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Bill > SB185


WI SB185

WI SB185
Property tax exemption for nonprofit theaters. (FE)


summary

Introduced
04/14/2025
In Committee
11/12/2025
Crossed Over
Passed
Dead

Introduced Session

Potential new amendment
2025-2026 Regular Session

Bill Summary

Current law provides a property tax exemption for property owned or leased by a nonprofit organization that includes one or more outdoor theaters for performing theater arts which have a total seating capacity of not less than 400 persons. In addition, in order to claim the exemption, the Internal Revenue Service must have confirmed the organization[s federal tax exempt status in a determination letter issued no later than July 31, 1969. This bill modifies the exemption so that it applies to property owned or leased by a nonprofit organization that includes one or more theaters for performing theater arts, regardless of whether the theaters are outdoors or indoors. In addition, in order to claim the exemption, the total capacity of the theaters must be not less than 240 persons and the IRS must have confirmed the organization[s federal tax exempt status in a determination letter issued no later than October 1, 1990. 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. For further information see the local fiscal estimate, which will be printed as an appendix to this bill. LRB-2526/1 JK:cjs 2025 - 2026 Legislature SENATE BILL 185

AI Summary

This bill modifies the existing property tax exemption for nonprofit theaters in Wisconsin by expanding the criteria for qualification. Currently, the exemption applied only to nonprofit organizations with outdoor theaters having a total seating capacity of at least 400 persons and a tax-exempt status confirmed by an Internal Revenue Service (IRS) determination letter issued before July 31, 1969. The new bill broadens this exemption to include both indoor and outdoor theaters, reduces the required seating capacity to at least 240 persons, and extends the IRS determination letter deadline to October 1, 1990. To qualify for the property tax exemption, the nonprofit organization must be tax-exempt under section 501(c)(3) of the Internal Revenue Code, use the property for its intended purposes, operate the theater(s), and meet the new seating capacity requirements. The bill will first apply to property tax assessments as of January 1, 2025, potentially providing tax relief to a wider range of nonprofit theater organizations in the state.

Committee Categories

Budget and Finance

Sponsors (15)

Last Action

Representative Stubbs added as a cosponsor (on 11/19/2025)

bill text


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