New Wisconsin Income Tax Laws Passed in 2017
(Click above to view Wisconsin Tax Bulletin 199, October 2017)

Changes to Wisconsin Income Tax Laws Summarized
(Click above to view Wisconsin Tax Bulletin 200, January 2018)

Highlights from WTB #200 (see link above):

    Updated limits to ... deductions for Tuition, College Savings Account

    Changes to ... NOL Carryforwards/Carrybacks, Itemized Deduction Credit for Part-Year & Nonresidents

    Homestead Credit (see our coverage further down on this page)

    Veterans & Surviving Spouses Property Tax Credit - Sale/Purchase of Property

     

New 2017 Wisconsin Schedule I

    Significant changes to the format of Schedule I were made for 2017...
                     As a result, the layout of the instructions have been revised as well.
                     It will be interesting to see how tax software will adjust, if necessary.

    2017 Wisconsin Schedule I (PDF) (updated Jan 23, 2018, to reflect Federal Tax Cuts & Jobs Act)

    Instructions to the 2017 Wisconsin Schedule I (PDF) (updated first on Jan 23, then again on Feb 2, 2018)

     

Homestead Credit Changes, 2017

    Important change, beginning 2017...
                     One of the qualifications is ...
    “At least 18 years old on Dec 31, 2017”
                     NEW = If under age 62 and not disabled, claimant must have earned income to qualify

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        Homestead Instructions - Wisconsin Income Tax - 2017-Form1AandW

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        Disabled 2017-11-24 Sch H Instructions

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        Earned Income = 2017 Schedule H & H-EZ Instructions - Wisconsin Homestead Credit - 2017-S

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    How much income is required to meet the “earned income” qualification for Homestead Credit (from above)?                                

      • As long as the claimant has a positive amount of earned income, they meet this qualification for the homestead credit.”
        (WDOR response to us Nov 29, 2017)
         
      • Apparently, someone who otherwise qualified but only worked one day during the year would qualify!.  Or, worked one hour!
        In fact, someone could claim to have earned just $10 of self-employment income and would still qualify.

    New Schedule GL for Homestead Credit claimants who sold their home:


Other Changes Effective 2017

    Wisconsin follows Federal IRC as of 12/31/16 (with exceptions)

    Some Federal tax laws from 2014-2016 were adopted by Wisconsin.

    NOL after 9/22/2017 not allowed unless loss was computed on a return filed within 4 years. NOL carryback
    after 9/22/2017 not allowed unless loss is claimed within 4 years of year of loss.

    Form 1NPR Standard Deduction for Itemized Deduction Credit Revised

    Credit Limitation for Tax Paid to Other States Revised

    Adoption Expenses Revised for Purposes of the Deduction

    January 1 Birthday:

    2017-11-29 12_28_00-2017 I-111 Form 1 Instructions - 2017-Form1-Inst.pdf

     


Changes Effective 2018

    New limitations for Historic Rehabilitation Credits

    QCD from IRA - Same as Federal

    Research Tax Credit partially refundable

    Homestead Credit Limitations Revised
     

     

Changes Effective 2019

    Alternative Minimum Tax eliminated

 

Links to Other News

WDOR News for Tax Professionals (WDOR site)

WDOR News Articles for Individuals (WDOR site)

WDOR Online Services, Personal and Business (WDOR site)

Tax Practitioner Questions from 2016  - Answered by WDOR in 2017. (WDOR site)

Average Tax Preparation Fees (CPA Practice Advisor)

Driver’s License Required in Some States When E-Filing (Journal of Accountancy

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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