AB40: Bill Text

AB40, s. 1843 Section 1843. 71.07 (3rn) (c) 3. b. of the statutes is amended to read:

AB40,776,16 71.07 (3rn) (c) 3. b. The maximum amount of the credits that may be allocated under this subsection and ss. 71.28 (3rn) and 71.47 (3rn) in fiscal year 2010-11 is $1,200,000, as allocated under s. 560.2056, 2009 stats.

AB40, s. 1844 Section 1844. 71.07 (3rn) (c) 3. c. of the statutes is amended to read:

AB40,776,21 71.07 (3rn) (c) 3. c. The maximum amount of the credits that may be allocated under this subsection and ss. 71.28 (3rn) and 71.47 (3rn) in fiscal year 2011-12, and in each year thereafter, is $700,000, as allocated under s. 238.17 or s. 560.2056, 2009 stats.

AB40, s. 1845 Section 1845. 71.07 (3rn) (c) 6. of the statutes is amended to read:

AB40,776,25 71.07 (3rn) (c) 6. No credit may be allowed under this subsection unless the claimant submits with the claimant's return a copy of the claimant's credit certification and allocation under s. 238.17 or s. 560.2056, 2009 stats.

AB40, s. 1846 Section 1846. 71.07 (3t) (b) of the statutes is amended to read:

AB40,777,7 71.07 (3t) (b) Credit. Subject to the limitations provided in this subsection and in s. 560.28, 2009 stats., for taxable years beginning after December 31, 2007, a claimant may claim as a credit, amortized over 15 taxable years starting with the taxable year beginning after December 31, 2007, against the tax imposed under s. 71.02 and 71.08, up to the amount of the tax, an amount equal to the claimant's unused credits under s. 71.07 (3s).

AB40, s. 1847 Section 1847. 71.07 (3t) (c) 1. of the statutes is amended to read:

AB40,777,15 71.07 (3t) (c) 1. No credit may be claimed under this subsection unless the claimant submits with the claimant's return a copy of the claimant's certification by the department of commerce under s. 560.28, 2009 stats., except that, with regard to credits claimed by partners of a partnership, members of a limited liability company, or shareholders of a tax-option corporation, the entity shall provide a copy of its certification under s. 560.28, 2009 stats., to the partner, member, or shareholder to submit with his or her return.

AB40, s. 1848 Section 1848. 71.07 (3w) (a) 2. of the statutes is amended to read:

AB40,777,19 71.07 (3w) (a) 2. "Claimant" means a person who is certified to claim tax benefits under s. 238.399 (5) or s. 560.799 (5), 2009 stats., and who files a claim under this subsection.

AB40, s. 1849 Section 1849. 71.07 (3w) (a) 3. of the statutes is amended to read:

AB40,777,22 71.07 (3w) (a) 3. "Full-time employee" means a full-time employee, as defined in s. 238.399 (1) (am) or s. 560.799 (1) (am), 2009 stats.

AB40, s. 1850 Section 1850. 71.07 (3w) (a) 4. of the statutes is amended to read:

AB40,777,25 71.07 (3w) (a) 4. "Enterprise zone" means a zone designated under s. 238.399 or s. 560.799, 2009 stats.

AB40, s. 1851 Section 1851. 71.07 (3w) (a) 5d. of the statutes is amended to read:

AB40,778,4 71.07 (3w) (a) 5d. "Tier I county or municipality" means a tier I county or municipality, as determined by the department of commerce under s. 238.399 or s. 560.799, 2009 stats.

AB40, s. 1852 Section 1852. 71.07 (3w) (a) 5e. of the statutes is amended to read:

AB40,778,8 71.07 (3w) (a) 5e. "Tier II county or municipality" means a tier II county or municipality, as determined by the department of commerce under s. 238.399 or s. 560.799, 2009 stats.

