AB654: Bill Text Engrossed

AB654-engrossed,12,25 20.585 (2) (a) Administrative expenses; general fund. The amounts in the schedule for the administrative expenses of the college tuition prepayment and expenses program under s. 14.63, including the expense of promoting the program.

AB654-engrossed, s. 13dr Section 13dr. 20.585 (2) (s) of the statutes is amended to read:

AB654-engrossed,13,5 20.585 (2) (s) Administrative expenses; tuition trust fund. From the tuition trust fund, the amounts in the schedule for the administrative expenses of the college tuition prepayment and expenses program under s. 14.63, including the expense of promoting the program.

AB654-engrossed, s. 13g Section 13g. 71.05 (6) (b) 23. of the statutes, as affected by 1999 Wisconsin Act 9, is amended to read:

AB654-engrossed,13,11 71.05 (6) (b) 23. Any increase in value of a tuition unit that is purchased under a tuition contract under s. 14.63, except that the subtraction under this subdivision may not be claimed by any individual who received a refund under s. 14.63 (7) (a) 2., 3. or 4.

AB654-engrossed, s. 13h Section 13h. 71.05 (6) (b) 28. h. of the statutes is created to read:

AB654-engrossed,13,17 71.05 (6) (b) 28. h. No modification may be claimed under this subdivision for an amount paid for tuition expenses, as described under this subdivision, if the source of the payment is an amount withdrawn from a college savings account, as described in s. 14.64 or from a college tuition prepayment program, as described in s. 14.63.

AB654-engrossed, s. 13j Section 13j. 71.05 (6) (b) 31. of the statutes is created to read:

AB654-engrossed,13,22 71.05 (6) (b) 31. Any increase in value of a college savings account, as described in s. 14.64, except that the subtraction under this subdivision may not be claimed by any individual who has made an unqualified withdrawal, as described in s. 14.64 (2) (e).

AB654-engrossed, s. 13m Section 13m. 71.05 (6) (b) 32. of the statutes is created to read:

AB654-engrossed,14,2 71.05 (6) (b) 32. An amount paid into a college savings account, as described in s. 14.64, if the beneficiary of the account either is the claimant or is the claimant's child and the claimant's dependent who is claimed under section 151 (c) of the Internal Revenue Code, calculated as follows:

AB654-engrossed,14,4 a. An amount equal to not more than $3,000 per beneficiary for each year to which the claim relates.

AB654-engrossed,14,15 b. For an individual who is a nonresident or part-year resident of this state, multiply the amount calculated under subd. 32. a. by a fraction the numerator of which is the individual's wages, salary, tips, unearned income and net earnings from a trade or business that are taxable by this state and the denominator of which is the individual's total wages, salary, tips, unearned income and net earnings from a trade or business. In this subd. 32. b., for married persons filing separately "wages, salary, tips, unearned income and net earnings from a trade or business" means the separate wages, salary, tips, unearned income and net earnings from a trade or business of each spouse, and for married persons filing jointly "wages, salary, tips, unearned income and net earnings from a trade or business" means the total wages, salary, tips, unearned income and net earnings from a trade or business of both spouses.

AB654-engrossed,14,18 c. Reduce the amount calculated under subd. 32. a. or b. to the individual's aggregate wages, salary, tips, unearned income and net earnings from a trade or business that are taxable by this state.

AB654-engrossed, s. 13p Section 13p. 71.05 (6) (b) 33. of the statutes is created to read:

AB654-engrossed,14,23 71.05 (6) (b) 33. An amount paid into a college tuition prepayment program, as described in s. 14.63, if the beneficiary of the account either is the claimant or is the claimant's child and the claimant's dependent who is claimed under section 151 (c) of the Internal Revenue Code, calculated as follows:

AB654-engrossed,14,25 a. An amount equal to not more than $3,000 per beneficiary for each year to which the claim relates.

AB654-engrossed,15,11 b. For an individual who is a nonresident or part-year resident of this state, multiply the amount calculated under subd. 33. a. by a fraction the numerator of which is the individual's wages, salary, tips, unearned income and net earnings from a trade or business that are taxable by this state and the denominator of which is the individual's total wages, salary, tips, unearned income and net earnings from a trade or business. In this subd. 33. b., for married persons filing separately "wages, salary, tips, unearned income and net earnings from a trade or business" means the separate wages, salary, tips, unearned income and net earnings from a trade or business of each spouse, and for married persons filing jointly "wages, salary, tips, unearned income and net earnings from a trade or business" means the total wages, salary, tips, unearned income and net earnings from a trade or business of both spouses.

AB654-engrossed,15,14 c. Reduce the amount calculated under subd. 33. a. or b. to the individual's aggregate wages, salary, tips, unearned income and net earnings from a trade or business that are taxable by this state.

AB654-engrossed, s. 14 Section 14. 815.18 (3) (p) of the statutes is created to read:

AB654-engrossed,15,17 815.18 (3) (p) College savings accounts. An interest in a college savings account under s. 14.64.

AB654-engrossed, s. 15 Section 15 . Nonstatutory provisions.

AB654-engrossed,16,2 (1) (a ) Notwithstanding section 15.07 (1) (b) 2. of the statutes, as created by this act, the governor may provisionally appoint initial members of the college savings program board under section 14.57 of the statutes, as created by this act. Those provisional appointments are in force until the governor withdraws them or the senate acts upon them, and if the senate confirms them, they continue for the remainder of the unexpired terms, if any, of the members and until successors are chosen and qualify. A provisional appointee may exercise all the powers and duties of board membership to which the person is appointed during the time in which the appointee qualifies.

AB654-engrossed,16,9 (b) A provisional appointment under paragraph (a) that the governor withdraws lapses upon withdrawal and creates a vacancy for the provisional appointment of another initial member of the college savings program board. A provisional appointment that the governor makes under paragraph (a) and that the senate rejects lapses upon rejection and creates a vacancy for nomination and appointment under section 15.07 (1) (b) 2. of the statutes, as created by this act, of another initial board member.

AB654-engrossed,16,13 (2) Notwithstanding the length of the terms specified in section 14.57 (6) of the statutes, as created by this act, the initial terms of 3 of the members appointed under section 14.57 (6) of the statutes, as created by this act, expire on May 1, 2003, and the initial terms of 3 of the members expire on May 1, 2005.

AB654-engrossed, s. 15m Section 15m.0 Initial applicability.

AB654-engrossed,16,20 (1) The treatment of section 71.05 (6) (b) 23., 28. h., 31., 32. and 33. of the statutes first applies to taxable years beginning on January 1 of the year in which this subsection takes effect, except that if this subsection takes effect after July 31 the treatment of section 71.05 (6) (b) 28. h., 31. and 32. of the statutes first applies to taxable years beginning on January 1 of the year following the year in which this subsection takes effect.

AB654-engrossed, s. 16 Section 16. Effective dates. This act takes effect on the first day of the 10th month following publication, except as follows:

AB654-engrossed,16,24 (1) The treatment of sections 14.57 and 15.07 (1) (b) 2. of the statutes and Section 15 of this act take effect the day after publication.

AB654-engrossed,17,3 (2) The treatment of sections 14.63 (title), (3) (title), (a) 1. and 3. and (c), (4), (5) (a) and (b) (intro.) and 2., (11) (b), (11m) and (13), 14.64 (8) and 20.585 (2) (a) and (s) of the statutes takes effect on the first day of the 4th month following publication.

AB654-engrossed,17,4 (End)