​​For taxable years beginning in 2007, Wisconsin generally follows the Internal Revenue Code enacted as of December 31, 2006. Unless later adopted by the Wisconsin Legislature, changes to federal law enacted after December 31, 2006, do not apply for Wisconsin. Taxpayers must use 2007 Wisconsin Schedule I to adjust for Wisconsin and federal differences in the definition of the Internal Revenue Code. Schedule I provides a listing of the various items that must be adjusted.

Additional federal laws were enacted in 2007 after the 2007 Schedule I was sent to the printer. Listed below are additional changes to federal law that do not apply for Wisconsin for 2007 and must be considered when completing Schedule I. These law changes were made by Public Law 110-140, enacted December 19, 2007, Public Law 110-141, enacted December 19, 2007, Public Law 110-142, enacted December 20, 2007, and Public Law 110-172, enacted December 29, 2007.

• Allowance of a 7-year amortization period for geological and geophysical expenditures of certain major integrated oil companies
• Exclusion from income for payments from the Okie Spirit Memorial Fund
• Exclusion for discharges of indebtedness income on principal residence
• Exclusion for gain from certain post-marriage sale of principal residence by surviving spouse
• Special rules for determining active conduct of a trade or business for purposes of distributions of stock and securities of a controlled corporation
• Extension of the treatment of certain mortgage insurance premiums as interest
• Revised definition of cooperative housing corporation for purposes of allowing a deduction to a tenant-stockholder for interest and real estate taxes

February 4, 2008