Wis. Stat. § 238.308 — WI Code / Chapter 238 / Section 238.308
Business development tax credit.
Status: in_force

(1) Definitions. In this section:

(a) “Eligible employee” means a person employed in a full-time job by a person certified under sub. (2) .

(b) For taxable years beginning after December 31, 2023, “full-time job” means a nonseasonal job for which the annual pay is more than the amount determined by multiplying 2,080 by 150 percent of the federal minimum wage and for which the person is offered retirement, health, and other benefits.

(2) Certification.

(a) The corporation may certify a person to receive tax benefits under this section if all of the following apply:

1. The person is operating or intends to operate a business in this state.

2. The person applies under this section and enters into a contract with the corporation.

(b) The certification of a person under par. (a) may remain in effect for no more than 10 cumulative years.

(c) The corporation shall approve or deny the certification of a person under par. (a) within 90 days after receiving a person’s application for certification.

(3) Eligibility for tax benefits.

(a) For taxable years beginning before January 1, 2024, a person is eligible to receive tax benefits if, in each year for which the person claims tax benefits under this section, the person increases net employment in this state in the person’s business above the net employment in this state in the person’s business during the year before the person was certified under sub. (2) , as determined by the corporation under its policies and procedures.

(b) For taxable years beginning after December 31, 2023, a person is eligible to receive tax benefits if, in each year for which the person claims tax benefits under this section, all of the following conditions are met:

1. The person makes a capital investment in the person’s business, and the person either creates new full-time jobs or retains existing full-time jobs, as determined by the corporation under its policies and procedures.

2. The person does not decrease net employment in this state in the person’s business below the net employment in this state in the person’s business during the year before the person is certified under sub. (2) , as determined by the corporation under its policies and procedures.

(4) Awards, limits, expiration.

(a) The corporation may award all of the following tax benefits to a person certified under sub. (2) :

1. An amount equal to up to 10 percent of the amount of wages that the person paid to an eligible employee in the taxable year.

2. In addition to any tax benefits awarded for an eligible employee under subd. 1. , an amount equal to up to 5 percent of the amount of wages that the person paid to the eligible employee in the taxable year, if the eligible employee is employed in an economically distressed area, as determined by the corporation.

3. An amount equal to up to 50 percent of the person’s training costs incurred to undertake activities to enhance an eligible employee’s general knowledge, employability, and flexibility in the workplace; to develop skills unique to the person’s workplace or equipment; or to develop skills that will increase the quality of the person’s product.

4. An amount equal to up to 3 percent of the person’s personal property investment and up to 5 percent of the person’s real property investment in a capital investment project, if the project involves a total capital investment of at least $250,000 or, if less than $250,000, the project involves a capital investment that is equal to at least $10,000 per eligible employee employed on the project.

5. An amount, as determined by the corporation, equal to a percentage of the amount of wages that the person paid to an eligible employee in the taxable year, if the position in which the eligible employee was employed was created or retained in connection with the person’s location or retention of the person’s corporate headquarters in Wisconsin and the job duties associated with the eligible employee’s position involve the performance of corporate headquarters functions.

6. For taxable years beginning after December 31, 2023, an amount equal to up to 15 percent of the person’s investment in workforce housing, as defined in s. 234.66 (1) (i) , and up to 15 percent of the person’s investment in establishing a child care program. Such investments may include capital expenditures made by the person and contributions made by the person to a 3rd party responsible for building or rehabilitating workforce housing or establishing a child care program, including contributions made to a local revolving loan fund program.

(b) The corporation may allocate up to $22,000,000 in tax benefits under this section each year. Any unused allocation may be carried forward, including unused allocations from closed awards.

(c) In any year, the corporation may exceed the annual limit on tax benefits specified in par. (b) by up to $10,000,000 if all of the following apply:

1. The corporation notifies the joint committee on finance in writing of its proposal to exceed the annual limit on tax benefits specified in par. (b) .

2. The corporation submits with its notification under subd. 1. evidence that shows the corporation’s proposal is necessary to accomplish the corporation’s statewide economic development objectives.

3. Any of the following is true:

a. The cochairpersons of the joint committee on finance fail to notify the corporation, within 14 working days after the date of the corporation’s notification under subd. 1. , that the committee has scheduled a meeting for the purpose of reviewing the corporation’s proposal.

b. The cochairpersons of the joint committee on finance notify the corporation that the committee has approved the corporation’s proposal.

(5) Duties.

(a) The corporation may require a person to repay any tax benefits the person claims for a year in which the person failed to comply with a contract under sub. (2) (a) 2.

(b) The corporation shall verify, under s. 238.03 (2) (e) , the information submitted to the corporation by the person for the purpose of claiming tax benefits.

(c) The corporation shall adopt policies and procedures for the implementation and operation of this section.

History: 2015 a. 55 ; 2017 a. 59 , 369 ; 2023 a. 143 ; 2025 a. 78 .