Amendment CA1-ASA1-AB133

AB133-ASA1-CA1, s. 1748Ln Section 1748Ln. 71.362 (2) of the statutes is amended to read:

AB133-ASA1-CA1,332,24 71.362 (2) Nonresident individuals, nonresident estates and nonresident trusts deriving income from a tax-option corporation which is engaged in business within and without this state shall be taxed only on the income of the corporation derived from business transacted and property located in this state and losses and other items of the corporation deductible by such shareholders shall be limited to their proportionate share of the Wisconsin loss or other item, except that all income that is realized from the sale of or purchase and subsequent sale or redemption of lottery prizes if the winning tickets were originally bought in this state shall be allocated to this state. For purposes of this subsection, all intangible income of tax-option corporations passed through to shareholders is business income that follows the situs of the business, except that all income that is realized from the sale of or purchase and subsequent sale or redemption of lottery prizes if the winning tickets were originally bought in this state shall be allocated to this state.".

AB133-ASA1-CA1,333,2 972. Page 937, line 24: after "both" insert ", or that buy or sell lottery prizes if the winning tickets were originally bought in this state".

AB133-ASA1-CA1,333,3 973. Page 938, line 2: after that line insert:

AB133-ASA1-CA1,333,4 " Section 1748yb. 71.43 (2) of the statutes is amended to read:

AB133-ASA1-CA1,334,2 71.43 (2) Franchise tax on corporations. For the privilege of exercising its franchise, buying or selling lottery prizes if the winning tickets were originally bought in this state or doing business in this state in a corporate capacity, except as provided under s. 71.23 (3), every domestic or foreign corporation, except corporations specified in ss. 71.26 (1) and 71.45 (1), shall annually pay a franchise tax according to or measured by its entire Wisconsin net income of the preceding taxable year at the rates set forth in s. 71.46 (2). In addition, except as provided in ss. 71.23 (3), 71.26 (1) and 71.45 (1), a corporation that ceases doing business in this state shall pay a special franchise tax according to or measured by its entire Wisconsin net income for the taxable year during which the corporation ceases doing business in this state at the rate under s. 71.46 (2). Every corporation organized under the laws of this state shall be deemed to be residing within this state for the purposes of this franchise tax. All provisions of this chapter and ch. 73 relating to income taxation of corporations shall apply to franchise taxes imposed under this subsection, unless the context requires otherwise. The tax imposed by this subsection on insurance companies subject to taxation under this chapter shall be based on Wisconsin net income computed under s. 71.45, and no other provision of this chapter relating to computation of taxable income for other corporations shall apply to such insurance companies. All other provisions of this chapter shall apply to insurance companies subject to taxation under this chapter unless the context clearly requires otherwise.

AB133-ASA1-CA1, s. 1748ym Section 1748ym. 71.45 (1) of the statutes is amended to read:

AB133-ASA1-CA1,334,22 71.45 (1) Exempt and excludable income. There shall be exempt from taxation under this subchapter income of insurers exempt from federal income taxation pursuant to section 501 (c) (15) of the internal revenue code, town mutuals organized under or subject to ch. 612, foreign insurers, and domestic insurers engaged exclusively in life insurance business, domestic insurers insuring against financial loss by reason of nonpayment of principal, interest and other sums agreed to be paid under the terms of any note or bond or other evidence of indebtedness secured by a mortgage, deed of trust or other instrument constituting a lien or charge on real estate and corporations organized under ch. 185, but not including income of cooperative sickness care associations organized under s. 185.981, or of a service insurance corporation organized under ch. 613, that is derived from a health maintenance organization as defined in s. 609.01 (2) or a limited service health organization as defined in s. 609.01 (3), or operating under subch. I of ch. 616 which are bona fide cooperatives operated without pecuniary profit to any shareholder or member, or operated on a cooperative plan pursuant to which they determine and distribute their proceeds in substantial compliance with s. 185.45. This subsection does not apply to income that is realized from the sale of or purchase and subsequent sale or redemption of lottery prizes if the winning tickets were originally bought in this state.".

AB133-ASA1-CA1,334,23 974. Page 938, line 23: after that line insert:

AB133-ASA1-CA1,334,24 " Section 1749p. 71.45 (2) (a) 15. of the statutes is created to read:

AB133-ASA1-CA1,335,3 71.45 (2) (a) 15. By subtracting from federal taxable income all income that is realized from the purchase and subsequent sale or redemption of lottery prizes that is treated as nonapportionable income under sub. (3r).".

AB133-ASA1-CA1,335,5 975. Page 938, line 24: delete the material beginning with that line and ending with page 941, line 10.

AB133-ASA1-CA1,335,6 976. Page 941, line 10: after that line insert:

AB133-ASA1-CA1,335,7 " Section 1753d. 71.45 (3r) of the statutes is created to read:

AB133-ASA1-CA1,335,10 71.45 (3r) Allocation of certain proceeds. All income that is realized from the purchase and subsequent sale or redemption of lottery prizes if the winning tickets were originally bought in this state shall be allocated to this state.".

AB133-ASA1-CA1,335,11 977. Page 941, line 21: after that line insert:

AB133-ASA1-CA1,335,12 " Section 1753m. 71.46 (3) of the statutes is amended to read:

AB133-ASA1-CA1,335,20 71.46 (3) The tax imposed under this subchapter on each domestic insurer on or measured by its entire net income attributable to lines of insurance in this state may not exceed 2% of the gross premiums, as defined in s. 76.62, received during the taxable year by the insurer on all policies on those lines of insurance if the subject of that insurance was resident, located or to be performed in this state plus 7.9% of the income that is realized from the sale of or purchase and subsequent sale or redemption of lottery prizes if the winning tickets were originally bought in this state.".

AB133-ASA1-CA1,335,21 978. Page 941, line 21: after that line insert:

AB133-ASA1-CA1,335,22 " Section 1754g. 71.47 (1di) (a) (intro.) of the statutes is amended to read:

AB133-ASA1-CA1,336,5 71.47 (1di) (a) (intro.) Except as provided in pars. (dm) and (f) and s. 73.03 (35), for any taxable year for which the person is certified under s. 560.765 (3) for entitled under s. 560.795 (3) to claim tax benefits, any person may claim as a credit against taxes otherwise due under this chapter 2.5% of the purchase price of depreciable, tangible personal property, or 1.75% of the purchase price of depreciable, tangible personal property that is expensed under section 179 of the internal revenue code for purposes of the taxes under this chapter, except that:

AB133-ASA1-CA1, s. 1754h Section 1754h. 71.47 (1di) (a) 1. of the statutes is amended to read:

AB133-ASA1-CA1,336,13 71.47 (1di) (a) 1. The investment must be in property that is purchased after the person is certified under s. 560.765 (3) for entitled under s. 560.795 (3) to claim tax benefits and that is used for at least 50% of its use in the conduct of the person's business operations for which the claimant is certified under s. 560.765 (3) at a location in a development zone under subch. VI of ch. 560 or, if the property is mobile, the base of operations of the property for at least 50% of its use must be a location in a development zone.

AB133-ASA1-CA1, s. 1754j Section 1754j. 71.47 (1di) (d) 1. of the statutes is amended to read:

AB133-ASA1-CA1,336,17 71.47 (1di) (d) 1. A copy of the claimant's certification for a verification from the department of commerce that the claimant may claim tax benefits under s. 560.765 (3) 560.795 (3).

AB133-ASA1-CA1, s. 1754k Section 1754k. 71.47 (1di) (f) of the statutes is amended to read:

AB133-ASA1-CA1,337,2 71.47 (1di) (f) If the certification of a person for who is entitled under s. 560.795 (3) to claim tax benefits under s. 560.765 (3) is revoked becomes ineligible for such tax benefits, that person may claim no credits under this subsection for the taxable year that includes the day on which the certification is revoked person becomes ineligible for tax benefits or succeeding taxable years and that person may carry over no unused credits from previous years to offset tax under this chapter for the taxable year that includes the day on which certification is revoked the person becomes ineligible for tax benefits or succeeding taxable years.

AB133-ASA1-CA1, s. 1754L Section 1754L. 71.47 (1di) (g) of the statutes is amended to read:

AB133-ASA1-CA1,337,9 71.47 (1di) (g) If a person who is certified under s. 560.765 (3) for entitled under s. 560.795 (3) to claim tax benefits ceases business operations in the development zone during any of the taxable years that that zone exists, that person may not carry over to any taxable year following the year during which operations cease any unused credits from the taxable year during which operations cease or from previous taxable years.

AB133-ASA1-CA1, s. 1754m Section 1754m. 71.47 (1di) (i) of the statutes is amended to read:

AB133-ASA1-CA1,337,15 71.47 (1di) (i) No credit may be claimed under this subsection for taxable years that begin on January 1, 1998, or thereafter after December 31, 1997, and end before January 1, 2000. Credits under this subsection for taxable years that begin before January 1, 1998, may be carried forward to taxable years that begin on January 1, 1998, or thereafter.".

AB133-ASA1-CA1,337,18 979. Page 942, line 16: delete the material beginning with "certified" and ending with "(3)" on line 17 and substitute "entitled under s. 560.795 (3) to claim tax benefits or certified under s. 560.765 (3) or 560.797 (4)".

AB133-ASA1-CA1,337,19 980. Page 943, line 2: after that line insert:

AB133-ASA1-CA1,337,20 " Section 1756d. 71.47 (1dx) (c) of the statutes is amended to read:

AB133-ASA1-CA1,338,6 71.47 (1dx) (c) Credit precluded. If the certification of a person for tax benefits under s. 560.765 (3) or 560.797 (4) is revoked, or if the person becomes ineligible for tax benefits under s. 560.795 (3), that person may not claim credits under this subsection for the taxable year that includes the day on which the certification is revoked; the taxable year that includes the day on which the person becomes ineligible for tax benefits; or succeeding taxable years and that person may not carry over unused credits from previous years to offset tax under this chapter for the taxable year that includes the day on which certification is revoked ; the taxable year that includes the day on which the person becomes ineligible for tax benefits; or succeeding taxable years.

AB133-ASA1-CA1, s. 1756e Section 1756e. 71.47 (1dx) (d) of the statutes is amended to read:

AB133-ASA1-CA1,338,13 71.47 (1dx) (d) Carry-over precluded. If a person who is entitled under s. 560.795 (3) to claim tax benefits or certified under s. 560.765 (3) or 560.797 (4) for tax benefits ceases business operations in the development zone during any of the taxable years that that zone exists, that person may not carry over to any taxable year following the year during which operations cease any unused credits from the taxable year during which operations cease or from previous taxable years.".

AB133-ASA1-CA1,338,15 981. Page 943, line 18: delete the material beginning with that line and ending with page 944, line 19.

AB133-ASA1-CA1,338,16 982. Page 943, line 22: after that line insert:

AB133-ASA1-CA1,338,17 " Section 1757bd. 71.47 (2m) (b) 1. a. of the statutes is amended to read:

AB133-ASA1-CA1,339,2 71.47 (2m) (b) 1. a. Subject to the limitations provided in this subsection and s. 71.80 (3) and (3m), a claimant may claim as a credit against Wisconsin income or franchise taxes otherwise due, the amount derived under par. (c). If the allowable amount of claim exceeds the income or franchise taxes otherwise due on or measured by the claimant's income or if there are no Wisconsin income or franchise taxes due on or measured by the claimant's income, the amount of the claim not used as an offset against income or franchise taxes shall be certified to the department of administration for payment to the claimant by check, share draft or other draft paid from the appropriation appropriations under s. 20.835 (2) (q) (dn) and (ka).

AB133-ASA1-CA1, s. 1757be Section 1757be. 71.47 (2m) (b) 1. a. of the statutes, as affected by 1999 Wisconsin Act .... (this act), is repealed and recreated to read:

AB133-ASA1-CA1,339,12 71.47 (2m) (b) 1. a. Subject to the limitations provided in this subsection and s. 71.80 (3) and (3m), a claimant may claim as a credit against Wisconsin income taxes otherwise due, the amount derived under par. (c). If the allowable amount of claim exceeds the income taxes otherwise due on the claimant's income or if there are no Wisconsin income taxes due on the claimant's income, the amount of the claim not used as an offset against income taxes shall be certified to the department of administration for payment to the claimant by check, share draft or other draft paid from the appropriations under s. 20.835 (2) (ka) and (q).

AB133-ASA1-CA1, s. 1744bf Section 1744bf. 71.47 (2m) (c) 3. of the statutes, as created by Wisconsin Act 5, is amended to read:

AB133-ASA1-CA1,339,20 71.47 (2m) (c) 3. The department shall annually adjust the percentage that is used to determine the amount of a claim under subd. 1. based on the estimated number of claims and the amount estimated to be expended from the appropriation under s. 20.835 (2) (q) (dn), as determined under s. 79.13. The department shall incorporate the annually adjusted percentage into the income tax forms and instructions.

AB133-ASA1-CA1, s. 1744bg Section 1744bg. 71.47 (2m) (c) 3. of the statutes, as affected by 1999 Wisconsin Act .... (this act), is repealed and recreated to read:

AB133-ASA1-CA1,340,3 71.47 (2m) (c) 3. The department shall annually adjust the percentage that is used to determine the amount of a claim under subd. 1. based on the estimated number of claims and the amount estimated to be expended from the appropriation under s. 20.835 (2) (q), as determined under s. 79.13. The department shall incorporate the annually adjusted percentage into the income tax forms and instructions.".

AB133-ASA1-CA1,340,4 983. Page 945, line 2: delete that line and substitute:

AB133-ASA1-CA1,340,5 "71.54 (1) (e) 2000. The amount of any claim filed in 2000".

AB133-ASA1-CA1,340,6 984. Page 945, line 3: delete "thereafter".

AB133-ASA1-CA1,340,7 985. Page 945, line 13: after that line insert:

AB133-ASA1-CA1,340,8 " Section 1763c. 71.54 (1) (f) of the statutes is created to read:

AB133-ASA1-CA1,340,11 71.54 (1) (f) 2001 and thereafter. The amount of any claim filed in 2001 and thereafter and based on property taxes accrued or rent constituting property taxes accrued during the previous year is limited as follows:

AB133-ASA1-CA1,340,14 1. If the household income was $8,000 or less in the year to which the claim relates, the claim is limited to 80% of the property taxes accrued or rent constituting property taxes accrued or both in that year on the claimant's homestead.

AB133-ASA1-CA1,340,18 2. If the household income was more than $8,000 in the year to which the claim relates, the claim is limited to 80% of the amount by which the property taxes accrued or rent constituting property taxes accrued or both in that year on the claimant's homestead exceeds 8.788% of the household income exceeding $8,000.

AB133-ASA1-CA1,340,20 3. No credit may be allowed if the household income of a claimant exceeds $24,500.".

AB133-ASA1-CA1,340,22 986. Page 945, line 20: delete the material beginning with that line and ending with page 946, line 3.

AB133-ASA1-CA1,340,23 987. Page 946, line 16: delete ", subject to s. 71.07 (5m) (e)".

AB133-ASA1-CA1,341,4 988. Page 947, line 11: delete lines 11 and 12 and substitute "by multiplying the amount of the prize by the highest rate applicable to individuals under s. 71.06 (1) or (1m) to the person who claims the prize. The administrator shall deposit the amounts".

AB133-ASA1-CA1,341,5 989. Page 950, line 21: after that line insert:

AB133-ASA1-CA1,341,6 " Section 1800d. 73.0301 (1) (d) 2. of the statutes is amended to read:

AB133-ASA1-CA1,341,9 73.0301 (1) (d) 2. A license issued by the department of health and family services under s. 48.66 (1) (a) to a child welfare agency, group home, shelter care facility or day care center, as required by s. 48.60, 48.625, 48.65 or 938.22 (7).".

AB133-ASA1-CA1,341,10 990. Page 950, line 21: after that line insert:

AB133-ASA1-CA1,341,12 " Section 1798r. 73.03 (50) of the statutes is renumbered 73.03 (50) (intro.) and amended to read:

AB133-ASA1-CA1,341,17 73.03 (50) (intro.) With the approval of the joint committee on finance, to establish fees for obtaining a business tax registration certificate, which, except as provided in s. 73.0302, is valid for 2 years, and for renewing that certificate and, except as provided in s. 73.0302, shall issue and renew those certificates if the person who wishes to obtain or renew a certificate applies does all of the following:

AB133-ASA1-CA1,341,18 (a) Applies on a form that the department prescribes ; sets.

AB133-ASA1-CA1,341,22 (b) Sets forth the name under which the applicant intends to operate, the location of the applicant's place of operations, the social security number of the applicant if the applicant is a natural person and the other information that the department requires; and, in.

