Assembly Bill 283 proposes amendments to current law regarding the business development tax credit, specifically expanding the eligibility of certain child care expenditures. The bill allows businesses to receive a refundable tax credit of up to 15 percent for costs incurred in providing child care services for employees. This includes not only capital expenditures for establishing child care programs but also operational costs, reimbursements for employee child care expenses, and contributions to dependent care flexible spending accounts. Additionally, the Wisconsin Economic Development Corporation is authorized to certify nonprofit entities for these tax credits.

The bill also includes several amendments to existing statutes, such as renumbering and redefining terms related to eligible employees and investments. Notably, it creates a new section that outlines the specific costs that qualify for the tax credit, while deleting previous language that limited the credit to capital expenditures only. The changes are set to take effect for taxable years beginning after December 31, 2024, thereby providing businesses with a broader scope of financial support for child care services aimed at employees.

Statutes affected:
Bill Text: 71.07(3y)(a)2, 71.07, 71.07(3y)(b)6, 71.28(3y)(a)2, 71.28, 71.28(3y)(b)6, 71.47(3y)(a)2, 71.47, 71.47(3y)(b)6, 238.308(2)(a)1, 238.308, 238.308(4)(a)6