SB45: Bill Text

SB45,741,18 71.47 (6) (f) 2. a. A partnership, limited liability company, or tax-option corporation may make an election under s. 71.21 (6) (a) or 71.365 (4m) (a) to claim the credit under par. (a) 4. against the net income or franchise tax otherwise payable to this state on income of the same year.

SB45,741,20 b. A partnership’s partners, limited liability company’s members, and tax- option corporation’s shareholders may not claim the credit under par. (a) 4.

SB45,1398 Section 1398. 71.47 (6) (g) 1. of the statutes is amended to read:

SB45,742,2 71.47 (6) (g) 1. If Except as provided in subd. 1m., if a person who claims the credit under this subsection elects to claim the credit based on claiming amounts for expenditures as the expenditures are paid, rather than when the rehabilitation work is completed, the person shall file an election form with the department, in the manner prescribed by the department.

SB45,1399 Section 1399. 71.47 (6) (g) 1m. of the statutes is created to read:

SB45,742,6 71.47 (6) (g) 1m. No person may claim the credit under par. (a) 4. unless the person claims the credit for the taxable year in which the rehabilitation work is completed.

SB45,1400 Section 1400. 71.47 (6) (h) of the statutes is amended to read:

SB45,742,19 71.47 (6) (h) Any person, including a nonprofit entity described in section 501 (c) (3) of the Internal Revenue Code, may sell or otherwise transfer the credit under par. (a) 2m. or, 3., or 4., in whole or in part, to another person who is subject to the taxes imposed under s. 71.02, 71.23, or 71.43, if the person notifies the department of the transfer, and submits with the notification a copy of the transfer documents, and the department certifies ownership of the credit with each transfer. The transferor may file a claim for more than one taxable year on a form prescribed by the department to compute all years of the credit under par. (a) 2m. or, 3., or 4., at the time of the transfer request. The transferee may first use the credit to offset tax in the taxable year of the transferor in which the transfer occurs, and may use the credit only to offset tax in taxable years otherwise allowed to be claimed and carried forward by the original claimant.

SB45,1401 Section 1401. 71.47 (8b) (a) 7. of the statutes is amended to read:

SB45,743,6 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.

SB45,1402 Section 1402. 71.47 (8m) of the statutes is created to read:

SB45,743,9 71.47 (8m) Universal changing station credit. (a) Definitions. In this subsection:

SB45,743,11 1. “Claimant” means a person who files a claim under this subsection and meets either of the following conditions during the preceding taxable year:

SB45,743,12 a. Had gross receipts that did not exceed $1,000,000.

SB45,743,13 b. Employed no more than 30 full-time employees.

SB45,743,15 2. “Full-time employee” means an individual who is employed for at least 30 hours per week for 20 or more calendar weeks during a taxable year.

SB45,743,16 3. “Universal changing station” has the meaning given in s. 71.07 (8m) (a) 3.

SB45,743,21 (b) Filing claims. For taxable years beginning after December 31, 2024, subject to the limitations provided in this subsection, a claimant may claim as a credit against the tax imposed under s. 71.43, up to the amount of those taxes, an amount equal to 50 percent of the amount the claimant paid during the taxable year to install a universal changing station.

SB45,744,4 (c) Limitations. 1. No credit may be claimed under this subsection unless the universal changing station is installed in a single-occupant restroom that measures at least 8 feet by 10 feet, with adequate space for a wheelchair and a care provider to maneuver; that is equipped with a waste receptacle, a toilet, a lavatory, a soap dispenser, and a paper towel dispenser; and that complies with accessibility standards under the federal Americans with Disabilities Act.

SB45,744,5 2. The credit claimed under this subsection may not exceed $5,125.

SB45,744,12 3. 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 amounts paid by the entity. 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, and shareholders may claim the credit in proportion to their ownership interests.

SB45,744,14 (d) Administration. Section 71.28 (4) (e) to (h), as it applies to the credit under s. 71.28 (4), applies to the credit under this subsection.

SB45,1403 Section 1403. 71.49 (1) (cu) of the statutes is created to read:

SB45,744,16 71.49 (1) (cu) Universal changing station credit under s. 71.47 (8m).

SB45,1404 Section 1404. 71.49 (1) (epr) of the statutes is created to read:

SB45,744,19 71.49 (1) (epr) Film production company investment credit under s. 71.47 (5h).

SB45,1405 Section 1405. 71.49 (1) (eps) of the statutes is created to read:

SB45,744,21 71.49 (1) (eps) Film production services credit under s. 71.47 (5f) (b) 1. and 3.

SB45,1406 Section 1406. 71.49 (1) (f) of the statutes is amended to read:

SB45,745,4 71.49 (1) (f) The total of farmland preservation credit under subch. IX, jobs credit under s. 71.47 (3q), enterprise zone jobs credit under s. 71.47 (3w), business development credit under s. 71.47 (3y), research credit under s. 71.47 (4) (k) 1., film production services credit under s. 71.47 (5f) (b) 2., and estimated tax payments under s. 71.48.

SB45,1407 Section 1407. Subchapter VIII (title) of chapter 71 [precedes 71.51] of the statutes is repealed and recreated to read:

SB45,745,7 CHAPTER 71

SB45,745,9 SUBCHAPTER VIII PROPERTY TAX AND RENT REBATE

SB45,1408 Section 1408. 71.52 (4) of the statutes is amended to read:

SB45,745,12 71.52 (4) “Household” means a claimant and an individual related to the claimant as husband or wife his or her spouse.

SB45,1409 Section 1409. 71.54 (1) (g) (intro.) of the statutes is amended to read:

SB45,745,16 71.54 (1) (g) 2012 and thereafter to 2025. (intro.) The amount of any claim filed in 2012 and thereafter to 2025 and based on property taxes accrued or rent constituting property taxes accrued during the previous year is limited as follows:

SB45,1410 Section 1410. 71.54 (1) (g) 4. of the statutes is amended to read:

SB45,745,24 71.54 (1) (g) 4. Except as provided in subds. 5. and 7., for For claims filed in 2018 and thereafter and based on property taxes accrued or rent constituting property taxes accrued during the previous year, no credit may be allowed under this paragraph if the claimant has no earned income in the taxable year to which the claim relates unless the claimant is disabled and provides the proof required under subd. 6. or the claimant or the claimant’s spouse is over the age of 61 at the close of the year to which the claim relates.

SB45,1411 Section 1411. 71.54 (1) (g) 5. of the statutes is repealed.

SB45,1412 Section 1412. 71.54 (1) (g) 6. (intro.) of the statutes is amended to read:

SB45,746,6 71.54 (1) (g) 6. (intro.) With regard to a claimant who is disabled, the A claimant who is disabled shall provide with his or her return proof that his or her disability is in effect for the taxable year to which the claim relates. Proof of disability may be demonstrated by any of the following:

SB45,1413 Section 1413. 71.54 (1) (g) 7. of the statutes is repealed.

SB45,1414 Section 1414. 71.54 (1) (h) of the statutes is created to read:

SB45,746,11 71.54 (1) (h) 2026 and thereafter. Subject to sub. (2m), the amount of any claim filed in 2026 and thereafter and based on property taxes accrued or rent constituting property taxes accrued during the previous year is limited as follows:

SB45,746,15 1. If the household income was $19,000 or less in the year to which the claim relates, the claim is limited to 80 percent of the property taxes accrued or rent constituting property taxes accrued or both in that year on the claimant’s homestead.

SB45,746,20 2. If the household income was more than $19,000 in the year to which the claim relates, the claim is limited to 80 percent of the amount by which the property taxes accrued or rent constituting property taxes accrued or both in that year on the claimant’s homestead exceeds 7.891 percent of the household income exceeding $19,000.

SB45,746,21 3. No credit may be allowed if the household income exceeds $37,500.

SB45,746,23 4. Notwithstanding the time limitations described in par. (g) (intro.), the provisions of par. (g) 4. apply to claims filed under this paragraph.

SB45,1415 Section 1415. 71.54 (2) (b) 4. of the statutes is amended to read:

SB45,747,3 71.54 (2) (b) 4. In calendar years 2011 or any subsequent calendar year to 2024, $1,460.

SB45,1416 Section 1416. 71.54 (2) (b) 5. of the statutes is created to read:

SB45,747,6 71.54 (2) (b) 5. Subject to sub. (2m), in calendar year 2025 or any subsequent calendar year, $1,460.

