71.05 (6) (a) 15. The amount of the credits computed under s. 71.07 (2dd), (2de), (2di), (2dj), (2dL), (2dm), (2dr), (2ds), (2dx), (2dy), (3g), (3h), (3n), (3p), (3q), (3r), (3s), (3t), (3w), (5e), (5f), (5h), (5i), (5j), and (5k), and (8r) and not passed through by a partnership, limited liability company, or tax-option corporation that has added that amount to the partnership's, company's, or tax-option corporation's income under s. 71.21 (4) or 71.34 (1k) (g).
28,1541
Section
1541. 71.05 (6) (a) 21. of the statutes is amended to read:
71.05
(6) (a) 21.
Any For taxable years beginning after December 31, 2007, and before January 1, 2009, 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.
28,1542
Section
1542. 71.05 (6) (a) 22. of the statutes is amended to read:
71.05
(6) (a) 22.
If For taxable years beginning after December 31, 2007, and before January 1, 2009, if an individual is a nonresident or part-year resident of this state and a portion of the amount the individual deducted as income attributable to domestic production activities under section
199 of the Internal Revenue Code is attributable to a trade or business that is taxable by this state, the amount deducted under section 199 for federal income tax purposes and in excess of that amount, multiplied by a fraction, the numerator of which is the individual's net earnings from the trade or business that is taxable by this state and the denominator of which is the individual's total net earnings from the trade or business to which the deduction under section
199 of the Internal Revenue Code applies.
28,1543
Section
1543. 71.05 (6) (b) 9. of the statutes is amended to read:
71.05
(6) (b) 9. On assets held more than one year and on all assets acquired from a decedent,
60% 30 percent of the capital gain as computed under the internal revenue code, not including capital gains for which the federal tax treatment is determined under section 406 of P.L.
99-514; not including amounts treated as ordinary income for federal income tax purposes because of the recapture of depreciation or any other reason; and not including amounts treated as capital gain for federal income tax purposes from the sale or exchange of a lottery prize. For purposes of this subdivision, the capital gains and capital losses for all assets shall be netted before application of the percentage.
28,1543b
Section 1543b. 71.05 (6) (b) 9m. of the statutes is created to read:
71.05
(6) (b) 9m. On farm assets held more than one year and on all farm assets acquired from a decedent, to the extent that they are not subtracted under subd. 9. or 10., 60 percent of the capital gain as computed under the Internal Revenue Code, not including capital gains for which the federal tax treatment is determined under section 406 of P.L.
99-514; not including amounts treated as ordinary income for federal income tax purposes because of the recapture of depreciation or any other reason; and not including amounts treated as capital gain for federal income tax purposes from the sale or exchange of a lottery prize. In this subdivision, "farm assets" means livestock, farm equipment, farm real property, and farm depreciable property. For purposes of this subdivision, the capital gains and capital losses for all assets shall be netted before application of the percentage.
28,1543c
Section 1543c. 71.05 (6) (b) 32. (intro.) of the statutes is amended to read:
71.05 (6) (b) 32. (intro.) An amount paid into a college savings account, as described in s. 14.64, if the beneficiary of the account is one of the following: the claimant; the claimant's child and the claimant's dependent who is claimed under section 151 (c) of the Internal Revenue Code; the claimant's grandchild; the claimant's great-grandchild; or the claimant's niece or nephew; calculated as follows:
28,1543cc
Section 1543cc. 71.05 (6) (b) 32. a. of the statutes is amended to read:
71.05 (6) (b) 32. a. An amount equal to not more than $3,000 per beneficiary, by each contributor, or $1,500 by each contributor who is married and files separately, to an account for each year to which the claim relates, except that the total amount for which a deduction may be claimed under this subdivision and under subd. 33., per beneficiary by any claimant may not exceed $3,000 each year, or $1,500 each year by any claimant who is married and files separately. In the case of a married couple filing a joint return, the total deduction under this subdivision and under subd. 33., per beneficiary by the married couple may not exceed $3,000 each year. In the case of divorced parents, the total deduction under this subdivision and under subd. 33., per beneficiary by the formerly married couple, may not exceed $3,000, and the maximum amount that may be deducted by each former spouse is $1,500, unless the divorce judgment specifies a different division of the $3,000 maximum that may be claimed by each former spouse.
