Amendment SA1-SSA2-SB70

SB70-SSA2-SA1,597,14 71.47 (8b) (a) 7. “Qualified development” means a qualified low-income housing project under section 42 (g) of the Internal Revenue Code that is financed with tax-exempt bonds, pursuant to section 42 (i) (2) described in section 42 (h) (4) (A) of the Internal Revenue Code, allocated the credit under section 42 of the Internal Revenue Code, and located in this state; except that the authority may waive, in the qualified allocation plan under section 42 (m) (1) (B) of the Internal Revenue Code, the requirements of tax-exempt bond financing and federal credit allocation to the extent the authority anticipates that sufficient volume cap under section 146 of the Internal Revenue Code will not be available to finance low-income housing projects in any year.

SB70-SSA2-SA1,1255 Section 1255. 76.639 (1) (e) of the statutes is amended to read:

SB70-SSA2-SA1,597,20 76.639 (1) (e) “Credit period” means the period of 6 10 taxable years beginning with the taxable year in which a qualified development is placed in service. For purposes of this paragraph, if a qualified development consists of more than one building, the qualified development is placed in service in the taxable year in which the last building of the qualified development is placed in service.

SB70-SSA2-SA1,1256 Section 1256. 76.639 (1) (g) of the statutes is amended to read:

SB70-SSA2-SA1,598,6 76.639 (1) (g) “Qualified development” means a qualified low-income housing project under section 42 (g) of the Internal Revenue Code that is financed with tax-exempt bonds, pursuant to section 42 (i) (2) described in section 42 (h) (4) (A) of the Internal Revenue Code, allocated the credit under section 42 of the Internal Revenue Code, and located in this state; except that the authority may waive, in the qualified allocation plan under section 42 (m) (1) (B) of the Internal Revenue Code, the requirements of tax-exempt bond financing and federal credit allocation to the extent the authority anticipates that sufficient volume cap under section 146 of the Internal Revenue Code will not be available to finance low-income housing projects in any year.

SB70-SSA2-SA1,1257 Section 1257. 234.45 (1) (c) of the statutes is amended to read:

SB70-SSA2-SA1,598,12 234.45 (1) (c) “Credit period” means the period of 6 10 taxable years beginning with the taxable year in which a qualified development is placed in service. For purposes of this paragraph, if a qualified development consists of more than one building, the qualified development is placed in service in the taxable year in which the last building of the qualified development is placed in service.

SB70-SSA2-SA1,1258 Section 1258. 234.45 (1) (e) of the statutes is amended to read:

SB70-SSA2-SA1,598,23 234.45 (1) (e) “Qualified development” means a qualified low-income housing project under section 42 (g) of the Internal Revenue Code that is financed with tax-exempt bonds, pursuant to section 42 (i) (2) described in section 42 (h) (4) (A) of the Internal Revenue Code, allocated the credit under section 42 of the Internal Revenue Code, and located in this state; except that the authority may waive, in the qualified allocation plan under section 42 (m) (1) (B) of the Internal Revenue Code, the requirements of tax-exempt bond financing and federal credit allocation to the extent the authority anticipates that sufficient volume cap under section 146 of the Internal Revenue Code will not be available to finance low-income housing projects in any year.

SB70-SSA2-SA1,1259 Section 1259. 234.45 (4) of the statutes is amended to read:

SB70-SSA2-SA1,599,7 234.45 (4) Allocation limits. In any calendar year, the aggregate amount of all state tax credits for which the authority certifies persons in allocation certificates issued under sub. (3) in that year may not exceed $42,000,000 $100,000,000, including all amounts each person is eligible to claim for each year of the credit period, plus the total amount of all unallocated state tax credits from previous calendar years and plus the total amount of all previously allocated state tax credits that have been revoked or cancelled or otherwise recovered by the authority.”.

SB70-SSA2-SA1,599,8 208. Page 374, line 11: after that line insert:

SB70-SSA2-SA1,599,9 “ Section 1260. 77.51 (3h) of the statutes is created to read:

SB70-SSA2-SA1,599,11 77.51 (3h) “Diaper” means an absorbent garment worn by humans who are incapable of, or have difficulty controlling their bladder or bowel movements.

SB70-SSA2-SA1,1261 Section 1261. 77.51 (3pq) of the statutes is created to read:

SB70-SSA2-SA1,599,16 77.51 (3pq) “Feminine hygiene products” means tampons, panty liners, menstrual cups, sanitary napkins, and other similar tangible personal property designed for feminine hygiene in connection with the human menstrual cycle. “Feminine hygiene products” do not include grooming and hygiene products.

