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. 49.45 (23) (b) of the statutes is amended to read:
49.45 (23) (b) If the waiver is granted and in effect, the department may promulgate rules defining the health care benefit plan, including more specific eligibility requirements and cost-sharing requirements. Cost sharing may include an annual enrollment fee, which may not exceed $75 per year. Notwithstanding s. 227.24 (3), the plan details under this subsection may be promulgated as an emergency rule under s. 227.24 without a finding of emergency. If the waiver is granted and in effect, the demonstration project under this subsection shall begin on January 1, 2009, or on the effective date of the waiver, whichever is later.
(End)
LRB-0370LRB-0370/P1
JK:jld:ph
2009 - 2010 LEGISLATURE
DOA:......Lillethun, BB0101 - Angel and early stage seed investment credits; investment holding time
For 2009-11 Budget -- Not Ready For Introduction
2009 BILL
AN ACT ...; relating to: the budget.
Analysis by the Legislative Reference Bureau
taxation
Income taxation
Under current law, in order to claim the angel investment credit or the early stage seed investment credit, the taxpayer must hold the investment for at least three years. Under current law, if a taxpayer holds the investment that is the basis for an angel investment credit for less than one year, the taxpayer must pay DOR the amount of the credit that the taxpayer received.
Under this bill, if a taxpayer holds an investment that is the basis for an angel investment credit or early stage seed investment credit for less than three years, the taxpayer must pay DOR the amount of the credit that the taxpayer received.
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. 71.07 (5b) (d) 3. of the statutes is created to read:
71.07 (5b) (d) 3. For calendar years beginning after December 31, 2007, if an investment for which a claimant claims a credit under par. (b) is held by the claimant for less than 3 years, the claimant shall pay to the department, in the manner prescribed by the department, the amount of the credit that the claimant received related to the investment.
SECTION 2. 71.07 (5d) (d) 1. of the statutes is amended to read:
71.07 (5d) (d) 1. If For calendar years beginning after December 31, 2007, if an investment for which a claimant claims a credit under par. (b) is held by the claimant for less than one year 3 years, the claimant shall pay to the department, in the manner prescribed by the department, the amount of the credit that the claimant received related to the investment.
SECTION 3. 71.28 (5b) (d) 3. of the statutes is created to read:
71.28 (5b) (d) 3. For calendar years beginning after December 31, 2007, if an investment for which a claimant claims a credit under par. (b) is held by the claimant for less than 3 years, the claimant shall pay to the department, in the manner prescribed by the department, the amount of the credit that the claimant received related to the investment.
SECTION 4. 71.47 (5b) (d) 3. of the statutes is created to read:
71.47 (5b) (d) 3. For calendar years beginning after December 31, 2007, if an investment for which a claimant claims a credit under par. (b) is held by the claimant for less than 3 years, the claimant shall pay to the department, in the manner prescribed by the department, the amount of the credit that the claimant received related to the investment.
(End)
LRB-0371LRB-0371/P3
JK:nwn/cjs/bjk:ph
2009 - 2010 LEGISLATURE
DOA:......Lillethun, BB0102 - Withholding tax quarterly payments for pass-through entities
For 2009-11 Budget -- Not Ready For Introduction
2009 BILL
AN ACT ...; relating to: the budget.
Analysis by the Legislative Reference Bureau
taxation
Income taxation
Under current law, partnerships, limited liability companies, tax-option corporations, estates, and trusts are generally referred to as "pass-through entities" because the entities report no income for income and franchise tax purposes but, instead, allocate their income to the partners, members, shareholders, or beneficiaries who report the income on individual income tax returns. Under current law, a pass-through entity must pay withholding tax on Wisconsin income that it allocates to its nonresident partners, members, shareholders, or beneficiaries. The tax is due in a single annual payment.
Under this bill, a pass-through entity pays the withholding tax on the income allocated to nonresident partners, members, shareholders, or beneficiaries in four quarterly installments.
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. 71.775 (4) (a) (intro.) of the statutes is amended to read:
71.775 (4) (a) (intro.) Each pass-through entity that is subject to the withholding under sub. (2) shall pay the amount of the tax withheld to file an annual return that indicates the withholding amount paid to the state during the pass-through entity's taxable year. The entity shall file the return with the department no later than:
SECTION 2. 71.775 (4) (b) of the statutes is repealed.
SECTION 3. 71.775 (4) (bm) 1. of the statutes is created to read:
71.775 (4) (bm) 1. For the return under par. (a), the department shall allow an automatic extension of 7 months or until the corresponding due date of the pass-through entity's federal income tax return or return of partnership income, whichever is later. Except for payments of estimated taxes, and except as provided in subd. 2., witholding taxes payable upon filing the return are not delinquent during the extension period but shall be subject to interest at the rate of 12 percent per year during that period.
****NOTE: This is reconciled s. 71.775 (4) (bm) . This SECTION has been affected by drafts with the following LRB numbers: 0371/P2 and 1239/1.
SECTION 4. 71.775 (4) (bn) of the statutes is created to read:
71.775 (4) (bn) If a pass-through entity subject to withholding tax under sub. (2) does not file the return under par. (a) on or before the extension date provided in par. (bm), the pass-through entity is liable for the penalty provided in s. 71.83 (1), in addition to any unpaid tax, interest, and penalty otherwise assessable to a nonresident partner, member, shareholder, or beneficiary on income from the pass-through entity.
SECTION 5. 71.775 (4) (c) of the statutes is renumbered 71.775 (4) (i).
SECTION 6. 71.775 (4) (cm) of the statutes is created to read:
71.775 (4) (cm) Except as provided in par. (L), pass-through entities shall make estimated payments of the withholding tax under sub. (2) in 4 installments, on or before the 15th day of each of the following months:
1. The 3rd month of the taxable year.
2. The 6th month of the taxable year.
3. The 9th month of the taxable year.
4. The 12th month of the taxable year.
SECTION 7. 71.775 (4) (d) of the statutes is renumbered 71.775 (4) (j) and amended to read:
71.775 (4) (j) A nonresident partner, member, shareholder, or beneficiary of a pass-through entity may claim a credit, as prescribed by the department, on his or her Wisconsin income or franchise tax return for the amount withheld under sub. (2) on his or her behalf for the tax period for which the income of the pass-through entity is reported. For purposes of determining whether interest under s. 71.84 applies to a nonresident partner, member, shareholder, or beneficiary, the amount withheld under sub. (2) is considered to be paid in 4 equal quarterly installments.
SECTION 8. 71.775 (4) (dm) of the statutes is created to read:
71.775 (4) (dm) Section 71.29 (3), (3m), (4), (5), (6), and (11), as it applies to estimated payments of income and franchise taxes for corporations, also applies to estimated payments of the withholding tax imposed under sub. (2) for pass-through entities.
SECTION 9. 71.775 (4) (e) of the statutes is renumbered 71.775 (4) (k).
SECTION 10. 71.775 (4) (em) of the statutes is created to read:
71.775 (4) (em) Except as provided in par. (fm), in the case of any underpayment of estimated withholding taxes under par. (cm), interest shall be added to the aggregate withholding tax for the taxable year at the rate of 12 percent per year on the amount of the underpayment for the period of the underpayment. In this paragraph, "period of the underpayment" means the time period beginning with the due date of the installment and ending on either the unextended due date of the return under par. (a) or the date of payment, whichever is earlier. If 90 percent of the tax due under sub. (2) for the taxable year is not paid by the unextended due date of the return under par. (a), the difference between that amount and the estimated taxes paid, along with any interest due, shall accrue delinquent interest in the same manner as income and franchise taxes under s. 71.82 (2) (a).
SECTION 11. 71.775 (4) (f) of the statutes is repealed.
SECTION 12. 71.775 (4) (fm) of the statutes is created to read:
71.775 (4) (fm) No interest is required under par. (em) for a pass-through entity if any of the following conditions apply:
1. The amount of withholding tax due under sub. (2) is less than $500.
2. The amount of withholding tax due under sub. (2) is less than $5,000, the pass-through entity had no withholding tax liability under sub. (2) for the preceding taxable year, and the preceding taxable year was 12 months.
SECTION 13. 71.775 (4) (g) of the statutes is created to read:
71.775 (4) (g) Except as provided under par. (h), the amount of each installment required under par. (cm) is 25 percent of the lesser of the following amounts:
1. Ninety percent of the withholding tax under sub. (2) that is due for the taxable year.
2. The withholding tax due under sub. (2) for the preceding taxable year, except that this subdivision does not apply if the preceding taxable year was less than 12 months or if the pass-through entity did not file a return under par. (a) for the preceding taxable year.
SECTION 14. 71.775 (4) (h) of the statutes is created to read:
71.775 (4) (h) If 22.5 percent for the first installment, 45 percent for the 2nd installment, 67.5 percent for the 3rd installment, and 90 percent for the 4th installment of the tax due under sub. (2) for the taxable year; computed by annualizing, under methods prescribed by the department, the pass-through entity's income for the months in the taxable year ending before the installment's due date; is less than the installment required under par. (g), the pass-through entity may pay the amount under this paragraph, rather than the amount under par. (g). For purposes of computing annualized income under this paragraph, the apportionment percentage computed under s. 71.25 (6), (10), and (12) from the return under par. (a) filed for the previous taxable year may be used if that return was filed with the department on or before the due date of the installment for which the income is being annualized and if the apportionment percentage on that previous year's return was greater than zero. Any pass-through entity that pays an amount calculated under this paragraph shall increase the next installment computed under par. (g) by an amount equal to the difference between the amount paid under this paragraph and the amount that would have been paid under par. (g).
SECTION 15. 71.775 (4) (L) of the statutes is created to read:
71.775 (4) (L) The department shall deem timely paid the estimated payments of the withholding tax imposed under sub. (2) that become due during the period beginning on January 1, 2009, and ending on the effective date of this paragraph .... [LRB inserts date], provided that such estimated tax payments are paid by the next installment due date that follows in sequence following the effective date of this paragraph .... [LRB inserts date]. However, if the next installment due date following the effective date of this paragraph .... [LRB inserts date], is less than 45 days after the effective date of this paragraph .... [LRB inserts date], such estimated payments, in addition to the payment due less than 45 days after the effective date of this paragraph .... [LRB inserts date], shall be deemed timely paid if paid by the next subsequent installment due date.
SECTION 9343. Initial applicability; Revenue.
(1) WITHHOLDING TAX FOR PASS-THROUGH ENTITIES. The repeal of section 71.775 (4) (b) and (f) of the statutes, the renumbering of section 71.775 (4) (c) and (e) of the statutes, the renumbering and amendment of section 71.775 (4) (d) of the statutes, the amendment of section 71.775 (4) (a) (intro.) of the statutes, and the creation of section 71.775 (4) (bm) 1., (bn), (cm), (dm), (em), (fm), (g), (h), and (L) of the statutes first apply to taxable years beginning on January 1, 2009.
(End)
LRB-0372LRB-0372/P1
JK:jld:rs
2009 - 2010 LEGISLATURE
DOA:......Lillethun, BB0103 - Consolidated tax statements
For 2009-11 Budget -- Not Ready For Introduction
2009 BILL
AN ACT ...; relating to: the budget.
Analysis by the Legislative Reference Bureau
taxation
Income taxation
Under current law, if a corporation that must file a state income or franchise tax return is affiliated with any other corporation, DOR may require that the corporation submit a consolidated statement to DOR so that DOR may determine the taxable income received by any affiliated corporation. Under this bill, DOR may also require a corporation to submit a consolidated statement in order for DOR to determine whether the corporation and any affiliated corporation are a unitary business.
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. 71.30 (8) (b) of the statutes is amended to read:
71.30 (8) (b) For the purpose of this chapter, if a corporation which is required to file an income or franchise tax return is affiliated with or related to any other corporation through stock ownership by the same interests or as parent or subsidiary corporations or has income that is regulated through contract or other arrangement, the department of revenue may require such consolidated statements as in its opinion are necessary in order to determine the taxable income received by any one of the affiliated or related corporations or to determine whether the corporations are a unitary business.
SECTION 2. 71.74 (6) of the statutes is amended to read:
