Assembly Bill 565 proposes significant changes to the eligibility criteria for businesses seeking certification as "qualified new business ventures" under Wisconsin's tax credit program. The bill repeals the requirement that at least 51 percent of a business's employees must be located in Wisconsin for certification. Additionally, it modifies the definition of relocation, stating that a business is considered to have relocated if it moves its headquarters outside of the state, rather than if it moves more than 51 percent of its employees, payroll, or headquarters activities.

Furthermore, the bill raises the investment threshold for businesses from $12 million to $20 million for taxable years beginning after December 31, 2025. This change aims to encourage more substantial investments in Wisconsin-based businesses. The bill also repeals certain provisions related to relocation penalties and the specific criteria for determining relocation, streamlining the process for businesses seeking to qualify for tax credits.

Statutes affected:
Bill Text: 238.15(1)(b), 238.15, 238.15(3)(dm)