Wisconsin Code § 71.10

(1) ALLOCATION OF GROSS INCOME, DEDUCTIONS, CREDITS BETWEEN 2 OR MORE BUSINESSES.
In any case of 2 or more organizations, trades or businesses
(whether or not incorporated, whether or not organized in the
United States, whether or not affiliated, and whether or not unitary) owned or controlled directly or indirectly by the same interests, the secretary or the secretary’s delegate may distribute, apportion or allocate gross income, deductions, credits or allowances between or among such organizations, trades or businesses, if the secretary determines that such distribution, apportionment or allocation is necessary in order to prevent evasion of
taxes or clearly to reflect the income of any of such organizations,
trades or businesses. The authority granted under this subsection
is in addition to, and not a limitation of or dependent on, the provisions of ss. 71.05 (6) (a) 24. and (b) 45., 71.26 (2) (a) 7. and 8.,
71.34 (1k) (j) and (k), 71.45 (2) (a) 16. and 17., and 71.80 (23).
(1m) TRANSACTIONS WITHOUT ECONOMIC SUBSTANCE. (a)
If any person, directly or indirectly, engages in a transaction or series of transactions without economic substance to create a loss
or to reduce taxable income or to increase credits allowed in determining Wisconsin tax, the department shall determine the
amount of a taxpayer’s taxable income or tax so as to reflect what
would have been the taxpayer’s taxable income or tax if not for
the transaction or transactions without economic substance causing the reduction in taxable income or tax.
(b) A transaction has economic substance only if the transaction is treated as having economic substance as determined under
section 7701 (o) of the Internal Revenue Code, except that the tax
effect shall be determined using federal, state, local, or foreign
taxes, rather than only the federal income tax effect.
(c) With respect to a transaction between members of a controlled group, as defined in section 267 (f) (1) of the Internal Revenue Code, the transaction shall be presumed to lack economic
substance, and the taxpayer shall bear the burden of establishing
by clear and satisfactory evidence that the transaction or the series of transactions between the taxpayer and one or more members of the controlled group has economic substance.
(2) ASSESSMENT OF INCOME DISTRIBUTABLE TO A NONRESIDENT BENEFICIARY. The income of a trust distributable or distributed to a nonresident beneficiary shall be assessed as the income of other nonresidents is assessed. No personal exemptions
shall be allowed in assessing the income of such nonresident beneficiary unless that person makes a complete return under this
chapter.
(4) COMPUTATION ORDER. Notwithstanding any other provisions in this chapter, all persons other than corporations computing liability for the tax under s. 71.02 shall make computations in
the following order:
(a) Tax under s. 71.06.
(c) The credit under s. 71.07 (5).
(cd) Postsecondary education credit under s. 71.07 (5r).
(ce) Water consumption credit under s. 71.07 (5rm).
(cm) The armed forces member tax credit under s. 71.07
(6m).
(cn) Biodiesel fuel production credit under s. 71.07 (3h).
(cp) Health Insurance Risk-Sharing Plan assessments credit
under s. 71.07 (5g).
(cq) Veteran employment credit under s. 71.07 (6n).
(cs) Additional child and dependent care tax credit under s.
71.07 (9g).
(cw) Qualifying transportation services credit under s. 71.07
(11).
(d) School property tax credit under s. 71.07 (9).
(du) Working families tax credit under s. 71.07 (5m).
(e) Employee college savings account contribution credit under s. 71.07 (10).

(es) Community rehabilitation program credit under s. 71.07
(5k).
(eu) Research facilities credit under s. 71.07 (4n).
(fb) Low-income housing credit under s. 71.07 (8b).
(fm) Supplement to federal historic rehabilitation credit under
s. 71.07 (9m).
(fn) Manufacturing and agriculture credit under s. 71.07 (5n).
(fp) State historic rehabilitation credit under s. 71.07 (9r).
(fr) Research credit under s. 71.07 (4k), except as provided
under par. (i).
(fs) Film production company investment credit under s.
71.07 (5h).
(ft) Film production services credit under s. 71.07 (5f) (b) 1.
and 3.
(g) Married persons credit under s. 71.07 (6).
(gb) The manufacturing sales tax credit under s. 71.07 (3s).
(gbb) Manufacturing investment credit under s. 71.07 (3t).
(gbm) Dairy investment credit under s. 71.07 (3n).
(gc) Ethanol and biodiesel fuel pump credit under s. 71.07
(5j).
(grb) Development zone capital investment credit under s.
71.07 (2dm).
(grd) Technology zones credit under s. 71.07 (3g).
(gu) Development zones credit under s. 71.07 (2dx).
(gv) Economic development tax credit under s. 71.07 (2dy).
(gwb) Early stage seed investment credit under s. 71.07 (5b).
(gx) Angel investment credit under s. 71.07 (5d).
(gxx) Electronic medical records credit under s. 71.07 (5i).
(h) Payments to other states under s. 71.07 (7).
(i) The total of claim of right credit under s. 71.07 (1), farmland preservation credit under ss. 71.57 to 71.61, farmland
preservation credit, 2010 and beyond under s. 71.613, homestead
credit under subch. VIII, jobs tax credit under s. 71.07 (3q), business development credit under s. 71.07 (3y), research credit under
s. 71.07 (4k) (e) 2. a. , film production services credit under s.
71.07 (5f) (b) 2. , veterans and surviving spouses property tax
credit under s. 71.07 (6e) , enterprise zone jobs credit under s.
71.07 (3w), electronics and information technology manufacturing zone credit under s. 71.07 (3wm), earned income tax credit
under s. 71.07 (9e), estimated tax payments under s. 71.09, taxes
withheld under subch. X, taxes withheld under s. 71.775, and deposits made under s. 71.80 (15) (c).
(j) Any amount computed under s. 71.83 (1) (c).
(5) ENDANGERED RESOURCES. (a) Definitions. In this
subsection:
1. “Conservation fund” means the fund under s. 25.29.
