SB45: Bill Text

SB45, s. 1684 Section 1684. 71.05 (6) (a) 12. of the statutes is amended to read:

SB45,842,22 71.05 (6) (a) 12. All alimony deducted for federal income tax purposes and paid while the individual paying the alimony was a nonresident of this state; all All penalties for early withdrawals from time savings accounts and deposits deducted for federal income tax purposes and paid while the individual charged with the penalty was a nonresident of this state; all repayments of supplemental unemployment benefit plan payments deducted for federal income tax purposes and made while the individual making the repayment was a nonresident of this state; all reforestation expenses related to property not in this state, deducted for federal income tax purposes and paid while the individual paying the expense was not a resident of this state; all contributions to individual retirement accounts, simplified employe pension plans and self-employment retirement plans and all deductible employe contributions, deducted for federal income tax purposes and in excess of that amount multiplied by a fraction the numerator of which is the individual's wages and net earnings from a trade or business taxable by this state and the denominator of which is the individual's total wages and net earnings from a trade or business; the contributions to a Keogh plan deducted for federal income tax purposes and in excess of that amount multiplied by a fraction the numerator of which is the individual's net earnings from a trade or business, taxable by this state, and the denominator of which is the individual's total net earnings from a trade or business; the amount of health insurance costs of self-employed individuals deducted under section 162 (L) of the internal revenue code for federal income tax purposes and in excess of that amount multiplied by a fraction the numerator of which is the individual's net earnings from a trade or business, taxable by this state, and the denominator of which is the individual's total net earnings from a trade or business; and the amount of self-employment taxes deducted under section 164 (f) of the internal revenue code for federal income tax purposes and in excess of that amount multiplied by a fraction the numerator of which is the individual's net earnings from a trade or business, taxable by this state, and the denominator of which is the individual's total net earnings from a trade or a business.

SB45, s. 1685 Section 1685. 71.05 (6) (b) 21. of the statutes is repealed.

SB45, s. 1686 Section 1686. 71.05 (6) (b) 23. of the statutes is amended to read:

SB45,843,2 71.05 (6) (b) 23. Any increase in value of a tuition unit that is purchased under a tuition contract under s. 16.24 14.63.

SB45, s. 1687 Section 1687. 71.05 (6) (b) 28. e. of the statutes is amended to read:

SB45,843,15 71.05 (6) (b) 28. e. For an individual who is a nonresident or part-year resident of this state, multiply the amount calculated under subd. 28. a., b., c. or d. 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. 28. e., 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.

SB45, s. 1688 Section 1688. 71.05 (6) (b) 28. f. of the statutes is amended to read:

SB45,843,19 71.05 (6) (b) 28. f. Reduce the amount calculated under subd. 28. a., b., c., d. or e. to the individual's aggregate wages, salary, tips, unearned income and net earnings from a trade or business that are taxable by this state.

SB45, s. 1689 Section 1689. 71.05 (22) (dm) of the statutes is amended to read:

SB45,845,4 71.05 (22) (dm) Deduction limits; 1994 and thereafter to 1999. Except as provided in par. (f), for taxable years beginning on or after January 1, 1994 after December 31, 1993, and before January 1, 2000, the Wisconsin standard deduction is whichever of the following amounts is appropriate. For a single individual who has a Wisconsin adjusted gross income of less than $7,500, the standard deduction is $5,200. For a single individual who has a Wisconsin adjusted gross income of at least $7,500 but not more than $50,830, the standard deduction is the amount obtained by subtracting from $5,200 12% of Wisconsin adjusted gross income in excess of $7,500 but not less than $0. For a single individual who has a Wisconsin adjusted gross income of more than $50,830, the standard deduction is $0. For a head of household who has a Wisconsin adjusted gross income of less than $7,500, the standard deduction is $7,040. For a head of household who has a Wisconsin adjusted gross income of at least $7,500 but not more than $25,000, the standard deduction is the amount obtained by subtracting from $7,040 22.515% of Wisconsin adjusted gross income in excess of $7,500 but not less than $0. For a head of household who has a Wisconsin adjusted gross income of more than $25,000, the standard deduction shall be calculated as if the head of household were a single individual. For a married couple filing jointly that has an aggregate Wisconsin adjusted gross income of less than $10,000, the standard deduction is $8,900. For a married couple filing jointly that has an aggregate Wisconsin adjusted gross income of at least $10,000 but not more than $55,000, the standard deduction is the amount obtained by subtracting from $8,900 19.778% of aggregate Wisconsin adjusted gross income in excess of $10,000 but not less than $0. For a married couple filing jointly that has an aggregate Wisconsin adjusted gross income of more than $55,000, the standard deduction is $0. For a married individual filing separately who has a Wisconsin adjusted gross income of less than $4,750, the standard deduction is $4,230. For a married individual filing separately who has a Wisconsin adjusted gross income of at least $4,750 but not more than $26,140, the standard deduction is the amount obtained by subtracting from $4,230 19.778% of Wisconsin adjusted gross income in excess of $4,750 but not less than $0. For a married individual filing separately who has a Wisconsin adjusted gross income of more than $26,140, the standard deduction is $0. The secretary of revenue shall prepare a table under which deductions under this paragraph shall be determined. That table shall be published in the department's instructional booklets.

