LRB-0698/1
MES:jld:rs
2007 - 2008 LEGISLATURE
February 13, 2007 - Introduced by Representatives Wieckert, Zepnick, Vos,
Cullen, Hahn, Boyle, Kleefisch, Hebl, Owens, A. Ott, Jeskewitz, Musser and
Berceau, cosponsored by Senators Risser, Wirch, Hansen and Schultz.
Referred to Committee on Elections and Constitutional Law.
AB64,1,3
1An Act to create 71.07 (6f) and 71.10 (4) (cf) of the statutes;
relating to: creating
2a nonrefundable individual income tax credit for contributions to candidates for
3elective public office.
Analysis by the Legislative Reference Bureau
This bill creates a nonrefundable individual income tax credit for any lawful
amount contributed by an individual to an individual who is a candidate in this state
for elective public office. The credit is calculated by multiplying the amount of the
contribution by the claimant's marginal tax rate. The maximum annual political
contribution on which the credit may be calculated is $100. Because the credit is
nonrefundable, it may be claimed only up to the amount of a claimant's income tax
liability. For claimants who are nonresidents or part-year residents of Wisconsin,
the credit that may be claimed is prorated based on the ratio of the claimant's
Wisconsin adjusted gross income (AGI) to federal AGI.
For further information see the state fiscal estimate, which will be printed as
an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB64, s. 1
4Section
1. 71.07 (6f) of the statutes is created to read:
AB64,2,2
171.07
(6f) Political campaign contribution tax credit. (a)
Definitions. In this
2subsection:
AB64,2,43
1. "Claimant" means an individual who claims a credit under this subsection
4for a political contribution.
AB64,2,75
2. "Political contribution" means any lawful amount that an individual
6contributes, in the year to which the claim relates, to an individual who is a candidate
7in this state for elective public office.
AB64,2,118
(b)
Filing claims. Subject to the limitations provided in this subsection, a
9claimant may claim as a credit against the tax imposed under s. 71.02 or 71.08, up
10to the amount of those taxes, the amount of the claimant's political contribution,
11multiplied by the claimant's marginal tax rate.
AB64,2,1312
(c)
Limitations. 1. No credit may be allowed under this subsection unless it
13is claimed within the time period under s. 71.75 (2).
AB64,2,2314
2. A claimant who is a nonresident or part-year resident of this state and who
15is a single person or a married person filing a separate return shall multiply the
16credit for which the claimant is eligible under par. (b) by a fraction the numerator of
17which is the claimant's Wisconsin adjusted gross income and the denominator of
18which is the claimant's federal adjusted gross income. If a claimant is married and
19files a joint return, and if the claimant or the claimant's spouse, or both, are
20nonresidents or part-year residents of this state, the claimant shall multiply the
21credit for which the claimant is eligible under par. (b) by a fraction the numerator of
22which is the couple's joint Wisconsin adjusted gross income and the denominator of
23which is the couple's joint federal adjusted gross income.
AB64,2,2524
3. The maximum political contribution for which an individual may claim a
25credit under this subsection, each year, is $100.
AB64,3,1
14. Both spouses of a married couple may claim the credit under this subsection.
AB64,3,32
(d)
Administration. Subsection (9e) (d), to the extent that it applies to the credit
3under that subsection, applies to the credit under this subsection.
AB64, s. 2
4Section
2. 71.10 (4) (cf) of the statutes is created to read:
AB64,3,55
71.10
(4) (cf) The political campaign contribution tax credit under s. 71.07 (6f).
AB64,3,107
(1) This act first applies to taxable years beginning on January 1 of the year
8in which this subsection takes effect, except that if this subsection takes effect after
9July 31 this act first applies to taxable years beginning on January 1 of the year
10following the year in which this subsection takes effect.
