SB55-ASA1,716,1611
71.01
(6) (i) For taxable years that begin after December 31, 1993, and before
12January 1, 1995, for natural persons and fiduciaries, except fiduciaries of nuclear
13decommissioning trust or reserve funds, "Internal Revenue Code" means the federal
14Internal Revenue Code as amended to December 31, 1993, excluding sections 103,
15104
, and 110 of P.L.
102-227 and sections 13113, 13150 (d), 13171 (d), 13174, 13203
16(d)
, and 13215 of P.L.
103-66 and as amended by P.L.
103-296, P.L.
103-337, P.L.
17103-465, P.L.
104-7, excluding section 1 of P.L.
104-7, P.L.
104-188, excluding
18section 1311 of P.L.
104-188, P.L.
104-191, P.L.
104-193, P.L.
105-34, P.L.
105-206 19and, P.L.
105-277,
and P.L. 106-554, excluding sections 162 and 165 of P.L. 106-554,
20and as indirectly affected by P.L.
99-514, P.L.
100-203, P.L.
100-647, P.L.
101-73,
21P.L.
101-140, P.L.
101-179, P.L.
101-239, P.L.
101-280, P.L.
101-508, P.L.
102-90,
22P.L.
102-227, excluding sections 103, 104
, and 110 of P.L.
102-227, P.L.
102-318, P.L.
23102-486, P.L.
103-66, excluding sections 13113, 13150 (d), 13171 (d), 13174, 13203
24(d)
, and 13215 of P.L.
103-66, P.L.
103-296, P.L.
103-337, P.L.
103-465, P.L.
104-7,
25excluding section 1 of P.L.
104-7, P.L.
104-188, excluding section 1311 of P.L.
1104-188, P.L.
104-191, P.L.
104-193, P.L.
105-34, P.L.
105-206
and, P.L.
105-277,
2and P.L. 106-554, excluding sections 162 and 165 of P.L. 106-554. The Internal
3Revenue Code applies for Wisconsin purposes at the same time as for federal
4purposes. Amendments to the federal Internal Revenue Code enacted after
5December 31, 1993, do not apply to this paragraph with respect to taxable years
6beginning after December 31, 1993, and before January 1, 1995, except that
7changes to the Internal Revenue Code made by P.L.
103-296, P.L.
103-337, P.L.
8103-465, P.L.
104-7, excluding section 1 of P.L.
104-7, P.L.
104-188, excluding
9section 1311 of P.L.
104-188, P.L.
104-191, P.L.
104-193, P.L.
105-34, P.L.
105-206 10and, P.L.
105-277, and P.L. 106-554, excluding sections 162 and 165 of P.L. 106-554,
11and changes that indirectly affect the provisions applicable to this subchapter made
12by P.L.
103-296, P.L.
103-337, P.L.
103-465, P.L.
104-7, excluding section 1 of P.L.
13104-7, P.L.
104-188, excluding section 1311 of P.L.
104-188, P.L.
104-191, P.L.
14104-193, P.L.
105-34, P.L.
105-206 and, P.L.
105-277,
and P.L. 106-554, excluding
15sections 162 and 165 of P.L. 106-554, apply for Wisconsin purposes at the same time
16as for federal purposes.
SB55-ASA1,717,2118
71.01
(6) (j) For taxable years that begin after December 31, 1994, and before
19January 1, 1996, for natural persons and fiduciaries, except fiduciaries of nuclear
20decommissioning trust or reserve funds, "Internal Revenue Code" means the federal
21Internal Revenue Code as amended to December 31, 1994, excluding sections 103,
22104
, and 110 of P.L.
102-227 and sections 13113, 13150 (d), 13171 (d), 13174
, and
2313203 (d) of P.L.
103-66, and as amended by P.L.
104-7, P.L.
104-117, P.L.
104-188,
24excluding sections 1202, 1204, 1311
, and 1605 of P.L.
104-188, P.L.
104-191, P.L.
25104-193, P.L.
105-34, P.L.
105-206 and, P.L.
105-277, and P.L. 106-554, excluding
1sections 162 and 165 of P.L. 106-554, and as indirectly affected by P.L.
99-514, P.L.
2100-203, P.L.
100-647, P.L.
101-73, P.L.
101-140, P.L.
101-179, P.L.
101-239, P.L.
3101-280, P.L.
101-508, P.L.
102-90, P.L.
102-227, excluding sections 103, 104
, and
4110 of P.L.
102-227, P.L.
102-318, P.L.
102-486, P.L.
103-66, excluding sections
513113, 13150 (d), 13171 (d), 13174
, and 13203 (d) of P.L.
103-66, P.L.
103-296, P.L.
6103-337, P.L.
103-465, P.L.
104-7, P.L.
104-117, P.L.
104-188, excluding sections
71202, 1204, 1311
, and 1605 of P.L.
104-188, P.L.
104-191, P.L.
104-193, P.L.
105-34,
8P.L.
105-206 and, P.L.
105-277, and P.L. 106-554, excluding sections 162 and 165
9of P.L. 106-554. The Internal Revenue Code applies for Wisconsin purposes at the
10same time as for federal purposes. Amendments to the federal Internal Revenue
11Code enacted after December 31, 1994, do not apply to this paragraph with respect
12to taxable years beginning after December 31, 1994, and before January 1, 1996,
13except that changes to the Internal Revenue Code made by P.L.
104-7, P.L.
104-117,
14P.L.
104-188, excluding sections 1202, 1204, 1311
, and 1605 of P.L.
104-188, P.L.
15104-191, P.L.
104-193, P.L.
105-34, P.L.
105-206 and, P.L.
105-277, and P.L.
16106-554, excluding sections 162 and 165 of P.L. 106-554, and changes that indirectly
17affect the provisions applicable to this subchapter made by P.L.
104-7, P.L.
104-117,
18P.L.
104-188, excluding sections 1202, 1204, 1311
, and 1605 of P.L.
104-188, P.L.
19104-191, P.L.
104-193, P.L.
105-34, P.L.
105-206 and, P.L.
105-277,
and P.L.
20106-554, excluding sections 162 and 165 of P.L. 106-554, apply for Wisconsin
21purposes at the same time as for federal purposes.
SB55-ASA1,719,223
71.01
(6) (k) For taxable years that begin after December 31, 1995, and before
24January 1, 1997, for natural persons and fiduciaries, except fiduciaries of nuclear
25decommissioning trust or reserve funds, "Internal Revenue Code" means the federal
1Internal Revenue Code as amended to December 31, 1995, excluding sections 103,
2104
, and 110 of P.L.
102-227 and sections 13113, 13150 (d), 13171 (d), 13174
, and
313203 (d) of P.L.
103-66, and as amended by P.L.
104-117, P.L.
104-188, excluding
4sections 1123, 1202, 1204, 1311
, and 1605 of P.L.
104-188, P.L.
104-191, P.L.
5104-193, P.L.
105-33, P.L.
105-34, P.L.
105-206 and, P.L.
105-277, and P.L.
6106-554, excluding sections 162 and 165 of P.L. 106-554, and as indirectly affected
7by P.L.
99-514, P.L.
100-203, P.L.
100-647, P.L.
101-73, P.L.
101-140, P.L.
101-179,
8P.L.
101-239, P.L.
101-280, P.L.
101-508, P.L.
102-90, P.L.
102-227, excluding
9sections 103, 104
, and 110 of P.L.
102-227, P.L.
102-318, P.L.
102-486, P.L.
103-66,
10excluding sections 13113, 13150 (d), 13171 (d), 13174
, and 13203 (d) of P.L.
103-66,
11P.L.
103-296, P.L.
103-337, P.L.
103-465, P.L.
104-7, P.L.
104-117, P.L.
104-188,
12excluding sections 1123, 1202, 1204, 1311
, and 1605 of P.L.
104-188, P.L.
104-191,
13P.L.
104-193, P.L.
105-33, P.L.
105-34, P.L.
105-206 and
, P.L.
105-277, and P.L.
14106-554, excluding sections 162 and 165 of P.L. 106-554. The Internal Revenue
15Code applies for Wisconsin purposes at the same time as for federal purposes.
16Amendments to the federal Internal Revenue Code enacted after
17December 31, 1995, do not apply to this paragraph with respect to taxable years
18beginning after December 31, 1995, and before January 1, 1997, except that
19changes to the Internal Revenue Code made by P.L.
104-117, P.L.
104-188, excluding
20sections 1123, 1202, 1204, 1311
, and 1605 of P.L.
104-188, P.L.
104-191, P.L.
21104-193, P.L.
105-33, P.L.
105-34, P.L.
105-206 and, P.L.
105-277, and P.L.
22106-554, excluding sections 162 and 165 of P.L. 106-554, and changes that indirectly
23affect the provisions applicable to this subchapter made by P.L.
104-117, P.L.
24104-188, excluding sections 1123, 1202, 1204, 1311
, and 1605 of P.L.
104-188, P.L.
25104-191, P.L.
104-193, P.L.
105-33, P.L.
105-34, P.L.
105-206 and, P.L.
105-277,
1and P.L. 106-554, excluding sections 162 and 165 of P.L. 106-554, apply for
2Wisconsin purposes at the same time as for federal purposes.
SB55-ASA1,720,54
71.01
(6) (L) For taxable years that begin after December 31, 1996, and before
5January 1, 1998, for natural persons and fiduciaries, except fiduciaries of nuclear
6decommissioning trust or reserve funds, "Internal Revenue Code" means the federal
7Internal Revenue Code as amended to December 31, 1996, excluding sections 103,
8104
, and 110 of P.L.
102-227, sections 13113, 13150 (d), 13171 (d), 13174
, and 13203
9(d) of P.L.
103-66 and sections 1123 (b), 1202 (c), 1204 (f), 1311
, and 1605 (d) of P.L.
10104-188, and as amended by P.L.
105-33, P.L.
105-34, P.L.
105-206, P.L.
105-277 11and, P.L.
106-36, and P.L. 106-554, excluding sections 162 and 165 of P.L. 106-554,
12and as indirectly affected by P.L.
99-514, P.L.
100-203, P.L.
100-647, P.L.
101-73,
13P.L.
101-140, P.L.
101-179, P.L.
101-239, P.L.
101-280, P.L.
101-508, P.L.
102-90,
14P.L.
102-227, excluding sections 103, 104
, and 110 of P.L.
102-227, P.L.
102-318, P.L.
15102-486, P.L.
103-66, excluding sections 13113, 13150 (d), 13171 (d), 13174
, and
1613203 (d) of P.L.
103-66, P.L.
103-296, P.L.
103-337, P.L.
103-465, P.L.
104-7, P.L.
17104-117, P.L.
104-188, excluding sections 1123 (b), 1202 (c), 1204 (f), 1311
, and 1605
18(d) of P.L.
104-188, P.L.
104-191, P.L.
104-193, P.L.
105-33, P.L.
105-34, P.L.
19105-206, P.L.
105-277 and, P.L.
106-36, and P.L. 106-554, excluding sections 162
20and 165 of P.L. 106-554. The Internal Revenue Code applies for Wisconsin purposes
21at the same time as for federal purposes. Amendments to the federal Internal
22Revenue Code enacted after December 31, 1996, do not apply to this paragraph with
23respect to taxable years beginning after December 31, 1996, and before
24January 1, 1998, except that changes to the Internal Revenue Code made by P.L.
25105-33, P.L.
105-34, P.L.
105-206, P.L.
105-277 and, P.L.
106-36, and P.L. 106-554,
1excluding sections 162 and 165 of P.L. 106-554, and changes that indirectly affect the
2provisions applicable to this subchapter made by P.L.
105-33, P.L.
105-34, P.L.
3105-206, P.L.
105-277 and, P.L.
106-36, and P.L. 106-554, excluding sections 162
4and 165 of P.L. 106-554, apply for Wisconsin purposes at the same time as for federal
5purposes.
SB55-ASA1,721,97
71.01
(6) (m) For taxable years that begin after December 31, 1997, and before
8January 1, 1999, for natural persons and fiduciaries, except fiduciaries of nuclear
9decommissioning trust or reserve funds, "Internal Revenue Code" means the federal
10Internal Revenue Code as amended to December 31, 1997, excluding sections 103,
11104
, and 110 of P.L.
102-227, sections 13113, 13150 (d), 13171 (d), 13174
, and 13203
12(d) of P.L.
103-66 and sections 1123 (b), 1202 (c), 1204 (f), 1311
, and 1605 (d) of P.L.
13104-188, and as amended by P.L.
105-178, P.L.
105-206, P.L.
105-277, P.L.
106-36 14and, P.L.
106-170, P.L. 106-554, excluding sections 162 and 165 of P.L. 106-554, and
15P.L. 106-573, and as indirectly affected by P.L.
99-514, P.L.
100-203, P.L.
100-647,
16P.L.
101-73, P.L.
101-140, P.L.
101-179, P.L.
101-239, P.L.
101-280, P.L.
101-508,
17P.L.
102-90, P.L.
102-227, excluding sections 103, 104
, and 110 of P.L.
102-227, P.L.
18102-318, P.L.
102-486, P.L.
103-66, excluding sections 13113, 13150 (d), 13171 (d),
1913174
, and 13203 (d) of P.L.
103-66, P.L.
103-296, P.L.
103-337, P.L.
103-465, P.L.
20104-7, P.L.
104-117, P.L.
104-188, excluding sections 1123 (b), 1202 (c), 1204 (f),
211311
, and 1605 (d) of P.L.
104-188, P.L.
104-191, P.L.
104-193, P.L.
105-33, P.L.
22105-34, P.L.
105-178, P.L.
105-206, P.L.
105-277, P.L.
106-36 and, P.L.
106-170,
23P.L. 106-554, excluding sections 162 and 165 of P.L. 106-554, and P.L. 106-573. The
24Internal Revenue Code applies for Wisconsin purposes at the same time as for federal
25purposes. Amendments to the federal Internal Revenue Code enacted after
1December 31, 1997, do not apply to this paragraph with respect to taxable years
2beginning after December 31, 1997, and before January 1, 1999, except that
3changes to the Internal Revenue Code made by P.L.
105-178, P.L.
105-206, P.L.
4105-277, P.L.
106-36 and, P.L.
106-170, P.L. 106-554, excluding sections 162 and
5165 of P.L. 106-554, and P.L. 106-573 and changes that indirectly affect the
6provisions applicable to this subchapter made by P.L.
105-178, P.L.
105-206, P.L.
7105-277, P.L.
106-36 and, P.L.
106-170, P.L. 106-554, excluding sections 162 and
8165 of P.L. 106-554, and P.L. 106-573 apply for Wisconsin purposes at the same time
9as for federal purposes.
SB55-ASA1,722,1211
71.01
(6) (n) For taxable years that begin after December 31, 1998, and before
12January 1, 2000, for natural persons and fiduciaries, except fiduciaries of nuclear
13decommissioning trust or reserve funds, "Internal Revenue Code" means the federal
14Internal Revenue Code as amended to December 31, 1998, excluding sections 103,
15104
, and 110 of P.L.
102-227, sections 13113, 13150 (d), 13171 (d), 13174
, and 13203
16(d) of P.L.
103-66 and sections 1123 (b), 1202 (c), 1204 (f), 1311
, and 1605 (d) of P.L.
17104-188, and as amended by P.L.
106-36 and, P.L.
106-170, P.L. 106-230, P.L.
18106-554, excluding sections 162 and 165 of P.L. 106-554, and P.L. 106-573, and as
19indirectly affected by P.L.
99-514, P.L.
100-203, P.L.
100-647, P.L.
101-73, P.L.
20101-140, P.L.
101-179, P.L.
101-239, P.L.
101-280, P.L.
101-508, P.L.
102-90, P.L.
21102-227, excluding sections 103, 104
, and 110 of P.L.
102-227, P.L.
102-318, P.L.
22102-486, P.L.
103-66, excluding sections 13113, 13150 (d), 13171 (d), 13174
, and
2313203 (d) of P.L.
103-66, P.L.
103-296, P.L.
103-337, P.L.
103-465, P.L.
104-7, P.L.
24104-117, P.L.
104-188, excluding sections 1123 (b), 1202 (c), 1204 (f), 1311
, and 1605
25(d) of P.L.
104-188, P.L.
104-191, P.L.
104-193, P.L.
105-33, P.L.
105-34, P.L.
1105-178, P.L.
105-206, P.L.
105-277, P.L.
106-36 and, P.L.
106-170, P.L. 106-230,
2P.L. 106-554, excluding sections 162 and 165 of P.L. 106-554, and P.L. 106-573. The
3Internal Revenue Code applies for Wisconsin purposes at the same time as for federal
4purposes. Amendments to the federal Internal Revenue Code enacted after
5December 31, 1998, do not apply to this paragraph with respect to taxable years
6beginning after December 31, 1998, and before January 1, 2000, except that
7changes to the Internal Revenue Code made by P.L.
106-36 and, P.L.
106-170, P.L.
8106-230, P.L. 106-554, excluding sections 162 and 165 of P.L. 106-554, and P.L.
9106-573 and changes that indirectly affect the provisions applicable to this
10subchapter made by P.L.
106-36 and, P.L.
106-170, P.L. 106-230, P.L. 106-554,
11excluding sections 162 and 165 of P.L. 106-554, and P.L. 106-573 apply for Wisconsin
12purposes at the same time as for federal purposes.
SB55-ASA1,723,1414
71.01
(6) (o) For taxable years that begin after December 31, 1999,
and before
15January 1, 2001, for natural persons and fiduciaries, except fiduciaries of nuclear
16decommissioning trust or reserve funds, "Internal Revenue Code" means the federal
17Internal Revenue Code as amended to December 31, 1999, excluding sections 103,
18104
, and 110 of P.L.
102-227, sections 13113, 13150 (d), 13171 (d), 13174
, and 13203
19(d) of P.L.
103-66 and sections 1123 (b), 1202 (c), 1204 (f), 1311
, and 1605 (d) of P.L.
20104-188, and as amended by P.L. 106-200, P.L. 106-230, P.L. 106-554, excluding
21sections 162 and 165 of P.L. 106-554, and P.L. 106-573, and as indirectly affected by
22P.L.
99-514, P.L.
100-203, P.L.
100-647, P.L.
101-73, P.L.
101-140, P.L.
101-179,
23P.L.
101-239, P.L.
101-280, P.L.
101-508, P.L.
102-90, P.L.
102-227, excluding
24sections 103, 104
, and 110 of P.L.
102-227, P.L.
102-318, P.L.
102-486, P.L.
103-66,
25excluding sections 13113, 13150 (d), 13171 (d), 13174
, and 13203 (d) of P.L.
103-66,
1P.L.
103-296, P.L.
103-337, P.L.
103-465, P.L.
104-7, P.L.
104-117, P.L.
104-188,
2excluding sections 1123 (b), 1202 (c), 1204 (f), 1311
, and 1605 (d) of P.L.
104-188, P.L.
3104-191, P.L.
104-193, P.L.
105-33, P.L.
105-34, P.L.
105-178, P.L.
105-206, P.L.
4105-277, P.L.
106-36 and, P.L.
106-170, P.L. 106-200, P.L. 106-230, P.L. 106-554,
5excluding sections 162 and 165 of P.L. 106-554, and P.L. 106-573. The Internal
6Revenue Code applies for Wisconsin purposes at the same time as for federal
7purposes. Amendments to the federal Internal Revenue Code enacted after
8December 31, 1999, do not apply to this paragraph with respect to taxable years
9beginning after December 31, 1999
, and before January 1, 2001, except that changes
10to the Internal Revenue Code made by P.L. 106-200, P.L. 106-230, P.L. 106-554,
11excluding sections 162 and 165 of P.L. 106-554, and P.L. 106-573 and changes that
12indirectly affect the provisions applicable to this subchapter made by P.L. 106-200,
13P.L. 106-230, P.L. 106-554, excluding sections 162 and 165 of P.L. 106-554, and P.L.
14106-573 apply for Wisconsin purposes at the same time as for federal purposes.
SB55-ASA1,724,916
71.01
(6) (p) For taxable years that begin after December 31, 2000, for natural
17persons and fiduciaries, except fiduciaries of nuclear decommissioning trust or
18reserve funds, "Internal Revenue Code" means the federal Internal Revenue Code
19as amended to December 31, 2000, excluding sections 103, 104, and 110 of P.L.
20102-227, sections 13113, 13150 (d), 13171 (d), 13174, and 13203 (d) of P.L.
103-66 21and sections 1123 (b), 1202 (c), 1204 (f), 1311, and 1605 (d) of P.L.
104-188, and as
22indirectly affected by P.L.
99-514, P.L.
100-203, P.L.
100-647, P.L.
101-73, P.L.
23101-140, P.L.
101-179, P.L.
101-239, P.L.
101-280, P.L.
101-508, P.L.
102-90, P.L.
24102-227, excluding sections 103, 104, and 110 of P.L.
102-227, P.L.
102-318, P.L.
25102-486, P.L.
103-66, excluding sections 13113, 13150 (d), 13171 (d), 13174, and
113203 (d) of P.L.
103-66, P.L.
103-296, P.L.
103-337, P.L.
103-465, P.L.
104-7, P.L.
2104-117, P.L.
104-188, excluding sections 1123 (b), 1202 (c), 1204 (f), 1311, and 1605
3(d) of P.L.
104-188, P.L.
104-191, P.L.
104-193, P.L.
105-33, P.L.
105-34, P.L.
4105-178, P.L.
105-206, P.L.
105-277, P.L.
106-36, P.L.
106-170, P.L.
106-200, P.L.
5106-230, P.L.
106-554, excluding sections 162 and 165 of P.L.
106-554, and P.L.
6106-573. The Internal Revenue Code applies for Wisconsin purposes at the same
7time as for federal purposes. Amendments to the federal Internal Revenue Code
8enacted after December 31, 2000, do not apply to this paragraph with respect to
9taxable years beginning after December 31, 2000.
SB55-ASA1,724,1811
71.01
(7r) Notwithstanding sub. (6), for purposes of computing amortization
12or depreciation, "Internal Revenue Code" means either the federal Internal Revenue
13Code as amended to December 31,
1999 2000, or the federal Internal Revenue Code
14in effect for the taxable year for which the return is filed, except that property that,
15under s. 71.02 (2) (d) 12., 1985 stats., is required to be depreciated for taxable year
161986 under the Internal Revenue Code as amended to December 31, 1980, shall
17continue to be depreciated under the Internal Revenue Code as amended to
18December 31, 1980.
SB55-ASA1, s. 1144
19Section
1144. 71.04 (4) of the statutes is renumbered 71.04 (4) (intro.) and
20amended to read:
SB55-ASA1,725,1421
71.04
(4) Nonresident allocation and apportionment formula. (intro.)
22Nonresident individuals and nonresident estates and trusts engaged in business
23within and without the state shall be taxed only on such income as is derived from
24business transacted and property located within the state. The amount of such
25income attributable to Wisconsin may be determined by an allocation and separate
1accounting thereof, when the business of such nonresident individual or nonresident
2estate or trust within the state is not an integral part of a unitary business, but the
3department of revenue may permit an allocation and separate accounting in any case
4in which it is satisfied that the use of such method will properly reflect the income
5taxable by this state. In all cases in which allocation and separate accounting is not
6permissible, the determination shall be made in the following manner: for all
7businesses except
air carriers, financial organizations,
pipeline companies, public
8utilities, railroads, sleeping car companies and car line companies there shall first
9be deducted from the total net income of the taxpayer the part thereof (less related
10expenses, if any) that follows the situs of the property or the residence of the
11recipient. The remaining net income shall be apportioned to
Wisconsin this state by
12use of
an apportionment fraction composed of a sales factor representing 50% of the
13fraction, a property factor representing 25% of the fraction and a payroll factor
14representing 25% of the fraction. the following:
SB55-ASA1,725,1916
71.04
(4) (a) For taxable years beginning before January 1, 2004, an
17apportionment fraction composed of a sales factor under sub. (7) representing 50%
18of the fraction, a property factor under sub. (5) representing 25% of the fraction, and
19a payroll factor under sub. (6) representing 25% of the fraction.
SB55-ASA1,725,2421
71.04
(4) (b) For taxable years beginning after December 31, 2003, and before
22January 1, 2005, an apportionment fraction composed of a sales factor under sub. (7)
23representing 60% of the fraction, a property factor under sub. (5) representing 20%
24of the fraction, and a payroll factor under sub. (6) representing 20% of the fraction.
SB55-ASA1,726,4
171.04
(4) (c) For taxable years beginning after December 31, 2004, and before
2January 1, 2006, an apportionment fraction composed of a sales factor under sub. (7)
3representing 80% of the fraction, a property factor under sub. (5) representing 10%
4of the fraction, and a payroll factor under sub. (6) representing 10% of the fraction.
SB55-ASA1,726,76
71.04
(4) (d) For taxable years beginning after December 31, 2005, an
7apportionment fraction composed of the sales factor under sub. (7).
SB55-ASA1,726,159
71.04
(4) (e) For taxable years beginning after December 31, 2003, and before
10January 1, 2006, the apportionment fraction for the remaining net income of a
11financial organization shall include a sales factor that represents more than 50% of
12the apportionment fraction, as determined by rule by the department. For taxable
13years beginning after December 31, 2005, the apportionment fraction for the
14remaining net income of a financial organization is composed of a sales factor, as
15determined by rule by the department.
SB55-ASA1,726,2117
71.04
(4m) Apportionment formula computation. (a) 1. For taxable years
18beginning before January 1, 2006, if both the numerator and the denominator of the
19sales factor under sub. (7) related to a taxpayer's remaining net income are zero, the
20sales factor under sub. (7) is eliminated from the apportionment formula to
21determine the taxpayer's remaining net income under sub. (4).
SB55-ASA1,726,2522
2. For taxable years beginning after December 31, 2005, if both the numerator
23and the denominator of the sales factor under sub. (7) related to a taxpayer's
24remaining net income are zero, none of the taxpayer's remaining net income is
25apportioned to this state.
SB55-ASA1,727,4
1(b) 1. For taxable years beginning before January 1, 2006, if the numerator of
2the sales factor under sub. (7) related to a taxpayer's remaining net income is a
3negative number and the denominator of the sales factor under sub. (7) related to a
4taxpayer's remaining net income is not zero, the sales factor under sub. (7) is zero.
SB55-ASA1,727,95
2. For taxable years beginning after December 31, 2005, if the numerator of the
6sales factor under sub. (7) related to a taxpayer's remaining net income is a negative
7number and the denominator of the sales factor under sub. (7) related to a taxpayer's
8remaining net income is not zero, none of the taxpayer's remaining net income is
9apportioned to this state.
SB55-ASA1,727,1410
(c) 1. For taxable years beginning before January 1, 2006, if the numerator of
11the sales factor under sub. (7) related to a taxpayer's remaining net income is a
12positive number and the denominator of the sales factor under sub. (7) related to a
13taxpayer's remaining net income is zero or a negative number, the sales factor under
14sub. (7) is one.
SB55-ASA1,727,1915
2. For taxable years beginning after December 31, 2005, if the numerator of the
16sales factor under sub. (7) related to a taxpayer's remaining net income is a positive
17number and the denominator of the sales factor under sub. (7) related to a taxpayer's
18remaining net income is zero or a negative number, all of the taxpayer's remaining
19net income is apportioned to this state.
SB55-ASA1,727,2221
71.04
(5) Property factor. (intro.) For purposes of sub. (4)
and for taxable
22years beginning before January 1, 2006:
SB55-ASA1,727,2524
71.04
(6) Payroll factor. (intro.) For purposes of sub. (4)
and for taxable years
25beginning before January 1, 2006:
SB55-ASA1,728,92
71.04
(7) (d) Sales, other than sales of tangible personal property, are in this
3state if the income-producing activity is performed in this state. If the
4income-producing activity is performed both in and outside this state the sales shall
5be divided between those states having jurisdiction to tax such business in
6proportion to the direct costs of performance incurred in each such state in rendering
7this service. Services performed in states which do not have jurisdiction to tax the
8business shall be deemed to have been performed in the state to which compensation
9is allocated by
sub. s. 71.04 (6)
, 1999 stats.
SB55-ASA1, s. 1153
10Section
1153. 71.04 (8) (b) of the statutes is renumbered 71.04 (8) (b) 1. and
11amended to read:
SB55-ASA1,728,1812
71.04
(8) (b) 1.
"Public For taxable years beginning before January 1, 2004,
13"public utility", as used in this section, means
any business entity described under
14subd. 2. and any business entity which owns or operates any plant, equipment,
15property, franchise, or license for the transmission of communications or the
16production, transmission, sale, delivery, or furnishing of electricity, water or steam,
17the rates of charges for goods or services of which have been established or approved
18by a federal, state or local government or governmental agency.
"
Public
SB55-ASA1,728,24
192. In this section, for taxable years beginning after December 31, 2003, "public 20utility"
also means any business entity providing service to the public and engaged
21in the transportation of goods and persons for hire, as defined in s. 194.01 (4),
22regardless of whether or not the entity's rates or charges for services have been
23established or approved by a federal, state or local government or governmental
24agency.
SB55-ASA1,729,5
171.04
(8) (c) The net business income of railroads, sleeping car companies, car
2line companies,
pipeline companies, financial organizations
, air carriers and public
3utilities requiring apportionment shall be apportioned pursuant to rules of the
4department of revenue, but the income taxed is limited to the income derived from
5business transacted and property located within the state.
SB55-ASA1,729,177
71.04
(10) Department may waive factor. Where, in the case of any nonresident
8individual or nonresident estate or trust engaged in business
within in and
without
9the outside this state
of Wisconsin and required to apportion its income as provided
10in this section, it shall be shown to the satisfaction of the department of revenue that
11the use of any one of the 3 factors provided under sub. (4) gives an unreasonable or
12inequitable final average ratio because of the fact that such nonresident individual
13or nonresident estate or trust does not employ, to any appreciable extent in its trade
14or business in producing the income taxed, the factors made use of in obtaining such
15ratio, this factor may, with the approval of the department of revenue, be omitted in
16obtaining the final average ratio which is to be applied to the remaining net income.
17This subsection does not apply to taxable years beginning after December 31, 2005.
SB55-ASA1,729,2319
71.05
(6) (a) 15. The amount of the credits computed under s. 71.07 (2dd), (2de),
20(2di), (2dj), (2dL),
(2dm), (2dr), (2ds), (2dx)
and, (3g), and (3s) and not passed through
21by a partnership, limited liability company
, or tax-option corporation that has added
22that amount to the partnership's, company's
, or tax-option corporation's income
23under s. 71.21 (4) or 71.34 (1) (g).
SB55-ASA1,730,19
171.05
(11) (b) The cost of the following described property, less any federal
2depreciation or amortization taken, may be deducted as a subtraction modification
3or as subtraction modifications in the year or years in which paid or accrued,
4dependent on the method of accounting employed: All property purchased or
5constructed as a waste treatment facility utilized for the treatment of industrial
6wastes
, as defined in s. 281.01 (5), or air contaminants
, as defined in s. 285.01 (1)
, 7but not for other wastes
, as defined in s. 281.01 (7)
and approved by the department
8of revenue under s. 70.11 (21) (a), for the purpose of abating or eliminating pollution
9of surface waters, the air
, or waters of the state
and, if the property's owner is taxed
10under ch. 76, if the property is approved by the department of revenue. In case of
11such election, appropriate add modifications shall be made in subsequent years to
12reverse federal depreciation or amortization or to correct gain or loss on disposition.
13This paragraph is intended to apply only to depreciable property except that where
14wastes are disposed of through a lagoon process, lagooning costs and the cost of land
15containing such lagoons may be treated as depreciable property for purposes of this
16paragraph. In no event may any amount in excess of cost be deducted. Paragraph
17(a) applies to all property purchased prior to July 31, 1975, or purchased and
18constructed in fulfillment of a written construction contract or formal written bid,
19which contract was entered into or which bid was made prior to July 31, 1975.
SB55-ASA1,731,1821
71.06
(2e) Bracket indexing. For taxable years beginning after
22December 31, 1998, and before January 1, 2000, the maximum dollar amount in
23each tax bracket, and the corresponding minimum dollar amount in the next bracket,
24under subs. (1m) and (2) (c) and (d), and for taxable years beginning after
25December 31, 1999, the maximum dollar amount in each tax bracket, and the
1corresponding minimum dollar amount in the next bracket, under subs. (1n), (1p)
, 2and (2) (e), (f), (g)
, and (h), shall be increased each year by a percentage equal to the
3percentage change between the U.S. consumer price index for all urban consumers,
4U.S. city average, for the month of August of the previous year and the U.S. consumer
5price index for all urban consumers, U.S. city average, for the month of August 1997,
6as determined by the federal department of labor, except that for taxable years
7beginning after December 31, 2000,
and before January 1, 2002, the dollar amount
8in the top bracket under subs. (1p) (c) and (d), (2) (g) 3. and 4. and (h) 3. and 4. shall
9be increased
each year by a percentage equal to the percentage change between the
10U.S. consumer price index for all urban consumers, U.S. city average, for the month
11of August of the previous year and the U.S. consumer price index for all urban
12consumers, U.S. city average, for the month of August 1999, as determined by the
13federal department of labor. Each amount that is revised under this subsection shall
14be rounded to the nearest multiple of $10 if the revised amount is not a multiple of
15$10 or, if the revised amount is a multiple of $5, such an amount shall be increased
16to the next higher multiple of $10. The department of revenue shall annually adjust
17the changes in dollar amounts required under this subsection and incorporate the
18changes into the income tax forms and instructions.
SB55-ASA1,731,2120
71.07
(2dm) Development zone capital investment credit. (a) In this
21subsection:
SB55-ASA1,731,2322
1. "Certified" means entitled under s. 560.795 (3) (a) 4. to claim tax benefits or
23certified under s. 560.795 (5).
SB55-ASA1,731,2424
2. "Claimant" means a person who files a claim under this subsection.
SB55-ASA1,732,2
13. "Development zone" means a development opportunity zone under s. 560.795
2(1) (e).
SB55-ASA1,732,113
4. "Previously owned property" means real property that the claimant or a
4related person owned during the 2 years prior to the department of commerce
5designating the place where the property is located as a development zone and for
6which the claimant may not deduct a loss from the sale of the property to, or an
7exchange of the property with, the related person under section
267 of the Internal
8Revenue Code, except that section
267 (b) of the Internal Revenue Code is modified
9so that if the claimant owns any part of the property, rather than 50% ownership, the
10claimant is subject to section
267 (a) (1) of the Internal Revenue Code for purposes
11of this subsection.
SB55-ASA1,732,1512
(b) Subject to the limitations provided in this subsection and in s. 73.03 (35),
13for any taxable year for which the claimant is certified, a claimant may claim as a
14credit against the taxes imposed under s. 71.02 an amount that is equal to 3% of the
15following:
SB55-ASA1,732,1616
1. The purchase price of depreciable, tangible personal property.
SB55-ASA1,732,1817
2. The amount expended to acquire, construct, rehabilitate, remodel, or repair
18real property in a development zone.
SB55-ASA1,732,2319
(c) A claimant may claim the credit under par. (b) 1., if the tangible personal
20property is purchased after the claimant is certified and the personal property is
21used for at least 50% of its use in the claimant's business at a location in a
22development zone or, if the property is mobile, the property's base of operations for
23at least 50% of its use is at a location in a development zone.
SB55-ASA1,733,724
(d) A claimant may claim the credit under par. (b) 2. for an amount expended
25to construct, rehabilitate, remodel, or repair real property, if the claimant began the
1physical work of construction, rehabilitation, remodeling, or repair, or any
2demolition or destruction in preparation for the physical work, after the place where
3the property is located was designated a development zone, or if the completed
4project is placed in service after the claimant is certified. In this paragraph, "physical
5work" does not include preliminary activities such as planning, designing, securing
6financing, researching, developing specifications, or stabilizing the property to
7prevent deterioration.
SB55-ASA1,733,128
(e) A claimant may claim the credit under par. (b) 2. for an amount expended
9to acquire real property, if the property is not previously owned property and if the
10claimant acquires the property after the place where the property is located was
11designated a development zone, or if the completed project is placed in service after
12the claimant is certified.
SB55-ASA1,733,1413
(f) No credit may be allowed under this subsection unless the claimant includes
14with the claimant's return:
SB55-ASA1,733,1615
1. A copy of a verification from the department of commerce that the claimant
16may claim tax benefits under s. 560.795 (3) (a) 4. or is certified under s. 560.795 (5).
SB55-ASA1,733,1917
2. A statement from the department of commerce verifying the purchase price
18of the investment and verifying that the investment fulfills the requirements under
19par. (b).
SB55-ASA1,733,2420
(g) In calculating the credit under par. (b) a claimant shall reduce the amount
21expended to acquire property by a percentage equal to the percentage of the area of
22the real property not used for the purposes for which the claimant is certified and
23shall reduce the amount expended for other purposes by the amount expended on the
24part of the property not used for the purposes for which the claimant is certified.
SB55-ASA1,734,2
1(h) The carry-over provisions of s. 71.28 (4) (e) and (f) as they relate to the credit
2under s. 71.28 (4) relate to the credit under this subsection.
SB55-ASA1,734,153
(i) Partnerships, limited liability companies, and tax-option corporations may
4not claim the credit under this subsection, but the eligibility for, and the amount of,
5that credit shall be determined on the basis of their economic activity, not that of their
6shareholders, partners, or members. The corporation, partnership, or limited
7liability company shall compute the amount of credit that may be claimed by each
8of its shareholders, partners, or members and provide that information to its
9shareholders, partners, or members. Partners, members of limited liability
10companies, and shareholders of tax-option corporations may claim the credit based
11on the partnership's, company's, or corporation's activities in proportion to their
12ownership interest and may offset it against the tax attributable to their income from
13the partnership's, company's, or corporation's business operations in the
14development zone and against the tax attributable to their income from the
15partnership's, company's, or corporation's directly related business operations.
SB55-ASA1,734,2416
(j) If a person who is entitled under s. 560.795 (3) (a) 4. to claim tax benefits
17becomes ineligible for such tax benefits, or if a person's certification under s. 560.795
18(5) is revoked, that person may claim no credits under this subsection for the taxable
19year that includes the day on which the person becomes ineligible for tax benefits,
20the taxable year that includes the day on which the certification is revoked, or
21succeeding taxable years, and that person may carry over no unused credits from
22previous years to offset tax under this chapter for the taxable year that includes the
23day on which the person becomes ineligible for tax benefits, the taxable year that
24includes the day on which the certification is revoked, or succeeding taxable years.
SB55-ASA1,735,6
1(k) If a person who is entitled under s. 560.795 (3) (a) 4. to claim tax benefits
2or certified under s. 560.795 (5) ceases business operations in the development zone
3during any of the taxable years that that zone exists, that person may not carry over
4to any taxable year following the year during which operations cease any unused
5credits from the taxable year during which operations cease or from previous taxable
6years.
SB55-ASA1,735,87
(L) Section 71.28 (4) (g) and (h) as it applies to the credit under s. 71.28 (4)
8applies to the credit under this subsection.
SB55-ASA1,735,2210
71.07
(2dx) (a) 5. "Member of a targeted group" means
a person under sub. (2dj)
11(am) 1., a person who resides in an empowerment zone, or an enterprise community,
12that the U.S. government designates, a person who is employed in an unsubsidized
13job but meets the eligibility requirements under s. 49.145 (2) and (3) for a Wisconsin
14works employment position, a person who is employed in a trial job, as defined in s.
1549.141 (1) (n),
or a person who is eligible for child care assistance under s. 49.155
, a
16person who is a vocational rehabilitation referral, an economically disadvantaged
17youth, an economically disadvantaged veteran, a supplemental security income
18recipient, a general assistance recipient, an economically disadvantaged ex-convict,
19a qualified summer youth employee, as defined in 26 USC 51 (d) (7), a dislocated
20worker, as defined in 29 USC 2801 (9), or a food stamp recipient; if the person has
21been certified in the manner under sub. (2dj) (am) 3. by a designated local agency,
22as defined in sub. (2dj) (am) 2.
SB55-ASA1,736,224
71.07
(3g) Technology zones credit. (a) Subject to the limitations under this
25subsection and ss. 73.03 (35m) and 560.96, a business that is certified under s. 560.96
1(3) may claim as a credit against the taxes imposed under s. 71.02 an amount equal
2to the sum of the following, as established under s. 560.96 (3) (c):
SB55-ASA1,736,43
1. The amount of real and personal property taxes imposed under s. 70.01 that
4the business paid in the taxable year.
SB55-ASA1,736,65
2. The amount of income and franchise taxes imposed under s. 71.02 that the
6business paid in the taxable year.
SB55-ASA1,736,87
3. The amount of sales and use taxes imposed under ss. 77.52, 77.53, and 77.71
8that the business paid in the taxable year.
SB55-ASA1,736,109
(b) The department of revenue shall notify the department of commerce of all
10claims under this subsection.
SB55-ASA1,736,1211
(c) Section 71.28 (4) (e), (f), (g), and (h), as it applies to the credit under s. 71.28
12(4), applies to the credit under par. (a).
SB55-ASA1,736,2013
(d) Partnerships, limited liability companies, and tax-option corporations may
14not claim the credit under this subsection, but the eligibility for, and the amount of,
15the credit are based on their payment of amounts under par. (a). A partnership,
16limited liability company, or tax-option corporation shall compute the amount of
17credit that each of its partners, members, or shareholders may claim and shall
18provide that information to each of them. Partners, members of limited liability
19companies, and shareholders of tax-option corporations may claim the credit in
20proportion to their ownership interest.
SB55-ASA1,737,1122
71.07
(7) (b) If a resident individual, estate or trust pays a net income tax to
23another state, that resident individual, estate or trust may credit the net tax paid to
24that other state on that income against the net income tax otherwise payable to the
25state on income of the same year. The credit may not be allowed unless the income
1taxed by the other state is also considered income for Wisconsin tax purposes. The
2credit may not be allowed unless claimed within the time provided in s. 71.75 (2), but
3s. 71.75 (4) does not apply to those credits. For purposes of this paragraph, amounts
4declared and paid
pursuant to under the income tax law of another state
shall be
5deemed are considered a net income tax paid to that other state only in the year in
6which the income tax return for that state was required to be filed. Income and
7franchise taxes paid to another state by a tax-option corporation
, partnership, or
8limited liability company that is treated as a partnership may be claimed as a credit
9under this paragraph by that corporation's shareholders
, that partnership's
10partners, or that limited liability company's members who are residents of this state
11and who otherwise qualify under this paragraph.
