Wisconsin Assembly Bill AB110

Wisconsin 2023-2024 Regular Session

• Introduced: 3/14/23
• Refer: 3/14/23
• Failed: 4/15/24

Caption

A pediatric cancer research tax credit. (FE)

Impact

By establishing this credit, AB110 modifies existing tax statutes to offer a maximum credit of $2.5 million for each entity in any taxable year. The emphasis is placed on ensuring that all contributions are used exclusively for pediatric cancer research activities. This creates an incentive not only for businesses but also engages the healthcare community in meaningful ways to collaborate on cancer research initiatives. The credit also stipulates that if the contribution exceeds the claimant’s tax liability, they cannot receive a cash refund but may carry forward the unused credit to subsequent tax years.

Summary

Assembly Bill 110 (AB110) introduces a tax credit aimed at boosting funding for pediatric cancer research in Wisconsin. The bill allows business entities to claim an income and franchise tax credit for contributions made to certified pediatric cancer research institutions. This credit is specifically designed to encourage donations that will directly support ongoing research efforts aimed at addressing pediatric cancers. Through this mechanism, the state hopes to enhance the capabilities and resources available to researchers and healthcare providers in the field of pediatric oncology.

Contention

However, the introduction of AB110 is not without its points of contention. Critics may raise concerns about potential revenue loss to the state due to the tax credits granted to businesses, arguing that this could impact the funding available for other essential state services. Moreover, there may be differing opinions regarding the allocation of resources, with some parties advocating for a more diversified approach to funding cancer research rather than concentrating resources through tax incentives aimed at businesses. The bill will likely spark discussions on the balance between incentivizing private contributions and maintaining robust public funding for healthcare initiatives.