560.763(1)(c)
(c) Assist the department in the administration of the development zone program.
560.763(4)
(4) The local governing body of a 1st class city where a development zone is designated under
s. 560.71 (3) (c) 1. shall enter into an agreement with the department to provide efficient administration of the development zone program within the development zone.
560.763 History
History: 1987 a. 328;
1995 a. 209.
560.765
560.765
Certification for tax benefits. The department shall do all of the following:
560.765(1)
(1) Evaluate the likelihood that a person applying for tax benefits engages or will engage in economic activity consistent with the development zone plan.
560.765(2)
(2) Determine whether a person applying for tax benefits engages or will engage in economic activity which violates
s. 560.78 (1).
560.765(3)
(3) Subject to
s. 560.78, certify persons who are eligible to claim tax benefits while an area is designated as a development zone, according to the following criteria:
560.765(3)(a)
(a) The likelihood that the person will continue to conduct economic activity in the area following expiration of the designation of the area as a development zone.
560.765(3)(bm)
(bm) The person's commitment to use techniques or processes that reduce or eliminate the use of ozone-depleting substances that are listed as class I substances under
42 USC 7671a.
560.765(3)(c)
(c) The number of jobs that will be created, retained or substantially upgraded as a result of the person's economic activity in relation to the amount of tax benefits estimated for the person under
sub. (4).
560.765(3)(d)
(d) The person's plans to make reasonable attempts to hire employes from the targeted population.
560.765(3)(e)
(e) The amount the person proposes to invest in a business, or spend on the construction, rehabilitation, repair or remodeling of a building, located within the development zone.
560.765(3)(f)
(f) The likelihood that the person's economic activity will attract other forms of economic activity to the development zone.
560.765(3)(g)
(g) Whether the person's proposed economic activity is consistent with the development zone plan.
560.765(3)(h)
(h) The effects of the person's proposed investment on the economic and social well-being of the targeted population.
560.765(3)(i)
(i) The likelihood that tax benefits claimed by the person will enable the department to meet the requirements of
s. 560.75 (9).
560.765(3)(j)
(j) Any other criteria established under rules promulgated by the department.
560.765(4)
(4) Within 3 months after a person is certified under
sub. (3), estimate the amount of tax benefits that the person will claim while an area is designated as a development zone.
560.765(5)
(5) Provide a person certified under
sub. (3) and the department of revenue with a copy of the certification. The certification shall include all of the following:
560.765(5)(b)
(b) The appropriate Wisconsin tax identification number of the person.
560.765(5)(c)
(c) The names and addresses of other locations outside of the development zone where the person conducts business and a description of the business activities conducted at those locations.
560.765(5)(d)
(d) The estimated total investment of the person in the development zone.
560.765(5)(e)
(e) The estimated number of jobs that will be created, retained or significantly upgraded in the development zone because of the person's business.
560.765(5)(f)
(f) An estimate of the number or percentage of jobs described in
par. (e) that are or will likely be held by members of the targeted population.
560.765(5)(g)
(g) The limit under
s. 560.768 on tax benefits the person may claim while an area is designated as a development zone.
560.765(5)(h)
(h) Other information required by the department or the department of revenue.
560.768
560.768
Limits on tax benefit to certified person. 560.768(1)(a)(a) The department shall establish a limit on the maximum amount of tax benefits a person certified under
s. 560.765 (3) may claim while an area is designated as a development zone. The limit may specify a minimum amount of the total tax benefits that may be used exclusively for the credits under
ss. 71.07 (2dj),
71.28 (1dj) and
71.47 (1dj), subject to
s. 560.75 (9).
560.768(1)(b)
(b) When establishing a limit on tax benefits under
par. (a), the department shall do all of the following:
560.768(1)(b)2.
2. Establish a limit which does not greatly exceed a recommended limit, established under rules promulgated by the department based on the cost, number and types of jobs that will be created, retained or upgraded, including jobs available to members of the targeted population, as a result of the economic activity of the person certified under
s. 560.765 (3).
560.768(2)
(2) The department may, upon request, increase a limit on tax benefits established under
sub. (1) if the department does all of the following:
560.768(2)(b)
(b) Revises the certification required under
s. 560.765 (5) and provides a copy of the revised form to the department of revenue and the person whose limit is increased under this subsection.
560.768(3)(a)(a) The department may reduce a limit established under
sub. (1) or
(2) if the department determines that any of the following apply:
560.768(3)(a)2.
2. The information on which the limit is based was inaccurate or significantly misestimated.
560.768(3)(b)
(b) The department shall notify the department of revenue and the person whose limit on tax benefits is reduced under
par. (a) and provide a written explanation to the person of the reasons for reducing the limit.
560.768 History
History: 1987 a. 328;
1989 a. 31,
56.
560.77
560.77
Revocation of certification. 560.77(1)
(1) The department shall revoke the certification of a person certified under
s. 560.765 (3) if the person does any of the following:
560.77(1)(a)
(a) Supplies false or misleading information to obtain certification.
560.77(1)(c)
(c) Leaves the development zone to conduct substantially the same business outside of the development zone.
560.77(1)(d)
(d) Ceases operations in the development zone and does not renew operation of the trade or business or a similar trade or business in the development zone within 12 months.