AB40, s. 1853 Section 1853. 71.07 (3w) (b) (intro.) of the statutes is amended to read:

AB40,778,13 71.07 (3w) (b) Filing claims; payroll. (intro.) Subject to the limitations provided in this subsection and s. 238.399 or s. 560.799, 2009 stats., a claimant may claim as a credit against the tax imposed under s. 71.02 or 71.08 an amount calculated as follows:

AB40, s. 1854 Section 1854. 71.07 (3w) (b) 5. of the statutes is amended to read:

AB40,778,17 71.07 (3w) (b) 5. Multiply the amount determined under subd. 4. by the percentage determined by the department of commerce under s. 238.399 or s. 560.799, 2009 stats., not to exceed 7 percent.

AB40, s. 1855 Section 1855. 71.07 (3w) (bm) 1. of the statutes is amended to read:

AB40,779,4 71.07 (3w) (bm) 1. In addition to the credits under par. (b) and subds. 2., 3., and 4., and subject to the limitations provided in this subsection and s. 238.399 or s. 560.799, 2009 stats., a claimant may claim as a credit against the tax imposed under s. 71.02 or 71.08 an amount equal to a percentage, as determined by the department of commerce under s. 238.399 or s. 560.799, 2009 stats., not to exceed 100 percent, of the amount the claimant paid in the taxable year to upgrade or improve the job-related skills of any of the claimant's full-time employees, to train any of the claimant's full-time employees on the use of job-related new technologies, or to provide job-related training to any full-time employee whose employment with the claimant represents the employee's first full-time job. This subdivision does not apply to employees who do not work in an enterprise zone.

AB40, s. 1856 Section 1856. 71.07 (3w) (bm) 2. of the statutes is amended to read:

AB40,779,19 71.07 (3w) (bm) 2. In addition to the credits under par. (b) and subds. 1., 3., and 4., and subject to the limitations provided in this subsection and s. 238.399 or s. 560.799, 2009 stats., a claimant may claim as a credit against the tax imposed under s. 71.02 or 71.08 an amount equal to the percentage, as determined by the department of commerce under s. 238.399 or s. 560.799, 2009 stats., not to exceed 7 percent, of the claimant's zone payroll paid in the taxable year to all of the claimant's full-time employees whose annual wages are greater than $20,000 in a tier I county or municipality, not including the wages paid to the employees determined under par. (b) 1., or greater than $30,000 in a tier II county or municipality, not including the wages paid to the employees determined under par. (b) 1., and who the claimant employed in the enterprise zone in the taxable year, if the total number of such employees is equal to or greater than the total number of such employees in the base year. A claimant may claim a credit under this subdivision for no more than 5 consecutive taxable years.

AB40, s. 1857 Section 1857. 71.07 (3w) (bm) 3. of the statutes is amended to read:

AB40,780,2 71.07 (3w) (bm) 3. In addition to the credits under par. (b) and subds. 1., 2., and 4., and subject to the limitations provided in this subsection and s. 238.399 or s. 560.799, 2009 stats., for taxable years beginning after December 31, 2008, a claimant may claim as a credit against the tax imposed under s. 71.02 or 71.08 up to 10 percent of the claimant's significant capital expenditures, as determined by the department of commerce under s. 238.399 (5m) or s. 560.799 (5m), 2009 stats.

AB40, s. 1858 Section 1858. 71.07 (3w) (bm) 4. of the statutes is amended to read:

AB40,780,12 71.07 (3w) (bm) 4. In addition to the credits under par. (b) and subds. 1., 2., and 3., and subject to the limitations provided in this subsection and s. 238.399 or s. 560.799, 2009 stats., for taxable years beginning after December 31, 2009, a claimant may claim as a credit against the tax imposed under s. 71.02 or 71.08, up to 1 percent of the amount that the claimant paid in the taxable year to purchase tangible personal property, items, property, or goods under s. 77.52 (1) (b), (c), or (d), or services from Wisconsin vendors, as determined by the department of commerce under s. 238.399 (5) (e) or s. 560.799 (5) (e), 2009 stats., except that the claimant may not claim the credit under this subdivision and subd. 3. for the same expenditures.

