Wisconsin stock-comp tax reference
Top marginal rate, supplemental withholding, AMT status, and capital-gains treatment for RSU, ESPP, and ISO income earned by Wisconsin residents.
Tax year 2026 · Last updated May 10, 2026
Top marginal income tax rate
7.65%
Supplemental withholding rate
Uses top marginal rate
State personal AMT (impacts ISO)
No
LTCG treatment
Special treatment (see notes)
How it works
Note: Wisconsin allows a 30% long-term capital-gain exclusion.
RSU vests
RSU vests are W-2 supplemental wages in Wisconsin, withheld at the top marginal rate (7.65%) by default. Reconciled at filing against your actual marginal rate — same shortfall mechanics as federal.
ESPP qualifying dispositions
Wisconsin gives some preferential treatment to long-term capital gains. Federal qualifying-disposition rules still split the gain into ordinary income and LTCG; state treatment is layered on top.
ISO exercises
Wisconsin does NOT have a personal AMT for ISO exercises. Bargain element is not taxed at the state level on exercise (assuming you don't disqualify-sell). On a qualifying sale, the long-term gain is taxed at preferential rates per state rules.
Frequently asked questions
Does Wisconsin have a state income tax on RSU vests?
Yes. Wisconsin's top marginal rate is 7.65%. RSU vests are W-2 wages and follow normal state withholding + reconciliation.
What supplemental withholding rate does Wisconsin use for RSUs and bonuses?
Wisconsin does not publish a separate supplemental rate; employers typically default to the state's top marginal rate (7.65%).
Does Wisconsin have a state AMT for ISO exercises?
Wisconsin does not impose a personal AMT, so an ISO exercise typically does not trigger a state-level AMT bill (only federal AMT applies).
How does Wisconsin tax long-term capital gains?
Wisconsin provides some preferential treatment for long-term capital gains. See the state-specific note on this page for details.
Where is this information sourced?
Top marginal rates are from the Tax Foundation 2025 state individual income tax brackets summary. State supplemental rates are from the published guidance of each state's revenue department (linked above). Personal AMT status reflects 2025 legislation. Always confirm current-year rules with the Wisconsin Department of Revenue before making decisions.
Is this tax advice?
No. This is a planning reference — state tax law changes frequently and varies by individual situation. Talk to a CPA licensed in Wisconsin for advice on a real transaction.