reglab/statecodes huggingface dataset:
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3663 Same; taxpayer duties in managed audit.

79-3663.
Same; taxpayer duties in managed audit.
Information provided by the taxpayer as part of the managed audit shall be the same information that is required for the completion of any other audit the director may conduct. The director may terminate a managed audit agreement and conduct an audit of an eligible taxpayer under K.S.A. 79-3609, and amendments thereto, if the eligible taxpayer fails to fulfill any of the terms of a managed audit agreement, or if the director believes that a managed audit should not be conducted for any other reason.
History:
L. 2000, ch. 184, § 4; July 1.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3664 Same; interest on liabilities reduced.

79-3664.
Same; interest on liabilities reduced.
Upon completion of the managed audit and verification by the director, interest shall be computed at 50% of the rate that would otherwise be imposed for liabilities covered by the audit period. Payment of the tax, penalty and interest shall be made within the time period specified by the director.
History:
L. 2000, ch. 184, § 5; July 1.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3665 Interstate streamlined sales tax project; participation by the department of revenue; legislative participation.

79-3665.
Interstate streamlined sales tax project; participation by the department of revenue; legislative participation.
(a) The department of revenue is authorized to become a signatory to an agreement with one or more states for the purpose of providing a multi-state, voluntary, streamlined system for sales and use tax collection and administration to simplify and modernize sales and use tax administration in order to substantially reduce the burden of tax compliance for all sellers and for all types of commerce, at such time as the legislature takes further action to bring the state's laws in compliance with the requirements of the agreement. The department of revenue is further authorized to participate in the streamlined sales tax project, identify all changes in this state's sales and use tax laws and rules and regulations that would be required in order to comply with such agreement, take such other actions reasonably required to prepare this state for entry into such agreement.
(b) The secretary of revenue, or the secretary's designee, is authorized to represent this state before other states that are participating in the streamlined sales tax project or that are signatories to such agreement. In addition, the president and the minority leader of the senate and the speaker and the minority leader of the house of representatives may each appoint a person who is also authorized to so represent this state. All such appointees attending meetings shall be paid compensation, subsistence allowances, mileage and other expenses as provided in K.S.A. 75-3223, and amendments thereto.
History:
L. 2002, ch. 186, § 1; July 1.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3666 Streamlined sales and use tax agreement conformity act; state sales tax rate changes, effect; notice; sellers relieved from liability to collect in certain circumstances, exceptions.

79-3666.
Streamlined sales and use tax agreement conformity act; state sales tax rate changes, effect; notice; sellers relieved from liability to collect in certain circumstances, exceptions.
State sales tax rate changes must take effect on the first day of a calendar quarter. The secretary shall make a reasonable effort to provide sellers with as much advance notice as practicable of any rate changes, legislative change in the tax base and amendments to sales and use tax rules and regulations. Failure of a seller to receive such notice or failure of the secretary to provide such notice to a seller or limit the effective date of a rate change shall not relieve the seller of its obligation to collect sales or use tax or otherwise comply with any such legislative, rule or regulatory changes. Whenever there is less than 30 days between the effective date of any amendments to K.S.A. 79-3603 and 79-3703, which make a change in the retailers' sales tax or compensating use tax rate and the date such rate change takes effect as provided by this section, the seller shall be relieved from liability for failing to collect tax at the changed rate if:
(a) The seller collected tax at the immediately proceeding rate during such time period; and
(b) the seller's failure to collect at the changed rate does not extend beyond 30 days after such effective date.
When the seller fraudulently failed to collect at the new sales tax rate or solicits purchasers based on the immediately preceding effective rate, such relief from liability does not apply to such seller.
History:
L. 2003, ch. 147, § 12; L. 2010, ch. 123, § 15; April 29.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3667 Same; liability for errors in sales tax collection of sellers and certified service providers; database use and requirements.

79-3667.
Same; liability for errors in sales tax collection of sellers and certified service providers; database use and requirements.
On and after the databases are developed pursuant to subsections (a), (b) and (c) of K.S.A. 79-3668, and amendments thereto, and after the state has joined and become a member of the agreement, sellers and certified service providers (CSPs) using databases pursuant to subsections (c) and (d) of K.S.A. 79-3668, and amendments thereto, are relieved from liability for state and local sales and use tax for having charged and collected the incorrect amount of sales tax resulting from the seller or certified service provider relying on erroneous data provided by the secretary on tax rates, boundaries or taxing jurisdiction assignments. If the secretary provides an address-based database for assigning taxing jurisdictions that meets the requirements developed pursuant [to] subsection (d) of K.S.A. 79-3668, and amendments thereto, and after the secretary has provided adequate notice as determined by the secretary, no liability relief is provided to sellers or certified service providers for errors resulting from reliance on the information provided under the provisions of subsection (c) of K.S.A. 79-3668, and amendments thereto. If a seller demonstrates that requiring the use of the address-based database would create an undue hardship, the secretary may extend the relief from liability to such seller for a designated period of time.
History:
L. 2003, ch. 147, § 13; L. 2007, ch. 155, § 10; July 1.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3669 Same; sourcing of retail sales; application of sourcing rules.

