AN ACT ...; relating to: the budget.
Analysis by the Legislative Reference Bureau
taxation
Other taxation
This bill creates sales and use tax exemptions for machines, equipment, animals, and certain other tangible personal property that are sold to a biotechnology business for use exclusively in research. Under the bill, a biotechnology business is a business that is primarily engaged in the application of biotechnologies that use a living organism or parts of an organism to produce or modify products to improve plants or animals, develop microorganisms for specific uses, identify targets for small molecule pharmaceutical development, or transform biological systems into useful processes and products.
This bill also creates sales and use tax exemptions for machines, equipment, and certain other tangible personal property that are used exclusively in raising animals that are sold primarily to a biotechnology business, a public or private institution of higher education, or a governmental unit for use by any such entity exclusively in research or manufacturing.
This bill will be referred to the Joint Survey Committee on Tax Exemptions for a detailed analysis, which will be printed as an appendix to this bill.
For further information see the state and local fiscal estimate, which will be printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:
SECTION 1. 77.51 (1d) of the statutes is created to read:
77.51 (1d) "Biotechnologies" include recombinant deoxyribonucleic acid techniques, biochemistry, molecular and cellular biology, genetics, genetic engineering, biological cell fusion, and other bioprocesses.
SECTION 2. 77.51 (1e) of the statutes is created to read:
77.51 (1e) "Biotechnology business" means a business, as certified by the department in the manner prescribed by the department, that is primarily engaged in the application of biotechnologies that use a living organism or parts of an organism to produce or modify products to improve plants or animals, develop microorganisms for specific uses, identify targets for small molecule pharmaceutical development, or transform biological systems into useful processes and products.
SECTION 3. 77.54 (53) of the statutes is created to read:
77.54 (53) (a) In this subsection:
1. "Animals" include bacteria, viruses, and other microorganisms.
2. "Manufacturing" has the meaning given in sub. (6m).
3. "Qualified research" means qualified research as defined under section 41 (d) (1) of the Internal Revenue Code, except that research conducted by a public or private institution of higher education or by a governmental unit is "qualified research" if applying the research is intended to be useful in developing a new or improved product or service and the research satisfies section 41 (d) (1) (B) (i) and (C) of the Internal Revenue Code.
(b) The gross receipts from the sale of and the storage, use, or other consumption of:
1. Machines and specific processing equipment, including accessories, attachments, and parts for the machines or equipment, that are used exclusively and directly in raising animals that are sold primarily to a biotechnology business, a public or private institution of higher education, or a governmental unit for exclusive and direct use by any such entity in qualified research or manufacturing.
2. The items listed in sub. (3m) (a) to (m), medicines, semen for artificial insemination, fuel, and electricity that are used exclusively and directly in raising animals that are sold primarily to a biotechnology business, a public or private institution of higher education, or a governmental unit for exclusive and direct use by any such entity in qualified research or manufacturing.
3. Machines and specific processing equipment, including accessories, attachments, and parts for the machines or equipment, that are sold to a biotechnology business and used exclusively and directly in qualified research in biotechnology.
4. Tangible personal property that is sold to a biotechnology business, if the property is consumed or destroyed or loses its identity while being used exclusively and directly in qualified research in biotechnology.
5. Animals that are sold to a biotechnology business and used exclusively and directly in qualified research in biotechnology.
(c) A person who claims an exemption under par. (b) 1. and 2. shall obtain written documentation from the person's customers related to each customer's use of animals, including the percentage of animals sold to the customer that are used exclusively and directly in qualified research.
(d) The department shall publish on the department's Internet site a list of all biotechnology businesses certified by the department.
SECTION 9441. Effective dates; Revenue.
(1) The treatment of section 77.51 (1d), and (1e) and 77.54 (53) of the statutes takes effect on the first day of the 2nd month beginning after publication.
(End)
LRB-0727LRB-0727/1
JK:kjf:rs
2007 - 2008 LEGISLATURE
DOA:......Easton, BB0169 - Repeal lottery and gaming credit administration appropriation
For 2007-09 Budget -- Not Ready For Introduction
2007 BILL
AN ACT ...; relating to: the budget.
Analysis by the Legislative Reference Bureau
Taxation
Other taxation
This bill repeals the lottery and gaming credit administration general purpose revenue appropriation. Under current law, no moneys may be encumbered or expended from the appropriation after the enactment of the 2001-03 biennial budget act. Under current law, lottery and gaming credit administration expenses are paid from the lottery fund by way of a segregated fund appropriation.
The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:
SECTION 1. 20.566 (2) (am) of the statutes is repealed.
(End)
LRB-0728LRB-0728/7
JK:lmk/wj/kf:jf
2007 - 2008 LEGISLATURE
DOA:......Easton, BB0171 - Streamlined sales and use tax agreement provisions
For 2007-09 Budget -- Not Ready For Introduction
2007 BILL
AN ACT ...; relating to: the budget.
Analysis by the Legislative Reference Bureau
taxation
Other taxation
This bill adopts the substantive provisions of the streamlined sales and use tax agreement (agreement) for purposes of administering and collecting state, county, and stadium district sales and use taxes. The agreement is intended to modernize sales and use tax administration for the states that enter into the agreement and to encourage out-of-state retailers to collect the state, county, and stadium district sales and use taxes voluntarily. Under current federal law, generally, an out-of-state retailer who sells tangible personal property or services to customers in this state is not required to collect the sales tax or use tax imposed on such sales, if the retailer has no physical presence in this state. See Quill v. North Dakota, 504 U.S. 298; 112 S.Ct. 1904 (1992).
This bill will be referred to the Joint Survey Committee on Tax Exemptions for a detailed analysis, which will be printed as an appendix to this bill.
For further information see the state and local fiscal estimate, which will be printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:
SECTION 1. 20.435 (3) (bm) of the statutes is repealed.
SECTION 2. 20.566 (1) (ho) of the statutes is created to read:
20.566 (1) (ho) Collections under multistate streamlined sales tax project. From moneys collected under the multistate streamlined sales tax project as provided under s. 73.03 (28e), a sum sufficient to pay the dues necessary to participate in the governing board of the multistate streamlined sales tax project.
SECTION 3. 46.513 of the statutes is repealed.
SECTION 4. 66.0615 (1m) (f) 2. of the statutes is amended to read:
66.0615 (1m) (f) 2. Sections 77.51 (12m), (14) (c), (f) and (j) and, (14g), (15a), and (15b), 77.52 (3), (4), (6) and (13), (14), (18), and (19), 77.522, 77.58 (1) to (5), (6m), and (7), 77.585, 77.59, 77.60, 77.61 (2), (3m), (5), (8), (9), and (12) to (14) (15), and 77.62, as they apply to the taxes under subch. III of ch. 77, apply to the tax described under subd. 1.
SECTION 5. 70.111 (23) of the statutes is amended to read:
70.111 (23) VENDING MACHINES. All machines that automatically dispense soda water beverages, as defined in s. 97.29 (1) (i), and items included as a food or beverage under s. 77.54 (20) (a) and (b) food and food ingredient, as defined in s. 77.51 (3t), upon the deposit in the machines of specified coins or currency, or insertion of a credit card, in payment for the soda water beverages, food or beverages food and food ingredient, as defined in s. 77.51 (3t).
SECTION 6. 71.07 (5e) (b) of the statutes is amended to read:
71.07 (5e) (b) Filing claims. Subject to the limitations provided in this subsection and subject to 2005 Wisconsin Act 479, section 17, beginning in the first taxable year following the taxable year in which the claimant claims an exemption a deduction under s. 77.54 (48) 77.585 (9), a claimant may claim as a credit against the taxes imposed under ss. 71.02 and 71.08, up to the amount of those taxes, in each taxable year for 2 years, the amount certified by the department of commerce that the claimant claimed as an exemption a deduction under s. 77.54 (48) 77.585 (9).
SECTION 7. 71.07 (5e) (c) 1. of the statutes is amended to read:
71.07 (5e) (c) 1. No credit may be allowed under this subsection unless the claimant satisfies the requirements under s. 77.54 (48) 77.585 (9).
SECTION 8. 71.07 (5e) (c) 3. of the statutes is amended to read:
71.07 (5e) (c) 3. The total amount of the credits and exemptions deductions that may be claimed by all claimants under this subsection and ss. 71.28 (5e), 71.47 (5e), and 77.54 (48) 77.585 (9) is $7,500,000, as determined by the department of commerce.
SECTION 9. 71.28 (5e) (b) of the statutes is amended to read:
71.28 (5e) (b) Filing claims. Subject to the limitations provided in this subsection and subject to 2005 Wisconsin Act 479, section 17, beginning in the first taxable year following the taxable year in which the claimant claims an exemption a deduction under s. 77.54 (48) 77.585 (9), a claimant may claim as a credit against the taxes imposed under s. 71.23, up to the amount of those taxes, in each taxable year for 2 years, the amount certified by the department of commerce that the claimant claimed as an exemption a deduction under s. 77.54 (48) 77.585 (9).
SECTION 10. 71.28 (5e) (c) 1. of the statutes is amended to read:
71.28 (5e) (c) 1. No credit may be allowed under this subsection unless the claimant satisfies the requirements under s. 77.54 (48) 77.585 (9).
SECTION 11. 71.28 (5e) (c) 3. of the statutes is amended to read:
71.28 (5e) (c) 3. The total amount of the credits and exemptions deductions that may be claimed by all claimants under this subsection and ss. 71.07 (5e), 71.47 (5e), and 77.54 (48) 77.585 (9) is $7,500,000, as determined by the department of commerce.
SECTION 12. 71.47 (5e) (b) of the statutes is amended to read:
71.47 (5e) (b) Filing claims. Subject to the limitations provided in this subsection and subject to 2005 Wisconsin Act 479, section 17, beginning in the first taxable year following the taxable year in which the claimant claims an exemption a deduction under s. 77.54 (48) 77.585 (9), a claimant may claim as a credit against the taxes imposed under s. 71.43, up to the amount of those taxes, in each taxable year for 2 years, the amount certified by the department of commerce that the claimant claimed as an exemption a deduction under s. 77.54 (48) 77.585 (9).
SECTION 13. 71.47 (5e) (c) 1. of the statutes is amended to read:
71.47 (5e) (c) 1. No credit may be allowed under this subsection unless the claimant satisfies the requirements under s. 77.54 (48) 77.585 (9).
SECTION 14. 71.47 (5e) (c) 3. of the statutes is amended to read:
71.47 (5e) (c) 3. The total amount of the credits and exemptions deductions that may be claimed by all claimants under this subsection and ss. 71.07 (5e), 71.28 (5e), and 77.54 (48) 77.585 (9) is $7,500,000, as determined by the department of commerce.
SECTION 15. 73.03 (28e) of the statutes is created to read:
73.03 (28e) To participate as a member state of the streamlined sales tax governing board which administers the agreement, as defined in s. 77.65 (2) (a), and includes having the governing board enter into contracts that are necessary to implement the agreement on behalf of the member states, and to allocate a portion of the amount collected under ch. 77 through the agreement to the appropriation under s. 20.566 (1) (ho) to pay the dues necessary to participate in the governing board. The department shall allocate the remainder of such collections to the general fund.
SECTION 16. 73.03 (50) (d) of the statutes is amended to read:
73.03 (50) (d) In the case of a sole proprietor, signs the form or, in the case of other persons, has an individual who is authorized to act on behalf of the person sign the form, or, in the case of a single-owner entity that is disregarded as a separate entity under section 7701 of the Internal Revenue Code, the person is the owner. Any person who may register under this subsection may designate an agent, as defined in s. 77.524 (1) (ag), to register with the department under this subsection in the manner prescribed by the department. In this paragraph, "sign" has the meaning given in s. 77.51 (17r).
SECTION 17. 73.03 (50b) of the statutes is created to read:
73.03 (50b) To waive the fee established under sub. (50) for applying for and renewing the business tax registration certificate, if the person who is applying for or renewing the certificate is not required for purposes of ch. 77 to hold such a certificate.
SECTION 18. 73.03 (61) of the statutes is created to read:
73.03 (61) To do all of the following related to the Uniform Sales and Use Tax Administration Act:
(a) Certify compliance with the agreement, as defined in s. 77.65 (2) (a).
(b) Pursuant to the agreement, as defined in s. 77.65 (2) (a), certify certified service providers, as defined in s. 77.51 (1g), and certified automated systems, as defined in s. 77.524 (1) (am).
