Amendment ASA1-AB259

LRBs0316/1

KRP:wlj

2017 - 2018 LEGISLATURE

ASSEMBLY SUBSTITUTE AMENDMENT 1, TO ASSEMBLY BILL 259

February 13, 2018 - Offered by Representatives Sargent, C. Taylor, Ohnstad, Doyle and Spreitzer.

AB259-ASA1,1,3 An Act to amend 73.16 (3) (b); and to create 73.16 (3) (c) of the statutes; relating to: reliance by a taxpayer on past audits by the Department of Revenue.

The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:

AB259-ASA1,1 Section 1. 73.16 (3) (b) of the statutes is amended to read:

AB259-ASA1,2,4 73.16 (3) (b) This subsection Paragraph (a) does not apply to any period associated with an audit determination, if the period begins after the promulgation of a rule, dissemination of written guidance to the public or to the person who is subject to the audit determination, the effective date of a statute, or the date on which a tax appeals commission or court decision becomes final and conclusive and if the rule, guidance, statute, or decision imposes the liability as a result of the tax issue described in par. (a) 1. This subsection does not apply to any period associated with an audit determination if the taxpayer did not give the department employee adequate and accurate information regarding the tax issue in the prior audit determination or if the tax issue was settled in the prior audit determination by a written agreement between the department and the taxpayer.

AB259-ASA1,2 Section 2. 73.16 (3) (c) of the statutes is created to read:

AB259-ASA1,2,7 73.16 (3) (c) Paragraph (a) does not apply to any period associated with an audit determination if any of the following applies:

AB259-ASA1,2,10 1. The department establishes by substantial evidence that the taxpayer provided incomplete or false information relevant to the tax issue in the prior audit determination.

AB259-ASA1,2,13 2. The tax issue was settled in the prior audit determination by a written agreement between the department and the taxpayer that was entered into before the effective date of this subdivision .... [LRB inserts date].

AB259-ASA1,2,18 3. The tax issue was settled in the prior audit determination by a written agreement between the department and the taxpayer that was entered into on or after the effective date of this subdivision .... [LRB inserts date], and in which the parties acknowledge that the department did not adopt the taxpayer's position on the tax issue.

AB259-ASA1,3 Section 3. Initial applicability.

AB259-ASA1,2,22 (1) Reliance on past audits. This act first applies to an audit determination issued on the effective date of this subsection, regardless of when a prior audit determination was issued.

AB259-ASA1,2,23 (End)