Amendment MR8 SA1-AB1

AB1-SA1,64,9 77.51 (13) (k) As respects With respect to a lease, any person deriving rentals from a lease of tangible personal property or items or property under s. 77.52 (1) (b) or (c) situated in this state.

AB1-SA1, s. 9gw Section 9gw. 77.51 (13) (m) of the statutes is amended to read:

AB1-SA1,64,14 77.51 (13) (m) A person selling tangible personal property or items or property under s. 77.52 (1) (b) or (c) to a veterinarian to be used or furnished by the veterinarian in the performance of services in some manner related to domestic animals, including pets or poultry.

AB1-SA1, s. 9hb Section 9hb. 77.51 (13) (n) of the statutes is amended to read:

AB1-SA1,64,19 77.51 (13) (n) A person selling household furniture, furnishings, equipment, appliances or other items of tangible personal property or items or property under s. 77.52 (1) (b) or (c) to a landlord for use by tenants in leased or rented living quarters.

AB1-SA1, s. 9hc Section 9hc. 77.51 (13) (o) of the statutes is amended to read:

AB1-SA1,64,22 77.51 (13) (o) A person selling medicine drugs for animals to a veterinarian. As used in this paragraph, "animal" includes livestock, pets and poultry.

AB1-SA1, s. 9hd Section 9hd. 77.51 (13g) (intro.) of the statutes is amended to read:

AB1-SA1,65,3 77.51 (13g) (intro.) Except as provided in sub. (13h), "retailer engaged in business in this state", unless otherwise limited by federal statute, for purposes of the use tax, means any of the following:

AB1-SA1, s. 9he Section 9he. 77.51 (13g) (a) of the statutes is amended to read:

AB1-SA1,65,10 77.51 (13g) (a) Any retailer owning any real property in this state or leasing or renting out any tangible personal property, or items or property under s. 77.52 (1) (b) or (c), located in this state or maintaining, occupying or using, permanently or temporarily, directly or indirectly, or through a subsidiary, or agent, by whatever name called, an office, place of distribution, sales or sample room or place, warehouse or storage place or other place of business in this state.

AB1-SA1, s. 9hf Section 9hf. 77.51 (13g) (b) of the statutes is amended to read:

AB1-SA1,65,16 77.51 (13g) (b) Any retailer having any representative, agent, salesperson, canvasser or solicitor operating in this state under the authority of the retailer or its subsidiary for the purpose of selling, delivering or the taking of orders for any tangible personal property, items or property under s. 77.52 (1) (b) or (c), or taxable services.

AB1-SA1, s. 9hg Section 9hg. 77.51 (13g) (c) of the statutes is created to read:

AB1-SA1,65,20 77.51 (13g) (c) Any retailer selling tangible personal property, items or property under s. 77.52 (1) (b) or (c), or taxable services for storage, use, or other consumption in this state, unless otherwise limited by federal law.

AB1-SA1, s. 9hh Section 9hh. 77.51 (13r) of the statutes is amended to read:

AB1-SA1,65,24 77.51 (13r) Any person purchasing from a retailer as defined in sub. (13) shall be deemed the consumer of the tangible personal property, items or property under s. 77.52 (1) (b) or (c), or services purchased.

AB1-SA1, s. 9hi Section 9hi. 77.51 (13rm) of the statutes is created to read:

AB1-SA1,66,2 77.51 (13rm) "Retail sale" or "sale at retail" means any sale, lease, or rental for any purpose other than resale, sublease, or subrent.

AB1-SA1, s. 9hj Section 9hj. 77.51 (13rn) of the statutes is created to read:

AB1-SA1,66,7 77.51 (13rn) "Ringtones" means digitized sound files that are downloaded onto a device and that may be used to alert the customer with regard to a communication. "Ringtones" includes MP3 or musical tones, polyphonic tones, and synthetic music mobile application format tones, but does not include ring-back tones.

AB1-SA1, s. 9hk Section 9hk. 77.51 (14) (intro.) of the statutes is amended to read:

AB1-SA1,66,14 77.51 (14) (intro.) "Sale", "sale, lease or rental", "retail sale", "sale at retail", or equivalent terms include includes any one or all of the following: the transfer of the ownership of, title to, possession of, or enjoyment of tangible personal property, items or property under s. 77.52 (1) (b) or (c), or services for use or consumption but not for resale as tangible personal property, items or property under s. 77.52 (1) (b) or (c), or services and includes:

AB1-SA1, s. 9hL Section 9hL. 77.51 (14) (a) of the statutes is amended to read:

AB1-SA1,66,21 77.51 (14) (a) Any sale at an auction in with respect to tangible personal property or items or property under s. 77.52 (1) (b) or (c) which is are sold to a successful bidder. The proceeds from, except the sale of property or items sold at auction which is are bid in by the seller and on which title does not pass to a new purchaser shall be deducted from the gross proceeds of the sale and the tax paid only on the net proceeds.

AB1-SA1, s. 9hm Section 9hm. 77.51 (14) (b) of the statutes is amended to read:

AB1-SA1,66,25 77.51 (14) (b) The furnishing or distributing of tangible personal property, items or property under s. 77.52 (1) (b) or (c), or taxable services for a consideration by social clubs and fraternal organizations to their members or others.

AB1-SA1, s. 9hn Section 9hn. 77.51 (14) (c) of the statutes is amended to read:

AB1-SA1,67,4 77.51 (14) (c) A transaction whereby the possession of tangible personal property is or items or property under s. 77.52 (1) (b) or (c) are transferred but the seller retains the title as security for the payment of the price.

AB1-SA1, s. 9hp Section 9hp. 77.51 (14) (d) of the statutes is repealed.

AB1-SA1, s. 9hq Section 9hq. 77.51 (14) (g) of the statutes is renumbered 77.51 (15a) (b) 4.

AB1-SA1, s. 9hr Section 9hr. 77.51 (14) (h) of the statutes is amended to read:

AB1-SA1,67,11 77.51 (14) (h) A transfer for a consideration of the title or possession of tangible personal property or items or property under s. 77.52 (1) (b) or (c) which has have been produced, fabricated, or printed to the special order of the customer or of any publication.

AB1-SA1, s. 9hs Section 9hs. 77.51 (14) (i) of the statutes is repealed.

AB1-SA1, s. 9ht Section 9ht. 77.51 (14) (j) of the statutes is amended to read:

AB1-SA1,67,19 77.51 (14) (j) The granting of possession of tangible personal property or items or property under s. 77.52 (1) (b) or (c) by a lessor to a lessee, or to another person at the direction of the lessee. Such a transaction is deemed a continuing sale in this state by the lessor for the duration of the lease as respects any period of time the leased property is situated in this state, irrespective of the time or place of delivery of the property to the lessee or such other person.

AB1-SA1, s. 9hv Section 9hv. 77.51 (14) (k) of the statutes is repealed.

AB1-SA1, s. 9hw Section 9hw. 77.51 (14) (L) of the statutes is repealed.

AB1-SA1, s. 9ib Section 9ib. 77.51 (14g) (a) of the statutes is amended to read:

AB1-SA1,67,25 77.51 (14g) (a) The transfer of property or items or property under s. 77.52 (1) (b) or (c) to a corporation upon its organization solely in consideration for the issuance of its stock;

AB1-SA1, s. 9ic Section 9ic. 77.51 (14g) (b) of the statutes is amended to read:

AB1-SA1,68,4 77.51 (14g) (b) The contribution of property or items or property under s. 77.52 (1) (b) or (c) to a newly formed partnership solely in consideration for a partnership interest therein;

AB1-SA1, s. 9id Section 9id. 77.51 (14g) (bm) of the statutes is amended to read:

AB1-SA1,68,8 77.51 (14g) (bm) The contribution of property or items or property under s. 77.52 (1) (b) or (c) to a limited liability company upon its organization solely in consideration for a membership interest;

AB1-SA1, s. 9ie Section 9ie. 77.51 (14g) (c) of the statutes is amended to read:

AB1-SA1,68,12 77.51 (14g) (c) The transfer of property or items or property under s. 77.52 (1) (b) or (c) to a corporation, solely in consideration for the issuance of its stock, pursuant to a merger or consolidation;

AB1-SA1, s. 9if Section 9if. 77.51 (14g) (cm) of the statutes is amended to read:

AB1-SA1,68,16 77.51 (14g) (cm) The transfer of property or items or property under s. 77.52 (1) (b) or (c) to a limited liability company, solely in consideration for a membership interest, pursuant to a merger;

AB1-SA1, s. 9ig Section 9ig. 77.51 (14g) (d) of the statutes is amended to read:

AB1-SA1,68,20 77.51 (14g) (d) The distribution of property or items or property under s. 77.52 (1) (b) or (c) by a corporation to its stockholders as a dividend or in whole or partial liquidation;

AB1-SA1, s. 9ih Section 9ih. 77.51 (14g) (e) of the statutes is amended to read:

AB1-SA1,68,23 77.51 (14g) (e) The distribution of property or items or property under s. 77.52 (1) (b) or (c) by a partnership to its partners in whole or partial liquidation;

AB1-SA1, s. 9ii Section 9ii. 77.51 (14g) (em) of the statutes is amended to read:

AB1-SA1,69,3 77.51 (14g) (em) The distribution of property or items or property under s. 77.52 (1) (b) or (c) by a limited liability company to its members in whole or partial liquidation;

AB1-SA1, s. 9ij Section 9ij. 77.51 (14g) (f) of the statutes is amended to read:

AB1-SA1,69,7 77.51 (14g) (f) Repossession of property or items or property under s. 77.52 (1) (b) or (c) by the seller from the purchaser when the only consideration is cancellation of the purchaser's obligation to pay the remaining balance of the purchase price;

AB1-SA1, s. 9ik Section 9ik. 77.51 (14g) (g) of the statutes is amended to read:

AB1-SA1,69,11 77.51 (14g) (g) The transfer of property or items or property under s. 77.52 (1) (b) or (c) in a reorganization as defined in section 368 of the internal revenue code in which no gain or loss is recognized for franchise or income tax purposes; or

AB1-SA1, s. 9iL Section 9iL. 77.51 (14g) (h) of the statutes is amended to read:

AB1-SA1,69,21 77.51 (14g) (h) Any transfer of all or substantially all the property or items or property under s. 77.52 (1) (b) or (c) held or used by a person in the course of an activity requiring the holding of a seller's permit, if after the transfer the real or ultimate ownership of the property or items is substantially similar to that which existed before the transfer. For the purposes of this section, stockholders, bondholders, partners, members or other persons holding an interest in a corporation or other entity are regarded as having the real or ultimate ownership of the property or items of the corporation or other entity. In this paragraph, "substantially similar" means 80% or more of ownership.

AB1-SA1, s. 9im Section 9im. 77.51 (14r) of the statutes is repealed.

AB1-SA1, s. 9in Section 9in. 77.51 (15) of the statutes, as affected by 2007 Wisconsin Act 11, is repealed.

AB1-SA1, s. 9io Section 9io. 77.51 (15a) of the statutes is created to read:

AB1-SA1,70,8 77.51 (15a) (a) "Sales, lease, or rental for resale, sublease, or subrent" includes transfers of tangible personal property or items or property under s. 77.52 (1) (b) or (c) to a service provider that the service provider transfers in conjunction with but not incidental to the selling, performing, or furnishing of any service, and transfers of tangible personal property or items or property under s. 77.52 (1) (b) or (c) to a service provider that the service provider physically transfers in conjunction with the selling, performing, or furnishing services under s. 77.52 (2) (a) 7., 10., 11., or 20. This paragraph does not apply to sub. (2).

AB1-SA1,70,10 (b) "Sales, lease, or rental for resale, sublease, or subrent" does not include any of the following:

AB1-SA1,70,14 1. The sale of building materials, supplies, and equipment to owners, contractors, subcontractors, or builders for use in real property construction activities or the alteration, repair, or improvement of real property, regardless of the quantity of such materials, supplies, and equipment sold.

AB1-SA1,70,20 2. Any sale of tangible personal property or items or property under s. 77.52 (1) (b) or (c) to a purchaser even though such property or items may be used or consumed by some other person to whom such purchaser transfers the property or items without valuable consideration, such as gifts, and advertising specialties distributed at no charge and apart from the sale of other tangible personal property, items or property under s. 77.52 (1) (b) or (c), or service.

AB1-SA1,71,2 3. Transfers of tangible personal property or items or property under s. 77.52 (1) (b) or (c) to a service provider that the service provider transfers in conjunction with the selling, performing, or furnishing of any service, if the tangible personal property or items or property under s. 77.52 (1) (b) or (c) are incidental to the service, unless the service provider is selling, performing, or furnishing services under s. 77.52 (2) (a) 7., 10., 11., or 20.

AB1-SA1, s. 9ip Section 9ip. 77.51 (15b) of the statutes is created to read:

AB1-SA1,71,8 77.51 (15b) (a) "Sales price" means the total amount of consideration, including cash, credit, property, and services, for which tangible personal property, items or property under s. 77.52 (1) (b) or (c), or services are sold, leased, or rented, valued in money, whether received in money or otherwise, without any deduction for the following:

AB1-SA1,71,10 1. The seller's cost of the property or items or property under s. 77.52 (1) (b) or (c) sold.

AB1-SA1,71,13 2. The cost of materials used, labor or service cost, interest, losses, all costs of transportation to the seller, all taxes imposed on the seller, and any other expense of the seller.

AB1-SA1,71,15 3. Charges by the seller for any services necessary to complete a sale, not including delivery and installation charges.

AB1-SA1,71,16 4. a. Delivery charges, except as provided in par. (b) 4.

AB1-SA1,71,24 b. If a shipment includes property or items that are subject to tax under this subchapter and property or items that are not subject to tax under this subchapter, the amount of the delivery charge that the seller allocates to the property or items that are subject to tax under this subchapter is based either on the total sales price of the property or items that are subject to tax under this subchapter as compared to the total sales price of all the property or items or on the total weight of the property or items that are subject to tax under this subchapter as compared to the total weight of all the property or items.

AB1-SA1,71,25 5. Installation charges.

AB1-SA1,72,1 (b) "Sales price" does not include:

AB1-SA1,72,4 1. Discounts, including cash, terms, or coupons, that are not reimbursed by a 3rd party, except as provided in par. (c); that are allowed by a seller; and that are taken by a purchaser on a sale.

AB1-SA1,72,9 2. Interest, financing, and carrying charges from credit that is extended on a sale of tangible personal property, items or property under s. 77.52 (1) (b) or (c), or services, if the amount of the interest, financing, or carrying charges is separately stated on the invoice, bill of sale, or similar document that the seller gives to the purchaser.

AB1-SA1,72,12 3. Any taxes legally imposed directly on the purchaser that are separately stated on the invoice, bill of sale, or similar document that the seller gives to the purchaser.

AB1-SA1,72,13 4. Delivery charges for direct mail.

AB1-SA1,72,18 5. In all transactions in which an article of tangible personal property, an item under s. 77.52 (1) (b), or property under s. 77.52 (1) (c) is traded toward the purchase of an article, item, or property of greater value, the amount of the sales price that represents the amount allowed for the article, item, or property traded, except that this subdivision does not apply to any transaction to which subd. 7. or 8. applies.

AB1-SA1,72,25 6. If a person who purchases a motor vehicle presents a statement issued under s. 218.0171 (2) (cq) to the seller at the time of purchase, and the person presents the statement to the seller within 60 days from the date of receiving a refund under s. 218.0171 (2) (b) 2. b., the trade-in amount specified in the statement issued under s. 218.0171 (2) (cq), but not to exceed the sales price from the sale of the motor vehicle. This subdivision applies only to the first motor vehicle purchased by a person after receiving a refund under s. 218.0171 (2) (b) 2. b.

AB1-SA1,73,3 7. Thirty-five percent of the sales price, excluding trade-ins, of a new manufactured home, as defined in s. 101.91 (11) . This subdivision does not apply to a lease or rental.

AB1-SA1,73,8 8. At the retailer's option; except that after the retailer chooses an option the retailer may not use the other option for other sales without the department's written approval; either 35 percent of the sales price of a modular home, as defined in s. 101.71 (6), or an amount equal to the sales price of the home minus the cost of materials that become an ingredient or component part of the home.

AB1-SA1,73,10 (c) "Sales price" includes consideration received by the seller from a 3rd party, if:

AB1-SA1,73,13 1. The seller actually receives consideration from a 3rd party, other than the purchaser, and the consideration is directly related to a price reduction or discount on a sale.

AB1-SA1,73,14 2. The seller is obliged to pass the price reduction or discount to the purchaser.

AB1-SA1,73,17 3. The amount of the consideration that is attributable to the sale is a fixed amount and the seller is able to determine that amount at the time of the sale to the purchaser.