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SB172,2,87 2. “Area median gross income” has the meaning as used for purposes of 26 USC
842
.
SB172,2,109 3. “Authority” means the Wisconsin Housing and Economic Development
10Authority.
SB172,2,1211 4. “Claimant” means a person who has an ownership interest in a qualified
12housing development and who files a claim under this subsection.
SB172,2,1413 5. “Compliance period” means the 10-year period beginning with the first
14taxable year of the credit period.
SB172,3,315 6. “Credit period” means the 6-year period beginning with the taxable year in
16which a qualified housing development is placed in service. For purposes of this

1subdivision, if a qualified housing development consists of more than one building,
2the qualified housing development is placed in service in the taxable year in which
3the last building is placed in service.
SB172,3,144 7. “Qualified basis” means the amount equal to the applicable fraction of the
5adjusted basis of the qualified housing development as of the close of the first taxable
6year of the credit period. The applicable fraction is the smaller of a fraction whose
7numerator is the number of qualified units in the qualified housing development and
8denominator is the total number of residential rental units in the qualified housing
9development or a fraction whose numerator is the total floor space of the qualified
10units in the qualified housing development and denominator is the total floor space
11of all the residential rental units in the qualified housing development. In
12calculating the applicable fraction, the number of qualified units and residential
13rental units and the amount of floor space shall be determined as of the close of the
14taxable year.
SB172,3,1915 8. “Qualified housing development” means a residential rental property
16development that is located in this state if at least 25 percent of the development's
17residential rental units are rent-restricted units and occupied by individuals whose
18tenant income is at least 61 percent but not more than 100 percent of area median
19gross income.
SB172,3,2220 9. “Qualified unit” means a rent-restricted unit that is occupied by individuals
21whose tenant income is at least 61 percent but not more than 100 percent of area
22median gross income.
SB172,4,223 10. “Rent-restricted unit” means a residential rental unit if the gross rent with
24respect to the unit does not exceed 30 percent of area median gross income,

1determined as if the unit is occupied by one individual in a unit without a separate
2bedroom and 1.5 individuals for each separate bedroom in any other unit.
SB172,4,43 11. “Tenant income” means the income determined under 26 USC 142 (d) (2)
4(B) of individuals occupying a residential rental unit.
SB172,4,95 (b) Filing claims. Subject to the limitations provided in this subsection and in
6s. 234.46, for taxable years beginning after December 31, 2020, a claimant may claim
7as a credit against the taxes imposed under s. 71.02, up to the amount of the tax, the
8amount allocated to the claimant by the authority under s. 234.46 for each taxable
9year within the credit period.
SB172,4,1210 (c) Limitations. 1. No person may claim the credit under par. (b) unless the
11claimant includes with the claimant's return a copy of the allocation certificate
12issued for the qualified housing development.
SB172,5,613 2. A partnership, limited liability company, or tax-option corporation may not
14claim the credit under this subsection. The partners of a partnership, members of
15a limited liability company, or shareholders in a tax-option corporation may claim
16the credit under this subsection based on eligible costs incurred by the partnership,
17limited liability company, or tax-option corporation. The partnership, limited
18liability company, or tax-option corporation shall calculate the amount of the credit
19that may be claimed by each partner, member, or shareholder and shall provide that
20information to each of them. Credits computed by a partnership or limited liability
21company may be claimed in proportion to the ownership interests of the partners or
22members or allocated to partners or members as provided in a written agreement
23among the partners or members that is entered into no later than the last day of the
24taxable year of the partnership or limited liability company for which the credit is
25claimed. Any partner or member who claims the credit as allocated by a written

1agreement shall provide a copy of the agreement with the tax return on which the
2credit is claimed. For shareholders of a tax-option corporation, the credit may be
3allocated in proportion to the ownership interest of each shareholder. A person
4claiming the credit as provided under this subdivision is solely responsible for any
5tax liability arising from a dispute with the department related to claiming the
6credit.
SB172,5,157 (d) Recapture. 1. As of the last day of any taxable year during the compliance
8period, if the qualified basis of a qualified housing development with respect to a
9claimant is less than the qualified basis as of the last day of the previous taxable year,
10the amount of the claimant's tax liability under this subchapter shall be increased
11by an amount equal to the excess of the aggregate credit claimed under this
12subsection in prior taxable years over the aggregate credit that would be claimed in
13those years if the full credit amount allocated to the claimant for the credit period
14was claimed ratably over 10 years, plus interest at the overpayment rate established
15under 26 USC 6621.
SB172,5,2116 2. Subdivision 1. does not apply if the reduction in qualified basis for the
17taxable year is by reason of a casualty loss if the loss is restored by reconstruction
18or replacement within a reasonable period; a minimal change in floor space; or a
19disposition of an interest in the qualified housing development if it is reasonably
20expected that the development will continue to be operated as a qualified housing
21development for the remainder of the compliance period.
SB172,5,2422 3. In the event that the recapture of a credit is required in a taxable year, the
23taxpayer shall include the recaptured amount on the return submitted for the
24taxable year in which the recapture event is identified.
SB172,5,2525 4. The department shall promulgate rules to implement this paragraph.
SB172,6,2
1(e) Administration. Section 71.28 (4) (e) to (h), as it applies to the credit under
2s. 71.28 (4), applies to the credit under this subsection.
SB172,2 3Section 2 . 71.10 (4) (fd) of the statutes is created to read:
SB172,6,44 71.10 (4) (fd) State workforce housing credit under s. 71.07 (8f).
SB172,3 5Section 3 . 71.28 (8f) of the statutes is created to read:
SB172,6,66 71.28 (8f) State workforce housing credit. (a) Definitions. In this subsection:
SB172,6,107 1. “Allocation certificate” means a statement issued by the authority certifying
8that a qualified housing development is eligible for a credit under this subsection and
9specifying the amount of the credit that the owners of the qualified housing
10development may claim for each taxable year of the credit period.
SB172,6,1211 2. “Area median gross income” has the meaning as used for purposes of 26 USC
1242
.
SB172,6,1413 3. “Authority” means the Wisconsin Housing and Economic Development
14Authority.
SB172,6,1615 4. “Claimant” means a person who has an ownership interest in a qualified
16housing development and who files a claim under this subsection.
SB172,6,1817 5. “Compliance period” means the 10-year period beginning with the first
18taxable year of the credit period.
SB172,6,2319 6. “Credit period” means the 6-year period beginning with the taxable year in
20which a qualified housing development is placed in service. For purposes of this
21subdivision, if a qualified housing development consists of more than one building,
22the qualified housing development is placed in service in the taxable year in which
23the last building is placed in service.
SB172,7,924 7. “Qualified basis” means the amount equal to the applicable fraction of the
25adjusted basis of the qualified housing development as of the close of the first taxable

1year of the credit period. The applicable fraction is the smaller of a fraction whose
2numerator is the number of qualified units in the qualified housing development and
3denominator is the total number of residential rental units in the qualified housing
4development or a fraction whose numerator is the total floor space of the qualified
5units in the qualified housing development and denominator is the total floor space
6of all the residential rental units in the qualified housing development. In
7calculating the applicable fraction, the number of qualified units and residential
8rental units and the amount of floor space shall be determined as of the close of the
9taxable year.
SB172,7,1410 8. “Qualified housing development” means a residential rental property
11development located in this state if at least 25 percent of the development's
12residential rental units are rent-restricted units and occupied by individuals whose
13tenant income is at least 61 percent but not more than 100 percent of area median
14gross income.
SB172,7,1715 9. “Qualified unit” means a rent-restricted unit that is occupied by individuals
16whose tenant income is at least 61 percent but not more than 100 percent of area
17median gross income.
SB172,7,2118 10. “Rent-restricted unit” means a residential rental unit if the gross rent with
19respect to the unit does not exceed 30 percent of area median gross income,
20determined as if the unit is occupied by one individual in a unit without a separate
21bedroom and 1.5 individuals for each separate bedroom in any other unit.
SB172,7,2322 11. “Tenant income” means the income determined under 26 USC 142 (d) (2)
23(B) of individuals occupying a residential rental unit.
SB172,8,324 (b) Filing claims. Subject to the limitations provided in this subsection and in
25s. 234.46, for taxable years beginning after December 31, 2020, a claimant may claim

1as a credit against the taxes imposed under s. 71.23, up to the amount of the tax, the
2amount allocated to the claimant by the authority under s. 234.46 for each taxable
3year within the credit period.
SB172,8,64 (c) Limitations. 1. No person may claim the credit under par. (b) unless the
5claimant includes with the claimant's return a copy of the allocation certificate
6issued for the qualified housing development.
SB172,8,257 2. A partnership, limited liability company, or tax-option corporation may not
8claim the credit under this subsection. The partners of a partnership, members of
9a limited liability company, or shareholders in a tax-option corporation may claim
10the credit under this subsection based on eligible costs incurred by the partnership,
11limited liability company, or tax-option corporation. The partnership, limited
12liability company, or tax-option corporation shall calculate the amount of the credit
13that may be claimed by each partner, member, or shareholder and shall provide that
14information to each of them. Credits computed by a partnership or limited liability
15company may be claimed in proportion to the ownership interests of the partners or
16members or allocated to partners or members as provided in a written agreement
17among the partners or members that is entered into no later than the last day of the
18taxable year of the partnership or limited liability company for which the credit is
19claimed. Any partner or member who claims the credit as allocated by a written
20agreement shall provide a copy of the agreement with the tax return on which the
21credit is claimed. For shareholders of a tax-option corporation, the credit may be
22allocated in proportion to the ownership interest of each shareholder. A person
23claiming the credit as provided under this subdivision is solely responsible for any
24tax liability arising from a dispute with the department related to claiming the
25credit.
SB172,9,9
1(d) Recapture. 1. As of the last day of any taxable year during the compliance
2period, if the qualified basis of a qualified housing development with respect to a
3claimant is less than the qualified basis as of the last day of the previous taxable year,
4the amount of the claimant's tax liability under this subchapter shall be increased
5by an amount equal to the excess of the aggregate credit claimed under this
6subsection in prior taxable years over the aggregate credit that would be claimed in
7those years if the full credit amount allocated to the claimant for the credit period
8was claimed ratably over 10 years, plus interest at the overpayment rate established
9under 26 USC 6621.
SB172,9,1510 2. Subdivision 1. does not apply if the reduction in qualified basis for the
11taxable year is by reason of a casualty loss if the loss is restored by reconstruction
12or replacement within a reasonable period; a minimal change in floor space; or the
13disposition of an interest in the qualified housing development if it is reasonably
14expected that the development will continue to be operated as a qualified housing
15development for the remainder of the compliance period.
SB172,9,1816 3. In the event that the recapture of a credit is required in a taxable year, the
17taxpayer shall include the recaptured amount on the return submitted for the
18taxable year in which the recapture event is identified.
SB172,9,1919 4. The department shall promulgate rules to implement this paragraph.
SB172,9,2120 (e) Administration. Subsection (4) (e) to (h), as it applies to the credit under
21sub. (4), applies to the credit under this subsection.
SB172,4 22Section 4 . 71.30 (3) (cu) of the statutes is created to read:
SB172,9,2323 71.30 (3) (cu) State workforce housing credit under s. 71.28 (8f).
SB172,5 24Section 5 . 71.47 (8f) of the statutes is created to read:
SB172,9,2525 71.47 (8f) State workforce housing credit. (a) Definitions. In this subsection:
SB172,10,4
11. “Allocation certificate” means a statement issued by the authority certifying
2that a qualified housing development is eligible for a credit under this subsection and
3specifying the amount of the credit that the owners of the qualified housing
4development may claim for each taxable year of the credit period.