SB70-SSA2-SA1,1262 Section 1262. 77.51 (4f) of the statutes is created to read:

SB70-SSA2-SA1,599,20 77.51 (4f) “Grooming and hygiene products” means soaps and cleaning solutions, shampoo, toothpaste, mouthwash, antiperspirants, and suntan lotions and screens.

SB70-SSA2-SA1,1263 Section 1263. 77.52 (13) of the statutes is amended to read:

SB70-SSA2-SA1,600,9 77.52 (13) For the purpose of the proper administration of this section and to prevent evasion of the sales tax it shall be presumed that all receipts are subject to the tax until the contrary is established. The burden of proving that a sale of tangible personal property, or items, property, or goods under sub. (1) (b), (c), or (d), or services is not a taxable sale at retail is upon the person who makes the sale unless that person takes from the purchaser an electronic or a paper certificate, in a manner prescribed by the department, to the effect that the property, item, good, or service is purchased for resale or is otherwise exempt, except that no certificate is required for the sale of tangible personal property, or items, property, or goods under sub. (1) (b), (c), or (d), or services that are exempt under s. 77.54 (5) (a) 3., (7), (7m), (8), (10), (11), (14), (15), (17), (20n), (21), (22b), (31), (32), (35), (36), (37), (42), (44), (45), (46), (51), (52), (66), and (67), (71), (72), and (73).

SB70-SSA2-SA1,1264 Section 1264. 77.53 (10) of the statutes is amended to read:

SB70-SSA2-SA1,600,24 77.53 (10) For the purpose of the proper administration of this section and to prevent evasion of the use tax and the duty to collect the use tax, it is presumed that tangible personal property, or items, property, or goods under s. 77.52 (1) (b), (c), or (d), or taxable services sold by any person for delivery in this state is sold for storage, use, or other consumption in this state until the contrary is established. The burden of proving the contrary is upon the person who makes the sale unless that person takes from the purchaser an electronic or paper certificate, in a manner prescribed by the department, to the effect that the property, or items, property, or goods under s. 77.52 (1) (b), (c), or (d), or taxable service is purchased for resale, or otherwise exempt from the tax, except that no certificate is required for the sale of tangible personal property, or items, property, or goods under s. 77.52 (1) (b), (c), or (d), or services that are exempt under s. 77.54 (7), (7m), (8), (10), (11), (14), (15), (17), (20n), (21), (22b), (31), (32), (35), (36), (37), (42), (44), (45), (46), (51), (52), and (67), (71), (72) and (73).

SB70-SSA2-SA1,1265 Section 1265. 77.54 (71) of the statutes is created to read:

SB70-SSA2-SA1,601,2 77.54 (71) The sales price from the sale of and the storage, use, or other consumption of diapers and feminine hygiene products.

SB70-SSA2-SA1,1266 Section 1266. 77.54 (72) of the statutes is created to read:

SB70-SSA2-SA1,601,6 77.54 (72) The sales price from the sale of and the storage, use, or other consumption of breast pumps, breast pump kits, and breast pump storage and collection supplies.

SB70-SSA2-SA1,1267 Section 1267. 77.54 (73) of the statutes is created to read:

SB70-SSA2-SA1,601,10 77.54 (73) (a) The sales price from the sale of and the storage, use, or other consumption of gun safes that are specifically designed for the storage of guns, but not other items used for gun storage, such as locking gun cabinets and racks.

SB70-SSA2-SA1,601,12 (b) The sales price from the sale of and the storage, use, or other consumption of trigger locks and gun barrel locks.”.

SB70-SSA2-SA1,601,13 209. Page 374, line 11: after that line insert:

SB70-SSA2-SA1,601,14 “ Section 1. 71.98 (10) of the statutes is created to read:

SB70-SSA2-SA1,601,16 71.98 (10) 529 accounts. For taxable years beginning after December 31, 2022, section 529 of the Internal Revenue Code, relating to qualified tuition programs.”.

SB70-SSA2-SA1,601,17 210. Page 374, line 11: after that line insert:

SB70-SSA2-SA1,601,18 “ Section 1268. 77.54 (56) (a) of the statutes is repealed.

