AB 47

Under current law, the Wisconsin Economic Development Corporation (WEDC)

may certify a person to receive, or a person may otherwise qualify for, income and

franchise tax credits based on the person's expenditures in this state related to the

person's business. This bill directs WEDC to establish a grant program under which

WEDC may award a grant to a person who wishes to secure financing to make

expenditures that would qualify for such tax credits. A person is eligible to receive

a grant if the expenditures are made for a business located in this state that has fewer

than 25 employees in this state or less than $5,000,000 in gross receipts. No person

may receive a grant unless the person has submitted business and financing plans

to a commercial lending institution and submitted copies of the plans to WEDC.

Before awarding a grant, WEDC must verify that the lender has approved the

person's plans and will underwrite a loan for expenditures, contingent on the person

receiving a grant. Under the bill, a person who receives a grant to secure financing

for making an expenditure that would qualify for a tax credit may not claim a credit

for that expenditure.