KS Kansas State sales tax rates

STATEWIDE SALES TAX RATE

6.5%

ECONOMIC SALES THRESHOLD

$100,000

TRANSACTIONS THRESHOLD

N/A

Do you need to collect sales tax in Kansas?

You’ll need to collect sales tax in Kansas if you have nexus there. There are two ways that sellers can be tied to a state when it comes to nexus: physical or economic. Physical nexus means having enough tangible presence or activity in a state to merit paying sales tax in that state. Economic nexus means passing a states’ economic threshold for total revenue or the number of transactions in that state.

Do you have physical nexus in Kansas?

Kansas considers a seller to have physical nexus if you have any of the following in the state:

An office or place of business
An employee present in the state
Goods in a warehouse
Retailers selling goods at trade or craft shows and festivals
Non-resident contractors performing labor services in the state

Do you have economic nexus in Kansas?

Beginning July 1, 2021, remote e-commerce sellers who fit the following criteria are considered to have Kansas economic nexus:

More than $100,000 of cumulative gross receipts from sales to customers in the state for the period of January 1, 2021, through June 30, 2021 or
More than $100,000 of cumulative gross receipts from sales to customers in the state during the current or immediately preceding calendar year

Is what you’re selling taxable?

Services in Kansas are generally not taxable. However – if the service you provide includes installing, repairing, altering, or maintaining a product, you may have to deal with the sales tax on products.

Tangible products are taxable in Kansas, with a few exceptions. These exceptions include computer software, meals and drinks, and construction materials.

Is SaaS taxable in Kansas?

SaaS is non-taxable. In Kansas, SaaS providers are referred to as “Application Service Providers”

Collecting Sales Tax

Sellers in Kansas should charge sales tax based on the buyer’s destination.

The state sales tax rate in Kansas is 6.5%. In Wichita, the local sales tax rate is 1% (for Sedgwick County); the total sales tax rate is 7.5%.

Sellers based out-of-state also charge sales tax based on the destination of the buyer.

Should you collect sales tax on shipping charges in Kansas?

Shipping and handling are always taxable in Kansas, no matter whether the item shipped is taxable or not.

When are Returns Due?

When you file and pay Kansas sales tax depends on two things: your assigned filing frequency and your state’s due dates.

How often will you file sales tax returns in Kansas?

States assign you a filing frequency when you register for your sales tax permit. In most states, how often you file sales tax is based on the amount of sales tax you collect from buyers in the state.

In Kansas, you will be required to file and remit sales tax either monthly, quarterly, or annually.

Kansas sales tax returns are almost always due the 25th day of the month following the reporting period. If the filing due date falls on a weekend or holiday, sales tax is generally due the next business day.

Important to note: Very high volume Kansas sellers may be required to make monthly sales tax prepayments. In these cases, the first 15 days of the current month’s liability is due on or before the 25th of that month.