2. “Endangered resources program” means purchasing or improving land or habitats for any native Wisconsin endangered or
threatened species as defined in s. 29.604 (2) (a) or (b) or for any
nongame species as defined in s. 29.001 (60), conducting the natural heritage inventory program under s. 23.27 (3), conducting
wildlife and resource research and surveys and providing wildlife
management services, providing for wildlife damage control or
the payment of claims for damage associated with endangered or
threatened species, repaying the general fund for amounts expended under s. 20.370 (1) (fb) in fiscal year 1983-84 and the
payment of administrative expenses related to the administration
of this subsection.
(b) Voluntary payments. 1. ‘Designation on return.’ Subject
to sub. (5s), any individual filing an income tax return may designate on the return any amount of additional payment or any
amount of a refund due that individual for the endangered resources program.
2. ‘Designation added to tax owed.’ If the individual owes
any tax, the individual shall remit in full the tax due and the
amount designated on the return for the endangered resources
program when the individual files a tax return.
3. ‘Designation deducted from refund.’ Except as provided
under par. (d), if the individual is owed a refund for that year after
crediting under ss. 71.75 (9) and 71.80 (3), the department shall
deduct the amount designated on the return for the endangered resources program from the amount of the refund.
(c) Errors; failure to remit correct amount. If an individual
who owes taxes fails to remit an amount equal to or in excess of
the total of the actual tax due, after error corrections, and the
amount designated on the return for the endangered resources
program:
1. The department shall reduce the designation for the endangered resources program to reflect the amount remitted in excess of the actual tax due, after error corrections, if the individual
remitted an amount in excess of the actual tax due, after error corrections, but less than the total of the actual tax due, after error
corrections, and the amount originally designated on the return
for the endangered resources program.
2. The designation for the endangered resources program is
void if the individual remitted an amount equal to or less than the
actual tax due, after error corrections.
(d) Errors; insufficient refund. If an individual who is owed
a refund which does not equal or exceed the amount designated
on the return for the endangered resources program, after crediting under ss. 71.75 (9) and 71.80 (3) and after error corrections,
the department shall reduce the designation for the endangered
resources program to reflect the actual amount of the refund the
individual is otherwise owed, after crediting under ss. 71.75 (9)
and 71.80 (3) and after error corrections.
(e) Conditions. If an individual places any conditions on a
designation for the endangered resources program, the designation is void.
(f) Void designation. If a designation for the endangered resources program is void, the department of revenue shall disregard the designation and determine amounts due, owed, refunded
and received without regard to the void designation.
(g) Tax return. The secretary of revenue shall provide a place
for the designations under this subsection on the individual income tax return.
(h) Certification of amounts. Annually, on or before September 15, the secretary of revenue shall certify to the department of
natural resources and the department of administration:
1. The total amount of the administrative costs, including
data processing costs, incurred by the department of revenue in
administering this subsection during the previous fiscal year.
3. The total amount received from all designations for the endangered resources program made by taxpayers during the previous fiscal year.
4. The net amount remaining after the administrative costs,
including data processing costs, under subd. 1. are subtracted
from the total received under subd. 3.
5. From the moneys received from designations for the en-

dangered resources program, an amount equal to the sum of administrative expenses, including data processing costs, certified
under subd. 1. shall be deposited in the general fund and credited
to the appropriation under s. 20.566 (1) (hp), and the net amount
remaining certified under subd. 4. shall be deposited in the conservation fund and credited to the appropriation under s. 20.370
(1) (fs).
6. Amounts designated for the endangered resources program under this subsection are not subject to refund to the taxpayer unless the taxpayer submits information to the satisfaction
of the department within 18 months after the date taxes are due or
the date the return is filed, whichever is later, that the amount designated is clearly in error. Any refund granted by the department
of revenue under this subdivision shall be deducted from the
moneys received under this subsection in the fiscal year that the
refund is certified.
(5f) CANCER RESEARCH PROGRAM. (a) Definitions. In this
subsection:
1. “Cancer research program” means the program under s.
255.055 that provides moneys for cancer research and the payment of administrative expenses related to the administration of
this subsection.
2. “Department” means the department of revenue.
(b) Voluntary payments. 1. ‘Designation on return.’ Subject
to sub. (5s), every individual filing an income tax return who has
a tax liability or is entitled to a tax refund may designate on the
return any amount of additional payment or any amount of a refund due that individual for the cancer research program.
2. ‘Designation added to tax owed.’ If the individual owes
any tax, the individual shall remit in full the tax due and the
amount designated on the return for the cancer research program
when the individual files a tax return.
3. ‘Designation deducted from refund.’ Except as provided
in par. (d), if the individual is owed a refund for that year after
crediting under ss. 71.75 (9) and 71.80 (3), the department of revenue shall deduct the amount designated on the return for the cancer research program from the amount of the refund.
(c) Errors; failure to remit correct amount. If an individual
who owes taxes fails to remit an amount equal to or in excess of
the total of the actual tax due, after error corrections, and the
amount designated on the return for the cancer research program:
1. The department shall reduce the designation for the cancer
research program to reflect the amount remitted in excess of the
actual tax due, after error corrections, if the individual remitted
an amount in excess of the actual tax due, after error corrections,
but less than the total of the actual tax due, after error corrections,
and the amount originally designated on the return for the cancer
research program.
2. The designation for the cancer research program is void if
the individual remitted an amount equal to or less than the actual
tax due, after error corrections.
(d) Errors; insufficient refund. If an individual is owed a refund which does not equal or exceed the amount designated on
the return for the cancer research program, after crediting under
ss. 71.75 (9) and 71.80 (3) and after error corrections, the department shall reduce the designation for the cancer research program
to reflect the actual amount of the refund that the individual is
otherwise owed, after crediting under ss. 71.75 (9) and 71.80 (3)
and after error corrections.
(e) Conditions. If an individual places any conditions on a
designation for the cancer research program, the designation is
void.
(f) Void designation. If a designation for the cancer research
program is void, the department shall disregard the designation
and determine amounts due, owed, refunded, and received without regard to the void designation.
(g) Tax return. The secretary of revenue shall provide a place
for the designations under this subsection on the individual income tax return.
(h) Certification of amounts. Annually, on or before September 15, the secretary of revenue shall certify to the Board of Regents of the University of Wisconsin System, the Medical College
of Wisconsin, Inc., the department of administration, and the
state treasurer:
1. The total amount of the administrative costs, including
data processing costs, incurred by the department in administering this subsection during the previous fiscal year.
2. The total amount received from all designations for the
cancer research program made by taxpayers during the previous
fiscal year.
3. The net amount remaining after the administrative costs,
including data processing costs, under subd. 1. are subtracted
from the total received under subd. 2.
(i) Appropriations. From the moneys received from designations for the cancer research program, an amount equal to the sum
of administrative expenses, including data processing costs, certified under par. (h) 1. shall be deposited in the general fund and
credited to the appropriation account under s. 20.566 (1) (hp) ,
and, of the net amount remaining that is certified under par. (h)
3., an amount equal to 50 percent shall be credited to the appropriation account under s. 20.250 (2) (g) and an amount equal to
50 percent shall be credited to the appropriation account under s.
20.285 (1) (k) for cancer research conducted by the University of
Wisconsin Carbone Cancer Center.
(j) Amounts subject to refund. Amounts designated for the
cancer research program under this subsection are not subject to
refund to the taxpayer unless the taxpayer submits information to
the satisfaction of the department, within 18 months after the
date on which the taxes are due or the date on which the return is
filed, whichever is later, that the amount designated is clearly in
error. Any refund granted by the department under this paragraph shall be deducted from the moneys received under this subsection in the fiscal year for which the refund is certified.
(5g) VETERANS TRUST FUND DONATIONS. (a) Definitions.
In this subsection:
1. “Department” means the department of revenue.
2. “Veterans trust fund” means the fund under s. 25.36.
(b) Voluntary payments. 1. ‘Designation on return.’ Subject
to sub. (5s), every individual filing an income tax return who has
a tax liability or is entitled to a tax refund may designate on the
return any amount of additional payment or any amount of a refund due that individual as a veterans trust fund donation.
2. ‘Designation added to tax owed.’ If the individual owes
any tax, the individual shall remit in full the tax due and the
amount designated on the return as a veterans trust fund donation
when the individual files a tax return.
3. ‘Designation deducted from refund.’ Except as provided
in par. (d), if the individual is owed a refund for that year after
crediting under ss. 71.75 (9) and 71.80 (3) and (3m), the department of revenue shall deduct the amount designated on the return
as a veterans trust fund donation from the amount of the refund.
(c) Errors; failure to remit correct amount. If an individual
who owes taxes fails to remit an amount equal to or in excess of
the total of the actual tax due, after error corrections, and the
amount designated on the return as a veterans trust fund
donation:
1. The department shall reduce the designation for the veterans trust fund to reflect the amount remitted in excess of the ac-

tual tax due, after error corrections, if the individual remitted an
amount in excess of the actual tax due, after error corrections, but
less than the total of the actual tax due, after error corrections,
and the amount originally designated on the return as a veterans
trust fund donation.
2. The designation for the veterans trust fund donation is
void if the individual remitted an amount equal to or less than the
actual tax due, after error corrections.
(d) Errors; insufficient refund. If an individual is owed a refund which does not equal or exceed the amount designated on
the return as a veterans trust fund donation, after crediting under
ss. 71.75 (9) and 71.80 (3) and (3m) and after error corrections,
the department shall reduce the designation for the veterans trust
fund donation to reflect the actual amount of the refund that the
individual is otherwise owed, after crediting under ss. 71.75 (9)
and 71.80 (3) and (3m) and after error corrections.
(e) Conditions. If an individual places any conditions on a
designation for the veterans trust fund donation, the designation
is void.
(f) Void designation. If a designation for the veterans trust
fund donation is void, the department shall disregard the designation and determine amounts due, owed, refunded, and received
without regard to the void designation.
(g) Tax return. The secretary of revenue shall provide a place
for the designations under this subsection on the individual income tax return.
(h) Certification of amounts. Annually, on or before September 15, the secretary of revenue shall certify to the department of
veterans affairs, the department of administration, and the state
treasurer:
1. The total amount of the administrative costs, including
data processing costs, incurred by the department in administering this subsection during the previous fiscal year.
2. The total amount received from all designations for veterans trust fund donations made by taxpayers during the previous
fiscal year.
3. The net amount remaining after the administrative costs,
including data processing costs, under subd. 1. are subtracted
from the total received under subd. 2.
(i) Appropriations. From the moneys received from designations for veterans trust fund donations, an amount equal to the
sum of administrative expenses, including data processing costs,
certified under par. (h) 1. shall be deposited into the general fund
and credited to the appropriation account under s. 20.566 (1)
(hp), and the net amount remaining that is certified under par. (h)
3. shall be deposited into the veterans trust fund and used for veterans programs under s. 25.36 (1).
(j) Amounts subject to refund. Amounts designated as veterans trust fund donations under this subsection are not subject to
refund to the taxpayer unless the taxpayer submits information to
the satisfaction of the department, within 18 months after the
date on which the taxes are due or the date on which the return is
filed, whichever is later, that the amount designated is clearly in
error. Any refund granted by the department under this paragraph shall be deducted from the moneys received under this subsection in the fiscal year for which the refund is certified.
(5i) MILITARY FAMILY RELIEF FUND CHECKOFF. (a) Definitions. In this subsection:
1. “Department” means the department of revenue.
2. “Military family relief fund” means the fund under s.
25.38.
(b) Voluntary payments. 1. ‘Designation on return.’ Subject
to sub. (5s), every individual filing an income tax return who has
a tax liability or is entitled to a tax refund may designate on the
return any amount of additional payment or any amount of a refund due that individual for the military family relief fund.
2. ‘Designation added to tax owed.’ If the individual owes
any tax, the individual shall remit in full the tax due and the
amount designated on the return for the military family relief
fund when the individual files a tax return.
3. ‘Designation deducted from refund.’ Except as provided
in par. (d), if the individual is owed a refund for that year after
crediting under ss. 71.75 (9) and 71.80 (3) and (3m), the department shall deduct the amount designated on the return for the
military family relief fund from the amount of the refund.
(c) Errors; failure to remit correct amount. If an individual
who owes taxes fails to remit an amount equal to or in excess of
the total of the actual tax due, after error corrections, and the
amount designated on the return for the military family relief
fund:
1. The department shall reduce the designation for the military family relief fund to reflect the amount remitted in excess of
the actual tax due, after error corrections, if the individual remitted an amount in excess of the actual tax due, after error corrections, but less than the total of the actual tax due, after error corrections, and the amount originally designated on the return for
the military family relief fund.
2. The designation for the military family relief fund is void
if the individual remitted an amount equal to or less than the actual tax due, after error corrections.
(d) Errors; insufficient refund. If an individual is owed a refund that does not equal or exceed the amount designated on the
return for the military family relief fund, after crediting under ss.
71.75 (9) and 71.80 (3) and (3m) and after error corrections, the
department shall reduce the designation for the military family
relief fund to reflect the actual amount of the refund that the individual is otherwise owed, after crediting under ss. 71.75 (9) and
71.80 (3) and (3m) and after error corrections.
(e) Conditions. If an individual places any conditions on a
designation for the military family relief fund, the designation is
void.
(f) Void designation. If a designation for the military family
relief fund is void, the department shall disregard the designation
and determine amounts due, owed, refunded, and received without regard to the void designation.
(g) Tax return. The secretary of revenue shall provide a place
for the designations under this subsection on the individual income tax return.
(h) Certification of amounts. Annually, on or before September 15, the secretary of revenue shall certify to the department of
military affairs, the department of administration, and the state
treasurer all of the following:
1. The total amount of the administrative costs, including
data processing costs, incurred by the department in administering this subsection during the previous fiscal year.
2. The total amount received from all designations for the
military family relief fund made by taxpayers during the previous
fiscal year.
3. The net amount remaining after the administrative costs,
including data processing costs, under subd. 1. are subtracted
from the total received under subd. 2.
(i) Appropriations. From the moneys received from designations for the military family relief fund, an amount equal to the
sum of administrative expenses, including data processing costs,
certified under par. (h) 1. shall be deposited in the general fund
and credited to the appropriation account under s. 20.566 (1)
(hp), and the net amount remaining that is certified under par. (h)

3. shall be deposited in the military family relief fund and credited to the appropriation under s. 20.465 (2) (r).
(j) Amounts subject to refund. Amounts designated for the
military family relief fund under this subsection are not subject to
refund to the taxpayer unless the taxpayer submits information to
the satisfaction of the department, within 18 months after the
date on which the taxes are due or the date on which the return is
filed, whichever is later, that the amount designated is clearly in
error. Any refund granted by the department under this paragraph shall be deducted from the moneys received under this subsection in the fiscal year for which the refund is certified.
(5j) FEEDING A MERICA; S ECOND H ARVEST FOOD BANKS
CHECKOFF. (a) Definitions. In this subsection:
1. “Department” means the department of revenue.
2. “Second Harvest” means Second Harvest food banks in
Wisconsin that are members of Feeding America.
(b) Voluntary payments. 1. ‘Designation on return.’ Subject
to sub. (5s), every individual filing an income tax return who has
a tax liability or is entitled to a tax refund may designate on the
return any amount of additional payment or any amount of a refund due that individual for Second Harvest.
2. ‘Designation added to tax owed.’ If the individual owes
any tax, the individual shall remit in full the tax due and the
amount designated on the return for Second Harvest when the individual files a tax return.
3. ‘Designation deducted from refund.’ Except as provided
in par. (d), if the individual is owed a refund for that year after
crediting under ss. 71.75 (9) and 71.80 (3) and (3m), the department shall deduct the amount designated on the return for Second
Harvest from the amount of the refund.
(c) Errors; failure to remit correct amount. If an individual
who owes taxes fails to remit an amount equal to or in excess of
the total of the actual tax due, after error corrections, and the
amount designated on the return for Second Harvest:
1. The department shall reduce the designation for Second
Harvest to reflect the amount remitted in excess of the actual tax
due, after error corrections, if the individual remitted an amount
in excess of the actual tax due, after error corrections, but less
than the total of the actual tax due, after error corrections, and the
amount originally designated on the return for Second Harvest.
2. The designation for Second Harvest is void if the individual remitted an amount equal to or less than the actual tax due, after error corrections.
(d) Errors; insufficient refund. If an individual is owed a refund that does not equal or exceed the amount designated on the
return for Second Harvest, after crediting under ss. 71.75 (9) and
71.80 (3) and (3m) and after error corrections, the department
shall reduce the designation for Second Harvest to reflect the actual amount of the refund that the individual is otherwise owed,
after crediting under ss. 71.75 (9) and 71.80 (3) and (3m) and after error corrections.
(e) Conditions. If an individual places any conditions on a
designation for Second Harvest, the designation is void.
(f) Void designation. If a designation for Second Harvest is
void, the department shall disregard the designation and determine amounts due, owed, refunded, and received without regard
to the void designation.
(g) Tax return. The secretary of revenue shall provide a place
for the designations under this subsection on the individual income tax return.
(h) Certification of amounts. Annually, on or before September 15, the secretary of revenue shall certify to the department of
administration and the state treasurer all of the following:
1. The total amount of the administrative costs, including
data processing costs, incurred by the department in administering this subsection during the previous fiscal year.
2. The total amount received from all designations for Second Harvest made by taxpayers during the previous fiscal year.
3. The net amount remaining after the administrative costs,
including data processing costs, under subd. 1. are subtracted
from the total received under subd. 2.
(i) Appropriations. From the moneys received from designations for Second Harvest, an amount equal to the sum of administrative expenses, including data processing costs, certified under
par. (h) 1. shall be deposited in the general fund and credited to
the appropriation account under s. 20.566 (1) (hp) , and the department shall annually pay the following percentages of the net
amount remaining that is certified under par. (h) 3. from the appropriation under s. 20.855 (4) (ge):
1. Sixty-five percent to Second Harvest that is located in the
city of Milwaukee.
2. Twenty percent to Second Harvest that is located in the
city of Madison.
3. Fifteen percent to Second Harvest that is located in the
city of Eau Claire.
(j) Amounts subject to refund. Amounts designated for Second Harvest under this subsection are not subject to refund to the
taxpayer unless the taxpayer submits information to the satisfaction of the department, within 18 months after the date on which
the taxes are due or the date on which the return is filed, whichever is later, that the amount designated is clearly in error. Any
refund granted by the department under this paragraph shall be
deducted from the moneys received under this subsection in the
fiscal year for which the refund is certified.
(5k) AMERICAN RED C ROSS, B ADGER C HAPTER CHECKOFF.
(a) Definitions. In this subsection:
1. “Badger Chapter” means the Badger Chapter of the American Red Cross.
2. “Department” means the department of revenue.
(b) Voluntary payments. 1. ‘Designation on return.’ Subject
to sub. (5s), every individual filing an income tax return who has
a tax liability or is entitled to a tax refund may designate on the
return any amount of additional payment or any amount of a refund due that individual for the Badger Chapter.
2. ‘Designation added to tax owed.’ If the individual owes
any tax, the individual shall remit in full the tax due and the
amount designated on the return for the Badger Chapter when the
individual files a tax return.
3. ‘Designation deducted from refund.’ Except as provided
in par. (d), if the individual is owed a refund for that year after
crediting under ss. 71.75 (9) and 71.80 (3) and (3m), the department shall deduct the amount designated on the return for the
Badger Chapter from the amount of the refund.
(c) Errors; failure to remit correct amount. If an individual
who owes taxes fails to remit an amount equal to or in excess of
the total of the actual tax due, after error corrections, and the
amount designated on the return for the Badger Chapter:
1. The department shall reduce the designation for the Badger Chapter to reflect the amount remitted in excess of the actual
tax due, after error corrections, if the individual remitted an
amount in excess of the actual tax due, after error corrections, but
less than the total of the actual tax due, after error corrections,
and the amount originally designated on the return for the Badger
Chapter.
2. The designation for the Badger Chapter is void if the individual remitted an amount equal to or less than the actual tax due,
after error corrections.
(d) Errors; insufficient refund. If an individual is owed a re-

fund that does not equal or exceed the amount designated on the
return for the Badger Chapter, after crediting under ss. 71.75 (9)
and 71.80 (3) and (3m) and after error corrections, the department shall reduce the designation for the Badger Chapter to reflect the actual amount of the refund that the individual is otherwise owed, after crediting under ss. 71.75 (9) and 71.80 (3) and
(3m) and after error corrections.
(e) Conditions. If an individual places any conditions on a
designation for the Badger Chapter, the designation is void.
(f) Void designation. If a designation for the Badger Chapter
is void, the department shall disregard the designation and determine amounts due, owed, refunded, and received without regard
to the void designation.
(g) Tax return. The secretary of revenue shall provide a place
for the designations under this subsection on the individual income tax return.
(h) Certification of amounts. Annually, on or before September 15, the secretary of revenue shall certify to the department of
health services, the department of administration, and the state
treasurer all of the following:
1. The total amount of the administrative costs, including
data processing costs, incurred by the department in administering this subsection during the previous fiscal year.
2. The total amount received from all designations for the
Badger Chapter made by taxpayers during the previous fiscal
year.
3. The net amount remaining after the administrative costs,
including data processing costs, under subd. 1. are subtracted
from the total received under subd. 2.
(i) Appropriations. From the moneys received from designations for the Badger Chapter, an amount equal to the sum of administrative expenses, including data processing costs, certified
under par. (h) 1. shall be deposited in the general fund and credited to the appropriation account under s. 20.566 (1) (hp), and the
net amount remaining that is certified under par. (h) 3. shall be
credited to the appropriation under s. 20.855 (4) (gd) and the department shall annually pay that certified net amount to the Badger Chapter for its Wisconsin Disaster Relief Fund.
(j) Amounts subject to refund. Amounts designated for the
Badger Chapter under this subsection are not subject to refund to
the taxpayer unless the taxpayer submits information to the satisfaction of the department, within 18 months after the date on
which the taxes are due or the date on which the return is filed,
whichever is later, that the amount designated is clearly in error.
Any refund granted by the department under this paragraph shall
be deducted from the moneys received under this subsection in
the fiscal year for which the refund is certified.
(5km) SPECIAL OLYMPICS WISCONSIN CHECKOFF. (a) Definitions. In this subsection:
1. “Department” means the department of revenue.
2. “Special Olympics” means the Special Olympics Wisconsin, Inc.
(b) Voluntary payments. 1. ‘Designation on return.’ Subject
to sub. (5s), every individual filing an income tax return who has
a tax liability or is entitled to a tax refund may designate on the
return any amount of additional payment or any amount of a refund due that individual for the Special Olympics.
2. ‘Designation added to tax owed.’ If the individual owes
any tax, the individual shall remit in full the tax due and the
amount designated on the return for the Special Olympics when
the individual files a tax return.
3. ‘Designation deducted from refund.’ Except as provided
in par. (d), if the individual is owed a refund for that year after
crediting under ss. 71.75 (9) and 71.80 (3) and (3m), the department shall deduct the amount designated on the return for the
Special Olympics from the amount of the refund.
(c) Errors; failure to remit correct amount. If an individual
who owes taxes fails to remit an amount equal to or in excess of
the total of the actual tax due, after error corrections, and the
amount designated on the return for the Special Olympics:
1. The department shall reduce the designation for the Special Olympics to reflect the amount remitted in excess of the actual tax due, after error corrections, if the individual remitted an
amount in excess of the actual tax due, after error corrections, but
less than the total of the actual tax due, after error corrections,
and the amount originally designated on the return for the Special
Olympics.
2. The designation for the Special Olympics is void if the individual remitted an amount equal to or less than the actual tax
due, after error corrections.
(d) Errors; insufficient refund. If an individual is owed a refund that does not equal or exceed the amount designated on the
return for the Special Olympics, after crediting under ss. 71.75
(9) and 71.80 (3) and (3m) and after error corrections, the department shall reduce the designation for the Special Olympics to reflect the actual amount of the refund that the individual is otherwise owed, after crediting under ss. 71.75 (9) and 71.80 (3) and
(3m) and after error corrections.
(e) Conditions. If an individual places any conditions on a
designation for the Special Olympics, the designation is void.
(f) Void designation. If a designation for the Special
Olympics is void, the department shall disregard the designation
and determine amounts due, owed, refunded, and received without regard to the void designation.
(g) Tax return. The secretary of revenue shall provide a place
for the designations under this subsection on the individual income tax return.
(h) Certification of amounts. Annually, on or before September 15, the secretary of revenue shall certify to the department of
administration and the state treasurer all of the following:
1. The total amount of the administrative costs, including
data processing costs, incurred by the department in administering this subsection during the previous fiscal year.
2. The total amount received from all designations for the
Special Olympics made by taxpayers during the previous fiscal
year.
3. The net amount remaining after the administrative costs,
including data processing costs, under subd. 1. are subtracted
from the total received under subd. 2.
(i) Appropriations. From the moneys received from designations for the Special Olympics, an amount equal to the sum of administrative expenses, including data processing costs, certified
under par. (h) 1. shall be deposited in the general fund and credited to the appropriation account under s. 20.566 (1) (hp), and the
net amount remaining that is certified under par. (h) 3. shall be
credited to the appropriation under s. 20.255 (3) (ge).
(j) Amounts subject to refund. Amounts designated for the
Special Olympics under this subsection are not subject to refund
to the taxpayer unless the taxpayer submits information to the satisfaction of the department, within 18 months after the date on
which the taxes are due or the date on which the return is filed,
whichever is later, that the amount designated is clearly in error.
Any refund granted by the department under this paragraph shall
be deducted from the moneys received under this subsection in
the fiscal year for which the refund is certified.
(5m) MULTIPLE SCLEROSIS PROGRAMS CHECKOFF. (a) Definitions. In this subsection:
1. “Department” means the department of revenue.

2. “Society” means the National Multiple Sclerosis Society.
(b) Voluntary payments. 1. ‘Designation on return.’ Subject
to sub. (5s), every individual filing an income tax return who has
a tax liability or is entitled to a tax refund may designate on the
return any amount of additional payment or any amount of a refund due that individual for programs for people with multiple
sclerosis.
2. ‘Designation added to tax owed.’ If the individual owes
any tax, the individual shall remit in full the tax due and the
amount designated on the return for programs for people with
multiple sclerosis when the individual files a tax return.
3. ‘Designation deducted from refund.’ Except as provided
in par. (d), if the individual is owed a refund for that year after
crediting under ss. 71.75 (9) and 71.80 (3) and (3m), the department shall deduct the amount designated on the return for programs for people with multiple sclerosis from the amount of the
refund.
(c) Errors; failure to remit correct amount. If an individual
who owes taxes fails to remit an amount equal to or in excess of
the total of the actual tax due, after error corrections, and the
amount designated on the return for programs for people with
multiple sclerosis:
1. The department shall reduce the designation for programs
for people with multiple sclerosis to reflect the amount remitted
in excess of the actual tax due, after error corrections, if the individual remitted an amount in excess of the actual tax due, after error corrections, but less than the total of the actual tax due, after
error corrections, and the amount originally designated on the return for programs for people with multiple sclerosis.
2. The designation for programs for people with multiple
sclerosis is void if the individual remitted an amount equal to or
less than the actual tax due, after error corrections.
(d) Errors; insufficient refund. If an individual is owed a refund that does not equal or exceed the amount designated on the
return for programs for people with multiple sclerosis, after crediting under ss. 71.75 (9) and 71.80 (3) and (3m) and after error
corrections, the department shall reduce the designation for programs for people with multiple sclerosis to reflect the actual
amount of the refund that the individual is otherwise owed, after
crediting under ss. 71.75 (9) and 71.80 (3) and (3m) and after error corrections.
(e) Conditions. If an individual places any conditions on a
designation for programs for people with multiple sclerosis, the
designation is void.
(f) Void designation. If a designation for programs for people
with multiple sclerosis is void, the department shall disregard the
designation and determine amounts due, owed, refunded, and received without regard to the void designation.
(g) Tax return. The secretary of revenue shall provide a place
for the designations under this subsection on the individual income tax return.
(h) Certification of amounts. Annually, on or before September 15, the secretary of revenue shall certify to the society, the department of administration, and the state treasurer all of the
following:
1. The total amount of the administrative costs, including
data processing costs, incurred by the department in administering this subsection during the previous fiscal year.
2. The total amount received from all designations for programs for people with multiple sclerosis made by taxpayers during the previous fiscal year.
3. The net amount remaining after the administrative costs,
including data processing costs, under subd. 1. are subtracted
from the total received under subd. 2.
(i) Appropriations, disbursement of funds to the society.
From the moneys received from designations for programs for
people with multiple sclerosis, an amount equal to the sum of administrative expenses, including data processing costs, certified
under par. (h) 1. shall be deposited in the general fund and credited to the appropriation account under s. 20.566 (1) (hp), and the
net amount remaining that is certified under par. (h) 3. shall be
forwarded to the society, for disbursement under par. (k).
(j) Amounts subject to refund. Amounts designated for programs for people with multiple sclerosis under this subsection are
not subject to refund to the taxpayer unless the taxpayer submits
information to the satisfaction of the department, within 18
months after the date on which the taxes are due or the date on
which the return is filed, whichever is later, that the amount designated is clearly in error. Any refund granted by the department
under this paragraph shall be deducted from the moneys received
under this subsection in the fiscal year for which the refund is
certified.
(k) Disbursements by the society. The society shall disburse
all of the funds that it receives under par. (i) to entities located in
Wisconsin that operate health-related programs for people with
multiple sclerosis, and the entities that receive the funds shall
pledge to the society that they will use the money they receive
solely for health-related programs for people with multiple sclerosis in Wisconsin.
(L) Report to legislature, governor. Not later than January 1,
2007, and annually thereafter, the society shall prepare a report
detailing the entities to which the society distributed funds under
par. (k), the amount of money each entity received, and the
health-related multiple sclerosis programs on which the money
was spent. The report shall be distributed to the appropriate
standing committees of the legislature in the manner provided
under s. 13.172 (3) and to the governor.
