AB43,,3540 71.07 (4k) (e) 2. ad. For taxable years beginning after December 31, 2023, the amount of the claim not used to offset the tax due, not to exceed 50 percent of the allowable amount of the claim under par. (b) 4., 5., or 6., shall be certified by the department of revenue to the department of administration for payment by check, share draft, or other draft drawn from the appropriation account under s. 20.835 (2) (d).

AB43,1408 Section 1408. 71.07 (4k) (e) 2. b. of the statutes is amended to read:

AB43,,3542 71.07 (4k) (e) 2. b. The amount of the claim not used to offset the tax due and not certified for payment under subd. 2. a. or 2. ad. may be carried forward and credited against Wisconsin income taxes otherwise due for the following 15 taxable years to the extent not offset by these taxes otherwise due in all intervening years between the year in which the expense was incurred and the year in which the carry-forward credit is claimed.

AB43,1409 Section 1409. 71.07 (5m) (a) 3. of the statutes is amended to read:

AB43,,3544 71.07 (5m) (a) 3. “Household” means a claimant and an individual related to the claimant as husband or wife his or her spouse.

AB43,1410 Section 1410. 71.07 (5m) (e) of the statutes is created to read:

AB43,,3546 71.07 (5m) (e) Sunset. No credit may be claimed under this subsection for taxable years beginning after December 31, 2022.

AB43,1411 Section 1411. 71.07 (5me) of the statutes is created to read:

AB43,,3548 71.07 (5me) Family and individual reinvestment credit. (a) Definitions. In this subsection:

AB43,,3549 1. “Claimant” means an individual who is eligible to claim the credit under this subsection.

AB43,,3550 2. “Household” means a claimant and an individual related to the claimant as husband or wife.

AB43,,3551 3. “Net tax liability” means a claimant’s income tax liability after he or she completes the computations for nonrefundable credits listed in s. 71.10 (4) (a) to (gy).

AB43,,3552 (b) Filing claims. For taxable years beginning after December 31, 2022, and subject to the limitations provided in this subsection, a claimant may claim as a credit against the tax imposed under s. 71.02, up to the amount of those taxes, one of the following amounts:

AB43,,3553 1. If the claimant is single or files as a head of household and his or her adjusted gross income is less than $100,000 in the year to which the claim relates, the greater of $100 or an amount equal to 10 percent of his or her net tax liability.

AB43,,3554 2. If the claimant is single or files as a head of household and his or her adjusted gross income is at least $100,000 but less than $120,000 in the year to which the claim relates, an amount that is calculated as follows:

AB43,,3555 a. Calculate the value of a fraction, the denominator of which is $20,000 and the numerator of which is the difference between the claimant’s adjusted gross income and $100,000.

AB43,,3556 b. Subtract from 1.0 the amount that is calculated under subd. 2. a.

AB43,,3557 c. Multiply the amount that is calculated under subd. 2. b. by 10 percent.

AB43,,3558 d. Multiply the amount of the claimant’s net income tax liability by the amount that is calculated under subd. 2. c.

AB43,,3559 3. If the claimant is married and filing jointly and the sum of the claimant’s adjusted gross income and his or her spouse’s adjusted gross income is less than $150,000 in the year to which the claim relates, the greater of $100 or an amount equal to 10 percent of the married couple’s net tax liability.

AB43,,3560 4. If the claimant is married and filing jointly and the sum of the claimant’s adjusted gross income and his or her spouse’s adjusted gross income is at least $150,000 but less than $175,000 in the year to which the claim relates, an amount that is calculated as follows:

AB43,,3561 a. Calculate the value of a fraction, the denominator of which is $25,000 and the numerator of which is the difference between the married couple’s adjusted gross income and $150,000.

AB43,,3562 b. Subtract from 1.0 the amount that is calculated under subd. 4. a.

AB43,,3563 c. Multiply the amount that is calculated under subd. 4. b. by 10 percent.

AB43,,3564 d. Multiply the amount of the married couple’s net income tax liability by the amount that is calculated under subd. 4. c.

AB43,,3565 5. If the claimant is married and filing separately and his or her adjusted gross income is less than $75,000 in the year to which the claim relates, the greater of $50 or an amount equal to 10 percent of his or her net tax liability.

AB43,,3566 6. If the claimant is married and filing separately and his or her adjusted gross income is at least $75,000 but less than $87,500 in the year to which the claim relates, an amount that is calculated as follows:

AB43,,3567 a. Calculate the value of a fraction, the denominator of which is $12,500 and the numerator of which is the difference between the claimant’s adjusted gross income and $75,000.

AB43,,3568 b. Subtract from 1.0 the amount that is calculated under subd. 6. a.