Kansas – Exemption Certificate Publication Updated

SALT Report 1583 – The Kansas Department of Revenue recently updated their publication regarding exemption certificates. The publication includes the most recent version of all exemption certificates issued by the Department.
In Kansas, retailers are responsible for collecting the full amount of sales tax due on each sale to the final user or consumer unless the item is specifically exempt or the customer provides an exemption certificate. A retailer may accept an exemption certificate in good faith if the appropriate certificate is used and it:
  • Explains why the sale is exempt
  • Is dated
  • Describes the property being purchased, unless using Form PR-78SSTA, and
  • Contain the seller’s name and address and the buyer’s name, address, and signature

Some exemption certificates also require a buyer to provide their Kansas tax account number or request a description of the buyer’s business. The exemption certificates for nonprofit organizations must include the exempt entity’s tax ID number.

In certain situations a customer may claim to be exempt after the goods or services have been delivered, and will deduct the tax from the bill. When this happens, you, the retailer, are responsible for obtaining an exemption certificate from the customer. If you are unable to obtain an exemption certificate the sale will be considered taxable, and as the retailer, you will be liable for the tax.

For Further Information:

Kansas Department of Revenue – Information Guide # KS-1520