2009 - 2010 LEGISLATURE
January 22, 2010 - Introduced by Senators Leibham, Kanavas and Schultz,
cosponsored by Representatives Van Akkeren, Brooks, Gunderson, Kestell,
Ripp, Townsend
and Zigmunt. Referred to Committee on Health, Health
Insurance, Privacy, Property Tax Relief, and Revenue.
SB474,1,4 1An Act to amend 71.05 (6) (a) 15., 71.21 (4), 71.26 (2) (a) 4., 71.34 (1k) (g), 71.45
2(2) (a) 10. and 77.92 (4); and to create 71.07 (3x), 71.10 (4) (cr), 71.28 (3x), 71.30
3(3) (dn), 71.47 (3x) and 71.49 (1) (dn) of the statutes; relating to: income and
4franchise tax credits for insulating concrete forms used to construct a building.
Analysis by the Legislative Reference Bureau
This bill creates an income and franchise tax credit equal to the amount that
the taxpayer pays in the taxable year to purchase insulating concrete forms used to
construct a building. If the amount of the credit exceeds the taxpayer's tax liability,
the taxpayer does not receive a refund, but may claim the amount of any unused
credit in subsequent taxable years.
For further information see the state and local 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:
SB474, s. 1 5Section 1. 71.05 (6) (a) 15. of the statutes, as affected by 2009 Wisconsin Act
628
, is amended to read:
SB474,2,6
171.05 (6) (a) 15. The amount of the credits computed under s. 71.07 (2dd), (2de),
2(2di), (2dj), (2dL), (2dm), (2dr), (2ds), (2dx), (2dy), (3g), (3h), (3n), (3p), (3q), (3r), (3s),
3(3t), (3w), (3x), (5e), (5f), (5h), (5i), (5j), (5k), and (8r) and not passed through by a
4partnership, limited liability company, or tax-option corporation that has added that
5amount to the partnership's, company's, or tax-option corporation's income under s.
671.21 (4) or 71.34 (1k) (g).
SB474, s. 2 7Section 2. 71.07 (3x) of the statutes is created to read:
SB474,2,98 71.07 (3x) Insulating concrete forms credit. (a) Definitions. In this
9subsection:
SB474,2,1010 1. "Claimant" means a person who files a claim under this subsection.
SB474,2,1211 2. "Insulating concrete form" means a hollow expandable polystyrene form
12system that is filled with concrete and includes the concrete used to fill the form.
SB474,2,1713 (b) Filing claims. Subject to the limitations provided in this subsection, a
14claimant may claim as a credit against the taxes imposed under s. 71.02, up to the
15amount of the taxes, an amount equal to the amount that the claimant paid in the
16taxable year to purchase for use in this state insulating concrete forms used to
17construct the insulated exterior and interior walls of any building.
SB474,2,2518 (c) Limitations. Partnerships, limited liability companies, and tax-option
19corporations may not claim the credit under this subsection, but the eligibility for,
20and the amount of, the credit are based on their payment of the amounts described
21under par. (b). A partnership, limited liability company, or tax-option corporation
22shall compute the amount of credit that each of its partners, members, or
23shareholders may claim and shall provide that information to each of them.
24Partners, members of limited liability companies, and shareholders of tax-option
25corporations may claim the credit in proportion to their ownership interests.
SB474,3,2
1(d) Administration. Section 71.28 (4) (e) to (h), as it applies to the credit under
2s. 71.28 (4), applies to the credit under this subsection.
SB474, s. 3 3Section 3. 71.10 (4) (cr) of the statutes is created to read:
SB474,3,44 71.10 (4) (cr) Insulating concrete forms credit under s. 71.07 (3x).
SB474, s. 4 5Section 4. 71.21 (4) of the statutes, as affected by 2009 Wisconsin Act 28, is
6amended to read:
SB474,3,107 71.21 (4) Credits computed by a partnership under s. 71.07 (2dd), (2de), (2di),
8(2dj), (2dL), (2dm), (2ds), (2dx), (2dy), (3g), (3h), (3n), (3p), (3q), (3r), (3s), (3t), (3w),
9(3x), (5e), (5f), (5g), (5h), (5i), (5j), (5k), and (8r) and passed through to partners shall
10be added to the partnership's income.
SB474, s. 5 11Section 5. 71.26 (2) (a) 4. of the statutes, as affected by 2009 Wisconsin Act 28,
12is amended to read:
SB474,3,1813 71.26 (2) (a) 4. Plus the amount of the credit computed under s. 71.28 (1dd),
14(1de), (1di), (1dj), (1dL), (1dm), (1ds), (1dx), (1dy), (3g), (3h), (3n), (3p), (3q), (3r), (3t),
15(3w), (3x), (5e), (5f), (5g), (5h), (5i), (5j), (5k), and (8r) and not passed through by a
16partnership, limited liability company, or tax-option corporation that has added that
17amount to the partnership's, limited liability company's, or tax-option corporation's
18income under s. 71.21 (4) or 71.34 (1k) (g).
SB474, s. 6 19Section 6. 71.28 (3x) of the statutes is created to read:
SB474,3,2120 71.28 (3x) Insulating concrete forms credit. (a) Definitions. In this
21subsection:
SB474,3,2222 1. "Claimant" means a person who files a claim under this subsection.
SB474,3,2423 2. "Insulating concrete form" means a hollow expandable polystyrene form
24system that is filled with concrete and includes the concrete used to fill the form.
SB474,4,5
1(b) Filing claims. Subject to the limitations provided in this subsection, a
2claimant may claim as a credit against the taxes imposed under s. 71.23, up to the
3amount of the taxes, an amount equal to the amount that the claimant paid in the
4taxable year to purchase for use in this state insulating concrete forms used to
5construct the insulated exterior and interior walls of any building.
SB474,4,136 (c) Limitations. Partnerships, limited liability companies, and tax-option
7corporations may not claim the credit under this subsection, but the eligibility for,
8and the amount of, the credit are based on their payment of the amounts described
9under par. (b). A partnership, limited liability company, or tax-option corporation
10shall compute the amount of credit that each of its partners, members, or
11shareholders may claim and shall provide that information to each of them.
12Partners, members of limited liability companies, and shareholders of tax-option
13corporations may claim the credit in proportion to their ownership interests.
SB474,4,1514 (d) Administration. Subsection (4) (e) to (h), as it applies to the credit under
15sub. (4), applies to the credit under this subsection.
SB474, s. 7 16Section 7. 71.30 (3) (dn) of the statutes is created to read:
SB474,4,1717 71.30 (3) (dn) Insulating concrete forms credit under s. 71.28 (3x).
SB474, s. 8 18Section 8. 71.34 (1k) (g) of the statutes, as affected by 2009 Wisconsin Act 28,
19is amended to read:
SB474,4,2320 71.34 (1k) (g) An addition shall be made for credits computed by a tax-option
21corporation under s. 71.28 (1dd), (1de), (1di), (1dj), (1dL), (1dm), (1ds), (1dx), (1dy),
22(3), (3g), (3h), (3n), (3p), (3q), (3r), (3t), (3w), (3x), (5e), (5f), (5g), (5h), (5i), (5j), (5k),
23and (8r) and passed through to shareholders.
SB474, s. 9 24Section 9. 71.45 (2) (a) 10. of the statutes, as affected by 2009 Wisconsin Act
2528
, is amended to read:
SB474,5,7
171.45 (2) (a) 10. By adding to federal taxable income the amount of credit
2computed under s. 71.47 (1dd) to (1dy), (3g), (3h), (3n), (3p), (3q), (3r), (3w), (3x), (5e),
3(5f), (5g), (5h), (5i), (5j), (5k), and (8r) and not passed through by a partnership,
4limited liability company, or tax-option corporation that has added that amount to
5the partnership's, limited liability company's, or tax-option corporation's income
6under s. 71.21 (4) or 71.34 (1k) (g) and the amount of credit computed under s. 71.47
7(1), (3), (3t), (4), (4m), and (5).
SB474, s. 10 8Section 10. 71.47 (3x) of the statutes is created to read:
SB474,5,109 71.47 (3x) Insulating concrete forms credit. (a) Definitions. In this
10subsection:
SB474,5,1111 1. "Claimant" means a person who files a claim under this subsection.
SB474,5,1312 2. "Insulating concrete form" means a hollow expandable polystyrene form
13system that is filled with concrete and includes the concrete used to fill the form.
SB474,5,1814 (b) Filing claims. Subject to the limitations provided in this subsection, a
15claimant may claim as a credit against the taxes imposed under s. 71.43, up to the
16amount of the taxes, an amount equal to the amount that the claimant paid in the
17taxable year to purchase for use in this state insulating concrete forms used to
18construct the insulated exterior and interior walls of any building.
SB474,6,219 (c) Limitations. Partnerships, limited liability companies, and tax-option
20corporations may not claim the credit under this subsection, but the eligibility for,
21and the amount of, the credit are based on their payment of the amounts described
22under par. (b). A partnership, limited liability company, or tax-option corporation
23shall compute the amount of credit that each of its partners, members, or
24shareholders may claim and shall provide that information to each of them.

1Partners, members of limited liability companies, and shareholders of tax-option
2corporations may claim the credit in proportion to their ownership interests.
SB474,6,43 (d) Administration. Section 71.28 (4) (e) to (h), as it applies to the credit under
4s. 71.28 (4), applies to the credit under this subsection.
SB474, s. 11 5Section 11. 71.49 (1) (dn) of the statutes is created to read:
SB474,6,66 71.49 (1) (dn) Insulating concrete forms credit under s. 71.47 (3x).
SB474, s. 12 7Section 12. 77.92 (4) of the statutes, as affected by 2009 Wisconsin Act 28, is
8amended to read:
SB474,6,249 77.92 (4) "Net business income," with respect to a partnership, means taxable
10income as calculated under section 703 of the Internal Revenue Code; plus the items
11of income and gain under section 702 of the Internal Revenue Code, including taxable
12state and municipal bond interest and excluding nontaxable interest income or
13dividend income from federal government obligations; minus the items of loss and
14deduction under section 702 of the Internal Revenue Code, except items that are not
15deductible under s. 71.21; plus guaranteed payments to partners under section 707
16(c) of the Internal Revenue Code; plus the credits claimed under s. 71.07 (2dd), (2de),
17(2di), (2dj), (2dL), (2dm), (2dr), (2ds), (2dx), (2dy), (3g), (3h), (3n), (3p), (3q), (3r), (3s),
18(3t), (3w), (3x), (5e), (5f), (5g), (5h), (5i), (5j), (5k), and (8r); and plus or minus, as
19appropriate, transitional adjustments, depreciation differences, and basis
20differences under s. 71.05 (13), (15), (16), (17), and (19); but excluding income, gain,
21loss, and deductions from farming. "Net business income," with respect to a natural
22person, estate, or trust, means profit from a trade or business for federal income tax
23purposes and includes net income derived as an employee as defined in section 3121
24(d) (3) of the Internal Revenue Code.
SB474, s. 13 25Section 13. Initial applicability.
SB474,7,1
1(1) This act first applies to taxable years beginning on January 1, 2010.
SB474,7,22 (End)
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