Amendment ASA1-AB133

AB133-ASA1, s. 1751 Section 1751. 71.45 (3) (a) of the statutes is amended to read:

AB133-ASA1,939,25 71.45 (3) (a) The Subject to par. (c), the percentage determined by dividing the sum of total direct premiums written on all property and risks for insurance other than life insurance, on subjects of insurance resident, located or to be performed in this state, and assumed premiums written for reinsurance, other than life insurance, with respect to all property and risks resident, located or to be performed in this state, by the sum of direct premiums written for insurance on all property and risks, other than life insurance, wherever located during the taxable year, as reflects, and assumed premiums written on insurance for reinsurance on all property and risks, other than life insurance, where the subject of insurance was resident, located or to be performed outside this state wherever located. In this paragraph, "direct premiums" means direct premiums as reported for the taxable year on an annual statement that is filed by the insurer with the commissioner of insurance. In this paragraph, "assumed premiums" means assumed reinsurance premiums from domestic insurance companies as reported for the taxable year on an annual statement that is filed by the commissioner of insurance.

AB133-ASA1, s. 1752 Section 1752. 71.45 (3) (b) of the statutes is renumbered 71.45 (3) (b) 1. and amended to read:

AB133-ASA1,940,6 71.45 (3) (b) 1. The Subject to par. (c), the percentage of determined by dividing the payroll, exclusive of life insurance payroll, paid in this state in the taxable year by total payroll, exclusive of life insurance payroll, paid everywhere in the taxable year as reflects such compensation paid outside this state.

AB133-ASA1,940,15 2. Compensation is paid outside this state if the individual's service is performed entirely outside this state; or the individual's service is performed both within and without this state, but the service performed within is incidental to the individual's service without this state; or some service is performed without this state and the base of operations, or if there is no base of operations, the place from which the service is directed or controlled is without this state, or the base of operations or the place from which the service is directed or controlled is not in any state in which some part of the service is performed, but the individual's residence is outside this state.

AB133-ASA1, s. 1752d Section 1752d. 71.45 (3) (c) of the statutes is created to read:

AB133-ASA1,940,19 71.45 (3) (c) 1. For taxable years beginning after December 31, 2000, and before January 1, 2002, the percentage under par. (a) represents 63% of the average of the amounts under pars. (a) and (b) 1.

AB133-ASA1,940,22 2. For taxable years beginning after December 31, 2001, and before January 1, 2003, the percentage under par. (a) represents 85% of the average of the amounts under pars. (a) and (b) 1.

AB133-ASA1,941,2 3. For taxable years beginning after December 31, 2002, a domestic insurer that is subject to apportionment under this subsection shall multiply the net income figure derived by application of sub. (2) by the percentage under par. (a) to determine Wisconsin income for purposes of the franchise tax.

AB133-ASA1, s. 1753 Section 1753. 71.45 (3m) of the statutes is amended to read:

AB133-ASA1,941,10 71.45 (3m) Arithmetic average. The Except as provided in sub. (3) (c), the arithmetic average of the 2 percentages referred to in sub. (3) shall be applied to the net income figure arrived at by the successive application of sub. (2) (a) and (b) with respect to Wisconsin insurers to which sub. (2) (a) and (b) applies and which have collected premiums written upon insurance, other than life insurance, where the subject of such insurance was resident, located or to be performed outside this state, to arrive at Wisconsin income constituting the measure of the franchise tax.

AB133-ASA1, s. 1753g Section 1753g. 71.45 (6) of the statutes is created to read:

AB133-ASA1,941,16 71.45 (6) Partnerships and limited liability companies. (a) A general or limited partner's share of the numerator and denominator of a partnership's apportionment fractions under this section are included in the numerator and denominator of the general or limited partner's apportionment fractions under this section.

AB133-ASA1,941,21 (b) If a limited liability company is considered by the department of revenue to be a partnership, for tax purposes, a member's share of the numerator and denominator of a limited liability company's apportionment fractions under this section are included in the numerator and denominator of the member's apportionment fractions under this section.

AB133-ASA1, s. 1754t Section 1754t. 71.47 (1dj) (am) 1. of the statutes is amended to read:

AB133-ASA1,942,2 71.47 (1dj) (am) 1. Modify "member of a targeted group", as defined in section 51 (d) of the internal revenue code as amended to December 31, 1995, to include persons unemployed as a result of a business action subject to s. 109.07 (1m) and persons specified under 29 USC 1651 (a) dislocated workers, as defined in 29 USC 2801 (9), and to require a member of a targeted group to be a resident of this state.

AB133-ASA1, s. 1754v Section 1754v. 71.47 (1dj) (am) 2. of the statutes is amended to read:

AB133-ASA1,942,9 71.47 (1dj) (am) 2. Modify "designated local agency", as defined in section 51 (d) (15) of the internal revenue code, to include the job training partnership act organization local workforce development board established under 29 USC 2832 for the area that includes the development zone in which the employe in respect to whom the credit under this subsection is claimed works, if the department of commerce approves the criteria used for certification, and the department of commerce.

AB133-ASA1, s. 1755 Section 1755. 71.47 (1dj) (am) 3. of the statutes is amended to read:

AB133-ASA1,942,13 71.47 (1dj) (am) 3. Modify the rule for certification under section 51 (d) (16) (A) of the internal revenue code to allow certification within the 90-day period beginning with the first day of employment of the employe by the claimant.

AB133-ASA1, s. 1755g Section 1755g. 71.47 (1dx) (b) (intro.) of the statutes is amended to read:

AB133-ASA1,942,19 71.47 (1dx) (b) Credit. (intro.) Except or provided in s. 73.03 (35) and subject to s. 560.785, for any taxable year for which the person is certified under s. 560.765 (3), any person may claim as a credit against taxes imposed on the person's income from the person's business activities in a development zone under this subchapter the following amounts:

AB133-ASA1, s. 1756 Section 1756. 71.47 (1dx) (b) 4. of the statutes is amended to read:

AB133-ASA1,943,2 71.47 (1dx) (b) 4. The amount determined by multiplying the amount determined under s. 560.785 (1) (b) (bm) by the number of full-time jobs retained, as provided in the rules under s. 560.785, excluding jobs for which a credit has been claimed under sub. (1dj), in a an enterprise development zone under s. 560.797 and filled by a member of a targeted group for which significant capital investment was made and by then subtracting the subsidies paid under s. 49.147 (3) (a) for those jobs.

AB133-ASA1, s. 1756h Section 1756h. 71.47 (1dy) of the statutes is created to read:

AB133-ASA1,943,5 71.47 (1dy) Sustainable urban development zone credit. (a) Definitions. In this subsection:

AB133-ASA1,943,6 1. "Brownfield" has the meaning given in sub. (1dx) (a) 1.

AB133-ASA1,943,11 2. "Environmental remediation" means removal or containment of environmental pollution, as defined in s. 299.01 (4), and restoration of soil or groundwater that is affected by environmental pollution, as defined in s. 299.01 (4), in a brownfield and investigation unless the investigation determines that remediation is required but remediation is not undertaken.

AB133-ASA1,943,15 (b) Credit. For any taxable year for which the person is certified under s. 292.77 (5), a person may claim as a credit against taxes imposed under this subchapter 50% of the amount expended for environmental remediation under the program under s. 292.77.

AB133-ASA1,943,17 (c) Administration. Subsection (1dx) (c), (d) and (e), as it applies to the credit under sub. (1dx), applies to the credit under this subsection.

AB133-ASA1, s. 1757b Section 1757b. 71.47 (2m) (a) 1. b. of the statutes is amended to read:

AB133-ASA1,943,22 71.47 (2m) (a) 1. b. For partnerships, except publicly traded partnerships treated as corporations under s. 71.22 (1) (1g), or limited liability companies, except limited liability companies treated as corporations under s. 71.22 (1) (1g), "claimant" means each individual partner or member.

AB133-ASA1, s. 1758 Section 1758. 71.47 (4) (a) of the statutes is amended to read:

AB133-ASA1,944,12 71.47 (4) (a) Credit. Any corporation may credit against taxes otherwise due under this chapter an amount equal to 5% of the amount obtained by subtracting from the corporation's qualified research expenses, as defined in section 41 of the internal revenue code, except that "qualified research expenses" includes only expenses incurred by the claimant, incurred for research conducted in this state for the taxable year, except that a taxpayer may elect the alternative computation under section 41 (c) (4) of the Internal Revenue Code and that election applies until the department permits its revocation and except that "qualified research expenses" does not include compensation used in computing the credit under subs. (1dj) and (1dx), the corporation's base amount, as defined in section 41 (c) of the internal revenue code, except that gross receipts used in calculating the base amount means gross receipts from sales attributable to Wisconsin under s. 71.25 (9) (b) 1. and 2. and, (d), (dc), (dg), (dn) and (dr). Section 41 (h) of the internal revenue code does not apply to the credit under this paragraph.

AB133-ASA1, s. 1759d Section 1759d. 71.47 (4) (i) of the statutes is amended to read:

AB133-ASA1,944,19 71.47 (4) (i) Nonclaimants. The credits under this subsection may not be claimed by a partnership, except a publicly traded partnership treated as a corporation under s. 71.22 (1) (1g), limited liability company, except a limited liability company treated as a corporation under s. 71.22 (1) (1g), or tax-option corporation or by partners, including partners of a publicly traded partnership, members of a limited liability company or shareholders of a tax-option corporation.

AB133-ASA1, s. 1760q Section 1760q. 71.49 (1) (eon) of the statutes is created to read:

AB133-ASA1,944,21 71.49 (1) (eon) Sustainable urban development zone credit under s. 71.47 (1dy).

AB133-ASA1, s. 1762 Section 1762. 71.54 (1) (d) (intro.) of the statutes is amended to read:

AB133-ASA1,944,25 71.54 (1) (d) 1991 and thereafter to 1999. (intro.) The amount of any claim filed in 1991 and thereafter to 1999 and based on property taxes accrued or rent constituting property taxes accrued during the previous year is limited as follows:

AB133-ASA1, s. 1763 Section 1763. 71.54 (1) (e) of the statutes is created to read:

AB133-ASA1,945,4 71.54 (1) (e) 2000 and thereafter. The amount of any claim filed in 2000 and thereafter and based on property taxes accrued or rent constituting property taxes accrued during the previous year is limited as follows:

AB133-ASA1,945,7 1. If the household income was $8,000 or less in the year to which the claim relates, the claim is limited to 80% of the property taxes accrued or rent constituting property taxes accrued or both in that year on the claimant's homestead.

AB133-ASA1,945,11 2. If the household income was more than $8,000 in the year to which the claim relates, the claim is limited to 80% of the amount by which the property taxes accrued or rent constituting property taxes accrued or both in that year on the claimant's homestead exceeds 11.8% of the household income exceeding $8,000.

AB133-ASA1,945,13 3. No credit may be allowed if the household income of a claimant exceeds $20,290.

AB133-ASA1, s. 1764 Section 1764. 71.54 (2) (a) (intro.) of the statutes is amended to read:

AB133-ASA1,945,19 71.54 (2) (a) (intro.) Property taxes accrued or rent constituting property taxes accrued shall be reduced by one-twelfth for each month or portion of a month for which the claimant received relief from any county under s. 59.53 (21) equal to or in excess of $400, participated in Wisconsin works under s. 49.147 (4) or (5) or 49.148 (1m) or received assistance under s. 49.19, except assistance received:

AB133-ASA1, s. 1764q Section 1764q. 71.58 (1) (c) of the statutes is amended to read:

AB133-ASA1,945,22 71.58 (1) (c) For partnerships except publicly traded partnerships treated as corporations under s. 71.22 (1) (1g), "claimant" means each individual partner.

AB133-ASA1, s. 1764s Section 1764s. 71.58 (1) (cm) of the statutes is amended to read:

AB133-ASA1,946,3 71.58 (1) (cm) For limited liability companies, except limited liability companies treated as corporations under s. 71.22 (1) (1g), "claimant" means each individual member.

AB133-ASA1, s. 1784 Section 1784. 71.64 (9) (b) of the statutes is renumbered 71.64 (9) (b) (intro.) and amended to read:

AB133-ASA1,946,9 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) and (2) resulting from statutory changes, except that the as follows:

AB133-ASA1,946,14 1. The department may not adjust the withholding tables to reflect the changes in rates in s. 71.06 (1m) and (2) (c) and (d) and any changes in dollar amounts with respect to bracket indexing under s. 71.06 (2e), with respect to changes in rates under s. 71.06 (1m) and (2) (c) and (d), and with respect to standard deduction indexing under s. 71.05 (22) (ds) for any taxable year that begins before January 1, 2000.

AB133-ASA1,947,2 (c) The tables shall account for the working families tax credit under s. 71.07 (5m), subject to s. 71.07 (5m) (e). The tables shall be extended to cover from zero to 10 withholding exemptions, shall assume that the payment of wages in each pay period will, when multiplied by the number of pay periods in a year, reasonably reflect the annual wage of the employe from the employer and shall be based on the further assumption that the annual wage will be reduced for allowable deductions from gross income. The department may determine the length of the tables and a reasonable span for each bracket. In preparing the tables the department shall adjust all withholding amounts not an exact multiple of 10 cents to the next highest figure that is a multiple of 10 cents. The department shall also provide instructions with the tables for withholding with respect to quarterly, semiannual and annual pay periods.

AB133-ASA1, s. 1785 Section 1785. 71.64 (9) (b) 2. of the statutes is created to read:

AB133-ASA1,947,7 71.64 (9) (b) 2. The department shall adjust the withholding tables to reflect the changes in rates in s. 71.06 (1n), (1p) and (2) (e), (f), (g) and (h) and any changes in dollar amounts with respect to bracket indexing, with respect to changes in rates under s. 71.06 (1p) and (2) (g) and (h) on July 1, 2000.

AB133-ASA1, s. 1786 Section 1786. 71.67 (4) (a) of the statutes is amended to read:

AB133-ASA1,947,13 71.67 (4) (a) The administrator of the lottery division in the department under ch. 565 shall withhold from any lottery prize of $2,000 or more an amount determined by multiplying the amount of the prize by the highest rate applicable to individuals under s. 71.06 (1) or, (1m), (1n) or (1p). The administrator shall deposit the amounts withheld, on a monthly basis, as would an employer depositing under s. 71.65 (3) (a).

AB133-ASA1, s. 1787 Section 1787. 71.67 (5) (a) of the statutes is amended to read:

AB133-ASA1,947,20 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) or, (1m), (1n) or (1p) if the amount of the payment is more than $1,000.

AB133-ASA1, s. 1788 Section 1788. 71.75 (8) of the statutes is amended to read:

AB133-ASA1,948,6 71.75 (8) A refund payable on the basis of a separate return shall be issued to the person who filed the return. A refund payable on the basis of a joint return shall be issued jointly to the persons who filed the return, except that, if a judgment of divorce under ch. 767 apportions any refund that may be due the formerly married persons to one of the former spouses, or between the spouses, and if they include with their income tax return a copy of that portion of the judgment of divorce that relates to the apportionment of their tax refund, the department shall issue the refund to the person to whom the refund is awarded under the terms of the judgment of divorce or the department shall issue one check to each of the former spouses according to the apportionment terms of the judgment.

AB133-ASA1, s. 1797k Section 1797k. 73.03 (2a) of the statutes is amended to read:

AB133-ASA1,949,20 73.03 (2a) To prepare, have published and distribute to each property tax assessor and to others who so request assessment manuals. The manual shall discuss and illustrate accepted assessment methods, techniques and practices with a view to more nearly uniform and more consistent assessments of property at the local level. The manual shall be amended by the department from time to time to reflect advances in the science of assessment, court decisions concerning assessment practices, costs, and statistical and other information considered valuable to local assessors by the department. The manual shall incorporate standards for the assessment of all types of renewable energy resource systems used in this state as soon as such systems are used in sufficient numbers and sufficient data exists to allow the formulation of valid guidelines. The manual shall incorporate standards, which the department of revenue and the state historical society of Wisconsin shall develop, for the assessment of nonhistoric property in historic districts and for the assessment of historic property, including but not limited to property that is being preserved or restored; property that is subject to a protective easement, covenant or other restriction for historic preservation purposes; property that is listed in the national register of historic places in Wisconsin or in this state's register of historic places and property that is designated as a historic landmark and is subject to restrictions imposed by a municipality or by a landmarks commission. The manual shall incorporate general guidelines about ways to determine whether property is taxable in part under s. 70.1105 and examples of the ways that s. 70.1105 applies in specific situations. The manual shall state that assessors are required to comply with s. 70.32 (1g) and shall suggest procedures for doing so. The manual or a supplement to it shall specify per acre value guidelines for each municipality for various categories of agricultural land based on the income that could be generated from its estimated rental for agricultural use, as defined by rule, and capitalization rates established by rule. The manual or a supplement to it shall not specify per acre value guidelines for each municipality unless such guidelines are based on procedures that are established by rule. The manual shall include guidelines for classifying land as agricultural land, as defined in s. 70.32 (2) (c) 1. and guidelines for distinguishing between land and improvements to land. The cost of the development, preparation, publication and distribution of the manual and of revisions and amendments to it shall be borne by the assessors and requesters at an individual volume cost or a subscription cost as determined by the department. All receipts shall be credited to the appropriation under s. 20.566 (2) (hi). The department may provide free assessment manuals to other state agencies or exchange them at no cost with agencies of other states or of the federal government for similar information or publications.

AB133-ASA1, s. 1797m Section 1797m. 73.03 (33m) of the statutes is amended to read:

AB133-ASA1,950,3 73.03 (33m) To collect, as taxes under ch. 71 are collected, from each person who owes to the department of revenue delinquent taxes, fees, interest or penalties, a fee for each delinquent account equal to $35 or 6.5% of the taxes, fees, interest and penalties owed as of the due date specified in the assessment, notice of amount due or notice of redetermination on that account, whichever is greater. The department of revenue shall deposit into the general fund as general purpose revenue-earned all fees collected under this subsection.

AB133-ASA1, s. 1797p Section 1797p. 73.03 (33p) of the statutes is created to read:

AB133-ASA1,950,12 73.03 (33p) To collect, as taxes under ch. 71 are collected, from each person who owes to the department of revenue delinquent taxes, fees, interest or penalties, a $20 fee for each delinquent taxpayer who enters into an agreement with the department of revenue to pay in instalments the taxpayer's delinquent taxes, including fees, interest or penalties and to collect costs incurred to the department of revenue for court actions that are related to the collection of delinquent taxes. The department of revenue shall deposit into the general fund as general purpose revenue-earned all fees and costs collected under this subsection.

AB133-ASA1, s. 1798 Section 1798. 73.03 (35) of the statutes is amended to read:

AB133-ASA1,950,21 73.03 (35) To deny a portion of a credit claimed under s. 71.07 (2dd), (2de), (2di), (2dj), (2dL), (2dr), (2ds) or, (2dx) or (2dy), 71.28 (1dd), (1de), (1di), (1dj), (1dL), (1ds), (1dx), (2dy) or (4) (am) or 71.47 (1dd), (1de), (1di), (1dj), (1dL), (1ds), (1dx), (2dy) or (4) (am) if granting the full amount claimed would violate the a requirement under s. 560.797 (4) (e) 560.785 or would bring the total of the credits granted to that claimant under s. 560.797 (4) (e), or the total of the credits granted to that claimant under all of those subsections, over the limit for that claimant under s. 560.768, 560.795 (2) (b) or 560.797 (5) (b).

AB133-ASA1, s. 1801m Section 1801m. 73.0305 of the statutes is amended to read:

AB133-ASA1,951,5 73.0305 Revenue limits and school aids calculations. The department of revenue shall annually determine and certify to the state superintendent of public instruction, no later than the 4th Monday in June, the allowable rate of increase for the limit imposed under ss.121.15 (3m) (a) 1m. a. to c. and 121.85 (6) (ar) and subch. VII of ch. 121. For that limit, the The allowable rate of increase is the percentage change in the consumer price index for all urban consumers, U.S. city average, between the preceding March 31 and the 2nd preceding March 31, as computed by the federal department of labor.

AB133-ASA1, s. 1805 Section 1805. 75.105 (3) of the statutes is amended to read:

AB133-ASA1,951,19 75.105 (3) Administration. Upon the cancellation of all or a portion of real property taxes under sub. (2), the county treasurer shall execute and provide to the owner of the property a statement identifying the property for which taxes have been canceled and shall enter on the tax certificate the date upon which the taxes were canceled and the amount of taxes canceled. The county treasurer shall charge back to the taxation district that included the tax-delinquent real property on its tax roll all of the amount of taxes canceled and shall include the amount of taxes canceled as a special charge in the next tax levy against the taxation district. The county treasurer shall notify the taxation district treasurer of the amount of taxes canceled by October 1. The taxation district shall determine the amount of canceled taxes to be charged back to, and collected from, each taxing jurisdiction for which taxes were collected by the taxation district. The amount determined may not include any interest.

AB133-ASA1, s. 1806 Section 1806. 75.17 of the statutes is created to read:

AB133-ASA1,951,22 75.17 Transfer of contaminated land to a municipality. (1) In this section:

AB133-ASA1,951,23 (a) "Hazardous substance" has the meaning given in s. 292.01 (5).

AB133-ASA1,951,24 (b) "Municipality" means a city, village or town.

AB133-ASA1,952,9 (2) If a county does not take a tax deed for property that is subject to a tax certificate and that is contaminated by a hazardous substance, within 2 years after the expiration of the redemption period that is described under s. 75.14 (1) and specified in s. 74.57 (2) (a) and (b) (intro.), the county shall take a tax deed for such property upon receiving a written request to do so from the municipality in which the property is located. The county may then retain ownership of the property or, if the county does not wish to retain ownership of the property, the county shall transfer ownership of the property to the municipality, for no consideration, within 180 days after receiving the written request from the municipality.

AB133-ASA1, s. 1807 Section 1807. 76.025 (1) of the statutes is amended to read:

AB133-ASA1,952,22 76.025 (1) The property taxable under s. 76.13 shall include all franchises, and all real and personal property of the company used or employed in the operation of its business, except excluding property that is exempt from the property tax under s. 70.11 (39), such motor vehicles as are exempt under s. 70.112 (5) and treatment plant and pollution abatement equipment exempt under s. 70.11 (21) (a). The taxable property shall include all title and interest of the company referred to in such property as owner, lessee or otherwise, and in case any portion of the property is jointly used by 2 or more companies, the unit assessment shall include and cover a proportionate share of that portion of the property jointly used so that the assessments of the property of all companies having any rights, title or interest of any kind or nature whatsoever in any such property jointly used shall, in the aggregate, include only one total full value of such property.

AB133-ASA1, s. 1808 Section 1808. 76.03 (1) of the statutes is amended to read:

AB133-ASA1,953,3 76.03 (1) The property, both real and personal, including all rights, franchises and privileges used in and necessary to the prosecution of the business and including property that is exempt from the property tax under s. 70.11 (39) of any company enumerated in s. 76.02 shall be deemed personal property for the purposes of taxation, and shall be valued and assessed together as a unit.

AB133-ASA1, s. 1810d Section 1810d. 76.91 (1m) of the statutes is created to read:

AB133-ASA1,953,8 76.91 (1m) If the amount calculated under sub. (1) is a negative amount and the taxpayer's annual gross revenue under s. 76.38, 1993 stats., is less than $10,000,000, the taxpayer may claim a credit against the fee imposed under this subchapter as follows:

AB133-ASA1,953,11 (a) For the transitional adjustment fee paid for 1999, the taxpayer may consider the negative amount calculated under sub. (1) to be a positive amount and may claim a credit in an amount equal to 60% of the positive amount.

AB133-ASA1,953,14 (b) For the transitional adjustment fee paid for the year 2000, the taxpayer may consider the negative amount calculated under sub. (1) to be a positive amount and may claim a credit in an amount equal to 40% of the positive amount.

AB133-ASA1, s. 1812k Section 1812k. 77.265 (10) of the statutes is created to read: