71.09(13)(d)
(d) If 22.5% for the first instalment, 45% for the 2nd instalment, 67.5% for the 3rd instalment and 90% for the 4th instalment of the tax for the taxable year computed by annualizing, under methods prescribed by the department of revenue, the taxpayer's income for the months in the taxable year ending before the instalment's due date is less than the instalment required under
par. (a), the taxpayer may pay the amount under this paragraph rather than the amount under
par. (a). Any taxpayer who pays an amount calculated under this paragraph shall increase the next instalment computed under
par. (a) by an amount equal to the difference between the amount paid under this paragraph and the amount that would have been paid under
par. (a). The income of any estate or trust for the months in the taxable year ending before the date one month before the due date for the instalment shall be annualized in calculating the instalments under this paragraph.
71.09(14)
(14) Exception to final instalment. If a taxpayer files a return for a calendar year on or before January 31 of the succeeding calendar year (or if a taxpayer on a fiscal year basis files a return on or before the last day of the first month immediately succeeding the close of such fiscal year) and pays in full at the time of such filing the amount computed on the return as payable, then, if estimated taxes are not required to be paid on or before the 15th day of the 9th month of the taxable year but are required to be paid on or before January 15 of the succeeding taxable year (or the date corresponding thereto in the case of a fiscal year), such return shall be considered as such payment.
71.09(15)(a)(a) Any individual deriving income from wages, as defined in
s. 71.63 (6), which is subject to taxation under this chapter who pays 100% of the estimated tax for the following calendar or taxable year on or before the last day of the current calendar or taxable year is entitled to complete exemption from payroll withholding under
subch. X for such following calendar or taxable year.
71.09(15)(b)
(b) No employer shall recognize exemption from payroll withholding for any employe who does not furnish a certificate prepared by the department of revenue satisfactorily showing that the employe has paid the estimated tax within the time and manner prescribed in this subsection with respect to the calendar or taxable year for which such exemption is sought.
71.09(15)(c)
(c) So far as applicable the additions to tax prescribed in this section shall apply to estimated taxes paid under this subsection.
71.09(15)(d)
(d) No employer shall force or attempt to coerce an employe into estimating and prepaying his or her income taxes. The penalty under
s. 71.83 (2) (a) 4. applies to any employer who violates this paragraph.
71.09(16)
(16) Joint payments. Married persons may jointly pay estimated taxes unless either spouse is a nonresident alien or the spouses have different taxable years. If they do pay jointly, the provisions under this section applicable to individuals are applicable to the married persons jointly. If a married person files a separate return for a taxable year for which a joint payment was made, the payments may be allocated between themselves as they choose, but if they do not agree on an allocation the department of revenue shall allocate the payments to each spouse on the basis of the ratio of taxes shown on their separate returns or pursuant to default assessment under
s. 71.74 (3). If either spouse pays separately, no part of the payment may be allocated to the other spouse.
71.10
71.10
General provisions. 71.10(1)(1)
Allocation of gross income, deductions, credits between 2 or more businesses. In any case of 2 or more organizations, trades or businesses (whether or not incorporated, whether or not organized in the United States and whether or not affiliated) owned or controlled directly or indirectly by the same interests, the secretary or the secretary's delegate may distribute, apportion or allocate gross income, deductions, credits or allowances between or among such organizations, trades or businesses, if the secretary determines that such distribution, apportionment or allocation is necessary in order to prevent evasion of taxes or clearly to reflect the income of any of such organizations, trades or businesses.
71.10(2)
(2) Assessment of income distributable to a nonresident beneficiary. The income of a trust distributable or distributed to a nonresident beneficiary shall be assessed as the income of other nonresidents is assessed. No personal exemptions shall be allowed in assessing the income of such nonresident beneficiary unless that person makes a complete return under this chapter.
71.10(3)(a)(a) Every individual filing an income tax return who has a tax liability or is entitled to a tax refund may designate $1 for the Wisconsin election campaign fund for the use of eligible candidates under
s. 11.50. If the individuals filing a joint return have a tax liability or are entitled to a tax refund, each individual may make a designation of $1 under this subsection.
71.10(3)(b)
(b) The secretary of revenue shall provide a place for those designations on the face of the individual income tax return and shall provide next to that place a statement that a designation will not increase tax liability. Annually on August 15, the secretary of revenue shall certify to the elections board, the department of administration and the state treasurer under
s. 11.50 the total amount of designations made during the preceding fiscal year. If any individual attempts to place any condition or restriction upon a designation, that individual is deemed not to have made a designation on his or her tax return.
71.10(3)(c)
(c) The names of persons making designations under this subsection shall be strictly confidential.
71.10(4)
(4) Computation order. Notwithstanding any other provisions in this chapter, all persons other than corporations computing liability for the tax under
s. 71.02 shall make computations in the following order:
71.10(4)(f)
(f) Alternative minimum tax under
s. 71.08, including any surtax on alternative minimum tax.
71.10(4)(i)
(i) The total of claim of right credit under
s. 71.07 (1), farmland preservation credit under
subch. IX, homestead credit under
subch. VIII, farmland tax relief credit under
s. 71.07 (3m), farmers' drought property tax credit under
s. 71.07 (2fd), earned income tax credit under
s. 71.07 (9e), estimated tax payments under
s. 71.09, and taxes withheld under
subch. X.
71.10(5)(a)2.
2. "Endangered resources program" means purchasing or improving land or habitats for any native Wisconsin endangered or threatened species as defined in
s. 29.415 (2) (a) or
(b) or for any nongame species as defined in
s. 29.01 (10), conducting wildlife and resource research and surveys and providing wildlife management services, providing for wildlife damage control or the payment of claims for damage associated with endangered or threatened species, repaying the general fund for amounts expended under
s. 20.370 (1) (fb) in fiscal year 1983-84 and the payment of administrative expenses related to the administration of this subsection.
71.10(5)(b)1.1. Designation on return. Any individual filing an income tax return may designate on the return any amount of additional payment or any amount of a refund due that individual for the endangered resources program.
71.10(5)(b)2.
2. Designation added to tax owed. If the individual owes any tax, the individual shall remit in full the tax due and the amount designated on the return for the endangered resources program when the individual files a tax return.
71.10(5)(b)3.
3. Designation deducted from refund. Except as provided under
par. (d) if the individual is owed a refund for that year after crediting under
ss. 71.75 (9) and
71.80 (3), the department of revenue shall deduct the amount designated on the return for the endangered resources program from the amount of the refund.
71.10(5)(c)
(c)
Errors; failure to remit correct amount. If an individual who owes taxes fails to remit an amount equal to or in excess of the total of the actual tax due, after error corrections, and the amount designated on the return for the endangered resources program:
71.10(5)(c)1.
1. The department shall reduce the designation for the endangered resources program to reflect the amount remitted in excess of the actual tax due, after error corrections, if the individual remitted an amount in excess of the actual tax due, after error corrections, but less than the total of the actual tax due, after error corrections, and the amount originally designated on the return for the endangered resources program.
71.10(5)(c)2.
2. The designation for the endangered resources program is void if the individual remitted an amount equal to or less than the actual tax due, after error corrections.
71.10(5)(d)
(d)
Errors; insufficient refund. If an individual who is owed a refund which does not equal or exceed the amount designated on the return for the endangered resources program, after crediting under
ss. 71.75 (9) and
71.80 (3) and after error corrections, the department shall reduce the designation for the endangered resources program to reflect the actual amount of the refund the individual is otherwise owed, after crediting under
ss. 71.75 (9) and
71.80 (3) and after error corrections.
71.10(5)(e)
(e)
Conditions. If an individual places any conditions on a designation for the endangered resources program, the designation is void.
71.10(5)(f)
(f)
Void designation. If a designation for the endangered resources program is void, the department of revenue shall disregard the designation and determine amounts due, owed, refunded and received without regard to the void designation.
71.10(5)(g)
(g)
Tax return. The secretary of revenue shall provide a place for the designations under this subsection on the individual income tax return and the secretary shall highlight that place on the return by a symbol chosen by the department of revenue that relates to endangered resources.
71.10(5)(h)
(h)
Certification of amounts. Annually, on or before September 15, the secretary of revenue shall certify to the department of natural resources, the department of administration and the state treasurer:
71.10(5)(h)1.
1. The total amount of the administrative costs, including data processing costs, incurred by the department of revenue in administering this subsection during the previous fiscal year.
71.10(5)(h)3.
3. The total amount received from all designations for the endangered resources program made by taxpayers during the previous fiscal year.
71.10(5)(h)4.
4. The net amount remaining after the administrative costs, including data processing costs, under
subd. 1. are subtracted from the total received under
subd. 3.
71.10(5)(h)5.
5. From the moneys received from designations for the endangered resources program, an amount equal to the sum of administrative expenses, including data processing costs, certified under
subd. 1. shall be deposited in the general fund and credited to the appropriation under
s. 20.566 (1) (hp), and the net amount remaining certified under
subd. 4. shall be deposited in the conservation fund and credited to the appropriation under
s. 20.370 (1) (fs).
71.10(5)(h)6.
6. Amounts designated for the endangered resources program under this subsection are not subject to refund to the taxpayer unless the taxpayer submits information to the satisfaction of the department within 18 months after the date taxes are due or the date the return is filed, whichever is later, that the amount designated is clearly in error. Any refund granted by the department of revenue under this subdivision shall be deducted from the moneys received under this subsection in the fiscal year that the refund is certified.
71.10(6)(a)(a)
Joint returns. Persons filing a joint return are jointly and severally liable for the tax, interest, penalties, fees, additions to tax and additional assessments under this chapter applicable to the return. A person shall be relieved of liability in regard to a joint return in the manner specified in section
6013 (e) of the internal revenue code, notwithstanding the amount or percentage of the understatement.
71.10(6)(b)
(b)
Separate returns. A spouse filing a separate return may be relieved of liability for the tax, interest, penalties, fees, additions to tax and additional assessments under this chapter with regard to unreported marital property income in the manner specified in section
66 (c) of the internal revenue code. The department may not apply
ch. 766 in assessing a taxpayer with respect to marital property income the taxpayer did not report if that taxpayer failed to notify the taxpayer's spouse about the amount and nature of the income before the due date, including extensions, for filing the return for the taxable year in which the income was derived. The department shall include all of that marital property income in the gross income of the taxpayer and exclude all of that marital property income from the gross income of the taxpayer's spouse.
71.10(6)(c)
(c)
Marital property agreements. The department of revenue shall notify a taxpayer whose separate return is under audit that a marital property agreement or unilateral statement under
ch. 766 is effective for tax purposes for any period during which both spouses are domiciled in this state only if it is filed with the department before any assessment resulting from the audit is issued. A marital property agreement or unilateral statement under
ch. 766 does not affect the determination of the income that is taxable by this state, or of the person who is required to report taxable income to this state, during the period that one or both spouses are not domiciled in this state or if it was not filed with the department before an assessment was issued.
71.10(6)(d)
(d)
Part-year residents and nonresidents. If a spouse is not domiciled in this state for the entire taxable year, the tax liability and reporting obligation of both spouses during the period a spouse is not domiciled in this state shall be determined without regard to
ch. 766 except as provided in this chapter.
71.10(6m)
(6m) Returns of formerly married and remarried persons. 71.10(6m)(a)(a) A formerly married or remarried person filing a return for a period during which the person was married may be relieved of liability for the tax, interest, penalties, fees, additions to tax and additional assessments under this chapter for unreported marital property income from that period as if the person were a spouse under section
66 (c) of the internal revenue code. The department may not apply
ch. 766 in assessing the former spouse of the person with respect to marital property income that the former spouse did not report if that former spouse failed to notify the person about the amount and nature of the income before the due date, including extensions, for filing the return for the taxable year during which the income was derived. The department shall include all of that marital property income in the gross income of the former spouse and exclude all of that marital property income from the gross income of the person.
71.10(6m)(b)
(b) The department may not apply
ch. 766 or
s. 71.55 (1),
71.61 (1) or
71.80 (3) or
(3m) to collect from an individual for any tax liability owed to the department by the individual or by the former spouse of the individual if a judgment of divorce under
ch. 767 apportions that liability to the former spouse of the individual and if the individual includes with his or her tax return a copy of that portion of the judgment of divorce that relates to the apportionment of tax liability.
71.10(7)
(7) Minnesota income tax reciprocity. 71.10(7)(a)(a) For purposes of income tax reciprocity reached with the state of Minnesota under
s. 71.05 (2), whenever the income taxes on residents of one state which would have been paid to the 2nd state without reciprocity exceed the income taxes on residents of the 2nd state which would have been paid to the first state without reciprocity, the state with the net revenue loss shall receive from the other state the amount of the loss. Interest shall be payable on all delinquent balances relating to taxable years beginning after December 31, 1977. The secretary of revenue may enter into agreements with the state of Minnesota specifying the reciprocity payment due date, conditions constituting delinquency, interest rates and the method of computing interest due on any delinquent amounts.
71.10(7)(b)
(b) The data used for computing the loss to either state shall be determined by the respective departments of revenue of both states on or before November 1 of the year following the close of the previous calendar year. If an agreement cannot be reached as to the amount of the loss, the secretary of revenue of this state and the commissioner of taxation of the state of Minnesota shall each appoint a member of a board of arbitration and these members shall appoint a 3rd member of the board. The board shall select one of its members as chairperson. The board may administer oaths, take testimony, subpoena witnesses and require their attendance, require the production of books, papers and documents and hold hearings at such places as it deems necessary. The board shall then make a determination as to the amount to be paid the other state which shall be conclusive. This state shall pay no more than one-half of the cost of such arbitration.
71.10(7m)
(7m) Discharge of indebtedness; modifications. If a person excludes from gross income an amount of income from a discharge of indebtedness because of discharges of debts described under section
108 (a) of the internal revenue code, the person shall make the adjustments specified in section
108 (b) of the internal revenue code, but the net operating loss under
s. 71.01 (14), not the federal net operating loss, and Wisconsin credits, not federal credits, and the capital loss carry-forward as limited under
s. 71.05 (10) (c), not the federal capital loss carry-forward, shall be applied, and the reduction rate for a credit carry-over is 6.93%, not 33 1/3%.
71.10(8)
(8) Penalties. Unless specifically provided in this subchapter, the penalties under
subch. XIII apply for failure to comply with this subchapter unless the context requires otherwise.
71.10(9)
(9) Publication of standard deduction and tax brackets. The department of revenue shall annually publish notice of the standard deduction amounts and the brackets for the individual income tax in the administrative register.
SPECIAL PROVISIONS APPLICABLE TO FIDUCIARIES
71.12
71.12
Conformity. Unless specifically provided in this subchapter, fiduciaries shall be subject to all of the provisions, requirements and liabilities of this chapter, so far as applicable, unless the context requires otherwise.
71.12 History
History: 1987 a. 312.
71.125
71.125
Imposition of tax. The tax imposed by this chapter on individuals and the rates under
s. 71.06 (1) and
(2) shall apply to the Wisconsin taxable income of estates or trusts, except nuclear decommissioning trust or reserve funds, and that tax shall be paid by the fiduciary.
71.125 History
History: 1987 a. 312.
71.13
71.13
Filing returns. 71.13(1)(1)
Estate or trust. Annual returns of income of an estate or a trust shall be made to the department by the fiduciary thereof at or before the time such income is required to be reported to the internal revenue service under the internal revenue code. Under such rules as the department prescribes, a return made by one of 2 or more joint fiduciaries shall be sufficient compliance with the requirements of this section. A return made pursuant to this subsection shall contain a statement that the fiduciary has sufficient knowledge of the affairs of the person for whom the return is made to enable him or her to make the return, and that the return is, to the best of his or her knowledge and belief, true and correct.
71.13(2)
(2) Returns required prior to closing estate or trust. 71.13(2)(a)(a) An executor, administrator, personal representative or trustee applying to a court having jurisdiction for a discharge of his or her trust and a final settlement of his or her accounts, before his or her application is granted, shall file all of the following with the department:
71.13(2)(a)1.
1. Returns of income received by the deceased, any previous guardian, executor, administrator, personal representative or trustee, during each of the years open to assessment under
s. 71.77, if such returns had not theretofore been filed, including a return of income for the year of death to the date of death.
71.13(2)(a)2.
2. Returns of income received during the period of his or her administration or trust except for the final income tax year of the estate or trust.
71.13(2)(a)3.
3. Gift tax returns or reports, sales and use tax returns, and withholding returns or reports which were required to be filed, if not theretofore filed.
71.13(2)(b)
(b) Upon receipt of such returns, the department shall immediately determine the amount of taxes including interest, penalties and costs to be payable, as well as any delinquent income, withholding, sales, use and gift taxes, penalties, interest and costs due, and shall certify such amounts to the court. The court shall thereupon enter an order directing the executor, administrator, personal representative or trustee to pay the amounts found to be due by the department and take its receipt therefor. The receipt shall be evidence of the payment and shall be filed with the court before a final distribution of the estate or trust is ordered and the executor, administrator, personal representative or trustee is discharged. The filing of such receipt shall in no manner affect the obligation of the executor, administrator, personal representative or trustee to file income, sales and withholding returns covering transactions reportable during the final taxable year of the estate or trust and to pay income, sales, use and withholding taxes, penalties, interest and costs due as the result of such transactions.
71.13(3)
(3) Required filing may be dispensed with by court. Returns of income required to be made by
sub. (2) may be dispensed with by order of the court having jurisdiction in cases where it is clearly evident to the court that no income tax is due or to become due from the trust or estate.
71.13 History
History: 1987 a. 312;
1989 a. 31.
71.14
71.14
Situs of income. For purposes of determining the situs of income under this subchapter:
71.14(1)
(1) The estate of a decedent shall be considered resident at the domicile of the decedent at the time of his or her death.