SB45,1417 Section 1417. 71.54 (2m) of the statutes is amended to read:

SB45,748,2 71.54 (2m) Indexing for inflation; 2010 2026 and thereafter. (a) For calendar years beginning after December 31, 2009, and before January 1, 2011 2025, the dollar amounts of the threshold income under sub. (1) (f) (h) 1. and 2., the maximum household income under sub. (1) (f) (h) 3., and the maximum property taxes under sub. (2) (b) 3. 5. shall be increased each year by a percentage equal to the percentage change between the U.S. consumer price index for all urban consumers, U.S. city average, for the 12-month average of the U.S. consumer price index for the month of August of the year before the previous year through the month of July of the previous year and the U.S. consumer price index for all urban consumers, U.S. city average, for the 12-month average of the U.S. consumer price index for August 2007 through July 2008 2024, as determined by the federal department of labor, except that the adjustment may occur only if the percentage is a positive number. Each amount that is revised under this paragraph shall be rounded to the nearest multiple of $10 if the revised amount is not a multiple of $10 or, if the revised amount is a multiple of $5, such an amount shall be increased to the next higher multiple of $10. The department of revenue shall annually adjust the changes in dollar amounts required under this paragraph and incorporate the changes into the income tax forms and instructions.

SB45,748,8 (b) The department of revenue shall annually adjust the slope under sub. (1) (f) (h) 2. such so that, as a claimant’s income increases from the threshold income as calculated adjusted under par. (a), to an amount that exceeds the maximum household income as calculated adjusted under par. (a), the credit that may be claimed is reduced to $0, and the department of revenue shall incorporate the changes into the income tax forms and instructions.

SB45,1418 Section 1418. 71.55 (3) of the statutes is amended to read:

SB45,748,15 71.55 (3) Forms to be provided by department. In administering this subchapter, the department of revenue shall make available suitable forms with instructions for claimants, including a form that may be included with, or as a part of, the individual income tax form. In preparing homestead credit property tax and rent rebate forms, the department of revenue shall provide a space for identification of the county and city, village or town in which the claimant resides.

SB45,1419 Section 1419. 71.55 (5) of the statutes is amended to read:

SB45,748,22 71.55 (5) Legislation may be proposed by department. At the end of each fiscal year, the department of revenue shall review the homestead tax credit property tax and rent rebate program and may propose legislation to adjust the amounts of claims allowable under the program, taking into account findings that social security benefits and the cost of living, as reflected in the index computed by the U.S. bureau of labor statistics, have increased or decreased.

SB45,1420 Section 1420. 71.55 (7) of the statutes is amended to read:

SB45,749,10 71.55 (7) Records may be required by department to determine correct credit. To ascertain the correctness of any claim under this subchapter or to determine the amount of the credit under this subchapter of any person, the department may examine, or cause to be examined by any agent or representative designated by the department, any books, papers, records or memoranda bearing on the homestead credit property tax and rent rebate of the person, may require the production of the books, papers, records or memoranda, and require the attendance, of any person having relevant knowledge, and may take testimony and require proof material for its information. Based on the information it discovers, the department shall determine the true amount of homestead credit the property tax and rent rebate during the year or years under investigation.

SB45,1421 Section 1421. 71.63 (6) (n) (intro.) of the statutes is renumbered 71.63 (6) (n) and amended to read:

SB45,749,13 71.63 (6) (n) In the form of tips paid to employees if:.

SB45,1422 Section 1422. 71.63 (6) (n) 1. of the statutes is repealed.

SB45,1423 Section 1423. 71.63 (6) (n) 2. of the statutes is repealed.

SB45,1424 Section 1424. 71.64 (9) (b) (intro.) of the statutes is amended to read:

SB45,749,20 71.64 (9) (b) (intro.) The department shall from time to time adjust the withholding tables to reflect any changes in income tax rates, any applicable surtax or any changes in dollar amounts in s. 71.06 (1), (1m), (1n), (1p), (1q), (1r), and (2) resulting from statutory changes, except as follows:

SB45,1425 Section 1425. 71.67 (5) (a) of the statutes is amended to read:

SB45,750,3 71.67 (5) (a) Wager winnings. A person holding a license to sponsor and manage races under s. 562.05 (1) (b) or (c) shall withhold from the amount of any payment of pari-mutuel winnings under s. 562.065 (3) (a) or (3m) (a) an amount determined by multiplying the amount of the payment by the highest rate applicable to individuals under s. 71.06 (1) (a) to (c), (1m), (1n), (1p), or (1q), or (1r) if the amount of the payment is more than $1,000.

SB45,1426 Section 1426. 71.67 (5m) of the statutes is amended to read:

SB45,750,11 71.67 (5m) Withholding from payments to purchase assignment of lottery prize. A person that purchases an assignment of a lottery prize shall withhold from the amount of any payment made to purchase the assignment the amount that is determined by multiplying the amount of the payment by the highest rate applicable to individuals under s. 71.06 (1) (a) to (c), (1m), (1n), (1p), or (1q), or (1r). Subsection (5) (b), (c) and (d), as it applies to the amounts withheld under sub. (5) (a), applies to the amount withheld under this subsection.

SB45,1427 Section 1427. 71.78 (4) (w) of the statutes is created to read:

SB45,750,15 71.78 (4) (w) The secretary of health services and employees of the department of health services for the purpose of performing an evaluation under s. 71.03 (9) (b).

SB45,1428 Section 1428. 71.78 (4) (x) of the statutes is created to read:

SB45,750,19 71.78 (4) (x) The department of tourism to the extent necessary to administer the tax credits under ss. 71.07 (5f) and (5h), 71.28 (5f) and (5h), and 71.47 (5f) and (5h).

SB45,1429 Section 1429. 71.80 (3m) (c) of the statutes is amended to read:

SB45,751,2 71.80 (3m) (c) If the department determines that a spouse is otherwise entitled to a state tax refund or homestead property tax and rent rebate or farmland credit, it shall notify the spouses under s. 71.74 (11) that the state intends to reduce any state tax refund or a refundable credit due the spouses by the amount credited against any liability under par. (a) or (b) or both.

SB45,1430 Section 1430. 71.83 (1) (a) 8. of the statutes is amended to read:

SB45,751,10 71.83 (1) (a) 8. ‘Joint return replacing separate returns.’ If the amount shown as the tax by the husband and wife spouses on a joint return filed under s. 71.03 (2) (g) to (L) exceeds the sum of the amounts shown as the tax upon the separate return of each spouse and if any part of that excess is attributable to negligence or intentional disregard of this chapter, but without intent to defraud, at the time of the filing of that separate return, then 25 percent of the total amount of that excess shall be added to the tax.

SB45,1431 Section 1431. 71.83 (1) (b) 5. of the statutes is amended to read:

SB45,751,17 71.83 (1) (b) 5. ‘Joint return after separate returns.’ If the amount shown as the tax by the husband and wife spouses on a joint return filed under s. 71.03 (2) (g) to (L) exceeds the sum of the amounts shown as the tax on the separate return of each spouse and if any part of that excess is attributable to fraud with intent to evade tax at the time of the filing of that separate return, then 50 percent of the total amount of that excess shall be added to the tax.

SB45,1432 Section 1432. 71.83 (5) (a) 1. of the statutes is amended to read:

SB45,751,22 71.83 (5) (a) 1. “Credit” means the earned income tax credit under s. 71.07 (9e), the homestead credit property tax and rent rebate under subch. VIII, the farmland preservation credit under subch. IX, or any refundable credit under s. 71.07, 71.28, or 71.47.

SB45,1433 Section 1433. 71.98 (10) of the statutes is created to read:

SB45,752,2 71.98 (10) Federal Tax Cuts and Jobs Act. For taxable years beginning after December 31, 2024, sections 11012, 13221, 13301, 13304 (a), (b), and (d), 13531, and 13601 of P.L. 115-97.

SB45,1434 Section 1434. 73.01 (1) (b) of the statutes is amended to read:

SB45,752,10 73.01 (1) (b) “Small claims” is a matter in which the amount in controversy, including any penalty, after the department of revenue takes its final action on the petition for redetermination is less than $2,500 the amount specified under s. 799.01 (1) (d) for the applicability of ch. 799 to the types of civil actions described in s. 799.01 (1) (d) unless the commission on its own motion determines that the case not be heard as a small claims case or unless the department of revenue determines that the case has statewide significance.

SB45,1435 Section 1435. 73.01 (5) (a) of the statutes is amended to read: