How Much is Tax in Kansas?
The answer to this question is fairly simple, but the implications are great. Kansas has a statewide sales tax of 6.5%, which is relatively high compared to other states.
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Taxes in Kansas
Kansas residents are subject to several different types of taxes. The state of Kansas imposes a state income tax, as well as property taxes and sales taxes. There are also a few other taxes that Kansas residents may be required to pay, depending on their situation.
State Income Tax
All states levy taxes on personal income, and these taxes are the predominant source of state government revenue. In Kansas, the state individual income tax is levied at a rate of 4.6 percent on both earned (salaries and wages) and unearned (interest and dividends) income. The rate applies to all taxable income, regardless of filing status. Social security benefits are not taxed by the state, but pension and retirement plan income may be subject to tax.
All real and personal property in Kansas is subject to property tax, unless specifically exempted by law. The following types of property are exempt from property taxes in Kansas:
-Homesteads of seniors, disabled veterans, and their surviving spouses
-Certain buildings owned by religious, charitable, or educational organizations
-Inventories of certain businesses
-Farm machinery and equipment
-Aircraft engaged in interstate commerce
-Pollution control facilities
-Public utility property
– Railroad rolling stock
The first $20,000 of the value of a homestead is exempt from all property taxes, including city, county, and school district taxes. A homestead is defined as a dwelling that is owned and occupied as a principal residence by an individual. A farmstead is eligible for a similar exemption if it includes any agricultural buildings used in the production of farm products by a family or other individuals living on the farmstead. A qualified disabled veteran may receive a total exemption from ad valorem taxation on his or her homestead.
The statewide sales tax rate in Kansas is 6.5%. Counties and cities are allowed to collect their own local sales taxes, in addition to the state tax, which can add up to an 8.95% sales tax depending on the area.
Most items sold in Kansas are subject to state and local sales taxes, including tangible personal property such as furniture, clothing, and automobiles, as well as selected services such as admissions to entertainment events, laundry and dry-cleaning services, and repairs for household appliances and automobiles.
How Much is Tax in Kansas?
Kansas residents have to pay a state tax of 5.7%. This is a pretty standard rate, but there are a few things to note. For one, the sales tax is applied to food and drugs, which some other states exempt. Additionally, there is a “compromise” rate of 6.15% that is applied to some services.
State Income Tax
The state of Kansas imposes individual income taxes on its residents. The tax is imposed at three marginal rates, with the highest rate being 5.7% on taxable income over $30,000 for married taxpayers filing jointly, and heads of households. The next highest rate is 4.6% on taxable income between $15,000 and $30,000 for married taxpayers filing jointly, and heads of households; and 5.2% on taxable income between $10,000 and $15,000 for all other filing statuses. The lowest tax rate is 3.5% on taxable incomes up to $15,000 for married taxpayers filing jointly and heads of households; and up to $10,000 for all other filers.
The amount of tax you pay on your property in Kansas depends on two things: the appraised value of your property and the tax rate set by your county. The state of Kansas does not levy a state tax on real estate.
Your county’s appraiser will determine the value of your property, and your county’s commissioners or city council members set the tax rate. The tax rate is expressed in mills. One mill equals one-tenth of a cent. So, if your property is valued at $100,000 and your mill levy is 20 mills, you would owe $200 in property taxes for the year ($100,000 X 0.20 = $200).
The state sales tax in Kansas is 6.5%, and the average combined state and local sales tax rate is 7.56%. Groceries, prescription drugs and gasoline are exempt from the Kansas sales tax
Counties and cities are allowed to charge an additional local sales tax of up to 3%, for a maximum possible combined sales tax of 10.5%