Amendment ASA1-AB40

AB40-ASA1, s. 1975 Section 1975. 71.28 (3r) (c) 6. of the statutes is amended to read:

AB40-ASA1,799,8 71.28 (3r) (c) 6. No credit may be allowed under this subsection unless the claimant submits with the claimant's return a copy of the claimant's credit certification and allocation under s. 93.545 or s. 560.208, 2009 stats.

AB40-ASA1, s. 1976 Section 1976. 71.28 (3rm) (b) of the statutes is amended to read:

AB40-ASA1,799,16 71.28 (3rm) (b) Filing claims. Subject to the limitations provided in this subsection and s. 93.547 or s. 560.209, 2009 stats., for taxable years beginning after December 31, 2009, and before January 1, 2016, a claimant may claim as a credit against the taxes imposed under s. 71.23, up to the amount of the tax, an amount equal to 10 percent of the amount the claimant paid in the taxable year for equipment that is used primarily to harvest or process woody biomass that is used as fuel or as a component of fuel.

AB40-ASA1, s. 1977 Section 1977. 71.28 (3rm) (c) 3. of the statutes is amended to read:

AB40-ASA1,799,20 71.28 (3rm) (c) 3. The maximum amount of the credits that may be claimed under this subsection and ss. 71.07 (3rm) and 71.47 (3rm) is $900,000, as allocated under s. 93.547 or s. 560.209, 2009 stats.

AB40-ASA1, s. 1978 Section 1978. 71.28 (3rn) (b) of the statutes is amended to read:

AB40-ASA1,800,3 71.28 (3rn) (b) Filing claims. Subject to the limitations provided in this subsection and s. 506.2056 93.54 or s. 560.2056, 2009 stats., for taxable years beginning after December 31, 2009, and before January 1, 2017, a claimant may claim as a credit against the tax imposed under s. 71.23, up to the amount of the tax, an amount equal to 10 percent of the amount the claimant paid in the taxable year for food processing or food warehousing modernization or expansion related to the operation of the claimant's food processing plant or food warehouse.

AB40-ASA1, s. 1979 Section 1979. 71.28 (3rn) (c) 3. a. of the statutes is amended to read:

AB40-ASA1,800,7 71.28 (3rn) (c) 3. a. The maximum amount of the credits that may be allocated under this subsection and ss. 71.07 (3rn) and 71.47 (3rn) in fiscal year 2009-10 is $1,000,000, as allocated under s. 560.2056, 2009 stats.

AB40-ASA1, s. 1980 Section 1980. 71.28 (3rn) (c) 3. b. of the statutes is amended to read:

AB40-ASA1,800,11 71.28 (3rn) (c) 3. b. The maximum amount of the credits that may be allocated under this subsection and ss. 71.07 (3rn) and 71.47 (3rn) in fiscal year 2010-11 is $1,200,000, as allocated under s. 560.2056, 2009 stats.

AB40-ASA1, s. 1981 Section 1981. 71.28 (3rn) (c) 3. c. of the statutes is amended to read:

AB40-ASA1,800,16 71.28 (3rn) (c) 3. c. The maximum amount of the credits that may be allocated under this subsection and ss. 71.07 (3rn) and 71.47 (3rn) in fiscal year 2011-12, and in each year thereafter, is $700,000, as allocated under s. 93.54 or s. 560.2056, 2009 stats.

AB40-ASA1, s. 1982 Section 1982. 71.28 (3rn) (c) 6. of the statutes is amended to read:

AB40-ASA1,800,20 71.28 (3rn) (c) 6. No credit may be allowed under this subsection unless the claimant submits with the claimant's return a copy of the claimant's credit certification and allocation under s. 93.54 or s. 560.2056, 2009 stats.

AB40-ASA1, s. 1983 Section 1983. 71.28 (3t) (b) of the statutes is amended to read:

AB40-ASA1,801,2 71.28 (3t) (b) Credit. Subject to the limitations provided in this subsection and in s. 560.28, 2009 stats., for taxable years beginning after December 31, 2007, a claimant may claim as a credit, amortized over 15 taxable years starting with the taxable year beginning after December 31, 2007, against the tax imposed under s. 71.23, up to the amount of the tax, an amount equal to the claimant's unused credits under s. 71.28 (3).

