Kansas Sales Tax 2023 - 2024

There are 45 states plus the District of Columbia that levy a state sales and use tax. The statewide Kansas sales tax is 6.5%, but local jurisdictions may add up to 10% in additional taxes. Most services are taxable, but exceptions include repair and maintenance services, personal services like haircuts, and some professional services. Tangible personal property like clothing, appliances, electronics, and furniture is also taxable, but software-as-a-service and other digital products are not. The sale of motor vehicles is taxable in most cases, and shipping charges are taxable in some places.

Out-of-state sellers with no physical presence in the state must collect and remit Kansas sales tax if they exceed a state’s $100,000 gross receipts or 200 transactions threshold (economic nexus). This typically happens when an out-of-state seller partners with a marketplace in the state, such as Amazon. A KDOR auditor will conduct entrance interviews to learn about a business’s operations and sales channels, then select sample periods and pull transaction details to test whether the correct sales tax was charged and later remitted to the state. Any unexplained discrepancies are investigated and corrected.

How to File Kansas Sales Tax?

There are many complexities involved in sales tax filings, including keeping track of local sales tax rates and filing deadlines. To simplify the process, you can use a comprehensive sales tax management system. These systems will automatically file your returns and remittances, and provide you with reports and analytics to help you make informed decisions about when to collect and remit sales tax in Kansas. They can also help you stay current on changes in state sales tax laws.

Kansas Sales Tax Exemptions

The state of Kansas has a sales tax exemption for groceries, as well as for certain services and admissions to amusement and entertainment venues. You can find detailed information about these and other sales tax exemptions on the Kansas Department of Revenue’s website in its Sales and Use Tax Guide.

Kansas Sales Tax Due Dates

If you have a business in Kansas, it’s important to be aware of Kansas sales tax filing deadlines. You may also have to collect and remit local taxes, which vary by city and county. In addition, many states encourage the timely or early filing of returns with a timely-filing discount.

The Department of Revenue will assign you a filing frequency based on your size and sales volume. For example, larger businesses must file on a quarterly basis. Returns and payments are due on the 25th day of the month following the end of the reporting period or calendar quarter. You can file your returns and payments online through the Customer Service Center. However, it’s important to remember that the longer you wait to file, the higher your penalty and interest will be.