SB70: Bill Text

SB70,1547 Section 1547. 76.02 (4m) of the statutes is created to read:

SB70,954,22 76.02 (4m) “Inflation factor” means a percentage equal to the average annual percentage change in the U.S. consumer price index for all urban consumers, U.S. city average, as determined by the U.S. department of labor, for the 12 months ending on December 31 of the year before the year of assessment, except that the percentage under this subsection shall not be less than zero.

SB70,1548 Section 1548. 76.025 (2) of the statutes is amended to read:

SB70,955,2 76.025 (2) If the property of any company defined in s. 76.28 (1), except a qualified wholesale electric company as defined in s. 76.28 (1) (gm), is located entirely within a single town, village, or city, it shall be subject to local assessment and taxation under ch. 70, 2021 stats.

SB70,1549 Section 1549. 76.025 (5) of the statutes is created to read:

SB70,955,7 76.025 (5) Nothing in this chapter or ch. 70 shall be construed as providing an exemption for personal property for entities regulated under this chapter, except for the exemptions under ss. 70.11 (21), (39), and (39m), 70.112 (4) (b) and (5), and 76.074, and for such motor vehicles as are exempt under s. 70.112 (5).

SB70,1550 Section 1550. 76.03 (1) of the statutes is amended to read:

SB70,955,12 76.03 (1) The property, both real and personal, including all rights, franchises and privileges used in and necessary to the prosecution of the business of any company enumerated in s. 76.02 shall be deemed personal property for the purposes of taxation, and shall be valued and assessed together as a unit.

SB70,1551 Section 1551. 76.07 (2) of the statutes is amended to read:

SB70,956,8 76.07 (2) Relation to state valuation; description. The value of the property of each of said companies company for assessment shall be made on the same basis and for the same period of time, as near as may be, as the value of the general property of the state is ascertained and determined. The department shall prepare an assessment roll and place thereon after the name of each of said companies company assessed, the following general description of the property of such company, to wit, which description shall be deemed and held to include the entire property and franchises of the company specified and all title and interest therein: “ Real estate, right-of-way, tracks, stations, terminals, appurtenances, rolling stock, equipment, franchises, and all other real estate and personal property of said the company," in the case of railroads, and; “Real estate, right-of-way, poles, wires, conduits, cables, devices, appliances, instruments, franchises, and all other real and personal property of said the company," in the case of conservation and regulation companies, and; “Real estate, appurtenances, rolling stock, equipment, franchises, and all other real estate and personal property of said the company," in the case of air carrier companies,; and “Land and land rights, structures, improvements, mains, pumping and regulation equipment, services, appliances, instruments, franchises , and all other real and personal property of said company," in the case of pipeline companies, which description shall be deemed and held to include the entire property and franchises of the company specified and all title and interest therein.

SB70,1552 Section 1552. 76.07 (3) of the statutes is amended to read:

SB70,956,24 76.07 (3) Assessment. For the purpose of determining the full market value of the property of each company appearing on the assessment roll, the department may view and inspect the property of such the company and shall consider the reports filed in compliance with s. 76.04 and the reports and returns of the company filed in the office of any officer of this state, and other evidence or information bearing upon the full market value of the property of the company assessed. In case of For companies which that own or use property lying partly within and partly without the state, the department shall value and assess only the property within this state, using the methods under subs. (4g) and (4r). When the full market value of the property of a company within this state has been determined, the amount shall be entered upon the assessment roll opposite the name of the company and shall be the assessment of the entire property of such the company within this state for the levy of taxes thereon, subject to review and correction. The department shall thereupon give notice by certified mail to each company assessed of the amount of its assessment as entered upon such the roll.

SB70,1553 Section 1553. 76.07 (4g) (a) 10. of the statutes is amended to read:

SB70,957,3 76.07 (4g) (a) 10. Determine the depreciated cost of road real property owned or rented by the company and used in the operation of the company's business in this state.

SB70,1554 Section 1554. 76.07 (4g) (a) 11. and 12. of the statutes are repealed.

