79-32,160a. Tax credits for establishment of qualified business facility; conditions; amount; limitations; investment in certain counties; transferability. (a) For taxable years commencing after December 31, 1999, and before January 1, 2012, any taxpayer who shall invest in a qualified business facility, as defined in K.S.A. 79-32,154(b), and amendments thereto, and effective for tax years commencing after December 31, 2010, and before January 1, 2012, located in an area other than a metropolitan county as defined in either K.S.A. 74-50,114 or 74-50,211, and amendments thereto, and also meets the definition of a business in K.S.A. 74-50,114(b), and amendments thereto, shall be allowed a credit for such investment, in an amount determined under subsection (b) or (c), as the case requires, against the tax imposed by the Kansas income tax act or where the qualified business facility is the principal place from which the trade or business of the taxpayer is directed or managed and the facility has facilitated the creation of at least 20 new full-time positions, against the premium tax or privilege fees imposed pursuant to K.S.A. 40-252, and amendments thereto, or as measured by the net income of financial institutions imposed pursuant to article 11 of chapter 79 of the Kansas Statutes Annotated, and amendments thereto, for the taxable year during which commencement of commercial operations, as defined in K.S.A. 79-32,154(f), and amendments thereto, occurs at such qualified business facility. In the case of a taxpayer who meets the definition of a manufacturing business in K.S.A. 74-50,114(d), and amendments thereto, no credit shall be allowed under this section unless the number of qualified business facility employees, as determined under K.S.A. 79-32,154(d), and amendments thereto, engaged or maintained in employment at the qualified business facility as a direct result of the investment by the taxpayer for the taxable year for which the credit is claimed equals or exceeds two. In the case of a taxpayer who meets the definition of a nonmanufacturing business in K.S.A. 74-50,114(f), and amendments thereto, no credit shall be allowed under this section unless the number of qualified business facility employees, as determined under K.S.A. 79-32,154(d), and amendments thereto, engaged or maintained in employment at the qualified business facility as a direct result of the investment by the taxpayer for the taxable year for which the credit is claimed equals or exceeds five. Where an employee performs services for the taxpayer outside the qualified business facility, the employee shall be considered engaged or maintained in employment at the qualified business facility if: (1) The employee's service performed outside the qualified business facility is incidental to the employee's service inside the qualified business facility; or (2) the base of operations or, the place from which the service is directed or controlled, is at the qualified business facility.
(b) The credit allowed by subsection (a) for any taxpayer who invests in a qualified business facility that is located in a designated nonmetropolitan region established under K.S.A. 74-50,116, and amendments thereto, on or after the effective date of this act, shall be a portion of the income tax imposed by the Kansas income tax act on the taxpayer's Kansas taxable income, the premium tax or privilege fees imposed pursuant to K.S.A. 40-252, and amendments thereto, or the privilege tax as measured by the net income of financial institutions imposed pursuant to article 11 of chapter 79 of the Kansas Statutes Annotated, and amendments thereto, for the taxable year for which such credit is allowed, but in the case where the qualified business facility investment was made prior to January 1, 1996, not in excess of 50% of such tax. Such portion shall be an amount equal to the sum of the following:
(1) $2,500 for each qualified business facility employee determined under K.S.A. 79-32,154, and amendments thereto; plus
(2) $1,000 for each $100,000, or major fraction thereof, which shall be deemed to be 51% or more, in qualified business facility investment, as determined under K.S.A. 79-32,154, and amendments thereto.
(c) The credit allowed by subsection (a) for any taxpayer who invests in a qualified business facility that is not located in a nonmetropolitan region established under K.S.A. 74-50,116, and amendments thereto, and effective for tax years commencing after December 31, 2010, and before January 1, 2012, located in an area other than a metropolitan county as defined in either K.S.A. 74-50,114 or 74-50,211, and amendments thereto, and that also meets the definition of business in K.S.A. 74-50,114(b), and amendments thereto, on or after the effective date of this act, shall be a portion of the income tax imposed by the Kansas income tax act on the taxpayer's Kansas taxable income, the premium tax or privilege fees imposed pursuant to K.S.A. 40-252, and amendments thereto, or the privilege tax as measured by the net income of financial institutions imposed pursuant to article 11 of chapter 79 of the Kansas Statutes Annotated, and amendments thereto, for the taxable year for which such credit is allowed, but in the case where the qualified business facility investment was made prior to January 1, 1996, not in excess of 50% of such tax. Such portion shall be an amount equal to the sum of the following:
(1) $1,500 for each qualified business facility employee as determined under K.S.A. 79-32,154, and amendments thereto; and
(2) $1,000 for each $100,000, or major fraction thereof, which shall be deemed to be 51% or more, in qualified business facility investment as determined under K.S.A. 79-32,154, and amendments thereto.
(d) The credit allowed by subsection (a) for each qualified business facility employee and for qualified business facility investment shall be a one-time credit. If the amount of the credit allowed under subsection (a) exceeds the tax imposed by the Kansas income tax act on the taxpayer's Kansas taxable income, the premium tax and privilege fees imposed pursuant to K.S.A. 40-252, and amendments thereto, or the privilege tax as measured by the net income of financial institutions imposed pursuant to article 11 of chapter 79 of the Kansas Statutes Annotated, and amendments thereto, for the taxable year, or in the case where the qualified business facility investment was made prior to January 1, 1996, 50% of such tax imposed upon the amount which exceeds such tax liability or such portion thereof may be carried over for credit in the same manner in the succeeding taxable years until the total amount of such credit is used. Except that, before the credit is allowed, a taxpayer, who meets the definition of a manufacturing business in K.S.A. 74-50,114(d), and amendments thereto, shall recertify annually that the net increase of a minimum of two qualified business facility employees has continued to be maintained and a taxpayer, who meets the definition of a nonmanufacturing business in K.S.A. 74-50,114(f), and amendments thereto, shall recertify annually that the net increase of a minimum of five qualified business employees has continued to be maintained.
(e) Notwithstanding the foregoing provisions of this section, and except as otherwise provided in this subsection, any taxpayer qualified and certified under the provisions of K.S.A. 74-50,131, and amendments thereto, that prior to making a commitment to invest in a qualified Kansas business, has filed a certificate of intent to invest in a qualified business facility in a form satisfactory to the secretary of commerce, shall be entitled to a credit in an amount equal to 10% of that portion of the qualified business facility investment that exceeds $50,000 in lieu of the credit provided in subsection (b)(2) or (c)(2) without regard to the number of qualified business facility employees engaged or maintained in employment at the qualified business facility. For tax years beginning on or after January 1, 2012, for a qualified business facility investment in Douglas, Johnson, Sedgwick, Shawnee or Wyandotte county, such credit shall be in an amount equal to 10% of that portion of the qualified business facility investment that exceeds $1,000,000. Any taxpayer who has filed a certificate of intent to invest in a qualified business facility pursuant to this subsection in Douglas, Johnson, Sedgwick, Shawnee or Wyandotte county prior to December 31, 2011, and commences investments in a qualified business facility prior to December 31, 2013, may claim credits under K.S.A. 74-50,131, 74-50,132 and 79-32,160a(e), and amendments thereto, in an amount equal to 10% of that portion of the qualified business facility investment that exceeds $50,000. Timing modifications may be authorized at the discretion of the secretary of commerce and the secretary of revenue during the transition period. The credit allowed by this subsection shall be a one-time credit. If the amount thereof exceeds the tax imposed by the Kansas income tax act on the taxpayer's Kansas taxable income or the premium tax or privilege fees imposed pursuant to K.S.A. 40-252, and amendments thereto, or the privilege tax as measured by net income of financial institutions imposed pursuant to article 11 of chapter 79 of the Kansas Statutes Annotated, and amendments thereto, for the taxable year, the amount thereof that exceeds such tax liability may be carried forward for credit in the succeeding taxable year or years until the total amount of the tax credit is used, except that no such tax credit shall be carried forward for deduction after the 16th taxable year succeeding the taxable year in which such credit initially was claimed, and no carryforward shall be allowed for deduction in any succeeding taxable year unless the taxpayer certifies under oath that the taxpayer continues to meet the requirements of K.S.A. 74-50,131, and amendments thereto, and this act. In no event shall any credit allowed under this section that expired during any taxable year prior to the taxable year commencing January 1, 2011, be revived under the provisions of this act.
(f) For projects placed into service on and after January 1, 2021, a taxpayer may transfer up to 50% of the tax credit allowed under subsection (e), as provided in this subsection. The taxpayer may make a transfer to one or more transferees, but the total of all transfers shall not exceed 50% of the taxpayer's tax credit. The taxpayer shall make the transfer or transfers within a single tax year. The credit may be transferred to any individual or entity and shall be claimed in the year the credit was transferred against the transferee's tax liability for the income tax under the Kansas income tax act or the premium tax or privilege fees imposed pursuant to K.S.A. 40-252, and amendments thereto, or the privilege tax as measured by the net income of financial institutions imposed pursuant to article 11 of chapter 79 of the Kansas Statutes Annotated, and amendments thereto. The amount of the credit that exceeds the transferee's tax liability for such year may be carried forward for credit in the succeeding taxable year or years until the total amount of the tax credit is used, except that no such credit shall be carried forward for deduction after the 16th taxable year succeeding the taxable year in which such credit was initially claimed. The taxpayer or transferee shall provide such documentation of the tax credit transfer to the secretary of revenue as may be required by the secretary.
(g) In the event the tax credit earned by the taxpayer and transferred to a transferee is later disallowed in whole or in part by the secretary of revenue, the taxpayer that originally earned the tax credit shall be liable for repayment to the state in the amount disallowed.
(h) For tax years commencing after December 31, 2005, any taxpayer claiming credits pursuant to this section, as a condition for claiming and qualifying for such credits, shall provide information pursuant to K.S.A. 79-32,243, and amendments thereto, as part of the tax return in which such credits are claimed. Such credits shall not be denied solely on the basis of the contents of the information provided by the taxpayer pursuant to K.S.A. 79-32,243, and amendments thereto.
(i) This section and K.S.A. 79-32,160b, and amendments thereto, shall be a part of and supplemental to the job expansion and investment credit act of 1976, and amendments thereto.
History: L. 1992, ch. 202, § 8; L. 1993, ch. 172, § 4; L. 1996, ch. 207, § 4; L. 1998, ch. 136, § 6; L. 2000, ch. 157, § 9; L. 2003, ch. 154, § 95; L. 2006, ch. 203, § 11; L. 2010, ch. 144, § 10; L. 2011, ch. 115, § 14; L. 2013, ch. 133, § 36; L. 2021, ch. 41, § 2; July 1.
Structure Kansas Statutes
79-3221d Designation of income tax refund for nongame wildlife improvement program; form.
79-3221e Disposition of moneys received pursuant to 79-3221d; limitation on expenditures.
79-3221f Kansas World War II Memorial Fund income tax checkoff; disposition of proceeds.
79-3221h Plant and animal disease and pest control fund.
79-3221i Kansas military emergency relief fund checkoff; disposition of moneys.
79-3221j Kansas breast cancer research fund checkoff; disposition of moneys; required report.
79-3221k Kansas hometown heroes fund checkoff; disposition of moneys.
79-3221m Kansas creative arts industries commission checkoff fund; disposition of moneys.
79-3221n Local school district contribution program checkoff; disposition of moneys.
79-3221o Individual tax returns; preclusion from including line for reporting compensating use tax.
79-3223 Records and special returns.
79-3225 Time for payment of tax; cancellation of tax; extension of time; interest.
79-3228 Penalties and interest.
79-3228a Failure to file or filing of insufficient return, mandamus action permitted.
79-3229 Jeopardy assessments, when; procedures; closing of taxable period.
79-3233 Powers of secretary or designee.
79-3233a Compromise of delinquent income taxes of taxpayers; procedure; rules and regulations.
79-3233b Same; annual report by director; filing.
79-3233e Abatement of certain income tax liabilities.
79-3233h Same; uncollectible accounts; death of individual or dissolution of corporation.
79-3233j Offset of tax overpayments against tax underpayments.
79-3234 Tax information; preservation; limits on dissemination and use; penalty for violations.
79-3235 Collection of delinquent taxes; tax lien.
79-3236 Rules and regulations.
79-3268 Taxpayer bill of rights and privileges.
79-3268a Taxpayer bill of rights; department of revenue correspondence with taxpayer; requirements.
79-3268b Same; duty of department to comply with taxpayer's designation of representative.
79-3268c Same; waiver of penalties.
79-3268d Same; closing letters.
79-3268e Same; department of revenue correspondence with taxpayer; requirements.
79-3268f Same; duty of department to comply with taxpayer's designation of representative.
79-3268g Same; waiver of penalties.
79-3268h Same; closing letters.
79-3269 Tax treatment of professional employer organizations; definitions.
79-3271 Apportionment of net income; definitions.
79-3272 Same; allocation and apportionment.
79-3273 Same; taxpayer taxable in another state.
79-3274 Apportionment of net income; nonbusiness income allocation.
79-3275 Same; rents and royalties; extent of utilization of tangible personal property.
79-3276 Same; capital gains and losses from sales of property.
79-3277 Same; interest and dividends.
79-3278 Same; patent and copyright royalties.
79-3279 Apportionment of net income; apportionment of business income; requirements; procedures.
79-3280 Same; property factor defined.
79-3281 Same; property owned or rented, value; net annual rate.
79-3282 Same; average value of property.
79-3284 Same; compensation for services; when payment in state.
79-3286 Same; sales of tangible personal property in state.
79-3287 Same; sales in state; income-producing activity.
79-3288b Election of treatment of income; timing; duration.
79-3289 Same; construction of act.
79-3292 Same; act supplemental to income tax act.
79-3293 Same; application of 79-3271 to 79-3292.
79-3293a Application of 79-3271, 79-3279 and 79-3288b.
79-3293b Application of 79-3271 and 79-3279.
79-3294 Withholding tax; title; relationship to Kansas income tax act.
79-3294a Withholding tax; injunctions.
79-3294b Same; bond to secure collection.
79-3295 Withholding tax; definitions.
79-3296 Withholding tax; employer's requirement to withhold; agreements of the secretary.
79-3298 Withholding tax from wages; employers' return filing requirements; remittance of tax, when.
79-32,100 Same; nondeductibility of withholding; credit allowed; refunds.
79-32,100a Withholding tax; deduction by payer required.
79-32,100b Same; liability of employer or payer for payment; employee action prohibited.
79-32,100c Same; failure to withhold, consequences; persons designated as employers.
79-32,100f Withholding tax; temporarily teleworking employees during COVID-19 pandemic.
79-32,101 Declaration of estimated tax, when; procedure.
79-32,102 Same; time of filing of certain declarations.
79-32,103 Time of payment of estimated tax.
79-32,104 Amount paid upon declarations of estimated tax; payments as credit against income tax.
79-32,106 Employers' and fiduciaries' liability for tax required to be withheld.
79-32,107a Application of 79-32,107.
79-32,107b Application of 79-32,101, 79-32,102, 79-32,103 and 79-32,107.
79-32,108 Severability; captions.
79-32,108a Withholding registration certificate required; procedure.
79-32,110 Tax imposed; classes of taxpayers; rates.
79-32,111 Credits against tax.
79-32,111c Credit against tax for household and dependent care expenses; limitation.
79-32,113 Exempted organizations; requirements and restrictions.
79-32,114 Accounting periods and methods.
79-32,115 Rules pertaining to husbands and wives.
79-32,116 Kansas taxable income of an individual.
79-32,117b Same; abatement and refund of taxes paid; claims.
79-32,117c Same; compensation defined.
79-32,117e Federal income tax rebate exempt from Kansas income tax.
79-32,117r Unemployment compensation attributed to identity fraud exempt from Kansas income tax.
79-32,118 Kansas deduction of an individual.
79-32,119 Kansas standard deduction of an individual.
79-32,120 Kansas itemized deductions of an individual.
79-32,121 Kansas personal exemption of an individual.
79-32,121a Application of 79-32,121.
79-32,129 Partners, not partnership, subject to tax.
79-32,131 Partnership modification for a partner.
79-32,133 Determination of distributive share.
79-32,134 Kansas taxable income of a resident estate or trust.
79-32,135 Share of a resident estate, trust, or beneficiary in Kansas fiduciary adjustments.
79-32,136 Kansas taxable income of a nonresident estate or trust.
79-32,137 Share of a nonresident estate, trust or beneficiary in income from sources within Kansas.
79-32,138 Kansas taxable income of corporations; addition and subtraction modifications.
79-32,139 Taxation of subchapter S corporate income.
79-32,140 Credit for taxes paid in section 337 liquidation.
79-32,140a Accrual of interest and penalties on underpayment or overpayment of income tax.
79-32,141 Allocation of income and deductions.
79-32,142 Consolidated returns.
79-32,143 Kansas net operating loss for corporations.
79-32,152l Application of act.
79-32,152m Application of 79-3230, 79-32,101 and 79-32,107.
79-32,152n Application of 79-32,176.
79-32,152o Application of 79-32,117.
79-32,152p Application of 79-32,110, 79-32,119 and 79-32,120.
79-32,152q Application of 79-32,117.
79-32,152r Application of 79-1117 and 79-32,176.
79-32,155 Same; election to defer credit.
79-32,158 Same; rules and regulations.
79-32,159 Application of 79-32,111 and 79-32,153 to 79-32,158.
79-32,159a Application of 79-32,153 and 79-32,154.