560.77(2)
(2) The department shall notify the department of revenue within 30 days of revoking a certification under
sub. (1).
560.77 History
History: 1987 a. 328.
560.78
560.78
Certification prohibited in certain cases. 560.78(1)(1) Except as provided in
subs. (2) and
(3), no person may be certified under
s. 560.765 (3), or a person's certification may be revoked under
s. 560.77, if the proposed new business, expansion of an existing business or other proposed economic activity in a development zone would do or does any of the following:
560.78(1)(a)
(a) Result in the direct loss of jobs at another of the person's business locations in this state outside of the development zone.
560.78(1)(b)
(b) Likely result in the direct transfer of employes from a business location in this state to a business location in the development zone.
560.78(2)
(2) Subsection (1) does not apply if, after a hearing, the department, or the local governing body under
sub. (3) (a), determines that any of the following apply:
560.78(2)(a)
(a) The total number of jobs provided by the person in this state would be reduced if the person were not certified under
s. 560.765 (3) or if the person's certification were revoked.
560.78(3)(a)(a) Except as provided in
par. (b), if the economic activity for which a person is seeking certification under
s. 560.765 (3) is the relocation of a business into a development zone from a location that is outside the development zone but within the limits of a city, village, town or federally recognized American Indian reservation in which that development zone is located, the local governing body that nominated that area as a development zone under
s. 560.72 shall determine whether
sub. (2) (a) or
(b) applies.
560.78(3)(b)
(b) Only the department may determine whether
sub. (2) (a) or
(b) applies to a business relocation described in
par. (a) if the business relocation would likely result in the loss of jobs at or transfer of employes from a business location that is in this state but outside the limits of any city, village, town or federally recognized American Indian reservation in which the development zone is located.
560.78 History
History: 1987 a. 328;
1993 a. 275.
560.795
560.795
Development opportunity zones. 560.795(1)
(1)
Designation of development opportunity zones. The following areas are designated as development opportunity zones:
560.795(1)(a)
(a) An area in the city of Beloit, the legal description of which is provided to the department by the local governing body of the city of Beloit.
560.795(1)(b)
(b) An area in the city of West Allis, the legal description of which is provided to the department by the local governing body of the city of West Allis.
560.795(1)(c)
(c) An area in the city of Eau Claire, the legal description of which is provided to the department by the local governing body of the city of Eau Claire.
560.795(2)(a)(a) Except as provided in
par. (d), the designation of each area under
sub. (1) as a development opportunity zone shall be effective for 36 months, with the designation of the areas under
sub. (1) (a) and
(b) beginning on April 23, 1994, and the designation of the area under
sub. (1) (c) beginning on April 28, 1995.
560.795(2)(b)1.1. The limit for tax benefits for the development opportunity zone under
sub. (1) (a) is $7,000,000.
560.795(2)(b)2.
2. The limit for tax benefits for the development opportunity zone under
sub. (1) (b) is $3,000,000.
560.795(2)(b)3.
3. The limit for tax benefits for the development opportunity zone under
sub. (1) (c) is $3,000,000.
560.795(2)(c)
(c) Annually, the department shall estimate the amount of foregone state revenue because of tax benefits claimed by corporations in each development opportunity zone.
560.795(2)(d)1.1. Notwithstanding
par. (a), the designation of an area as a development opportunity zone shall expire 90 days after the day on which the department determines that the foregone tax revenues under
par. (c) will equal or exceed the limit for the development opportunity zone.
560.795(2)(d)2.
2. The department shall immediately notify the local governing body of the city in which the development opportunity zone is located of a change in the expiration date of the development opportunity zone under this paragraph.
560.795(3)
(3) Application and entitlement to tax benefits. 560.795(3)(a)1.1. Any corporation that is conducting or that intends to conduct economic activity in a development opportunity zone under
sub. (1) (a) or
(b) and that, in conjunction with the local governing body of the city in which the development opportunity zone is located, submits a project plan as described in
par. (b) to the department no later than 6 months after April 23, 1994, shall be entitled to claim tax benefits while the area is designated as a development opportunity zone.
560.795(3)(a)2.
2. Any corporation that is conducting or that intends to conduct economic activity in a development opportunity zone under
sub. (1) (c) and that, in conjunction with the local governing body of the city in which the development opportunity zone is located, submits a project plan as described in
par. (b) to the department no later than 6 months after April 28, 1995, shall be entitled to claim tax benefits while the area is designated as a development opportunity zone.
560.795(3)(b)
(b) A project plan under
par. (a) shall include all of the following:
560.795(3)(b)1.
1. The name and address of the corporation's business for which tax benefits will be claimed.
560.795(3)(b)2.
2. The appropriate federal tax identification number of the corporation.
560.795(3)(b)3.
3. The names and addresses of other locations outside of the development opportunity zone where the corporation conducts business and a description of the business activities conducted at those locations.
560.795(3)(b)4.
4. The amount that the corporation proposes to invest in a business, or spend on the construction, rehabilitation, repair or remodeling of a building, located within the development opportunity zone.
560.795(3)(b)5.
5. The estimated total investment of the corporation in the development opportunity zone.
560.795(3)(b)6.
6. The number of jobs that will be created, retained or substantially upgraded as a result of the corporation's economic activity in relation to the amount of tax benefits estimated for the corporation.
