Not applicable.
2. Detailed Description of the Objective of the Proposed Rule
The objectives of the rule are to:
• Revise ss.
Tax 2.67 and
2.82 to change references to certain corporate franchise and income tax forms that are being consolidated and renamed as a result of forms redesign.
• Revise s.
Tax 2.88 (3) to reflect that refund interest may not be paid on an overpayment that results from the carryback of a net operating loss. This provision is under s.
71.05 (8) (c), Stats., as created by
2013 Wis. Act 145.
• Amend s.
Tax 4.10 (3) (b) 2. to reflect the removal by
2013 Wis. Act 54 of limits on the capacity of a vehicle transporting fuel and the distance between the destination of the import or export of fuel from a bulk plant and the Wisconsin border.
• Revise s.
Tax 4.65 (3) (c) to reflect that
2013 Wis. Act 204 provides that exemption certificates used to claim exemption from the motor vehicle fuel tax on gasoline or diesel fuel are valid for 3 years.
• Amend s.
Tax 14.01 to include Schedule H-EZ as a form for claiming homestead credit.
• Revise s.
Tax 14.03 to reflect the current amount of the dependent deduction under s.
71.52 (5), Stats.; include net operating loss carrybacks as an item includable in income under s.
71.52 (6), Stats., as amended by
2013 Wis. Act 184; and clarify that only nontaxable pension rollovers are excluded from income.
3. Description of Existing Policies Relevant to the Rule, New Policies Proposed to be Included in the Rule, and an Analysis Of Policy Alternatives
Existing policies are as set forth in the rules. New policy is being proposed to reflect the law changes described above. If the rules are not changed, they will be incorrect in that they will not reflect current law or current department policy.
4. Detailed explanation of statutory authority for the rule (including the statutory citation and language)
Under s.
71.80 (1) (c), Stats., the department may make such regulations as it shall deem necessary in order to carry out chapter 71 of the Wisconsin Statutes, relating to income and franchise taxes. This provision applies to the revision of ss.
Tax 2.05,
2.61,
2.67,
2.82,
2.88,
14.01, and
14.03.
Section
78.79, Stats., provides “[t]he department may promulgate reasonable rules relating to the administration and enforcement of this chapter
…" This provision applies to the revision to ss.
Tax 4.10 and
4.65 (3) (c).
Section
227.04 (2m), Stats., requires each agency to promulgate a rule that requires the agency to disclose in advance the discretion that the agency will follow in the enforcement of rules against a small business that has committed a minor violation. This provision applies to the repeal and recreation of s.
Tax 1.15.
5. Estimate of Amount of Time that State Employees Will Spend Developing the Rule and of Other Resources Necessary to Develop the Rule
The department estimates it will take approximately 100 hours to develop the rule.
6. List with Description of all Entities that may be Affected by the Proposed Rule
Tax professionals, businesses, and others who rely on clear, current, and concise rules
7. Summary and Preliminary Comparison with any Existing or Proposed Federal Regulation that is Intended to Address the Activities to be Regulated by the Proposed Rule
There is no existing or proposed federal regulation that is intended to address the activities to be regulated by the rule.
8. Anticipated Economic Impact of Implementing the Rule (Note if the Rule is Likely to Have a Significant Economic Impact on Small Businesses)
No economic impact is anticipated.
9. Contact Person
Dale Kleven, (608) 266-8253.
Revenue
This scope statement was approved by the governor on July 24, 2014
Rule No.
Relating to
Sales and use tax provisions.
Rule Type
Permanent.
1. Finding / Nature of Emergency (Emergency Rule Only)
Not applicable.
2. Detailed Description of the Objective of the Proposed Rule
The objectives of the rule are (1) reflect various law changes, (2) clarify multiple rules, and (3) correct an error in current rule provisions.
a. Aircraft
• Clarify Rule. Amend s.
Tax 11.84 (1), to add that a credit is permitted against the Wisconsin use tax paid to another state where the aircraft was purchased.
• Exemption for Aircraft Parts, Maintenance, and Labor. Reflect
2013 Wisconsin Act 185, which repeals and recreates the exemption in s.
77.54 (5) (a), Stats., and amends s.
77.52 (2) (a) 10., Stats. These provisions exempt the sale of aircraft parts, as well as the services performed to aircraft. This requires updates to s.
Tax 11.84.
b. Bad Debts — Private Label Credit Card Companies. Reflect 2013 Wisconsin Act 229, which allows sales tax return adjustments for bad debts incurred by private label credit card companies and dual purpose credit card companies. This requires an update to s. Tax 11.30 (2).
c. Clarify Rule. Amend s.
Tax 11.11 (3), to clarify that the list of facilities is not an all-inclusive list but only types of municipal waste facilities recognized by the department.
d. Common Motor Carriers.
