February 4, 2011 - Introduced by Representatives Seidel, Barca, Molepske Jr,
Turner, Milroy, Staskunas, Fields, Parisi, Hintz, Berceau, Bernard Schaber,
Pope-Roberts
and Jorgensen, cosponsored by Senators Hansen, Holperin
and Taylor. Referred to Committee on Jobs, Economy and Small Business.
AB16,1,4 1An Act to amend 71.07 (3q) (b) 1., 71.07 (3q) (c) 3., 71.28 (3q) (b) 1., 71.28 (3q)
2(c) 3., 71.47 (3q) (b) 1., 71.47 (3q) (c) 3., 560.2055 (3) (a) and 560.2055 (3) (b); and
3to create 71.07 (3q) (b) 1m., 71.28 (3q) (b) 1m., 71.47 (3q) (b) 1m. and 560.2055
4(4) (b) 1m. of the statutes; relating to: the jobs tax credit.
Analysis by the Legislative Reference Bureau
Under current law, a person who undertakes certain business activities in this
state may claim an income an franchise tax credit (jobs tax credit) in an amount
determined by the Department of Commerce (Commerce), not to exceed 10 percent
of the wages paid to eligible employees who make at least $20,000, but no more than
$100,000, in the taxable year. Under this bill, a person may also claim a jobs tax
credit in an amount determined by Commerce, not to exceed 5 percent of the wages
paid to eligible employees who make more than $100,000, but no more than
$250,000, in the taxable year.
Under current law, the total amount of credits that may be allocated under the
jobs tax credit for the period beginning on January 1, 2010, and ending on June 30,
2013, is $14,500,000. Under the bill, the total amount of credits that may be allocated
under the jobs tax credit for the period beginning on January 1, 2010, and ending on
June 30, 2013, is $20,000,000.

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:
AB16, s. 1 1Section 1. 71.07 (3q) (b) 1. of the statutes is amended to read:
AB16,2,42 71.07 (3q) (b) 1. The amount of wages that the claimant paid to an eligible
3employee in the taxable year, not to exceed 10 percent of such wages, as determined
4by the department of commerce under s. 560.2055 (4) (b) 1.
AB16, s. 2 5Section 2. 71.07 (3q) (b) 1m. of the statutes is created to read:
AB16,2,96 71.07 (3q) (b) 1m. For taxable years beginning after December 31, 2010, the
7amount of wages that the claimant paid to an eligible employee in the taxable year,
8not to exceed 5 percent of such wages, as determined by the department of commerce
9under s. 560.2055 (4) (b) 1m.
AB16, s. 3 10Section 3. 71.07 (3q) (c) 3. of the statutes is amended to read:
AB16,2,1411 71.07 (3q) (c) 3. The maximum amount of credits that may be awarded under
12this subsection and ss. 71.28 (3q) and 71.47 (3q) for the period beginning on January
131, 2010, and ending on June 30, 2013, is $14,500,000 $20,000,000, not including the
14amount of any credits reallocated under s. 560.205 (3) (d).
AB16, s. 4 15Section 4. 71.28 (3q) (b) 1. of the statutes is amended to read:
AB16,2,1816 71.28 (3q) (b) 1. The amount of wages that the claimant paid to an eligible
17employee in the taxable year, not to exceed 10 percent of such wages, as determined
18by the department of commerce under s. 560.2055 (4) (b) 1.
AB16, s. 5 19Section 5. 71.28 (3q) (b) 1m. of the statutes is created to read:
AB16,3,220 71.28 (3q) (b) 1m. For taxable years beginning after December 31, 2010, the
21amount of wages that the claimant paid to an eligible employee in the taxable year,

1not to exceed 5 percent of such wages, as determined by the department of commerce
2under s. 560.2055 (4) (b) 1m.
AB16, s. 6 3Section 6. 71.28 (3q) (c) 3. of the statutes is amended to read:
AB16,3,74 71.28 (3q) (c) 3. The maximum amount of credits that may be awarded under
5this subsection and ss. 71.07 (3q) and 71.47 (3q) for the period beginning on January
61, 2010, and ending on June 30, 2013, is $14,500,000 $20,000,000, not including the
7amount of any credits reallocated under s. 560.205 (3) (d).
AB16, s. 7 8Section 7. 71.47 (3q) (b) 1. of the statutes is amended to read:
AB16,3,119 71.47 (3q) (b) 1. The amount of wages that the claimant paid to an eligible
10employee in the taxable year, not to exceed 10 percent of such wages, as determined
11by the department of commerce under s. 560.2055 (4) (b) 1.
AB16, s. 8 12Section 8. 71.47 (3q) (b) 1m. of the statutes is created to read:
AB16,3,1613 71.47 (3q) (b) 1m. For taxable years beginning after December 31, 2010, the
14amount of wages that the claimant paid to an eligible employee in the taxable year,
15not to exceed 5 percent of such wages, as determined by the department of commerce
16under s. 560.2055 (4) (b) 1m.
AB16, s. 9 17Section 9. 71.47 (3q) (c) 3. of the statutes is amended to read:
AB16,3,2118 71.47 (3q) (c) 3. The maximum amount of credits that may be awarded under
19this subsection and ss. 71.07 (3q) and 71.28 (3q) for the period beginning on January
201, 2010, and ending on June 30, 2013, is $14,500,000 $20,000,000, not including the
21amount of any credits reallocated under s. 560.205 (3) (d).
AB16, s. 10 22Section 10. 560.2055 (3) (a) of the statutes is amended to read:
AB16,4,223 560.2055 (3) (a) In a tier I county or municipality, an eligible employee for
24whom the person claims a tax credit will earn at least $20,000 but not more than

1$100,000 $250,000 in wages from the person in the year for which the credit is
2claimed.
AB16, s. 11 3Section 11. 560.2055 (3) (b) of the statutes is amended to read:
AB16,4,74 560.2055 (3) (b) In a tier II county or municipality, an eligible employee for
5whom the person claims a tax credit will earn at least $30,000 but not more than
6$100,000 $250,000 in wages from the person in the year for which the credit is
7claimed.
AB16, s. 12 8Section 12. 560.2055 (4) (b) 1m. of the statutes is created to read:
AB16,4,139 560.2055 (4) (b) 1m. The department may award to a person certified under
10sub. (2) tax benefits for each eligible employee in an amount equal to up to 5 percent
11of the wages paid by the person to that employee if that employee earned at least
12$100,000 but not more than $250,000 in wages in the year for which the tax benefit
13is claimed.
AB16,4,1414 (End)
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