Wisconsin Income Tax Deferral of Long-Term Capital Gain
Extracted from PDF file 2019-wisconsin-schedule-cg.pdf, last modified May 2015
Income Tax Deferral of Long-Term Capital GainTab to navigate within form. Use mouse to check applicable boxes, press spacebar or press Enter. Instructions CG Schedule Wisconsin Department of Revenue Save Print Income Tax Deferral of Long-Term Capital Gain Clear 2019 Enclose with Wisconsin Form 1 or 1NPR Your name Your social security number Spouse’s name if filing a joint return Spouse’s social security number 1 Date asset sold that generated the long-term capital gain . . . . . . . . . . . . . . . . . . . . . 1 2 Description of asset sold m m d d y y y .00 3 Amount of long-term capital gain on sale of the asset . . . . . . . . . . . . . . . . . . . . . . . . 3 4 Date of investment in a qualified Wisconsin business . . . . . . . . . . . . . . . . . . . . . . . . . 4 4a Type of investment (check one) Stock purchase Partnership interest y m m d d y y y y LLC membership Other (explain) 5 Fill in the name and FEIN of the qualified Wisconsin business Entity Name FEIN 6 Amount of long-term capital gain from line 3 invested in the qualified Wisconsin business. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 .00 7 Amount of investment from line 6 being deferred . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 .00 8 Basis of investment in the qualified Wisconsin business (Line 6 less the amount on line 7) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 .00 Return to form Instructions for Schedule CG Purpose of Schedule CG Schedule CG must be completed by individuals who are not declaring income from a long-term capital gain on their 2019 Wisconsin income tax return (Schedule WD) because they have reinvested the capital gain. Wisconsin law provides that the long-term capital gain may be deferred when the gain is reinvested in a qualified Wisconsin business. Who may claim the deferral of gain The deferral of gain may be claimed by an individual, including an individual partner of a partnership, member of a limited liability company, or shareholder of a tax-option (S) corporation. Definitions “Long-term capital gain” means the gain realized from the sale of any capital asset held more than one year that is treated as a long-term gain under the Internal Revenue Code. “Qualified Wisconsin business” means a business certified by the Wisconsin Economic Development Corporation (WEDC) or registered with the Department of Revenue. The WEDC was responsible for certifying businesses for 2011 through 2013. The department’s registration program began in 2014. A business must register with the department in each year in which it wants to be considered a qualified Wisconsin business. A business may register with the department if: I-071 (R. 11-19) Go to Page 2 2019 Schedule CG and Instructions Page 2 of 2 • The business has at least 2 full-time employees and the amount of payroll compensation paid by the business in Wisconsin is equal to at least 50 percent of the amount of all payroll paid by the business, and • For purposes of the payroll qualification an employee of a professional employer organization, as defined in s. 202.21 (5), or a professional employer group, as defined in s. 202.21 (4), who is performing services for a client is considered an employee solely of the client. • The value of real and tangible personal property owned or rented and used by the business in Wisconsin is equal to at least 50 percent of the value of all real and tangible personal property owned or rented and used by the business. Procedures An individual may subtract from federal adjusted gross income any amount of a long-term capital gain if the individual does all of the following: • Within 180 days after the sale of the asset that generated the gain, invests all of the long-term gain in a qualified Wisconsin business. Note A list of qualified Wisconsin businesses that have registered with the department is available at: revenue.wi.gov/ pages/Report/q.aspx#qual. As required by sec. 73.03(69)(d), Wis. Stats., the registered businesses have provided information concerning property, payroll, and number of employees for purposes of registering as a qualified Wisconsin business. This information has not been reviewed for purposes of determining eligibility for the deferral under sec. 71.05(26), Wis. Stats. • Attaches a completed Schedule CG to the individual’s Wisconsin income tax return for the taxable year in which the deferral of gain is claimed. Specific Instructions Line 3 This is the amount of long-term capital gain that may be deferred if reinvested in a qualified Wisconsin business. Individuals claim the deferral of gain when completing Wisconsin Schedule WD. Line 4 The date on line 4 must be within 180 days of the date on line 1. If not within 180 days, you do not qualify for the deferral of gain. Line 5 Complete line 5 if the long-term gain was reinvested in a qualified Wisconsin business. Fill in the name of the business and the federal employer identification number (FEIN) of the business. Line 7 The basis of the investment is calculated by subtracting the deferred gain (line 7) from the amount of the investment in the qualified Wisconsin business (line 6). The reduced basis will result in a larger gain (or smaller loss) for Wisconsin than for federal purposes when the investment is sold or otherwise disposed of in the future. Note If you invested the deferred gain in a qualified Wisconsin business, held the investment for 5 years, and certain conditions are met, you may be able to exclude gain from the sale or disposition of the investment. The business must have been certified by WEDC or registered with the department for the year of the investment and for two of the subsequent four years. The gain that may be excluded does not include the amount of deferred gain. For further information, see Schedule QI, Sale of Investment in a Qualified Wisconsin Business. Attachments A copy of Schedule CG must be enclosed with your Wisconsin income tax return. Additional Information For more information, you may: • E-mail your questions to: [email protected] • Call (608) 266-2772 (Telephone help is also available using TTY equipment. Call the Wisconsin Telecommunications Relay System at 711 or, if no answer, (800) 947-3529. These numbers are to be used only when calling with TTY equipment.) Applicable Laws and Rules Return to Page 1 This document provides statements or interpretations of the following provisions of Wisconsin Statutes in effect as of November 13, 2019: Sections 71.05(26), and 73.03(69)(d), Wis. Stats.
2019 I-071 Wisconsin Schedule CG, Income Tax Deferral of Long-Term Capital Gain (fillable)
More about the Wisconsin Schedule CG Individual Income Tax
We last updated the Income Tax Deferral of Long-Term Capital Gain in March 2020, and the latest form we have available is for tax year 2019. This means that we don't yet have the updated form for the current tax year. Please check this page regularly, as we will post the updated form as soon as it is released by the Wisconsin Department of Revenue. You can print other Wisconsin tax forms here.
Other Wisconsin Individual Income Tax Forms:
|Form Code||Form Name|
|Form 1||Income Tax Return (Long Form)|
|Income Tax Instructions||Wisconsin Form 1 Instructional Booklet|
|Schedule H-EZ||Homestead Credit Claim (Easy Form)|
|Form 1-ES||Estimated Income Tax Voucher|
|Schedule H||Homestead Credit Claim|
Wisconsin usually releases forms for the current tax year between January and April. We last updated Wisconsin Schedule CG from the Department of Revenue in March 2020.
About the Individual Income Tax
The IRS and most states collect a personal income tax, which is paid throughout the year via tax withholding or estimated income tax payments.
Most taxpayers are required to file a yearly income tax return in April to both the Internal Revenue Service and their state's revenue department, which will result in either a tax refund of excess withheld income or a tax payment if the withholding does not cover the taxpayer's entire liability. Every taxpayer's situation is different - please consult a CPA or licensed tax preparer to ensure that you are filing the correct tax forms!
Historical Past-Year Versions of Wisconsin Schedule CG
We have a total of eight past-year versions of Schedule CG in the TaxFormFinder archives, including for the previous tax year. Download past year versions of this tax form as PDFs here:
2019 I-071 Wisconsin Schedule CG, Income Tax Deferral of Long-Term Capital Gain (fillable)
2018 I-071 Wisconsin Schedule CG, Income Tax Deferral of Long-Term Capital Gain
2017 I-071 Wisconsin Schedule CG-Income Tax Deferral of Long-Term Capital Gain
2016 I-071 Wisconsin Schedule CG, Income Tax Deferral of Long-Term Capital Gain
2015 I-071 Wisconsin Schedule CG, Income Tax Deferral of Long-Term Capital Gain (fillable)
2013 I-071 Wisconsin Schedule CG, Income Tax Deferral of Long-Term Capital Gain (fillable)
2012 I-071 Schedule CG Income Tax Deferral of Long-Term Capital Gain (pdf fillable format)
2011 I-071 Schedule CG Income Tax Deferral of Long-Term Capital Gain (pdf fillable format)
While we do our best to keep our list of Wisconsin Income Tax Forms up to date and complete, we cannot be held liable for errors or omissions. Is the form on this page out-of-date or not working? Please let us know and we will fix it ASAP.