SB172,10,65 2. “Area median gross income” has the meaning as used for purposes of 26 USC
642
.
SB172,10,87 3. “Authority” means the Wisconsin Housing and Economic Development
8Authority.
SB172,10,109 4. “Claimant” means a person who has an ownership interest in a qualified
10housing development and who files a claim under this subsection.
SB172,10,1211 5. “Compliance period” means the 10-year period beginning with the first
12taxable year of the credit period.
SB172,10,1713 6. “Credit period” means the 6-year period beginning with the taxable year in
14which a qualified housing development is placed in service. For purposes of this
15subdivision, if a qualified housing development consists of more than one building,
16the qualified housing development is placed in service in the taxable year in which
17the last building is placed in service.
SB172,11,318 7. “Qualified basis” means the amount equal to the applicable fraction of the
19adjusted basis of the qualified housing development as of the close of the first taxable
20year of the credit period. The applicable fraction is the smaller of a fraction whose
21numerator is the number of qualified units in the qualified housing development and
22denominator is the total number of residential rental units in the qualified housing
23development or a fraction whose numerator is the total floor space of the qualified
24units in the qualified housing development and denominator is the total floor space
25of all the residential rental units in the qualified housing development. In

1calculating the applicable fraction, the number of qualified units and residential
2rental units and the amount of floor space shall be determined as of the close of the
3taxable year.
SB172,11,84 8. “Qualified housing development” means a residential rental property
5development located in this state if at least 25 percent of the development's
6residential rental units are rent-restricted units and occupied by individuals whose
7tenant income is at least 61 percent but not more than 100 percent of area median
8gross income.
SB172,11,119 9. “Qualified unit” means a rent-restricted unit that is occupied by individuals
10whose tenant income is at least 61 percent but not more than 100 percent of area
11median gross income.
SB172,11,1512 10. “Rent-restricted unit” means a residential rental unit if the gross rent with
13respect to the unit does not exceed 30 percent of area median gross income,
14determined as if the unit is occupied by one individual in a unit without a separate
15bedroom and 1.5 individuals for each separate bedroom in any other unit.
SB172,11,1716 11. “Tenant income” means the income determined under 26 USC 142 (d) (2)
17(B) of individuals occupying a residential rental unit.
SB172,11,2218 (b) Filing claims. Subject to the limitations provided in this subsection and in
19s. 234.46, for taxable years beginning after December 31, 2020, a claimant may claim
20as a credit against the taxes imposed under s. 71.43, up to the amount of the tax, the
21amount allocated to the claimant by the authority under s. 234.46 for each taxable
22year within the credit period.
SB172,11,2523 (c) Limitations. 1. No person may claim the credit under par. (b) unless the
24claimant includes with the claimant's return a copy of the allocation certificate
25issued for the qualified housing development.
SB172,12,19
12. A partnership, limited liability company, or tax-option corporation may not
2claim the credit under this subsection. The partners of a partnership, members of
3a limited liability company, or shareholders in a tax-option corporation may claim
4the credit under this subsection based on eligible costs incurred by the partnership,
5limited liability company, or tax-option corporation. The partnership, limited
6liability company, or tax-option corporation shall calculate the amount of the credit
7that may be claimed by each partner, member, or shareholder and shall provide that
8information to each of them. Credits computed by a partnership or limited liability
9company may be claimed in proportion to the ownership interests of the partners or
10members or allocated to partners or members as provided in a written agreement
11among the partners or members that is entered into no later than the last day of the
12taxable year of the partnership or limited liability company for which the credit is
13claimed. Any partner or member who claims the credit as allocated by a written
14agreement shall provide a copy of the agreement with the tax return on which the
15credit is claimed. For shareholders of a tax-option corporation, the credit may be
16allocated in proportion to the ownership interest of each shareholder. A person
17claiming the credit as provided under this subdivision is solely responsible for any
18tax liability arising from a dispute with the department related to claiming the
19credit.
