71.28(3t)(a)
(a)
Definition. In this subsection, “claimant" means a person who files a claim under this subsection.
71.28(3t)(b)
(b)
Credit. Subject to the limitations provided in this subsection and in s.
560.28, 2009 stats., for taxable years beginning after December 31, 2007, a claimant may claim as a credit, amortized over 15 taxable years starting with the taxable year beginning after December 31, 2007, against the tax imposed under s.
71.23, up to the amount of the tax, an amount equal to the claimant's unused credits under s.
71.28 (3).
71.28(3t)(c)1.1. No credit may be claimed under this subsection unless the claimant submits with the claimant's return a copy of the claimant's certification by the department of commerce under s.
560.28, 2009 stats., except that, with regard to credits claimed by partners of a partnership, members of a limited liability company, or shareholders of a tax-option corporation, the entity shall provide a copy of its certification under s.
560.28, 2009 stats., to the partner, member, or shareholder to submit with his or her return.
71.28(3t)(c)2.
2. Partnerships, limited liability companies, and tax-option corporations may not claim the credit under this subsection, but the eligibility for, and the amount of, the credit are based on the amount of their unused credits under s.
71.28 (3). A partnership, limited liability company, or tax-option corporation shall compute the amount of credit that each of its partners, members, or shareholders may claim and shall provide that information to each of them. Partners, members of limited liability companies, and shareholders of tax-option corporations may claim the credit in proportion to their ownership interest.
71.28(3t)(d)2.
2. The amount of any unused credit under this subsection in any taxable year may be carried forward to subsequent taxable years, up to 15 taxable years.
71.28(3w)(a)1.
1. “Base year" means the taxable year beginning during the calendar year prior to the calendar year in which the enterprise zone in which the claimant is located takes effect.
71.28(3w)(a)2.
2. “Claimant" means a person who is certified to claim tax benefits under s.
238.399 (5) or s.
560.799 (5), 2009 stats., and who files a claim under this subsection.
71.28(3w)(a)5.
5. “State payroll" means the amount of payroll apportioned to this state, as determined under s.
71.25 (8).
71.28(3w)(a)5d.
5d. “Tier I county or municipality" means a tier I county or municipality, as determined under s.
238.399 or s.
560.799, 2009 stats.
71.28(3w)(a)5e.
5e. “Tier II county or municipality" means a tier II county or municipality, as determined under s.
238.399 or s.
560.799, 2009 stats.
71.28(3w)(a)5m.
5m. “Wages" means wages under section
3306 (b) of the Internal Revenue Code, determined without regard to any dollar limitations.
71.28(3w)(a)6.
6. “Zone payroll" means the amount of state payroll that is attributable to wages paid to full-time employees for services that are performed in an enterprise zone. “Zone payroll" does not include the amount of wages paid to any full-time employees that exceeds $100,000.
71.28(3w)(b)
(b)
Filing claims; payroll. Subject to the limitations provided in this subsection and s.
238.399 or s.
560.799, 2009 stats., a claimant may claim as a credit against the tax imposed under s.
71.23 an amount calculated as follows:
71.28(3w)(b)1.a.
a. The number of full-time employees whose annual wages are greater than the amount determined by multiplying 2,080 by 150 percent of the federal minimum wage in a tier I county or municipality or greater than $30,000 in a tier II county or municipality and who the claimant employed in the enterprise zone in the taxable year, minus the number of full-time employees whose annual wages were greater than the amount determined by multiplying 2,080 by 150 percent of the federal minimum wage in a tier I county or municipality or greater than $30,000 in a tier II county or municipality and who the claimant employed in the area that comprises the enterprise zone in the base year.
71.28(3w)(b)1.b.
b. The number of full-time employees whose annual wages are greater than the amount determined by multiplying 2,080 by 150 percent of the federal minimum wage in a tier I county or municipality or greater than $30,000 in a tier II county or municipality and who the claimant employed in the state in the taxable year, minus the number of full-time employees whose annual wages were greater than the amount determined by multiplying 2,080 by 150 percent of the federal minimum wage in a tier I county or municipality or greater than $30,000 in a tier II county or municipality and who the claimant employed in the state in the base year.
71.28(3w)(b)2.
2. Determine the claimant's average zone payroll by dividing total wages for full-time employees whose annual wages are greater than the amount determined by multiplying 2,080 by 150 percent of the federal minimum wage in a tier I county or municipality or greater than $30,000 in a tier II county or municipality and who the claimant employed in the enterprise zone in the taxable year by the number of full-time employees whose annual wages are greater than the amount determined by multiplying 2,080 by 150 percent of the federal minimum wage in a tier I county or municipality or greater than $30,000 in a tier II county or municipality and who the claimant employed in the enterprise zone in the taxable year.
71.28(3w)(b)3.
3. For employees in a tier I county or municipality, subtract the amount determined by multiplying 2,080 by 150 percent of the federal minimum wage from the amount determined under subd.
2. and for employees in a tier II county or municipality, subtract $30,000 from the amount determined under subd.
2. 71.28(3w)(b)4.
4. Multiply the amount determined under subd.
3. by the amount determined under subd.
1. 71.28(3w)(b)5.
5. Multiply the amount determined under subd.
4. by the percentage determined under s.
238.399 or s.
560.799, 2009 stats., not to exceed 7 percent.
71.28(3w)(bm)1.1. In addition to the credits under par.
(b) and subds.
2.,
3., and
4., and subject to the limitations provided in this subsection and s.
238.399 or s.
560.799, 2009 stats., a claimant may claim as a credit against the tax imposed under s.
71.23 an amount equal to a percentage, as determined under s.
238.399 or s.
560.799, 2009 stats., not to exceed 100 percent, of the amount the claimant paid in the taxable year to upgrade or improve the job-related skills of any of the claimant's full-time employees, to train any of the claimant's full-time employees on the use of job-related new technologies, or to provide job-related training to any full-time employee whose employment with the claimant represents the employee's first full-time job. This subdivision does not apply to employees who do not work in an enterprise zone.
71.28(3w)(bm)2.
2. In addition to the credits under par.
(b) and subds.
1.,
3., and
4., and subject to the limitations provided in this subsection and s.
238.399 or s.
560.799, 2009 stats., a claimant may claim as a credit against the tax imposed under s.
71.23 an amount equal to the percentage, as determined under s.
238.399 or s.
560.799, 2009 stats., not to exceed 7 percent, of the claimant's zone payroll paid in the taxable year to all of the claimant's full-time employees whose annual wages are greater than the amount determined by multiplying 2,080 by 150 percent of the federal minimum wage in a tier I county or municipality, not including the wages paid to the employees determined under par.
(b) 1., or greater than $30,000 in a tier II county or municipality, not including the wages paid to the employees determined under par.
(b) 1., and who the claimant employed in the enterprise zone in the taxable year, if the total number of such employees is equal to or greater than the total number of such employees in the base year. A claimant may claim a credit under this subdivision for no more than 5 consecutive taxable years.
71.28(3w)(bm)3.
3. In addition to the credits under par.
(b) and subds.
1.,
2., and
4., and subject to the limitations provided in this subsection and s.
238.399 or s.
560.799, 2009 stats., for taxable years beginning after December 31, 2008, a claimant may claim as a credit against the tax imposed under s.
71.23 up to 10 percent of the claimant's significant capital expenditures, as determined under s.
238.399 (5m) or s.
560.799 (5m), 2009 stats.
71.28(3w)(bm)4.
4. In addition to the credits under par.
(b) and subds.
1.,
2., and
3., and subject to the limitations provided in this subsection and s.
238.399 or s.
560.799, 2009 stats., for taxable years beginning after December 31, 2009, a claimant may claim as a credit against the tax imposed under s.
71.23, up to 1 percent of the amount that the claimant paid in the taxable year to purchase tangible personal property, items, property, or goods under s.
77.52 (1) (b),
(c), or
(d), or services from Wisconsin vendors, as determined under s.
238.399 (5) (e) or s.
560.799 (5) (e), 2009 stats., except that the claimant may not claim the credit under this subdivision and subd.
3. for the same expenditures.
71.28(3w)(bm)5.
5. In addition to the credits under par.
(b) and subds.
1. to
4., and subject to the limitations provided in this subsection and s.
238.399 or s.
560.799, 2009 stats., a claimant that has retained the minimum number of full-time employees determined under s.
238.399 (5) (f) and maintained average zone payroll for the taxable year equal to or greater than the base year may claim as a credit against the tax imposed under s.
71.23 an amount equal to the percentage, as determined by the Wisconsin Economic Development Corporation, of the claimant's zone payroll paid in the 12 months prior to the certification date to the claimant's full-time employees in the enterprise zone whose annual wages are greater than the amount determined by multiplying 2,080 by 150 percent of the federal minimum wage in a tier I county or municipality or greater than $30,000 in a tier II county or municipality. The amount that the claimant may claim as credit under this subdivision for a taxable year shall not exceed $2,000,000. A claimant may claim a credit under this subdivision for no more than 5 consecutive taxable years.
71.28(3w)(c)1.1. If the allowable amount of the claim under this subsection exceeds the taxes otherwise due on the claimant's income under s.
71.23, the amount of the claim that is not used to offset those taxes shall be certified by the department of revenue to the department of administration for payment by check, share draft, or other draft drawn from the appropriation under s.
20.835 (2) (co). Notwithstanding s.
71.82, no interest shall be paid on amounts certified under this subdivision.
71.28 Note
NOTE: Subd. 1. is shown as renumbered from subd. 1. a. by the legislative reference bureau under s. 13.92 (1) (bm) 2. The cross-reference to “this subdivision" was changed from “this subd. 1. a." by the legislative reference bureau under s. 13.92 (1) (bm) 2. to reflect the renumbering.
71.28(3w)(c)2.
2. Partnerships, limited liability companies, and tax-option corporations may not claim the credit under this subsection, but the eligibility for, and the amount of, the credit are based on their payment of amounts described under pars.
(b) and
(bm). A partnership, limited liability company, or tax-option corporation shall compute the amount of credit that each of its partners, members, or shareholders may claim and shall provide that information to each of them. Partners, members of limited liability companies, and shareholders of tax-option corporations may claim the credit in proportion to their ownership interests.
71.28(3w)(c)3.
3. No credit may be allowed under this subsection unless the claimant includes with the claimant's return a copy of the claimant's certification for tax benefits under s.
238.399 (5) or
(5m) or s.
560.799 (5) or
(5m), 2009 stats.
71.28(3w)(c)4.
4. No claimant may claim a credit under this subsection if the basis for which the credit is claimed is also the basis for which another credit is claimed under this subchapter.
71.28(3w)(d)
(d)
Administration. Subsection
(4) (g) and
(h), as it applies to the credit under sub.
(4), applies to the credit under this subsection. Claimants shall include with their returns a copy of their certification for tax benefits, and a copy of the verification of their expenses, from the department of commerce or the Wisconsin Economic Development Corporation.
71.28(3wm)
(3wm)
Electronics and information technology manufacturing zone credit. 71.28(3wm)(a)1.
1. “Claimant" means a person who is certified to claim tax benefits under s.
238.396 (3) and who files a claim under this subsection.
71.28(3wm)(a)2.
2. “Full-time employee” means an individual who is employed in a job for which the annual pay is at least $30,000 and who is offered retirement, health, and other benefits that are equivalent to the retirement, health, and other benefits offered to an individual who is required to work at least 2,080 hours per year.
71.28(3wm)(a)3.
3. “State payroll" means the amount of payroll apportioned to this state, as determined under s.
71.25 (8).
71.28(3wm)(a)4.
4. “Wages" means wages under section
3306 (b) of the Internal Revenue Code, determined without regard to any dollar limitations.
71.28(3wm)(a)6.
6. “Zone payroll" means the amount of state payroll that is attributable to wages paid by the claimant to full-time employees for services that are performed in the zone or that are performed outside the zone, but within the state, and for the benefit of the operations within the zone, as determined by the Wisconsin Economic Development Corporation. “Zone payroll" does not include the amount of wages paid to any full-time employees that exceeds $100,000.
71.28(3wm)(b)
(b)
Filing claims; payroll. Subject to the limitations provided in this subsection and s.
238.396, a claimant may claim as a credit against the tax imposed under s.
71.23 an amount calculated as follows:
71.28(3wm)(b)1.
1. Determine the zone payroll for the taxable year for full-time employees employed by the claimant.
71.28(3wm)(bm)
(bm)
Filing supplemental claims. In addition to claiming the credit under par.
(b), and subject to the limitations under this subsection and s.
238.396, a claimant may claim as a credit against the tax imposed under s.
71.23 up to 15 percent of the claimant's significant capital expenditures in the zone in the taxable year, as determined under s.
238.396 (3m).
71.28(3wm)(c)1.1. Partnerships, limited liability companies, and tax-option corporations may not claim the credit under this subsection, but the eligibility for, and the amount of, the credit are based on their payment of amounts described under pars.
(b) and
(bm). A partnership, limited liability company, or tax-option corporation shall compute the amount of credit that each of its partners, members, or shareholders may claim and shall provide that information to each of them. Partners, members of limited liability companies, and shareholders of tax-option corporations may claim the credit in proportion to their ownership interests.
71.28(3wm)(c)2.
2. No credit may be allowed under this subsection unless the claimant includes with the claimant's return a copy of the claimant's certification for tax benefits under s.
238.396 (3).
71.28(3wm)(c)3.
3. The Wisconsin Economic Development Corporation may recover credits claimed under this paragraph that are revoked or otherwise invalid from the partnership, limited liability company, or tax-option corporation or from the individual partner, member, or shareholder.
71.28(3wm)(d)2.
2. If the allowable amount of the claim under this subsection exceeds the taxes otherwise due on the claimant's income under s.
71.23, the amount of the claim that is not used to offset those taxes shall be certified by the department of revenue to the department of administration for payment by check, share draft, or other draft drawn from the appropriation under s.
20.835 (2) (cp). Notwithstanding s.
71.82, no interest shall be paid on amounts certified under this subdivision.
71.28(3y)(b)
(b)
Filing claims. Subject to the limitations provided in this subsection and s.
238.308, for taxable years beginning after December 31, 2015, a claimant may claim as a credit against the tax imposed under s.
71.23 all of the following:
71.28(3y)(b)1.
1. The amount of wages that the claimant paid to an eligible employee in the taxable year, not to exceed 10 percent of such wages, as determined by the Wisconsin Economic Development Corporation under s.
238.308.
71.28(3y)(b)2.
2. In addition to any amount claimed for an eligible employee under subd.
1., the amount of wages that the claimant paid to the eligible employee in the taxable year, not to exceed 5 percent of such wages, if the eligible employee is employed in an economically distressed area, as determined by the Wisconsin Economic Development Corporation.
71.28(3y)(b)3.
3. The amount of training costs that the claimant incurred under s.
238.308 (4) (a) 3., not to exceed 50 percent of such costs, as determined by the Wisconsin Economic Development Corporation.
71.28(3y)(b)4.
4. The amount of the personal property investment, not to exceed 3 percent of such investment, and the amount of the real property investment, not to exceed 5 percent of such investment, in a capital investment project that satisfies s.
238.308 (4) (a) 4., as determined by the Wisconsin Economic Development Corporation.
71.28(3y)(b)5.
5. An amount, as determined by the Wisconsin Economic Development Corporation under s.
238.308 (4) (a) 5., equal to a percentage of the amount of wages that the claimant paid to an eligible employee in the taxable year if the position in which the eligible employee was employed was created or retained in connection with the claimant's location or retention of the claimant's corporate headquarters in Wisconsin and the job duties associated with the eligible employee's position involve the performance of corporate headquarters functions.
71.28(3y)(c)1.1. Partnerships, limited liability companies, and tax-option corporations may not claim the credit under this subsection, but the eligibility for, and the amount of, the credit are based on their payment of amounts under par.
(b). A partnership, limited liability company, or tax-option corporation shall compute the amount of credit that each of its partners, members, or shareholders may claim and shall provide that information to each of them. Partners, members of limited liability companies, and shareholders of tax-option corporations may claim the credit in proportion to their ownership interests.
71.28(3y)(c)2.
2. No credit may be allowed under this subsection unless the claimant includes with the claimant's return a copy of the claimant's certification for tax benefits under s.
238.308.
71.28(3y)(d)2.
2. If the allowable amount of the claim under par.
(b) exceeds the tax otherwise due under s.
71.23, the amount of the claim not used to offset the tax due shall be certified by the department of revenue to the department of administration for payment by check, share draft, or other draft drawn from the appropriation account under s.
20.835 (2) (bg). Notwithstanding s.
71.82, no interest shall be paid on amounts certified under this subdivision.
71.28 Note
NOTE: Subd. 2. is shown as renumbered from subd. 2. a. by the legislative reference bureau under s. 13.92 (1) (bm) 2. The cross-reference to “this subdivision" was changed from “this subd. 2. a." by the legislative reference bureau under s. 13.92 (1) (bm) 2. to reflect the renumbering.
71.28(4)(ab)1.b.
b. In the case of a truck, the control system and the fuel and drive train, excluding any comfort features located in the cab or the tires.