• Reflect
2013 Wisconsin Act 364, which amends the definition of "common motor carrier" in s.
194.01 (1), Stats. For purposes of the sales and use tax exemption in sec. 77.54 (5) (b), Stats., “common carrier" has the same meaning as s.
194.01 (1), Stats. This requires updates to s.
Tax 11.16.
• Clarify Rule. Amend s.
Tax 11.16 (1) (b), to include “cell phones," “tracking devices," “GPS units," and “on board recorders" to the list of items in the rule to make it clear that these items qualify as exempt accessories and attachments if they are assigned to and carried on vehicles used exclusively as common and contract carriers.
e. Construction Contractors.
• Clarify Rule. Amend the example following s.
Tax 11.68 (3) (b), to remove “hot" from “hot water heater" in the example.
• Clarify Rule. Amend s.
Tax 11.68 (6) (d), to include “underground wiring" to the list of items in the rule to make it clear that the underground wiring becomes part of the realty.
• Clarify Rule. Amend s.
Tax 11.68 (7) (a) 2, by removing “satellite dishes" from items listed. Create additional item number to be inserted in between s.
Tax 11.68 (7) (a) 6. &
7. that clarifies tax treatment for both satellite dishes mounted to concrete foundation and the compact roof mounted satellite dishes that are installed in a residence or a business. Renumber remaining items accordingly.
• Clarify Rule. Amend s.
Tax 11.68 (11) (c), to clarify that the items listed only retain their character as tangible personal property for repair, service, alteration, fitting, cleaning, painting, coating, towing, inspection, and maintenance.
f. Correct Error. Amend s.
Tax 11.945 (2) (intro.), to remove "telecommunications message services" from the list, since "telecommunications message services" are sourced under the general sourcing hierarchy.
g. Fertilizer Blending, Feed Milling, and Grain Drying Machinery and Equipment. Reflect
2013 Wisconsin Act 324, which creates exemptions in s.
77.54 (6) (am) 4. and
5., Stats., for equipment used in a fertilizer blending, feed milling, or grain drying operation and building materials used in constructing or repairing certain holding structures used in a fertilizer blending, feed milling, or grain drying operation. This requires the creation of s.
Tax 11.68 (4) (h). It will also be useful to (1) create a new section to explain the exemption, and (2) add examples to s.
Tax 11.68 (6) and
(7).
h. Grocers' Guidelist.
• Clarify Rule. Amend s.
Tax 11.51 (2) (a), to include potato chips that are chocolate covered in the taxable list, unless they contain flour.
• Clarify Rule. Amend s.
Tax 11.51 (2) (b), to clarify “chips, potato, corn and similar items" and “potato chips" are exempt unless they are chocolate covered and do not contain flour as provided in par. (a).
• Clarify Rule. Amend s.
Tax 11.51 (2) (b), to clarify “ice cream in cones" is exempt only when prepackaged by someone other than the retailer.
j. Radio and Television Broadcasting Equipment. Reflect
2013 Wisconsin Act 346, which creates an exemption in s.
77.54 (23n), Stats., for property used by certain commercial radio and television stations. This requires an update to s.
Tax 11.63.
3. Description of Existing Policies Relevant to the Rule, New Policies Proposed to be Included in the Rule, and an Analysis of Policy Alternatives
Existing policies are as set forth in ch.
Tax 11. New policy is being proposed to reflect the law changes described above. If the rules are not changed, they will not correctly and clearly reflect current law or current department policy.
4. Detailed Explanation of Statutory Authority for the Rule (Including the Statutory Citation and Language)
Section
77.65 (3), Stats., provides “t]he department may promulgate rules to administer this section
…"
Section
227.11 (2) (a), Stats., provides “[e]ach agency may promulgate rules interpreting the provisions of any statute enforced or administered by the agency, if the agency considers it necessary to effectuate the purpose of the statute..."
5. Estimate of Amount of Time that State Employees Will Spend Developing the Rule and of Other Resources Necessary to Develop the Rule
The department estimates it will take approximately 100 hours to develop the rule.
6. List with Description of all Entities that may be Affected by the Proposed Rule
Purchasers and sellers of the products described above.
7. Summary and Preliminary Comparison with any Existing or Proposed Federal Regulation that is Intended to Address the Activities to be Regulated by the Proposed Rule
There is no existing or proposed federal regulation that is intended to address the activities to be regulated by the rule.
8. Anticipated Economic Impact of Implementing the Rule (Note if the Rule is Likely to Have a Significant Economic Impact on Small Businesses)
No economic impact is anticipated.
9. Contact Person
Dale Kleven, (608) 266-8253.
Safety and Professional Services —
Examining Board of Architects, Landscape Architects, Professional Engineers, Designers and Land Surveyors
The scope statement was approved by the Governor on July 23, 2014.
Rule No.
Relating to
Requirements for entrance to examinations.
Rule Type
Permanent.
1. Finding/Nature of Emergency (Emergency Rule Only)
None
