Rule-Making Notices (Hearing Notices)

•   Amends s. Tax 9.21 (3) to be consistent with s. 139.34 (3), Stats., which prohibits out-of-state distributers from shipping unstamped cigarettes to other distributers.

•   Repeals s. Tax 9.26 (1) to ensure compliance with Master Settlement Agreement requirements concerning the level of trade or transfer of unstamped cigarettes between distributers among themselves and also with manufacturers.

•   Amends ss. Tax 9.47 (4) and 9.51 (1) to be consistent with s. 995.12 (2) and (4), Stats., which requires records be kept for 5 years.

•   Updates notes and examples throughout Chapter Tax 9 to provide current rates of tax and department contact information.

Summary of, and comparison with, existing or proposed federal regulation

There is no existing or proposed federal regulation that is intended to address the activities to be regulated by the rule.

Comparison with rules in adjacent states

The department is not aware of a similar rule in an adjacent state.

Summary of factual data and analytical methodologies

2012 Executive Order 61 and 2011 Wisconsin Act 46 requires state agencies to work with the Small Business Regulatory Review Committee to review the agency's administrative rules that may be particularly onerous to small businesses in Wisconsin. In response, the department initiated a comprehensive review of all of its administrative rules. The changes described above were identified as part of that review. No other data was used in the preparation of this rule order or this analysis.

Analysis and supporting documents used to determine effect on small business

This rule order makes changes to reflect current law and current department policy. It makes no policy or other changes having an effect on small business.

Anticipated costs incurred by private sector

This rule order does not have a fiscal effect on the private sector.

Effect on Small Business and Initial Regulatory Flexibility Analysis

This rule order does not affect small business.

Agency Contact Person

Please contact Dale Kleven at [phone] or [e-mail], if you have any questions regarding this rule order.

Text of Rule

SECTION 1. Tax 4.12 (3) (b) 1. (Example 1) and (Example 2) and 3.a. (Example) are amended to read:

Tax 4.12 (3) (b) 1. (Example 1) An account of a supplier who is still in business becomes worthless and meets the requirements to be charged off for income or franchise tax purposes on January 10, 1995 2011. The supplier may claim a bad debt deduction on the motor vehicle fuel tax return, form MF-002, filed for the month of January 1995 2011, even though the bad debt deduction may not be claimed for income or franchise tax purposes until the 1995 2011 income or franchise tax return is filed in 1996 2012.

(Example 2) Assume the same facts as in Example 1, except the account is that of a wholesaler distributor. Irrespective of when the wholesaler distributor files the income or franchise tax return on which the bad debt deduction is claimed, the wholesaler distributor may file a claim for refund to recover the uncollected motor vehicle fuel tax any time between January 10, 1995 2011 and April 15, 2000 2016.

3.a. (Example) At the time when the tax rate is 23.2¢ 30.9¢ per gallon, Supplier A sells 8,000 gallons of gasoline to Company B. Company B has an agreement with Supplier A to delay payment of the tax. The amount of the contract is $9,696 $12,942, consisting of tax, $1,856 $2,472, and the cost of fuel, $7,840 $10,470. Company B defaults and discontinues operations, leaving a balance due Supplier A of $2,100, which includes interest of $200 not included in the contract amount. The deductible tax loss is $367 $363, computed as follows:

Contract amount   $9,696$12,942

Unpaid contract amount   -1,900

Paid contract amount   $7,796$11,042

Portion constituting tax*   x.191

Tax paid     $1,489$2,109

*$1,856 $2,472 tax ÷ $9,696 $12,942 contract amount = .191.

Since $1,489 $2,109 of the tax of $1,856 $2,472 was paid, only the unpaid tax of $367 $363 may be deducted.

SECTION 2. Tax 4.55 (2) (a) (Note) is created to read:

Tax 4.55 (2) (a) (Note) Form MF-100 is available on the department's web site at www.revenue.wi.gov.

SECTION 3. Tax 4.55 (3) (b) (Note 1) is repealed.

SECTION 4. Tax 4.65 (3) (f) (Note 1) is amended to read:

Tax 4.65 (3) (f) (Note 1) Copies of vendor registration form MF-112, exemption certificate form MF-209, and refund claim form MF-012 may be obtained by writing or calling Wisconsin Department of Revenue, Audit Bureau, P.O. Box 8906, Madison, WI 53708-8906, [phone] are available on the department's web site at www.revenue.wi.gov.

SECTION 5. Tax 8.001 (2) (c) 1. (Note) is amended to read:

Tax 8.001 (2) (c) 1. (Note) Written requests should be e-mailed to [e-mail], faxed to [phone], or addressed to Mandate Waiver Request, Wisconsin Department of Revenue, Excise Tax Section - Mail Stop 5-107 6-107, PO Box 8900, Madison WI 53708-8900.

SECTION 6. Tax 8.03 (2) (Note) is amended to read:

Tax 8.03 (2) (Note) Wine collector registrations may be addressed to Wisconsin Department of Revenue, Excise Tax Section – Mail Stop 6-107, PO Box 8900, Madison, Wisconsin 53708-8900.

SECTION 7. Tax 8.11 is repealed.

SECTION 8. Tax 9.001 (2) (c) 1. (Note) is amended to read:

Tax 9.001 (2) (c) 1. (Note) Written requests should be e-mailed to [e-mail], faxed to [phone], or addressed to Mandate Waiver Request, Wisconsin Department of Revenue, Excise Tax Section - Mail Stop 5-107 6-107, PO Box 8900, Madison WI 53708-8900.

SECTION 9. Tax 9.19 (Title) is amended to read:

Tax 9.19 (Title) Fuson Stamp application machines and stamps.

SECTION 10. Tax 9.19 (1) is repealed.

SECTION 11. Tax 9.19 (2) is amended to read:

Tax 9.19 (2) The use of fuson stamps and any machines or devices for their application by any distributor shall be subject to the approval of the secretary of revenue and the approval may be withdrawn at any time at the discretion of the secretary of revenue.

SECTION 12. Tax 9.21 (3) is amended to read:

Tax 9.21 (3) All out-of-state manufacturers or distributors may ship cigarettes either stamped or unstamped directly to any Wisconsin manufacturers or distributors who hold the proper permit issued by the department.

SECTION 13. Tax 9.26 (1) is repealed.

SECTION 14. Tax 9.47 (4) is amended to read:

Tax 9.47 (4) A clearly legible copy of all invoices evidencing a sale or exchange of cigarettes shall be retained by each of the parties to the transaction for a period of at least 2 5 years from the date of the invoice, in groups covering a period of one month each.

SECTION 15. Tax 9.51 (1) is amended to read:

Tax 9.51 (1) Cigarettes shipped into this state by manufacturers to their representatives, including advertising agencies and airlines, for the purpose of free samples shall be accompanied by a memo invoice stating brands and number of cigarettes. The memos shall be retained by the representative for the statutory period of 2 5 years.

SECTION 16. Tax 9.68 (2) (a) (Note) is created to read:

Tax 9.68 (2) (a) (Note) Form CTP-129 is available on the department's web site at www.revenue.wi.gov.

SECTION 17. Tax 9.68 (3) (b) (Note 1) is repealed.

SECTION 18. Tax 9.70 (3) (d) (Example 1) and (Example 2) are amended to read:

Tax 9.70 (3) (d) (Example 1) At a time when the cigarette tax rate is 3.85¢ 12.6¢ per stick, Person A sells cigarettes to Customer B. The amount of the invoice is $10,000 $20,000, consisting of cigarette tax of $1,540 $5,040, cost of cigarettes of $6,000 $12,000 and sundries of $2,460 $2,960. Customer B defaults and discontinues operations, leaving a balance due to Person A of $2,100, which includes interest of $200 not included in the original invoice amount. The deductible tax is $292.60 $478.80, computed as follows:

Tax per invoice     $1,540.00 $5,040.00

Invoice amount   $ 10,000.00 20,000.00

Unpaid invoice amount - -1,900.00

Paid invoice amount   $ 8,100.0018,100.00

Portion constituting tax* x.154 .252

Tax paid       - $1,247.40$4,561.20

Tax that may be deducted   $292.60478.80

*$1,540 $5,040 tax ÷ $10,000 $20,000 invoice amount = .154 .252.

(Example 2) At a time when the tobacco products tax rate is 25% 71% of the manufacturer's wholesale established list price, Distributor A sells tobacco products to Customer B. The amount of the invoice is $9,500 $11,800, consisting of tobacco products tax of $1,250 $3,550, cost of tobacco products of $5,000 and sundries of $3,250. Customer B defaults and discontinues operations, leaving a balance due to Distributor A of $3,000, which includes interest of $200 not included in the original invoice amount. The deductible tax is $365.60 $841, computed as follows:

Tax per invoice     $1,250.00 $3,550

Invoice amount   $ 9,500.00 11,800

Unpaid invoice amount – - 2,800.00 2,800

Paid invoice amount   $ 6,700.00 9,000

Portion constituting tax* x.132 .301

Tax paid       - $884.40 $2,709

Tax that may be deducted   $ 292.60 841

*$1,250 $3,550 tax ÷ $9,500 $11,800 invoice amount = .132 .301.

SECTION 19. Effective date. This rule shall take effect on the first day of the month following publication in the Wisconsin Administrative Register as provided in s. 227.22 (2) (intro.), Stats

ADMINISTRATIVE RULES FISCAL ESTIMATE AND ECONOMIC IMPACT ANALYSIS
Type of Estimate and Analysis
X Original Updated Corrected
Administrative Rule Chapter, Title and Number
Chapters Tax 4, 8, and 9 – Motor vehicle and general aviation fuel taxation; intoxicating liquors; and cigarette tax.
Subject
General provisions of excise taxation and enforcement.
Fund Sources Affected			Chapter 20 , Stats. Appropriations Affected
⍽ GPR ⍽ FED ⍽ PRO ⍽ PRS ⍽ SEG ⍽ SEG-S
Fiscal Effect of Implementing the Rule
X No Fiscal Effect ⍽ Indeterminate	⍽ Increase Existing Revenues ⍽ Decrease Existing Revenues		⍽ Increase Costs ⍽ Could Absorb Within Agency's Budget ⍽ Decrease Costs
The Rule Will Impact the Following (Check All That Apply)
⍽ State's Economy ⍽ Local Government Units		⍽ Specific Businesses/Sectors ⍽ Public Utility Rate Payers
Would Implementation and Compliance Costs Be Greater Than $20 million? ⍽ Yes X No
Policy Problem Addressed by the Rule
The rule does not create or revise policy, other than to reflect current law and department policy.
Summary of Rule's Economic and Fiscal Impact on Specific Businesses, Business Sectors, Public Utility Rate Payers, Local Governmental Units and the State's Economy as a Whole (Include Implementation and Compliance Costs Expected to be Incurred)
As indicated in the attached fiscal estimate, the revisions in the proposed rule will have no impact on either state tax revenues or the department's administrative costs. No comments concerning the economic effect of the rule were submitted in response to the department's solicitation.
Benefits of Implementing the Rule and Alternative(s) to Implementing the Rule
Clarifications and guidance provided by administrative rules may lower the compliance costs for businesses, local governmental units, and individuals. If the rule is not implemented, Chapters Tax 4, 8, and 9 will be incomplete in that they will not reflect current law or department policy.
Long Range Implications of Implementing the Rule
No long-range implications are anticipated.
Compare With Approaches Being Used by Federal Government
N/A
Compare With Approaches Being Used by Neighboring States (Illinois, Iowa, Michigan and Minnesota)
N/A

