Kansas 2023-2024 Regular Session

Kansas Senate Bill SB252

Introduced
2/14/23  
Refer
2/15/23  
Report Pass
2/22/23  
Engrossed
3/29/23  
Refer
3/29/23  

Caption

Providing for exemptions from property tax and sales tax for certain businesses competing against governmental entities.

Impact

The implications of SB252 could be significant for state and local revenues, as exemptions may reduce the tax base from which local governments derive funding. Supporters of the bill argue that the exemptions could incentivize economic development and job creation, particularly in sectors where local businesses are at a distinct disadvantage due to tax burdens. However, this legislative change could raise concerns regarding equitable taxation and the financial repercussions for municipalities that rely heavily on these tax revenues to fund essential services.

Summary

Senate Bill 252 (SB252) introduces provisions to provide exemptions from property tax and sales tax for certain businesses that are in competition with governmental entities. The bill aims to foster a fairer business environment by alleviating some of the financial burdens faced by these businesses, thus encouraging competitiveness in sectors where they align with services offered by government bodies. The justification for such exemptions rests on the belief that private businesses should not be disadvantaged compared to governmental operations that benefit from inherent tax advantages.

Contention

Discussion around SB252 has highlighted points of contention, particularly regarding fairness and equity in tax policy. Critics argue that granting exemptions to certain businesses could create an uneven playing field, favoring particular sectors at the expense of others. Additionally, there are concerns that this could lead to a slippery slope of increasingly broad tax exemptions, which might exacerbate fiscal challenges faced by local governments. Supporters counter that such measures are necessary to stimulate competition and are a strategic move to bolster the economy through supporting private enterprise in public-facing sectors.

Companion Bills

No companion bills found.

Previously Filed As

KS HB2319

Providing a property tax exemption for business property that operates in competition with property owned or operated by a governmental entity.

KS HB2307

Providing a sales tax exemption for purchases made to establish and maintain Kansas war memorials and providing a property tax exemption for property with Kansas war memorials.

KS HB2096

Establishing the veterans' valor property tax relief act providing for an income tax credit or refund for eligible individuals, increasing the tax credit amount for household and dependent care expenses, modifying the definition of household income and increasing the appraised value threshold for eligibility of seniors and disabled veterans related to increased property tax claims and citing the section as the homeowners' property tax freeze program, providing a property tax rebate for certain business property operated in competition with property owned or operated by a governmental entity, providing property tax exemptions for certain personal property including watercraft, marine equipment, off-road vehicles, motorized bicycles and certain trailers, excluding internal revenue code section 1031 exchange transactions as indicators of fair market value, providing for certain exclusions from the prohibition of paying taxes under protest after a valuation notice appeal and providing four prior years' values on the annual valuation notice.

KS SB26

Providing a sales tax exemption for certain purchases by bowling centers.

KS HB2098

Providing a deduction from sales or compensating use tax when selling and buying different motor vehicles within 120 days, providing an exemption for certain purchases by disabled veterans of the armed forces of the United States, excluding manufacturers' coupons from the sales or selling price for sales tax purposes, providing sales tax exemptions for custom meat processing services and purchases for the construction or repair of buildings used for human habitation by the Kansas state school for the blind and the Kansas state school for the deaf, providing sales tax exemptions for certain purchases by doorstep inc., exploration place, inc., Kansas children's discovery center, inc. and the Kansas fairgrounds foundation and providing for a sales tax exemption for sales of property and services used in the provision of communications services.

KS SB129

Providing a sales tax exemption for purchases of personal property or services by doorstep, inc.

KS HB2586

Increasing the extent of property tax exemption for residential property from the statewide school levy, decreasing the normal rate of privilege tax, increasing the household and dependent care expenses income tax credit amount, exempting all social security benefits from Kansas income tax, increasing the Kansas standard deduction, providing for an annual sales tax holiday for certain sales of school supplies, computers and clothing, providing sales tax exemptions for children's diapers and feminine hygiene products and reducing the state rate of tax on sales of food and food ingredients to 0% on April 1, 2024.

KS HB2773

Providing a sales tax exemption for certain purchases by the boys' and girls' club of Topeka.

KS SB515

Providing a sales tax exemption for the Dane G. Hansen foundation.

KS HB2162

Providing for sales tax exemption for hygiene products.

Similar Bills

KS SB169

House Substitute for SB 169 by Committee on Taxation - providing an income tax rate of 5.15% for individuals and decreasing the normal tax for corporations, increasing the income limit for the income tax subtraction modification for social security income, increasing the standard deduction by a cost-of-living adjustment, discontinuing the food sales tax credit, decreasing the privilege tax normal tax, establishing a 0% state rate for sales and use taxes for food and food ingredients on January 1, 2024, and increasing the extent of property tax exemption for residential property from the statewide school levy.

KS HB2773

Providing a sales tax exemption for certain purchases by the boys' and girls' club of Topeka.

KS SB515

Providing a sales tax exemption for the Dane G. Hansen foundation.

KS SB454

Providing a sales tax exemption for purchases of property and services by nonprofit organizations distributing food pursuant to a food distribution program on a charitable basis.

KS SB520

Providing a sales tax exemption for certain not-for-profit organizations that provide public transportation services.

KS SB60

Substitute for SB 60 by Committee on Assessment and Taxation - Providing sales tax exemptions for custom meat processing services, purchases for the construction or repair of buildings used for human habitation by the Kansas state school for the blind and the Kansas state school for the deaf, certain purchases and sales by the Johnson county Christmas bureau association, certain purchases by doorstep inc., exploration place, inc. and Kansas children's discovery center, inc. and sales of menstrual discharge collection devices and diapers and establishing an annual sales tax holiday exempting certain sales of school supplies, computers and clothing.

KS HB2685

Providing a sales tax exemption for registered charitable organizations.

KS HB2765

Providing a sales tax exemption for period products, diapers and incontinence products.