SB70,1555 Section 1555. 76.07 (4g) (a) 13. of the statutes is amended to read:

SB70,957,8 76.07 (4g) (a) 13. Divide the sum of the amounts under subds amount under subd. 10. and 12. by the depreciated cost of road real property owned or rented by the company everywhere.

SB70,1556 Section 1556. 76.074 of the statutes is created to read:

SB70,957,10 76.074 Property exempt from assessment. (1) In this section:

SB70,957,14 (a) Notwithstanding s. 76.02, “air carrier company" means any person engaged in the business of transportation in aircraft of persons or property for hire on regularly scheduled flights. In this paragraph, “aircraft" has the meaning given in s. 76.02 (1).

SB70,957,15 (b) “Hub facility" means any of the following:

SB70,957,20 1. A facility at an airport from which an air carrier company operated at least 45 common carrier departing flights each weekday in the prior year and from which it transported passengers to at least 15 nonstop destinations, as defined by rule by the department, or transported cargo to nonstop destinations, as defined by rule by the department.

SB70,957,24 2. An airport or any combination of airports in this state from which an air carrier company cumulatively operated at least 20 common carrier departing flights each weekday in the prior year, if the air carrier company's headquarters, as defined by rule by the department, is in this state.

SB70,958,3 (2) Property owned by an air carrier company that operates a hub facility in this state, if the property is used in the operation of the air carrier company, is exempt from taxation under this subchapter and from local assessment and taxation.

SB70,958,5 (3) The personal property, as defined in s. 70.04, of a railroad company is exempt from taxation under this subchapter and from local assessment and taxation.

SB70,1557 Section 1557. 76.08 (1) of the statutes is amended to read:

SB70,959,2 76.08 (1) Notice of the assessments determined under s. 76.07 and of adjustments under s. 76.075 shall be given by certified mail to each company the property of which has been assessed, and the notice of assessment shall be mailed provided on or before the assessment date specified in s. 76.07 (1). Any company aggrieved by the assessment or adjustment of its property thus made may have its assessment or adjustment redetermined by the Dane County circuit court if, within 30 days after notice of assessment or adjustment is mailed provided to the company under s. 76.07 (3), an action for the redetermination is commenced by filing a summons and complaint with that court, and service of authenticated copies of the summons and complaint is made upon the department of revenue. No answer need be filed by the department and the allegations of the complaint in opposition to the assessment or adjustment shall be deemed denied. Upon the filing of the summons and complaint, the court shall set the matter for hearing without a jury. If the plaintiff fails to file the summons and complaint within 5 days of service upon the department, the department may file a copy thereof with the court in lieu of the original. The department may be named as the defendant in any such action and shall appear and be represented by its counsel in all proceedings connected with the action but, on the request of the secretary of revenue, the attorney general may participate with or serve in lieu of departmental counsel. In an action for redetermination of an adjustment, only the issues raised in the department's adjustment under s. 76.075 may be raised.

SB70,1558 Section 1558. 76.10 (1) of the statutes is amended to read:

SB70,959,25 76.10 (1) Every company defined in s. 76.02 shall, on or before October 1 in each year, be entitled, on its own motion, to present evidence before the department relating to the state assessment made in the preceding year pursuant to s. 70.575. On written request, in writing, for such hearing or presentation, the department shall fix a time therefor within 60 days after such the application is filed, the same to be conducted in such manner as the department directs. Notice of such the hearing shall be mailed provided to any company requesting a hearing and shall be published in the official state paper. Within 30 days after the conclusion of such the hearing, the department shall enter an order either affirming the state assessment or ordering correction thereof as provided in sub. (2). A copy of such the order shall be sent by certified mail provided to the company or companies requesting such the hearing and to any interested party who has made an appearance in such the proceeding. The department may, on its own motion, correct such the state assessment. Any company having filed application for review of the state assessment pursuant to this section, or any other interested party participating in such the hearing, if aggrieved by the order entered by the department, may bring an action in the circuit court for Dane County within 30 days after the entry of such the order to have said order set aside and a redetermination made of the state assessment. In any such action or in any hearing before the department pursuant to this section, any interested party may appear and be heard. An interested party includes any division of government whose revenues would be affected by any adjustment of the state assessment.

SB70,1559 Section 1559. 76.13 (2) of the statutes is amended to read:

SB70,960,16 76.13 (2) Every tax roll upon completion shall be delivered to the secretary of administration. The department shall notify, by certified mail, all companies listed on the tax roll of the amount of tax due, which shall be paid to the department. The payment dates provided for in sub. (2a) shall apply. The payment of one-fourth of the tax of any company may, if the company has brought an action in the Dane County circuit court under s. 76.08, be made without delinquent interest as provided in s. 76.14 any time prior to the date upon which the appeal becomes final, but any part of the tax ultimately required to be paid shall bear interest from the original due date to the date the appeal became final at the rate of 12 percent per year and at 1.5 percent per month thereafter until paid. The taxes extended against any company after the same become due, with interest, shall be a lien upon all the property of the company prior to all other liens, claims, and demands whatsoever, except as provided in ss. 292.31 (8) (i) and 292.81, which and the lien may be enforced in an action in the name of the state in any court of competent jurisdiction against the property of the company within the state as an entirety.

SB70,1560 Section 1560. 76.15 (2) of the statutes is amended to read:

SB70,961,4 76.15 (2) The power to reassess the property of any company defined in s. 76.02 and the general property of the state, and to redetermine the average rate of taxation, may be exercised under sub. (1) as often as may be necessary until the amount of taxes legally due from any such company for any year under ss. 76.01 to 76.26 has been finally and definitely determined. Whenever any sum or part thereof, levied upon any property subject to taxation under ss. 76.01 to 76.26 so set aside has been paid and not refunded, the payment so made shall be applied upon the reassessment upon the property, and the reassessment of taxes to that extent shall be deemed to be satisfied. When the tax roll on the reassessment is completed and delivered to the secretary of administration, the department shall immediately notify by certified mail each of the several companies taxed to pay the amount of the taxes extended on the tax roll within 30 days.

SB70,1561 Section 1561. 76.24 (2) (a) of the statutes is amended to read:

SB70,961,16 76.24 (2) (a) All taxes paid by any railroad company derived from or apportionable to repair facilities, docks, ore yards, piers, wharves, grain elevators, and their approaches, or car ferries on the basis of the separate valuation provided for in s. 76.16, shall be distributed annually from the transportation fund to the towns, villages, and cities in which they are located, pursuant to certification made by the department of revenue on or before August 15. Beginning with amounts distributed in 2011 2023, the amount distributed to any town, village, or city under this paragraph may not be less than the amount distributed to it in 2010 2022 under this paragraph. Beginning with amounts distributed in 2024, the amount distributed to any town, village, or city under this paragraph may not be less than the amount distributed in 2022, adjusted by the inflation factor.

SB70,1562 Section 1562. 76.28 (9) of the statutes is amended to read:

SB70,962,5 76.28 (9) Property subject to local tax. The license fees imposed by this section upon the gross revenues of light, heat and power companies as defined in sub. (1) (e) shall be in lieu of all other taxes on all property used and useful in the operation of the business of such companies in this state, except that the same shall be subject to special assessments for local improvements. If a general structure is used and useful in part in the operation of the business of those companies in this state and in part for nonoperating purposes, the license fees imposed by this section are in place of the percentage of all other taxes on the property that fairly measures and represents the extent of the use and usefulness in the operation of the business of those companies in this state, and the balance is subject to local assessment and taxation, except that the entire general structure is subject to special assessments for local improvements. Property under s. 76.025 (2) shall not be taxed under this section, but shall be subject to local assessment and taxation under ch. 70, 2021 stats.

SB70,1563 Section 1563. 76.31 of the statutes is amended to read:

SB70,962,14 76.31 Determination of ad valorem tax receipts for hub facility exemptions. By July 1, 2004, and every Annually, by July 1 thereafter, the department shall determine the total amount of the tax imposed under subch. I of ch. 76 that was paid by each air carrier company, as defined in s. 70.11 (42) (a) 1. 76.02 (1), whose property is exempt from taxation under s. 70.11 (42) (b) 76.074 (2) for the most recent taxable year that the air carrier company paid the tax imposed under subch. I of ch. 76. The total amount determined under this section shall be transferred under s. 20.855 (4) (fm) to the transportation fund.

SB70,1564 Section 1564. 76.639 (1) (e) of the statutes is amended to read:

SB70,962,20 76.639 (1) (e) “Credit period” means the period of 6 10 taxable years beginning with the taxable year in which a qualified development is placed in service. For purposes of this paragraph, if a qualified development consists of more than one building, the qualified development is placed in service in the taxable year in which the last building of the qualified development is placed in service.

SB70,1565 Section 1565. 76.639 (1) (g) of the statutes is amended to read:

SB70,963,6 76.639 (1) (g) “Qualified development” means a qualified low-income housing project under section 42 (g) of the Internal Revenue Code that is financed with tax-exempt bonds, pursuant to section 42 (i) (2) described in section 42 (h) (4) (A) of the Internal Revenue Code, allocated the credit under section 42 of the Internal Revenue Code, and located in this state; except that the authority may waive, in the qualified allocation plan under section 42 (m) (1) (B) of the Internal Revenue Code, the requirements of tax-exempt bond financing and federal credit allocation to the extent the authority anticipates that sufficient volume cap under section 146 of the Internal Revenue Code will not be available to finance low-income housing projects in any year.

SB70,1566 Section 1566. 76.69 of the statutes is repealed.

SB70,1567 Section 1567. 76.82 of the statutes is amended to read:

SB70,963,12 76.82 Assessment. The department , using the methods that it uses to assess property under s. 70.995, shall assess the property that is taxable under s. 76.81, including property that is exempt under s. 70.11 (27) from the tax under ch. 70, at its value as of January 1.

SB70,1568 Section 1568. 76.84 (4) of the statutes is amended to read:

SB70,963,16 76.84 (4) Sections 76.025 (5), 76.03 (4), 76.05, 76.06, 76.075, 76.08, 76.09, 76.13 (1), (2) and (3), 76.14, 76.18, 76.22, 76.23, 76.25 and 76.28 (4) to (6), as they apply to the tax under subch. I, apply to the tax under this subchapter.

SB70,1569 Section 1569 . Chapter 77 (title) of the statutes is amended to read:

SB70,964,6 CHAPTER 77 TAXATION OF FOREST CROPLANDS; REAL ESTATE TRANSFER FEES; SALES AND USE TAXES; COUNTY, Municipality, transit authority, AND SPECIAL DISTRICT SALES AND USE TAXES; MANAGED FOREST LAND; ECONOMIC DEVELOPMENT SURCHARGE; LOCAL FOOD AND BEVERAGE TAX; LOCAL RENTAL CAR TAX; PREMIER RESORT AREA TAXES; STATE RENTAL VEHICLE FEE; DRY CLEANING FEES; regional transit authority fees

SB70,1570 Section 1570. 77.04 (1) of the statutes is amended to read:

SB70,964,23 77.04 (1) Tax roll. The clerk on making up the tax roll shall enter as to each forest cropland description in a special column or some other appropriate place in such tax roll headed by the words “Forest Croplands" or the initials “F.C.L.", which shall be a sufficient designation that such description is subject to this subchapter. Such land shall thereafter be assessed and be subject to review under ch. 70, and such assessment may be used by the department of revenue in the determination of the tax upon withdrawal of such lands as forest croplands as provided in s. 77.10 for entries prior to 1972 or for any entry under s. 77.02 (4) (a). The tax upon withdrawal of descriptions entered as forest croplands after December 31, 1971, may be determined by the department of revenue by multiplying the last assessed value of the land prior to the time of the entry by an annual ratio computed for the state under sub. (2) to establish the annual assessed value of the description. No tax shall be levied on forest croplands except the specific annual taxes as provided, except that any building located on forest cropland shall be assessed as personal real property, subject to all laws and regulations for the assessment and taxation of general property.

SB70,1571 Section 1571 . 77.25 (8m) of the statutes is amended to read:

SB70,964,25 77.25 (8m) Between husband and wife spouses.

