AB901,3,1615
2. An amount equal to 5% of the cost expended by a claimant, in the year to
16which the claim relates, to do any of the following on the claimant's farmland:
AB901,3,1717
a. Construct, renovate or repair water and waste management systems.
AB901,3,1818
b. Limit and control soil erosion.
AB901,3,1919
c. Engage in the reforestation of farmland.
AB901,3,2020
d. Take corrective action, as defined in s. 94.73 (1) (b).
AB901,3,2121
(c)
Limitations. No credit may be allowed under this subsection:
AB901,3,2322
1. Unless a claim is filed with the department in conformity with the filing
23requirements in s. 71.03 (6) and (7).
AB901,3,2424
2. Unless it is claimed within the time period under s. 71.75 (2).
AB901,4,3
13. If the department determines that ownership of the farmland has been
2transferred to the claimant for the purpose of maximizing benefits under this
3subsection.
AB901,4,54
4. If the department determines that the claimant is not farming in the year
5to which the claim relates.
AB901,4,86
(d)
Change of business, carry-over, administration, timeliness, nonclaimants. 7Section 71.28 (4) (e), (f), (g), (h) and (i), as it applies to the credit under s. 71.28 (4),
8applies to the credit under this subsection.
AB901,4,1811
71.08
(1) Imposition. (intro.) If the tax imposed on a natural person, married
12couple filing jointly, trust or estate under s. 71.02, not considering the credits under
13ss. 71.07 (1), (2dd), (2de), (2di), (2dj), (2dL), (2dr), (2ds), (2dx), (2fd),
(3e), (3m), (6) and
14(9e), 71.28 (1dd), (1de), (1di), (1dj), (1dL), (1ds), (1dx), (1fd) and (2m) and 71.47 (1dd),
15(1de), (1di), (1dj), (1dL), (1ds), (1dx), (1fd) and (2m) and subchs. VIII and IX and
16payments to other states under s. 71.07 (7), is less than the tax under this section,
17there is imposed on that natural person, married couple filing jointly, trust or estate,
18instead of the tax under s. 71.02, an alternative minimum tax computed as follows:
AB901, s. 4
19Section
4. 71.10 (4) (cm) of the statutes is created to read:
AB901,4,2120
71.10
(4) (cm) Farmland education, investment and sales tax credit under s.
2171.07 (3e).
AB901,5,3
171.21
(4) Credits computed by a partnership under s. 71.07 (2dd), (2de), (2di),
2(2dj), (2dL), (2ds), (2dx)
, (3e) and (3s) and passed through to partners shall be added
3to the partnership's income.
AB901,5,206
71.26
(2) (a)
Corporations in general. The "net income" of a corporation means
7the gross income as computed under the internal revenue code as modified under
8sub. (3) minus the amount of recapture under s. 71.28 (1di) plus the amount of credit
9computed under s. 71.28 (1) and (3) to (5) plus the amount of the credit computed
10under s. 71.28 (1dd), (1de), (1di), (1dj), (1dL), (1ds)
and
, (1dx)
and (2e) and not passed
11through by a partnership, limited liability company or tax-option corporation that
12has added that amount to the partnership's, limited liability company's or tax-option
13corporation's income under s. 71.21 (4) or 71.34 (1) (g) plus the amount of losses from
14the sale or other disposition of assets the gain from which would be wholly exempt
15income, as defined in sub. (3) (L), if the assets were sold or otherwise disposed of at
16a gain and minus deductions, as computed under the internal revenue code as
17modified under sub. (3), plus or minus, as appropriate, an amount equal to the
18difference between the federal basis and Wisconsin basis of any asset sold,
19exchanged, abandoned or otherwise disposed of in a taxable transaction during the
20taxable year, except as provided in par. (b) and s. 71.45 (2) and (5).
