SB30: Bill Text

SB30,550,7 71.42 (2) (j) 3. k. Sections 103, 104, 124, 168, 184, 185, 190, 204, 303, 306, 336, and 341 of division Q of P.L. 114-113.

SB30,1103 Section 1103 . 71.42 (2) (j) 3. L. of the statutes is created to read:

SB30,550,9 71.42 (2) (j) 3. L. P.L. 114-239.

SB30,1104 Section 1104 . 71.42 (2) (k) of the statutes is created to read:

SB30,550,13 71.42 (2) (k) 1. For taxable years beginning after December 31, 2016, “Internal Revenue Code" means the federal Internal Revenue Code as amended to December 31, 2016, except as provided in subds. 2. to 4. and subject to subd. 5.

SB30,551,3 2. For purposes of this paragraph, “Internal Revenue Code" does not include the following provisions of federal public laws for taxable years beginning after December 31, 2016: section 13113 of P.L 103-66; sections 1, 3, 4, and 5 of P.L. 106-519; sections 101, 102, and 422 of P.L 108-357; sections 1310 and 1351 of P.L. 109-58; section 11146 of P.L. 109-59; section 403 (q) of P.L. 109-135; section 513 of P.L. 109-222; sections 104 and 307 of P.L. 109-432; sections 8233 and 8235 of P.L. 110-28; section 11 (e) and (g) of P.L. 110-172; section 301 of P.L. 110-245; section 15351 of P.L. 110-246; section 302 of division A, section 401 of division B, and sections 312, 322, 502 (c), 707, and 801 of division C of P.L. 110-343; sections 1232, 1241, 1251, 1501, and 1502 of division B of P.L. 111-5; sections 211, 212, 213, 214, and 216 of P.L. 111-226; sections 2011 and 2122 of P.L. 111-240; sections 753, 754, and 760 of P.L. 111-312; section 1106 of P.L. 112-95; sections 104, 318, 322, 323, 324, 326, 327, and 411 of P.L. 112-240; P.L. 114-7; section 1101 of P.L. 114-74; section 305 of division P of P.L. 114-113; and sections 112, 123, 125 to 128, 143, 144, 151 to 153, 165 to 167, 169 to 171, 189, 191, 307, 326, and 411 of division Q of P.L. 114-113.

SB30,551,5 3. For purposes of this paragraph, “Internal Revenue Code" does not include amendments to the federal Internal Revenue Code enacted after December 31, 2016.

SB30,551,7 4. For purposes of this paragraph, “Internal Revenue Code" does not include section 847 of the federal Internal Revenue Code.

SB30,551,14 5. For purposes of this paragraph, the provisions of federal public laws that directly or indirectly affect the Internal Revenue Code, as defined in this paragraph, apply for Wisconsin purposes at the same time as for federal purposes, except that changes made by section 4007 (b) of P.L. 114-41, section 1102 of P.L. 114-74, sections 105, 111, 113 to 115, 133, 301, 302, 304, 305, 308, 311, 313 to 323, 325, 331, and 343 to 345 of division Q of P.L. 114-113 first apply for taxable years beginning after December 31, 2016.

SB30,1105 Section 1105 . 71.44 (1) (a) of the statutes is amended to read:

SB30,552,9 71.44 (1) (a) Every corporation, except corporations a corporation all of whose income is exempt from taxation and except as provided in sub. (1m), shall furnish to the department a true and accurate statement, on or before March 15 of each year, except that returns for fiscal years ending on some other date than December 31 shall be furnished on or before the 15th day of the 3rd month following the close of such fiscal year and except that returns for less than a full taxable year shall be furnished on or before the date applicable on which the corporation is required to file for federal income taxes tax purposes, not including any extension, under the internal revenue code Internal Revenue Code, in such the manner and form and setting forth such the facts as the department deems necessary to enforce this chapter. Every corporation that is required to furnish a statement under this paragraph and that has income that is not taxable under this subchapter shall include with its the corporation's statement a report that identifies each item of its the corporation's nontaxable income. The statement shall be subscribed by the president, vice president, treasurer, assistant treasurer, chief accounting officer, or any other officer duly authorized so to act. In the case of a return made for a corporation by a fiduciary, the fiduciary shall subscribe the return. The fact that an individual's name is subscribed on the return shall be prima facie evidence that the individual is authorized to subscribe the return on behalf of the corporation.