79-32,159b Applicability of 1986 amendments.
79-32,159c Application of 79-32,153, 79-32,154, 79-32,155, 79-32,156, 79-32,157 and 79-32,159b.
79-32,160b Planned project within existing enterprise zone; tax election; prior act.
79-32,160c Application of act.
79-32,160e Application of act.
79-32,178 Rules and regulations.
79-32,179 Application of 79-1117, 79-1118, 79-32,117 and 79-32,175 to 79-32,178.
79-32,180 Application of 79-32,175 to 79-32,177, inclusive.
79-32,181a Credit against tax for interest rate reductions on certain agricultural production loans.
79-32,188 Severability of provisions of act.
79-32,190 Child day care assistance tax credit for corporations; amount.
79-32,191 Application of 79-32,190.
79-32,194 Community services contribution income and privilege tax credit; citation of act.
79-32,195 Tax credits for community services contributions; definitions.
79-32,196 Same; eligibility criteria for credit; limited retroactivity.
79-32,197 Same; amount of credit, carryover.
79-32,197a Same; assignability of credits.
79-32,199 Application of 79-32,194 through 79-32,198.
79-32,199a Application of 79-32,195, 79-32,197 and 79-32,197a.
79-32,199b Application of 79-32,195, 79-32,197 and 79-32,197a.
79-32,202a Tax credit for adoption expenses.
79-32,203 Tax credits for expenditures related to nongame and endangered species.
79-32,205 Earned income tax credit.
79-32,206 Credit for property tax paid on commercial and industrial machinery and equipment.
79-32,207 Kansas income tax credit for corporations for plugging abandoned oil or gas well.
79-32,209 Federal innocent spouse rule conformity.
79-32,212 Kansas income tax credit for single city port authority.
79-32,214 Amended returns to be filed by taxpayers receiving certain refund of property taxes.
79-32,217 Refineries; credit for certain investments; definitions.
79-32,218 Same; amount of credit; requirements.
79-32,219 Same; pass-through entities.
79-32,220 Same; claim for credit.
79-32,221 Same; accelerated depreciation, deduction.
79-32,222 Same; credit for certain environmental compliance expenditures.
79-32,223 Crude oil or natural gas pipelines; credits for certain investments; definitions.
79-32,224 Same; amount of credit; requirements.
79-32,225 Same; pass-through entities.
79-32,226 Same; claim for credit.
79-32,227 Same; accelerated depreciation, deduction.
79-32,229 Same; amount of credit; requirements.
79-32,230 Same; pass-through entities.
79-32,231 Same; claim for credit.
79-32,232 Same; accelerated depreciation, deduction.
79-32,233 Biomass-to-energy plants; credits for certain investments; definitions.
79-32,234 Same; amount of credit; requirements.
79-32,235 Same; pass-through entities.
79-32,236 Same; claim for credit.
79-32,237 Same; accelerated depreciation, deduction.
79-32,238 Integrated coal gasification power plants; credits for certain investments; definitions.
79-32,239 Same; amount of credit; requirements.
79-32,240 Same; pass-through entities.
79-32,241 Same; claim for credit.
79-32,243 Information required by taxpayer to claim income tax credits.
79-32,245 Renewable electric cogeneration facilities; credits for certain investments; definitions.
79-32,246 Same; amount of credit; requirements.
79-32,247 Same; pass-through entities.
79-32,248 Same; claim for credit.
79-32,249 Same; accelerated depreciation, deduction.
79-32,251 Biofuel storage and blending equipment; credits for certain investments; definitions.
79-32,252 Same; amount of credit; requirements.
79-32,253 Same; pass-through entities.
79-32,254 Same; claim for credit.
79-32,255 Same; accelerated depreciation; deduction.
79-32,260 Same; expiration of act; amount, limitations.
79-32,264 Limitations on tax credits; credits allowed and amounts to be carried forward.
79-32,265 Limitation on income tax credits allowed; valid social security numbers required.
79-32,267 Tax credit for certain taxpayers domiciled in a rural opportunity zone.
79-32,271 Tax credit for certain taxpayers who purchased food in this state.
79-32,274 Tax credit for contribution to Eisenhower foundation.
79-32,275 Tax credit for contributions to friends of cedar crest association.
79-32,277 Kansas taxpayer protection act; title and effective date.
79-32,279 Same; duties of paid tax return preparers; penalty, when.
79-32,280 Same; actions to enjoin prohibited conduct; reporting.
79-32,281 Same; jurisdiction; venue; consent judgment.