AB40-ASA1, s. 1984 Section 1984. 71.28 (3t) (c) 1. of the statutes is amended to read:

AB40-ASA1,801,10 71.28 (3t) (c) 1. No credit may be claimed under this subsection unless the claimant submits with the claimant's return a copy of the claimant's certification by the department of commerce under s. 560.28, 2009 stats., except that, with regard to credits claimed by partners of a partnership, members of a limited liability company, or shareholders of a tax-option corporation, the entity shall provide a copy of its certification under s. 560.28, 2009 stats., to the partner, member, or shareholder to submit with his or her return.

AB40-ASA1, s. 1985 Section 1985. 71.28 (3w) (a) 2. of the statutes is amended to read:

AB40-ASA1,801,14 71.28 (3w) (a) 2. "Claimant" means a person who is certified to claim tax benefits under s. 238.399 (5) or s. 560.799 (5), 2009 stats., and who files a claim under this subsection.

AB40-ASA1, s. 1986 Section 1986. 71.28 (3w) (a) 3. of the statutes is amended to read:

AB40-ASA1,801,17 71.28 (3w) (a) 3. "Full-time employee" means a full-time employee, as defined in s. 238.399 (1) (am) or s. 560.799 (1) (am), 2009 stats.

AB40-ASA1, s. 1987 Section 1987. 71.28 (3w) (a) 4. of the statutes is amended to read:

AB40-ASA1,801,20 71.28 (3w) (a) 4. "Enterprise zone" means a zone designated under s. 238.399 or s. 560.799, 2009 stats.

AB40-ASA1, s. 1988 Section 1988. 71.28 (3w) (a) 5d. of the statutes is amended to read:

AB40-ASA1,801,24 71.28 (3w) (a) 5d. "Tier I county or municipality" means a tier I county or municipality, as determined by the department of commerce under s. 238.399 or s. 560.799, 2009 stats.

AB40-ASA1, s. 1989 Section 1989. 71.28 (3w) (a) 5e. of the statutes is amended to read:

AB40-ASA1,802,3 71.28 (3w) (a) 5e. "Tier II county or municipality" means a tier II county or municipality, as determined by the department of commerce under s. 238.399 or s. 560.799, 2009 stats.

AB40-ASA1, s. 1990 Section 1990. 71.28 (3w) (b) (intro.) of the statutes is amended to read:

AB40-ASA1,802,8 71.28 (3w) (b) Filing claims; payroll. (intro.) Subject to the limitations provided in this subsection and s. 238.399 or s. 560.799, 2009 stats., a claimant may claim as a credit against the tax imposed under s. 71.23 an amount calculated as follows:

AB40-ASA1, s. 1991 Section 1991. 71.28 (3w) (b) 5. of the statutes is amended to read:

AB40-ASA1,802,12 71.28 (3w) (b) 5. Multiply the amount determined under subd. 4. by the percentage determined by the department of commerce under s. 238.399 or s. 560.799, 2009 stats., not to exceed 7 percent.

AB40-ASA1, s. 1992 Section 1992. 71.28 (3w) (bm) 1. of the statutes is amended to read:

AB40-ASA1,802,24 71.28 (3w) (bm) 1. In addition to the credits under par. (b) and subds. 2., 3., and 4., and subject to the limitations provided in this subsection and s. 238.399 or s. 560.799, 2009 stats., a claimant may claim as a credit against the tax imposed under s. 71.23 an amount equal to a percentage, as determined by the department of commerce under s. 238.399 or s. 560.799, 2009 stats., not to exceed 100 percent, of the amount the claimant paid in the taxable year to upgrade or improve the job-related skills of any of the claimant's full-time employees, to train any of the claimant's full-time employees on the use of job-related new technologies, or to provide job-related training to any full-time employee whose employment with the claimant represents the employee's first full-time job. This subdivision does not apply to employees who do not work in an enterprise zone.

AB40-ASA1, s. 1993 Section 1993. 71.28 (3w) (bm) 2. of the statutes is amended to read:

AB40-ASA1,803,14 71.28 (3w) (bm) 2. In addition to the credits under par. (b) and subds. 1., 3., and 4., and subject to the limitations provided in this subsection and s. 238.399 or s. 560.799, 2009 stats., a claimant may claim as a credit against the tax imposed under s. 71.23 an amount equal to the percentage, as determined by the department of commerce under s. 238.399 or s. 560.799, 2009 stats., not to exceed 7 percent, of the claimant's zone payroll paid in the taxable year to all of the claimant's full-time employees whose annual wages are greater than $20,000 in a tier I county or municipality, not including the wages paid to the employees determined under par. (b) 1., or greater than $30,000 in a tier II county or municipality, not including the wages paid to the employees determined under par. (b) 1., and who the claimant employed in the enterprise zone in the taxable year, if the total number of such employees is equal to or greater than the total number of such employees in the base year. A claimant may claim a credit under this subdivision for no more than 5 consecutive taxable years.

AB40-ASA1, s. 1994 Section 1994. 71.28 (3w) (bm) 3. of the statutes is amended to read:

AB40-ASA1,803,21 71.28 (3w) (bm) 3. In addition to the credits under par. (b) and subds. 1., 2., and 4., and subject to the limitations provided in this subsection and s. 238.399 or s. 560.799, 2009 stats., for taxable years beginning after December 31, 2008, a claimant may claim as a credit against the tax imposed under s. 71.23 up to 10 percent of the claimant's significant capital expenditures, as determined by the department of commerce under s. 238.399 (5m) or s. 560.799 (5m), 2009 stats.

AB40-ASA1, s. 1995 Section 1995. 71.28 (3w) (bm) 4. of the statutes is amended to read:

AB40-ASA1,804,6 71.28 (3w) (bm) 4. In addition to the credits under par. (b) and subds. 1., 2., and 3., and subject to the limitations provided in this subsection and s. 238.399 or s. 560.799, 2009 stats., for taxable years beginning after December 31, 2009, a claimant may claim as a credit against the tax imposed under s. 71.23, up to 1 percent of the amount that the claimant paid in the taxable year to purchase tangible personal property, items, property, or goods under s. 77.52 (1) (b), (c), or (d), or services from Wisconsin vendors, as determined by the department of commerce under s. 238.399 (5) (e) or s. 560.799 (5) (e), 2009 stats., except that the claimant may not claim the credit under this subdivision and subd. 3. for the same expenditures.

AB40-ASA1, s. 1996 Section 1996. 71.28 (3w) (c) 3. of the statutes is amended to read:

AB40-ASA1,804,10 71.28 (3w) (c) 3. No credit may be allowed under this subsection unless the claimant includes with the claimant's return a copy of the claimant's certification for tax benefits under s. 238.399 (5) or (5m) or s. 560.799 (5) or (5m), 2009 stats.

AB40-ASA1, s. 1997 Section 1997. 71.28 (3w) (d) of the statutes is amended to read:

AB40-ASA1,804,16 71.28 (3w) (d) Administration. Subsection (4) (g) and (h), as it applies to the credit under sub. (4), applies to the credit under this subsection. Claimants shall include with their returns a copy of their certification for tax benefits, and a copy of the verification of their expenses, from the department of commerce or the Wisconsin Economic Development Corporation.

AB40-ASA1, s. 1998 Section 1998. 71.28 (4) (am) 1. of the statutes is amended to read:

AB40-ASA1,805,18 71.28 (4) (am) 1. In addition to the credit under par. (ad), any corporation may credit against taxes otherwise due under this chapter an amount equal to 5 percent 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" include only expenses incurred by the claimant in a development zone under subch. II of ch. 238 or subch. VI of ch. 560, 2009 stats., 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" do not include compensation used in computing the credit under sub. (1dj) nor research expenses incurred before the claimant is certified for tax benefits under s. 238.365 (3) or s. 560.765 (3), 2009 stats., the corporation's base amount, as defined in section 41 (c) of the Internal Revenue Code, in a development zone, 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., (df) 1. and 2., (dh) 1., 2., and 3., (dj), and (dk) and research expenses used in calculating the base amount include research expenses incurred before the claimant is certified for tax benefits under s. 238.365 (3) or s. 560.765 (3), 2009 stats., in a development zone, if the claimant submits with the claimant's return a copy of the claimant's certification for tax benefits under s. 238.365 (3) or s. 560.765 (3), 2009 stats., and a statement from the department of commerce or the Wisconsin Economic Development Corporation verifying the claimant's qualified research expenses for research conducted exclusively in a development zone. The rules under s. 73.03 (35) apply to the credit under this subdivision. The rules under sub. (1di) (f) and (g) as they apply to the credit under that subsection apply to claims under this subdivision. Section 41 (h) of the Internal Revenue Code does not apply to the credit under this subdivision.

AB40-ASA1, s. 1999 Section 1999. 71.28 (4) (am) 2. of the statutes is amended to read:

AB40-ASA1,806,4 71.28 (4) (am) 2. The development zones credit under subd. 1., as it applies to a person certified under s. 238.365 (3) or s. 560.765 (3), 2009 stats., applies to a corporation that conducts economic activity in a development opportunity zone under s. 238.395 (1) or s. 560.795 (1), 2009 stats., and that is entitled to tax benefits under s. 238.395 (3) or s. 560.795 (3), 2009 stats., subject to the limits under s. 238.395 (2) or s. 560.795 (2), 2009 stats. A development opportunity zone credit under this subdivision may be calculated using expenses incurred by a claimant beginning on the effective date under s. 238.395 (2) (a) or s. 560.795 (2) (a), 2009 stats., of the development opportunity zone designation of the area in which the claimant conducts economic activity.

AB40-ASA1, s. 2000 Section 2000. 71.28 (5b) (a) 2. of the statutes is amended to read:

AB40-ASA1,806,7 71.28 (5b) (a) 2. "Fund manager" means an investment fund manager certified under s. 238.15 (2) or s. 560.205 (2), 2009 stats.

AB40-ASA1, s. 2001 Section 2001. 71.28 (5b) (b) 1. of the statutes is amended to read:

AB40-ASA1,806,14 71.28 (5b) (b) 1. For taxable years beginning after December 31, 2004, subject to the limitations provided under this subsection and s. 238.15 or s. 560.205, 2009 stats., and except as provided in subd. 2., a claimant may claim as a credit against the tax imposed under s. 71.23, up to the amount of those taxes, 25 percent of the claimant's investment paid to a fund manager that the fund manager invests in a business certified under s. 238.15 (1) or s. 560.205 (1), 2009 stats.

AB40-ASA1, s. 2002 Section 2002. 71.28 (5b) (b) 2. of the statutes is amended to read:

AB40-ASA1,806,24 71.28 (5b) (b) 2. In the case of a partnership, limited liability company, or tax-option corporation, the computation of the 25 percent limitation under subd. 1. shall be determined at the entity level rather than the claimant level and may be allocated among the claimants who make investments in the manner set forth in the entity's organizational documents. The entity shall provide to the department of revenue and to the department of commerce or the Wisconsin Economic Development Corporation the names and tax identification numbers of the claimants, the amounts of the credits allocated to the claimants, and the computation of the allocations.

AB40-ASA1, s. 2003 Section 2003. 71.28 (5b) (d) 3. of the statutes is amended to read:

AB40-ASA1,807,5 71.28 (5b) (d) 3. For calendar years beginning investments made after December 31, 2007, if an investment for which a claimant claims a credit under par. (b) is held by the claimant for less than 3 years, the claimant shall pay to the department, in the manner prescribed by the department, the amount of the credit that the claimant received related to the investment.

AB40-ASA1, s. 2004 Section 2004. 71.28 (5f) (a) 1. (intro.) of the statutes is amended to read:

AB40-ASA1,807,17 71.28 (5f) (a) 1. (intro.) "Accredited production" means a film, video, broadcast advertisement, or television production, as approved by the department of commerce or the department of tourism, for which the aggregate salary and wages included in the cost of the production for the period ending 12 months after the month in which the principal filming or taping of the production begins exceeds $50,000. "Accredited production" also means an electronic game, as approved by the department of commerce or the department of tourism, for which the aggregate salary and wages included in the cost of the production for the period ending 36 months after the month in which the principal programming, filming, or taping of the production begins exceeds $100,000. "Accredited production" does not include any of the following, regardless of the production costs:

AB40-ASA1, s. 2005 Section 2005. 71.28 (5f) (a) 3. of the statutes is amended to read:

AB40-ASA1,808,2 71.28 (5f) (a) 3. "Production expenditures" means any expenditures that are incurred in this state and directly used to produce an accredited production, including expenditures for set construction and operation, wardrobes, make-up, clothing accessories, photography, sound recording, sound synchronization, sound mixing, lighting, editing, film processing, film transferring, special effects, visual effects, renting or leasing facilities or equipment, renting or leasing motor vehicles, food, lodging, and any other similar expenditure as determined by the department of commerce or the department of tourism. "Production expenditures" do not include salary, wages, or labor-related contract payments.

AB40-ASA1, s. 2006 Section 2006. 71.28 (5f) (c) 6. of the statutes is amended to read:

AB40-ASA1,808,11 71.28 (5f) (c) 6. No credit may be allowed under this subsection unless the claimant files an application with the department of commerce or the department of tourism, at the time and in the manner prescribed by the department of commerce or the department of tourism, and the department of commerce or the department of tourism approves the application. The claimant shall submit a fee with the application in an amount equal to 2 percent of the claimant's budgeted production expenditures or to $5,000, whichever is less. The claimant shall submit a copy of the approved application with the claimant's return.

AB40-ASA1, s. 2007 Section 2007. 71.28 (5h) (c) 4. of the statutes is amended to read:

AB40-ASA1,808,17 71.28 (5h) (c) 4. No claim may be allowed under this subsection unless the department of commerce or the department of tourism certifies, in writing, that the credits claimed under this subsection are for expenses related to establishing or operating a film production company in this state and the claimant submits a copy of the certification with the claimant's return.

AB40-ASA1, s. 2008 Section 2008. 71.28 (5i) (c) 1. of the statutes is amended to read:

AB40-ASA1,808,21 71.28 (5i) (c) 1. The maximum amount of the credits that may be claimed under this subsection and ss. 71.07 (5i) and 71.47 (5i) in a taxable year is $10,000,000, as allocated under s. 73.15 or s. 560.204, 2009 stats.

AB40-ASA1, s. 2009 Section 2009. 71.28 (5j) (a) 2d. of the statutes is amended to read:

AB40-ASA1,809,2 71.28 (5j) (a) 2d. "Diesel replacement renewable fuel" includes biodiesel and any other fuel derived from a renewable resource that meets all of the applicable requirements of the American Society for Testing and Materials for that fuel and that the department of commerce or the department of safety and professional services designates by rule as a diesel replacement renewable fuel.

AB40-ASA1, s. 2010 Section 2010. 71.28 (5j) (a) 2m. of the statutes is amended to read:

AB40-ASA1,809,8 71.28 (5j) (a) 2m. "Gasoline replacement renewable fuel" includes ethanol and any other fuel derived from a renewable resource that meets all of the applicable requirements of the American Society for Testing and Materials for that fuel and that the department of commerce or the department of safety and professional services designates by rule as a gasoline replacement renewable fuel.

AB40-ASA1, s. 2011 Section 2011. 71.28 (5j) (c) 3. of the statutes is amended to read:

AB40-ASA1,809,15 71.28 (5j) (c) 3. The department of commerce or the department of safety and professional services shall establish standards to adequately prevent, in the distribution of conventional fuel to an end user, the inadvertent distribution of fuel containing a higher percentage of renewable fuel than the maximum percentage established by the federal environmental protection agency for use in conventionally-fueled engines.

AB40-ASA1, s. 2011d Section 2011d. 71.28 (5n) of the statutes is created to read:

AB40-ASA1,809,18 71.28 (5n) Qualified production activities credit. (a) Definitions. In this subsection:

AB40-ASA1,809,19 1. "Claimant" means a person who files a claim under this subsection.

AB40-ASA1,809,21 2. "Eligible qualified production activities income" means the lesser of the following:

AB40-ASA1,809,24 a. Qualified production activities income that derives from property located in this state that is assessed as manufacturing property under s. 70.995 or as agricultural property under s. 70.32 (2) (a) 4.

AB40-ASA1,809,25 b. Income that is apportioned to this state under s. 71.25 (5), (6), and (6m).

AB40-ASA1,810,1 c. Income that is determined to be taxable in this state under s. 71.255 (2).

AB40-ASA1,810,3 3. "Qualified production activities income" means qualified production activities income as defined in 26 USC 199 (c).

AB40-ASA1,810,7 (b) Filing claims. Subject to the limitations provided in this subsection, a claimant may claim as a credit against the tax imposed under s. 71.23, up to the amount of the tax, an amount equal to one of the following percentages of the claimant's eligible qualified production activities income in the taxable year:

AB40-ASA1,810,9 1. For taxable years beginning after December 31, 2012, and before January 1, 2014, 1.875 percent.

AB40-ASA1,810,11 2. For taxable years beginning after December 31, 2013, and before January 1, 2015, 3.75 percent.

AB40-ASA1,810,13 3. For taxable years beginning after December 31, 2014, and before January 1, 2016, 5.526 percent.

AB40-ASA1,810,14 4. For taxable years beginning after December 31, 2015, 7.5 percent.

AB40-ASA1,810,22 (c) Limitations. Partnerships, limited liability companies, and tax-option corporations may not claim the credit under this subsection, but the eligibility for, and the amount of, the credit are based on their share of the income described under par. (b). A partnership, limited liability company, or tax-option corporation shall compute the amount of credit that each of its partners, members, or shareholders may claim and shall provide that information to each of them. Partners, members of limited liability companies, and shareholders of tax-option corporations may claim the credit in proportion to their ownership interests.

AB40-ASA1,810,24 (d) Administration. Subsection (4) (e) to (h), as it applies to the credit under sub. (4), applies to the credit under this subsection.