Originally the functions of the Tax Appeals Commission were the responsibility of the
Wisconsin Tax Commission. It was not until 1939 that the Board of Tax Appeals was
established by Chapter 412 of the session laws of that year as an independent department.
The present Tax Appeals Commission was formed in a general reorganization of state agencies
under Chapter 75 of the laws of 1967. For administrative purposes including management,
coordination of programs and budgeting, the Board was attached to the Department of
Administration. The Commission was authorized however to continue to exercise its powers,
cuties, and functions, including rule making and operational planning within the area of its
program responsibility independently of the Department of Administration.
The Tax Commission had its beginning in 1899 when the legislature accepted the
recommendation of a temporary commission to create the office of Tax Commissioner with two
assistants to oversee the administration of tax laws free of political pressure. By the
enactment of Chapter 474 of the laws of 1905, the Tax Commission was authorized to review
equalizations made by county boards.
In its biennial report of 1912 the Tax Commission reported that it had made the state
assessment, assessed the property of steam and street railway, express, telegraph, sleeping
car, freight line and equipment companies, directed local assessors in the assessment of the
general property of the state and assisted them in assessing the property of public
utilities. During this period three appeals from equalizations made by the county board were
entertained and determined. Eighteen applications for reassessment were considered and
disposed of, and the property of ten assessment districts was reassessed, including the
cities of Janesville and Racine.
Reassessment was still the function of the Tax Commission in 1937, when fiver per cent of
the property owners of a district could petition for a hearing and reassessment. Also, an
individual who felt that his own property was over-assessed could have his specific property
revalued on application to the Tax Commission.
Appeals, in the cases of individuals relating to additional assessments for income tax,
were heard by the county board of review in the district where the individual lived. Either
the taxpayer or the assessor of incomes could appeal to the Tax Commission. The Commission
then based its decision entirely on the record of the hearing before the county board of
review. The taxpayer had the privilege of appeal to the courts from the decision of the Tax
Commission.
Income tax appeals by corporations were heard by the Tax Commission but the corporation
could appeal the decision of the Commission to the courts.
In order to expedite matters and cause the state and the taxpayer as little expense as
possible in disposing of appeals, a large number of informal conferences were held to
discuss informally the items in controversy. In a large number of such informal conferences
satisfactory adjustments were made. This is why there are no case files for many docket
numbers.
There was some dissatisfaction, however, with a system in which the Tax Commission could
assess property and incomes for taxes, act as collector and act as adjudication agency for
appeal.
A separate department known as the Wisconsin Board of Tax Appeals was created by Chapter
412, Laws of 1939. Three members were appointed by the Governor with the consent of the
senate for six-year terms. Any person aggrieved by the failure of the Tax Commission or the
Assessor of Incomes to act favorably on an application for abatement or claim for refund
could appeal to the Board of Tax Appeals. All Board decisions were subject to court
review.
Appeals by corporations were taken to Dane County Circuit Court and appeals by individuals
were taken to the circuit court in the county of residence of the taxpayer. The old system
of county boards of review was discontinued with the passage of this law.
There is no provision for small claims in the procedures of the Tax Appeals Commission,
since the appeals cases brought before the Commission are less concerned with a certain
number of dollars than with a principle found in the interpretation of the law.
See each Agency's History in the catalog:
