LRB-2672/2
JK:jld:pg
2001 - 2002 LEGISLATURE
July 5, 2001 - Introduced by Senator Robson, cosponsored by Representative M.
Lehman, by request of the Department of Revenue. Referred to Committee on
Universities, Housing, and Government Operations.
SB215,1,3
1An Act to amend 139.85 (1); and
to create 139.44 (13) and 139.44 (14) of the
2statutes;
relating to: late and false or fraudulent cigarette tax returns and
3providing a penalty.
Analysis by the Legislative Reference Bureau
Under current law, a person who is required to pay a liquor tax or a tobacco
products tax and who fails to file a liquor tax or tobacco products tax return by the
date that the return is due must pay a penalty equal to 5% of the tax that is due for
every month or part of a month that the return remains outstanding, but not
exceeding 25% of the tax that is due. If a person who is required to pay a liquor tax
or a tobacco products tax fails to file a timely liquor tax or tobacco products tax return,
or files a false or fraudulent return, with intent to evade the tax, the person must pay
a penalty equal to 50% of the tax that is due. "Tobacco products" include cigars, pipe
tobacco, and chewing tobacco, but not cigarettes.
Under this bill, a person who is required to pay a cigarette tax and who fails to
file a cigarette tax return by the date that the return is due must pay a penalty equal
to 5% of the tax that is due for every month or part of a month that the return remains
outstanding, but not exceeding 25% of the tax that is due. If a person who is required
to pay a cigarette tax fails to file a timely cigarette tax return, or files a false or
fraudulent return, with intent to evade the tax, the person must pay a penalty equal
to 50% of the tax that is due.
For further information see the state 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:
SB215, s. 1
1Section
1. 139.44 (13) of the statutes is created to read:
SB215,2,112
139.44
(13) In case of failure to file any return required under s. 139.38 by the
3due date, unless it is shown that that failure was due to reasonable cause and not due
4to neglect, there shall be added to the amount required to be shown as tax on that
5return 5% of the amount of that tax if the failure is for not more than one month, and
6an additional 5% of the tax for each additional month or fraction of a month during
7which that failure continues, not exceeding 25% of the tax in the aggregate. For
8purposes of this subsection, the amount of tax required to be shown on the return
9shall be reduced by the amount of any part of the tax that is paid on or before the due
10date prescribed for payment of the tax and by the amount of any credit against the
11tax that may be claimed upon the return.
SB215, s. 2
12Section
2. 139.44 (14) of the statutes is created to read:
SB215,2,1613
139.44
(14) If a person fails to file a return when due or files a false or
14fraudulent return with intent to defeat or evade the tax imposed by this subchapter,
15a penalty of 50% of the tax shall be added to the tax required to be paid, exclusive
16of interest and other penalties.
SB215, s. 3
17Section
3. 139.85 (1) of the statutes is amended to read:
SB215,2,2118
139.85
(1) The interest and penalties under s. 139.44 (2) to (7)
and, (9) to (12)
,
19and (14) apply to this subchapter. In addition, a person who violates s. 139.82 (8)
20shall be fined not less than $1,000 nor more than $5,000 or imprisoned for not less
21than 90 days nor more than one year or both.
SB215,3,32
(1) This act first applies to returns that are due on the effective date of this
3subsection.
SB215,3,65
(1)
This act takes effect on the first day of the 2nd month beginning after
6publication.
