Session of 2000
HOUSE BILL No. 3007
By Committee on Taxation
2-23
9 AN ACT
relating to reporting requirements of the department of reve-
10 nue concerning local
excise taxes; amending K.S.A. 1999 Supp. 12-
11 189, 12-1694, 12-1698
and 75-5133 and repealing the existing sections;
12 also repealing K.S.A.
1999 Supp. 12-189c.
13
14 Be it enacted by the Legislature of the
State of Kansas:
15 Section
1. K.S.A. 1999 Supp. 12-189 is hereby amended to read as
16 follows: 12-189. Except as otherwise
provided by paragraph (2) of sub-
17 section (a) of K.S.A. 12-187, and
amendments thereto, the rate of any
18 class A, class B or class C city retailers'
sales tax shall be fixed in the
19 amount of .25%, .5%, .75% or 1% which
amount shall be determined by
20 the governing body of the city. Except as
otherwise provided by paragraph
21 (2) of subsection (a) of K.S.A. 12-187, and
amendments thereto, the rate
22 of any class D city retailers' sales tax
shall be fixed in the amount of .25%,
23 .5%, .75%, 1%, 1.125%, 1.25%, 1.5% or
1.75%. The rate of any county-
24 wide retailers' sales tax shall be fixed in
an amount of either .25%, .5%,
25 .75% or 1% which amount shall be determined
by the board of county
26 commissioners, except that:
27 (a) The board of
county commissioners of Cherokee, Crawford, Ford,
28 Saline, Seward or Wyandotte county, for the
purposes of paragraph (2)
29 of subsection (b) of K.S.A. 12-187, and
amendments thereto, may fix such
30 rate at 1.5%, the board of county
commissioners of Atchison county, for
31 the purposes of paragraph (2) of subsection
(b) of K.S.A. 12-187, and
32 amendments thereto, may fix such rate at
1.5% or 1.75% and the board
33 of county commissioners of Barton,
Jefferson or Ottawa county, for the
34 purposes of paragraph (2) of subsection (b)
of K.S.A. 12-187, and amend-
35 ments thereto, may fix such rate at 2%;
36 (b) the board of
county commissioners of Jackson county, for the
37 purposes of paragraph (3) of subsection (b)
of K.S.A. 12-187, and amend-
38 ments thereto, may fix such rate at 2%;
39 (c) the boards of
county commissioners of Finney and Ford counties,
40 for the purposes of paragraph (4) of
subsection (b) of K.S.A. 12-187, and
41 amendments thereto, may fix such rate at
.25%;
42 (d) the board of
county commissioners of any county for the purposes
43 of paragraph (5) of subsection (b) of
K.S.A. 12-187, and amendments
2
1 thereto, may fix such rate at a
percentage which is equal to the sum of
2 the rate allowed to be imposed by a
board of county commissioners on
3 the effective date of this act plus
.25%, .5%, .75% or 1%, as the case
4 requires;
5 (e) the
board of county commissioners of Dickinson county, for the
6 purposes of paragraph (7) of
subsection (b) of K.S.A. 12-187, and amend-
7 ments thereto, may fix such rate at
1.5%;
8 (f) the
board of county commissioners of Sherman county, for the
9 purposes of paragraph (8) of
subsection (b) of K.S.A. 12-187, and amend-
10 ments thereto, may fix such rate at 1.5%,
1.75% or 2%; or
11 (g) the board of
county commissioners of Russell county for the pur-
12 poses of paragraph (9) of subsection (b) of
K.S.A. 12-187, and amend-
13 ments thereto, may fix such rate at
1.5%.
14 Any county or city
levying a retailers' sales tax is hereby prohibited
15 from administering or collecting such tax
locally, but shall utilize the serv-
16 ices of the state department of revenue to
administer, enforce and collect
17 such tax. Except as otherwise specifically
provided in K.S.A. 12-189a, and
18 amendments thereto, such tax shall be
identical in its application, and
19 exemptions therefrom, to the Kansas
retailers' sales tax act and all laws
20 and administrative rules and regulations of
the state department of rev-
21 enue relating to the Kansas retailers'
sales tax shall apply to such local
22 sales tax insofar as such laws and rules
and regulations may be made
23 applicable. The state director of taxation
is hereby authorized to admin-
24 ister, enforce and collect such local sales
taxes and to adopt such rules
25 and regulations as may be necessary for the
efficient and effective ad-
26 ministration and enforcement thereof.
27 Upon receipt of a
certified copy of an ordinance or resolution author-
28 izing the levy of a local retailers' sales
tax, the state director of taxation
29 shall cause such taxes to be collected
within or without the boundaries of
30 such taxing subdivision at the same time
and in the same manner provided
31 for the collection of the state retailers'
sales tax. All moneys collected by
32 the director of taxation under the
provisions of this section shall be cred-
33 ited to a county and city retailers' sales
tax fund which fund is hereby
34 established in the state treasury. Any
refund due on any county or city
35 retailers' sales tax collected pursuant to
this act shall be paid out of the
36 sales tax refund fund and reimbursed by the
director of taxation from
37 collections of local retailers' sales tax
revenue. Except for local retailer's
38 sales tax revenue required to be
deposited in the redevelopment bond fund
39 established under K.S.A. 1999 Supp.
74-8927, and amendments thereto,
40 all local retailers' sales tax revenue
collected within any county or city
41 pursuant to this act shall be apportioned
and remitted at least quarterly
42 by the state treasurer, on instruction from
the director of taxation, to the
43 treasurer of such county or city.
3
1 The director of
taxation shall provide, upon request by a city or county
2 clerk or treasurer of any city or
county levying a local retailers' sales tax,
3 a monthly report
monthly reports identifying each retailer having a place
4 of business in such city or county
and setting forth the tax liability and
5 the amount of such tax
remitted by each retailer during the preceding
6 month, and identifying each
business location maintained by the retailer
7 within such city or county.
Such report shall be made available to the
8 clerk or treasurer of such city or
county within a reasonable time after it
9 has been requested from the director
of taxation. The director of taxation
10 shall be allowed to assess a reasonable fee
for the issuance of such report.
11 Information received by any city or county
pursuant to this section shall
12 be confidential, and it shall be unlawful
for any officer or employee of
13 such city or county to divulge any such
information in any manner. Any
14 violation of this paragraph by a city or
county officer or employee is a
15 class B misdemeanor, and such officer or
employee shall be dismissed
16 from office.
17 Sec.
2. K.S.A. 1999 Supp. 12-1694 is hereby amended to read as
18 follows: 12-1694. (a) Any tax levied and
collected pursuant to K.S.A. 12-
19 1693, and amendments thereto, shall become
due and payable by the
20 business monthly, on or before the 25th day
of the month immediately
21 succeeding the month in which it is
collected, with the first payment due
22 and payable on or before the 25th day of
the month specified in the
23 resolution of the governing body which
levies the tax, but any person
24 filing an annual or quarterly return under
the Kansas retailers' sales tax
25 act, as prescribed in K.S.A. 79-3607, and
amendments thereto, may, with
26 the approval of the secretary of revenue
and upon such conditions as the
27 secretary of revenue may prescribe, pay the
tax required by this act on
28 the same basis and at the same time such
person pays the retailer's sales
29 tax. Each business shall make a true report
to the department of revenue,
30 on a form prescribed by the secretary of
revenue, providing such infor-
31 mation as may be necessary to determine the
amounts to which any such
32 tax shall apply for all gross rental
receipts for the applicable month or
33 months, which report shall be accompanied
by the tax disclosed thereby.
34 Records of gross rental receipts shall be
kept separate and apart from the
35 records of other retail sales made by a
business in order to facilitate the
36 examination of books and records as
provided herein.
37 (b) The secretary
of revenue or the secretary's authorized represen-
38 tative shall have the right at all
reasonable times during business hours
39 to make such examination and inspection of
the books and records of a
40 business as may be necessary to determine
the accuracy of such reports.
41 (c) The secretary
of revenue is hereby authorized to administer and
42 collect any transient guest tax levied
pursuant to this act and to adopt
43 such rules and regulations as may be
necessary for the efficient and ef-
4
1 fective administration and
enforcement of the collection thereof. When-
2 ever any business liable to pay any
transient guest tax refuses or neglects
3 to pay the same, the amount,
including any penalty, shall be collected in
4 the manner prescribed for the
collection of the retailers' sales tax by
5 K.S.A. 79-3617, and amendments
thereto. All of the taxes collected under
6 the provisions of this act shall be
paid into the state treasury daily by the
7 secretary of revenue, and the state
treasurer shall place 2% of all taxes so
8 collected in the state general fund
to defray the expenses of the depart-
9 ment in administration and
enforcement of the collection thereof. The
10 remainder of such taxes shall be credited
to the county and city transient
11 guest tax fund, which fund is hereby
established. All moneys in the county
12 and city transient guest tax fund shall be
remitted at least quarterly by
13 the state treasurer, on instruction from
the secretary of revenue, to the
14 treasurers of those cities which, by virtue
of their participation in the
15 election provided for in K.S.A. 12-1693,
and amendments thereto, are
16 qualified to receive disbursements from
such transient guest tax fund for
17 the amount collected within such city, and
to the treasurer of such county
18 for the amount collected in the
unincorporated areas of such county.
19 (d) The director
of taxation shall provide, upon request by a city or
20 county clerk or treasurer of any city or
county levying a transient guest
21 tax, a monthly report
monthly reports identifying each person doing busi-
22 ness in such city or county to which such
tax is applicable and setting
23 forth the tax liability and the
amount of such tax remitted by such busi-
24 ness during the preceding month, and
identifying each business location
25 maintained by the person within such
city or county. Such report shall
26 be made available to the clerk or treasurer
of such city or county within
27 a reasonable time after it has been
requested from the director of taxation.
28 The director of taxation shall be allowed
to assess a reasonable fee for the
29 issuance of such report. Information
received by any city or county pur-
30 suant to this section shall be kept
confidential, and it shall be unlawful
31 for any officer or employee of such city or
county to divulge any such
32 information in any manner. Any violation of
this paragraph by a city or
33 county officer or employee is a class B
misdemeanor, and such officer or
34 employee shall be dismissed from
office.
35 (e) All such
moneys received by the county treasurer or city treasurer
36 from disbursements from the county and city
transient guest tax fund
37 shall be credited to the tourism and
convention promotion fund of such
38 county or city and shall only be expended
for convention and tourism
39 promotion, except that not more than 20% of
the moneys credited to
40 such fund shall be expended for tourism
promotion.
41 Sec.
3. K.S.A. 1999 Supp. 12-1698 is hereby amended to read as
42 follows: 12-1698. (a) Any tax levied and
collected pursuant to K.S.A. 12-
43 1697, and amendments thereto, shall become
due and payable by the
5
1 business monthly, on or before the
25th day of the month immediately
2 succeeding the month in which it is
collected, with the first payment due
3 and payable on or before the 25th day
of the month specified in the
4 resolution of the governing body
which levies the tax, but any person
5 filing an annual or quarterly return
under the Kansas retailers' sales tax
6 act, as prescribed in K.S.A. 79-3607,
and amendments thereto, shall, upon
7 such conditions as the secretary of
revenue may prescribe, pay the tax
8 required by this act on the same
basis and at the same time such person
9 pays the retailers' sales tax. Each
business shall make a true report to the
10 department of revenue, on a form prescribed
by the secretary of revenue,
11 providing such information as may be
necessary to determine the amounts
12 to which any such tax shall apply for all
gross rental receipts for the
13 applicable month or months, which report
shall be accompanied by the
14 tax disclosed thereby. Records of gross
rental receipts shall be kept sep-
15 arate and apart from the records of other
retail sales made by a business
16 in order to facilitate the examination of
books and records as provided
17 herein.
18 (b) The secretary
of revenue or the secretary's authorized represen-
19 tative shall have the right at all
reasonable times during business hours
20 to make such examination and inspection of
the books and records of a
21 business as may be necessary to determine
the accuracy of such reports.
22 (c) The secretary
of revenue is hereby authorized to administer and
23 collect any transient guest tax levied
pursuant to this act and to adopt
24 such rules and regulations as may be
necessary for the efficient and ef-
25 fective administration and enforcement of
the collection thereof. When-
26 ever any business liable to pay any
transient guest tax refuses or neglects
27 to pay the same, the amount, including any
penalty, shall be collected in
28 the manner prescribed for the collection of
the retailers' sales tax by
29 K.S.A. 79-3617, and amendments thereto. All
of the taxes collected under
30 the provisions of this act shall be paid
into the state treasury daily by the
31 secretary of revenue, and the state
treasurer shall place 2% of all taxes so
32 collected in the state general fund to
defray the expenses of the depart-
33 ment in administration and enforcement of
the collection thereof. The
34 remainder of such taxes shall be credited
to the county or city transient
35 guest tax fund, which fund is hereby
established. All moneys in the county
36 or city transient guest tax fund shall be
remitted at least quarterly by the
37 state treasurer to the county or city
treasurer of each county or city levying
38 a transient guest tax under the provisions
of this act in the proportion, as
39 certified by the director of taxation, that
the amount collected from such
40 tax in each such county or city bears to
the total amount collected from
41 such taxes in all counties or cities for
the period covered by the
42 distribution.
43 (d) The director
of taxation shall provide, upon request by a city or
6
1 county clerk or treasurer of any city
or county levying a transient guest
2 tax, a monthly
report monthly reports identifying each person
doing busi-
3 ness in such city or county to which
such tax is applicable and setting
4 forth the tax liability and
the amount of such tax remitted by such busi-
5 ness during the preceding month,
and identifying each business location
6 maintained by the person within
such city or county. Such report shall
7 be made available to the clerk or
treasurer of such city or county within
8 a reasonable time after it has been
requested from the director of taxation.
9 The director of taxation shall be
allowed to assess a reasonable fee for the
10 issuance of such report. Information
received by any city or county pur-
11 suant to this section shall be kept
confidential, and it shall be unlawful
12 for any officer or employee of such city or
county to divulge any such
13 information in any manner. Any violation of
this paragraph by a city or
14 county officer or employee is a class B
misdemeanor, and such officer or
15 employee shall be dismissed from
office.
16 (e) Except as
otherwise provided in K.S.A. 12-1774, and amendments
17 thereto, all such moneys received by the
county or city treasurer from
18 disbursements from the county or city
transient guest tax fund shall be
19 credited to the tourism and convention
promotion fund of such county
20 or city and shall only be expended for
convention and tourism promotion.
21 Sec.
4. K.S.A. 1999 Supp. 75-5133 is hereby amended to read as
22 follows: 75-5133. (a) Except as otherwise
more specifically provided by
23 law, all information received by the
director of taxation from applications
24 for licensure or registration made or
returns or reports filed under the
25 provisions of any law imposing any excise
tax administered by the director,
26 or from any investigation conducted under
such provisions, shall be con-
27 fidential, and it shall be unlawful for any
officer or employee of the de-
28 partment of revenue to divulge any such
information except in accordance
29 with other provisions of law respecting the
enforcement and collection of
30 such tax, in accordance with proper
judicial order and as provided in
31 K.S.A. 74-2424, and amendments thereto.
32 (b) Nothing in
this section shall be construed to prohibit the publi-
33 cation of statistics, so classified as to
prevent identification of particular
34 reports or returns and the items thereof,
or the inspection of returns by
35 the attorney general. Nothing in this
section shall prohibit the post auditor
36 from access to all such excise tax reports
or returns in accordance with
37 and subject to the provisions of subsection
(g) of K.S.A. 46-1106, and
38 amendments thereto. Nothing in this section
shall be construed to pro-
39 hibit the disclosure of taxpayer
information from excise tax returns to
40 persons or entities contracting with the
secretary of revenue where the
41 secretary has determined disclosure of such
information is essential for
42 completion of the contract and has taken
appropriate steps to preserve
43 confidentiality.
7
1
(c) Notwithstanding the foregoing provisions of this section,
the di-
2 rector of taxation may provide:
(1) Such information from returns and
3 reports filed under article 42 of
chapter 79 of the Kansas Statutes An-
4 notated to county appraisers as is
necessary to insure proper valuations
5 of property. Information from such
returns and reports may also be ex-
6 changed with any other state agency
administering and collecting con-
7 servation or other taxes and fees
imposed on or measured by mineral
8 production; and (2) such
information from returns and applications for
9 registration filed pursuant to
K.S.A. 12-187, and amendments thereto, and
10 K.S.A. 79-3601, and amendments thereto,
to a city or county treasurer or
11 clerk to explain the basis of statistics
contained in reports required by
12 K.S.A. 12-189, and amendments thereto,
12-1694, and amendments
13 thereto, and 12-1698, and amendments
thereto.
14
(d) Nothing in this section shall prohibit the
disclosure of the follow-
15 ing oil and gas production statistics
received by the department of revenue
16 in accordance with K.S.A. 79-4216 et
seq. and amendments thereto: Vol-
17 umes of production by well name, well
number, operator's name and
18 identification number assigned by the state
corporation commission, lease
19 name, leasehold property description,
county of production or zone of
20 production, name of purchaser and
purchaser's tax identification number
21 assigned by the department of revenue, name
of transporter, field code
22 number or lease code, tax period, exempt
production volumes by well
23 name or lease, or any combination of this
information.
24 (d)
(e) Any person receiving any information under the
provisions of
25 subsection (b) or,
(c) or (d) shall be subject to the confidentiality
provi-
26 sions of subsection (a) and to the penalty
provisions of subsection (e) (f).
27 (e)
(f) Any violation of this section shall be a class B
nonperson mis-
28 demeanor, and if the offender is an officer
or employee of this state, such
29 officer or employee shall be dismissed from
office.
30 Sec. 5. K.S.A. 1999 Supp.
12-189, 12-189c, 12-1694, 12-1698 and 75-
31 5133 are hereby repealed.
32 Sec. 6. This act shall
take effect and be in force from and after its
33 publication in the statute book.