(5s) LIMITATIONS ON CHECKOFFS. (a) For taxable years beginning after December 31, 2011, individuals may not have the
option of making a designation to more than 10 individual income checkoffs and the department may not place more than 10
checkoffs on the income tax form.
(b) For taxable years beginning after December 31, 2011,
there may be no individual income tax checkoffs of a temporary
nature.
(c) Beginning in September 2014, based on the amounts certified by the secretary of revenue in August or September 2013,
and 2014, as specified in subs. (5) (h), (5f) (h), (5g) (h), (5i) (h),
(5j) (h), (5k) (h), (5km) (h), and (5m) (h), and for every 2-year period thereafter, the secretary of revenue shall rank the checkoffs
based on the total amount of designations received for each
checkoff for each 2-year period. For each 2-year period, beginning with 2014, the secretary of revenue shall rank every checkoff that is created under this section.
(d) 1. If more than 11 checkoffs exist under this section after
August 14, 2014, and every 2 years thereafter, only the 8 highest
ranking checkoffs for which designations were made in the previous 2-year period may appear on the income tax form for the next
2 taxable years.
2. The remaining 2 checkoffs for which designations may be
made and which shall be placed on the income tax form for the
next 2 taxable years, in place of the 2 lowest ranking checkoffs,
shall be checkoffs that have not received any designations during
the previous 2-year period.
3. The 2 remaining checkoffs, described under subd. 2., shall
be the 2 oldest checkoffs, based on the date each checkoff was
placed on a list of checkoffs, maintained by the department, that
are eligible to be placed on the form. If 2 or more checkoffs have

been placed on the list at the same time, the oldest checkoff shall
then be calculated according to their effective dates.
4. If 10 checkoffs exist under this section after August 14,
2014, those 10 checkoffs may appear on the income tax form for
the next 2 taxable years.
5. If 11 checkoffs exist under this section after August 14,
2014, only the 9 highest ranking checkoffs for which designations
were made in the previous 2-year period may appear on the income tax form for the next 2 taxable years. The remaining checkoff for which designations may be made and which shall be
placed on the income tax form for the next 2 taxable years, in
place of the lowest ranking checkoff, shall be a checkoff that has
not received any designations during the previous 2-year period.
This last checkoff shall be selected using the method described
under subd. 3.
(e) For any taxable year that begins after December 31, 2014,
individuals may not make a designation for any checkoff which
did not generate at least an average of $50,000 of designations per
year over the most recent 3-year period as certified by the secretary of revenue under subs. (5) (h) 3., (5f) (h) 2., (5g) (h) 2., (5i)
(h) 2., (5j) (h) 2., (5k) (h) 2., (5km) (h) 2., and (5m) (h) 2. Once
a checkoff is affected by this paragraph, no further checkoffs may
be designated to that checkoff in any taxable year.
(5w) ANATOMICAL GIFT. (a) For taxable years beginning after December 31, 2023, the department shall place on the income
tax form all of the following:
1. A question as to whether the individual filing the income
tax return wishes to include his or her name as a donor of an
anatomical gift in the record of potential donors maintained by
the department of transportation.
2. A statement that an affirmative response to the question
under subd. 1. authorizes an anatomical gift under s. 157.06.
3. A statement that the individual is not required to respond
to the question under subd. 1. in order to file the income tax return and pay taxes or receive a refund.
4. A statement that the purpose of maintaining the record of
potential donors is to facilitate the determination of whether an
individual is a potential donor in the event of his or her death.
5. A statement that the individual must be a resident who is
at least 15 years of age or an emancipated minor to include his or
her name as a donor of an anatomical gift in the record of potential donors maintained by the department of transportation.
(b) 1. If a resident individual answers the question regarding
anatomical gifts under par. (a) 1. in the affirmative, the department shall transmit to the department of transportation that authorization along with any other information about the individual
that the department of health services determines to be necessary
under s. 157.06 (20).
2. Persons authorizing anatomical gifts under this subsection
remain subject to s. 157.06.
(6) MARRIED PERSONS. (a) Joint returns. Persons filing a
joint return are jointly and severally liable for the tax, interest,
penalties, fees, additions to tax and additional assessments under
this chapter applicable to the return. Except as provided in par.
(e), a person shall be relieved of liability in regard to a joint return
in the manner specified in section 6015 (a) to (d) and (f) of the Internal Revenue Code.
(b) Separate returns. Except as provided in par. (e), a spouse
filing a separate return may be relieved of liability for the tax, interest, penalties, fees, additions to tax and additional assessments
under this chapter in the manner specified in section 66 (c) of the
Internal Revenue Code. The department may not apply ch. 766 in
assessing a taxpayer with respect to marital property income the
taxpayer did not report if that taxpayer failed to notify the taxpayer’s spouse about the amount and nature of the income before
the due date, including extensions, for filing the return for the taxable year in which the income was derived. The department shall
include all of that marital property income in the gross income of
the taxpayer and exclude all of that marital property income from
the gross income of the taxpayer’s spouse.
(c) Marital property agreements. The department of revenue
shall notify a taxpayer whose separate return is under audit that a
marital property agreement or unilateral statement under ch. 766
is effective for tax purposes for any period during which both
spouses are domiciled in this state only if it is filed with the department before any assessment resulting from the audit is issued.
A marital property agreement or unilateral statement under ch.
766 does not affect the determination of the income that is taxable by this state, or of the person who is required to report taxable income to this state, during the period that one or both
spouses are not domiciled in this state or if it was not filed with
the department before an assessment was issued.
(d) Part-year residents and nonresidents. If a spouse is not
domiciled in this state for the entire taxable year, the tax liability
and reporting obligation of both spouses during the period a
spouse is not domiciled in this state shall be determined without
regard to ch. 766 except as provided in this chapter.
(e) Application for relief. A person who seeks relief from liability under par. (a) or (b) shall apply for relief with the department, on a form prescribed by the department, within 2 years after the date on which the department first begins collection activities after July 27, 2005.
(6m) RETURNS OF FORMERLY MARRIED AND REMARRIED
PERSONS. (a) Except as provided in par. (c), a formerly married
or remarried person filing a return for a period during which the
person was married may be relieved of liability for the tax, interest, penalties, fees, additions to tax and additional assessments
under this chapter from that period as if the person were a spouse
under section 66 (c) of the Internal Revenue Code. The department may not apply ch. 766 in assessing the former spouse of the
person with respect to marital property income that the former
spouse did not report if that former spouse failed to notify the person about the amount and nature of the income before the due
date, including extensions, for filing the return for the taxable
year during which the income was derived. The department shall
include all of that marital property income in the gross income of
the former spouse and exclude all of that marital property income
from the gross income of the person.
(b) The department may not apply ch. 766 or s. 71.55 (1),
71.61 (1) or 71.80 (3) or (3m) to collect from an individual for
any tax liability owed to the department by the individual or by
the former spouse of the individual if a judgment of divorce under
ch. 767 apportions that liability to the former spouse of the individual and if the individual includes with his or her tax return a
copy of that portion of the judgment of divorce that relates to the
apportionment of tax liability.
(c) A person who seeks relief from liability under par. (a)
shall apply for relief with the department as provided under sub.
(6) (e).
(7) MINNESOTA INCOME TAX RECIPROCITY. (a) For purposes
of income tax reciprocity reached with the state of Minnesota under s. 71.05 (2), whenever the income taxes on residents of one
state which would have been paid to the 2nd state without reciprocity exceed the income taxes on residents of the 2nd state
which would have been paid to the first state without reciprocity,
the state with the net revenue loss shall receive from the other
state the amount of the loss. Interest shall be payable on all delinquent balances relating to taxable years beginning after the first
December 31 after the date identified in the notice under 2023
Wisconsin Act 147, section 4 (2). The secretary of revenue may

enter into agreements with the state of Minnesota specifying the
reciprocity payment due date, conditions constituting delinquency, interest rates and the method of computing interest due
on any delinquent amounts.
(b) The data used for computing the loss to either state shall
be determined by the respective departments of revenue of both
states on or before November 1 of the year following the close of
the previous calendar year. If an agreement cannot be reached as
to the amount of the loss, the secretary of revenue of this state and
the commissioner of taxation of the state of Minnesota shall each
appoint a member of a board of arbitration and these members
shall appoint a 3rd member of the board. The board shall select
one of its members as chairperson. The board may administer
oaths, take testimony, subpoena witnesses and require their attendance, require the production of books, papers and documents
and hold hearings at such places as it deems necessary. The
board shall then make a determination as to the amount to be paid
the other state which shall be conclusive. This state shall pay no
more than one-half of the cost of such arbitration.
(c) For taxable years beginning after the first December 31 after the date identified in the notice under 2023 Wisconsin Act
147, section 4 (2), this state shall pay Minnesota interest on any
reciprocity payment that is due under this subsection. Interest
shall be calculated according to the Laws of Minnesota 2002
Chapter 377, or at another rate and under another method of calculation that is agreed to by Minnesota and Wisconsin.
(d) 1. No agreement that is entered into under this subsection
on or after March 23, 2024, may take effect unless all of the following apply:
a. The agreement applies to wages, salaries, tips, and commissions received as an employee by persons who reside in this
state or Minnesota for at least 183 days during their taxable years
and who return to their state of residence at least once per month.
b. The agreement contains no expiration or termination date.
bm. The governor issues a written notice of approval of the
agreement no later than 90 days after being presented with the
agreement under subd. 1m.
cm. The agreement may take effect under subd. 1s.
1m. As soon as possible after the department reaches an
agreement with the state of Minnesota, the department shall
present the agreement to the governor and submit a copy of the
agreement to the legislature under s. 13.172 (2).
1s. After the governor issues a written notice of approval of
the agreement under subd. 1. bm., the department shall notify the
joint committee on finance in writing of the agreement. The
agreement may take effect if within 14 working days of the notification the committee does not schedule a meeting for the purpose
of reviewing the proposed agreement. If the committee schedules a meeting for the purpose of reviewing the agreement, the
agreement may not take effect unless the committee approves the
agreement.
2. a. This state may not make a payment under an agreement
entered into under this subsection for any taxable year ending before March 23, 2024.
b. An agreement entered into under this subsection may provide for making estimated payments during a year and for a final
payment for the year to be made after computing the amount of
the loss for the year as described in par. (b).
3. An agreement entered into under this subsection that takes
effect on or after March 23, 2024, may not be revised unless the
department notifies the joint committee on finance in writing of
the proposed revised agreement. The proposed revised agreement may take effect if within 14 working days of the notification
the committee does not schedule a meeting for the purpose of reviewing the proposed revised agreement. If the committee
schedules a meeting for the purpose of reviewing the proposed revised agreement, the proposed revised agreement may not take
effect unless the committee approves the proposed revised
agreement.
4. An agreement entered into under this subsection may require that a study be conducted no more than once every 5 years
to obtain information necessary to determine payments under this
subsection.
(7e) ILLINOIS INCOME TAX RECIPROCITY. (a) For purposes
of income tax reciprocity reached with the state of Illinois under
s. 71.05 (2), whenever the income taxes on residents of one state
which would have been paid to the 2nd state without reciprocity
exceed the income taxes on residents of the 2nd state which
would have been paid to the first state without reciprocity, the
state with the net revenue loss shall receive from the other state
the amount of the loss. Interest shall be payable on all delinquent
balances relating to taxable years beginning after December 31, 1999. The secretary of revenue may enter into agreements with the state of Illinois specifying the reciprocity payment
due date, conditions constituting delinquency, interest rates and
the method of computing interest due on any delinquent amounts.
(b) The data used for computing the loss to either state shall
be determined by the respective departments of revenue of both
states on or before December 1 of the year following the close of
the previous calendar year. If an agreement cannot be reached as
to the amount of the loss, the secretary of revenue of this state and
the director of taxation of the state of Illinois shall each appoint a
member of a board of arbitration and these members shall appoint a 3rd member of the board. The board shall select one of its
members as chairperson. The board may administer 

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