AU7 SB1: Bill Text

SB1,13 Section 13. 30.195 (7) of the statutes is renumbered 30.195 (7) (intro.) and amended to read:

SB1,10,22 30.195 (7) Application of section. (intro.) This section does not apply to municipal any of the following:

SB1,10,24 (a) Municipal or county-owned lands in counties having a population of 750,000 or more.

SB1,14 Section 14. 30.195 (7) (b) of the statutes is created to read:

SB1,11,3 30.195 (7) (b) Activity related to the construction, access, or operation of a new manufacturing facility located in an electronics and information technology manufacturing zone designated under s. 238.396 (1m).

SB1,15 Section 15. 61.57 of the statutes is renumbered 61.57 (intro.) and amended to read:

SB1,11,11 61.57 Acquisition of recycling or resource recovery facilities without bids. (intro.) A village may contract for the acquisition of any element of a recycling or resource recovery facility the following without submitting the contract for bids as required under s. 61.54 if the village invites developers to submit proposals to provide a completed project and evaluates proposals according to site, cost, design and the developers' experience in other similar projects.:

SB1,16 Section 16. 61.57 (1) and (2) of the statutes are created to read:

SB1,11,13 61.57 (1) A recycling or resource recovery facility.

SB1,11,15 (2) If the village contains an electronics and information technology manufacturing zone that is designated under s. 238.396 (1m):

SB1,11,16 (a) Water and sewer systems.

SB1,11,17 (b) Wastewater treatment facilities.

SB1,17 Section 17. 62.155 of the statutes is renumbered 62.155 (intro.) and amended to read:

SB1,11,25 62.155 Acquisition of recycling or resource recovery facilities without bids. (intro.) A city may contract for the acquisition of any element of a recycling or resource recovery facility the following without submitting the contract for bids as required under s. 62.15 if the city invites developers to submit proposals to provide a completed project and evaluates proposals according to site, cost, design and the developers' experience in other similar projects. :

SB1,18 Section 18. 62.155 (1) and (2) of the statutes are created to read:

SB1,12,2 62.155 (1) A recycling or resource recovery facility.

SB1,12,4 (2) If the city contains an electronics and information technology manufacturing zone that is designated under s. 238.396 (1m):

SB1,12,5 (a) Water and sewer systems.

SB1,12,6 (b) Wastewater treatment facilities.

SB1,19 Section 19. 66.1105 (2) (f) 1. (intro.) of the statutes is amended to read:

SB1,12,25 66.1105 (2) (f) 1. (intro.) “Project costs" mean any expenditures made or estimated to be made or monetary obligations incurred or estimated to be incurred by the city which are listed in a project plan as costs of public works or improvements within a tax incremental district or, to the extent provided in this subd. 1. (intro.) or subds. 1. k., 1. m., and 1. n., or sub. (20) (c), without the district, plus any incidental costs, diminished by any income, special assessments, or other revenues, including user fees or charges, other than tax increments, received or reasonably expected to be received by the city in connection with the implementation of the plan. For any tax incremental district for which a project plan is approved on or after July 31, 1981, only a proportionate share of the costs permitted under this subdivision may be included as project costs to the extent that they benefit the tax incremental district, except that expenditures made or estimated to be made or monetary obligations incurred or estimated to be incurred by a 1st class city, to fund parking facilities ancillary to and within one mile from public entertainment facilities, including a sports and entertainment arena, shall be considered to benefit any tax incremental district located in whole or in part within a one-mile radius of such parking facilities. To the extent the costs benefit the municipality outside the tax incremental district, a proportionate share of the cost is not a project cost. “Project costs" include:

SB1,20 Section 20. 66.1105 (4) (gm) 4. c. of the statutes is amended to read:

SB1,13,13 66.1105 (4) (gm) 4. c. Except as provided in subs. (10) (c), (16) (d), (17), and (18) (c) 3., and (20) (b), the equalized value of taxable property of the district plus the value increment of all existing districts does not exceed 12 percent of the total equalized value of taxable property within the city. In determining the equalized value of taxable property under this subd. 4. c. or sub. (17) (c), the department of revenue shall base its calculations on the most recent equalized value of taxable property of the district that is reported under s. 70.57 (1m) before the date on which the resolution under this paragraph is adopted. If the department of revenue determines that a local legislative body exceeds the 12 percent limit described in this subd. 4. c. or sub. (17) (c), the department shall notify the city of its noncompliance, in writing, not later than December 31 of the year in which the department receives the completed application or amendment forms described in sub. (5) (b).

