LRB-6123/1
JK&SWB:all
2021 - 2022 LEGISLATURE
February 17, 2022 - Introduced by
Law Revision Committee. Referred to
Committee on Rules.
AB1033,1,13
1An Act to repeal 60.85 (2) (b) 7., 60.85 (5) (e), 66.1105 (2) (f) 1. m., 66.1105 (6)
2(am) 2. e., 66.1105 (6) (am) 2. f., 71.07 (5e), 71.10 (4) (gy), 71.28 (5e), 71.30 (3)
3(es), 71.47 (5e), 71.49 (1) (es), 77.51 (5m), 77.585 (9), 120.135 and 121.91 (4) (h);
4to renumber and amend 77.54 (14m); and
to amend 60.85 (2) (c), 60.85 (3)
5(h) 4., 60.85 (3) (h) 5. a., 60.85 (3) (h) 5. c., 66.1105 (2) (f) 1. (intro.), 66.1105 (2)
6(f) 1. n., 66.1105 (18) (c) 2., 70.47 (8) (d), 70.48, 71.05 (6) (a) 15., 71.08 (1) (intro.),
771.21 (4) (a), 71.26 (2) (a) 4., 71.34 (1k) (g), 71.45 (2) (a) 10., 77.52 (13), 77.53 (10)
8and 121.07 (6) (a) (intro.) of the statutes;
relating to: obsolete statutory
9references; electronic assessment rolls; obsolete tax benefits for the purchase
10of Internet equipment used in the broadband market; board of review provision
11related to an objector; the sales tax exemption for insulin; and sales tax
12exemption certificates for farm-raised fish and patient health care records
13(suggested as remedial legislation by the Department of Revenue).
Analysis by the Legislative Reference Bureau
This bill does all of the following, as suggested by the Department of Revenue:
Obsolete statutory references
The bill repeals obsolete statutory references relating to tax incremental
financing districts and obsolete references relating to a capital improvement fund for
schools.
Electronic assessment rolls
Under current law, when a board of review changes an assessor's valuation of
property, the clerk is required to revise the assessment roll by using red ink to cross
out the assessor's valuation and enter the board's valuation. The bill modifies the
requirement to reflect the use of electronic assessment rolls. Under the bill, the clerk
is required to enter the board's valuation and a note about the change to the
assessor's valuation into the assessment roll, but there is no requirement to use red
ink or to cross out the assessor's valuation.
Internet equipment in the broadband market
The bill eliminates obsolete tax deductions, credits, and exemptions for certain
Internet equipment used in the broadband market and purchased before July 1,
2009.
Objecting to property tax assessments
Under current law, when the local board of review conducts a hearing to
consider an objection to a person's property tax assessment, the board must, at the
request of the assessor or the person making an objection, compel the attendance of
witnesses. The bill eliminates the option for the person making the objection to
request the attendance of witnesses.
Sales tax exemption certificates
Under current law, drugs prescribed for the treatment of a human being by a
person authorized to prescribe the drugs, and dispensed on prescription filled by a
pharmacist, are exempt from the sales tax. Generally, a person does not need to
present to the seller a sales tax exemption certificate issued by DOR to claim the
exemption.
Under current law, insulin furnished by a pharmacist to a person for treatment
of diabetes as directed by a physician is considered to be dispensed on prescription
and, therefore, exempt from the sales tax. However, a person must present a tax
exemption certificate to claim the exemption. The bill modifies the exemption for
insulin so that insulin furnished by a pharmacist to a person for treatment of
diabetes of a human being is exempt from the sales tax and the purchaser is not
required to present an exemption certificate.
Current law also provides sales tax exemptions for patient health care records
that are sold to the patient and for farm-raised fish sold to a fish farm. In order to
claim either exemption, the purchaser must present to the seller an exemption
certificate issued by DOR. The bill eliminates the requirement that a purchaser
present an exemption certificate to claim the exemption for patient health care
records or for farm-raised fish.
For further information, see the Notes provided by the Law Revision
Committee of the Joint Legislative Council.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
Law Revision Committee prefatory note: This bill is a remedial legislation
proposal, requested by the Department of Revenue and introduced by the Law Revision
Committee under s. 13.83 (1) (c) 4. and 5., stats. After careful consideration of the various
provisions of the bill, the Law Revision Committee has determined that this bill makes
minor substantive changes in the statutes, and that these changes are desirable as a
matter of public policy.
AB1033,1
1Section 1
. 60.85 (2) (b) 7. of the statutes is repealed.
Note: This Section repeals an exception to the town tax increment law for the
town of Brookfield in Waukesha County. Sections 2 to 5 delete cross-references to this
exception.
