Read the full stored bill text
Wisconsin Legislature: AB1028: Bill Text
Skip navigation
Home
Documents
Senate
Assembly
Committees
Service Agencies
Docs
Options
Help
2025 Biennium
Statutes
Admin. Rules
Indices
Miscellaneous
Archives
Home
Bill, Rule, and Appointment Histories
Senators
Representatives
Committees
Text of Introduced Proposals
Amendment Text
Acts
Veto Messages
Enrolled Bills
Votes
Assembly and Senate Floor Calendars
Schedule of Committee Activities
Assembly and Senate Journals
Committee Records (ROCPs)
Legislative Rules
All Session-Related Documents
Subject Index to Acts
Subject Index to Legislation
Subject Index to Journals
Author Index to Legislation
Subject Index to Clearinghouse Rules
Miscellaneous Budget Documents
Executive Orders
Rulings of the Chair
Wisconsin Supreme Court Rules
Opinions of the Attorney General
Town Law Forms
Law
Districts
Session
Drafting Files
Feeds
Preferences
Show tree
Hide tree
Feedback
Help
Home
Senate Home
Senators
Committees
Session
Chief Clerk
Sergeant at Arms
Civics Education
Human Resources
Assembly Home
Representatives
Committees
Session
Chief Clerk
Sergeant at Arms
Human Resources
Schedule
Joint
Senate
Assembly
Study
Legislative Audit Bureau
Legislative Council
Legislative Fiscal Bureau
Legislative Human Resources Office
Legislative Reference Bureau
Legislative Technology Services Bureau
Menu
»
2025
»
Related Documents
»
Proposal Text
»
AB1028: Bill Text
Up
Up
2025 - 2026 LEGISLATURE
LRB-5353/1
EKL:cjs&cdc
2025 ASSEMBLY BILL 1028
February 6, 2026 - Introduced by Representatives
Clancy
,
Hong
,
Phelps
,
Madison
,
Tenorio
,
Rivera-Wagner
and
Sinicki
, cosponsored by Senator
Larson
. Referred to Committee on Ways and Means.
AB1028,1,4
1
An Act
to amend
chapter 77 (title);
to create
20.566 (1) (gh), 20.835 (4) (gh)
2
and subchapter XIV of chapter 77 [precedes 77.998] of the statutes;
relating
3
to:
authorizing counties and municipalities to impose local income taxes on
4
high-income taxpayers and making an appropriation.
Analysis by the Legislative Reference Bureau
This bill allows counties and municipalities to impose a local income tax on certain taxpayers by adopting an ordinance and having the ordinance approved by the electors of the county or municipality. Under the bill, a county or municipality may impose a tax on Wisconsin taxable income in excess of $1,000,000 for individuals and married couples who file jointly, or $500,000 for married individuals who file separately, if any of the following conditions are met:
1. The individual, or spouse if married filing jointly, resides in the county or municipality for at least 30 days during the taxable year.
2. The individual, or spouse if married filing jointly, owns residential property in the county or municipality for at least 30 days during the taxable year.
3. The individual, or spouse if married filing jointly, is physically present for employment purposes in the county or municipality for at least 30 days during the taxable year. If more than one county, or more than one municipality, qualify to tax an individual under this condition, only the county or municipality in which the individual, or spouse, is physically present for the greatest number of days may impose the tax.
The bill requires the county or municipality to specify in the ordinance both the rate of tax and the first taxable year in which the tax will be imposed. The bill specifies that if the ordinance is approved in the spring, the tax may be imposed no earlier than the taxable year in which the ordinance is approved, and if the ordinance is approved in the fall, the tax may be imposed no earlier than the following taxable year.
Under the bill, the local income tax is due on the day the state income tax return is due, without extension. Also, the bill requires that the county or municipality provide a credit for any local income tax paid on the same income to a locality in another state.
For further information see the state and local fiscal estimate, which will be printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do enact as follows:
AB1028,1
1
Section
1
.
20.005 (3) (schedule) of the statutes: at the appropriate place,
2
insert the following amounts for the purposes indicated:
-
See PDF for table
AB1028,2
8
Section
2
.
20.566 (1) (gh) of the statutes is created to read:
AB1028,2,14
9
20.566
(1)
(gh)
Administration of local income tax
. From the moneys
10
transferred from the appropriation account under s. 20.835 (4) (gh), the amounts in
11
the schedule for administering the local income tax under subch. XIV of ch. 77.
12
Notwithstanding s. 20.001 (3) (a), beginning with the 2026-27 fiscal year, at the end
13
of the fiscal year the unencumbered balance of this appropriation account lapses to
14
the general fund.
AB1028,3
1
Section
3
.
20.835 (4) (gh) of the statutes is created to read:
AB1028,3,7
2
20.835
(4)
(gh)
Local income tax
. All moneys received from the local income
3
tax imposed under subch. XIV of ch. 77, for distribution to the counties and
4
municipalities that enact an ordinance imposing the tax and for interest payments
5
on refunds under s. 77.9982 (5), except that 1.75 percent of the tax revenue collected
6
under that subchapter shall be credited to the appropriation account under s.
7
20.566 (1) (gh).
AB1028,4
8
Section
4
.
Chapter 77 (title) of the statutes is amended to read:
AB1028,3,22
9
CHAPTER 77
10
TAXATION OF FOREST
11
CROPLANDS; REAL ESTATE
12
TRANSFER FEES; SALES AND USE
13
TAXES; COUNTY, MUNICIPALITY,
14
AND SPECIAL DISTRICT SALES AND
15
USE TAXES; MANAGED FOREST LAND;
16
ECONOMIC DEVELOPMENT SURCHARGE;
17
LOCAL FOOD AND BEVERAGE TAX;
18
LOCAL RENTAL CAR TAX;
19
PREMIER RESORT AREA TAXES;
20
STATE RENTAL VEHICLE FEE; DRY
21
CLEANING FEES;
ELECTRIC VEHICLE
22
CHARGING TAX
; LOCAL INCOME TAX
AB1028,5
23
Section
5
.
Subchapter XIV of chapter 77 [precedes 77.998] of the statutes is
24
created to read:
AB1028,4,1
1
CHAPTER
77
AB1028,4,2
2
SUBCHAPTER XIV
AB1028,4,3
3
LOCAL INCOME TAX
AB1028,4,4
4
77.998 Imposition.
In this section:
AB1028,4,5
5
(1)
“Covered taxpayer” means any of the following:
AB1028,4,6
6
(a) A single individual whose Wisconsin taxable income exceeds $1,000,000.
AB1028,4,8
7
(b) A married couple, if filing jointly for purposes of the income tax imposed
8
under ch. 71, whose joint Wisconsin taxable income exceeds $1,000,000.
AB1028,4,10
9
(c) A married individual, if filing separately for purposes of the income tax
10
imposed under ch. 71, whose Wisconsin taxable income exceeds $500,000.
AB1028,4,11
11
(2)
“Wisconsin taxable income” has the meaning given in s. 71.01 (16).
AB1028,4,16
12
77.9981 Imposition. (1)
Notwithstanding s. 66.0611 and subject to subs. (2)
13
and (3), a county or municipality may impose a tax on the amount of a covered
14
taxpayer’s Wisconsin taxable income that exceeds $1,000,000, or $500,000 in the
15
case of a covered taxpayer described in s. 77.998 (1) (c), in the taxable year if any of
16
the following conditions are met:
AB1028,4,19
17
(a) For a covered taxpayer who is an individual described in s. 77.998 (1) (a) or
18
(c), the individual resides in the county or municipality for at least 30 days during
19
the taxable year.
AB1028,4,23
20
(b) For a covered taxpayer who is an individual described in s. 77.998 (1) (a) or
21
(c), the individual owns a residential property in the county or municipality for at
22
least 30 days during the taxable year, regardless of the number of days the
23
individual uses the residential property for personal use during the taxable year.
AB1028,5,7
24
(c) For a covered taxpayer who is an individual described in s. 77.998 (1) (a) or
1
(c), the individual is physically present for employment purposes in the county or
2
municipality for at least 30 days during the taxable year. If, during a taxable year,
3
a covered taxpayer is physically present for employment purposes in more than one
4
county, or more than one municipality, that imposes a tax under this subsection,
5
only the county, or municipality, in which the person is physically present for
6
employment purposes the greatest number of days during the taxable year may
7
impose the tax under this subsection on the covered taxpayer.
AB1028,5,9
8
(d) For a covered taxpayer that is a married couple described in s. 77.998 (1)
9
(b), either spouse meets a condition in par. (a), (b), or (c) during the taxable year.
AB1028,5,11
10
(2)
A county or municipality that imposes a tax under sub. (1) shall provide a
11
credit for local income tax paid on the same income to a locality in another state.
AB1028,5,18
12
(3)
(a) A county or municipality may impose a tax under this subchapter by
13
adopting an ordinance and having the ordinance approved by the electors of the
14
county or municipality at a referendum held at a spring primary or election or
15
partisan primary or general election and held no earlier than 70 days following
16
adoption of the ordinance. The ordinance shall specify the rate at which the county
17
or municipality will impose the tax on covered taxpayers and the first taxable year,
18
subject to par. (b), in which the tax will be imposed.
AB1028,5,22
19
(b) 1. A tax imposed under an ordinance approved at the spring primary or
20
election may be imposed no earlier than the taxable year in which the ordinance is
21
approved. A certified copy of the ordinance shall be delivered to the secretary of
22
revenue no later than June 30 of the year in which the ordinance is approved.
AB1028,6,3
23
2. A tax imposed under an ordinance approved at the fall primary or election
24
may be imposed no earlier than the taxable year following the taxable year in which
1
the ordinance is approved. A certified copy of the ordinance shall be delivered to the
2
secretary of revenue no later than December 31 of the year in which the ordinance
3
is approved.
AB1028,6,6
4
(c) A repeal of an ordinance shall be effective on December 31, and a copy of
5
the repeal ordinance shall be delivered to the secretary of revenue at least 120 days
6
before the effective date of the repeal.
AB1028,6,10
7
77.9982 Administration. (1)
The department of revenue shall levy, enforce,
8
and collect the tax imposed under this subchapter and may take any action, conduct
9
any proceeding, and impose interest and penalties. Any person liable for the tax
10
shall submit the tax amount with a form prescribed by the department.
AB1028,6,15
11
(2)
A covered taxpayer’s taxable year for the tax imposed under this
12
subchapter is the same as the covered taxpayer’s taxable year for the tax imposed
13
under ch. 71, and the tax imposed under this subchapter is due on the date on
14
which the covered taxpayer’s return under ch. 71 is due without regard to any
15
extension.
AB1028,6,19
16
(3)
The interest and penalty provisions under ss. 71.82 (1) (a) and (b) and (2)
17
(a) and (b), 71.83 (1) (a) 1., 2., and 7. and (b) 1., (2) (a) 1. to 3m. and (b) 1. to 3., and
18
(3), and 71.85, as they apply to the taxes under ch. 71, apply to the tax under this
19
subchapter.
AB1028,6,23
20
(4)
Sections 71.74 (1) to (3) and (9) to (15), 71.75 (1), (2), (4), (5), and (6) to (10),
21
71.76, 71.77, 71.78 (1) to (8), 71.80 (1) (a) to (d), (3), (3m), (6), (8) to (12), (14), and
22
(18), 71.87, 71.88, 71.89, 71.90, 71.91, and 71.93, as they apply to the taxes under
23
ch. 71, apply to the tax under this subchapter.
AB1028,7,11
24
(5)
From the appropriation under s. 20.835 (4) (gh), the department of
1
revenue shall distribute 98.25 percent of the tax collected under this subchapter for
2
each county or municipality to that county or municipality and shall indicate to the
3
county or municipality the tax reported by each covered taxpayer paying the tax in
4
that county or municipality, no later than the end of the month following the end of
5
the calendar quarter in which the amounts were collected. The tax distributed
6
shall be increased or decreased to reflect subsequent refunds, audit adjustments,
7
and all other adjustments. Interest paid on refunds of the tax under this
8
subchapter shall be paid from the appropriation under s. 20.835 (4) (gh) at the rate
9
under s. 77.60 (1) (a). Any county or municipality that receives a report along with
10
a distribution under this subsection is subject to the duties of confidentiality to
11
which the department of revenue is subject under s. 77.61 (5) and (6).
AB1028,7,12
12
(end)
Down
Down
/2025/related/proposals/ab1028
true
proposaltext
/2025/related/proposals/ab1028
proposaltext/2025/REG/AB1028
proposaltext/2025/REG/AB1028
section
true
Menu
»
2025
»
Related Documents
»
Proposal Text
»
AB1028: Bill Text
×
Details for
PDF view
Link
(Permanent link)
Bookmark this location
View toggle
Go to top of document
Search in this chapter
Search in this section
Search in this agency
Search in this chapter group
Search in this chapter
Search in this section
Cross references for section
Acts affecting this section
References to this
1970 Statutes Annotations
Appellate Court Citations
Administrative Code Index
Reference lines
Clear highlighting