28,1543ce
Section 1543ce. 71.05 (6) (b) 33. (intro.) of the statutes is amended to read:
71.05 (6) (b) 33. (intro.) An amount paid into a college tuition and expenses program, as described in s. 14.63, if the beneficiary of the account is one of the following: the claimant; the claimant's child and the claimant's dependent who is claimed under section 151 (c) of the Internal Revenue Code; the claimant's grandchild; the claimant's great-grandchild; or the claimant's niece or nephew; calculated as follows:
28,1543cg
Section 1543cg. 71.05 (6) (b) 33. a. of the statutes is amended to read:
71.05 (6) (b) 33. a. An amount equal to not more than $3,000 per beneficiary, by each contributor, or $1,500 by each contributor who is married and files separately, to an account for each year to which the claim relates, except that the total amount for which a deduction may be claimed under this subdivision and under subd. 32., per beneficiary by any claimant may not exceed $3,000 each year, or $1,500 each year by any claimant who is married and files separately. In the case of a married couple filing a joint return, the total deduction under this subdivision and under subd. 32., per beneficiary by the married couple may not exceed $3,000 each year. In the case of divorced parents, the total deduction under this subdivision and under subd. 32., per beneficiary by the formerly married couple, may not exceed $3,000, and the maximum amount that may be deducted by each former spouse is $1,500, unless the divorce judgment specifies a different division of the $3,000 maximum that may be claimed by each former spouse.
28,1543f
Section 1543f. 71.05 (6) (b) 37. (intro.) of the statutes is amended to read:
71.05 (6) (b) 37. (intro.) For taxable years beginning after December 31, 2007, and before January 1, 2009 2011, an amount paid by an individual, other than a person to whom subd. 19. applies, who has no employer and no self-employment income, for medical care insurance for the individual, his or her spouse, and the individual's dependents, calculated as follows:
28,1543fe
Section 1543fe. 71.05 (6) (b) 38. (intro.) of the statutes is amended to read:
71.05 (6) (b) 38. (intro.) For taxable years beginning after December 31, 2008 2010, an amount paid by an individual, other than a person to whom subd. 19. applies, who has no employer and no self-employment income, for medical care insurance for the individual, his or her spouse, and the individual's dependents, calculated as follows:
28,1543h
Section 1543h. 71.05 (6) (b) 39. (intro.) of the statutes is amended to read:
71.05 (6) (b) 39. (intro.) For taxable years beginning after December 31, 2007, and before January 1, 2009 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:
28,1543he
Section 1543he. 71.05 (6) (b) 40. (intro.) of the statutes is amended to read:
71.05 (6) (b) 40. (intro.) For taxable years beginning after December 31, 2008 2010, and before January 1, 2010 2012, 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:
28,1543hm
Section 1543hm. 71.05 (6) (b) 41. (intro.) of the statutes is amended to read:
71.05 (6) (b) 41. (intro.) For taxable years beginning after December 31, 2009 2011, and before January 1, 2011 2013, 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:
28,1543hs
Section 1543hs. 71.05 (6) (b) 42. (intro.) of the statutes is amended to read:
71.05 (6) (b) 42. (intro.) For taxable years beginning after December 31, 2010 2012, 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:
28,1543j
Section 1543j. 71.05 (6) (b) 43. a. of the statutes is amended to read:
71.05 (6) (b) 43. a. For taxable years beginning after December 31, 2008 2010, and before January 1, 2010 2012, up to $750 if the claimant has one qualified individual and up to $1,500 if the claimant has more than one qualified individual.
28,1543je
Section 1543je. 71.05 (6) (b) 43. b. of the statutes is amended to read:
71.05 (6) (b) 43. b. For taxable years beginning after December 31, 2009 2011, and before January 1, 2011 2013, up to $1,500 if the claimant has one qualified individual and up to $3,000 if the claimant has more than one qualified individual.
28,1543jm
Section 1543jm. 71.05 (6) (b) 43. c. of the statutes is amended to read:
71.05 (6) (b) 43. c. For taxable years beginning after December 31, 2010 2012, and before January 1, 2012 2014, up to $2,250 if the claimant has one qualified individual and up to $4,500 if the claimant has more than one qualified individual.
28,1543js
Section 1543js. 71.05 (6) (b) 43. d. of the statutes is amended to read:
71.05 (6) (b) 43. d. For taxable years beginning after December 31, 2011 2013, up to $3,000 if the claimant has one qualified individual and up to $6,000 if the claimant has more than one qualified individual.
28,1543s
Section 1543s. 71.05 (22) (dt) of the statutes is amended to read:
71.05 (22) (dt) Standard deduction indexing, 2001 and thereafter. For taxable years beginning after December 31, 2000, the dollar amounts of the standard deduction that is allowable under par. (dp) and all of the dollar amounts of Wisconsin adjusted gross income under par. (dp) 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 month of August of the previous year and the U.S. consumer price index for all urban consumers, U.S. city average, for the month of August 1999, as determined by the federal department of labor, except that for taxable years beginning after December 31, 2011, the adjustment may occur only if the resulting amount is greater than the corresponding amount that was calculated for the previous year. 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.
