Wisconsin First Dollar Credit
The Governor established the First Dollar Credit in Act 20, the 2007-2009 biennial budget. The final form of Act 20 that passed by the State Legislature designated $75,000,000 to be allocated towards the 2008 tax bill of any real property in Wisconsin with an improvement on it. It was the Governor’s intent to offer a credit that would exempt the first few thousand dollars in value on properties with improvements in order to ease the burden on those taxpayers.
The credit amount is based on your school tax rate and the maximum credit value set by the Department of Revenue. For a precise amount for your parcel for a particular year, look at your property tax bill to see if the credit appears on the line above the lottery credit.
Every taxable parcel that contains a real property improvement in Wisconsin qualifies for the First Dollar Credit. This includes business, commercial, and private property. Unlike the lottery credit, the property does not need to be the primary resident of the owner. A personal property improvement does not qualify for this credit.
No, this credit should be automatically applied to all qualifying properties. If the property tax bill has amount shown in the "Assessed Value Improvements" box, then that property should receive a credit.
If you had an improvement on your property on January 1 of the tax year but there is no improvement listed in the "Assessed Value Improvements" box on your tax bill, an assessor error has occurred. This means that you have not been taxed on the added value that an improvement brings to your tax bill and that you did not receive the credit. You would bring this to the attention of your municipal clerk and assessor. They will then follow the proper procedure to correct your bill, so it includes the improvement and the credit.
If the improvement was built after January 1, you were not taxed on it and are not eligible for the First Dollar Credit.
The credit stays with the property with the improvement on it.