SB45, s. 1690 Section 1690. 71.05 (22) (dp) of the statutes is created to read:

SB45,846,13 71.05 (22) (dp) Deduction limits, 2000 and thereafter. Except as provided in par. (f), for taxable years beginning after December 31, 1999, the Wisconsin standard deduction is whichever of the following amounts is appropriate. For a single individual who has a Wisconsin adjusted gross income of less than $10,380, the standard deduction is $7,200. For a single individual who has a Wisconsin adjusted gross income of at least $10,380 but not more than $70,380, the standard deduction is the amount obtained by subtracting from $7,200 12% of Wisconsin adjusted gross income in excess of $10,380 but not less than $0. For a single individual who has a Wisconsin adjusted gross income of more than $70,380, the standard deduction is $0. For a head of household who has a Wisconsin adjusted gross income of less than $10,380, the standard deduction is $9,300. For a head of household who has a Wisconsin adjusted gross income of at least $10,380 but not more than $30,350, the standard deduction is the amount obtained by subtracting from $9,300 22.515% of Wisconsin adjusted gross income in excess of $10,380 but not less than $0. For a head of household who has a Wisconsin adjusted gross income of more than $30,350, the standard deduction shall be calculated as if the head of household were a single individual. For a married couple filing jointly that has an aggregate Wisconsin adjusted gross income of less than $14,570, the standard deduction is $12,970. For a married couple filing jointly that has an aggregate Wisconsin adjusted gross income of at least $14,570 but not more than $80,150, the standard deduction is the amount obtained by subtracting from $12,970 19.778% of aggregate Wisconsin adjusted gross income in excess of $14,570 but not less than $0. For a married couple filing jointly that has an aggregate Wisconsin adjusted gross income of more than $80,150, the standard deduction is $0. For a married individual filing separately who has a Wisconsin adjusted gross income of less than $6,920, the standard deduction is $6,160. For a married individual filing separately who has a Wisconsin adjusted gross income of at least $6,920 but not more than $38,070, the standard deduction is the amount obtained by subtracting from $6,160 19.778% of Wisconsin adjusted gross income in excess of $6,920 but not less than $0. For a married individual filing separately who has a Wisconsin adjusted gross income of more than $38,070, the standard deduction is $0. The secretary of revenue shall prepare a table under which deductions under this paragraph shall be determined. That table shall be published in the department's instructional booklets.

SB45, s. 1691 Section 1691. 71.05 (22) (ds) of the statutes is amended to read:

SB45,847,4 71.05 (22) (ds) Standard deduction indexing. For taxable years beginning after December 31, 1998, and before January 1, 2000, and for taxable years beginning after December 31, 2000, the dollar amounts of the standard deduction that is allowable under par. pars. (dm) and (dp) and all of the dollar amounts of Wisconsin adjusted gross income under par. pars. (dm) and (dp) shall be increased each year by a percentage equal to the percentage change between the U.S. consumer price index for all urban consumers, U.S. city average, for the month of August of the previous year and the U.S. consumer price index for all urban consumers, U.S. city average, for the month of August of the year before the previous year, as determined by the federal department of labor. Each amount that is revised under this paragraph shall be rounded to the nearest multiple of $10 if the revised amount is not a multiple of $10 or, if the revised amount is a multiple of $5, such an amount shall be increased to the next higher multiple of $10. The department of revenue shall annually adjust the changes in dollar amounts required under this paragraph and incorporate the changes into the income tax forms and instructions.

SB45, s. 1692 Section 1692. 71.05 (22) (f) 4. b. of the statutes is amended to read:

SB45,847,7 71.05 (22) (f) 4. b. The standard deduction that may be claimed by an individual under par. (dm) or (dp), based on the individual's filing status.

