2011 Wisconsin Code
Chapter 77. Taxation of forest croplands; real estate transfer fees; sales and use taxes; county,
77.87 Yield tax.

77.87

77.87 Yield tax.

77.87(1)

(1) Taxation. The department shall assess a yield tax against each owner who cuts merchantable timber and files a report under s. 77.86. If the owner fails to timely file a report under s. 77.86 (4), the department shall determine the value of the merchantable timber cut for the assessment of the yield tax. The yield tax shall equal 5% of the value of the merchantable timber cut, based on the stumpage value established under s. 77.91 (1). The department shall mail a copy of the certificate of assessment to the owner at the owner's last-known address.

77.87(1g)

(1g) Exemption. For a managed forest land order that takes effect on or after April 28, 2004, the owner of the managed forest land is exempt from payment of the yield tax under sub. (1) for the first 5 years of the managed forest land order. The exemption under this subsection does not apply to any of the following orders:

77.87(1g)(a)

(a) An order converting forest cropland to managed forest land pursuant to an application approved under s. 77.82 (7) (d).

77.87(1g)(b)

(b) A renewal order for a managed forest land order under s. 77.82 (12).

77.87(1g)(c)

(c) An order under s. 77.82 (8) that designates as managed forest land forest cropland that was subject to a contract under s. 77.03.

77.87(1g)(d)

(d) An order for which an application is filed under s. 77.82 (4g) (b).

77.87(2)

(2) Supplemental yield tax. At any time within one year after a report is filed under s. 77.86 (4), the department, after notifying the owner and providing the owner with the opportunity for a hearing, may determine whether the report is accurate. If the department determines that the quantity of merchantable timber cut exceeded the amount on which the tax was assessed under sub. (1), the department shall assess a supplemental yield tax on the additional amount as provided under sub. (1).

77.87(3)

(3) Payment. A tax assessed under sub. (1) or (2) is due and payable to the department on the last day of the next month following the date the certificate is mailed to the owner. The department shall collect interest at the rate of 12% per year on any tax that is paid later than the due date. Amounts received shall be credited to the conservation fund.

77.87(4)

(4) Owner's liability. The owner is personally liable for a tax assessed under sub. (1) or (2). An unpaid tax becomes a lien against the merchantable timber that was cut. If the merchantable timber cut is mingled with other wood products, the unpaid tax becomes a lien against all of the wood products while they are in the owner's possession, or in the possession of any person other than a purchaser for value without notice in the usual course of business.

77.87(5)

(5) Delinquency. If a tax due under this section is not paid on or before the last day of the August following the date specified under sub. (3), the department shall certify to the taxation district clerk the description of the land and the amount due for the tax and interest. The taxation district clerk shall enter the delinquent amount on the property tax roll as a special charge.

77.87 - ANNOT.

History: 1985 a. 29; 1991 a. 39; 2003 a. 228; 2005 a. 64; 2009 a. 365.