AB133-ASA1-CA1,342,2 (d) In the case of a sole proprietor, signs the form or, in the case of other persons, has an individual who is authorized to act on behalf of the person sign the form, or, in the case of a single-owner entity that is disregarded as a separate entity under section 7701 of the Internal Revenue Code, the person is the owner.

AB133-ASA1-CA1, s. 1798s Section 1798s. 73.03 (50) (c) of the statutes is created to read:

AB133-ASA1-CA1,342,10 73.03 (50) (c) In the case of an applicant who is an individual and who has a social security number, sets forth the social security number of the applicant or, in the case of an applicant who is an individual and who does not have a social security number, submits a statement made or subscribed under oath or affirmation that the applicant does not have a social security number. The form of the statement shall be prescribed by the department of workforce development. A certificate issued in reliance upon a false statement submitted under this paragraph is invalid.

AB133-ASA1-CA1, s. 1798w Section 1798w. 73.0301 (2) (c) 1. a. of the statutes is amended to read:

AB133-ASA1-CA1,342,13 73.0301 (2) (c) 1. a. If the license holder is an individual and has a social security number, the license holder's social security number.

AB133-ASA1-CA1, s. 1798x Section 1798x. 73.0301 (2) (c) 1. am. of the statutes is created to read:

AB133-ASA1-CA1,342,19 73.0301 (2) (c) 1. am. If the applicant is an individual and does not have a social security number, a statement made or subscribed under oath or affirmation that the applicant does not have a social security number. The form of the statement shall be prescribed by the department of workforce development. A license issued in reliance upon a false statement submitted under this subd. 1. am. is invalid.

AB133-ASA1-CA1, s. 1798y Section 1798y. 73.0301 (2) (c) 2. of the statutes is amended to read:

AB133-ASA1-CA1,342,25 73.0301 (2) (c) 2. A licensing department may not disclose any information received under subd. 1. a. or b. to any person except to the department of revenue for the sole purpose of requesting certifications under par. (b) 2. in accordance with the memorandum of understanding under sub. (4) or to the department of workforce development for the purpose of administering s. 49.22.".

AB133-ASA1-CA1,343,1 991. Page 950, line 21: after that line insert:

AB133-ASA1-CA1,343,2 " Section 1798m. 73.03 (49) (b) of the statutes is repealed.".

AB133-ASA1-CA1,343,3 992. Page 950, line 21: after that line insert:

AB133-ASA1-CA1,343,4 " Section 1800m. 73.0301 (1) (d) 6. of the statutes is amended to read:

AB133-ASA1-CA1,343,8 73.0301 (1) (d) 6. A license or certificate of registration issued by the department of financial institutions, or a division of it, under s. 138.09, 138.12, 217.06, 218.01, 218.02, 218.04, 218.05 or, 224.72, 224.93 or under subch. III of ch. 551.".

AB133-ASA1-CA1,343,10 993. Page 950, line 23: delete "school aids" and substitute "intradistrict transfer aid".

AB133-ASA1-CA1,343,12 994. Page 951, line 1: delete "ss. 121.15 (3m) (a) 1m. a. to c. and" and substitute "s.".

AB133-ASA1-CA1,343,13 995. Page 951, line 5: after that line insert:

AB133-ASA1-CA1,343,15 " Section 1801n. 74.48 (1) of the statutes is renumbered 74.48 (1) (a) and amended to read:

AB133-ASA1-CA1,343,24 74.48 (1) (a) If a person who owns land that has been valued under s. 70.32 (2r) (b) is sold by a person who has owned it for less than 5 years and who has benefited from a value lower than that established by changes the use of the land so that the land is not valued under s. 70.32 (2r) (a), there is imposed on that person a penalty equal to 5% of the difference between the sale price of the agricultural land and the value that would be established for it under s. 70.32 (2r) (c) during property taxes that would have been levied on the land if the land had been assessed at full market value and the property taxes levied on the land for the last year of the person's ownership 2 years that the land has been valued under s. 70.32 (2r).

AB133-ASA1-CA1, s. 1801p Section 1801p. 74.48 (1) (b) of the statutes is created to read:

AB133-ASA1-CA1,344,4 74.48 (1) (b) A person who owns land that has been valued under s. 70.32 (2r) and who sells the land, shall notify the buyer of the land that the land has been valued under s. 70.32 (2r).

AB133-ASA1-CA1, s. 1801r Section 1801r. 74.48 (2) of the statutes is amended to read: