SB45,1365 Section 1365. 71.30 (3) (eps) of the statutes is created to read:

SB45,721,21 71.30 (3) (eps) Film production services credit under s. 71.28 (5f) (b) 1. and 3.

SB45,1366 Section 1366. 71.30 (3) (f) of the statutes is amended to read:

SB45,722,5 71.30 (3) (f) The total of farmland preservation credit under subch. IX, jobs credit under s. 71.28 (3q), enterprise zone jobs credit under s. 71.28 (3w), electronics and information technology manufacturing zone credit under s. 71.28 (3wm), business development credit under s. 71.28 (3y), research credit under s. 71.28 (4) (k) 1., film production services credit under s. 71.28 (5f) (b) 2., and estimated tax payments under s. 71.29.

SB45,1367 Section 1367. 71.34 (1k) (g) of the statutes is amended to read:

SB45,722,10 71.34 (1k) (g) An addition shall be made for credits computed by a tax-option corporation under s. 71.28 (1dm), (1dx), (1dy), (3), (3g), (3h), (3n), (3q), (3t), (3w), (3wm), (3y), (4), (5), (5f), (5g), (5h), (5i), (5j), (5k), (5r), (5rm), (6n), (8m), and (10) and passed through to shareholders.

SB45,1368 Section 1368. 71.365 (4m) (d) 2. of the statutes is amended to read:

SB45,722,13 71.365 (4m) (d) 2. Except as provided in s. 71.07 (7) (b) 3. and (9m) (f) 2. a., the tax credits under this chapter may not be claimed by the tax-option corporation.

SB45,1369 Section 1369. 71.45 (2) (a) 10. of the statutes is amended to read:

SB45,722,21 71.45 (2) (a) 10. By adding to federal taxable income the amount of credit computed under s. 71.47 (1dm) to (1dy), (3g), (3h), (3n), (3q), (3w), (3y), (5f), (5g), (5h), (5i), (5j), (5k), (5r), (5rm), (6n), (8m), and (10) and not passed through by a partnership, limited liability company, or tax-option corporation that has added that amount to the partnership’s, limited liability company’s, or tax-option corporation’s income under s. 71.21 (4) or 71.34 (1k) (g) and the amount of credit computed under s. 71.47 (3), (3t), (4), (4m), and (5).

SB45,1370 Section 1370. 71.45 (4) (a) of the statutes is amended to read:

SB45,723,12 71.45 (4) (a) Except as provided in par. (b) and s. 71.80 (25), insurers computing tax under this subchapter may subtract from Wisconsin net income any Wisconsin net business loss incurred in any of the 20 immediately preceding taxable years, if the insurer was subject to taxation under this chapter in the taxable year in which the loss was incurred, to the extent not offset by Wisconsin net business income of any year between the loss year and the taxable year for which an offset is claimed and computed without regard to sub. (2) (a) 8. and 9. and this subsection and limited to the amount of net income, but no loss incurred for a taxable year before taxable year 1987 by a nonprofit service plan of sickness care under ch. 148, or dental care under s. 447.13 may be treated as a net business loss of the successor service insurer under ch. 613 operating by virtue of s. 148.03 or 447.13. For purposes of this paragraph, the dividends received deduction under s. 71.26 (3) (j) may not be used in the determination of a net business loss.

SB45,1371 Section 1371. 71.47 (3w) (a) 2m. of the statutes is created to read:

SB45,723,15 71.47 (3w) (a) 2m. “Contract” means the contract between the claimant and the Wisconsin Economic Development Corporation under s. 238.399.

SB45,1372 Section 1372. 71.47 (3w) (a) 6. of the statutes is renumbered 71.47 (3w) (a) 6. a. and amended to read:

SB45,723,21 71.47 (3w) (a) 6. a. “Zone payroll” means the amount of state payroll that is attributable to wages paid to full-time employees based in an enterprise zone. “Zone Except as provided in subd. 6. b., “zone payroll” does not include the amount of wages paid to any full-time employees that exceeds $100,000.

SB45,1373 Section 1373. 71.47 (3w) (a) 6. b. of the statutes is created to read:

SB45,724,2 71.47 (3w) (a) 6. b. For a claimant whose contract is executed after December 31, 2025, “zone payroll” does not include the amount of wages paid to any full-time employees that exceeds $151,300.

SB45,1374 Section 1374. 71.47 (3w) (b) (intro.) of the statutes is amended to read:

SB45,724,8 71.47 (3w) (b) Filing claims under pre-2026 contracts; payroll. (intro.) Subject to the limitations provided in this subsection and s. 238.399 or s. 560.799, 2009 stats., a claimant whose contract is executed prior to January 1, 2026, may claim as a credit against the tax imposed under s. 71.43 an amount calculated as follows:

SB45,1375 Section 1375. 71.47 (3w) (bd) of the statutes is created to read:

SB45,724,13 71.47 (3w) (bd) Filing claims under post-2025 contracts; payroll. Subject to the limitations provided in this subsection and s. 238.399, a claimant whose contract is executed after December 31, 2025, may claim as a credit against the tax imposed under s. 71.43 an amount calculated as follows:

SB45,724,14 1. Determine the amount that is the lesser of:

SB45,724,21 a. The number of full-time employees whose annual wages are greater than $34,220 in a tier I county or municipality or greater than $45,390 in a tier II county or municipality and who the claimant employed in the enterprise zone in the taxable year, minus the number of full-time employees whose annual wages were greater than $34,220 in a tier I county or municipality or greater than $45,390 in a tier II county or municipality and who the claimant employed in the area that comprises the enterprise zone in the base year.

SB45,725,4 b. The number of full-time employees whose annual wages are greater than $34,220 in a tier I county or municipality or greater than $45,390 in a tier II county or municipality and who the claimant employed in the state in the taxable year, minus the number of full-time employees whose annual wages were greater than $34,220 in a tier I county or municipality or greater than $45,390 in a tier II county or municipality and who the claimant employed in the state in the base year.

SB45,725,12 2. Determine the claimant’s average zone payroll by dividing the total wages for full-time employees whose annual wages are greater than $34,220 in a tier I county or municipality or greater than $45,390 in a tier II county or municipality and who the claimant employed in the enterprise zone in the taxable year by the number of full-time employees whose annual wages are greater than $34,220 in a tier I county or municipality or greater than $45,390 in a tier II county or municipality and who the claimant employed in the enterprise zone in the taxable year.

SB45,725,15 3. For employees in a tier I county or municipality, subtract $34,220 from the amount determined under subd. 2. and for employees in a tier II county or municipality, subtract $45,390 from the amount determined under subd. 2.

SB45,725,17 4. Multiply the amount determined under subd. 3. by the amount determined under subd. 1.

SB45,725,19 5. Multiply the amount determined under subd. 4. by the percentage determined under s. 238.399, not to exceed 7 percent.