71.28(4)(ab)1.c.
c. In the case of a generator, the control modules, fuel train, fuel scrubbing process, fuel mixers, generator, heat exchangers, exhaust train, and similar components.
71.28(4)(ab)2.
2. “Internal combustion engine" includes substitute products such as fuel cell, electric, and hybrid drives.
71.28(4)(ab)3.
3. “Vehicle" means any vehicle or frame, including parts, accessories, and component technologies, in which or on which an engine is mounted for use in mobile or stationary applications. “Vehicle" includes any truck, tractor, motorcycle, snowmobile, all-terrain vehicle, boat, personal watercraft, generator, construction equipment, lawn and garden maintenance equipment, automobile, van, sports utility vehicle, motor home, bus, or aircraft.
71.28(4)(ad)1.1. Except as provided in subds.
2. and
3., for taxable years beginning before January 1, 2015, any corporation may credit against taxes otherwise due under this chapter an amount equal to 5 percent of the amount obtained by subtracting from the corporation's qualified research expenses, as defined in section
41 of the Internal Revenue Code, except that “qualified research expenses" includes only expenses incurred by the claimant, incurred for research conducted in this state for the taxable year, except that a taxpayer may elect the alternative computation under section
41 (c) (4) of the Internal Revenue Code and that election applies until the department permits its revocation, except as provided in par.
(af), and except that “qualified research expenses" does not include compensation used in computing the credit under sub.
(1dx), the corporation's base amount, as defined in section
41 (c) of the Internal Revenue Code, except that gross receipts used in calculating the base amount means gross receipts from sales attributable to Wisconsin under s.
71.25 (9) (b) 1. and
2.,
(df) 1. and
2.,
(dh) 1.,
2., and
3.,
(dj), and
(dk). Section
41 (h) of the Internal Revenue Code does not apply to the credit under this paragraph.
71.28(4)(ad)2.
2. For taxable years beginning after June 30, 2007, and before January 1, 2015, any corporation may credit against taxes otherwise due under this chapter an amount equal to 10 percent of the amount obtained by subtracting from the corporation's qualified research expenses, as defined in section
41 of the Internal Revenue Code, except that “qualified research expenses" includes only expenses incurred by the claimant for research related to designing internal combustion engines for vehicles, including expenses related to designing vehicles that are powered by such engines and improving production processes for such engines and vehicles, incurred for research conducted in this state for the taxable year, except that a taxpayer may elect the alternative computation under section
41 (c) (4) of the Internal Revenue Code and that election applies until the department permits its revocation, except as provided in par.
(af), and except that “qualified research expenses" does not include compensation used in computing the credit under sub.
(1dx), the corporation's base amount, as defined in section
41 (c) of the Internal Revenue Code, except that gross receipts used in calculating the base amount means gross receipts from sales attributable to Wisconsin under s.
71.25 (9) (b) 1. and
2.,
(df) 1. and
2.,
(dh) 1.,
2., and
3.,
(dj), and
(dk). Section
41 (h) of the Internal Revenue Code does not apply to the credit under this paragraph.
71.28(4)(ad)3.
3. For taxable years beginning after June 30, 2007, and before January 1, 2015, any corporation may credit against taxes otherwise due under this chapter an amount equal to 10 percent of the amount obtained by subtracting from the corporation's qualified research expenses, as defined in section
41 of the Internal Revenue Code, except that “qualified research expenses" includes only expenses incurred by the claimant for research related to the design and manufacturing of energy efficient lighting systems, building automation and control systems, or automotive batteries for use in hybrid-electric vehicles, that reduce the demand for natural gas or electricity or improve the efficiency of its use, incurred for research conducted in this state for the taxable year, except that a taxpayer may elect the alternative computation under section
41 (c) (4) of the Internal Revenue Code and that election applies until the department permits its revocation, except as provided in par.
(af), and except that “qualified research expenses" does not include compensation used in computing the credit under sub.
(1dx), the corporation's base amount, as defined in section
41 (c) of the Internal Revenue Code, except that gross receipts used in calculating the base amount means gross receipts from sales attributable to Wisconsin under s.
71.25 (9) (b) 1. and
2.,
(df),
1. and
2.,
(dh) 1.,
2., and
3.,
(dj), and
(dk). Section
41 (h) of the Internal Revenue Code does not apply to the credit under this paragraph.