SB70-SSA2-SA1,1269 Section 1269. 77.54 (56) (ad) of the statutes is created to read:

SB70-SSA2-SA1,602,6 77.54 (56) (ad) 1. The sales price from the sale of and the storage, use, or other consumption of a solar power system or wind energy system that produces usable electrical or heat energy directly from the sun or wind, if the system is capable of continuously producing at least 200 watts of alternating current or 600 British thermal units. A solar power system or wind energy system described under this subdivision includes tangible personal property sold with the system that is used primarily to store or facilitate the storage of the electrical or heat energy produced by the system, but does not include an uninterruptible power source that is designed primarily for computers. The exemption under this subdivision does not apply to tangible personal property designed for any use other than for a solar power system or wind energy system described in this subdivision.

SB70-SSA2-SA1,602,17 2. The sales price from the sale of and the storage, use, or other consumption of a waste energy system that produces usable electrical or heat energy directly from gas generated from anaerobic digestion of animal manure and other agricultural waste if the system is capable of continuously producing at least 200 watts of alternating current or 600 British thermal units. A system described under this subdivision includes tangible personal property sold with the system that is used primarily to store or facilitate the storage of the electrical or heat energy produced by the system, but does not include an uninterruptible power source that is designed primarily for computers. The exemption under this subdivision does not apply to tangible personal property designed for any use other than for a waste energy system described in this subdivision.

SB70-SSA2-SA1,1270 Section 1270. 77.54 (56) (b) of the statutes is amended to read:

SB70-SSA2-SA1,602,22 77.54 (56) (b) Except for the sale of electricity or energy that is exempt from taxation under sub. (30), beginning on July 1, 2011, the sales price from the sale of and the storage, use, or other consumption of electricity or heat energy produced by a product system described under par. (a) (ad).”.

SB70-SSA2-SA1,602,23 211. Page 374, line 11: after that line insert:

SB70-SSA2-SA1,602,24 “ Section 1271. 77.51 (11d) of the statutes is amended to read:

SB70-SSA2-SA1,603,4 77.51 (11d) For purposes of subs. (1ag), (1f), (3pf), (7j), and (9p), and (17g) and ss. 77.52 (20) and (21), 77.522, 77.54 (9g), (51), (52), and (60), and 77.59 (5r), “product" includes tangible personal property, and items, property, and goods under s. 77.52 (1) (b), (c), and (d), and services.

SB70-SSA2-SA1,1272 Section 1272. 77.51 (17g) of the statutes is created to read:

SB70-SSA2-SA1,603,7 77.51 (17g) “Separate and optional fee” means a fee charged to receive a distinct and identifiable product if either of the following applies:

SB70-SSA2-SA1,603,12 (a) The fee is in addition to fees that the seller charges for other distinct and identifiable products sold to the same buyer, the fee is separately set forth on the invoice given by the seller to the buyer, and the seller does not require the buyer to pay the fee if the buyer chooses not to receive the additional distinct and identifiable product for which the fee applies.

SB70-SSA2-SA1,603,19 (b) The seller charges a single amount for multiple distinct and identifiable products and offers the buyer the option of paying a lower amount if the buyer chooses not to receive one or more of the distinct and identifiable products. For purposes of this paragraph, the separate and optional fee is the single amount the seller charges for the multiple distinct and identifiable products less the reduced amount the seller charges to the buyer because the buyer chooses not to receive one or more of the products.

SB70-SSA2-SA1,1273 Section 1273. 77.52 (2) (a) 20. of the statutes is amended to read:

SB70-SSA2-SA1,604,3 77.52 (2) (a) 20. The sale of landscaping and lawn maintenance services including landscape planning and counseling, lawn and garden services such as planting, mowing, spraying and fertilizing, and shrub and tree services. For purposes of this subdivision, landscaping and lawn maintenance services do not include planning and counseling services for the restoration, reclamation, or revitalization of prairie, savanna, or wetlands to improve biodiversity, the quality of land, soils, or water, or other ecosystem functions if the planning and counseling services are provided for a separate and optional fee from any other services.

SB70-SSA2-SA1,1274 Section 1274. 77.52 (2m) (a) of the statutes is amended to read:

SB70-SSA2-SA1,604,9 77.52 (2m) (a) With respect to the services subject to tax under sub. (2), no part of the charge for the service may be deemed a sale or rental of tangible personal property or items, property, or goods under sub. (1) (b), (c), or (d) if the property, items, or goods transferred by the service provider are incidental to the selling, performing or furnishing of the service, except as provided in par. pars. (b) and (c).

SB70-SSA2-SA1,1275 Section 1275. 77.52 (2m) (c) of the statutes is created to read:

SB70-SSA2-SA1,604,18 77.52 (2m) (c) With respect to services subject to tax under sub. (2) (a) 7., 10., 11., and 20. that are provided for a separate and optional fee from the planning and counseling services described under sub. (2) (a) 20., all tangible personal property or items, property, or goods under sub. (1) (b), (c), or (d) physically transferred, or transferred electronically, to the customer in conjunction with the provision of the services subject to tax under sub. (2) (a) 7., 10., 11., and 20. is a sale of tangible personal property or items, property, or goods separate from the selling, performing, or furnishing of the services.”.

SB70-SSA2-SA1,604,19 212. Page 374, line 11: after that line insert:

SB70-SSA2-SA1,604,20 “ Section 1276. 77.25 (15) of the statutes is amended to read:

SB70-SSA2-SA1,605,2 77.25 (15) Between a corporation and its shareholders if all of the stock is owned by persons who are related to each other as spouses, as lineal ascendants, lineal descendants, an uncle and his nieces or nephews, an aunt and her nieces or nephews, first cousins, or siblings, whether by blood or by adoption, or as spouses of siblings, if the transfer is for no consideration except the assumption of debt or stock of the corporation and if the corporation owned the property for at least 3 years.

SB70-SSA2-SA1,1277 Section 1277. 77.25 (15m) of the statutes is amended to read:

SB70-SSA2-SA1,605,9 77.25 (15m) Between a partnership and one or more of its partners if all of the partners are related to each other as spouses, as lineal ascendants, lineal descendants, an uncle and his nieces or nephews, an aunt and her nieces or nephews, first cousins, or siblings, whether by blood or by adoption, or as spouses of siblings and if the transfer is for no consideration other than the assumption of debt or an interest in the partnership.

SB70-SSA2-SA1,1278 Section 1278. 77.25 (15s) of the statutes is amended to read:

SB70-SSA2-SA1,605,16 77.25 (15s) Between a limited liability company and one or more of its members if all of the members are related to each other as spouses, as lineal ascendants, lineal descendants, an uncle and his nieces or nephews, an aunt and her nieces or nephews, first cousins, or siblings, whether by blood or by adoption, or as spouses of siblings and if the transfer is for no consideration other than the assumption of debt or an interest in the limited liability company.

SB70-SSA2-SA1,9337 Section 9337. Initial applicability; Revenue.

SB70-SSA2-SA1,605,20 (1n) Real estate transfer fee. The treatment of s. 77.25 (15), (15m), and (15s) first applies to a real estate transfer return filed on the effective date of this subsection.”.

SB70-SSA2-SA1,605,21 213. Page 374, line 11: after that line insert:

SB70-SSA2-SA1,605,22 “ Section 1279. 71.07 (6e) (a) 6. of the statutes is created to read:

SB70-SSA2-SA1,605,24 71.07 (6e) (a) 6. “Rent constituting property taxes" has the meaning given in sub. (9) (a) 4.

SB70-SSA2-SA1,1280 Section 1280. 71.07 (6e) (b) of the statutes is amended to read:

SB70-SSA2-SA1,606,9 71.07 (6e) (b) Filing claims. Subject to the limitations provided in this subsection, a claimant may claim as a credit against the tax imposed under s. 71.02 the amount of the claimant's property taxes or rent constituting property taxes. If the allowable amount of the claim exceeds the income taxes otherwise due on the claimant's income, the amount of the claim not used as an offset against those taxes shall be certified by the department of revenue to the department of administration for payment to the claimant by check, share draft, or other draft from the appropriation under s. 20.835 (2) (em).

SB70-SSA2-SA1,1281 Section 1281. 71.07 (6e) (c) 3. of the statutes is amended to read:

SB70-SSA2-SA1,606,16 71.07 (6e) (c) 3. If an eligible veteran and an eligible spouse file separate returns, each spouse may claim a credit under this subsection for property taxes based on their respective ownership interest in the eligible veteran's principal dwelling or for rent constituting property taxes based on 50 percent of the total rent constituting property taxes paid during the taxable year for the eligible veteran's principal dwelling.

SB70-SSA2-SA1,9337 Section 9337. Initial applicability; Revenue.

SB70-SSA2-SA1,606,20 (1) Veterans and surviving spouses property tax credit. The treatment of s. 71.07 (6e) (a) 6., (b), and (c) 3. first applies to taxable years beginning after December 31, 2022.”.

SB70-SSA2-SA1,606,21 214. Page 374, line 11: after that line insert:

SB70-SSA2-SA1,606,23 “ Section 1282. Subchapter III (title) of chapter 139 [precedes 139.75] of the statutes is amended to read:

SB70-SSA2-SA1,606,24 CHAPTER 139

SB70-SSA2-SA1,607,3 SUBCHAPTER III TOBACCO PRODUCTS TAX and vapor products taxes

SB70-SSA2-SA1,1283 Section 1283. 139.75 (14) of the statutes is renumbered 139.75 (14) (a) and amended to read:

SB70-SSA2-SA1,607,12 139.75 (14) (a) “Vapor product” means a noncombustible product that produces vapor or aerosol for inhalation from the application of a heating element to a liquid or other substance that is depleted as the product is used, regardless of whether the liquid or other substance contains nicotine, which may or may not contain nicotine, that employs a heating element, power source, electronic circuit, or other electronic, chemical, or mechanical means, regardless of shape or size, that can be used to produce vapor from a solution or other substance.

SB70-SSA2-SA1,1284 Section 1284. 139.75 (14) (b) and (c) of the statutes are created to read:

SB70-SSA2-SA1,607,14 139.75 (14) (b) “Vapor product” includes all of the following:

SB70-SSA2-SA1,607,16 1. An electronic cigarette, electronic cigar, electronic cigarillo, electronic pipe, or similar product or device.

SB70-SSA2-SA1,607,20 2. Any cartridge or other container of a solution or other substance, which may or may not contain nicotine, that is intended to be used with or in an electronic cigarette, electronic cigar, electronic cigarillo, electronic pipe, or similar product or device.

SB70-SSA2-SA1,607,23 (c) “Vapor product” does not include a product regulated as a drug or device under sections 501 to 524A of the federal food, drug, and cosmetic act, 21 USC 351 to 360n-1.

SB70-SSA2-SA1,1285 Section 1285. 139.76 (1m) of the statutes is amended to read:

SB70-SSA2-SA1,608,14 139.76 (1m) An excise tax is imposed upon the sale, offering or exposing for sale, possession with intent to sell or removal for consumption or sale or other disposition for any purpose of vapor products by any person engaged as a distributor of them at the rate of 5 cents per milliliter of the liquid or other substance based on the volume as listed by the manufacturer and at a proportionate rate for any other quantity or fractional part thereof 71 percent of the manufacturer's established list price to distributors without diminution by volume or other discounts on domestic products. On vapor products imported from another country, the rate of tax is 71 percent of the amount obtained by adding the manufacturer's list price to the federal tax, duties, and transportation costs to the United States. The tax attaches at the time the vapor products are received by the distributor in this state. The tax shall be passed on to the ultimate consumer of the vapor products. All vapor products received in this state for sale or distribution within this state, except those actually sold as provided in sub. (2), shall be subject to such tax.

SB70-SSA2-SA1,1286 Section 1286. 139.77 (1) of the statutes is amended to read:

SB70-SSA2-SA1,608,25 139.77 (1) On or before the 15th day of each month, every distributor with a place of business in this state shall file a return showing the quantity , including milliliters in the case of a vapor product, and taxable price of each tobacco product or vapor product brought, or caused to be brought, into this state for sale; or made, manufactured or fabricated in this state for sale in this state, during the preceding month. Every distributor outside this state shall file a return showing the quantity, including milliliters in the case of a vapor product, and taxable price of each tobacco product or vapor product shipped or transported to retailers in this state to be sold by those retailers during the preceding month. At the time that the return is filed, the distributor shall pay the tax.

SB70-SSA2-SA1,1287 Section 1287. 139.78 (1m) of the statutes is amended to read:

SB70-SSA2-SA1,609,9 139.78 (1m) A tax is imposed upon the use or storage by consumers of vapor products in this state at the rate of 5 cents per milliliter of the liquid or other substance based on the volume as listed by the manufacturer and at a proportionate rate for any other quantity or fractional part thereof 71 percent of the manufacturer's established list price to distributors without diminution by volume or other discounts on domestic products. The tax does not apply if the tax imposed by s. 139.76 (1m) on the vapor products has been paid or if the vapor products are exempt from the vapor products tax under s. 139.76 (2).

SB70-SSA2-SA1,9437 Section 9437. Effective dates; Revenue.

SB70-SSA2-SA1,609,14 (1) Vapor products. The treatment of subch. III (title) of ch. 139 and ss. 139.76 (1m), 139.77 (1), and 139.78 (1m), the renumbering and amendment of s. 139.75 (14), and the creation of s. 139.75 (14) (b) and (c) take effect on the first day of the 3rd month beginning after publication.”.