SB45, s. 1693 Section 1693. 71.05 (23) of the statutes is created to read:

SB45,847,10 71.05 (23) Personal exemptions. In computing Wisconsin taxable income, an individual taxpayer may subtract the following amounts:

SB45,847,12 (a) For taxable years that begin after December 31, 1999, and before January 1, 2001:

SB45,847,15 1. A personal exemption of $600 if the taxpayer is required to file a return under s. 71.03 (2) (a) 1. or 2. and $600 for the taxpayer's spouse, except if the spouse is filing separately or as a head of household.

SB45,847,18 2. An exemption of $600 for each individual for whom the taxpayer is entitled to an exemption for the taxable year under section 151 (c) of the Internal Revenue Code.

SB45,847,23 3. An additional exemption of $200 if the taxpayer has reached the age of 65 before the close of the taxable year to which his or her tax return relates and $200 for the taxpayer's spouse if he or she has reached the age of 65 before the close of the taxable year to which his or her tax return relates, except if the spouse is filing separately or as a head of household.

SB45,847,24 (b) For taxable years that begin after December 31, 2000:

SB45,848,3 1. A personal exemption of $700 if the taxpayer is required to file a return under s. 71.03 (2) (a) 1. or 2. and $700 for the taxpayer's spouse, except if the spouse is filing separately or as a head of household.

SB45,848,6 2. An exemption of $700 for each individual for whom the taxpayer is entitled to an exemption for the taxable year under section 151 (c) of the Internal Revenue Code.

SB45,848,11 3. An additional exemption of $250 if the taxpayer has reached the age of 65 before the close of the taxable year to which his or her tax return relates and $250 for the taxpayer's spouse if he or she has reached the age of 65 before the close of the taxable year to which his or her tax return relates, except if the spouse is filing separately or as a head of household.

SB45,848,24 (c) With respect to persons who change their domicile into or from this state during the taxable year and nonresident persons, personal exemptions under pars. (a) and (b) shall be limited to the fraction of the amount so determined that Wisconsin adjusted gross income is of federal adjusted gross income. In this paragraph, for married persons filing separately "adjusted gross income" means the separate adjusted gross income of each spouse and for married persons filing jointly "adjusted gross income" means the total adjusted gross income of both spouses. If a person and that person's spouse are not both domiciled in this state during the entire taxable year, their personal exemptions on a joint return are determined by multiplying the personal exemption that would be available to each of them if they were both domiciled in this state during the entire taxable year by a fraction the numerator of which is their joint Wisconsin adjusted gross income and the denominator of which is their joint federal adjusted gross income.

SB45, s. 1694 Section 1694. 71.06 (1m) (intro.) of the statutes is amended to read:

SB45,849,6 71.06 (1m) Fiduciaries, single individuals and heads of households; after 1997 to 1999. (intro.) The tax to be assessed, levied and collected upon the taxable incomes of all fiduciaries, except fiduciaries of nuclear decommissioning trust or reserve funds, and single individuals and heads of households shall be computed at the following rates for taxable years beginning after December 31, 1997, and before January 1, 2000:

SB45, s. 1695 Section 1695. 71.06 (1n) of the statutes is created to read:

SB45,849,12 71.06 (1n) Fiduciaries, single individuals and heads of households; 2000. The tax to be assessed, levied and collected upon the taxable incomes of all fiduciaries, except fiduciaries of nuclear decommissioning trust or reserve funds, and single individuals and heads of households shall be computed at the following rates for taxable years beginning after December 31, 1999, and before January 1, 2001:

SB45,849,13 (a) On all taxable income from $0 to $7,500, 4.73%.

SB45,849,14 (b) On all taxable income exceeding $7,500 but not exceeding $15,000, 6.33%.

SB45,849,15 (c) On all taxable income exceeding $15,000 but not exceeding $112,500, 6.55%.

SB45,849,16 (d) On all taxable income exceeding $112,500, 6.75%.

SB45, s. 1696 Section 1696. 71.06 (1p) of the statutes is created to read:

SB45,849,22 71.06 (1p) Fiduciaries, single individuals and heads of households; after 2000. The tax to be assessed, levied and collected upon the taxable incomes of all fiduciaries, except fiduciaries of nuclear decommissioning trust or reserve funds, and single individuals and heads of households shall be computed at the following rates for taxable years beginning after December 31, 2000:

SB45,849,23 (a) On all taxable income from $0 to $7,500, 4.6%.

SB45,849,24 (b) On all taxable income exceeding $7,500 but not exceeding $15,000, 6.15%.

SB45,849,25 (c) On all taxable income exceeding $15,000 but not exceeding $112,500, 6.5%.

SB45,850,1 (d) On all taxable income exceeding $112,500, 6.75%.

SB45, s. 1697 Section 1697. 71.06 (2) (c) (intro.) of the statutes is amended to read:

SB45,850,4 71.06 (2) (c) (intro.) For joint returns, for taxable years beginning after December 31, 1997, and before January 1, 2000:

SB45, s. 1698 Section 1698. 71.06 (2) (d) (intro.) of the statutes is amended to read:

SB45,850,7 71.06 (2) (d) (intro.) For married persons filing separately, for taxable years beginning after December 31, 1997, and before January 1, 2000:

SB45, s. 1699 Section 1699. 71.06 (2) (e) of the statutes is created to read:

SB45,850,10 71.06 (2) (e) For joint returns, for taxable years beginning after December 31, 1999, and before January 1, 2001:

SB45,850,11 1. On all taxable income from $0 to $10,000, 4.73%.

SB45,850,12 2. On all taxable income exceeding $10,000 but not exceeding $20,000, 6.33%.

SB45,850,13 3. On all taxable income exceeding $20,000 but not exceeding $150,000, 6.55%.

SB45,850,14 4. On all taxable income exceeding $150,000, 6.75%.

SB45, s. 1700 Section 1700. 71.06 (2) (f) of the statutes is created to read:

SB45,850,17 71.06 (2) (f) For married persons filing separately, for taxable years beginning after December 31, 1999, and before January 1, 2001:

SB45,850,18 1. On all taxable income from $0 to $5,000, 4.73%.

SB45,850,19 2. On all taxable income exceeding $5,000 but not exceeding $10,000, 6.33%.

SB45,850,20 3. On all taxable income exceeding $10,000 but not exceeding $75,000, 6.55%.

SB45,850,21 4. On all taxable income exceeding $75,000, 6.75%.

SB45, s. 1701 Section 1701. 71.06 (2) (g) of the statutes is created to read:

SB45,850,24 71.06 (2) (g) For joint returns, for taxable years beginning after December 31, 2000:

SB45,850,25 1. On all taxable income from $0 to $10,000, 4.6%.

SB45,851,1 2. On all taxable income exceeding $10,000 but not exceeding $20,000, 6.15%.

SB45,851,2 3. On all taxable income exceeding $20,000 but not exceeding $150,000, 6.5%.

SB45,851,3 4. On all taxable income exceeding $150,000, 6.75%.

SB45, s. 1702 Section 1702. 71.06 (2) (h) of the statutes is created to read:

SB45,851,6 71.06 (2) (h) For married persons filing separately, for taxable years beginning after December 31, 2000:

SB45,851,7 1. On all taxable income from $0 to $5,000, 4.6%.

SB45,851,8 2. On all taxable income exceeding $5,000 but not exceeding $10,000, 6.15%.

SB45,851,9 3. On all taxable income exceeding $10,000 but not exceeding $75,000, 6.5%.

SB45,851,10 4. On all taxable income exceeding $75,000, 6.75%.

SB45, s. 1703 Section 1703. 71.06 (2e) of the statutes is amended to read:

SB45,852,2 71.06 (2e) Bracket indexing. For taxable years beginning after December 31, 1998, and before January 1, 2000, the maximum dollar amount in each tax bracket, and the corresponding minimum dollar amount in the next bracket, under subs. (1m) and (2) (c) and (d), and for taxable years beginning after December 31, 2001, the maximum dollar amount in each tax bracket, and the corresponding minimum dollar amount in the next bracket, under subs. (1p) and (2) (g) and (h), shall be increased each year by a percentage equal to the percentage change between the U.S. consumer price index for all urban consumers, U.S. city average, for the month of August of the previous year and the U.S. consumer price index for all urban consumers, U.S. city average, for the month of August of the year before the previous year, as determined by the federal department of labor. Each amount that is revised under this subsection shall be rounded to the nearest multiple of $10 if the revised amount is not a multiple of $10 or, if the revised amount is a multiple of $5, such an amount shall be increased to the next higher multiple of $10. The department of revenue shall annually adjust the changes in dollar amounts required under this subsection and incorporate the changes into the income tax forms and instructions.

SB45, s. 1704 Section 1704. 71.06 (2m) of the statutes is amended to read:

SB45,852,7 71.06 (2m) Rate changes. If a rate under sub. (1), (1m), (1n), (1p) or (2) changes during a taxable year, the taxpayer shall compute the tax for that taxable year by the methods applicable to the federal income tax under section 15 of the internal revenue code.

SB45, s. 1705 Section 1705. 71.06 (2s) (b) of the statutes is amended to read:

SB45,852,21 71.06 (2s) (b) For taxable years beginning after December 31, 1997, and before January 1, 2000, with respect to nonresident individuals, including individuals changing their domicile into or from this state, the tax brackets under subs. (1m) and (2) (c) and (d) shall be multiplied by a fraction, the numerator of which is Wisconsin adjusted gross income and the denominator of which is federal adjusted gross income. In this paragraph, for married persons filing separately "adjusted gross income" means the separate adjusted gross income of each spouse, and for married persons filing jointly "adjusted gross income" means the total adjusted gross income of both spouses. If an individual and that individual's spouse are not both domiciled in this state during the entire taxable year, the tax brackets under subs. (1m) and (2) (c) and (d) on a joint return shall be multiplied by a fraction, the numerator of which is their joint Wisconsin adjusted gross income and the denominator of which is their joint federal adjusted gross income.

SB45, s. 1706 Section 1706. 71.06 (2s) (c) of the statutes is created to read:

SB45,853,10 71.06 (2s) (c) For taxable years beginning after December 31, 1999, and before January 1, 2001, with respect to nonresident individuals, including individuals changing their domicile into or from this state, the tax brackets under subs. (1n) and (2) (e) and (f) shall be multiplied by a fraction, the numerator of which is Wisconsin adjusted gross income and the denominator of which is federal adjusted gross income. In this paragraph, for married persons filing separately "adjusted gross income" means the separate adjusted gross income of each spouse, and for married persons filing jointly "adjusted gross income" means the total adjusted gross income of both spouses. If an individual and that individual's spouse are not both domiciled in this state during the entire taxable year, the tax brackets under subs. (1n) and (2) (e) and (f) on a joint return shall be multiplied by a fraction, the numerator of which is their joint Wisconsin adjusted gross income and the denominator of which is their joint federal adjusted gross income.

SB45, s. 1707 Section 1707. 71.06 (2s) (d) of the statutes is created to read:

SB45,853,24 71.06 (2s) (d) For taxable years beginning after December 31, 2000, with respect to nonresident individuals, including individuals changing their domicile into or from this state, the tax brackets under subs. (1p) and (2) (g) and (h) shall be multiplied by a fraction, the numerator of which is Wisconsin adjusted gross income and the denominator of which is federal adjusted gross income. In this paragraph, for married persons filing separately "adjusted gross income" means the separate adjusted gross income of each spouse, and for married persons filing jointly "adjusted gross income" means the total adjusted gross income of both spouses. If an individual and that individual's spouse are not both domiciled in this state during the entire taxable year, the tax brackets under subs. (1p) and (2) (g) and (h) on a joint return shall be multiplied by a fraction, the numerator of which is their joint Wisconsin adjusted gross income and the denominator of which is their joint federal adjusted gross income.

SB45, s. 1708 Section 1708. 71.07 (2dj) (am) 3. of the statutes is amended to read:

SB45,854,3 71.07 (2dj) (am) 3. Modify the rule for certification under section 51 (d) (16) (A) of the internal revenue code to allow certification within the 90-day period beginning with the first day of employment of the employe by the claimant.

SB45, s. 1709 Section 1709. 71.07 (2dx) (b) 4. of the statutes is amended to read:

SB45,854,10 71.07 (2dx) (b) 4. The amount determined by multiplying the amount determined under s. 560.785 (1) (b) (bm) by the number of full-time jobs retained, as provided in the rules under s. 560.785, excluding jobs for which a credit has been claimed under sub. (2dj), in a an enterprise development zone under s. 560.797 and filled by a member of a targeted group for which significant capital investment was made and by then subtracting the subsidies paid under s. 49.147 (3) (a) for those jobs.

SB45, s. 1710 Section 1710. 71.07 (3) of the statutes is amended to read:

SB45,854,14 71.07 (3) Farmland preservation credit , farmland preservation acreage credit. The farmland preservation credit and the farmland preservation acreage credit under subch. IX may be claimed against taxes otherwise due.

SB45, s. 1711 Section 1711. 71.07 (5) (a) 7. of the statutes is created to read:

SB45,854,18 71.07 (5) (a) 7. Miscellaneous itemized deductions under the Internal Revenue Code, without regard to whether such deductions are subject to the 2% floor as described in section 67 of the Internal Revenue Code.

SB45, s. 1712 Section 1712. 71.07 (5) (a) 8. of the statutes is created to read: