A bill unveiled today by Representative Jon Richards (D-Milwaukee) and Senator Jon Erpenbach (D-Middleton) would close a corporate tax loophole to generate funding to prevent damaging cuts to BadgerCare proposed by the Department of Health Services (DHS). The proposal would eliminate a tax provision added to the biennial budget bill that allows multi-state corporations with subsidiaries to retroactively claim business losses, reducing their Wisconsin income tax liability for up to 20 years. That tax loophole is estimated to reduce tax revenue by $40 million per year.
The bill has been endorsed by at least 22 organizations and will be formally introduced later this week. Read more in the Capital Times article by Jessica Van Egeren and in today's WCCF blog post. You can also watch the WisconsinEye coverage of the press conference.