79-3669.
Same; sourcing of retail sales; application of sourcing rules.
(a) The retail sale of a product shall be sourced in accordance with K.S.A. 79-3670, and amendments thereto. The provisions of K.S.A. 79-3670, and amendments thereto, apply regardless of the characterization of a product as tangible personal property, a digital good or a service. The provisions of K.S.A. 79-3670, and amendments thereto, only apply to determine a seller's obligation to pay or collect and remit a sales or use tax with respect to the seller's retail sale of a product. These provisions do not affect the obligation of a purchaser or lessee to remit tax on the use of the product to the taxing jurisdictions of that use.
(b) K.S.A. 79-3670, and amendments thereto, does not apply to sales or use taxes levied on the following: (1) The retail sale or transfer of water craft, modular homes, manufactured homes or mobile homes. The retail sale of these items shall be sourced according to K.S.A. 12-191, and amendments thereto;
(2) the retail sales, excluding lease or rental, of motor vehicles, trailers, semi-trailers or aircraft that do not qualify as transportation equipment, as defined in subsection (d) of K.S.A. 79-3670, and amendments thereto. The retail sale of these items shall be sourced according to K.S.A. 12-191, and amendments thereto, and the lease or rental of these items must be sourced according to subsection (c) of K.S.A. 79-3670, and amendments thereto; and
(3) telecommunications services, as set out in K.S.A. 79-3673, and amendments thereto, and ancillary services, as defined in K.S.A. 79-3602, and amendments thereto, shall be sourced in accordance with K.S.A. 79-3673, and amendments thereto.
History:
L. 2003, ch. 147, § 15; L. 2007, ch. 155, § 12; July 1.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3674 Same; bad debt deductions from uncollectable taxable sales; requirements and procedures.

79-3674.
Same; bad debt deductions from uncollectable taxable sales; requirements and procedures.
(a) A seller is allowed a deduction from taxable sales for bad debts attributable to taxable sales of such seller that have become uncollectable. Any deduction taken that is attributed to bad debts shall not include interest.
(b) The amount of the bad debt deduction shall be calculated pursuant to 26 U.S.C. § 166(b), except that such amount shall be adjusted to exclude financing charges or interest, sales or use taxes charged on the purchase price, uncollectable amounts on property that remain in the possession of the seller until the full purchase price is paid and expenses incurred in attempting to collect any debt and repossessed property.
(c) Bad debts may be deducted on the return for the period during which the bad debt is written off as uncollectable in the seller's books and records and is eligible to be deducted for federal income tax purposes. For purposes of this subsection, a seller who is not required to file federal income tax returns may deduct a bad debt on a return filed for the period in which the bad debt is written off as uncollectable in the seller's books and records and would be eligible for a bad debt deduction for federal income tax purposes if the seller was required to file a federal income tax return.
(d) If a deduction is taken for a bad debt and the debt is subsequently collected in whole or in part, the tax on the amount so collected must be paid and reported on the return filed for the period in which the collection is made.
(e) When the amount of bad debt exceeds the amount of taxable sales for the period during which the bad debt is written off, a refund claim may be filed by the seller within the applicable statute of limitations for refund claim pursuant to subsection (b) of K.S.A. 79-3609, and amendments thereto; however, the statute of limitations shall be measured from the due date of the return on which the bad debt could first be claimed.
(f) Where filing responsibilities have been assumed by a certified service provider, the service provider may claim, on behalf of the seller, any bad debt allowance provided by this section. The certified service provider must credit or refund the full amount of any bad debt allowance or refund received to the seller.
(g) For the purposes of reporting a payment received on a previously claimed bad debt, any payments made on a debt or account must first be applied proportionally to the taxable price of the property or service and the sales tax thereon, and secondly to interest, service charges and any other charges.
(h) In situations where the books and records of the seller, or certified service provider on behalf of the seller, claiming the bad debt allowance support an allocation of the bad debts among the member states, such an allocation is permitted.
History:
L. 2003, ch. 147, § 20; May 22.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3675 Same; confidentiality and privacy rights; requirements and procedures.

79-3675.
Same; confidentiality and privacy rights; requirements and procedures.
(a) The purpose of this section is to set forth this state's policy for the protection of the confidentiality rights of all participants in the system and of the privacy interests of consumers who deal with model 1 sellers.
(b) As used in this section: (1) "Confidential taxpayer information" means all information that is protected under this state's laws, rules and regulations and privileges;
(2) "personally identifiable information" means information that identifies a person; and
(3) "anonymous data" means information that does not identify a person.
(c) A fundamental precept in model 1 is to preserve the privacy of consumers by protecting their anonymity. With very limited exceptions, a certified service provider (CSP) shall perform its tax calculation, remittance and reporting functions without retaining the personally identifiable information of consumers.
(d) The secretary shall provide public notification to consumers, including their exempt purchasers, of the department's practices relating to the collection, use and retention of personally identifiable information.
(e) When any personally identifiable information that has been collected and retained is no longer required to ensure the validity of exemptions from taxation that are claimed by reason of a consumer's status or the intended use of the goods or services purchased, such information shall no longer be retained by the department.
(f) When personally identifiable information regarding an individual is retained by or on behalf of the department, the secretary shall provide reasonable access by such individual to such individual's own information in the department's possession and a right to correct any inaccurately recorded information.
(g) If anyone other than this state, or a person authorized by this state's law or the agreement, seeks to discover personally identifiable information, the secretary shall make a reasonable and timely effort to notify the individual of such request.
(h) This privacy policy is subject to enforcement by the attorney general.
History:
L. 2003, ch. 147, § 21; May 22.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3676 Same; computation of tax by sellers.

79-3676.
Same; computation of tax by sellers.
(a) When the seller is computing the amount of tax owed by the purchaser and remitted to the state: (1) Tax computation must be carried to the third decimal place; and
(2) the tax must be rounded to a whole cent using a method that rounds up to the next cent whenever the third decimal place is greater than four.
(b) Sellers may elect to compute the tax due on a transaction on an item or an invoice basis. The rounding rule may be applied to the aggregated state and local taxes.
History:
L. 2003, ch. 147, § 22; May 22.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3677 Same; taxability matrix for products or services; relief from liability for sellers and certified service providers relying thereon.

79-3677.
Same; taxability matrix for products or services; relief from liability for sellers and certified service providers relying thereon.
(a) The secretary shall complete a taxability matrix. This state's entries in the matrix shall be provided and maintained by the secretary in a database that is in a downloadable format.
(b) The secretary shall provide reasonable notice of changes in the taxability of the products or services listed in the taxability matrix.
(c) Sellers and certified service providers are relieved from liability to this state or any local taxing jurisdiction for having charged and collected the incorrect amount of state or local sales or use tax resulting from the seller or certified service providers relying on erroneous data provided by the secretary in the taxability matrix.
History:
L. 2003, ch. 147, § 23; May 22.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3678 Same; effective date of state or local sales or use tax rate changes for certain services.

79-3678.
Same; effective date of state or local sales or use tax rate changes for certain services.
The effective date of state or local sales or use tax rate changes for services covering a period starting before and ending after the statutory effective date shall be as follows: (a) For a rate increase, the new rate shall apply to the first billing period starting on or after the effective date; and
(b) for a rate decrease, the new rate shall apply to bills rendered on or after the effective date.
History:
L. 2003, ch. 147, § 24; May 22.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3679 Same; online registration system for sellers; requirements.

79-3679.
Same; online registration system for sellers; requirements.
(a) The secretary shall participate in an online registration system that will allow sellers to register in this state and other member states.
(b) By registering, the seller agrees to collect and remit sales and use taxes for all taxable sales into this state as well as the other member states, including member states joining after the seller's registration. Withdrawal or revocation of this state from the agreement shall not relieve a seller of its responsibility to remit taxes previously or subsequently collected on behalf of this state.
(c) If the seller has a requirement to register prior to registering under the agreement, the seller must register pursuant to K.S.A. 79-3608, and amendments thereto.
(d) Registration with the central registration system and the collection of sales and use taxes in this state shall not be used as a factor in determining whether the seller has nexus with this state for any tax at any time.
History:
L. 2003, ch. 147, § 25; May 22.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3680 Same; amnesty for sellers who register; conditions; limitations.

