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Bills · 2025-2026 Regular Session

AB 38

Died at session end Official bill text Atom feed

Relating to: an income tax exemption for cash tips paid to an employee. (FE)

Income tax — Deduction Legislature — Tax exemptions joint survey committee on Wage — Minimum

  1. Introduced, stopped here
  2. Passes Assembly, not reached
  3. Passes Senate, not reached
  4. Governor signs, not reached
  5. Law, not reached

Unfamiliar terms? Glossary

What this bill does

Plain-language analysis by the nonpartisan Legislative Reference Bureau

This bill creates an income tax exemption for cash tips received by an employee from the customers of the employee’s employer.

Because this bill relates to an exemption from state or local taxes, it may be referred to the Joint Survey Committee on Tax Exemptions for a report to be printed as an appendix to the bill.

What it would cost

Fiscal estimates filed by state agencies, as official PDFs

Sponsors

Introduced by: Behnke (R) , Green (R) , Gundrum (R) , Kreibich (R) , Maxey (R) , Mursau (R) , Penterman (R) , Piwowarczyk (R) , Tittl (R) , Tranel (R) , Tusler (R) , Wichgers (R)

11 cosponsors

Bradley (R) , Cabral-Guevara (R) , Feyen (R) , Gustafson (R) , Hutton (R) , Jacque (R) , Melotik (R) , Nass (R) , Quinn (R) , Steffen (R) , Tomczyk (R)

Registered lobbying interests · 6

Organizations that registered lobbying activity on this bill with the Wisconsin Ethics Commission. Registration means interest, not a position for or against. Official record

Votes

Assembly: Report Assembly Substitute Amendment 1 adoption recommended by Committee on Ways and Means, Ayes 10, Noes 0

Passed 10–0 Sep 15, 2025 official source full page

No individual roll call was recorded for this vote. Committee votes and some older sessions record totals only.

Assembly: Report passage as amended recommended by Committee on Ways and Means, Ayes 8, Noes 2

Passed 8–2 Sep 15, 2025 official source full page

No individual roll call was recorded for this vote. Committee votes and some older sessions record totals only.

Assembly: Assembly Substitute Amendment 3 laid on table, Ayes 52, Noes 42

Passed 52–42 Jan 15, 2026 official source full page

No individual roll call was recorded for this vote. Committee votes and some older sessions record totals only.

Assembly: PASSAGE

Passed 61–33 Jan 15, 2026 official source full page

Aye · 61

Not voting · 3

Full history

  1. Feb 17, 2025 · Assembly

    Introduced by Representatives Tusler, Behnke, Green, Gundrum, Kreibich, Maxey, Mursau, Penterman, Piwowarczyk, Tittl, Tranel and Wichgers; cosponsored by Senators Jacque, Bradley, Hutton, Cabral-Guevara, Feyen, Nass, Quinn and Tomczyk

  2. Feb 17, 2025 · Assembly

    Read first time and referred to Committee on Ways and Means

  3. Feb 18, 2025 · Assembly

    Representative Gustafson added as a coauthor

  4. Feb 28, 2025 · Assembly

    Fiscal estimate received

  5. Jul 2, 2025 · Assembly

    Representative Melotik added as a coauthor

  6. Aug 18, 2025 · Assembly

    Assembly Substitute Amendment 1 offered by Representative Tusler

  7. Aug 21, 2025 · Assembly

    Public hearing held

  8. Sep 4, 2025 · Assembly

    Executive action taken

  9. Sep 15, 2025 · Assembly

    Referred to committee on Rules

  10. Sep 15, 2025 · Assembly

    Report Assembly Substitute Amendment 1 adoption recommended by Committee on Ways and Means, Ayes 10, Noes 0

  11. Sep 15, 2025 · Assembly

    Report passage as amended recommended by Committee on Ways and Means, Ayes 8, Noes 2

  12. Nov 7, 2025 · Assembly

    Referred to joint survey committee on Tax Exemptions pursuant to Assembly Rule 45 (4)

  13. Nov 11, 2025 · Assembly

    Executive action taken by joint survey committee on Tax Exemptions

  14. Nov 11, 2025 · Assembly

    Report of Joint Survey Committee on Tax Exemptions received

  15. Jan 13, 2026 · Assembly

    Placed on calendar 1-15-2026 by Committee on Rules

  16. Jan 14, 2026 · Assembly

    Assembly Substitute Amendment 2 offered by Representative Tusler

  17. Jan 14, 2026 · Assembly

    Representative Steffen added as a coauthor

  18. Jan 15, 2026 · Assembly

    Read a second time

  19. Jan 15, 2026 · Assembly

    Assembly Substitute Amendment 3 offered by Representative Clancy

  20. Jan 15, 2026 · Assembly

    Assembly Substitute Amendment 3 laid on table, Ayes 52, Noes 42

  21. Jan 15, 2026 · Assembly

    Assembly Substitute Amendment 2 adopted

  22. Jan 15, 2026 · Assembly

    Ordered to a third reading

  23. Jan 15, 2026 · Assembly

    Rules suspended

  24. Jan 15, 2026 · Assembly

    Read a third time and passed, Ayes 61, Noes 33, Paired 2

  25. Jan 15, 2026 · Assembly

    Ordered immediately messaged

  26. Jan 16, 2026 · Senate

    Received from Assembly

  27. Jan 16, 2026 · Senate

    Read first time and referred to committee on Senate Organization

  28. Jan 16, 2026 · Senate

    Available for scheduling

  29. Mar 23, 2026 · Senate

    Failed to concur in pursuant to Senate Joint Resolution 1