Assembly Bill 182 proposes significant changes to the low-income housing tax credit program administered by the Wisconsin Housing and Economic Development Authority (WHEDA). The bill mandates that at least 35 percent of the tax credits allocated each year must be designated for qualified low-income housing projects located in rural areas, defined as cities, villages, or towns with populations under 10,000 and at least 10 miles from larger municipalities. Additionally, the bill removes the requirement that these projects be financed with tax-exempt bonds, thereby broadening the eligibility criteria for tax credits.

The bill also introduces technical amendments regarding the allocation of credits for partnerships, limited liability companies, and tax-option corporations. It allows these entities to claim credits based on eligible costs incurred, with specific provisions for how credits are calculated and reported to partners or shareholders. Furthermore, it clarifies that insurers who are partners or shareholders in these entities can claim credits based on their ownership interests. The bill includes various amendments to existing statutes to reflect these changes, ensuring that the updated provisions take effect for taxable years beginning after December 31, 2024.

Statutes affected:
Bill Text: 71.07(8b)(a)7, 71.07, 71.07(8b)(c)2, 71.28(8b)(a)7, 71.28, 71.28(8b)(c)2, 71.47(8b)(a)7, 71.47, 71.47(8b)(c)2, 76.639(1)(g), 76.639, 76.67(2), 76.67, 234.45(1)(e), 234.45