Get KS DoR ST-36 2008

Compensating use tax is a tax paid to out-of-state retailers on goods and merchandise purchased from other states and used, stored, or consumed in Kansas on which no sales tax was paid. It is also due if the other state's rate is less than the Kansas rate of 6.5 percent paid at the time of purchase.

Kansas imposes a 6.5 percent (effective July 1, 2015) percent state retailers' sales tax, plus applicable local taxes on the: Retail sale, rental or lease of tangible personal property; Labor services to install, apply, repair, service, alter, or maintain tangible personal property, and.

Kansas imposes a 6.5 percent (effective July 1, 2015) percent state retailers' sales tax, plus applicable local taxes on the: Retail sale, rental or lease of tangible personal property; Labor services to install, apply, repair, service, alter, or maintain tangible personal property, and.

The Kansas (KS) state sales tax rate is currently 6.5%. Depending on local municipalities, the total tax rate can be as high as 10.6%. Other, local-level tax rates in the state of Kansas are quite complex compared against local-level tax rates in other states.

Generally, tax is due on the entire amount charged for a taxable service, including items such as labor, materials and mileage charges, even if separately stated.

Introduction. The Kansas Legislature requires the Department of Revenue to issue numbered exemption certificates to exempt entities and organizations. ... The certificate is required to be presented by Kansas based entities to retailers to purchase goods and/or services tax exempt.

Many states, and some municipalities, require retailers and service providers to charge sales tax on products and services sold to end consumers. However, some businesses are not required to pay sales taxes on many items, because they are reselling these products to end consumers.

The retailer doesn't get to keep the sales tax he or she collects. Instead, they are required by law to pass the sales tax along to the state. Most of the time, you'll be charged sales tax when you purchase a product (and sometimes a service.) Though in some cases sellers are not required to collect sales tax from you.

A sales tax exemption releases a business or organization from having to pay state or local sales tax on at least some of the items that it purchases. ... Retail businesses generally do not have to pay sales tax when buying wholesale goods that will be resold to an end user.

Sales Tax Refund Opportunities for Manufacturers. Most manufacturers understand that they are exempt from paying sales tax on items that become incorporated into the product that is eventually sold to a customer. ... Many types of machinery and equipment are exempt from both state and local sales taxes.

Sales tax exemption certificates are required whenever a seller makes a sale of taxable goods or services, and does not collect sales tax in a jurisdiction, in which they are required to. The certificate is issued by a purchaser to make tax-free purchases that would normally be subject to sales tax.

If you're shipping to a destination in the state of Kansas, you'll be responsible for charging sales tax on the full amount of a purchase including shipping, regardless of the way you itemize it on the invoice. When shipping and handling is charged on taxable items, the entire amount including shipping must be taxed.

Kansas' destination-based sales tax laws make selling items complicated in the state. ... When shipping and handling is charged on taxable items, the entire amount including shipping must be taxed. If, however, a purchase is tax exempt, no tax should be charged at all.

Generally, tax is due on the entire amount charged for a taxable service, including items such as labor, materials and mileage charges, even if separately stated.

In most states, construction contractors must pay sales tax when they purchase materials used in construction. ... In some cases, this can be an advantage because any markup you charge to your customer on the materials, supplies and labor, won't be subject to sales tax.