SB172,13,320 (d) Recapture. 1. As of the last day of any taxable year during the compliance
21period, if the qualified basis of a qualified housing development with respect to a
22claimant is less than the qualified basis as of the last day of the previous taxable year,
23the amount of the claimant's tax liability under this subchapter shall be increased
24by an amount equal to the excess of the aggregate credit claimed under this
25subsection in prior taxable years over the aggregate credit that would be claimed in

1those years if the full credit amount allocated to the claimant for the credit period
2was claimed ratably over 10 years, plus interest at the overpayment rate established
3under 26 USC 6621.
SB172,13,94 2. Subdivision 1. does not apply if the reduction in qualified basis for the
5taxable year is by reason of a casualty loss if the loss is restored by reconstruction
6or replacement within a reasonable period; a minimal change in floor space; or a
7disposition of an interest in the qualified housing development if it is reasonably
8expected that the development will continue to be operated as a qualified housing
9development for the remainder of the compliance period.
SB172,13,1210 3. In the event that the recapture of a credit is required in a taxable year, the
11taxpayer shall include the recaptured amount on the return submitted for the
12taxable year in which the recapture event is identified.
SB172,13,1313 4. The department shall promulgate rules to implement this paragraph.
SB172,13,1514 (e) Administration. Section 71.28 (4) (e) to (h), as it applies to the credit under
15s. 71.28 (4), applies to the credit under this subsection.
SB172,6 16Section 6 . 71.49 (1) (cu) of the statutes is created to read:
SB172,13,1717 71.49 (1) (cu) State workforce housing credit under s. 71.47 (8f).
SB172,7 18Section 7 . 76.6395 of the statutes is created to read:
SB172,13,19 1976.6395 State workforce housing credit. (1) Definitions. In this section:
SB172,13,2320 (a) “Allocation certificate” means a statement issued by the authority certifying
21that a qualified housing development is eligible for a credit under this section and
22specifying the amount of the credit that the owners of the qualified housing
23development may claim for each taxable year of the credit period.
SB172,13,2524 (b) “Area median gross income” has the meaning as used for purposes of 26 USC
2542
.
SB172,14,2
1(c) “Authority” means the Wisconsin Housing and Economic Development
2Authority.
SB172,14,43 (d) “Claimant” means a person who has an ownership interest in a qualified
4housing development and who files a claim under this section.
SB172,14,65 (e) “Compliance period” means the 10-year period beginning with the first
6taxable year of the credit period.
SB172,14,117 (f) “Credit period” means the 6-year period beginning with the taxable year in
8which a qualified housing development is placed in service. For purposes of this
9paragraph, if a qualified housing development consists of more than one building,
10the qualified housing development is placed in service in the taxable year in which
11the last building is placed in service.
SB172,14,2212 (g) “Qualified basis” means the amount equal to the applicable fraction of the
13adjusted basis of the qualified housing development as of the close of the first taxable
14year of the credit period. The applicable fraction is the smaller of a fraction whose
15numerator is the number of qualified units in the qualified housing development and
16denominator is the total number of residential rental units in the qualified housing
17development or a fraction whose numerator is the total floor space of the qualified
18units in the qualified housing development and denominator is the total floor space
19of all the residential rental units in the qualified housing development. In
20calculating the applicable fraction, the number of qualified units and residential
21rental units and the amount of floor space shall be determined as of the close of the
22taxable year.
SB172,15,223 (h) “Qualified housing development” means a residential rental property
24development located in this state if at least 25 percent of the development's
25residential rental units are rent-restricted units and occupied by individuals whose

1tenant income is at least 61 percent but not more than 100 percent of area median
2gross income.
SB172,15,53 (i) “Qualified unit” means a rent-restricted unit that is occupied by individuals
4whose tenant income is at least 61 percent but not more than 100 percent of area
5median gross income.
SB172,15,96 (j) “Rent-restricted unit” means a residential rental unit if the gross rent with
7respect to the unit does not exceed 30 percent of area median gross income,
8determined as if the unit is occupied by one individual in a unit without a separate
9bedroom and 1.5 individuals for each separate bedroom in any other unit.
SB172,15,1110 (k) “Tenant income” means the income determined under 26 USC 142 (d) (2)
11(B) of individuals occupying a residential rental unit.
SB172,15,16 12(2) Filing claims. Subject to the limitations provided in this section and in s.
13234.46, for taxable years beginning after December 31, 2020, a claimant may claim
14as a credit against the fees imposed under s. 76.60, 76.63, 76.65, 76.66, or 76.67 the
15amount allocated to the claimant by the authority under s. 234.46 for each taxable
16year within the credit period.
SB172,15,19 17(3) Limitations. (a) No insurer may claim the credit under sub. (2) unless the
18claimant includes with the claimant's return a copy of the allocation certificate
19issued for the qualified housing development.
SB172,16,220 (b) An insurer that is a partner or member of a partnership or limited liability
21company that directly or indirectly owns a qualified housing development may claim
22the credit under sub. (2) in proportion to the insurer's percentage ownership interest
23in the partnership or limited liability company or in accordance with the allocation
24of credits to the insurer pursuant to a written agreement among the partners or

1members of the partnership or limited liability company that is entered into no later
2than the last day of the taxable year of the partnership or limited liability company.
SB172,16,11 3(4) Recapture. (a) As of the last day of any taxable year during the compliance
4period, if the qualified basis of a qualified housing development with respect to a
5claimant is less than the qualified basis as of the last day of the previous taxable year,
6the amount of the claimant's tax liability under s. 76.60, 76.63, 76.65, 76.66, or 76.67
7shall be increased by an amount equal to the excess of the aggregate credit claimed
8under this section in prior taxable years over the aggregate credit that would be
9claimed in those years if the full credit amount allocated to the claimant for the credit
10period was claimed ratably over 10 years, plus interest at the overpayment rate
11established under 26 USC 6621.
SB172,16,1712 (b) Paragraph (a) does not apply if the reduction in qualified basis for the
13taxable year is by reason of a casualty loss if the loss is restored by reconstruction
14or replacement within a reasonable period; a minimal change in floor space; or a
15disposition of an interest in the qualified housing development if it is reasonably
16expected that the development will continue to be operated as a qualified housing
17development for the remainder of the compliance period.
SB172,16,2018 (c) In the event that the recapture of a credit is required in a taxable year, the
19taxpayer shall include the recaptured amount of the credit on the return submitted
20for the taxable year in which the recapture event is identified.
SB172,16,2121 (d) The department shall promulgate rules to implement this subsection.
SB172,17,2 22(5) Carry-forward. If the credit under sub. (2) is not entirely offset against the
23fees under s. 76.60, 76.63, 76.65, 76.66, or 76.67 otherwise due, the unused balance
24may be carried forward and credited against those fees for the following 15 years to
25the extent that it is not offset by those fees otherwise due in all the years between

1the year in which the expense was made and the year in which the carry-forward
2credit is claimed.
SB172,8 3Section 8. 76.67 (2) of the statutes is amended to read:
SB172,17,144 76.67 (2) If any domestic insurer is licensed to transact insurance business in
5another state, this state may not require similar insurers domiciled in that other
6state to pay taxes greater in the aggregate than the aggregate amount of taxes that
7a domestic insurer is required to pay to that other state for the same year less the
8credits under ss. 76.635, 76.636, 76.637, 76.638, 76.639, 76.6395, and 76.655, except
9that the amount imposed shall not be less than the total of the amounts due under
10ss. 76.65 (2) and 601.93 and, if the insurer is subject to s. 76.60, 0.375 percent of its
11gross premiums, as calculated under s. 76.62, less offsets allowed under s. 646.51 (7)
12or under ss. 76.635, 76.636, 76.637, 76.638, 76.639, 76.6395, and 76.655 against that
13total, and except that the amount imposed shall not be less than the amount due
14under s. 601.93.
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