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Bill > HB2442


KS HB2442

KS HB2442
Providing for the apportionment of business income by a manufacturer of alcoholic liquor by the single sales factor.


summary

Introduced
01/14/2026
In Committee
01/15/2026
Crossed Over
Passed
Dead

Introduced Session

2025-2026 Regular Session

Bill Summary

AN ACT concerning taxation; relating to income tax; providing for the apportionment of business income by a manufacturer of alcoholic liquor by the single sales factor; amending K.S.A. 2025 Supp. 79-3279 and repealing the existing section.

AI Summary

This bill amends Kansas tax law to change how manufacturers of alcoholic liquor, as defined by K.S.A. 41-102, calculate their business income for tax purposes. Currently, their business income is apportioned to Kansas using a three-factor formula that includes property, payroll, and sales. This bill proposes to change this for alcoholic liquor manufacturers selling to distributors, so that their business income will be apportioned solely based on their sales factor, meaning only the portion of their income generated from sales within Kansas will be taxed in Kansas. This change is part of a broader shift in Kansas tax law where, starting January 1, 2027, all business income for all taxpayers will be apportioned using only the sales factor, and this bill also introduces provisions for a deferred tax impact deduction for certain publicly traded companies related to this shift.

Committee Categories

Budget and Finance, Government Affairs

Sponsors (0)

No sponsors listed

Other Sponsors (1)

Taxation (House)

Last Action

House Withdrawn from Committee on Federal and State Affairs; Referred to Committee on Taxation (on 01/15/2026)

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