AB901, s. 7
21Section
7. 71.28 (2e) of the statutes is created to read:
AB901,5,2322
71.28
(2e) Farmland education, investment and sales tax credit. (a)
23Definitions. In this subsection:
AB901,5,2424
1. "Agricultural use" has the meaning given in s. 91.01 (1).
AB901,5,2525
2. "Claimant" has the meaning given in sub. (2m) (a) 1.
AB901,6,1
13. "Department" means the department of revenue.
AB901,6,42
4. "Educational expenses" means amounts paid by the claimant for tuition and
3textbooks that relate to the claimant's employe's attendance at an eligible
4institution.
AB901,6,105
5. "Eligible institution" means a center or institution within the University of
6Wisconsin System, a technical college that is located in this state or any institution
7of higher education located in this state that grants a bachelor's or higher degree and
8that is accredited by the North Central Association of Colleges and Schools, the
9Independent Schools Association of the Central States or the Wisconsin Nonpublic
10School Accrediting Association.
AB901,6,1211
6. "Farming" means being actively engaged in a trade or business that involves
12the agricultural use of farmland.
AB901,6,1313
7. "Farmland" has the meaning given in sub. (2m) (a) 3.
AB901,6,1514
8. "Livestock" means cattle, swine, sheep, goats and other species of animals
15that may be used in the production of food for human consumption.
AB901,6,1916
(b)
Filing claims. Subject to the limitations provided in this subsection, a
17claimant may claim as a credit against the tax imposed under s. 71.23, up to the
18amount of those taxes, any of the following amounts for which the claimant is
19eligible:
AB901,6,2220
1. An amount equal to 5% of the educational expenses incurred by the claimant,
21in the year to which the claim relates, for the claimant's employes to attend courses
22in the fields of agriculture or farm management at an eligible institution.
AB901,6,2423
2. An amount equal to 5% of cost expended by a claimant, in the year to which
24the claim relates, to do any of the following on the claimant's farmland:
AB901,6,2525
a. Construct, renovate or repair water and waste management systems.
AB901,7,1
1b. Limit and control soil erosion.
AB901,7,22
c. Engage in the reforestation of farmland.
AB901,7,33
d. Take corrective action, as defined in s. 94.73 (1) (b).
AB901,7,44
(c)
Limitations. No credit may be allowed under this subsection:
AB901,7,65
1. Unless a claim is filed with the department in conformity with the filing
6requirements in s. 71.24 (1), (6) and (7).
AB901,7,97
2. If the department determines that ownership of the farmland has been
8transferred to the claimant for the purpose of maximizing benefits under this
9subsection.
AB901,7,1110
3. If the department determines that the claimant is not farming in the year
11to which the claim relates.
AB901,7,1412
(d)
Change of business, carry-over, administration, timeliness, nonclaimants. 13Subsection (4) (e), (f), (g), (h) and (i), as it applies to the credit under sub. (4), applies
14to the credit under this subsection.
AB901, s. 8
15Section
8. 71.30 (3) (cm) of the statutes is created to read:
AB901,7,1716
71.30
(3) (cm) Farmland education, investment and sales tax credit under s.
1771.28 (2e).
AB901,7,2220
71.34
(1) (g) An addition shall be made for credits computed by a tax-option
21corporation under s. 71.28 (1dd), (1de), (1di), (1dj), (1dL), (1ds), (1dx)
and, (2e) and 22(3) and passed through to shareholders.
AB901,8,6
171.45
(2) (a) 10. By adding to federal taxable income the amount of credit
2computed under s. 71.47 (1dd) to (1dx)
and (2e) and not passed through by a
3partnership, limited liability company or tax-option corporation that has added that
4amount to the partnership's, limited liability company's or tax-option corporation's
5income under s. 71.21 (4) or 71.34 (1) (g) and the amount of credit computed under
6s. 71.47 (1), (3), (4) and (5).
AB901, s. 11
7Section
11. 71.47 (2e) of the statutes is created to read:
AB901,8,98
71.47
(2e) Farmland education, investment and sales tax credit. (a)
9Definitions. In this subsection:
AB901,8,1010
1. "Agricultural use" has the meaning given in s. 91.01 (1).
AB901,8,1111
2. "Claimant" has the meaning given in sub. (2m) (a) 1.
AB901,8,1212
3. "Department" means the department of revenue.
AB901,8,1413
4. "Educational expenses" means amounts paid by the claimant for tuition and
14textbooks that relate to the claimant's employe's attendance at an eligible institution
AB901,8,2015
5. "Eligible institution" means a center or institution within the University of
16Wisconsin System, a technical college that is located in this state or any institution
17of higher education located in this state that grants a bachelor's or higher degree and
18that is accredited by the North Central Association of Colleges and Schools, the
19Independent Schools Association of the Central States or the Wisconsin Nonpublic
20School Accrediting Association.
AB901,8,2221
6. "Farming" means being actively engaged in a trade or business that involves
22the agricultural use of farmland.
AB901,8,2323
7. "Farmland" has the meaning given in sub. (2m) (a) 3.
AB901,8,2524
8. "Livestock" means cattle, swine, sheep, goats and other species of animals
25that may be used in the production of food for human consumption.
AB901,9,4
1(b)
Filing claims. Subject to the limitations provided in this subsection, a
2claimant may claim as a credit against the tax imposed under s. 71.43, up to the
3amount of those taxes, any of the following amounts for which the claimant is
4eligible:
AB901,9,75
1. An amount equal to 5% of the educational expenses incurred by the claimant,
6in the year to which the claim relates, for the claimant's employes to attend courses
7in the fields of agriculture or farm management at an eligible institution.
AB901,9,98
2. An amount equal to 5% of cost expended by a claimant, in the year to which
9the claim relates, to do any of the following on the claimant's farmland:
AB901,9,1010
a. Construct, renovate or repair water and waste management systems.
AB901,9,1111
b. Limit and control soil erosion.
AB901,9,1212
c. Engage in the reforestation of farmland.
AB901,9,1313
d. Take corrective action, as defined in s. 94.73 (1) (b).
AB901,9,1414
(c)
Limitations. No credit may be allowed under this subsection:
AB901,9,1615
1. Unless a claim is filed with the department in conformity with the filing
16requirements in s. 71.44 (1), (2) and (3).
AB901,9,1917
2. If the department determines that ownership of the farmland has been
18transferred to the claimant for the purpose of maximizing benefits under this
19subsection.
AB901,9,2120
3. If the department determines that the claimant is not farming in the year
21to which the claim relates.
AB901,9,2422
(d)
Change of business, carry-over, administration, timeliness, nonclaimants. 23Subsection (4) (e), (f), (g), (h) and (i), as it applies to the credit under sub. (4), applies
24to the credit under this subsection.
AB901, s. 12
25Section
12. 71.49 (1) (cm) of the statutes is created to read:
AB901,10,2
171.49
(1) (cm) Farmland education, investment and sales tax credit under s.
271.47 (2e).
AB901,10,155
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; minus the items
8of loss and deduction under section
702 of the internal revenue code; plus payments
9treated as not made to partners under section
707 (a) of the internal revenue code;
10plus the credits claimed under s. 71.07 (2dd), (2de), (2di), (2dj), (2dL), (2dr), (2ds),
11(2dx)
and, (3e) and (3s); but excluding income, gain, loss and deductions from
12farming. "Net business income", with respect to a natural person, estate or trust,
13means profit from a trade or business for federal income tax purposes and includes
14net income derived as an employe as defined in section
3121 (d) (3) of the internal
15revenue code.
AB901,10,2017
(1) This act first applies to taxable years beginning on January 1 of the year
18in which this subsection takes effect, except that if this subsection takes effect after
19July 31 this act first applies to claims filed for taxable years beginning on January
201 of the year following the year in which this subsection takes effect.