor; including studying and reviewing financial statements or reports on the operation of the business, preparing or compiling summaries or analyses of the finances of the business for the investor's own use or monitoring the finances or operations of the activity in a nonmanagerial capacity.

AB100-engrossed, s. 2392m Section 2392m. 77.53 (9) of the statutes is amended to read:

AB100-engrossed,1226,25 77.53 (9) Every retailer selling tangible personal property or taxable services for storage, use or other consumption in this state shall obtain a certificate under s. 73.03 (50) and give the name and address of all agents operating in this state, the location of all distribution or sales houses or offices or other places of business in this state, the standard industrial code classification of each place of business in this state and such other information as the department requires.

AB100-engrossed, s. 2392mm Section 2392mm. 77.53 (9) of the statutes, as affected by 1997 Wisconsin Act .... (this act), is amended to read:

AB100-engrossed,1227,9 77.53 (9) Every retailer selling tangible personal property or taxable services for storage, use or other consumption in this state shall register with the department and obtain a certificate under s. 73.03 (50) and give the name and address of all agents operating in this state, the location of all distribution or sales houses or offices or other places of business in this state, the standard industrial code classification of each place of business in this state and such the other information as that the department requires.

AB100-engrossed, s. 2392no Section 2392no. 77.53 (9m) of the statutes is amended to read:

AB100-engrossed,1227,17 77.53 (9m) Any person who is not otherwise required to collect any tax imposed by this subchapter and who makes sales to persons within this state of tangible personal property or taxable services the use of which is subject to tax under this subchapter may register with the department under the terms and conditions that the department imposes and shall obtain a valid certificate under s. 73.03 (50) and thereby be authorized and required to collect, report and remit to the department the use tax imposed by this subchapter.

AB100-engrossed, s. 2393 Section 2393. 77.54 (3m) of the statutes is repealed and recreated to read:

AB100-engrossed,1227,22 77.54 (3m) The gross receipts from the sale of and the storage, use or other consumption of the following items if they are used exclusively by the purchaser or user in the business of farming; including dairy farming, agriculture, horticulture, floriculture and custom farming services:

AB100-engrossed,1227,23 (a) Seeds for planting.

AB100-engrossed,1227,24 (b) Plants.

AB100-engrossed,1227,25 (c) Feed.

AB100-engrossed,1228,1 (d) Fertilizer.

AB100-engrossed,1228,2 (e) Soil conditioners.

AB100-engrossed,1228,3 (f) Animal bedding.

AB100-engrossed,1228,4 (g) Sprays, pesticides and fungicides.

AB100-engrossed,1228,5 (h) Breeding and other livestock.

AB100-engrossed,1228,6 (i) Poultry.

AB100-engrossed,1228,7 (j) Farm work stock.

AB100-engrossed,1228,8 (k) Baling twine and baling wire.

AB100-engrossed,1228,9 (L) Containers for fruits, vegetables, grain, hay, silage and animal wastes.

AB100-engrossed,1228,11 (m) Plastic bags, plastic sleeves and plastic sheeting used to store or cover hay or silage.

AB100-engrossed, s. 2393no Section 2393no. 77.54 (14) (f) of the statutes is created to read:

AB100-engrossed,1228,16 77.54 (14) (f) Furnished without charge to a physician, surgeon, nurse anesthetist, advanced practice nurse, osteopath, dentist who is licensed under ch. 447, podiatrist who is licensed under ch. 448 or optometrist who is licensed under ch. 449 if the medicine may not be dispensed without a prescription.

AB100-engrossed, s. 2393nq Section 2393nq. 77.54 (20) (c) 5. of the statutes is amended to read:

AB100-engrossed,1228,24 77.54 (20) (c) 5. Taxable sales shall not include meals, food, food products or beverages furnished in accordance with any contract or agreement by a public or private institution of higher education to an undergraduate student, a graduate student or a student enrolled in a professional school if the student is enrolled for credit at that institution and if the goods are consumed by that student and meals, food, food products or beverages furnished to a national football league team under a contract or agreement entered into on or before January 1, 1998.

AB100-engrossed, s. 2393nv Section 2393nv. 77.54 (30) (d) of the statutes is amended to read:

AB100-engrossed,1229,5 77.54 (30) (d) In this subsection "residential use" means use in a structure or portion of a structure which is a person's permanent residence, but does not include use in transient accommodations, as specified in s. 77.52 (2) (a) 1.,; time-share property, as defined in s. 707.02 (32); motor homes, ; or travel trailers or other recreational vehicles.

AB100-engrossed, s. 2393q Section 2393q. 77.54 (43) of the statutes is created to read:

AB100-engrossed,1229,10 77.54 (43) The gross receipts from the sale of and the storage, use or other consumption of raw materials used for the processing, fabricating or manufacturing of, or the attaching to or incorporating into, printed materials that are transported and used solely outside this state.

AB100-engrossed, s. 2393t Section 2393t. 77.54 (44) of the statutes is created to read:

AB100-engrossed,1229,14 77.54 (44) The gross receipts from the sale of and the storage, use or other consumption of materials, supplies and fuel used in the maintenance of railroad tracks.

AB100-engrossed, s. 2394 Section 2394. 77.58 (1m) of the statutes is created to read:

AB100-engrossed,1229,21 77.58 (1m) Persons who owe amounts under this subchapter shall pay them by mailing or delivering them to the department or, if the department prescribes another method of submitting or another destination, those persons shall pay those amounts in that other method or to that other destination, except that the department may require any person who pays under sub. (1) (b) to do so electronically.

AB100-engrossed, s. 2394g Section 2394g. 77.58 (3) (a) of the statutes is amended to read:

AB100-engrossed,1230,8 77.58 (3) (a) For purposes of the sales tax a return shall be filed by every seller. For purposes of the use tax a return shall be filed by every retailer engaged in business in this state and by every person purchasing tangible personal property or services, the storage, use or other consumption of which is subject to the use tax, who has not paid the use tax due to a retailer required to collect the tax. If a qualified subchapter S subsidiary is not regarded as a separate entity under ch. 71, the owner of that subsidiary shall include the information for that subsidiary on the owner's return. Returns shall be signed by the person required to file the return or by a duly authorized agent but need not be verified by oath. If a single-owner entity is disregarded as a separate entity under ch. 71, the owner shall include the information from the entity on the owner's return.

AB100-engrossed, s. 2397 Section 2397. 77.61 (14) of the statutes is amended to read:

AB100-engrossed,1230,17 77.61 (14) Documents and payments required or permitted under this subchapter that are mailed are timely furnished, filed or made if they are mailed in a properly addressed envelope with the postage duly prepaid, if the envelope is postmarked before midnight of the due date and if the document or payment is received by the department, or at the destination that the department prescribes, within 5 days after the prescribed date. Documents and payments that are not mailed are timely if they are received on or before the due date by the department or at the destination that the department designates.

AB100-engrossed, s. 2399 Section 2399. 77.75 of the statutes is amended to read:

AB100-engrossed,1230,24 77.75 Reports. Every person subject to county or special district sales and use taxes shall, for each reporting period, record that person's sales made in the county or special district that has imposed those taxes separately from sales made elsewhere in this state and file a report of the measure of the county or special district sales and use taxes and the tax due thereon separately to the department of revenue on forms to be provided by the department.

AB100-engrossed, s. 2399f Section 2399f. 77.76 (3) of the statutes is amended to read:

AB100-engrossed,1231,17 77.76 (3) From the appropriation under s. 20.835 (4) (g) the department shall distribute 98.5% 98.7% of the county taxes reported for each enacting county, minus the county portion of the retailers' discounts, to the county and shall indicate the taxes reported by each taxpayer, no later than the end of the 3rd month following the end of the calendar quarter in which such amounts were reported. In this subsection, the "county portion of the retailers' discount" is the amount determined by multiplying the total retailers' discount by a fraction the numerator of which is the gross county sales and use taxes payable and the denominator of which is the sum of the gross state and county sales and use taxes payable. The county taxes distributed shall be increased or decreased to reflect subsequent refunds, audit adjustments and all other adjustments of the county taxes previously distributed. Interest paid on refunds of county sales and use taxes shall be paid from the appropriation under s. 20.835 (4) (g) at the rate paid by this state under s. 77.60 (1) (a). The county may retain the amount it receives or it may distribute all or a portion of the amount it receives to the towns, villages, cities and school districts in the county. Any county receiving a report under this subsection is subject to the duties of confidentiality to which the department of revenue is subject under s. 77.61 (5).

AB100-engrossed, s. 2399fm Section 2399fm. 77.76 (4) of the statutes is amended to read:

AB100-engrossed,1231,23 77.76 (4) There shall be retained by the state 1.5% of the taxes collected under this subchapter for special districts and 1.3% of the taxes collected under this subchapter for counties to cover costs incurred by the state in administering, enforcing and collecting the tax. All interest and penalties collected shall be deposited and retained by this state in the general fund.

AB100-engrossed, s. 2399g Section 2399g. 77.82 (1) (b) 2. of the statutes is amended to read:

AB100-engrossed,1232,3 77.82 (1) (b) 2. A parcel that is developed for commercial recreation, for industry, human residence or for any other use determined by the department to be incompatible with the practice of forestry.

AB100-engrossed, s. 2399i Section 2399i. 77.82 (1) (b) 3. of the statutes is created to read:

AB100-engrossed,1232,5 77.82 (1) (b) 3. A parcel that is developed for a human residence.

AB100-engrossed, s. 2399k Section 2399k. 77.82 (1) (bn) of the statutes is created to read:

AB100-engrossed,1232,11 77.82 (1) (bn) For purposes of par. (b) 3., the department by rule shall define "human residence" to include a residence of the petitioner regardless of whether it is the petitioner's primary residence. The definition may also include up to one acre surrounding the residence for a residence that is not the petitioner's primary residence.

AB100-engrossed, s. 2400 Section 2400. 77.92 (1m) of the statutes is created to read:

AB100-engrossed,1232,16 77.92 (1m) "File" means mail or deliver a document that the department prescribes to the department or, if the department prescribes another method of submitting or another destination, use that other method or submit to that other destination.

AB100-engrossed, s. 2401 Section 2401. 77.92 (4) of the statutes is amended to read:

AB100-engrossed,1233,3 77.92 (4) "Net business income", with respect to a partnership or limited liability company, means taxable income as calculated under section 703 of the internal revenue code; plus the items of income and gain under section 702 of the internal revenue code; minus the items of loss and deduction under section 702 of the internal revenue code; plus payments treated as not made to partners under section 707 (a) of the internal revenue code; plus the credits claimed under s. 71.07 (2dd), (2de), (2di), (2dj), (2dL), (2dr) and, (2ds), (2dx) and (3s); but excluding income, gain, loss and deductions from farming. "Net business income", with respect to a natural person, estate or trust, means profit from a trade or business for federal income tax purposes and includes net income derived as an employe as defined in section 3121 (d) (3) of the internal revenue code.

AB100-engrossed, s. 2401m Section 2401m. 77.92 (4m) of the statutes is amended to read:

AB100-engrossed,1233,10 77.92 (4m) "Partnership" has the meaning given in section 761 (a) of the internal revenue code, except that "partnership" does not include entities that are excluded under the regulations interpreting section 761 (a) of the internal revenue code from the operation of all or part of subchapter K of chapter one of the internal revenue code. "Partnership" also includes an entity treated as a partnership under section 7701 of the Internal Revenue Code.

AB100-engrossed, s. 2401r Section 2401r. 77.93 (3m) of the statutes is repealed.

AB100-engrossed, s. 2401t Section 2401t. 77.93 (5) of the statutes is amended to read: