Amendment SA49-AB100

LRBb0787/1

JK:kjf:pg

2005 - 2006 LEGISLATURE

SENATE AMENDMENT 49, TO 2005 ASSEMBLY BILL 100

June 29, 2005 - Offered by Senator Robson.

AB100-SA49,1,1 At the locations indicated, amend the engrossed bill as follows:

AB100-SA49,1,2 1. Page 323, line 9: after that line insert:

AB100-SA49,1,3 " Section 455n. 20.855 (4) (fn) of the statutes is created to read:

AB100-SA49,1,8 20.855 (4) (fn) Transfer to transportation fund; additional general fund tax revenues. Beginning on April 1, 2006, and on each April 1 thereafter, to be transferred to the transportation fund, a sum sufficient in an amount equal to the amount to be paid into the transportation fund, as determined under s. 78.018 (2) and (3).".

AB100-SA49,1,9 2. Page 572, line 24: after that line insert:

AB100-SA49,1,10 " Section 1292e. 71.06 (1p) (intro.) of the statutes is amended to read:

AB100-SA49,2,3 71.06 (1p) Fiduciaries, single individuals and heads of households; after 2000 to 2005. (intro.) The tax to be assessed, levied, and collected upon the taxable incomes of all fiduciaries, except fiduciaries of nuclear decommissioning trust or reserve funds, and single individuals and heads of households shall be computed at the following rates for taxable years beginning after December 31, 2000, and before January 1, 2006:

AB100-SA49, s. 1292f Section 1292f. 71.06 (1q) of the statutes is created to read:

AB100-SA49,2,9 71.06 (1q) Fiduciaries, single individuals and heads of households; after 2005. The tax to be assessed, levied, and collected upon the taxable incomes of all fiduciaries, except fiduciaries of nuclear decommissioning trust or reserve funds, and single individuals and heads of households shall be computed at the following rates for taxable years beginning after December 31, 2005:

AB100-SA49,2,10 (a) On all taxable income from $0 to $7,500 , 4.6 percent.

AB100-SA49,2,12 (b) On all taxable income exceeding $7,500 but not exceeding $15,000, 6.15 percent.

AB100-SA49,2,14 (c) On all taxable income exceeding $15,000 but not exceeding $112,500, 6.5 percent.

AB100-SA49,2,16 (d) On all taxable income exceeding $112,500 but not exceeding $1,000,000, 6.75 percent.

AB100-SA49,2,17 (e) On all taxable income exceeding $1,000,000, 7.75 percent.

AB100-SA49, s. 1292g Section 1292g. 71.06 (2) (g) (intro.) of the statutes is amended to read:

AB100-SA49,2,20 71.06 (2) (g) (intro.) For joint returns, for taxable years beginning after December 31, 2000, and before January 1, 2006:

AB100-SA49, s. 1292h Section 1292h. 71.06 (2) (h) (intro.) of the statutes is amended to read:

AB100-SA49,2,23 71.06 (2) (h) (intro.) For married persons filing separately, for taxable years beginning after December 31, 2000, and before January 1, 2006:

AB100-SA49, s. 1292i Section 1292i. 71.06 (2) (i) of the statutes is created to read:

AB100-SA49,3,2 71.06 (2) (i) For joint returns, for taxable years beginning after December 31, 2005:

AB100-SA49,3,3 1. On all taxable income from $0 to $10,000, 4.6 percent.

AB100-SA49,3,5 2. On all taxable income exceeding $10,000 but not exceeding $20,000, 6.15 percent.

AB100-SA49,3,7 3. On all taxable income exceeding $20,000 but not exceeding $150,000, 6.5 percent.

AB100-SA49,3,9 4. On all taxable income exceeding $150,000 but not exceeding $1,000,000, 6.75 percent.

AB100-SA49,3,10 5. On all taxable income exceeding $1,000,000, 7.75 percent.

AB100-SA49, s. 1292j Section 1292j. 71.06 (2) (j) of the statutes is created to read:

AB100-SA49,3,13 71.06 (2) (j) For married persons filing separately, for taxable years beginning after December 31, 2005:

AB100-SA49,3,14 1. On all taxable income from $0 to $5,000, 4.6 percent.

AB100-SA49,3,16 2. On all taxable income exceeding $5,000 but not exceeding $10,000, 6.15 percent.

AB100-SA49,3,18 3. On all taxable income exceeding $10,000 but not exceeding $75,000, 6.5 percent.

AB100-SA49,3,20 4. On all taxable income exceeding $75,000 but not exceeding $500,000, 6.75 percent.

AB100-SA49,3,21 5. On all taxable income exceeding $500,000, 7.75 percent.

AB100-SA49, s. 1292k Section 1292k. 71.06 (2e) of the statutes is renumbered 71.06 (2e) (a) and amended to read:

AB100-SA49,4,24 71.06 (2e) Bracket indexing. (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, and before January 1, 2006, the maximum dollar amount in each tax bracket, and the corresponding minimum dollar amount in the next bracket, under subs. (1n), (1p), and (2) (e), (f), (g), and (h), and for taxable years beginning after December 31, 2006, the maximum dollar amount in each tax bracket, and the corresponding minimum dollar amount in the next bracket, under subs. (1q) and (2) (i) and (j), 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. 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.

AB100-SA49, s. 1292L Section 1292L. 71.06 (2e) (b) of the statutes is created to read:

AB100-SA49,5,14 71.06 (2e) (b) For taxable years beginning after December 31, 2004, and before January 1, 2006, the maximum dollar amount in each tax bracket, and the corresponding minimum dollar amount in the next bracket, under subs. (1q) (a), (b), (c), and (d) and (2) (i) 1., 2., 3., and 4. and (j) 1., 2., 3., and 4., 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. 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.

AB100-SA49, s. 1292m Section 1292m. 71.06 (2m) of the statutes is amended to read:

AB100-SA49,5,19 71.06 (2m) Rate changes. If a rate under sub. (1), (1m), (1n), (1p), (1q), or (2) changes during a taxable year, the taxpayer shall compute the tax for that taxable year by the methods applicable to the federal income tax under section 15 of the internal revenue code Internal Revenue Code.

AB100-SA49, s. 1292n Section 1292n. 71.06 (2s) (d) of the statutes is amended to read:

AB100-SA49,6,8 71.06 (2s) (d) For taxable years beginning after December 31, 2000, and before January 1, 2006, with respect to nonresident individuals, including individuals changing their domicile into or from this state, the tax brackets under subs. (1p) and (2) (g) and (h) shall be multiplied by a fraction, the numerator of which is Wisconsin adjusted gross income and the denominator of which is federal adjusted gross income. In this paragraph, for married persons filing separately "adjusted gross income" means the separate adjusted gross income of each spouse, and for married persons filing jointly "adjusted gross income" means the total adjusted gross income of both spouses. If an individual and that individual's spouse are not both domiciled in this state during the entire taxable year, the tax brackets under subs. (1p) and (2) (g) and (h) on a joint return shall be multiplied by a fraction, the numerator of which is their joint Wisconsin adjusted gross income and the denominator of which is their joint federal adjusted gross income.

AB100-SA49, s. 1202o Section 1202o. 71.06 (2s) (e) of the statutes is created to read:

AB100-SA49,6,22 71.06 (2s) (e) For taxable years beginning after December 31, 2005, with respect to nonresident individuals, including individuals changing their domicile into or from this state, the tax brackets under subs. (1q) and (2) (i) and (j) shall be multiplied by a fraction, the numerator of which is Wisconsin adjusted gross income and the denominator of which is federal adjusted gross income. In this paragraph, for married persons filing separately "adjusted gross income" means the separate adjusted gross income of each spouse, and for married persons filing jointly "adjusted gross income" means the total adjusted gross income of both spouses. If an individual and that individual's spouse are not both domiciled in this state during the entire taxable year, the tax brackets under subs. (1q) and (2) (i) and (j) on a joint return shall be multiplied by a fraction, the numerator of which is their joint Wisconsin adjusted gross income and the denominator of which is their joint federal adjusted gross income.".

AB100-SA49,6,23 3. Page 588, line 3: after that line insert:

AB100-SA49,6,24 " Section 1318e. 71.125 of the statutes is amended to read:

AB100-SA49,7,5 71.125 Imposition of tax. (1) Except as provided in sub. (2), the tax imposed by this chapter on individuals and the rates under s. 71.06 (1), (1m), (1n), (1p), (1q), and (2) shall apply to the Wisconsin taxable income of estates or trusts, except nuclear decommissioning trust or reserve funds, and that tax shall be paid by the fiduciary.

AB100-SA49,7,10 (2) Each electing small business trust, as defined in section 1361 (e) (1) of the Internal Revenue Code, is subject to tax at the highest rate under s. 71.06 (1), (1m), (1n) or, (1p), or (1q), whichever taxable year is applicable, on its income as computed under section 641 of the Internal Revenue Code, as modified by s. 71.05 (6) to (12), (19), and (20).