AB40, s. 1859 Section 1859. 71.07 (3w) (c) 3. of the statutes is amended to read:

AB40,780,16 71.07 (3w) (c) 3. No credit may be allowed under this subsection unless the claimant includes with the claimant's return a copy of the claimant's certification for tax benefits under s. 238.399 (5) or (5m) or s. 560.799 (5) or (5m), 2009 stats.

AB40, s. 1860 Section 1860. 71.07 (3w) (d) of the statutes is amended to read:

AB40,780,22 71.07 (3w) (d) Administration. Section 71.28 (4) (g) and (h), as it applies to the credit under s. 71.28 (4), applies to the credit under this subsection. Claimants shall include with their returns a copy of their certification for tax benefits, and a copy of the verification of their expenses, from the department of commerce or the Wisconsin Economic Development Corporation.

AB40, s. 1861 Section 1861. 71.07 (5b) (a) 2. of the statutes is amended to read:

AB40,780,25 71.07 (5b) (a) 2. "Fund manager" means an investment fund manager certified under s. 238.15 (2) or s. 560.205 (2), 2009 stats.

AB40, s. 1862 Section 1862. 71.07 (5b) (b) 1. of the statutes is amended to read:

AB40,781,7 71.07 (5b) (b) 1. For taxable years beginning after December 31, 2004, subject to the limitations provided under this subsection and s. 238.15 or s. 560.205, 2009 stats., and except as provided in subd. 2., a claimant may claim as a credit against the tax imposed under ss. 71.02 and 71.08, up to the amount of those taxes, 25 percent of the claimant's investment paid to a fund manager that the fund manager invests in a business certified under s. 238.15 (1) or s. 560.205 (1), 2009 stats.

AB40, s. 1863 Section 1863. 71.07 (5b) (b) 2. of the statutes is amended to read:

AB40,781,17 71.07 (5b) (b) 2. In the case of a partnership, limited liability company, or tax-option corporation, the computation of the 25 percent limitation under subd. 1. shall be determined at the entity level rather than the claimant level and may be allocated among the claimants who make investments in the manner set forth in the entity's organizational documents. The entity shall provide to the department of revenue and to the department of commerce or the Wisconsin Economic Development Corporation the names and tax identification numbers of the claimants, the amounts of the credits allocated to the claimants, and the computation of the allocations.

AB40, s. 1864 Section 1864. 71.07 (5b) (d) 3. of the statutes is amended to read:

AB40,781,23 71.07 (5b) (d) 3. For calendar years beginning investments made after December 31, 2007, if an investment for which a claimant claims a credit under par. (b) is held by the claimant for less than 3 years, the claimant shall pay to the department, in the manner prescribed by the department, the amount of the credit that the claimant received related to the investment.

AB40, s. 1865 Section 1865. 71.07 (5d) (a) 1. (intro.) of the statutes is amended to read:

AB40,782,3 71.07 (5d) (a) 1. (intro.) "Bona fide angel investment" means a purchase of an equity interest, or any other expenditure, as determined by rule under s. 238.15 or s. 560.205, 2009 stats., that is made by any of the following:

AB40, s. 1866 Section 1866. 71.07 (5d) (a) 2m. of the statutes is amended to read:

AB40,782,8 71.07 (5d) (a) 2m. "Person" means a partnership or, limited liability company, or tax-option corporation that is a nonoperating entity, as determined by the department of commerce or the Wisconsin Economic Development Corporation, a natural person, or fiduciary.

AB40, s. 1867 Section 1867. 71.07 (5d) (a) 3. of the statutes is amended to read:

AB40,782,11 71.07 (5d) (a) 3. "Qualified new business venture" means a business that is certified under s. 238.15 (1) or s. 560.205 (1), 2009 stats.

AB40, s. 1868 Section 1868. 71.07 (5d) (b) (intro.) of the statutes is amended to read:

AB40,782,16 71.07 (5d) (b) Filing claims. (intro.) Subject to the limitations provided in this subsection and in s. 238.15 or s. 560.205, 2009 stats., a claimant may claim as a credit against the tax imposed under s. 71.02 or 71.08, up to the amount of those taxes, the following:

AB40, s. 1869 Section 1869. 71.07 (5d) (b) 1. of the statutes is amended to read:

AB40,782,22 71.07 (5d) (b) 1. For taxable years beginning before January 1, 2008, in each taxable year for 2 consecutive years, beginning with the taxable year as certified by the department of commerce or the Wisconsin Economic Development Corporation, an amount equal to 12.5 percent of the claimant's bona fide angel investment made directly in a qualified new business venture.

AB40, s. 1870 Section 1870. 71.07 (5d) (b) 2. of the statutes is amended to read:

AB40,783,2 71.07 (5d) (b) 2. For taxable years beginning after December 31, 2007, for the taxable year certified by the department of commerce or the Wisconsin Economic Development Corporation, an amount equal to 25 percent of the claimant's bona fide angel investment made directly in a qualified new business venture.

AB40, s. 1871 Section 1871. 71.07 (5d) (c) 2. of the statutes is amended to read:

AB40,783,7 71.07 (5d) (c) 2. For taxable years beginning before January 1, 2008, the maximum amount of a claimant's investment that may be used as the basis for a credit under this subsection is $2,000,000 for each investment made directly in a business certified under s. 238.15 (1) or s. 560.205 (1), 2009 stats.

AB40, s. 1872 Section 1872. 71.07 (5d) (c) 3m. of the statutes is amended to read:

AB40,783,17 71.07 (5d) (c) 3m. Partnerships and, limited liability companies, and tax-option corporations may not claim the credit under this subsection, but the eligibility for, and the amount of, the credit are based on their payment of amounts under par. (b). A partnership or, limited liability company, or tax-option corporation shall compute the amount of credit that each of its partners or, members, or shareholders may claim and shall provide that information to each of them. Partners and, members of limited liability companies, and shareholders of tax-option corporations may claim the credit in proportion to their ownership interest or as specially allocated in their organizational documents.

AB40, s. 1873 Section 1873. 71.07 (5d) (d) 1. of the statutes is amended to read:

AB40,783,23 71.07 (5d) (d) 1. For calendar years beginning investments made after December 31, 2007, if an investment for which a claimant claims a credit under par. (b) is held by the claimant for less than 3 years, the claimant shall pay to the department, in the manner prescribed by the department, the amount of the credit that the claimant received related to the investment.

AB40, s. 1874 Section 1874. 71.07 (5f) (a) 1. (intro.) of the statutes is amended to read:

AB40,784,11 71.07 (5f) (a) 1. (intro.) "Accredited production" means a film, video, broadcast advertisement, or television production, as approved by the department of commerce or the department of tourism, for which the aggregate salary and wages included in the cost of the production for the period ending 12 months after the month in which the principal filming or taping of the production begins exceeds $50,000. "Accredited production" also means an electronic game, as approved by the department of commerce or the department of tourism, for which the aggregate salary and wages included in the cost of the production for the period ending 36 months after the month in which the principal programming, filming, or taping of the production begins exceeds $100,000. "Accredited production" does not include any of the following, regardless of the production costs:

AB40, s. 1875 Section 1875. 71.07 (5f) (a) 3. of the statutes is amended to read:

AB40,784,21 71.07 (5f) (a) 3. "Production expenditures" means any expenditures that are incurred in this state and directly used to produce an accredited production, including expenditures for set construction and operation, wardrobes, make-up, clothing accessories, photography, sound recording, sound synchronization, sound mixing, lighting, editing, film processing, film transferring, special effects, visual effects, renting or leasing facilities or equipment, renting or leasing motor vehicles, food, lodging, and any other similar expenditure as determined by the department of commerce or the department of tourism. "Production expenditures" do not include salary, wages, or labor-related contract payments.

AB40, s. 1876 Section 1876. 71.07 (5f) (c) 6. of the statutes is amended to read:

AB40,785,5 71.07 (5f) (c) 6. No credit may be allowed under this subsection unless the claimant files an application with the department of commerce or the department of tourism, at the time and in the manner prescribed by the department of commerce or the department of tourism, and the department of commerce or the department of tourism approves the application. The claimant shall submit a fee with the application in an amount equal to 2 percent of the claimant's budgeted production expenditures or to $5,000, whichever is less. The claimant shall submit a copy of the approved application with the claimant's return.

AB40, s. 1877 Section 1877. 71.07 (5h) (c) 4. of the statutes is amended to read:

AB40,785,11 71.07 (5h) (c) 4. No claim may be allowed under this subsection unless the department of commerce or the department of tourism certifies, in writing, that the credits claimed under this subsection are for expenses related to establishing or operating a film production company in this state and the claimant submits a copy of the certification with the claimant's return.

AB40, s. 1878 Section 1878. 71.07 (5i) (c) 1. of the statutes is amended to read:

AB40,785,15 71.07 (5i) (c) 1. The maximum amount of the credits that may be claimed under this subsection and ss. 71.28 (5i) and 71.47 (5i) in a taxable year is $10,000,000, as allocated under s. 238.14 or s. 560.204, 2009 stats.

AB40, s. 1879 Section 1879. 71.07 (5j) (a) 2d. of the statutes is amended to read:

AB40,785,21 71.07 (5j) (a) 2d. "Diesel replacement renewable fuel" includes biodiesel and any other fuel derived from a renewable resource that meets all of the applicable requirements of the American Society for Testing and Materials for that fuel and that the department of commerce or the department of safety and professional services designates by rule as a diesel replacement renewable fuel.

AB40, s. 1880 Section 1880. 71.07 (5j) (a) 2m. of the statutes is amended to read:

AB40,786,2 71.07 (5j) (a) 2m. "Gasoline replacement renewable fuel" includes ethanol and any other fuel derived from a renewable resource that meets all of the applicable requirements of the American Society for Testing and Materials for that fuel and that the department of commerce or the department of safety and professional services designates by rule as a gasoline replacement renewable fuel.

AB40, s. 1881 Section 1881. 71.07 (5j) (c) 3. of the statutes is amended to read:

AB40,786,9 71.07 (5j) (c) 3. The department of commerce or the department of safety and professional services shall establish standards to adequately prevent, in the distribution of conventional fuel to an end user, the inadvertent distribution of fuel containing a higher percentage of renewable fuel than the maximum percentage established by the federal environmental protection agency for use in conventionally-fueled engines.

AB40, s. 1882 Section 1882. 71.07 (5r) (a) 6. a. of the statutes is amended to read:

AB40,786,14 71.07 (5r) (a) 6. a. A University of Wisconsin System institution, the University of Wisconsin-Madison, a technical college system institution, or a regionally accredited 4-year nonprofit college or university having its regional headquarters and principal place of business in this state.

AB40, s. 1883 Section 1883. 71.07 (9e) (af) (intro.) of the statutes is amended to read:

AB40,786,20 71.07 (9e) (af) (intro.) For taxable years beginning after December 31, 1995, and before January 1, 2011, any natural person may credit against the tax imposed under s. 71.02 an amount equal to one of the following percentages of the federal basic earned income credit for which the person is eligible for the taxable year under section 32 (b) (1) (A) to (C) of the internal revenue code Internal Revenue Code:

AB40, s. 1884 Section 1884. 71.07 (9e) (aj) of the statutes is created to read:

AB40,787,2 71.07 (9e) (aj) For taxable years beginning after December 31, 2010, an individual may credit against the tax imposed under s. 71.02 an amount equal to one of the following percentages of the federal basic earned income credit for which the person is eligible for the taxable year under section 32 (b) (1) (A) to (C) of the Internal Revenue Code:

AB40,787,4 1. If the person has one qualifying child who has the same principal place of abode as the person, 5 percent.

AB40,787,6 2. If the person has 2 qualifying children who have the same principal place of abode as the person, 8 percent.

AB40,787,8 3. If the person has 3 or more qualifying children who have the same principal place of abode as the person, 40 percent.

AB40, s. 1885 Section 1885. 71.10 (3) (title) of the statutes is amended to read:

AB40,787,10 71.10 (3) (title) Campaign fund funds, before 2012.