(1) LEMON LAW TAX REFUNDS. The treatment of section 218.0171 (2) (e) and (f) (intro.) and 3. of the statutes and SECTION 9348 (1) of this act take effect on the first day of the 2nd month beginning after publication.
(End)
LRB-0759LRB-0759/3
MES:kjf&cs:jf
2007 - 2008 LEGISLATURE
DOA:......Easton, BB0156 - Individual income tax subtraction for health insurance premiums paid by employees who pay part of their premiums
For 2007-09 Budget -- Not Ready For Introduction
2007 BILL
AN ACT ...; relating to: creating an individual income tax subtract modification for medical care insurance costs paid by certain individuals who are employed by other persons.
Analysis by the Legislative Reference Bureau
taxation
Income taxation
Under current law, there is an individual income tax deduction for 100 percent of the amount paid by a person for a medical care insurance policy that covers the person, his or her spouse, and the person's dependents if the person's employer pays no amount of money toward the person's medical care insurance. Also under current law, a similar deduction exists for 100 percent of such amounts paid for a medical care insurance policy by a self-employed person. A similar deduction also exists under current law for approximately 33 percent of such amounts paid for a medical care insurance policy by a person who has no employer and no self-employment income, although this percentage will increase to 100 percent for taxable years beginning after December 31, 2008.
This bill creates an individual income tax deduction, which is phased in over four years, for a certain percentage of the amount that is paid by an individual for a medical care insurance policy that covers the individual, his or her spouse, and the individual's dependents if the individual's employer pays a portion of the cost of the individual's policy. For taxable year 2008, 10 percent of the amount paid for such a policy may be claimed. For taxable year 2009, 25 percent may be claimed; 45 percent may be claimed in taxable year 2010; and 100 percent may be claimed in 2011 and thereafter.
Because this bill relates to an exemption from state or local taxes, it may be referred to the Joint Survey Committee on Tax Exemptions for a report to be printed as an appendix to the bill.
For further information see the state fiscal estimate, which will be printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:
SECTION 1. 71.05 (6) (b) 39. of the statutes is created to read:
71.05 (6) (b) 39. For taxable years beginning after December 31, 2007, and before January 1, 2009, an amount paid by an individual who is the employee of another person, if the individual's employer pays a portion of the cost of the individual's medical care insurance, for medical care insurance for the individual, his or her spouse, and the individual's dependents, calculated as follows:
a. Ten percent of the amount paid by the individual for medical care insurance. In this subdivision, "medical care insurance" means a medical care insurance policy that covers the individual, his or her spouse, and the individual's dependents and provides surgical, medical, hospital, major medical, or other health service coverage, and includes payments made for medical care benefits under a self-insured plan, but "medical care insurance" does not include hospital indemnity policies or policies with ancillary benefits such as accident benefits or benefits for loss of income resulting from a total or partial inability to work because of illness, sickness, or injury.
b. From the amount calculated under subd. 39. a., subtract the amounts deducted from gross income for medical care insurance in the calculation of federal adjusted gross income.
c. For an individual who is a nonresident or part-year resident of this state, multiply the amount calculated under subd. 39. a. or b., by a fraction the numerator of which is the individual's wages, salary, tips, unearned income, and net earnings from a trade or business that are taxable by this state and the denominator of which is the individual's total wages, salary, tips, unearned income, and net earnings from a trade or business. In this subd. 39. c., for married persons filing separately "wages, salary, tips, unearned income, and net earnings from a trade or business" means the separate wages, salary, tips, unearned income, and net earnings from a trade or business of each spouse, and for married persons filing jointly "wages, salary, tips, unearned income, and net earnings from a trade or business" means the total wages, salary, tips, unearned income, and net earnings from a trade or business of both spouses.
d. Reduce the amount calculated under subd. 39. a., b., or c. to the individual's aggregate wages, salary, tips, unearned income, and net earnings from a trade or business that are taxable by this state.
SECTION 2. 71.05 (6) (b) 40. of the statutes is created to read:
71.05 (6) (b) 40. For taxable years beginning after December 31, 2008, and before January 1, 2010, an amount paid by an individual who is the employee of another person, if the individual's employer pays a portion of the cost of the individual's medical care insurance, for medical care insurance for the individual, his or her spouse, and the individual's dependents, calculated as follows:
a. Twenty-five percent of the amount paid by the individual for medical care insurance. In this subdivision, "medical care insurance" means a medical care insurance policy that covers the individual, his or her spouse, and the individual's dependents and provides surgical, medical, hospital, major medical, or other health service coverage, and includes payments made for medical care benefits under a self-insured plan, but "medical care insurance" does not include hospital indemnity policies or policies with ancillary benefits such as accident benefits or benefits for loss of income resulting from a total or partial inability to work because of illness, sickness, or injury.
b. From the amount calculated under subd. 40. a., subtract the amounts deducted from gross income for medical care insurance in the calculation of federal adjusted gross income.
c. For an individual who is a nonresident or part-year resident of this state, multiply the amount calculated under subd. 40. a. or b., by a fraction the numerator of which is the individual's wages, salary, tips, unearned income, and net earnings from a trade or business that are taxable by this state and the denominator of which is the individual's total wages, salary, tips, unearned income, and net earnings from a trade or business. In this subd. 40. c., for married persons filing separately "wages, salary, tips, unearned income, and net earnings from a trade or business" means the separate wages, salary, tips, unearned income, and net earnings from a trade or business of each spouse, and for married persons filing jointly "wages, salary, tips, unearned income, and net earnings from a trade or business" means the total wages, salary, tips, unearned income, and net earnings from a trade or business of both spouses.
d. Reduce the amount calculated under subd. 40. a., b., or c. to the individual's aggregate wages, salary, tips, unearned income, and net earnings from a trade or business that are taxable by this state.
SECTION 3. 71.05 (6) (b) 41. of the statutes is created to read:
71.05 (6) (b) 41. For taxable years beginning after December 31, 2009, and before January 1, 2011, an amount paid by an individual who is the employee of another person, if the individual's employer pays a portion of the cost of the individual's medical care insurance, for medical care insurance for the individual, his or her spouse, and the individual's dependents, calculated as follows:
a. Forty-five percent of the amount paid by the individual for medical care insurance. In this subdivision, "medical care insurance" means a medical care insurance policy that covers the individual, his or her spouse, and the individual's dependents and provides surgical, medical, hospital, major medical, or other health service coverage, and includes payments made for medical care benefits under a self-insured plan, but "medical care insurance" does not include hospital indemnity policies or policies with ancillary benefits such as accident benefits or benefits for loss of income resulting from a total or partial inability to work because of illness, sickness, or injury.
b. From the amount calculated under subd. 41. a., subtract the amounts deducted from gross income for medical care insurance in the calculation of federal adjusted gross income.
c. For an individual who is a nonresident or part-year resident of this state, multiply the amount calculated under subd. 41. a. or b., by a fraction the numerator of which is the individual's wages, salary, tips, unearned income, and net earnings from a trade or business that are taxable by this state and the denominator of which is the individual's total wages, salary, tips, unearned income, and net earnings from a trade or business. In this subd. 41. c., for married persons filing separately "wages, salary, tips, unearned income, and net earnings from a trade or business" means the separate wages, salary, tips, unearned income, and net earnings from a trade or business of each spouse, and for married persons filing jointly "wages, salary, tips, unearned income, and net earnings from a trade or business" means the total wages, salary, tips, unearned income, and net earnings from a trade or business of both spouses.
d. Reduce the amount calculated under subd. 41. a., b., or c. to the individual's aggregate wages, salary, tips, unearned income, and net earnings from a trade or business that are taxable by this state.
SECTION 4. 71.05 (6) (b) 42. of the statutes is created to read:
71.05 (6) (b) 42. For taxable years beginning after December 31, 2010, an amount paid by an individual who is the employee of another person, if the individual's employer pays a portion of the cost of the individual's medical care insurance, for medical care insurance for the individual, his or her spouse, and the individual's dependents, calculated as follows:
a. One hundred percent of the amount paid by the individual for medical care insurance. In this subdivision, "medical care insurance" means a medical care insurance policy that covers the individual, his or her spouse, and the individual's dependents and provides surgical, medical, hospital, major medical, or other health service coverage, and includes payments made for medical care benefits under a self-insured plan, but "medical care insurance" does not include hospital indemnity policies or policies with ancillary benefits such as accident benefits or benefits for loss of income resulting from a total or partial inability to work because of illness, sickness, or injury.
b. From the amount calculated under subd. 42. a., subtract the amounts deducted from gross income for medical care insurance in the calculation of federal adjusted gross income.
c. For an individual who is a nonresident or part-year resident of this state, multiply the amount calculated under subd. 42. a. or b., by a fraction the numerator of which is the individual's wages, salary, tips, unearned income, and net earnings from a trade or business that are taxable by this state and the denominator of which is the individual's total wages, salary, tips, unearned income, and net earnings from a trade or business. In this subd. 42. c., for married persons filing separately "wages, salary, tips, unearned income, and net earnings from a trade or business" means the separate wages, salary, tips, unearned income, and net earnings from a trade or business of each spouse, and for married persons filing jointly "wages, salary, tips, unearned income, and net earnings from a trade or business" means the total wages, salary, tips, unearned income, and net earnings from a trade or business of both spouses.
d. Reduce the amount calculated under subd. 42. a., b., or c. to the individual's aggregate wages, salary, tips, unearned income, and net earnings from a trade or business that are taxable by this state.
(End)
LRB-0765LRB-0765/2
RLR:lmk&kjf:sh
2007 - 2008 LEGISLATURE
DOA:......Easton, BB0168 - Time for claiming lottery prizes
For 2007-09 Budget -- Not Ready For Introduction
2007 BILL
AN ACT ...; relating to: the budget.
Analysis by the Legislative Reference Bureau
gambling
Lottery
Under current law, a winner of a lottery game has up to 180 days after the date of the lottery drawing or the end date of the lottery game, as determined by the lottery administrator, to claim a prize. This bill specifies that a winner of an instant lottery game, other than an instant game for which the ticket is printed by a lottery terminal, may claim a prize up to 180 days after the end date of the game unless the rules for the instant game state that the prize must be claimed on the date of, and at the place of, sale of the game ticket. The bill also provides that the winner of a lottery game other than an instant game or a winner of an instant game for which the ticket is printed by a lottery terminal has up to 180 days after the date of the lottery drawing, or other selection process for determining a game winner, to claim a prize.
For further information see the state fiscal estimate, which will be printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:
SECTION 1. 565.01 (3g) of the statutes is created to read:
565.01 (3g) "Instant game" means a lottery game in which it may be determined from the game ticket or share alone whether the holder of the ticket or share is a game winner.
SECTION 2. 565.30 (3) (a) of the statutes is repealed and recreated to read:
565.30 (3) (a) Period to claim. 1. Except as provided in subd. 2., the holder of a winning ticket or share for an instant game may claim a prize within 180 days after the end date of the game unless the features and procedures of the game state that the prize may be claimed only on the date of, and at the place of, sale of the ticket or share.
2. The holder of a winning ticket or share for a lottery game other than an instant game or the holder of a winning ticket or share for an instant game that was printed by a lottery terminal may claim a prize within 180 days after the date on which the drawing for the game, or other selection process for determining the winning ticket or share, is held.
3. A lottery prize that is not claimed within the time period described under subd. 1. or 2., whichever is applicable, is forfeited.
(End)
LRB-0766LRB-0766/P3
RLR:kjf:jf
2007 - 2008 LEGISLATURE
DOA:......Easton, BB0166 - Withholding money owed to state agencies from lottery prizes
For 2007-09 Budget -- Not Ready For Introduction
2007 BILL
AN ACT ...; relating to: the budget.
Analysis by the Legislative Reference Bureau
Gambling
Lottery
Under current law, DOR withholds money from lottery prizes of $1,000 or more to pay certain debts owed by the prize payee, including debts owed to state agencies. DOR charges state agencies for DOR's administrative expenses associated with withholding money from a lottery prize and paying it to the state agency. This bill provides that DOR must charge the lottery prize payee rather than the state agency for DOR's administrative expenses associated with withholding and remitting debts owed to a state agency from a lottery prize of $1,000 or more, and further authorizes DOR to withhold the amount of the administrative expenses from the prize payment.
For further information see the state fiscal estimate, which will be printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:
SECTION 1. 565.30 (5) of the statutes is amended to read:
565.30 (5) WITHHOLDING OF DELINQUENT STATE TAXES, CHILD SUPPORT OR DEBTS OWED THE STATE. The administrator shall report the name, address and social security number or federal income tax number of each winner of a lottery prize equal to or greater than $1,000 and the name, address and social security number or federal income tax number of each person to whom a lottery prize equal to or greater than $1,000 has been assigned to the department of revenue to determine whether the payee or assignee of the prize is delinquent in the payment of state taxes under ch. 71, 72, 76, 77, 78 or 139 or, if applicable, in the court-ordered payment of child support or has a debt owing to the state. Upon receipt of a report under this subsection, the department of revenue shall first ascertain based on certifications by the department of workforce development or its designee under s. 49.855 (1) whether any person named in the report is currently delinquent in court-ordered payment of child support and shall next certify to the administrator whether any person named in the report is delinquent in court-ordered payment of child support or payment of state taxes under ch. 71, 72, 76, 77, 78 or 139. Upon this certification by the department of revenue or upon court order the administrator shall withhold the certified amount and send it to the department of revenue for remittance to the appropriate agency or person. At the time of remittance, the The department of revenue shall charge its the winner or assignee of the lottery prize for the department of revenue's administrative expenses associated with withholding and remitting to the debt owed to a state agency that has received the remittance and may withhold the amount of the administrative expenses from the prize payment. The administrative expenses received or withheld by the department of revenue shall be credited to the appropriation under s. 20.566 (1) (h). In instances in which the payee or assignee of the prize is delinquent both in payments for state taxes and in court-ordered payments of child support, or is delinquent in one or both of these payments and has a debt owing to the state, the amount remitted to the appropriate agency or person shall be in proportion to the prize amount as is the delinquency or debt owed by the payee or assignee.
SECTION 9441. Effective dates; Revenue.
(1) WITHHOLDING FROM LOTTERY PRIZE PAYMENTS. The treatment of section 565.30 (5) (by SECTION 1) of the statutes takes effect on the first day of the 3rd month beginning after publication.
(End)
LRB-0791LRB-0791/2
MES:kjf:nwn
2007 - 2008 LEGISLATURE
DOA:......Easton, BB0160 - Require nonresidents, part-year residents to add back certain deduction amounts; domestic production, unlawful discrimination awards
For 2007-09 Budget -- Not Ready For Introduction
2007 BILL
AN ACT ...; relating to: requiring that nonresidents and part-year residents add back to their income certain amounts of income that are deductible under federal law.
Analysis by the Legislative Reference Bureau
Taxation
Income taxation
Under current law, Wisconsin requires that certain types of income received by an individual, which are deductible under federal law when the individual calculates his or her federal adjusted gross income (AGI), must be added back to federal AGI when an individual calculates his or her Wisconsin AGI.
In calculating Wisconsin AGI, this bill requires that nonresidents and part-year residents add back to federal AGI certain items that are deductible under federal law. The items that must be added back are the domestic production activities deduction, to the extent that the income is not taxable by this state, and attorney fees and court costs involving unlawful discrimination claims, if the judgment or settlement resulting from the claims is not taxable by this state.
For further information see the state fiscal estimate, which will be printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:
SECTION 1. 71.05 (6) (a) 21. of the statutes is created to read:
71.05 (6) (a) 21. Any amount deducted as income attributable to domestic production activities under section 199 of the Internal Revenue Code if the individual claiming the deduction is a nonresident or part-year resident of this state and if the domestic production activities income is not attributable to a trade or business that is taxable by this state.
SECTION 2. 71.05 (6) (a) 22. of the statutes is created to read:
