WeVote
Log In

Bill

Bill

SB 109

Providing a remittance credit to retailers for the collection of sales and compensating use tax.

2025-2026 Regular Session

SB 109 would provide Kansas retailers with tax credits to offset administrative costs of collecting and remitting state sales and use taxes.

Died in Committee
#taxation
0
WeVote Research Nonpartisan
Bill Summary · SB 109

Legislative bill overview

SB 109 would provide a remittance credit to retail businesses that collect sales and use taxes on behalf of the state of Kansas. This credit would compensate retailers for the administrative costs and labor involved in collecting, processing, and remitting these taxes to the state.

Why is this important

Currently, retailers bear the costs of tax collection infrastructure without direct compensation from the state, effectively subsidizing a government function. This bill addresses whether the state should reimburse businesses for this service, which could affect retail operational costs, tax compliance rates, and small business viability—particularly for smaller retailers with limited administrative capacity.

Potential points of contention

  • State revenue impact: The credit would reduce state tax revenue unless offset by increased compliance or economic activity, raising questions about fiscal sustainability
  • Eligibility and calculation: How the credit amount would be determined (flat fee, percentage of collections, transaction-based) and which retailers qualify could significantly affect implementation costs and fairness
  • Precedent concerns: Some argue retailers already factor compliance costs into pricing and that this sets a precedent for compensating private parties for regulatory compliance obligations

Compiled from official sources — confirm details with the bill’s official record.

Sign in to ask a question.