Agency 92, Article 12 — INCOME TAX

(Authorized by K.S.A. 79-3236; ef- fective Jan. 1, 1968; revoked May 1, 1982.)

Sales factor; sales other than sales of tangible personal property in this state. (a) Gross receipts from transactions other than sales of tangible personal property (includ- ing transactions with the United States govern- ment) are attributed to this state if the income producin…

Special rules; in general. K.S.A. 79-3288 and 79-4301, article IV.18. permit a departure from the allocation and apportion- ment provisions of K.S.A. 79-3271 et seq., and 79- 4301, article IV in limited and specific cases. This regulation may be invoked in specific cases where un…

Special rules; property fac- tor. The following special rules are established in respect to the property factor of the apportion- ment formula: (a) If the subrents taken into ac- count in determining the net annual rental rate under K.A.R. 92-12-89 produce a negative or clearly i…

Special rules; sales factor. The following special rules are established in respect to the sales factor of the apportionment formula: (a) Where substantial amounts of gross receipts arise from an incidental or occasional sale of a fixed asset used in the regular course of the tax…

(Authorized by K.S.A. 79-3236, 79-3291; effective May 1, 1979; revoked May 1, 1982.)

Contribution to income; debtor setoff. (a) As used in K.S.A. 75-6202, and amendments thereto, “contribution to income” shall mean that portion of the income of a spouse filing a joint return that is subject to withhold- ing, or that can be otherwise determined, from information f…

Composite returns for non- resident partners and shareholders. (a) Any partnership or S corporation required to file a re- turn under the Kansas income tax act may file a composite income tax return for all nonresident partners or nonresident shareholders that derive income from …

Report of income adjusted by internal revenue service. The revenue agent’s report detailing adjustments made by the internal revenue service and the amended return report- ing these adjustments to the director shall be sent separate from any other document except those required b…

Credits for income taxes paid to other states. (a) The credit for income tax paid to another state allowed by K.S.A. 79-32,111, and amendments thereto, shall be limited to the net amount of income taxes actually paid to anoth- er state. The net amount of income taxes actually pai…

Combined income method of reporting; surtax exemption. Each corporation filing a Kansas income tax return using the com- binedincomemethodofreportingwithmorethan one entity of the combined group doing business in Kansas, may report the total Kansas combined income and pay the tax…

Special rules; airlines. (a) Ap- portionment of business income. When an airline has income from sources both within and with- out the state of Kansas, the amount of business income from sources within the state of Kansas shall be determined pursuant to this regulation. (b) The f…

Sales factor numerator; as- signment of sales of a corporation which is a member of a unitary group of corporations. (a) The Kansas destination sales of tangible prop- 669 Income Tax 92-12-120 erty of a corporation shall be assigned to the Kan- sas sales factor numerator if the K…

Credit for property tax paid on commercial and industrial machinery and equipment; tax receipts. (a) If the amount of the business machinery and equipment credit claimed by a taxpayer on credit schedule K-64 is more than $500, the taxpayer shall submit a copy of each property tax…

Determining transportation income within a unitary group. If a unitary group of corporations consists of one or more corporations engaged in railroad or interstate motor carrier operations, including the interstate transport of persons or property for hire by rail or motor carrie…

(Authorized by K.S.A. 79-3236, 79-32,112; effective Jan. 1, 1968; amended Jan. 1, 1972; amended May 1, 1976; revoked, E-80-2, Jan. 18, 1979; revoked May 1, 1979.)

Definition of qualified tax- payer. A “qualified taxpayer,” as defined in K.S.A. 79-32,211(b)(4) and amendments thereto, shall 670 DEPARTMENT OF REVENUE 92-12-121 not be considered to be a “community service or- ganization,” as defined in K.S.A. 79-32,195(d) and amendments theret…

Incurred qualified expen- ditures. Before a qualified taxpayer may qual- ify for a credit allowed under K.S.A. 79-32,211, and amendments thereto, both of the following conditions shall have been met: (a) The qualified taxpayer has incurred “qualified expenditures,” as defined in …

(Authorized by K.S.A. 79-3236, 79-32,112; effective Jan. 1, 1968; amended Jan. 1, 1969; amended Jan. 1, 1970; amended, E-71-8, Jan. 1, 1971; amended Jan. 1, 1972; amended Jan. 1, 1974; amended May 1, 1976; revoked, E-80-2, Jan. 18, 1979; revoked May 1, 1979.)

Amount of tax credit. For each employer that has established a “small em- ployer health benefit plan” or made any contri- butions to the “health savings account” of an “el- igible employee,” as these terms are defined in K.S.A. 40-2239 and amendments thereto, after December 31, 2…

Persons and organizations ex- empt from Kansas income tax. A person or or- ganization claiming an exemption from Kansas in- come taxation under the provisions of subsection (a) of K.S.A. 1980 Supp. 79-32,113 shall submit evidence to the director of the person’s or organi- zation’…

Definitions. (a) “Contribution” shall include the donation of cash, stocks and bonds, personal property, or real estate. (1) Stocks and bonds shall be valued at the stock market price on the date of the transfer. (2) Personal property shall be valued at the less- er of its fair m…

Tax credit agreement. (a) The chief executive officer of each educational insti- tution for which an allocation of tax credits has been authorized pursuant to K.S.A. 79-32,261, and amendments thereto, shall enter into an annual tax credit agreement with the secretary for the educ…

