Wisconsin 2023-2024 Regular Session

Wisconsin Assembly Bill AB888 Compare Versions

Only one version of the bill is available at this time.

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3	3	2023 - 2024 LEGISLATURE
4	4	2023 ASSEMBLY BILL 888
5	5	January 2, 2024 - Introduced by Representatives HAYWOOD, BARE, EMERSON,
6	6	OHNSTAD, MOORE OMOKUNDE, STUBBS, JOERS, PALMERI, SINICKI, C. ANDERSON,
7	7	ANDRACA, HONG, BALDEH, MADISON, DRAKE, CLANCY, JACOBSON and GOYKE,
8	8	cosponsored by Senators L. JOHNSON, CARPENTER, TAYLOR, ROYS, SPREITZER and
9	9	AGARD. Referred to Committee on Ways and Means.
10	10	*AUTHORS SUBJECT TO CHANGE*
11	11	AN ACT to amend 71.05 (6) (a) 15., 71.21 (4) (a), 71.26 (2) (a) 4., 71.34 (1k) (g) and
12	12	71.45 (2) (a) 10.; and to create 71.07 (8g), 71.10 (4) (em), 71.28 (8g), 71.30 (3)
13	13	(am), 71.47 (8g) and 71.49 (1) (am) of the statutes; relating to: creating a
14	14	nonrefundable individual and corporate income and franchise tax credit for
15	15	costs paid to eliminate exposure to a lead hazard in a dwelling.
16	16	Analysis by the Legislative Reference Bureau
17	17	This bill creates a nonrefundable individual income tax credit and a corporate
18	18	income and franchise tax credit for costs paid to eliminate a lead hazard in a dwelling
19	19	or residential condominium unit in this state (residence).
20	20	Under the bill, an owner of a residence may claim a credit for all costs paid, up
21	21	to $1,500 per dwelling unit, to permanently eliminate a lead hazard in a residence.
22	22	A dwelling may contain more than one dwelling unit. To claim the credit, a claimant
23	23	must meet all of the following conditions:
24	24	1. A certified professional must investigate the residence and determine that
25	25	a lead hazard exists.
26	26	2. The lead hazard abatement activities in the residence must be conducted in
27	27	accordance with rules promulgated by the Department of Health Services.
28	28	3. A certified professional must do one or both of the following: 1) issue a
29	29	certificate confirming that the residence is free from lead-bearing paint on the date
30	30	of the inspection or 2) execute a document certifying that the lead hazard abatement
31	31	activities permanently eliminated all lead hazards in the residence.
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38	38	ASSEMBLY BILL 888
39	39	At the option of the owner, the owner may, at the same time the owner
40	40	remediates lead hazards in a residence, also remediate any lead hazards present in
41	41	the residence's utility service connections and claim a credit for those costs.
42	42	The credit is nonrefundable, meaning that it may be claimed only up to the
43	43	amount of a taxpayer's income or franchise tax liability. If the amount of the credit
44	44	for which a claimant is eligible exceeds the claimant's tax liability, the claimant may
45	45	carry forward the excess credit amount for up to the following seven taxable years.
46	46	For further information see the state and local fiscal estimate, which will be
47	47	printed as an appendix to this bill.
48	48	The people of the state of Wisconsin, represented in senate and assembly, do
49	49	enact as follows:
50	50	SECTION 1. 71.05 (6) (a) 15. of the statutes is amended to read:
51	51	71.05 (6) (a) 15. The amount of the credits computed under s. 71.07 (2dm),
52	52	(2dx), (2dy), (3g), (3h), (3n), (3q), (3s), (3t), (3w), (3wm), (3y), (4k), (4n), (5e), (5i), (5j),
53	53	(5k), (5r), (5rm), (6n), (8g), and (10) and not passed through by a partnership, limited
54	54	liability company, or tax-option corporation that has added that amount to the
55	55	partnership's, company's, or tax-option corporation's income under s. 71.21 (4) or
56	56	71.34 (1k) (g).
57	57	SECTION 2. 71.07 (8g) of the statutes is created to read:
58	58	71.07 (8g) LEAD HAZARD ABATEMENT TAX CREDIT. (a) Definitions. In this
59	59	subsection:
60	60	1. “Certificate of lead-free status" means a certificate of lead-free status, as
61	61	defined in s. 254.11 (4g), that is issued in accordance with the rules promulgated by
62	62	the department of health services under s. 254.179 (1) and has not been revoked by
63	63	the department of health services.
64	64	2. “Claimant" means a person who files a claim under this subsection.
65	65	3. “Condominium unit" means a unit, as defined in s. 703.02 (15), that is a
66	66	dwelling unit.
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88	88	4. “Dwelling" means any structure, all or part of which is designed or used for
89	89	human habitation and includes a structure owned and occupied by members of a
90	90	housing cooperative incorporated under ch. 185 or organized under ch. 193. A
91	91	“dwelling" may contain one or more dwelling units.
92	92	5. “Dwelling unit" means a structure or that part of a structure that is designed,
93	93	used, or intended to be used as a home or residence by one person or by 2 or more
94	94	persons maintaining a common household, to the exclusion of all others.
95	95	6. “Extended dwelling" means a dwelling and the dwelling's utility service
96	96	connections.
97	97	7. “First effective" means:
98	98	a. With respect to a certificate of lead-free status, the date listed on the
99	99	certificate as the certificate's effective date.
100	100	b. With respect to proof of successful abatement, the date on which the
101	101	document is executed.
102	102	8. “Lead-bearing paint hazard" has the meaning given in s. 254.11 (8d).
103	103	9. “Lead hazard" has the meaning given in s. 254.11 (8g).
104	104	10. “Lead hazard abatement" means lead hazard abatement, as defined in s.
105	105	254.11 (8j), that is conducted in accordance with the rules promulgated by the
106	106	department of health services under s. 254.172 (1) by a person certified by the
107	107	department of health services under s. 254.176 (1).
108	108	11. “Lead investigation" means a lead investigation, as defined in s. 254.11 (8s),
109	109	that is conducted in accordance with the rules promulgated by the department of
110	110	health services under s. 254.167.
111	111	12. “Lead risk assessor" has the meaning given in s. 254.11 (9g).
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138	138	13. “Proof of successful abatement" means a document executed by a certified
139	139	lead risk assessor or other person certified under s. 254.176 that certifies a finding
140	140	by the assessor that lead hazard abatement in or on a dwelling, extended dwelling,
141	141	or condominium unit permanently eliminated all lead hazards in the dwelling,
142	142	extended dwelling, or condominium unit.
143	143	14. “Utility service connections" means improvements to real property
144	144	necessary to connect a dwelling or a structure of a condominium, as defined in s.
145	145	703.02 (4), to utility services, including heat, light, water , power,
146	146	telecommunications services, and sewer services.
147	147	(b) Filing claims. Subject to the limitations and conditions provided in this
148	148	subsection, for a taxable year in which a certificate of lead-free status or proof of
149	149	successful abatement described under par. (c) 2. is first effective, a claimant may
150	150	claim as a credit against the tax imposed under s. 71.02, up to the amount of those
151	151	taxes, an amount equal to the amount the claimant paid in the year to which the
152	152	claim relates and the prior taxable year for lead hazard abatement in or on a
153	153	dwelling, extended dwelling, or condominium unit in this state owned by the
154	154	claimant to which the certificate of lead-free status or proof of successful abatement
155	155	relates.
156	156	(c) Limitations and conditions. 1. Before commencing lead hazard abatement
157	157	for which a credit may be claimed under this subsection, a claimant shall have a
158	158	certified lead risk assessor or other person certified by the department of health
159	159	services under s. 254.176 conduct a lead investigation of the dwelling, extended
160	160	dwelling, or condominium unit to which the credit relates and determine that a
161	161	lead-bearing paint hazard or lead hazard exists in or on the dwelling, extended
162	162	dwelling, or condominium unit. In calculating the amount of the credit under this
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192	192	subsection, a claimant may not use any amounts paid for lead hazard abatement
193	193	before the lead investigation and determination is completed.
194	194	2. A claimant shall submit with the claimant's tax return all of the following
195	195	that are applicable to the claimant's claim:
196	196	a. If the lead investigation described under subd. 1. identified the presence of
197	197	a lead-bearing paint hazard in or on the dwelling or condominium unit, a copy of a
198	198	certificate of lead-free status issued with respect to the dwelling or condominium
199	199	unit that is first effective in the taxable year to which the claim relates.
200	200	b. If the lead investigation described under subd. 1. identified the presence of
201	201	a lead hazard other than a lead-bearing paint hazard in or on the dwelling, extended
202	202	dwelling, or condominium unit, proof of successful abatement issued with respect to
203	203	the dwelling, extended dwelling, or condominium unit that is first effective in the
204	204	taxable year to which the claim relates.
205	205	3. A certificate of lead-free status described under subd. 2. a. that is issued with
206	206	respect to a dwelling shall cover the entire dwelling.
207	207	4. Proof of successful abatement described under subd. 2. b. that is issued with
208	208	respect to a dwelling or extended dwelling shall cover the entire dwelling or extended
209	209	dwelling.
210	210	5. To claim a credit under this subsection with respect to a condominium unit,
211	211	in addition to a copy of the certificate of lead-free status and the proof of successful
212	212	abatement described under subd. 2., a claimant shall submit with the claimant's tax
213	213	return a copy of a certificate of lead-free status issued with respect to the
214	214	condominium's common elements, as defined in s. 703.02 (2), except that the
215	215	certificate need not cover any utility service connections that are common elements.
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242	242	6. Notwithstanding par. (b), if a residential condominium's association, as
243	243	defined in s. 703.02 (1m), paid for lead hazard abatement in or on the condominium's
244	244	common elements, as defined in s. 703.02 (2), the association may claim a credit
245	245	under this subsection even if the association does not own the common elements and
246	246	even if the common elements do not constitute a dwelling or extended dwelling, or,
247	247	at the option of the association, the condominium's unit owners, as defined in s.
248	248	703.02 (17), may claim the credit in proportion to their percentage interests in the
249	249	common elements, as determined under s. 703.13. If the association elects to allow
250	250	the unit owners to claim the credit, the association shall compute the amount of the
251	251	credit that each of the unit owners may claim and shall provide that information to
252	252	each of them.
253	253	7. A claimant may only claim a credit under this subsection within the time
254	254	period specified under s. 71.75 (2).
255	255	8. The maximum aggregate amount that one or more claimants may claim
256	256	under this subsection and ss. 71.28 (8g) and 71.47 (8g) with respect to a particular
257	257	dwelling, extended dwelling, or condominium unit is $1,500 per dwelling, extended
258	258	dwelling, or condominium unit, except that, if the dwelling or extended dwelling
259	259	contains more than one dwelling unit, the maximum aggregate amount is $1,500 per
260	260	dwelling unit.
261	261	9. Part-year residents and nonresidents of this state are not eligible for the
262	262	credit under this subsection.
263	263	10. Partnerships, limited liability companies, and tax-option corporations may
264	264	not claim the credit under this subsection, but the eligibility for, and the amount of,
265	265	the credit are based on their payment of amounts described under par. (b), except
266	266	that for each dwelling, extended dwelling, or condominium unit owned by the entity
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296	296	the aggregate amount of credits that the entity may compute may not exceed the
297	297	limitation under subd. 8. A partnership, limited liability company, or tax-option
298	298	corporation shall compute the amount of the credit that each of its partners,
299	299	members, or shareholders may claim and shall provide that information to each of
300	300	them. Partners, members of limited liability companies, and shareholders of
301	301	tax-option corporations may claim the credit in proportion to their ownership
302	302	interests.
303	303	11. Housing cooperatives incorporated under ch. 185 or organized under ch. 193
304	304	may not claim the credit under this subsection, but the eligibility for, and the amount
305	305	of, the credit are based on their payment of amounts described under par. (b), except
306	306	that for each dwelling, extended dwelling, or condominium unit owned by the entity
307	307	the aggregate amount of credits that the entity may compute may not exceed the
308	308	limitation under subd. 8. A housing cooperative shall compute the amount of the
309	309	credit that each of its members may claim and shall provide that information to each
310	310	of them. Members may claim the credit in proportion to their ownership interests.
311	311	12. If 2 or more persons own a dwelling, extended dwelling, or condominium
312	312	unit, each person may claim a credit under par. (b) in proportion to the person's
313	313	ownership interest, except that the aggregate amount of the credits claimed by all
314	314	persons who own the dwelling, extended dwelling, or condominium unit may not
315	315	exceed the limitation under subd. 8.
