Wisconsin state senators offer tax fixes for PPP, Homestead, others
A group of Wisconsin state senators has introduced legislation that would make farmer-friendly tax law changes.
Senator Howard Marklein says two of the many changes in Senate Bill 2 and its six amendments target relief to farmers. “This bill will allow for the deductibility of medical care insurance by self-employed people, which is certainly all of our farmers. The second one has to do with the Homestead credit.”
Marklein tells Brownfield that Homestead credit change will help more farmers save tax money. “In the past, if they had a loss, they had to add that loss back onto their Homestead credit application, so that’s going to be another help for our farmers.”
State Senator Patrick Testin tells Brownfield an amendment to Senate Bill 2 would stop the state from taxing proceeds businesses get when Paycheck Protection Program loans in the next round are forgiven by the federal government. “I’m of the mindset that taxing this is a terrible idea, that we should be giving lifelines and more opportunities for businesses, and given the fact that not even the federal government is going to tax these PPP loans, it makes no sense as to why we would at the state level.”
Testin says Governor Evers’ Department of Revenue recommended taxing PPP loan proceeds but, “I think it sends a bad message to businesses and farmers across this state that when we’re in tough times that we’re going to provide you another kick in the gut with this, with an unknown tax.”
Senate Bill 2 and the amendments have passed at the Senate committee level and can be scheduled for a vote before the full Senate.