FISCAL ESTIMATE FORM				2012 Session
X ORIGINAL ⍽ UPDATED	LRB #
	INTRODUCTION #
⍽ CORRECTED ⍽ SUPPLEMENTAL	Admin rule #		Chapter Tax 4, Chapter Tax 8, and Chapter Tax 9
Subject Proposed order of the Department of Revenue relating to general provisions of excise taxation and enforcement.
Fiscal Effect

State:   X No State Fiscal Effect   Check columns below only if bill makes a direct appropriation or   affects a sum sufficient appropriation ⍽ Increase Existing Appropriation     ⍽ Increase Existing Revenues ⍽ Decrease Existing Appropriation     ⍽ Decrease Existing Revenues ⍽ Create New Appropriation			Increase Costs - May be Possible to Absorb Within Agency's Budget ⍽ Yes ⍽ No ⍽ Decrease Costs
Local: X No Local Government Costs
1.   ⍽ Increase Costs	3   ⍽ Increase Revenues		5. Types of Local Governmental Units Affected:
⍽ Permissive ⍽ Mandatory	⍽ Permissive ⍽ Mandatory		⍽ Towns ⍽ Villages ⍽ Cities
2.   ⍽ Decrease Costs	4.   Decrease Revenues		⍽ Counties ⍽ Others
⍽ Permissive ⍽ Mandatory	⍽ Permissive ⍽ Mandatory		⍽ School Districts ⍽ WTCS Districts
Fund Sources Affected ⍽ GPR ⍽ FED ⍽ PRO ⍽ PRS ⍽ SEG ⍽ SEG-S		Affected Ch. 20 Appropriations
Assumptions Used in Arriving at Fiscal Estimate: The proposed rule order modifies several sections in Chapter Tax 4 (Motor vehicle and general aviation fuel taxation), Chapter Tax 8 (Intoxicating Liquors), and Chapter Tax 9 (Cigarette tax). It makes several changes to reflect current law and the technology now available to administer current law. The proposed rule updates department contact information and updates examples to utilize current tax rates. The revisions in the proposed rule will have no impact on either state tax revenues or the department's administrative costs.

Long-Range Fiscal Implications:
Agency/Prepared by Wisconsin Department of Revenue	Authorized Signature/Telephone No. Wisconsin Department of Revenue	Date
Jacek Cianciara	Paul Ziegler	Nov. 12, 2012
608 266-8133	608 266-5773

Notice of Hearing

Safety and Professional Services
Optometry Examining board

rulemaking_notices CR 13-017 CR 13-017

NOTICE IS HEREBY GIVEN that pursuant to authority vested in the Optometry Examining Board in s. 15.08 (5) (b), Wis. Stats., and interpreting s. 449.08, Wis. Stats., the Optometry Examining Board will hold a public hearing at the time and place indicated below to consider an order to amend Opt 5.02 (4) relating to lens prescription.

Hearing Dates and Locations

The hearing will be held:

Date:   Thursday, March 28, 2013
Time:   9:00 a.m.
Location:   1400 East Washington Avenue
  Room 121C
  Madison, Wisconsin

Appearances at the Hearing

Interested persons are invited to present information at the hearing. Persons appearing may make an oral presentation but are urged to submit facts, opinions and argument in writing as well. Facts, opinions and argument may also be submitted in writing without a personal appearance by mail addressed to the Department of Safety and Professional Services, Division of Policy Development, P.O. Box 8935, Madison, Wisconsin 53708. Written comments must be received at or before the public hearing to be included in the record of rule-making proceedings.

Place where Comments are to be Submitted and Deadline for Submission

Comments may be submitted to Sharon Henes, Paralegal, Department of Safety and Professional Services, Division of Policy Development, 1400 East Washington Avenue, Room 151, P.O. Box 8935, Madison, WI 53708-8935, or by email to [e-mail]. Comments must be received at or before the public hearing to be held on March 28, 2013 at 9:00 a.m. to be included in the record of rule-making proceedings.

Copies of Rule