28,1544
Section
1544. 71.05 (24) of the statutes is created to read:
71.05 (24) Income tax deferral; long-term capital assets. (a) In this subsection:
1. "Claimant" means an individual; an individual partner or member of a partnership, limited liability company, or limited liability partnership; or an individual shareholder of a tax-option corporation.
2. "Financial institution" has the meaning given in s. 69.30 (1) (b).
3. "Long-term capital gain" means the gain realized from the sale of any capital asset held more than one year that is treated as a long-term gain under the Internal Revenue Code.
4. "Qualified new business venture" means a business certified by the department of commerce under s. 560.208.
(b) For taxable years beginning after December 31, 2010, a claimant may subtract from federal adjusted gross income any amount, up to $10,000,000, of a long-term capital gain if the claimant does all of the following:
1. Deposits the gain into a segregated account in a financial institution.
2. Within 180 days after the sale of the asset that generated the gain, invests all of the proceeds in the account described under subd. 1. in a qualified new business venture.
3. After making the investment as described under subd. 2., notifies the department, on a form prepared by the department, that the claimant will not declare on the claimant's income tax return the gain described under subd. 1. because the claimant has reinvested the capital gain as described under subd. 2. The form shall be sent to the department along with the claimant's income tax return for the year to which the claim relates.
(c) The basis of the investment described in par. (b) 2. shall be calculated by subtracting the gain described in par. (b) 1. from the amount of the investment described in par. (b) 2.
(d) If a claimant defers the payment of income taxes on a capital gain under this subsection, the claimant may not use the gain described under par. (b) 1. to net capital gains and losses, as described under sub. (10) (c).
28,1545
Section
1545. 71.06 (1p) (d) of the statutes is amended to read:
71.06 (1p) (d) On all taxable income exceeding $112,500 but not exceeding $225,000, 6.75%.
28,1546
Section
1546. 71.06 (1p) (e) of the statutes is created to read:
71.06 (1p) (e) On all taxable income exceeding $225,000, 7.75 percent.
28,1547
Section
1547. 71.06 (2) (g) 4. of the statutes is amended to read:
71.06 (2) (g) 4. On all taxable income exceeding $150,000 but not exceeding $300,000, 6.75%.
28,1548
Section
1548. 71.06 (2) (g) 5. of the statutes is created to read:
71.06 (2) (g) 5. On all taxable income exceeding $300,000, 7.75 percent.
28,1549
Section
1549. 71.06 (2) (h) 4. of the statutes is amended to read:
71.06 (2) (h) 4. On all taxable income exceeding $75,000 but not exceeding $150,000, 6.75%.
28,1550
Section
1550. 71.06 (2) (h) 5. of the statutes is created to read:
71.06 (2) (h) 5. On all taxable income exceeding $150,000, 7.75 percent.
28,1551
Section
1551. 71.06 (2e) of the statutes is renumbered 71.06 (2e) (a) and amended to read:
71.06 (2e) (a) For taxable years beginning after December 31, 1998, and before January 1, 2000, the maximum dollar amount in each tax bracket, and the corresponding minimum dollar amount in the next bracket, under subs. (1m) and (2) (c) and (d), and for taxable years beginning after December 31, 1999, the maximum dollar amount in each tax bracket, and the corresponding minimum dollar amount in the next bracket, under subs. (1n), (1p) (a) to (c), and (2) (e), (f), (g) 1. to 3., and (h) 1. to 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 month of August of the previous year and the U.S. consumer price index for all urban consumers, U.S. city average, for the month of August 1997, as determined by the federal department of labor, except that for taxable years beginning after December 31, 2000, and before January 1, 2002, the dollar amount in the top bracket under subs. (1p) (c) and (d), (2) (g) 3. and 4. and (h) 3. and 4. shall be increased 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 month of August of the previous year and the U.S. consumer price index for all urban consumers, U.S. city average, for the month of August 1999, as determined by the federal department of labor, except that for taxable years beginning after December 31, 2011, the adjustment may occur only if the resulting amount is greater than the corresponding amount that was calculated for the previous year. Each amount that is revised under this subsection 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 subsection paragraph and incorporate the changes into the income tax forms and instructions.
28,1552
Section
1552. 71.06 (2e) (b) of the statutes is created to read:
71.06 (2e) (b) For taxable years beginning after December 31, 2009, the maximum dollar amount in each tax bracket, and the corresponding minimum dollar amount in the next bracket, under subs. (1p) (d) and (2) (g) 4. and (h) 4., and the dollar amount in the top bracket under subs. (1p) (e) and (2) (g) 5. and (h) 5., 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 month of August of the previous year and the U.S. consumer price index for all urban consumers, U.S. city average, for the month of August 2008, as determined by the federal department of labor, except that for taxable years beginning after December 31, 2011, the adjustment may occur only if the resulting amount is greater than the corresponding amount that was calculated for the previous year. 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.
28,1554
Section
1554. 71.07 (2fd) of the statutes is repealed.
28,1554d
Section 1554d. 71.07 (3h) (b) of the statutes is amended to read:
71.07 (3h) (b) Filing claims. Subject to the limitations provided in this subsection, for taxable years beginning after December 31, 2009 2011, and before January 1, 2013 2015, for a claimant who produces at least 2,500,000 gallons of biodiesel fuel in this state in the taxable year, a claimant may claim as a credit against the tax imposed under s. 71.02, up to the amount of the tax, an amount that is equal to the number of gallons of biodiesel fuel produced by the claimant in this state in the taxable year multiplied by 10 cents.
28,1555
Section
1555. 71.07 (3m) (a) 1. (intro.) of the statutes is amended to read:
71.07 (3m) (a) 1. (intro.) "Claimant" means an owner of farmland, as defined in s. 91.01 (9), 2007 stats., of farmland domiciled in this state during the entire year for which a credit under this subsection is claimed, except as follows:
28,1556
Section
1556. 71.07 (3m) (a) 3. of the statutes is amended to read:
71.07
(3m) (a) 3. "Farmland" means 35 or more acres of real property, exclusive of improvements, in this state, in agricultural use, as defined in s. 91.01 (1),
2007 stats., and owned by the claimant or any member of the claimant's household during the taxable year for which a credit under this subsection is claimed if the farm of which the farmland is a part, during that year, produced not less than $6,000 in gross farm profits resulting from agricultural use, as defined in s. 91.01 (1),
2007 stats., or if the farm of which the farmland is a part, during that year and the 2 years immediately preceding that year, produced not less than $18,000 in such profits, or if at least 35 acres of the farmland, during all or part of that year, was enrolled in the conservation reserve program under
16 USC 3831 to
3836.
28,1557
Section
1557. 71.07 (3m) (a) 4. of the statutes is amended to read:
71.07
(3m) (a) 4. "Gross farm profits" means gross receipts, excluding rent, from agricultural use, as defined in s. 91.01 (1)
, 2007 stats., including the fair market value at the time of disposition of payments in kind for placing land in federal programs or payments from the federal dairy termination program under
7 USC 1446 (d), less the cost or other basis of livestock or other items purchased for resale which are sold or otherwise disposed of during the taxable year.
28,1558
Section
1558. 71.07 (3m) (e) of the statutes is created to read:
71.07 (3m) (e) Sunset. No new claim may be filed under this subsection for a taxable year that begins after December 31, 2009.
28,1569
Section
1569. 71.07 (3q) of the statutes is created to read:
71.07 (3q) Jobs tax credit. (a)
Definitions. In this subsection:
1. "Claimant" means a person certified to receive tax benefits under s. 560.2055 (2).
2. "Eligible employee" means an eligible employee under s. 560.2055 (1) (b) who satisfies the wage requirements under s. 560.2055 (3) (a) or (b).
(b) Filing claims. Subject to the limitations provided in this subsection and s. 560.2055, for taxable years beginning after December 31, 2009, a claimant may claim as a credit against the taxes imposed under ss. 71.02 and 71.08 any of the following.
1. The amount of wages that the claimant paid to an eligible employee in the taxable year, not to exceed 10 percent of such wages, as determined by the department of commerce under s. 560.2055.
2. The amount of the costs incurred by the claimant in the taxable year, as determined under s. 560.2055, to undertake the training activities described under s. 560.2055 (3) (c).
(c) Limitations. 1. Partnerships, limited liability companies, and tax-option corporations may not claim the credit under this subsection, but the eligibility for, and the amount of, the credit are based on their payment of amounts under par. (b). A partnership, limited liability company, or tax-option corporation shall compute the amount of credit that each of its partners, members, or shareholders may claim and shall provide that information to each of them. Partners, members of limited liability companies, and shareholders of tax-option corporations may claim the credit in proportion to their ownership interests.
2. No credit may be allowed under this subsection unless the claimant includes with the claimant's return a copy of the claimant's certification for tax benefits under s. 560.2055 (2).
3. The maximum amount of credits that may be awarded under this subsection and ss. 71.28 (3q) and 71.47 (3q) for the period beginning on January 1, 2010, and ending on June 30, 2013, is $14,500,000.
(d) Administration. 1. Section 71.28 (4) (e), (g), and (h), as it applies to the credit under s. 71.28 (4), applies to the credit under this subsection.
