What Kansas tax changes did the Department highlight in its 2010 motor-fuel legislative update?

Plain-English summary

This notice summarizes selected tax provisions from four bills enacted in 2010. Senate Bill 430 created a $10 service fee for installment payment plans longer than 90 days and mandated electronic filing of retailers' sales, compensating-use, and withholding-tax returns.

Senate Bill 572 addressed transfers involving the qualified biodiesel producer incentive fund and barred specified general-fund transfers to biodiesel and retail-dealer incentive funds for stated fiscal years. House Bill 2360 raised the state sales-tax rate to 6.3% effective July 1, 2010 and scheduled a decrease to 5.7% on July 1, 2013.

House Bill 2650 created the Transportation Works for Kansas program and removed the July 1, 2020 expiration date from the current motor-fuel tax rates in K.S.A. 79-3492b and 79-34,141. The Department cautioned that the notice highlights only portions of the bills.

What this means for you

Treat this as a historical legislative summary, not the full bill text. Check the enacted legislation and current statutes for later amendments.

Citations and references

• 2010 Senate Bills 430 and 572
• 2010 House Bills 2360 and 2650
• K.S.A. 79-3492b
• K.S.A. 79-34,141

Subject

2010 Motor Fuel Legislative Update

Source

• Landing page: Kansas Department of Revenue Policy Information Library
• Original document: Notice 10-04

Original ruling text

Mark Parkinson, Governor
Joan Wagnon, Secretary

                                                                       www.ksrevenue.org

                                                  NOTICE 10-04
                                      2010 Motor Fuel Legislative Update

The following Bills were enacted by the 2010 Legislature:

Senate Bill 430
Is effective upon publication in the Kansas Register, creates a $10.00 service fee for entering into an installment payment
plan for a period of time in excess of 90 days. The $10.00 administrative pay plan fee will be paid at the time the pay plan
‘Statement of Agreement’ is signed and returned to the Kansas Department of Revenue.
The bill also mandates electronic filing of Retailer’ Sales, Compensating Use and Withholding Tax returns.

Senate Bill 572
On the effective date of this act, the director of accounts and reports shall transfer $195,395 from the Kansas qualified
biodiesel fuel producer incentive fund of the state department of revenue to the state general fund. During the fiscal year
ending June 30, 2011, on July 1, 2010, Oct 1, 2010, January 1, 2011, and April 1, 2011, $50,000 will be transferred from the
state economic development initiatives fund to the Kansas qualified biodiesel fuel producer incentive fund. If sufficient
funds are not available in the state economic development initiatives fund for any of the transfers during the 2011 fiscal year,
then the amount available will be transferred. No moneys shall be transferred from the state general fund to the Kansas
biodiesel fuel producer fund during the fiscal year ending June 30, 2011.
No moneys shall be transferred from the state general fund to the Kansas retail dealer incentive fund during the fiscal years
ending June 30, 2010, or June 30, 2011, or June 30, 2012.

House Bill 2360
Effective July 1, 2010 the state sales tax rate increases to 6.3%. Effective July 1, 2013 the state sales tax rate decreases to
5.7%.

House Bill 2650
The bill creates the Transportation Works for Kansas program, which provides for construction, improvement, reconstruction
and maintenance of the state highway system. The expiration date of July 1, 2020 for the current motor fuel tax rates has
been removed from K.S.A. 79-3492b and K.S.A. 79-34,141. Current motor fuel tax rates will continue to be in effect.

This notice highlights only portions of the bills. For a detailed, full text copy of each bill, please visit the Kansas
Legislature’s website at www.kslegislature.org.

TAXPAYER ASSISTANCE
To obtain additional copies of this or any other notice call the Kansas Department of Revenue’s voice mail forms request line
at 785-296-4937 or download them from our web site: www.ksrevenue.org. If you have any questions about this notice,
please contact our Motor Fuel Tax Unit.

                                           Motor Fuel Tax Correspondence
                                           Docking State Office Building
                                               915 SW Harrison St.
                                             Topeka, KS 66625-8000
                                                  (785) 368-8222
                                               Fax: (785) 296-4993

Notice 10-04
June 21, 2010