79-3680.
Same; amnesty for sellers who register; conditions; limitations.
(a) Subject to the limitations in this section: (1) Amnesty is granted for uncollected or unpaid sales or use tax to a seller who registers to pay or to collect and remit applicable sales or use tax on sales made to purchasers in this state in accordance with the terms of the agreement, provided that the seller was not so registered in this state in the twelve-month period preceding the effective date of this state's participation in the agreement;
(2) the amnesty will preclude assessment for uncollected or unpaid sales or use tax together with penalty or interest for sales made during the period the seller was not registered in this state, provided registration occurs within 12 months of the effective date of this state's participation in the agreement; and
(3) amnesty similarly shall be provided if this state joins the agreement after the seller has registered.
(b) The amnesty is not available to a seller with respect to any matter or matters for which the seller received notice of the commencement of an audit and which audit is not yet finally resolved including any related administrative and judicial processes.
(c) The amnesty is not available for sales or use taxes already paid or remitted to this state or to taxes collected by the seller.
(d) The amnesty is fully effective, absent the seller's fraud or intentional misrepresentation of a material fact, as long as the seller continues registration and continues payment or collection and remittance of applicable sales or use taxes for a period of at least thirty-six months. The statute of limitations applicable to asserting a tax liability during this thirty-six month period is tolled.
(e) The amnesty is applicable only to sales or use taxes due from a seller in its capacity as a seller and not to sales or use taxes due from a seller in its capacity as a buyer.
(f) This provision shall become effective as of the date that this state joins and becomes a member state of the agreement.
History:
L. 2003, ch. 147, § 26; May 22.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3681 Same; methods of remittances.

79-3681.
Same; methods of remittances.
When registering under the agreement, the seller may select one of the following methods of remittances or other method allowed by K.S.A. 79-3607, and amendments thereto, to remit the taxes collected: (a) Model 1, wherein a seller selects a certified service provider as an agent to perform all the seller's sales or use tax functions, other than the seller's obligation to remit tax on its own purchases;
(b) model 2, wherein a seller selects a certified automated system to use which calculates the amount of tax due on a transaction; or
(c) model 3, wherein a seller utilizes its own proprietary automated sales tax system that has been certified as a certified automated system.
History:
L. 2003, ch. 147, § 27; May 22.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3682 Same; citation of act; effective date.

79-3682.
Same; citation of act; effective date.
(a) The provisions of K.S.A. 79-3666 through 79-3682, and amendments thereto, shall be known and may be cited as the streamlined sales and use tax agreement conformity act.
(b) The provisions of K.S.A. 79-3666 through 79-3682 shall be effective on and after July 1, 2003.
History:
L. 2003, ch. 147, § 28; May 22.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3683 Sourcing provisions; transition period; full compliance effective date; waiver of penalties and interest under certain circumstances.

79-3683.
Sourcing provisions; transition period; full compliance effective date; waiver of penalties and interest under certain circumstances.
(a) Notwithstanding the provisions of any law to the contrary, commencing on the effective date of this act and ending December 31, 2004, for purposes of facilitating the transition by retailers to the destination-based sourcing provisions set forth in K.S.A. 79-3670 et seq., and amendments thereto, for taxable sales occurring during such time period, retailers may elect to apply the origin-based sourcing provisions in effect as of June 30, 2003. On and after January 1, 2005, all retailers must be in full compliance with the destination-based sourcing provisions set forth in K.S.A. 79-3670 et seq., and amendments thereto.
(b) Notwithstanding the provisions of any law to the contrary, the secretary or the secretary's designee, upon making a record of the reasons therefor, may waive penalties and interest that would otherwise be imposed on the unpaid balance of tax due pursuant to the provisions of K.S.A. 79-3615, and amendments thereto, and 79-3706, and amendments thereto, to the extent the unpaid balance of such tax, or any portion thereof, is attributable to reasonable causes in attempting to implement and apply the destination-based sourcing provisions set forth in K.S.A. 79-3670 et seq., and amendments thereto.
History:
L. 2004, ch. 171, § 40; July 1.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3684 Same; relief from liability of purchasers for not paying correct amount of sales or use tax in certain circumstances.

79-3684.
Same; relief from liability of purchasers for not paying correct amount of sales or use tax in certain circumstances.
(a) A purchaser is relieved from liability for penalties, other than penalties for fraudulent, willful or intentional conduct, for having failed to pay the correct amount of sales or use tax in the following circumstances:
(1) A purchaser's seller or CSP relied on erroneous data provided by the secretary on tax rates, boundaries, taxing jurisdiction assignments or in the taxability matrix completed pursuant to K.S.A. 79-3677, and amendments thereto;
(2) a purchaser holding a direct pay permit relied on erroneous data provided by the secretary on tax rates, boundaries, taxing jurisdiction assignments or in the taxability matrix completed pursuant to K.S.A. 79-3677, and amendments thereto;
(3) a purchaser relied on erroneous data provided in the taxability matrix completed pursuant to K.S.A. 79-3677, and amendments thereto; or
(4) a purchaser using databases pursuant to subsections (c) and (d) of K.S.A. 79-3668, and amendments thereto, relied on erroneous data provided by the secretary on tax rates, boundaries or taxing jurisdiction assignments, except that after the secretary has provided an address-based database for assigning taxing jurisdictions pursuant to subsection (d) of K.S.A. 79-3668, and amendments thereto, and adequate notice thereof as determined by the secretary, no liability relief is provided for errors resulting from reliance on the database provided pursuant to subsection (c) of K.S.A. 79-3668, and amendments thereto.
(b) A purchaser is relieved from liability for retailer's sales and compensating use tax and interest for having failed to pay the correct amount of sales or use tax in the circumstances described in this section, except that with respect to reliance on the taxability matrix completed pursuant to K.S.A. 79-3677, and amendments thereto, such relief is limited to an erroneous classification in such taxability matrix of terms included in a definition contained in the retailer's sales tax act as "taxable" or "exempt," "included in sales price" or "excluded from sales price," or "included in the definition" or "excluded from the definition."
History:
L. 2007, ch. 155, § 15; July 1.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3685 Same; relief from liability of CSP or certain sellers for not collecting correct amount of sales or use taxes in certain circumstances.

79-3685.
Same; relief from liability of CSP or certain sellers for not collecting correct amount of sales or use taxes in certain circumstances.
(a) If the secretary has certified a CSP's software program as a CAS after determining that the CSP's software program adequately classifies product-based exemptions, which are exemptions based on the description of the product and not based on who purchases the product or how the purchaser intends to use the product, and has accepted the classifications made by such system, then the CSP or model 2 seller is relieved from liability for not collecting sales or use taxes resulting from the CSP or model 2 seller relying on the certification provided by the secretary that the software program submitted by the CSP for review adequately classifies product-based exemptions. A CSP is relieved from liability for not collecting sales and use taxes in the same manner as sellers are relieved from liability under the provisions of K.S.A. 79-3609 and 79-3651, and amendments thereto.
(b) The secretary shall not be responsible for classification of an item or transaction within the product-based exemptions certified. The relief from liability provided in this section shall not be available for a CSP or model 2 seller that has incorrectly classified an item or transaction into a product-based exemption certified by the secretary. This subsection shall not apply to the individual listing of items or transactions within a product definition approved by the secretary. If the secretary determines that an item or transaction is incorrectly classified as to its taxability, the secretary shall notify the CSP or model 2 seller of the incorrect classification. The CSP or model 2 seller shall have 10 days to revise the classification after receipt of notice from the secretary of the determination. Upon expiration of the 10 days, the CSP or model 2 seller shall be liable for the failure to collect the correct amount of sales or use taxes due and owing.
History:
L. 2007, ch. 155, § 16; July 1.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3692 Exempt organization identification numbers; requirements and procedures.

79-3692.
Exempt organization identification numbers; requirements and procedures.
On and after January 1, 2005, any entity or organization claiming an exemption from sales tax on its purchases of tangible personal property or services based on the status of the entity or organization, under a specific exemption provided by law, shall prior to claiming any such exemption, apply to and obtain from the secretary of revenue an exempt organization identification number. The secretary shall prescribe the application form for such number, and such entity or organization shall provide with the application information sufficient to establish that such entity or organization qualifies for the sales tax exemption. Such entity shall enter the issued identification number on any exemption certificate presented to any retailer when claiming the sales tax exemption on any purchases.
History:
L. 2004, ch. 173, § 21; L. 2006, ch. 202, § 3; July 1.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3695 Rate of tax involving contracts for certain construction projects, requirements.

79-3695. Rate of tax involving contracts for certain construction projects, requirements.
If any contractor has entered into a written binding contract prior to May 1, 2015, for the original construction, reconstruction, restoration, remodeling, renovation, repair or replacement of a building, facility or residential structure, or for the construction, reconstruction, restoration, replacement or repair of a bridge or highway, the state sales tax applicable to such contracts shall be remitted at the rate in effect prior to the state sales tax increase scheduled to take effect on July 1, 2015, if the contractor gives notice and proof of such contract to the director of taxation on or before July 10, 2015, which notice and proof shall be in such form and of such sufficiency as the director shall prescribe.
History:
L. 2010, ch. 160, § 8; L. 2015, ch. 99, § 34; July 1.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 36 - Kansas Retailers' Sales Tax › 79-3696 Sales by affiliated persons; certain agreements between retailer and executive branch void unless approved by legislature.

79-3696. Sales by affiliated persons; certain agreements between retailer and executive branch void unless approved by legislature.
(a) On and after July 1, 2013, if any person sells or leases tangible personal property to the state, a state department, a state agency or an agent thereof, that person and any affiliated person shall, as a prerequisite for any such sale or lease, register with the department of revenue as a retailer and comply with all legal requirements imposed on a retailer, including the requirement to collect and remit sales or use tax on all taxable sales of tangible personal property to customers in this state.
(b) Any ruling, agreement or contract, whether written or oral, express or implied, between a retailer and this state's executive branch, or any other state agency or department, stating, agreeing or ruling that the retailer is not required to collect sales and use tax in this state despite the presence of a warehouse, distribution center or fulfillment center in the state that is owned or operated by the retailer or an affiliated person of the retailer shall be null and void, unless it is specifically approved by a majority vote of each of the chambers of the Kansas legislature.
(c) As used in this section, "affiliated person" means any person that is a member of the same "controlled group of corporations" as defined in section 1563(a) of the federal internal revenue code as the retailer or any other entity that, notwithstanding its form of organization, bears the same ownership relationship to the retailer as a corporation that is a member of the same "controlled group of corporations" as defined in section 1563(a) of the federal internal revenue code.
History:
L. 2013, ch. 87, § 9; April 25.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 37 - Kansas Compensating Tax › 79-3703 Compensating use tax imposed; rate.

79-3703. Compensating use tax imposed; rate.
(a) There is hereby levied and there shall be collected from every person in this state a tax or excise for the privilege of using, storing, or consuming within this state any article of tangible personal property. Such tax shall be levied and collected in an amount equal to the consideration paid by the taxpayer multiplied by the rate of 6.5%.
(b) Commencing on January 1, 2023, and thereafter, the state rate on the amount equal to the consideration paid by the taxpayer from the sale of food and food ingredients as provided in K.S.A. 79-3603, and amendments thereto, shall be as set forth in K.S.A. 2023 Supp. 79-3603d, and amendments thereto.
(c) On and after January 1, 2023, 17% and on and after January 1, 2025, 18% of the tax rate imposed pursuant to this section and the rate provided in K.S.A. 2023 Supp. 79-3603d, and amendments thereto, shall be levied for the state highway fund, the state highway fund purposes and those purposes specified in K.S.A. 68-416, and amendments thereto, and all revenue collected and received from such tax levy shall be deposited in the state highway fund.
(d) Within a redevelopment district established pursuant to K.S.A. 74-8921, and amendments thereto, there is hereby levied and there shall be collected and paid an additional tax of 2% until the earlier of: (1) The date the bonds issued to finance or refinance the redevelopment project undertaken in the district have been paid in full; or (2) the final scheduled maturity of the first series of bonds issued to finance the redevelopment project.
(e) All property purchased or leased within or without this state and subsequently used, stored or consumed in this state shall be subject to the compensating tax if the same property or transaction would have been subject to the Kansas retailers' sales tax had the transaction been wholly within this state.
History:
L. 1937, ch. 375, § 3; L. 1945, ch. 370, § 2; L. 1953, ch. 450, § 1; L. 1955, ch. 425, § 1; L. 1958, ch. 31, § 3 (Special Session); L. 1965, ch. 533, § 3; L. 1986, ch. 386, § 3; L. 1989, ch. 209, § 61; L. 1992, ch. 280, § 61; L. 1995, ch. 118, § 4; L. 1998, ch. 199, § 15; L. 1999, ch. 158, § 12; L. 2002, ch. 185, § 9; L. 2003, ch. 150, § 3; L. 2004, ch. 90, § 4; L. 2010, ch. 160, § 3; L. 2013, ch. 135, § 4; L. 2015, ch. 99, § 9; L. 2015, ch. 102, § 9; L. 2020, ch. 8, § 14; L. 2022, ch. 89, § 8; January 1, 2023.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 37 - Kansas Compensating Tax › 79-3703a Evidence that property was sold for use in state.

79-3703a.
Evidence that property was sold for use in state.
For the purpose of the proper administration of this act and to prevent evasion of the tax, evidence that tangible personal property was sold by any person for delivery in this state shall be prima facie evidence that such tangible personal property was sold for use in this state.
History:
L. 1945, ch. 370, § 3; June 30.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 37 - Kansas Compensating Tax › 79-3704 Exemptions.

79-3704.
Exemptions.
The provisions of this act shall not apply:
(a) In respect to the use, storage or consumption of any article of tangible personal property brought into the state of Kansas by a nonresident who is within the state for not to exceed sixty (60) days for his or her use or enjoyment while within the state; or by a railroad or public utility for consumption or movement in interstate commerce;
(b) In respect to the use, storage or consumption of tangible personal property purchased other than at retail; as defined in K.S.A. 79-3602;
(c) In respect to the use, storage or consumption of any article of tangible personal property the sale or use of which has already been subjected to a tax equal to or in excess of that imposed by this act whether under the laws of this state or of some other state of the United States;
(d) In respect to the use, storage or consumption of any article of tangible personal property brought into or used within the state of Kansas if such article of tangible personal property would not have been subject to tax under the provisions of the retailers' sales tax act of this state if purchased within this state.
History:
L. 1937, ch. 375, § 4; L. 1945, ch. 370, § 4; L. 1967, ch. 503, § 1; April 29.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 37 - Kansas Compensating Tax › 79-3705 Rate where article already subjected to tax.

79-3705.
Rate where article already subjected to tax.
If any article of tangible personal property has already been subjected to a tax by this or any other state in respect to its sale or use in an amount less than the tax imposed by this act, the provisions of this act shall apply, but at a rate measured by the difference only between the rate herein fixed and the rate by which the previous tax upon the sale or use was computed.
History: L. 1937, ch. 375, § 5; May 30.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 37 - Kansas Compensating Tax › 79-3705a Tax paid by consumer or user; duty of retailer; returns.

79-3705a.
Tax paid by consumer or user; duty of retailer; returns.
The tax levied under K.S.A. 79-3703, and amendments thereto, shall be paid by the consumer or user to the retailer and it shall be the duty of each and every retailer to collect from the consumer or user the full amount of the tax imposed by this act. Such tax shall be a debt from the consumer or user to the retailer when added to the original purchase price, and shall be recoverable at law in the same manner as other debts. If the tax levied under K.S.A. 79-3703, and amendments thereto, is not collected by the retailer, then the person using, consuming or storing tangible personal property in this state shall file a return and pay the tax, as required by K.S.A. 79-3706, and amendments thereto, notwithstanding the foregoing provisions of this section or any other provision of the Kansas compensating tax act.
History:
L. 1945, ch. 370, § 5; L. 1985, ch. 332, § 1; April 11.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 37 - Kansas Compensating Tax › 79-3705b Assumption of tax by retailer unlawful.

79-3705b.
Assumption of tax by retailer unlawful.
It shall be unlawful for any retailer to advertise or hold out, or state to the public, or to any consumer, directly or indirectly, that the tax, or any part thereof, imposed by this act will be assumed or absorbed by the retailer, or that it will not be considered as an element in the price to the consumer, or if collected, that it, or any part thereof, will be refunded.
History:
L. 1945, ch. 370, § 6; June 30.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 37 - Kansas Compensating Tax › 79-3705c Collection of tax and other duties of retailers.

79-3705c.
Collection of tax and other duties of retailers.
Every retailer doing business in this state and making sales of tangible personal property for use, storage or consumption in this state, not exempted under the provisions of this act, shall at the time of making such sales, whether within or without the state, collect the tax imposed by this act from the purchaser, and give the purchaser a receipt therefor. Each such retailer shall list with the director the name and address of all his or her agents operating in this state, and the location of any and all his or her distribution or sales houses or offices or other places of business in this state.
History:
L. 1945, ch. 370, § 7; L. 1957, ch. 511, § 2; June 29.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 37 - Kansas Compensating Tax › 79-3705d Collection by retailer not doing business within state; permit; cancellation.

79-3705d.
Collection by retailer not doing business within state; permit; cancellation.
The secretary of revenue or the secretary's designee may upon application, authorize the collection of the tax herein imposed by any retailer not doing business within this state. Such retailer shall be issued, without charge, a permit to collect such tax in such manner, and subject to such regulations and agreements as the secretary shall prescribe. When so authorized, it shall be the duty of such retailer to collect the tax upon all tangible personal property sold for use, storage or consumption within this state, in the same manner and subject to the same requirements as a retailer doing business within this state. Such authority and permit may be canceled when, at any time, the secretary or the secretary's designee considers such tax can more effectively be collected from the person using, storing or consuming such property in this state.
History:
L. 1945, ch. 370, § 8; L. 1957, ch. 511, § 3; L. 1989, ch. 291, § 11; April 27.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 37 - Kansas Compensating Tax › 79-3705e Tax collected as debt owed by retailer.

79-3705e.
Tax collected as debt owed by retailer.
The tax herein required to be collected by any retailer pursuant to this act, and any tax collected by any retailer pursuant to this act, shall constitute a debt owed by the retailer to this state.
History:
L. 1945, ch. 370, § 9; June 30.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 37 - Kansas Compensating Tax › 79-3708 Penalties for violations.

79-3708.
Penalties for violations.
Any retailer or person who fails to make a return, or to pay any tax herein provided, or who makes a false or fraudulent return, or who willfully violates any regulation of the director for the enforcement and administration of this act, or aids and abets another in attempting to evade the payment of any tax imposed by this act, or who violates any other provision of this act, shall, upon conviction thereof, be fined not less than one hundred dollars nor more than one thousand dollars or be imprisoned in the county jail not less than one month, nor more than six months, or be both so fined and imprisoned, in the discretion of the court.
History:
L. 1937, ch. 375, § 8; L. 1945, ch. 370, § 12; June 30.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 37 - Kansas Compensating Tax › 79-3709 Collection procedure when tax not paid.

