Withholding tax imposed.
(a)#
For the privilege of doing business in this state or deriving income from property located in this state, a pass-through entity that has Wisconsin income for the taxable year that is allocable to a nonresident partner, member, shareholder, or beneficiary shall pay a withholding tax. The amount of the tax imposed under this subsection to be withheld from the income distributable to each nonresident partner, member, shareholder, or beneficiary is equal to the nonresident partner’s, member’s, shareholder’s, or beneficiary’s share of income attributable to this state, multiplied by the following: 1. For an individual, an estate, or a trust, the highest tax rate for a single individual for the taxable year under s. 71.06. 2. For a partnership, a limited liability company, or a corporation, the highest tax rate for the taxable year under s. 71.27.
(a)(1)#
For an individual, an estate, or a trust, the highest tax rate for a single individual for the taxable year under s. 71.06.
(a)(2)#
For a partnership, a limited liability company, or a corporation, the highest tax rate for the taxable year under s. 71.27.
(b)#
A pass-through entity that is also a member of another pass-through entity is subject to withholding under this subsection and shall pay the tax based on the share of income that is distributable to each of the entity’s nonresident partners, members, shareholders, or beneficiaries.