SB70,1572 Section 1572. 77.25 (15) of the statutes is amended to read:

SB70,965,7 77.25 (15) Between a corporation and its shareholders if all of the stock is owned by persons who are related to each other as spouses, as lineal ascendants, lineal descendants, an uncle and his nieces or nephews, an aunt and her nieces or nephews, first cousins, or siblings, whether by blood or by adoption, or as spouses of siblings, if the transfer is for no consideration except the assumption of debt or stock of the corporation and if the corporation owned the property for at least 3 years.

SB70,1573 Section 1573. 77.25 (15m) of the statutes is amended to read:

SB70,965,14 77.25 (15m) Between a partnership and one or more of its partners if all of the partners are related to each other as spouses, as lineal ascendants, lineal descendants, an uncle and his nieces or nephews, an aunt and her nieces or nephews, first cousins, or siblings, whether by blood or by adoption, or as spouses of siblings and if the transfer is for no consideration other than the assumption of debt or an interest in the partnership.

SB70,1574 Section 1574. 77.25 (15s) of the statutes is amended to read:

SB70,965,21 77.25 (15s) Between a limited liability company and one or more of its members if all of the members are related to each other as spouses, as lineal ascendants, lineal descendants, an uncle and his nieces or nephews, an aunt and her nieces or nephews, first cousins, or siblings, whether by blood or by adoption, or as spouses of siblings and if the transfer is for no consideration other than the assumption of debt or an interest in the limited liability company.

SB70,1575 Section 1575. 77.51 (3h) of the statutes is created to read:

SB70,965,24 77.51 (3h) “Diaper” means an absorbent garment worn by humans who are incapable of, or have difficulty controlling their bladder or bowel movements.

SB70,1576 Section 1576. 77.51 (3pq) of the statutes is created to read:

SB70,966,4 77.51 (3pq) “Feminine hygiene products” means tampons, panty liners, menstrual cups, sanitary napkins, and other similar tangible personal property designed for feminine hygiene in connection with the human menstrual cycle. “Feminine hygiene products” do not include grooming and hygiene products.

SB70,1577 Section 1577. 77.51 (4f) of the statutes is created to read:

SB70,966,8 77.51 (4f) “Grooming and hygiene products” means soaps and cleaning solutions, shampoo, toothpaste, mouthwash, antiperspirants, and suntan lotions and screens.

SB70,1578 Section 1578. 77.51 (11d) of the statutes is amended to read:

SB70,966,13 77.51 (11d) For purposes of subs. (1ag), (1f), (3pf), (7j), and (9p), and (17g) and ss. 77.52 (20) and (21), 77.522, 77.54 (9g), (51), (52), and (60), and 77.59 (5r), “product" includes tangible personal property, and items, property, and goods under s. 77.52 (1) (b), (c), and (d), and services.

SB70,1579 Section 1579. 77.51 (12t) of the statutes is renumbered 77.51 (12t) (intro.) and amended to read:

SB70,967,4 77.51 (12t) (intro.) “Real property construction activities" means activities that occur at a site where tangible personal property or items or goods under s. 77.52 (1) (b) or (d) that are applied or adapted to the use or purpose to which real property is devoted are permanently affixed to that real property , if the intent of the person who affixes that property is to make a permanent accession to the real property. “Real property construction activities" does not include affixing property subject to tax under s. 77.52 (1) (c) to real property or affixing to real property tangible personal property that remains tangible personal property after it is affixed. The department may promulgate rules to determine whether activities that occur at a site where tangible personal property or items or goods under s. 77.52 (1) (b) or (d) are affixed to real property are real property construction activities for purposes of this subchapter. If the classification of property or an activity is not identified by rule, the department's determination of whether personal property becomes a part of real property shall be made by considering the following criteria:

SB70,1580 Section 1580. 77.51 (12t) (a) to (c) of the statutes are created to read:

SB70,967,6 77.51 (12t) (a) Actual physical annexation to the real property.

SB70,967,8 (b) Application or adaptation to the use or purpose to which the real property is devoted.

SB70,967,10 (c) An intention on the part of the person making the annexation to make a permanent accession to the real property.