Tax credit application. (a) Each contributor making a contribution to an edu- cationalinstitution,ortoanendowmentassociation or foundation on behalf of the educational institu- tion,shallcompleteataxcreditapplicationwiththe educational institution, endowment association, or found…

Quarterly reports. The chief executive officer of each educational institution shall submit or cause to be submitted a quarter- ly report indicating the amount of contributions qualifying for tax credits. This report shall be submitted to the secretary on a form furnished by the …

Reallocation of credits. (a) If a community college or technical college does not receive contributions sufficient to generate quali- fying tax credits for the full amount of the annual allocation in the tax credit agreement, those re- maining tax credits shall not be reallocated…

Transfer of tax credits. (a) Any tax credits earned by a not-for-profit contributor not subject to Kansas income, privilege, or pre- miums tax may be transferred to any taxpayer that is subject to Kansas income, privilege, or premi- ums tax. These tax credits shall be transferred…

Definitions. (a) ‘‘Contribution,’’ as defined in K.S.A. 2016 Supp. 72-99a02 and 673 Income Tax 92-12-149 amendments thereto, shall include any donation of cash, stocks and bonds, personal property, or real property. (1) Stocks and bonds shall be valued at the stock market price o…

Tax credit agreement. (a)Each scholarship-grantingorganizationforwhichanallo- cation of tax credits has been authorized pursuant to L. 2014, ch. 93, sec. 61, and amendments there- to, shall enter into an annual tax credit agreement with the secretary for the scholarship-granting …

Tax credit application. (a) Each contributor making a contribution to a scholarship-granting organization shall complete a tax credit application with the scholarship- granting organization on a form furnished by the secretary. Each application shall include the fol- lowing infor…

Quarterly reports. Each scholarship-granting organization shall submit a quarterly report indicating the amount of con- tributions qualifying for tax credits. This report shall be submitted to the secretary on a form furnished by the secretary. Any quarterly report may be filed b…

(Authorized by K.S.A. 79-3236, 79-32,114; effective Jan. 1, 1968; revoked May 1, 1982.)

Change of accounting period. Permission for change of a taxpayer’s Kansas tax- able year shall not be required from the director. In all cases a short period return shall be filed to accomplish this change. The Kansas taxable in- come for this short period shall be computed in th…

Limitation of tax-spreadback rule. When an accounting method is changed in compliance with K.S.A. 79-32,114(c) or (d) (i), other than from an accrual to an installment method, any additional tax which results from the adjustments determined to be necessary solely by reason of the…

(Authorized by K.S.A. 79-3236, 79- 32,109; effective Jan. 1, 1968; amended Jan. 1, 1970; amended, E-71-8, Jan. 1, 1971; amended Jan. 1, 1972; revoked May 1, 1982.)

Change from accrual to install- ment method of accounting. If for any tax year beginning after December 31, 1967, the taxpayer is allowed or required to change from the accrual to the installment method of accounting to com- ply with K.S.A. 1967 Supp. 79-32,114 (c) or (d) (i), no…

(Authorized by K.S.A. 79-3236, 79-32,115; effective Jan. 1, 1968; revoked May 1, 1982.)

(Authorized by K.S.A. 79-3236, 79-32,117; effective Jan. 1, 1968; revoked May 1, 1982.)

(Authorized by K.S.A. 79-3236, 79-32,117; effective Jan. 1, 1968; amended May 1, 1976; revoked May 1, 1982.)

(Authorized by K.S.A. 79-3236, 79-32,117; effective Jan. 1, 1968; amended, E-71- 8, Jan 1, 1971; amended Jan. 1, 1972; amended Jan. 1, 1974; amended May 1, 1975; revoked May 1, 1982.) 92-12-25 and 92-12-26. (Authorized by K.S.A. 79-3236, 79-32,117; effective Jan. 1, 1968; revoked…

Kansas deduction of an individ- ual. A taxpayer entitled to elect to either itemize deductions or to take the Kansas standard deduc- tionshallbeboundbyanelectionunlessanamend- ed return is filed. In the absence of an election, the taxpayer shall be deemed to have elected to take …

(Authorized by K.S.A. 79-3236, 79-32,120; effective Jan. 1, 1968; revoked May 1, 1982.)

(Authorized by K.S.A. 79-3236; implementing K.S.A. 1981 Supp. 79-32,120; ef- fective Jan. 1, 1968; amended May 1, 1982; re- voked May 10, 2002.)

(Authorized by K.S.A. 79-3236, 79-32,109; effective Jan. 1, 1968; revoked May 1, 1982.)

(Authorized by K.S.A. 79-3236, 79-32,121; effective Jan. 1, 1968; revoked May 1, 1982.)

(Authorized by K.S.A. 79-3236, 79-32,123; effective Jan. 1, 1968; revoked May 1, 1982.)

(Authorized by K.S.A. 79-3236, 79-32,124; effective Jan. 1, 1968; revoked May 1, 1982.)

(Authorized by K.S.A. 79-3236, 79-32,123; effective Jan. 1, 1968; revoked May 1, 1982.)

(Authorized by K.S.A. 79-3236, 79-32,126; effective Jan. 1, 1968; revoked May 1, 1982.)

(Authorized by K.S.A. 79-3236, 79-32,127; effective Jan. 1, 1968; revoked May 1, 1982.)