SB1,21 Section 21. 66.1105 (20) of the statutes is created to read:

SB1,13,20 66.1105 (20) Districts within an electronics and information technology manufacturing zone. (a) Creation. With regard to a tax incremental district that is created in an electronics and information technology manufacturing zone that is designated under s. 238.396 (1m), the district may only be a district that is suitable for industrial sites or mixed-use development, as described in sub. (4) (gm) 4. a., and all of the following apply:

SB1,14,2 1. Notwithstanding the dates specified in sub. (4) (gm) 2., if the resolution described under sub. (4) (gm) is adopted during the period between January 1 and December 1, the creation date shall be either the January 1 of the year in which the resolution is adopted or the next subsequent January 1, as specified by the local legislative body in the resolution. If a resolution is adopted during the period between December 2 and December 31, the creation date shall be the next subsequent January 1.

SB1,14,5 2. Notwithstanding the October 31 deadline for the city clerk's submission of the forms described in sub. (5) (b), the city clerk shall complete and submit the required forms for a tax incremental district described in this subsection either:

SB1,14,9 a. On or before December 31 of the year the resolution under subd. 1. is adopted if the resolution is adopted between January 1 and December 1, and the resolution specifies that the district's creation date is January 1 of the year in which the resolution is adopted.

SB1,14,14 b. On or after the next subsequent April 1 and before the next subsequent December 1 of the year the resolution under subd. 1. is adopted if the resolution is adopted between January 1 and December 1 and the resolution specifies that the district's creation date is the next subsequent January 1 or the resolution is adopted between December 2 and December 31.

SB1,14,18 (b) Exception to the 12 percent limit. Notwithstanding the 12 percent limit findings requirement described under sub. (4) (gm) 4. c., the equalized value of taxable property of a tax incremental district described under this subsection does not count in the calculation of the 12 percent limit.

SB1,14,21 (c) Expenditures. With regard to a tax incremental district described under this subsection, the creating city may incur project costs for any territory that is located in the same county as the district, provided that the expenditure benefits the district.

SB1,14,25 (d) Allocation of positive increments. Notwithstanding the 20-year limit for allocating positive tax increments described in sub. (6) (a) 7., for a tax incremental district described under this subsection, that limit shall be 30 years for purposes of sub. (6) (a) 7.

SB1,15,3 (e) Termination. Notwithstanding the 20-year termination requirement specified in sub. (7) (am) 2., for a tax incremental district described under this subsection, that limit shall be 30 years for purposes of sub. (7) (am) 2.

SB1,22 Section 22. 71.05 (6) (a) 15. of the statutes is amended to read:

SB1,15,10 71.05 (6) (a) 15. Except as provided under s. 71.07 (3p) (c) 5., the amount of the credits computed under s. 71.07 (2dm), (2dx), (2dy), (3g), (3h), (3n), (3p), (3q), (3r), (3rm), (3rn), (3s), (3t), (3w), (3wm), (3y), (4k), (4n), (5e), (5f), (5h), (5i), (5j), (5k), (5r), (5rm), (6n), and (8r) and not passed through by a partnership, limited liability company, or tax-option corporation that has added that amount to the partnership's, company's, or tax-option corporation's income under s. 71.21 (4) or 71.34 (1k) (g).

SB1,23 Section 23. 71.07 (3w) (bm) 5. of the statutes is created to read:

SB1,16,2 71.07 (3w) (bm) 5. In addition to the credits under par. (b) and subds. 1. to 4., and subject to the limitations provided in this subsection and s. 238.399 or s. 560.799, 2009 stats., a claimant that has retained the minimum number of full-time employees determined under s. 238.399 (5) (f) and maintained average zone payroll for the taxable year equal to or greater than the base year 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 Wisconsin Economic Development Corporation, of the claimant's zone payroll paid in the 12 months prior to the certification date to the claimant's full-time employees in the enterprise zone whose annual wages are greater than the amount determined by multiplying 2,080 by 150 percent of the federal minimum wage in a tier I county or municipality or greater than $30,000 in a tier II county or municipality. The amount that the claimant may claim as credit under this subdivision for a taxable year shall not exceed $2,000,000. A claimant may claim a credit under this subdivision for no more than 5 consecutive taxable years.

SB1,24 Section 24. 71.07 (3wm) of the statutes is created to read:

SB1,16,5 71.07 (3wm) Electronics and information technology manufacturing zone credit. (a) Definitions. In this subsection:

SB1,16,7 1. “Claimant" means a person who is certified to claim tax benefits under s. 238.396 (3) and who files a claim under this subsection.

SB1,16,9 2. “Full-time employee" means a full-time employee, as defined in s. 238.399 (1) (am).

SB1,16,11 3. “State payroll" means the amount of payroll apportioned to this state, as determined under s. 71.25 (8).

SB1,16,13 4. “Tier I county or municipality" means a tier I county or municipality, as determined under s. 238.396 (4) (e).

SB1,16,15 5. “Tier II county or municipality" means a tier II county or municipality, as determined under s. 238.396 (4) e).

SB1,16,17 6. “Wages" means wages under section 3306 (b) of the Internal Revenue Code, determined without regard to any dollar limitations.

SB1,16,18 7. “Zone” means a zone designated under s. 238.396 (1m).

SB1,16,24 8. “Zone payroll" means the amount of state payroll that is attributable to wages paid to full-time employees for services that are performed in the zone or that are performed outside the zone, but within the state, and for the benefit of the operations within the zone, as determined by the Wisconsin Economic Development Corporation. “Zone payroll" does not include the amount of wages paid to any full-time employees that exceeds $100,000.

SB1,17,3 (b) Filing claims; payroll. Subject to the limitations provided in this subsection and s. 238.396, a claimant may claim as a credit against the tax imposed under s. 71.02 or 71.08 an amount calculated as follows:

SB1,17,7 1. Determine the zone payroll for the taxable year for full-time employees whose annual wages are greater than the amount determined by multiplying 2,080 by 150 percent of the federal minimum wage in a tier I county or municipality or greater than $30,000 in a tier II county or municipality.

SB1,17,8 2. Multiply the amount determined under subd. 1. by 17 percent.

SB1,17,13 (bm) Filing supplemental claims. In addition to claiming the credit under par. (b), and subject to the limitations under this subsection and s. 238.396, a claimant may claim as a credit against the tax imposed under s. 71.02 or 71.08 an amount equal to 15 percent of the claimant's significant capital expenditures in the zone in the taxable year, as determined under s. 238.396 (3m).

SB1,17,21 (c) Limitations. 1. Partnerships, 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 described under pars. (b) and (bm). A partnership, limited liability company, or tax-option corporation shall compute the amount of credit that each of its partners, members, or shareholders may claim and shall provide that information to each of them. Partners, members of limited liability companies, and shareholders of tax-option corporations may claim the credit in proportion to their ownership interests.

SB1,17,24 2. 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. 238.396 (3).

SB1,18,2 (d) Administration. 1. 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.

SB1,18,8 2. If the allowable amount of the claim under this subsection exceeds the taxes otherwise due on the claimant's income under s. 71.02, the amount of the claim that is not used to offset those taxes shall be certified by the department of revenue to the department of administration for payment by check, share draft, or other draft drawn from the appropriation under s. 20.835 (2) (cp). Notwithstanding s. 71.82, no interest shall be paid on amounts certified under this subdivision.

SB1,25 Section 25. 71.08 (1) (intro.) of the statutes is amended to read:

SB1,18,18 71.08 (1) Imposition. (intro.) If the tax imposed on a natural person, married couple filing jointly, trust, or estate under s. 71.02, not considering the credits under ss. 71.07 (1), (2dx), (2dy), (3m), (3n), (3p), (3q), (3r), (3rm), (3rn), (3s), (3t), (3w), (3wm), (3y), (4k), (5b), (5d), (5e), (5f), (5h), (5i), (5j), (5n), (6), (6e), (8r), (9e), (9m), and (9r), 71.28 (1dx), (1dy), (2m), (3), (3n), (3t), (3w), (3wm), and (3y), 71.47 (1dx), (1dy), (2m), (3), (3n), (3t), (3w), and (3y), 71.57 to 71.61, and 71.613 and subch. VIII and payments to other states under s. 71.07 (7), is less than the tax under this section, there is imposed on that natural person, married couple filing jointly, trust or estate, instead of the tax under s. 71.02, an alternative minimum tax computed as follows:

SB1,26 Section 26. 71.10 (4) (i) of the statutes is amended to read:

SB1,19,9 71.10 (4) (i) The total of claim of right credit under s. 71.07 (1), farmland preservation credit under ss. 71.57 to 71.61, farmland preservation credit, 2010 and beyond under s. 71.613, homestead credit under subch. VIII, farmland tax relief credit under s. 71.07 (3m), dairy manufacturing facility investment credit under s. 71.07 (3p), jobs tax credit under s. 71.07 (3q), meat processing facility investment credit under s. 71.07 (3r), woody biomass harvesting and processing credit under s. 71.07 (3rm), food processing plant and food warehouse investment credit under s. 71.07 (3rn), business development credit under s. 71.07 (3y), film production services credit under s. 71.07 (5f), film production company investment credit under s. 71.07 (5h), veterans and surviving spouses property tax credit under s. 71.07 (6e), enterprise zone jobs credit under s. 71.07 (3w), electronics and information technology manufacturing zone credit under s. 71.07 (3wm), beginning farmer and farm asset owner tax credit under s. 71.07 (8r), earned income tax credit under s. 71.07 (9e), estimated tax payments under s. 71.09, and taxes withheld under subch. X.

SB1,27 Section 27. 71.21 (4) (a) of the statutes is amended to read:

SB1,19,14 71.21 (4) (a) The amount of the credits computed by a partnership under s. 71.07 (2dm), (2dx), (2dy), (3g), (3h), (3n), (3p), (3q), (3r), (3rm), (3rn), (3s), (3t), (3w), (3wm), (3y), (4k), (4n), (5e), (5f), (5g), (5h), (5i), (5j), (5k), (5r), (5rm), (6n), and (8r) and passed through to partners shall be added to the partnership's income.

SB1,28 Section 28. 71.26 (2) (a) 4. of the statutes is amended to read:

SB1,19,21 71.26 (2) (a) 4. Plus the amount of the credit computed under s. 71.28 (1dm), (1dx), (1dy), (3g), (3h), (3n), (3p), (3q), (3r), (3rm), (3rn), (3t), (3w), (3wm), (5e), (5f), (5g), (5h), (5i), (5j), (5k), (5r), (5rm), (6n), (8r), and (9s) and not passed through by a partnership, limited liability company, or tax-option corporation that has added that amount to the partnership's, limited liability company's, or tax-option corporation's income under s. 71.21 (4) or 71.34 (1k) (g).

SB1,29 Section 29. 71.28 (3w) (bm) 5. of the statutes is created to read:

SB1,20,11 71.28 (3w) (bm) 5. In addition to the credits under par. (b) and subds. 1. to 4., and subject to the limitations provided in this subsection and s. 238.399 or s. 560.799, 2009 stats., a claimant that has retained the minimum number of full-time employees determined under s. 238.399 (5) (f) and maintained average zone payroll for the taxable year equal to or greater than the base year may claim as a credit against the tax imposed under s. 71.23 an amount equal to the percentage, as determined by the Wisconsin Economic Development Corporation, of the claimant's zone payroll paid in the 12 months prior to the certification date to the claimant's full-time employees in the enterprise zone whose annual wages are greater than the amount determined by multiplying 2,080 by 150 percent of the federal minimum wage in a tier I county or municipality or greater than $30,000 in a tier II county or municipality. The amount that the claimant may claim as credit under this subdivision for a taxable year shall not exceed $2,000,000. A claimant may claim a credit under this subdivision for no more than 5 consecutive taxable years.

SB1,30 Section 30. 71.28 (3wm) of the statutes is created to read:

SB1,20,14 71.28 (3wm) Electronics and information technology manufacturing zone credit. (a) Definitions. In this subsection:

SB1,20,16 1. “Claimant" means a person who is certified to claim tax benefits under s. 238.396 (3) and who files a claim under this subsection.

SB1,20,18 2. “Full-time employee" means a full-time employee, as defined in s. 238.399 (1) (am).

SB1,20,20 3. “State payroll" means the amount of payroll apportioned to this state, as determined under s. 71.25 (8).

SB1,20,22 4. “Tier I county or municipality" means a tier I county or municipality, as determined under s. 238.396 (4) (e).

SB1,20,24 5. “Tier II county or municipality" means a tier II county or municipality, as determined under s. 238.396 (4) e).

SB1,21,2 6. “Wages" means wages under section 3306 (b) of the Internal Revenue Code, determined without regard to any dollar limitations.

SB1,21,3 7. “Zone” means a zone designated under s. 238.396 (1m).

SB1,21,9 8. “Zone payroll" means the amount of state payroll that is attributable to wages paid to full-time employees for services that are performed in the zone or that are performed outside the zone, but within the state, and for the benefit of the operations within the zone, as determined by the Wisconsin Economic Development Corporation. “Zone payroll" does not include the amount of wages paid to any full-time employees that exceeds $100,000.

SB1,21,12 (b) Filing claims; payroll. Subject to the limitations provided in this subsection and s. 238.396, a claimant may claim as a credit against the tax imposed under s. 71.23 an amount calculated as follows:

SB1,21,16 1. Determine the zone payroll for the taxable year for full-time employees whose annual wages are greater than the amount determined by multiplying 2,080 by 150 percent of the federal minimum wage in a tier I county or municipality or greater than $30,000 in a tier II county or municipality.

SB1,21,17 2. Multiply the amount determined under subd. 1. by 17 percent.

SB1,21,22 (bm) Filing supplemental claims. In addition to claiming the credit under par. (b), and subject to the limitations under this subsection and s. 238.396, a claimant may claim as a credit against the tax imposed under s. 71.23 an amount equal to 15 percent of the claimant's significant capital expenditures in the zone in the taxable year, as determined under s. 238.396 (3m).

SB1,22,5 (c) Limitations. 1. Partnerships, 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 described under pars. (b) and (bm). A partnership, limited liability company, or tax-option corporation shall compute the amount of credit that each of its partners, members, or shareholders may claim and shall provide that information to each of them. Partners, members of limited liability companies, and shareholders of tax-option corporations may claim the credit in proportion to their ownership interests.

SB1,22,8 2. 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. 238.396 (3).

SB1,22,10 (d) Administration. 1. Subsection (4) (g) and (h), as it applies to the credit under sub. (4), applies to the credit under this subsection.

SB1,22,16 2. If the allowable amount of the claim under this subsection exceeds the taxes otherwise due on the claimant's income under s. 71.23, the amount of the claim that is not used to offset those taxes shall be certified by the department of revenue to the department of administration for payment by check, share draft, or other draft drawn from the appropriation under s. 20.835 (2) (cp). Notwithstanding s. 71.82, no interest shall be paid on amounts certified under this subdivision.

SB1,31 Section 31. 71.30 (3) (f) of the statutes is amended to read:

SB1,23,3 71.30 (3) (f) The total of farmland preservation credit under subch. IX, farmland tax relief credit under s. 71.28 (2m), dairy manufacturing facility investment credit under s. 71.28 (3p), jobs credit under s. 71.28 (3q), meat processing facility investment credit under s. 71.28 (3r), woody biomass harvesting and processing credit under s. 71.28 (3rm), food processing plant and food warehouse investment credit under s. 71.28 (3rn), enterprise zone jobs credit under s. 71.28 (3w), electronics and information technology manufacturing zone credit under s. 71.28 (3wm), business development credit under s. 71.28 (3y), film production services credit under s. 71.28 (5f), film production company investment credit under s. 71.28 (5h), beginning farmer and farm asset owner tax credit under s. 71.28 (8r), and estimated tax payments under s. 71.29.

SB1,32 Section 32. 71.34 (1k) (g) of the statutes is amended to read:

SB1,23,8 71.34 (1k) (g) An addition shall be made for credits computed by a tax-option corporation under s. 71.28 (1dm), (1dx), (1dy), (3), (3g), (3h), (3n), (3p), (3q), (3r), (3rm), (3rn), (3t), (3w), (3wm), (3y), (4), (5), (5e), (5f), (5g), (5h), (5i), (5j), (5k), (5r), (5rm), (6n), and (8r) and passed through to shareholders.

SB1,33 Section 33. 73.0300 of the statutes is created to read:

SB1,23,14 73.0300 Disregarded entities. With regard to a single-owner entity that is disregarded as a separate entity under section 7701 of the Internal Revenue Code, any notice that the department of revenue sends to the owner or to the entity is considered a notice sent to both and both are liable for any amounts due as specified in the notice. This section applies to all laws administered by the department.