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 scope of eligible projects.

The bill also introduces technical amendments regarding the credit claims process for partnerships, limited liability companies, and tax-option corporations. It allows these entities to allocate credits to their partners, members, or shareholders based on eligible costs incurred, while ensuring that insurers who are partners or shareholders can also claim credits. The language clarifies that individuals claiming the credit are solely responsible for any tax liabilities arising from disputes with the Department of Revenue. Overall, the bill aims to enhance the accessibility and distribution of low-income housing tax credits, particularly in rural communities.

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