SB45,697,211671.26 (2) (a) 4. Plus the amount of the credit computed under s. 71.28 (1dm),
17(1dx), (1dy), (3g), (3h), (3n), (3q), (3t), (3w), (3wm), (3y), (5f), (5g), (5h), (5i), (5j), (5k),
18(5r), (5rm), (6n), (8m), and (10) and not passed through by a partnership, limited
19liability company, or tax-option corporation that has added that amount to the
20partnerships, limited liability companys, or tax-option corporations income under
21s. 71.21 (4) or 71.34 (1k) (g).
SB45,132522Section 1325. 71.26 (3) (j) of the statutes is amended to read:
SB45,698,82371.26 (3) (j) Sections 243, 244, 245, 245A, 246 and 246A are excluded and

1replaced by the rule that corporations may deduct from income dividends received
2from a corporation with respect to its common stock if the corporation receiving the
3dividends owns, directly or indirectly, during the entire taxable year at least 70
4percent of the total combined voting stock of the payor corporation. In this
5paragraph, dividends received means gross dividends minus taxes on those
6dividends paid to a foreign nation and claimed as a deduction under this chapter.
7The same dividends may not be deducted more than once and may not be used in
8the determination of a net business loss under ss. 71.26 (4) and 71.45 (4).
SB45,13269Section 1326. 71.26 (4) (a) of the statutes is amended to read:
SB45,699,51071.26 (4) (a) Except as provided in par. (b) and s. 71.80 (25), a corporation,
11except a tax-option corporation or an insurer to which s. 71.45 (4) applies, may offset
12against its Wisconsin net business income any Wisconsin net business loss incurred
13in any of the 20 immediately preceding taxable years, if the corporation was subject
14to taxation under this chapter in the taxable year in which the loss was incurred, to
15the extent not offset by other items of Wisconsin income in the loss year and by
16Wisconsin net business income of any year between the loss year and the taxable
17year for which an offset is claimed. For purposes of this subsection, Wisconsin net
18business income or loss shall consist of all the income attributable to the operation
19of a trade or business in this state, less the business expenses allowed as deductions
20in computing net income, except that the dividends received deduction under sub.
21(3) (j) may not be used in the determination of a net business loss. The Wisconsin
22net business income or loss of corporations engaged in business within and without
23the state shall be determined under s. 71.25 (6) and (10) to (12). Nonapportionable

1losses having a Wisconsin situs under s. 71.25 (5) (b) shall be included in Wisconsin
2net business loss; and nonapportionable income having a Wisconsin situs under s.
371.25 (5) (b), whether taxable or exempt, shall be included in other items of
4Wisconsin income and Wisconsin net business income for purposes of this
5subsection.
SB45,13276Section 1327. 71.28 (3w) (a) 2m. of the statutes is created to read:
SB45,699,8771.28 (3w) (a) 2m. Contract means the contract between the claimant and
8the Wisconsin Economic Development Corporation under s. 238.399.
SB45,13289Section 1328. 71.28 (3w) (a) 6. of the statutes is renumbered 71.28 (3w) (a) 6.
10a. and amended to read:
SB45,699,141171.28 (3w) (a) 6. a. Zone payroll means the amount of state payroll that is
12attributable to wages paid to full-time employees based in an enterprise zone.
13Zone Except as provided in subd. 6. b., zone payroll does not include the amount
14of wages paid to any full-time employees that exceeds $100,000.
SB45,132915Section 1329. 71.28 (3w) (a) 6. b. of the statutes is created to read:
SB45,699,181671.28 (3w) (a) 6. b. For a claimant whose contract is executed after December
1731, 2025, zone payroll does not include the amount of wages paid to any full-time
18employees that exceeds $151,300.
SB45,133019Section 1330. 71.28 (3w) (b) (intro.) of the statutes is amended to read:
SB45,700,22071.28 (3w) (b) Filing claims under pre-2026 contracts; payroll. (intro.)
21Subject to the limitations provided in this subsection and s. 238.399 or s. 560.799,
222009 stats., a claimant whose contract is executed prior to January 1, 2026, may

