SB111: Bill Text

SB111,48,6 71.05 (6) (a) 21. Any amount deducted under section 162 (e) (1) of the Internal Revenue Code because of the exception contained in section 162 (e) (5) of the Internal Revenue Code.

SB111, s. 98 Section 98. 71.07 (5) (a) 8. of the statutes is created to read:

SB111,48,10 71.07 (5) (a) 8. Expenses under section 162 (e) (1) of the Internal Revenue Code that are deductible because of the exception contained in section 162 (e) (5) of the Internal Revenue Code.

SB111, s. 99 Section 99. 71.10 (3) (a) of the statutes is amended to read:

SB111,48,23 71.10 (3) (a) Every individual filing an income tax return who has a tax liability or is entitled to a tax refund may designate $1 $5 for transfer to the Wisconsin election campaign fund for the use of eligible candidates under s. 11.50. If the individuals filing a joint return have a tax liability or are entitled to a tax refund, each individual may make a designation of $1 $5 under this subsection. Each individual making a designation shall indicate whether the amount designated by that individual shall be placed in the general account for the use of all eligible candidates for state office, or in the account of an eligible political party whose name is certified to the secretary of revenue under s. 11.50 (14). If an individual does not indicate that the amount of his or her designation shall be placed in the account of a particular eligible political party, that amount shall be placed in the general account.

SB111, s. 100 Section 100 . 71.10 (3) (b) of the statutes is amended to read:

SB111,49,15 71.10 (3) (b) The secretary of revenue shall provide a place for those designations under par. (a) on the face of the individual income tax return and shall provide next to that place a statement that a designation will not increase tax liability. Annually on August 15 The secretary shall also provide a place in the instructions that accompany the return for any information submitted to the secretary by the elections board under s. 11.50 (2m). No later than the 15th day of each month, the secretary of revenue shall certify to the elections board, the department of administration and the state treasurer under s. 11.50 the total amount of designations made on returns processed by the department of revenue during the preceding fiscal year month, the amount of designations made during that month for the general account and for the account of each eligible political party and, within the account of each eligible political party, the amount designated during that month by residents of each county. If any individual attempts to place any condition or restriction upon a designation not authorized under par. (a), that individual is deemed not to have made a designation on his or her tax return.

SB111, s. 101 Section 101 . 71.10 (3) (b) of the statutes, as affected by 1999 Wisconsin Act .... (this act), is amended to read:

SB111,50,5 71.10 (3) (b) The secretary of revenue shall provide a place for designations under par. (a) on the face of the individual income tax return and shall provide next to that place a statement that a designation will not increase tax liability. The secretary shall also provide a place in the instructions that accompany the return for any information submitted to the secretary by the elections board under s. 11.50 (2m). No later than the 15th day of each month, the secretary of revenue shall certify to the elections board, the department of administration and the state treasurer the total amount of designations made on returns processed by the department of revenue during the preceding month and the amount of designations made during that month for the general account and for the account of each eligible political party. If any individual attempts to place any condition or restriction upon a designation not authorized under par. (a), that individual is deemed not to have made a designation on his or her tax return.

SB111, s. 102 Section 102. 71.26 (1) (a) of the statutes is amended to read:

SB111,51,8 71.26 (1) (a) Certain corporations. Income of corporations organized under ch. 185, except income of a cooperative sickness care association 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, and the income, except the unrelated business taxable income as defined in section 512 of the internal revenue code and except income 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), of all religious, scientific, educational, benevolent or other corporations or associations of individuals not organized or conducted for pecuniary profit. In computing unrelated business taxable income for the purposes of this paragraph, the expenses that are deductible under section 162 (e) (1) of the Internal Revenue Code because of the exception contained in section 162 (e) (5) of the Internal Revenue Code may not be deducted. This paragraph does not apply to the income of savings banks, mutual loan corporations or savings and loan associations. This paragraph applies to the income of credit unions except to the income of any credit union that is derived from public deposits for any taxable year in which the credit union is approved as a public depository under ch. 34 and acts as a depository of state or local funds under s. 186.113 (20). For purposes of this paragraph, the income of a credit union that is derived from public deposits is the product of the credit union's gross annual income for the taxable year multiplied by a fraction, the numerator of which is the average monthly balance of public deposits in the credit union during the taxable year, and the denominator of which is the average monthly balance of all deposits in the credit union during the taxable year.

SB111, s. 103 Section 103. 71.26 (2) (b) 1g. of the statutes is created to read:

SB111,51,15 71.26 (2) (b) 1g. In computing the net income under this paragraph of a corporation, conduit or common law trust that qualifies as a regulated investment company, real estate mortgage investment conduit or real estate investment trust, expenses that are deductible under section 162 (e) (1) of the Internal Revenue Code because of the exception contained in section 162 (e) (5) of the Internal Revenue Code may not be deducted.

SB111, s. 104 Section 104. 71.26 (3) (e) 4. of the statutes is created to read:

SB111,51,19 71.26 (3) (e) 4. So that expenses that are deductible under section 162 (e) (1) of the Internal Revenue Code because of the exception contained in section 162 (e) (5) of the Internal Revenue Code may not be deducted.

SB111, s. 105 Section 105. 71.34 (1) (ad) of the statutes is created to read:

SB111,51,23 71.34 (1) (ad) The expenses that are deductible under section 162 (e) (1) of the Internal Revenue Code because of the exception contained in section 162 (e) (5) of the Internal Revenue Code may not be deducted.

SB111, s. 106 Section 106. 71.45 (2) (a) 15. of the statutes is created to read:

SB111,52,3 71.45 (2) (a) 15. By adding to federal taxable income the amount of any expenses that are deductible under section 162 (e) (1) of the Internal Revenue Code because of the exception contained in section 162 (e) (5) of the Internal Revenue Code.

SB111, s. 107 Section 107. 71.80 (21) of the statutes is created to read:

SB111,52,12 71.80 (21) Taxability of lobbying expenses; certification. Annually no later than August 15, the secretary of revenue shall certify to the secretary of administration the amount of taxes estimated by the secretary of revenue to have been collected during the preceding 12-month period ending on June 30 as a result of the election of this state not to allow an income and franchise tax deduction for expenses under section 162 (e) (1) of the Internal Revenue Code that are deductible because of the exemption contained in section 162 (e) (5) of the Internal Revenue Code.

SB111, s. 108 Section 108. Chapter 77 (title) of the statutes is amended to read:

SB111,53,2 CHAPTER 77 TAXATION OF FOREST CROPLANDS; REAL ESTATE TRANSFER FEES; SALES AND USE TAXES; COUNTY AND SPECIAL DISTRICT SALES AND USE TAXES; MANAGED FOREST LAND; TEMPORARY RECYCLING SURCHARGE; LOCAL FOOD AND BEVERAGE TAX; LOCAL RENTAL CAR TAX; Premier resort area taxes; state rental vehicle fee; dry cleaning fees; campaign treasury surplus earnings tax

SB111, s. 109 Section 109. Subchapter XIII of chapter 77 [precedes 77.997] of the statutes is created to read:

SB111,53,5 CHAPTER 77

SB111,53,8 SUBCHAPTER XIII CAMPAIGN TREASURY SURPLUS EARNINGS TAX

SB111,53,9 77.997 Definitions. In this subchapter:

SB111,53,17 (1) "Campaign treasury surplus" means the unencumbered balance in the campaign depository account of a candidate or a candidate's personal campaign committee during the period beginning on the first day of the month following an election at which the name of the candidate appeared on the ballot, except a primary election if the candidate was nominated at that primary election to appear on an election ballot, and ending on the date that the candidate files a valid declaration of candidacy together with valid nomination papers, if required, to appear on the ballot at a succeeding election.

SB111,53,18 (2) "Candidate" has the meaning given in s. 11.01 (1).

SB111,53,19 (3) "Election" has the meaning given in s. 5.02 (4).

SB111,53,20 (4) "Personal campaign committee" has the meaning given in s. 11.01 (15).

SB111,53,24 77.9971 Imposition. A tax is imposed on each candidate and personal campaign committee at the rate of 15% on the earnings received by the candidate or personal campaign committee on any campaign treasury surplus for the 6-month period ending on each December 31 and June 30.

SB111,54,2 77.9972 Administration. (1) The department of revenue shall levy, enforce and collect the tax under this subchapter.

SB111,54,4 (2) The tax under this subchapter and a completed return prescribed by the department of revenue are due on March 1 and September 1.

SB111,54,7 (3) Sections 77.59 (1) to (6), (8) and (8m), 77.60 (1) to (7), (9) and (10), 77.61 (5) and (12) to (14) and 77.62, as they apply to the taxes under subch. III, apply to the tax under this subchapter.

SB111,54,11 77.9973 Certification. Annually no later than September 15, the secretary of revenue shall certify to the secretary of administration the amount of taxes collected under this subchapter for the preceding 12-month period ending on June 30.

SB111, s. 110 Section 110. Initial applicability.

SB111,54,14 (1) Except as provided in subsections (2) to (5 ), this act first applies to elections held on the effective date of this subsection.

SB111,54,16 (2) The treatment of section 11.06 (1) (a), (d) and (L) of the statutes first applies to reports covering the period beginning on July 1, 2000.

SB111,54,18 (3) The treatment of section 11.31 (9) of the statutes first applies to adjustment of disbursement limitations for the biennium beginning on January 1, 2002.

SB111,54,24 (4) The treatment of sections 71.05 (6) (a) 21., 71.07 (5) (a) 8., 71.10 (3) (a) and (b) (by Section 100 ), 71.26 (1) (a), (2) (b) 1g. and (3) (e) 4., 71.34 (1) (ad) and 71.45 (2) (a) 15. of the statutes first applies to taxable years beginning on January 1 of the year in which this subsection takes effect, except that if this subsection takes effect after July 31 this act first applies to claims filed for taxable years beginning on January 1 of the year following the year in which this subsection takes effect.

SB111,55,2 (5) The treatment of subchapter XIII of chapter 77 of the statutes first applies to earnings received on January 1, 2001.

SB111, s. 111 Section 111. Effective dates. This act takes effect on the day after publication, except as follows:

SB111,55,7 (1) The treatment of section 20.510 (1) (q) (by Section 91 ) of the statutes and the repeal of section 11.50 (2m) of the statutes take effect on the first day of the 7th year beginning after publication.

SB111,55,9 (2) The treatment of section 71.10 (3) (b) (by Section 101) of the statutes takes effect on the first day of the 7th year beginning after publication.

SB111,55,10 (End)