SB30,1106 Section 1106 . 71.44 (1m) of the statutes is amended to read:

SB30,552,17 71.44 (1m) Unrelated business income. Every corporation subject to a tax on unrelated business income under s. 71.26 (1) (a), if that corporation is required to file for federal income tax purposes, shall furnish to the department of revenue a true and accurate statement on or before the date on or before which it the corporation is required to file for federal income tax purposes, not including any extension, under the Internal Revenue Code. The requirements about manner, form , and subscription under sub. (1) apply to statements under this subsection.

SB30,1107 Section 1107 . 71.44 (4) (b) of the statutes is amended to read:

SB30,552,21 71.44 (4) (b) Corporation franchise and income taxes not paid on or before the 15th day of the 3rd month following the close of the taxable year deadline for filing returns described in sub. (1) or (1m) shall be deemed delinquent.

SB30,1108 Section 1108 . 71.45 (4) (a) of the statutes is amended to read:

SB30,553,8 71.45 (4) (a) Except as provided in par. (b) and s. 71.80 (25), insurers computing tax under this subchapter may subtract from Wisconsin net income any Wisconsin net business loss sustained incurred in any of the next 20 immediately preceding taxable years, if the insurer was subject to taxation under this chapter in the taxable year in which the loss was incurred, to the extent not offset by Wisconsin net business income of any year between the loss year and the taxable year for which an offset is claimed and computed without regard to sub. (2) (a) 8. and 9. and this subsection and limited to the amount of net income, but no loss incurred for a taxable year before taxable year 1987 by a nonprofit service plan of sickness care under ch. 148, or dental care under s. 447.13 may be treated as a net business loss of the successor service insurer under ch. 613 operating by virtue of s. 148.03 or 447.13.

SB30,1109 Section 1109 . 71.47 (3q) (d) 2. of the statutes is amended to read:

SB30,553,18 71.47 (3q) (d) 2. If the allowable amount of the claim under par. (b) exceeds the tax otherwise due under s. 71.43, the amount of the claim not used to offset the tax due shall be certified by the department of revenue to the department of administration for payment by check, share draft, or other draft drawn from the appropriation account under s. 20.835 (2) (bb), except that the amounts certified under this subdivision for taxable years beginning after December 31, 2009, and before January 1, 2012, shall be paid in taxable years beginning after December 31, 2011. Notwithstanding s. 71.82, no interest shall be paid on amounts certified under this subdivision.

SB30,1110 Section 1110 . 71.47 (3w) (c) 1. of the statutes is amended to read:

SB30,554,2 71.47 (3w) (c) 1. If the allowable amount of the claim under this subsection exceeds the taxes otherwise due on the claimant's income under s. 71.43, the amount of the claim that is not used to offset those taxes shall be certified by the department of revenue to the department of administration for payment by check, share draft, or other draft drawn from the appropriation under s. 20.835 (2) (co). Notwithstanding s. 71.82, no interest shall be paid on amounts certified under this subdivision.

SB30,1111 Section 1111 . 71.47 (3y) (d) 2. of the statutes is amended to read:

SB30,554,9 71.47 (3y) (d) 2. If the allowable amount of the claim under par. (b) exceeds the tax otherwise due under s. 71.43, the amount of the claim not used to offset the tax due shall be certified by the department of revenue to the department of administration for payment by check, share draft, or other draft drawn from the appropriation account under s. 20.835 (2) (bg). Notwithstanding s. 71.82, no interest shall be paid on amounts certified under this subdivision.

SB30,1112 Section 1112 . 71.47 (5r) (a) 2. of the statutes is amended to read:

SB30,554,12 71.47 (5r) (a) 2. “Course of instruction" has the meaning given in s. 38.50 440.52 (1) (c).

SB30,1113 Section 1113 . 71.47 (5r) (a) 6. b. of the statutes is amended to read:

SB30,554,15 71.47 (5r) (a) 6. b. A school approved under s. 38.50 440.52, if the delivery of education occurs in this state.

SB30,1114 Section 1114 . 71.47 (6) (i) of the statutes is created to read:

SB30,554,22 71.47 (6) (i) 1. a. Except as provided in subd. 1. b., if the activity for which a person claims a credit under this subsection creates fewer full-time jobs than projected under s. 238.17 (3) (a), as reported to the department under s. 238.17 (4), the person who claimed the credit shall repay to the department any amount of the credit claimed, as determined by the department, in proportion to the number of full-time jobs created compared to the number of full-time jobs projected.

SB30,554,24 b. For purposes of subd. 1. a., the person who initially sells or transfer a credit under par. (h) is responsible for repaying the credit.

SB30,555,5 2. If a person who claims a credit under this subsection and a credit under section 47 of the Internal Revenue Code for the same qualified rehabilitation expenditures is required to repay any amount of the credit claimed under section 47 of the Internal Revenue Code, the person shall repay to the department a proportionate amount of the credit claimed under this subsection.

SB30,1115 Section 1115 . 71.52 (1d) of the statutes is created to read:

SB30,555,10 71.52 (1d) “Disabled” means an individual who is unable to engage in any substantial gainful employment by reason of a medically determinable physical or mental impairment which has lasted or is reasonably expected to last for a continuous period of not less than 12 months.

SB30,1116 Section 1116 . 71.52 (1e) of the statutes is created to read:

SB30,555,14 71.52 (1e) “Disqualified loss" means the sum of the following amounts, exclusive of net gains from the sale or exchange of capital or business assets and exclusive of net profits:

SB30,555,15 (a) Net loss from sole proprietorships.

SB30,555,16 (b) Net capital loss.

SB30,555,18 (c) Net loss from sales of business property, excluding loss from involuntary conversions.

SB30,555,20 (d) Net loss from rental real estate, royalties, partnerships, tax-option S corporations, trusts, estates, and real estate mortgage investment conduits.

SB30,555,21 (e) Net farm loss.

SB30,1117 Section 1117 . 71.52 (1m) of the statutes is created to read:

SB30,555,24 71.52 (1m) “Farmer,” “farming,” and “farm premises” have the meanings given in s. 102.04 (3).

SB30,1118 Section 1118 . 71.52 (6) of the statutes is amended to read:

SB30,557,14 71.52 (6) “Income" means the sum of Wisconsin adjusted gross income and the following amounts, to the extent not included in Wisconsin adjusted gross income: maintenance payments (except foster care maintenance and supplementary payments excludable under section 131 of the internal revenue code), support money, cash public assistance (not including credit granted under this subchapter and amounts under s. 46.27), cash benefits paid by counties under s. 59.53 (21), the gross amount of any pension or annuity (including railroad retirement benefits, all payments received under the federal social security act and veterans disability pensions), nontaxable interest received from the federal government or any of its instrumentalities, nontaxable interest received on state or municipal bonds, worker's compensation, unemployment insurance, the gross amount of “loss of time" insurance, compensation and other cash benefits received from the United States for past or present service in the armed forces, scholarship and fellowship gifts or income, capital gains, gain on the sale of a personal residence excluded under section 121 of the internal revenue code, dividends, income of a nonresident or part-year resident who is married to a full-year resident, housing allowances provided to members of the clergy, the amount by which a resident manager's rent is reduced, nontaxable income of an American Indian, nontaxable income from sources outside this state and nontaxable deferred compensation. Intangible drilling costs, depletion allowances and depreciation, including first-year depreciation allowances under section 179 of the internal revenue code, amortization, contributions to individual retirement accounts under section 219 of the internal revenue code, contributions to Keogh plans, net operating loss carry-backs and carry-forwards and, capital loss carry-forwards , and disqualified losses greater than $15,000 deducted in determining Wisconsin adjusted gross income shall be added to “income". “Income" does not include gifts from natural persons, cash reimbursement payments made under title XX of the federal social security act, surplus food or other relief in kind supplied by a governmental agency, the gain on the sale of a personal residence deferred under section 1034 of the internal revenue code or nonrecognized gain from involuntary conversions under section 1033 of the internal revenue code. Amounts not included in adjusted gross income but added to “income" under this subsection in a previous year and repaid may be subtracted from income for the year during which they are repaid. Scholarship and fellowship gifts or income that are included in Wisconsin adjusted gross income and that were added to household income for purposes of determining the credit under this subchapter in a previous year may be subtracted from income for the current year in determining the credit under this subchapter. A marital property agreement or unilateral statement under ch. 766 has no effect in computing “income" for a person whose homestead is not the same as the homestead of that person's spouse.

SB30,1119 Section 1119 . 71.54 (1) (g) (intro.) of the statutes is amended to read:

SB30,557,18 71.54 (1) (g) 2012 and thereafter. (intro.) The Subject to sub. (2m), the amount of any claim filed in 2012 and thereafter and based on property taxes accrued or rent constituting property taxes accrued during the previous year is limited as follows:

SB30,1120 Section 1120 . 71.54 (1) (g) 4. of the statutes is created to read:

SB30,557,24 71.54 (1) (g) 4. Except as provided in subd. 5., for claims filed in 2018 and thereafter and based on property taxes accrued or rent constituting property taxes accrued during the previous year, no credit may be allowed under this paragraph unless the claimant or the claimant's spouse is over the age of 61 at the close of the year to which the claim relates.

SB30,1121 Section 1121 . 71.54 (1) (g) 5. and 6. of the statutes are created to read:

SB30,558,3 71.54 (1) (g) 5. For claims filed in 2018 and thereafter and based on property taxes accrued or rent constituting property taxes accrued during the previous year, no credit may be allowed under this paragraph unless the claimant is disabled.

SB30,558,7 6. With regard to a claimant who is disabled, the claimant shall provide with his or her return proof that his or her disability is in effect for the taxable year to which the claim relates. Proof of disability may be demonstrated by any of the following:

SB30,558,9 a. A statement from the Veteran's Administration certifying that the claimant is receiving a disability benefit due to 100 percent disability.

SB30,558,11 b. A document, or copy of a document, from the Social Security Administration stating the date the disability began.

SB30,558,14 c. A statement from a physician, as defined in s. 448.01 (5), stating the beginning date of the disability and whether the disability is permanent or temporary.

SB30,1122 Section 1122 . 71.54 (1) (h) of the statutes is created to read:

SB30,558,21 71.54 (1) (h) 2018 and thereafter. For claims filed in 2018 and thereafter and based on property taxes accrued or rent constituting property taxes accrued during the previous year, with regard to a claimant who is not disabled or who is under the age of 62 at the close of the year to which the claim relates, the amount of any claim filed in 2018 and thereafter and based on property taxes accrued or rent constituting property taxes accrued during the previous year is limited as follows:

SB30,559,2 1. If the household income was $8,060 or less in the year to which the claim relates, the claim is limited to 80 percent of the lesser of 20 percent of the claimant's earned income in the taxable year to which the claim relates, or the claimant's property taxes accrued or rent constituting property taxes accrued or both in that year on the claimant's homestead.

SB30,559,8 2. If the household income was more than $8,060 in the year to which the claim relates, the claim is limited to 80 percent of the lesser of the amount by which 20 percent of the claimant's earned income in the taxable year to which the claim relates, or the claimant's property taxes accrued or rent constituting property taxes accrued or both in that year on the claimant's homestead, exceeds 8.785 percent of the household income exceeding $8,060.

SB30,559,10 3. No credit may be allowed if the household income of a claimant exceeds $24,680.

SB30,559,12 4. No credit may be allowed if the claimant under this paragraph had no earned income in the taxable year to which the claim relates.

SB30,1123 Section 1123 . 71.54 (2m) of the statutes is amended to read:

SB30,560,6 71.54 (2m) Indexing for inflation; 2010 2018 and thereafter. (a) For calendar years beginning after December 31, 2009, and before January 1, 2011 2017, the dollar amounts of the threshold income under sub. (1) (f) (g) 1. and 2., and the maximum household income under sub. (1) (f) (g) 3. and the maximum property taxes under sub. (2) (b) 3. shall be increased each year by a percentage equal to the percentage change between the U.S. consumer price index for all urban consumers, U.S. city average, for the 12-month average of the U.S. consumer price index for the month of August of the year before the previous year through the month of July of the previous year and the U.S. consumer price index for all urban consumers, U.S. city average, for the 12-month average of the U.S. consumer price index for August 2007 2015 through July 2008 2016, as determined by the federal department of labor, except that the adjustment may occur only if the percentage is a positive number. Each amount that is revised under this paragraph shall be rounded to the nearest multiple of $10 if the revised amount is not a multiple of $10 or, if the revised amount is a multiple of $5, such an amount shall be increased to the next higher multiple of $10. The department of revenue shall annually adjust the changes in dollar amounts required under this paragraph and incorporate the changes into the income tax forms and instructions.

SB30,560,12 (b) The department of revenue shall annually adjust the slope under sub. (1) (f) (g) 2. such that, as a claimant's income increases from the threshold income as calculated under par. (a), to an amount that exceeds the maximum household income as calculated under par. (a), the credit that may be claimed is reduced to $0 and the department of revenue shall incorporate the changes into the income tax forms and instructions.

SB30,1124 Section 1124 . 71.54 (4) of the statutes is amended to read:

SB30,560,17 71.54 (4) Department will compute credit. The claimant is not required to record on the claim the amount claimed. The claim allowable to persons who do not record the amount shall be computed by the department, which shall notify the claimant by mail of the amount of the allowable claim.

SB30,1125 Section 1125 . 71.55 (10) of the statutes is created to read:

SB30,560,23 71.55 (10) Farmers. Notwithstanding the provision in s. 71.52 (6) that requires the addition of certain disqualified losses to income, such an addition may not be made by a claimant who is a farmer whose primary income is from farming and whose farming generates less than $250,000 in gross receipts from the operation of farm premises in the year to which the claim relates.

SB30,1126 Section 1126 . 71.64 (9) (b) (intro.) of the statutes is amended to read:

SB30,561,4 71.64 (9) (b) (intro.) The department shall from time to time adjust the withholding tables to reflect any changes in income tax rates, any applicable surtax or any changes in dollar amounts in s. 71.06 (1), (1m), (1n), (1p), (1q), (1r), and (2) resulting from statutory changes, except as follows:

SB30,1127 Section 1127 . 71.65 (2) (b) of the statutes is amended to read:

SB30,561,21 71.65 (2) (b) Every resident of this state and every nonresident carrying on activities within this state, whether taxable or not under this chapter, who pays in any calendar year for services performed within this state by an individual remuneration which that is excluded from the definition of wages, in the amount of $600 or more, shall, on or before February 28 January 31 of the year following the year in which the payments are made, furnish a statement, in such form as required by the department, disclosing the name of the payor, the name and address of the recipient of the payment, and the total amount paid in such the calendar year to such the recipient. The person who pays for the services shall, on or before January 31 of the year in which the statement is required to be furnished to the department that deadline, furnish the recipient of the payment with a copy of that the statement. In any case in which an individual receives wages and also remuneration for services which remuneration is excluded from such definition, both from the same payor, the wages and the excluded remuneration shall both be reported in the report required under this subsection in a manner satisfactory to the department, regardless of the amount of the excluded remuneration.

SB30,1128 Section 1128 . 71.65 (5) (a) (intro.), 1. and 2. of the statutes are consolidated, renumbered 71.65 (5) (a) and amended to read:

SB30,562,3 71.65 (5) (a) If an employer applies for an extension and shows good cause why an extension should be granted, the department may grant the following extensions for the following statements: 1. Thirty days a 30-day extension for filing a wage statement under sub. (1) or, an annual reconciliation report under sub. (3) (a) or (d). 2. Sixty days for filing, or a statement of nonwage payments under sub. (2) (b).

SB30,1129 Section 1129 . 71.67 (5) (a) of the statutes is amended to read:

SB30,562,10 71.67 (5) (a) Wager winnings. A person holding a license to sponsor and manage races under s. 562.05 (1) (b) or (c) shall withhold from the amount of any payment of pari-mutuel winnings under s. 562.065 (3) (a) or (3m) (a) an amount determined by multiplying the amount of the payment by the highest rate applicable to individuals under s. 71.06 (1) (a) to (c), (1m), (1n), (1p), or (1q), or (1r) if the amount of the payment is more than $1,000.

SB30,1130 Section 1130 . 71.67 (5m) of the statutes is amended to read:

SB30,562,18 71.67 (5m) Withholding from payments to purchase assignment of lottery prize. A person that purchases an assignment of a lottery prize shall withhold from the amount of any payment made to purchase the assignment the amount that is determined by multiplying the amount of the payment by the highest rate applicable to individuals under s. 71.06 (1) (a) to (c), (1m), (1n), (1p), or (1q), or (1r). Subsection (5) (b), (c) and (d), as it applies to the amounts withheld under sub. (5) (a), applies to the amount withheld under this subsection.

SB30,1131 Section 1131 . 71.70 (1) of the statutes is amended to read:

SB30,563,6 71.70 (1) Persons other than corporations. Persons other than corporations deducting rent or royalties in determining taxable income shall file a report that shows the amounts and the name and address of all natural persons each individual who are residents is a resident of this state and to whom royalties of $600 or more were are paid during the taxable year; and the amounts and the name and address of all natural persons each individual to whom rent of $600 or more is paid during the taxable year for property having a situs in this state. Such information shall be filed The person who deducts rent or royalties shall file the report on or before February 28 January 31 of the year following the year in which the payments were are made. The person who deducts rent or royalties shall, on or before January 31 of the year in which the report is required to be furnished that deadline, furnish the recipient of the payment with a copy of that the report.

SB30,1132 Section 1132 . 71.70 (2) of the statutes is amended to read:

SB30,563,14 71.70 (2) Corporations. All corporations doing business in this state shall file, on or before March 15 January 31, any information relative to payments made within the preceding calendar year of rents and royalties to all natural persons individuals taxable thereon under this chapter. A The corporation that makes the payment shall, on or before January 31 of the year in which the statement is required to be furnished to the department that deadline, furnish the recipient of the payment with a copy of that the statement.

SB30,1133 Section 1133 . 71.71 (title) of the statutes is amended to read:

SB30,563,16 71.71 (title) Wages subject to withholding.

SB30,1134 Section 1134 . 71.715 of the statutes is created to read:

SB30,564,2 71.715 Wages not subject to withholding. (1) Statement employer must furnish to employee. (a) Every employer, as defined in s. 71.63 (3), that pays in any calendar year wages, as defined in s. 71.63 (6), to an employee, as defined in s. 71.63 (2), from which the employer was not required to deduct and withhold from the employee under the general withholding provisions of subch. X., shall furnish to the employee, with respect to the wages paid by the employer to the employee during a calendar year, on or before January 31 of the year following the year in which the wages are paid, or, if the employee's employment is terminated before the close of a calendar year, on the day on which the last payment of wages is made, 2 legible copies of a written statement showing all of the following:

SB30,564,4 1. The name of the employer and the employer's Wisconsin income tax identification number, if any.

SB30,564,5 2. The name of the employee and the employee's social security number, if any.

SB30,564,7 3. The total amount of wages the employer paid in the calendar year to the employee.

SB30,564,9 (b) An employee that receives a statement under par. (a) shall furnish the department one copy of the statement along with the employee's return for the year.