SB70,1581 Section 1581. 77.51 (17g) of the statutes is created to read:

SB70,967,13 77.51 (17g) “Separate and optional fee” means a fee charged to receive a distinct and identifiable product if either of the following applies:

SB70,967,18 (a) The fee is in addition to fees that the seller charges for other distinct and identifiable products sold to the same buyer, the fee is separately set forth on the invoice given by the seller to the buyer, and the seller does not require the buyer to pay the fee if the buyer chooses not to receive the additional distinct and identifiable product for which the fee applies.

SB70,967,25 (b) The seller charges a single amount for multiple distinct and identifiable products and offers the buyer the option of paying a lower amount if the buyer chooses not to receive one or more of the distinct and identifiable products. For purposes of this paragraph, the separate and optional fee is the single amount the seller charges for the multiple distinct and identifiable products less the reduced amount the seller charges to the buyer because the buyer chooses not to receive one or more of the products.

SB70,1582 Section 1582. 77.52 (2) (a) 20. of the statutes is amended to read:

SB70,968,9 77.52 (2) (a) 20. The sale of landscaping and lawn maintenance services including landscape planning and counseling, lawn and garden services such as planting, mowing, spraying and fertilizing, and shrub and tree services. For purposes of this subdivision, landscaping and lawn maintenance services do not include planning and counseling services for the restoration, reclamation, or revitalization of prairie, savanna, or wetlands to improve biodiversity, the quality of land, soils, or water, or other ecosystem functions if the planning and counseling services are provided for a separate and optional fee from any other services.

SB70,1583 Section 1583. 77.52 (2) (a) 21. of the statutes is created to read:

SB70,968,19 77.52 (2) (a) 21. The sale of the right to access and use prewritten computer software, as defined in s. 77.51 (10r), if possession of the prewritten computer software is maintained by the seller or a 3rd party, including sales made on a per use, per user, per license, or subscription basis, or some other basis. This subdivision includes the sale of the right to access and use prewritten computer software to perform data processing and information services, regardless of whether the primary purpose of the transaction is the processed data, including check processing, image processing, form processing, survey processing, payroll processing, claim processing, and similar activities.

SB70,1584 Section 1584. 77.52 (2m) (a) of the statutes is amended to read:

SB70,968,25 77.52 (2m) (a) With respect to the services subject to tax under sub. (2), no part of the charge for the service may be deemed a sale or rental of tangible personal property or items, property, or goods under sub. (1) (b), (c), or (d) if the property, items, or goods transferred by the service provider are incidental to the selling, performing or furnishing of the service, except as provided in par. pars. (b) and (c).

SB70,1585 Section 1585. 77.52 (2m) (c) of the statutes is created to read:

SB70,969,9 77.52 (2m) (c) With respect to services subject to tax under sub. (2) (a) 7., 10., 11., and 20. that are provided for a separate and optional fee from the planning and counseling services described under sub. (2) (a) 20., all tangible personal property or items, property, or goods under sub. (1) (b), (c), or (d) physically transferred, or transferred electronically, to the customer in conjunction with the provision of the services subject to tax under sub. (2) (a) 7., 10., 11., and 20. is a sale of tangible personal property or items, property, or goods separate from the selling, performing, or furnishing of the services.

SB70,1586 Section 1586. 77.52 (13) of the statutes is amended to read:

SB70,969,22 77.52 (13) For the purpose of the proper administration of this section and to prevent evasion of the sales tax it shall be presumed that all receipts are subject to the tax until the contrary is established. The burden of proving that a sale of tangible personal property, or items, property, or goods under sub. (1) (b), (c), or (d), or services is not a taxable sale at retail is upon the person who makes the sale unless that person takes from the purchaser an electronic or a paper certificate, in a manner prescribed by the department, to the effect that the property, item, good, or service is purchased for resale or is otherwise exempt, except that no certificate is required for the sale of tangible personal property, or items, property, or goods under sub. (1) (b), (c), or (d), or services that are exempt under s. 77.54 (5) (a) 3., (7), (7m), (8), (10), (11), (14), (15), (17), (20n), (21), (22b), (31), (32), (35), (36), (37), (42), (44), (45), (46), (51), (52), (66), and (67), (70), (72), and (73).