Certain agricultural properties and all commercial retail properties are ineligible for property tax abatement. Generally, property and services acquired with the proceeds of IRBs are eligible for sales tax exemption. A sales tax exemption certificate must be obtained from the Kansas Department of Revenue prior to expenditure of bond proceeds. The income earned on all IRBs issued in Kansas are exempt from all State taxes except inheritance taxes. The benefit of tax exempt interest to borrowers is lower interest rates that bondholders are willing to accept because of the financial benefit of tax exempt interest to the bondholder.
Procedures Takes at least two months to complete.
Starts with approval of an inducement resolution or Letter of Intent . Provided to the Tenant by the Issuer, establishing a commitment to issue the IRBs subject to negotiated conditions. Copyright 2000 City of Wichita, all rights reserved. Terms of Use . Legal notices .