79-3709.
Collection procedure when tax not paid.
Whenever any taxpayer or person liable to pay any tax provided by this act refuses or neglects to pay the same, the amount thereof, including any interest or penalty, shall be collected in the manner provided by K.S.A. 79-3617.
History:
L. 1937, ch. 375, § 9; L. 1945, ch. 370, § 14; June 30.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 37 - Kansas Compensating Tax › 79-3711 Invalidity of part.

79-3711.
Invalidity of part.
If any section, subsection, clause, sentence or phrase of this act is for any reason held to be unconstitutional and invalid, such decision shall not affect the validity of the remaining portion of this act.
History:
L. 1937, ch. 375, § 11; May 30.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 37 - Kansas Compensating Tax › 79-3712 Registration and filing information, when.

79-3712.
Registration and filing information, when.
The director of taxation may require any retailer, vendor, user or consumer of tangible personal property, incurring compensating (use) tax liability under article 37, chapter 79, Kansas Statutes Annotated, prior to engaging in business within the state of Kansas, to register and file such information as the director deems pertinent.
History:
L. 1951, ch. 499, § 1; June 30.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 37 - Kansas Compensating Tax › 79-3713 Bond may be required.

79-3713.
Bond may be required.
When in the judgment of the director of taxation, it is necessary, in order to secure the collection of any tax, penalties or interest, due, or to become due, under article 37, chapter 79, Kansas Statutes Annotated, he or she may require any person subject to such tax to file a bond with the director of taxation in such form and amount as the director of taxation may prescribe.
History:
L. 1951, ch. 499, § 2; June 30.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 40 - Municipal Tax Levies › 79-4001 General improvements for library purposes; tax levy, use of proceeds; election required.

79-4001.
General improvements for library purposes; tax levy, use of proceeds; election required.
Any municipality, as the same is defined in K.S.A. 10-1101, is hereby authorized to make an annual tax levy not to exceed two mills for the purpose of creating and providing a special fund to be used in making any general improvement which such municipality is authorized by law to make, or, to be used to remodel, construct, reconstruct, furnish and equip an addition or annex to any library being operated and maintained by such municipality, and in the case of cities, counties and school districts, to pay a portion of the principal and interest on bonds issued by cities under the authority of K.S.A. 12-1774, and amendments thereto, for the financing of redevelopment projects upon property located in such county or such school district. The governing body of such municipalities shall by resolution submit the question of making such levy to the qualified electors of the municipality at any general election or at a special election called for such purpose. The question as stated on the ballot shall show the nature of the improvement contemplated, the total amount to be raised by taxes, and the period over which such levy is to be made, which shall in no case exceed ten (10) years. If a majority of those voting on such proposition vote in favor thereof, the governing body shall make said levy and create such fund, the principal and interest thereof to be used for the purpose authorized. Such levy shall be in addition to all other levies authorized by law and none of the limitations of article 19 of chapter 79 of the Kansas Statutes Annotated, or acts amendatory thereof or supplemental thereto, shall apply to such levy. Whenever tax levies have been approved and the fund created as provided for in this section in any city, and thereafter, it becomes evident that the city will be unable to use the fund for the specific purposes herein provided for because of urban renewal plans approved by the federal government providing for the removal of the library building, the governing board of such city shall be and is hereby authorized to use such fund so accumulated for the purposes of purchasing and improving a library or sites, constructing, furnishing, equipping, remodeling or making additions to library buildings, and may continue to make the tax levy for the purposes hereinbefore specified for the period provided, but not to exceed a total of ten (10) years in any case; and said governing board is further authorized to use such funds derived from tax levies to prepay rent under leases with a public building commission as provided for under K.S.A. 12-1757 et seq., and acts amendatory thereof.
History:
L. 1949, ch. 490, § 1; L. 1955, ch. 426, § 1; L. 1968, ch. 171, § 1; L. 1979, ch. 52, § 198; July 1.
2023 Kansas Statutes › Chapter 79 - Taxation › Article 40 - Municipal Tax Levies › 79-4002 Same; expenditures from fund; bonds.

79-4002.
Same; expenditures from fund; bonds.
At any time after fifty percent of the amount proposed to be raised has been collected the governing body of the municipality may make expenditures from the fund for architectural or engineering services, for the purchase of ground, for the construction of a building and the equipping thereof as authorized at the time of creating such fund. Should there be insufficient moneys in such fund at the time the governing body desires to make such expenditures, said governing body may issue and sell bonds of the municipality in an amount not to exceed twenty-five percent of the total amount authorized for the special fund to supplement the funds on hand. Nothing in this act shall prevent the use by the governing body of any available federal or state aid in the making of the improvement.
History:
L. 1949, ch. 490, § 2; June 30.