Wisconsin has made the following changes to the tax laws for the 2018 tax year:
- Since the IRS is eliminating the 1040A and the 1040EZ forms, Wisconsin is eliminating Forms A1 and WI-Z to adhere to the IRS federal form change. WI residents will file their state return using Form 1 and WI nonresident and part-year residents will file using Form 1NPR.
- An additional amount of contributions made to ABLE accounts is allowed as a subtraction that is equal or lesser of:
- The designated beneficiary's compensation that is included in the AGI for the tax year, or
- The federal poverty line for a one-person household.
- The allowed subtraction for contributions to a WI state-sponsored college savings account has been increased to $3,200 per beneficiary ($1,600 if you are filing as married filing separate).
- The tuition and fees expense subtraction has been increased to $6,974 per student. The phaseout amounts have also changed, please click here for the new phaseout amounts based on your filing status.
For more information regarding these changes, please click here.