238.16(2)
(2) The corporation may certify a person to receive tax benefits under this section if all of the following apply:
238.16(2)(a)
(a) The person is operating or intends to operate a business in this state.
238.16(2)(b)
(b) The person applies under this section and enters into a contract with the corporation.
238.16(3)
(3) Eligibility for tax benefits. A person certified under
sub. (2) may receive tax benefits under this section if, in each year for which the person claims tax benefits under this section, the person increases net employment in the person's business, and one of the following applies:
238.16(3)(a)
(a) In a tier I county or municipality, an eligible employee for whom the person claims a tax credit will earn at least $20,000 in wages from the person in the year for which the credit is claimed.
238.16(3)(am)
(am) The person increases net employment in the person's business.
238.16(3)(b)
(b) In a tier II county or municipality, an eligible employee for whom the person claims a tax credit will earn at least $30,000 in wages from the person in the year for which the credit is claimed.
238.16(3)(c)
(c) In a tier I county or municipality or a tier II county or municipality, the person improves the job-related skills of any eligible employee, trains any eligible employee on the use of job-related new technologies, or provides job-related training to any eligible employee whose employment with the person represents the employee's first full-time job.
238.16(4)
(4) Duration, limits, and expiration. 238.16(4)(a)(a) The certification of a person under
sub. (2) may remain in effect for no more than 10 cumulative years.
238.16(4)(b)1.1. The corporation may award to a person certified under
sub. (2) tax benefits for each eligible employee in an amount equal to 10 percent of the wages paid by the person to that employee or $10,000, whichever is less, if that employee earned wages in the year for which the tax benefit is claimed equal to one of the following:
238.16(4)(b)2.
2. The corporation may award to a person certified under
sub. (2) tax benefits in an amount to be determined by the corporation for costs incurred by the person to undertake the training activities described in
sub. (3) (c).
238.16(4)(c)
(c) Subject to a reallocation by the corporation pursuant to rules adopted under
s. 238.15 (3) (d), the corporation may allocate up to $5,000,000 in tax benefits under this section in any calendar year, except that beginning on July 1, 2011, the corporation may allocate up to $10,000,000 in tax benefits under this section in any calendar year.
238.16(5)(a)(a) The corporation shall notify the department of revenue when the corporation certifies a person to receive tax benefits.
238.16(5)(b)
(b) The corporation shall notify the department of revenue within 30 days of revoking a certification made under
sub. (2).
238.16(5)(c)
(c) The corporation may require a person to repay any tax benefits the person claims for a year in which the person failed to maintain employment required by an agreement under
sub. (2) (b).
238.16(5)(d)
(d) The corporation shall determine the maximum amount of the tax credits under
ss. 71.07 (3q),
71.28 (3q), and
71.47 (3q) that a certified business may claim and shall notify the department of revenue of this amount.
238.16(5)(f)
(f) The corporation shall adopt rules for the implementation and operation of this section, including rules relating to the following:
238.16(5)(f)1.
1. The definitions of a tier I county or municipality and a tier II county or municipality. The corporation may consider all of the following information when establishing the definitions required under this subdivision:
238.16(5)(f)1.e.
e. Other significant or irregular indicators of economic distress, such as a natural disaster or mass layoff.
238.16(5)(f)2.
2. A schedule of additional tax benefits for which a person who is certified under
sub. (2) and who incurs costs related to job training under
sub. (3) (c) may be eligible.
238.16 History
History: 2009 a. 28,
265;
2011 a. 32 ss.
2864,
3357 to
3366; Stats. 2011 s. 238.16;
2011 a. 88.
238.20
238.20
Qualified new business ventures. 238.20(1)
(1) The corporation shall implement a program to certify qualified new business ventures for purposes of
s. 71.05 (24). A business desiring certification shall submit an application to the corporation in each taxable year for which the business desires certification. Subject to
sub. (2), a business may be certified under this subsection, and may maintain such certification, only if the business is engaged in one of the following:
238.20(1)(a)
(a) Developing a new product or business process.
238.20(1)(b)
(b) Manufacturing, agriculture, or processing or assembling products and conducting research and development.
238.20(2)
(2) The corporation may not certify a business under
sub. (1) if the business is engaged in real estate development, insurance, banking, lending, lobbying, political consultation, professional services provided by attorneys, accountants, business consultants, physicians, or health care consultants, wholesale or retail sales, leisure, hospitality, transportation, or construction.
238.20(3)(a)(a) The corporation shall maintain a list of businesses certified under
sub. (1) and shall permit public access to the lists through the corporation's Internet Web site.
238.20(3)(b)
(b) The corporation shall notify the department of revenue of every certification issued under
sub. (1) and the date on which a certification under
sub. (1) is revoked or expires.
238.20 History
History: 2009 a. 28 s.
3073;
2009 a. 276 s.
83;
2011 a. 32 s.
3371; Stats. 2011 s. 238.20.
238.23
238.23
Technology zones. 238.23(1)(1) In this section, "tax credit" means a credit under
s. 71.07 (2di),
(2dm),
(2dx), or
(3g),
71.28 (1di),
(1dm),
(1dx), or
(3g), or
71.47 (1di),
(1dm),
(1dx), or
(3g).
238.23(2)(a)(a) Except as provided in
par. (c), the corporation may designate up to 8 areas in the state as technology zones. A business that is located in a technology zone and that is certified by the corporation under
sub. (3) is eligible for a tax credit as provided in
sub. (3).
238.23(2)(b)
(b) The designation of an area as a technology zone shall be in effect for 10 years from the time that the corporation first designates the area. Not more than $5,000,000 in tax credits may be claimed in a technology zone, except that the corporation may allocate the amount of unallocated airport development zone tax credits, as provided under
s. 238.3995 (3) (b), to technology zones for which the $5,000,000 maximum allocation is insufficient. The corporation may change the boundaries of a technology zone during the time that its designation is in effect. A change in the boundaries of a technology zone does not affect the duration of the designation of the area or the maximum tax credit amount that may be claimed in the technology zone.
238.23(2)(c)
(c) No area may be designated as a technology zone under this subsection on or after March 6, 2009.
238.23(3)(a)(a) Except as provided in
par. (e), the corporation may certify for tax credits in a technology zone a business that satisfies all of the following requirements:
238.23(3)(b)
(b) In determining whether to certify a business under this subsection, the corporation shall consider all of the following:
238.23(3)(b)2.
2. The extent and nature of the high technology used by the business.
238.23(3)(b)3.
3. The likelihood that the business will attract related enterprises.
238.23(3)(b)4.
4. The amount of capital investment that the business is likely to make in the state.
238.23(3)(c)
(c) When the corporation certifies a business under this subsection, the corporation shall establish a limit on the amount of tax credits that the business may claim. Unless its certification is revoked, and subject to the limit on the tax credit amount established by the corporation under this paragraph, a business that is certified may claim a tax credit for 3 years, except that a business that experiences growth, as determined for that business by the corporation under
par. (d) and
sub. (5) (e), may claim a tax credit for up to 5 years.
238.23(3)(d)
(d) The corporation shall enter into an agreement with a business that is certified under this subsection. The agreement shall specify the limit on the amount of tax credits that the business may claim, the extent and type of growth, which shall be specific to the business, that the business must experience to extend its eligibility for a tax credit, the business' baseline against which that growth will be measured, any other conditions that the business must satisfy to extend its eligibility for a tax credit, and reporting requirements with which the business must comply.
238.23(3)(e)
(e) No business may be certified under this subsection on or after March 6, 2009.
238.23(4)(a)(a) The corporation shall notify the department of revenue of all the following:
238.23(4)(a)2.
2. A business's certification and the limit on the amount of tax credits that the business may claim.
238.23(4)(a)3.
3. The extension or revocation of a business's certification.
238.23(4)(b)
(b) The corporation shall annually verify information submitted to the corporation under
ss. 71.07 (2di),
(2dm),
(2dx), and
(3g),
71.28 (1di),
(1dm),
(1dx), and
(3g), and
71.47 (1di),
(1dm),
(1dx), and
(3g).
238.23(5)
(5) The corporation shall adopt rules for the operation of this section, including rules related to all the following:
238.23(5)(a)
(a) Criteria for designating an area as a technology zone.
238.23(5)(b)
(b) A business's eligibility for certification, including definitions for all of the following:
238.23(5)(d)
(d) Standards for establishing the limit on the amount of tax credits that a business may claim.
238.23(5)(e)
(e) Standards for extending a business's certification, including what measures, in addition to job creation, the corporation will use to determine the growth of a specific business and how the corporation will establish baselines against which to measure growth.
238.23(5)(f)
(f) Reporting requirements for certified businesses.
238.23(5)(g)
(g) The exchange of information between the corporation and the department of revenue.
238.23(5)(h)
(h) Reasons for revoking a business's certification.
238.23(5)(i)
(i) Standards for changing the boundaries of a technology zone.
238.23 History
History: 2001 a. 16,
104;
2007 a. 183;
2009 a. 2;
2011 a. 32 s.
3448; Stats. 2011 s. 238.23.
238.25
238.25
Assistance to loan recipients. The corporation shall assist new businesses and small businesses receiving the assistance of the Wisconsin Housing and Economic Development Authority in locating sources of venture capital and in obtaining the state and federal licenses and permits necessary for business operations.
238.25 History
History: 2011 a. 32 s.
3305; Stats. 2011 s. 238.25;
2011 a. 214.
238.26
238.26
Report to investment board. No later than September 30 of each even-numbered year, the corporation shall submit to the investment board a report describing the types of investments in businesses in this state that will have the greatest likelihood of enhancing economic development in this state.
238.26 History
History: 2011 a. 32 s.
3329.
TAX INCENTIVES FOR BUSINESS DEVELOPMENT
