A Message to Persons Preparing 2010 Wisconsin Income Tax Returns

What's New!

New for 2010

Section 179 Expense for Farmers  The increased sec.179 expense deduction for farmers has expired. The maximum sec. 179 expense that may be claimed by farmers is $25,000. (See Schedule I which is available from our Internet web site.)

Farmland Tax Relief Credit  The farmland tax relief credit is repealed.

College Savings Program (EdVest and "tomorrow's scholar").  The child no longer has to be claimed as a dependent in order for the parent to claim the subtraction for contributions to the college savings account. Also, in the case of divorced parents, each former spouse may claim a maximum of $1,500 for their child, unless the divorce decree specifies a different division of the $3,000 maximum.

Late Filing Fee  The late filing fee is increased to $50.

Homestead Credit Indexing  The maximum household income is $24,680 (previously $24,500) and the maximum property taxes that may be used for the credit is $1,460 (previously $1,450). The maximum credit for 2010 is $1,168 (previously $1,160).

Election Campaign Fund  The account that may be designated to the election campaign fund (including the democracy trust fund) is increased from $1 to $3. The amount designated is for the use of eligible candidates for state office and eligible candidates for justice of the Wisconsin Supreme Court. Candidates for the Supreme Court are funded through the democracy trust fund.

New Business Credits  There are five new business credits for 2010.

Reciprocity  The reciprocity agreement with Minnesota has been terminated. For a Wisconsin resident working in Minnesota, Minnesota tax (instead of Wisconsin) was withheld from the Minnesota wages, effective January 1, 2010. The Wisconsin resident may be required to file both Minnesota and Wisconsin income tax returns for 2010. If the Wisconsin resident pays tax to both Minnesota and Wisconsin, a credit for tax paid to Minnesota may be allowed on the Wisconsin income tax return (Form 1).

General Information - Electronic Returns

General Information - Paper Returns

Assembling Paper Returns

Returns are processed slower when not assembled in the proper order. Assemble Wisconsin income tax returns in this order:

Questions?

Direct questions to Customer Service at (608) 266-2772.

Last updated November 30, 2010