1claim as a credit against the tax imposed under s. 71.23 an amount calculated as
2follows:
SB45,13313Section 1331. 71.28 (3w) (bd) of the statutes is created to read:
SB45,700,7471.28 (3w) (bd) Filing claims under post-2025 contracts; payroll. Subject to
5the limitations provided in this subsection and s. 238.399, a claimant whose
6contract is executed after December 31, 2025, may claim as a credit against the tax
7imposed under s. 71.23 an amount calculated as follows:
SB45,700,881. Determine the amount that is the lesser of:
SB45,700,159a. The number of full-time employees whose annual wages are greater than
10$34,220 in a tier I county or municipality or greater than $45,390 in a tier II county
11or municipality and who the claimant employed in the enterprise zone in the
12taxable year, minus the number of full-time employees whose annual wages were
13greater than $34,220 in a tier I county or municipality or greater than $45,390 in a
14tier II county or municipality and who the claimant employed in the area that
15comprises the enterprise zone in the base year.
SB45,700,2116b. The number of full-time employees whose annual wages are greater than
17$34,220 in a tier I county or municipality or greater than $45,390 in a tier II county
18or municipality and who the claimant employed in the state in the taxable year,
19minus the number of full-time employees whose annual wages were greater than
20$34,220 in a tier I county or municipality or greater than $45,390 in a tier II county
21or municipality and who the claimant employed in the state in the base year.
SB45,701,6222. Determine the claimants average zone payroll by dividing the total wages
23for full-time employees whose annual wages are greater than $34,220 in a tier I

1county or municipality or greater than $45,390 in a tier II county or municipality
2and who the claimant employed in the enterprise zone in the taxable year by the
3number of full-time employees whose annual wages are greater than $34,220 in a
4tier I county or municipality or greater than $45,390 in a tier II county or
5municipality and who the claimant employed in the enterprise zone in the taxable
6year.
SB45,701,973. For employees in a tier I county or municipality, subtract $34,220 from the
8amount determined under subd. 2. and for employees in a tier II county or
9municipality, subtract $45,390 from the amount determined under subd. 2.
SB45,701,11104. Multiply the amount determined under subd. 3. by the amount determined
11under subd. 1.
SB45,701,13125. Multiply the amount determined under subd. 4. by the percentage
13determined under s. 238.399, not to exceed 7 percent.
SB45,133214Section 1332. 71.28 (3w) (bm) 1. of the statutes is amended to read:
SB45,702,21571.28 (3w) (bm) 1. In addition to the credits under par. pars. (b) and (bd) and
16subds. 2., 3., and 4., and subject to the limitations provided in this subsection and s.
17238.399 or s. 560.799, 2009 stats., a claimant may claim as a credit against the tax
18imposed under s. 71.23 an amount equal to a percentage, as determined under s.
19238.399 or s. 560.799, 2009 stats., not to exceed 100 percent, of the amount the
20claimant paid in the taxable year to upgrade or improve the job-related skills of any
21of the claimants full-time employees, to train any of the claimants full-time
22employees on the use of job-related new technologies, or to provide job-related
23training to any full-time employee whose employment with the claimant represents

1the employees first full-time job. This subdivision does not apply to employees who
2do not work in an enterprise zone.
SB45,13333Section 1333. 71.28 (3w) (bm) 2. of the statutes is renumbered 71.28 (3w)
4(bm) 2. (intro.) and amended to read:
SB45,702,8571.28 (3w) (bm) 2. (intro.) In addition to the credits under par. pars. (b) and
6(bd) and subds. 1., 3., and 4., and subject to the limitations provided in this
7subsection and s. 238.399 or s. 560.799, 2009 stats., a claimant may claim as a
8credit against the tax imposed under s. 71.23 one of the following amounts:
SB45,702,209a. For a claimant whose contract is executed prior to January 1, 2026, an
10amount equal to the percentage, as determined under s. 238.399 or s. 560.799, 2009
11stats., not to exceed 7 percent, of the claimants zone payroll paid in the taxable year
12to all of the claimants full-time employees whose annual wages are greater than
13the amount determined by multiplying 2,080 by 150 percent of the federal
14minimum wage in a tier I county or municipality, not including the wages paid to
15the employees determined under par. (b) 1., or greater than $30,000 in a tier II
16county or municipality, not including the wages paid to the employees determined
17under par. (b) 1., and who the claimant employed in the enterprise zone in the
18taxable year, if the total number of such employees is equal to or greater than the
19total number of such employees in the base year. A claimant may claim a credit
20under this subdivision for no more than 5 consecutive taxable years.
SB45,133421Section 1334. 71.28 (3w) (bm) 2. b. of the statutes is created to read:
SB45,703,82271.28 (3w) (bm) 2. b. For a claimant whose contract is executed after
23December 31, 2025, an amount equal to the percentage, as determined under s.

1238.399, not to exceed 7 percent, of the claimants zone payroll paid in the taxable
2year to all of the claimants full-time employees whose annual wages are greater
3than $34,220 in a tier I county or municipality, not including the wages paid to the
4employees determined under par. (bd) 1., or greater than $45,390 in a tier II county
5or municipality, not including the wages paid to the employees determined under
6par. (bd) 1., and who the claimant employed in the enterprise zone in the taxable
7year, if the total number of such employees is equal to or greater than the total
8number of such employees in the base year.