316	316	(d) Administration. 1. Section 71.28 (4) (e), (g), and (h), as it applies to the
317	317	credit under s. 71.28 (4), applies to the credit under this subsection.
318	318	2. If a credit computed under this subsection is not entirely offset against taxes
319	319	otherwise due, the unused balance may be carried forward and credited against
320	320	taxes otherwise due for the following 7 taxable years to the extent not offset by taxes
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348	348	otherwise due in all intervening years between the year in which the expense was
349	349	incurred and the year in which the carry-forward credit is claimed.
350	350	SECTION 3. 71.10 (4) (em) of the statutes is created to read:
351	351	71.10 (4) (em) Lead hazard abatement tax credit under s. 71.07 (8g).
352	352	SECTION 4. 71.21 (4) (a) of the statutes is amended to read:
353	353	71.21 (4) (a) The amount of the credits computed by a partnership under s.
354	354	71.07 (2dm), (2dx), (2dy), (3g), (3h), (3n), (3q), (3s), (3t), (3w), (3wm), (3y), (4k), (4n),
355	355	(5e), (5g), (5i), (5j), (5k), (5r), (5rm), (6n), (8g), and (10) and passed through to
356	356	partners shall be added to the partnership's income.
357	357	SECTION 5. 71.26 (2) (a) 4. of the statutes is amended to read:
358	358	71.26 (2) (a) 4. Plus the amount of the credit computed under s. 71.28 (1dm),
359	359	(1dx), (1dy), (3g), (3h), (3n), (3q), (3t), (3w), (3wm), (3y), (5e), (5g), (5i), (5j), (5k), (5r),
360	360	(5rm), (6n), (8g), and (10) and not passed through by a partnership, limited liability
361	361	company, or tax-option corporation that has added that amount to the partnership's,
362	362	limited liability company's, or tax-option corporation's income under s. 71.21 (4) or
363	363	71.34 (1k) (g).
364	364	SECTION 6. 71.28 (8g) of the statutes is created to read:
365	365	71.28 (8g) LEAD HAZARD ABATEMENT TAX CREDIT. (a) Definitions. In this
366	366	subsection:
367	367	1. “Certificate of lead-free status" means a certificate of lead-free status, as
368	368	defined in s. 254.11 (4g), that is issued in accordance with the rules promulgated by
369	369	the department of health services under s. 254.179 (1) and has not been revoked by
370	370	the department of health services.
371	371	2. “Claimant" means a person who files a claim under this subsection.
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400	400	3. “Condominium unit" means a unit, as defined in s. 703.02 (15), that is a
401	401	dwelling unit.
402	402	4. “Dwelling" means any structure, all or part of which is designed or used for
403	403	human habitation and includes a structure owned and occupied by members of a
404	404	housing cooperative incorporated under ch. 185 or organized under ch. 193. A
405	405	“dwelling" may contain one or more dwelling units.
406	406	5. “Dwelling unit" means a structure or that part of a structure that is designed,
407	407	used, or intended to be used as a home or residence by one person or by 2 or more
408	408	persons maintaining a common household, to the exclusion of all others.
409	409	6. “Extended dwelling" means a dwelling and the dwelling's utility service
410	410	connections.
411	411	7. “First effective" means:
412	412	a. With respect to a certificate of lead-free status, the date listed on the
413	413	certificate as the certificate's effective date.
414	414	b. With respect to proof of successful abatement, the date on which the
415	415	document is executed.
416	416	8. “Lead-bearing paint hazard" has the meaning given in s. 254.11 (8d).
417	417	9. “Lead hazard" has the meaning given in s. 254.11 (8g).
418	418	10. “Lead hazard abatement" means lead hazard abatement, as defined in s.
419	419	254.11 (8j), that is conducted in accordance with the rules promulgated by the
420	420	department of health services under s. 254.172 (1) by a person certified by the
421	421	department of health services under s. 254.176 (1).
422	422	11. “Lead investigation" means a lead investigation, as defined in s. 254.11 (8s),
423	423	that is conducted in accordance with the rules promulgated by the department of
424	424	health services under s. 254.167.
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452	452	12. “Lead risk assessor" has the meaning given in s. 254.11 (9g).
453	453	13. “Proof of successful abatement" means a document executed by a certified
454	454	lead risk assessor or other person certified under s. 254.176 that certifies a finding
455	455	by the assessor that lead hazard abatement in or on a dwelling, extended dwelling,
456	456	or condominium unit permanently eliminated all lead hazards in the dwelling,
457	457	extended dwelling, or condominium unit.
458	458	14. “Utility service connections" means improvements to real property
459	459	necessary to connect a dwelling or a structure of a condominium, as defined in s.
460	460	703.02 (4), to utility services, including heat, light, water , power,
461	461	telecommunications services, and sewer services.
462	462	(b) Filing claims. Subject to the limitations and conditions provided in this
463	463	subsection, for a taxable year in which a certificate of lead-free status or proof of
464	464	successful abatement described under par. (c) 2. is first effective, a claimant may
465	465	claim as a credit against the tax imposed under s. 71.23, up to the amount of those
466	466	taxes, an amount equal to the amount the claimant paid in the year to which the
467	467	claim relates and the prior taxable year for lead hazard abatement in or on a
468	468	dwelling, extended dwelling, or condominium unit in this state owned by the
469	469	claimant to which the certificate of lead-free status or proof of successful abatement
470	470	relates.
471	471	(c) Limitations and conditions. 1. Before commencing lead hazard abatement
472	472	for which a credit may be claimed under this subsection, a claimant shall have a
473	473	certified lead risk assessor or other person certified by the department of health
474	474	services under s. 254.176 conduct a lead investigation of the dwelling, extended
475	475	dwelling, or condominium unit to which the credit relates and determine that a
476	476	lead-bearing paint hazard or lead hazard exists in or on the dwelling, extended
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506	506	dwelling, or condominium unit. In calculating the amount of the credit under this
507	507	subsection, a claimant may not use any amounts paid for lead hazard abatement
508	508	before the lead investigation and determination is completed.
509	509	2. A claimant shall submit with the claimant's tax return all of the following
510	510	that are applicable to the claimant's claim:
511	511	a. If the lead investigation described under subd. 1. identified the presence of
512	512	a lead-bearing paint hazard in or on the dwelling or condominium unit, a copy of a
513	513	certificate of lead-free status issued with respect to the dwelling or condominium
514	514	unit that is first effective in the taxable year to which the claim relates.
515	515	b. If the lead investigation described under subd. 1. identified the presence of
516	516	a lead hazard other than a lead-bearing paint hazard in or on the dwelling, extended
517	517	dwelling, or condominium unit, proof of successful abatement issued with respect to
518	518	the dwelling, extended dwelling, or condominium unit that is first effective in the
519	519	taxable year to which the claim relates.
520	520	3. A certificate of lead-free status described under subd. 2. a. that is issued with
521	521	respect to a dwelling shall cover the entire dwelling.
522	522	4. Proof of successful abatement described under subd. 2. b. that is issued with
523	523	respect to a dwelling or extended dwelling shall cover the entire dwelling or extended
524	524	dwelling.
525	525	5. To claim a credit under this subsection with respect to a condominium unit,
526	526	in addition to a copy of the certificate of lead-free status and the proof of successful
527	527	abatement described under subd. 2., a claimant shall submit with the claimant's tax
528	528	return a copy of a certificate of lead-free status issued with respect to the
529	529	condominium's common elements, as defined in s. 703.02 (2), except that the
530	530	certificate need not cover any utility service connections that are common elements.
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555	555	25 - 12 -2023 - 2024 Legislature LRB-0076/1
556	556	KP:emw
557	557	SECTION 6 ASSEMBLY BILL 888
558	558	6. A claimant may only claim a credit under this subsection within the time
559	559	period specified under s. 71.75 (2).
560	560	7. The maximum aggregate amount that one or more claimants may claim
561	561	under this subsection and ss. 71.07 (8g) and 71.47 (8g) with respect to a particular
562	562	dwelling, extended dwelling, or condominium unit is $1,500 per dwelling, extended
563	563	dwelling, or condominium unit, except that, if the dwelling or extended dwelling
564	564	contains more than one dwelling unit, the maximum aggregate amount is $1,500 per
565	565	dwelling unit.
566	566	8. Partnerships, limited liability companies, and tax-option corporations may
567	567	not claim the credit under this subsection, but the eligibility for, and the amount of,
568	568	the credit are based on their payment of amounts described under par. (b), except
569	569	that for each dwelling, extended dwelling, or condominium unit owned by the entity
570	570	the aggregate amount of credits that the entity may compute may not exceed the
571	571	limitation under subd. 7. A partnership, limited liability company, or tax-option
572	572	corporation shall compute the amount of the credit that each of its partners,
573	573	members, or shareholders may claim and shall provide that information to each of
574	574	them. Partners, members of limited liability companies, and shareholders of
575	575	tax-option corporations may claim the credit in proportion to their ownership
576	576	interests.
577	577	9. If 2 or more persons own a dwelling, extended dwelling, or condominium
578	578	unit, each person may claim a credit under par. (b) in proportion to the person's
579	579	ownership interest, except that the aggregate amount of the credits claimed by all
580	580	persons who own the dwelling, extended dwelling, or condominium unit may not
581	581	exceed the limitation under subd. 7.
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605	605	24 - 13 -2023 - 2024 Legislature
606	606	LRB-0076/1
607	607	KP:emw
608	608	SECTION 6
609	609	ASSEMBLY BILL 888
610	610	(d) Administration. 1. Subsection (4) (e), (g), and (h), as it applies to the credit
611	611	under sub. (4), applies to the credit under this subsection.
612	612	2. If a credit computed under this subsection is not entirely offset against taxes
613	613	otherwise due, the unused balance may be carried forward and credited against
614	614	taxes otherwise due for the following 7 taxable years to the extent not offset by taxes
615	615	otherwise due in all intervening years between the year in which the expense was
616	616	incurred and the year in which the carry-forward credit is claimed.
617	617	SECTION 7. 71.30 (3) (am) of the statutes is created to read:
618	618	71.30 (3) (am) Lead hazard abatement tax credit under s. 71.28 (8g).
619	619	SECTION 8. 71.34 (1k) (g) of the statutes is amended to read:
620	620	71.34 (1k) (g) An addition shall be made for credits computed by a tax-option
621	621	corporation under s. 71.28 (1dm), (1dx), (1dy), (3), (3g), (3h), (3n), (3q), (3t), (3w),
622	622	(3wm), (3y), (4), (5), (5e), (5g), (5i), (5j), (5k), (5r), (5rm), (6n), (8g), and (10) and passed
623	623	through to shareholders.
624	624	SECTION 9. 71.45 (2) (a) 10. of the statutes is amended to read:
625	625	71.45 (2) (a) 10. By adding to federal taxable income the amount of credit
626	626	computed under s. 71.47 (1dm) to (1dy), (3g), (3h), (3n), (3q), (3w), (3y), (5e), (5g), (5i),
627	627	(5j), (5k), (5r), (5rm), (6n), (8g), and (10) and not passed through by a partnership,
628	628	limited liability company, or tax-option corporation that has added that amount to
629	629	the partnership's, limited liability company's, or tax-option corporation's income
630	630	under s. 71.21 (4) or 71.34 (1k) (g) and the amount of credit computed under s. 71.47
631	631	(3), (3t), (4), (4m), and (5).
632	632	SECTION 10. 71.47 (8g) of the statutes is created to read:
633	633	71.47 (8g) LEAD HAZARD ABATEMENT TAX CREDIT. (a) Definitions. In this
634	634	subsection:
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659	659	25 - 14 -2023 - 2024 Legislature LRB-0076/1
660	660	KP:emw
661	661	SECTION 10 ASSEMBLY BILL 888
662	662	1. “Certificate of lead-free status" means a certificate of lead-free status, as
663	663	defined in s. 254.11 (4g), that is issued in accordance with the rules promulgated by
664	664	the department of health services under s. 254.179 (1) and has not been revoked by
665	665	the department of health services.
666	666	2. “Claimant" means a person who files a claim under this subsection.
667	667	3. “Condominium unit" means a unit, as defined in s. 703.02 (15), that is a
668	668	dwelling unit.
669	669	4. “Dwelling" means any structure, all or part of which is designed or used for
670	670	human habitation and includes a structure owned and occupied by members of a
671	671	housing cooperative incorporated under ch. 185 or organized under ch. 193. A
672	672	“dwelling" may contain one or more dwelling units.
673	673	5. “Dwelling unit" means a structure or that part of a structure that is designed,
674	674	used, or intended to be used as a home or residence by one person or by 2 or more
675	675	persons maintaining a common household, to the exclusion of all others.
676	676	6. “Extended dwelling" means a dwelling and the dwelling's utility service
677	677	connections.
678	678	7. “First effective" means:
679	679	a. With respect to a certificate of lead-free status, the date listed on the
680	680	certificate as the certificate's effective date.
681	681	b. With respect to proof of successful abatement, the date on which the
682	682	document is executed.
683	683	8. “Lead-bearing paint hazard" has the meaning given in s. 254.11 (8d).
684	684	9. “Lead hazard" has the meaning given in s. 254.11 (8g).
685	685	10. “Lead hazard abatement" means lead hazard abatement, as defined in s.
686	686	254.11 (8j), that is conducted in accordance with the rules promulgated by the
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711	711	25 - 15 -2023 - 2024 Legislature
712	712	LRB-0076/1
713	713	KP:emw
714	714	SECTION 10
715	715	ASSEMBLY BILL 888
716	716	department of health services under s. 254.172 (1) by a person certified by the
717	717	department of health services under s. 254.176 (1).
718	718	11. “Lead investigation" means a lead investigation, as defined in s. 254.11 (8s),
719	719	that is conducted in accordance with the rules promulgated by the department of
720	720	health services under s. 254.167.
721	721	12. “Lead risk assessor" has the meaning given in s. 254.11 (9g).
722	722	13. “Proof of successful abatement" means a document executed by a certified
723	723	lead risk assessor or other person certified under s. 254.176 that certifies a finding
724	724	by the assessor that lead hazard abatement in or on a dwelling, extended dwelling,
725	725	or condominium unit permanently eliminated all lead hazards in the dwelling,
726	726	extended dwelling, or condominium unit.
727	727	14. “Utility service connections" means improvements to real property
728	728	necessary to connect a dwelling or a structure of a condominium, as defined in s.
729	729	703.02 (4), to utility services, including heat, light, water , power,
730	730	telecommunications services, and sewer services.
731	731	(b) Filing claims. Subject to the limitations and conditions provided in this
732	732	subsection, for a taxable year in which a certificate of lead-free status or proof of
733	733	successful abatement described under par. (c) 2. is first effective, a claimant may
734	734	claim as a credit against the tax imposed under s. 71.43, up to the amount of those
735	735	taxes, an amount equal to the amount the claimant paid in the year to which the
736	736	claim relates and the prior taxable year for lead hazard abatement in or on a
737	737	dwelling, extended dwelling, or condominium unit in this state owned by the
738	738	claimant to which the certificate of lead-free status or proof of successful abatement
739	739	relates.
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763	763	24 - 16 -2023 - 2024 Legislature LRB-0076/1
764	764	KP:emw
765	765	SECTION 10 ASSEMBLY BILL 888
766	766	(c) Limitations and conditions. 1. Before commencing lead hazard abatement
767	767	for which a credit may be claimed under this subsection, a claimant shall have a
768	768	certified lead risk assessor or other person certified by the department of health
769	769	services under s. 254.176 conduct a lead investigation of the dwelling, extended
770	770	dwelling, or condominium unit to which the credit relates and determine that a
771	771	lead-bearing paint hazard or lead hazard exists in or on the dwelling, extended
772	772	dwelling, or condominium unit. In calculating the amount of the credit under this
773	773	subsection, a claimant may not use any amounts paid for lead hazard abatement
774	774	before the lead investigation and determination is completed.
775	775	2. A claimant shall submit with the claimant's tax return all of the following
776	776	that are applicable to the claimant's claim:
777	777	a. If the lead investigation described under subd. 1. identified the presence of
778	778	a lead-bearing paint hazard in or on the dwelling or condominium unit, a copy of a
779	779	certificate of lead-free status issued with respect to the dwelling or condominium
780	780	unit that is first effective in the taxable year to which the claim relates.
781	781	b. If the lead investigation described under subd. 1. identified the presence of
782	782	a lead hazard other than a lead-bearing paint hazard in or on the dwelling, extended
783	783	dwelling, or condominium unit, proof of successful abatement issued with respect to
784	784	the dwelling, extended dwelling, or condominium unit that is first effective in the
785	785	taxable year to which the claim relates.
786	786	3. A certificate of lead-free status described under subd. 2. a. that is issued with
787	787	respect to a dwelling shall cover the entire dwelling.
788	788	4. Proof of successful abatement described under subd. 2. b. that is issued with
789	789	respect to a dwelling or extended dwelling shall cover the entire dwelling or extended
790	790	dwelling.
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815	815	25 - 17 -2023 - 2024 Legislature
816	816	LRB-0076/1
817	817	KP:emw
818	818	SECTION 10
819	819	ASSEMBLY BILL 888
820	820	5. To claim a credit under this subsection with respect to a condominium unit,
821	821	in addition to a copy of the certificate of lead-free status and the proof of successful
822	822	abatement described under subd. 2., a claimant shall submit with the claimant's tax
823	823	return a copy of a certificate of lead-free status issued with respect to the
824	824	condominium's common elements, as defined in s. 703.02 (2), except that the
825	825	certificate need not cover any utility service connections that are common elements.
826	826	6. A claimant may only claim a credit under this subsection within the time
827	827	period specified under s. 71.75 (2).
828	828	7. The maximum aggregate amount that one or more claimants may claim
829	829	under this subsection and ss. 71.07 (8g) and 71.28 (8g) with respect to a particular
830	830	dwelling, extended dwelling, or condominium unit is $1,500 per dwelling, extended
831	831	dwelling, or condominium unit, except that, if the dwelling or extended dwelling
832	832	contains more than one dwelling unit, the maximum aggregate amount is $1,500 per
833	833	dwelling unit.
834	834	8. Partnerships, limited liability companies, and tax-option corporations may
835	835	not claim the credit under this subsection, but the eligibility for, and the amount of,
836	836	the credit are based on their payment of amounts described under par. (b), except
837	837	that for each dwelling, extended dwelling, or condominium unit owned by the entity
838	838	the aggregate amount of credits that the entity may compute may not exceed the
839	839	limitation under subd. 7. A partnership, limited liability company, or tax-option
840	840	corporation shall compute the amount of the credit that each of its partners,
841	841	members, or shareholders may claim and shall provide that information to each of
842	842	them. Partners, members of limited liability companies, and shareholders of
843	843	tax-option corporations may claim the credit in proportion to their ownership
844	844	interests.
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869	869	25 - 18 -2023 - 2024 Legislature LRB-0076/1
870	870	KP:emw
871	871	SECTION 10 ASSEMBLY BILL 888
872	872	9. If 2 or more persons own a dwelling, extended dwelling, or condominium
873	873	unit, each person may claim a credit under par. (b) in proportion to the person's
874	874	ownership interest, except that the aggregate amount of the credits claimed by all
875	875	persons who own the dwelling, extended dwelling, or condominium unit may not
876	876	exceed the limitation under subd. 7.
877	877	(d) Administration. 1. Section 71.28 (4) (e), (g), and (h), as it applies to the
878	878	credit under s. 71.28 (4), applies to the credit under this subsection.
879	879	2. If a credit computed under this subsection is not entirely offset against taxes
880	880	otherwise due, the unused balance may be carried forward and credited against
881	881	taxes otherwise due for the following 7 taxable years to the extent not offset by taxes
882	882	otherwise due in all intervening years between the year in which the expense was
883	883	incurred and the year in which the carry-forward credit is claimed.
884	884	SECTION 11. 71.49 (1) (am) of the statutes is created to read:
885	885	71.49 (1) (am) Lead hazard abatement tax credit under s. 71.47 (8g).
886	886	SECTION 12.0Initial applicability.
887	887	(1) This act first applies to taxable years beginning on January 1 of the year
888	888	in which this subsection takes effect, except that if this subsection takes effect after
889	889	July 31, this act first applies to taxable years beginning on January 1 of the year
890	890	following the year in which this subsection takes effect.
891	891	(END)
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