AB1033,2
2Section 2
. 60.85 (2) (c) of the statutes is amended to read:
AB1033,3,73
60.85
(2) (c)
Except as provided in par. (b) 7., no No town may exercise any
4power under this subsection within the extraterritorial zoning jurisdiction of a city
5or village, as that term is defined in s. 62.23 (7a) (a), unless the city's or village's
6governing body adopts a resolution which approves the town's exercise of power
7under this subsection within such an extraterritorial zoning jurisdiction.
AB1033,3
8Section 3
. 60.85 (3) (h) 4. of the statutes is amended to read:
AB1033,3,139
60.85
(3) (h) 4. Declares the district to be either an agricultural project district,
10forestry project district, manufacturing project district, or tourism project district,
11and identifies the North American Industry Classification System industry number
12of each activity under each project for which project costs are to be expended
; or
13declares the district to be a project described in sub. (2) (b) 7.
AB1033,4
14Section 4
. 60.85 (3) (h) 5. a. of the statutes is amended to read:
AB1033,3,1715
60.85
(3) (h) 5. a. That not less than 75 percent, by area, of the real property
16within the district is to be used for projects of a single one of the project types listed
17under sub. (2) (b) 1. to 4.
or 7. and in accordance with the declaration under subd. 4.
AB1033,5
1Section
5
. 60.85 (3) (h) 5. c. of the statutes is amended to read:
AB1033,4,42
60.85
(3) (h) 5. c. That the project costs of the district are limited to those
3specified under sub. (2) (b) and relate directly to
a project described in sub. (2) (b)
47. or to promoting agriculture, forestry, manufacturing, or tourism development.
AB1033,6
5Section 6
. 60.85 (5) (e) of the statutes is repealed.
Note: This Section repeals a requirement that a town clerk, no later than May 15
each year, file with the department of revenue a list of the expenditures made in the
previous year for a town tax incremental district.
AB1033,7
6Section 7
. 66.1105 (2) (f) 1. (intro.) of the statutes is amended to read:
AB1033,5,27
66.1105
(2) (f) 1. (intro.) “Project costs" mean any expenditures made or
8estimated to be made or monetary obligations incurred or estimated to be incurred
9by the city which are listed in a project plan as costs of public works or improvements
10within a tax incremental district or, to the extent provided in this subd. 1. (intro.) or
11subds. 1. k.
, 1. m., and 1. n., or sub. (20) (c), without the district, plus any incidental
12costs, diminished by any income, special assessments, or other revenues, including
13user fees or charges, other than tax increments, received or reasonably expected to
14be received by the city in connection with the implementation of the plan. For any
15tax incremental district for which a project plan is approved on or after July 31, 1981,
16only a proportionate share of the costs permitted under this subdivision may be
17included as project costs to the extent that they benefit the tax incremental district,
18except that expenditures made or estimated to be made or monetary obligations
19incurred or estimated to be incurred by a 1st class city, to fund parking facilities
20ancillary to and within one mile from public entertainment facilities, including a
21sports and entertainment arena, shall be considered to benefit any tax incremental
22district located in whole or in part within a one-mile radius of such parking facilities.
1To the extent the costs benefit the municipality outside the tax incremental district,
2a proportionate share of the cost is not a project cost. “Project costs" include:
AB1033,8
3Section 8
. 66.1105 (2) (f) 1. m. of the statutes is repealed.
Note: This Section repeals a statute relating to project costs for a one-half mile
radius of a tax incremental district in the city of Kenosha. Sections 7 and 12 delete a
cross-reference to this statute. Section 9 deletes language that is obsolete after the
repeal of the statute in this Section.
AB1033,9
4Section 9
. 66.1105 (2) (f) 1. n. of the statutes is amended to read:
AB1033,5,85
66.1105
(2) (f) 1. n.
With regard to a tax incremental district that is located
6anywhere other than a city to which sub. (6) (d) applies, and subject Subject to sub.
7(4m) (d), project costs incurred for territory that is located within a one-half mile
8radius of the district's boundaries and within the city that created the district.
AB1033,10
9Section 10
. 66.1105 (6) (am) 2. e. of the statutes is repealed.
Note: This Section repeals an exception for a tax incremental district in the
village of Denmark.
AB1033,11
10Section 11
. 66.1105 (6) (am) 2. f. of the statutes is repealed.
Note: This Section repeals an exception for a tax incremental district in the city
of Marinette.
AB1033,12
11Section 12
. 66.1105 (18) (c) 2. of the statutes is amended to read:
AB1033,5,1412
66.1105
(18) (c) 2. Notwithstanding the provisions under sub. (2) (f) 1. k.
, m., 13and n., a multijurisdictional tax incremental district may not incur project costs for
14any area that is outside of the district's boundaries.
AB1033,13
15Section
13. 70.47 (8) (d) of the statutes is amended to read:
AB1033,5,1916
70.47
(8) (d) It may and upon request of the assessor
or the objector shall compel
17the attendance of witnesses, except objectors who may testify by telephone, and the
18production of all books, inventories, appraisals, documents and other data which
19may throw light upon the value of property.
Note: This
Section completes the repeal of language the Wisconsin Supreme
Court found unconstitutional in Metropolitan Associates v. City of Milwaukee, 2011 WI
20, and reinstates statutory language that existed prior to the modifications made by
2007 Wisconsin Act 86 deemed unconstitutional by the court. This repeal was
inadvertently omitted from
2017 Wisconsin Act 358, prior remedial legislation.
AB1033,14
1Section
14. 70.48 of the statutes is amended to read:
AB1033,6,21
270.48 Assessor to attend board of review. The assessor or the assessor's
3authorized representative shall attend without order or subpoena all hearings before
4the board of review and under oath submit to examination and fully disclose to the
5board such information as the assessor may have touching the assessment and any
6other matters pertinent to the inquiry being made. All part-time assessors shall
7receive the same compensation for such attendance as is allowed to the members of
8the board but no county assessor or member of a county assessor's staff shall receive
9any compensation other than that person's regular salary for attendance at a board
10of review. The clerk shall make all corrections to the assessment roll ordered by the
11board of review, including all changes in the valuation of real property. When any
12valuation of real property is changed
, the clerk shall enter the valuation fixed by the
13board
in red ink in the proper class
above the figures of the assessor, and the figures
14of the assessor shall be crossed out with red ink and enter a note of the valuation of
15the assessor and the change to that valuation made by the board. The clerk shall also
16enter upon the assessment roll, in the proper place, the names of all persons found
17liable to taxation on personal property by the board of review, setting opposite such
18names respectively the aggregate valuation of such property as determined by the
19assessor, after deducting exemptions and making such corrections as the board has
20ordered. All changes in valuation of personal property made by the board of review
21shall be made in the same manner as changes in real estate.
Note: This Section requires a clerk, when any valuation of real property is
changed, to enter a note of the valuation made by the assessor and the change to a
valuation made by the board of review.
AB1033,15
22Section
15
. 71.05 (6) (a) 15. of the statutes is amended to read:
AB1033,7,6
171.05
(6) (a) 15. Except as provided under s. 71.07 (3p) (c) 5., the amount of the
2credits computed under s. 71.07 (2dm), (2dx), (2dy), (3g), (3h), (3n), (3q), (3s), (3t),
3(3w), (3wm), (3y), (4k), (4n),
(5e), (5i), (5j), (5k), (5r), (5rm), (6n), and (10) and not
4passed through by a partnership, limited liability company, or tax-option
5corporation that has added that amount to the partnership's, company's, or
6tax-option corporation's income under s. 71.21 (4) or 71.34 (1k) (g).
AB1033,16
7Section
16. 71.07 (5e) of the statutes is repealed.
Note: This Section repeals an individual credit that does not apply for taxable
years that begin after December 31, 2013. Sections
15 and 17 to 20 repeal
cross-references to this credit.
AB1033,17
8Section
17
. 71.08 (1) (intro.) of the statutes is amended to read:
AB1033,7,179
71.08
(1) Imposition. (intro.) If the tax imposed on a natural person, married
10couple filing jointly, trust, or estate under s. 71.02, not considering the credits under
11ss. 71.07 (1), (2dx), (2dy), (3m), (3n), (3q), (3s), (3t), (3w), (3wm), (3y), (4k), (5b), (5d),
12(5e), (5i), (5j), (5n), (6), (6e), (8b), (9e), (9m), and (9r), 71.28 (1dx), (1dy), (2m), (3), (3n),
13(3t), (3w), (3wm), and (3y), 71.47 (1dx), (1dy), (2m), (3), (3n), (3t), (3w), and (3y), 71.57
14to 71.61, and 71.613 and subch. VIII and payments to other states under s. 71.07 (7),
15is less than the tax under this section, there is imposed on that natural person,
16married couple filing jointly, trust or estate, instead of the tax under s. 71.02, an
17alternative minimum tax computed as follows:
AB1033,18
18Section
18
. 71.10 (4) (gy) of the statutes is repealed.