For tax year 2013, the business credit shall only be available to privilege taxpayers and corporations that are subject to the Kansas corporate income tax, i.e. C corporations. This credit shall not be available to individuals, partnerships, S corporations, limited liability companies, and other pass-through entities. For tax year 2014, the credit becomes available once again to all income and privilege taxpayers.
The disabled access credit is available to individual and business taxpayers who make their property accessible to the disabled.
The property must be:
- a personal residence located in Kansas; or,
- an existing building, facility, or equipment located in Kansas and used in a trade or business or held for the production of income.
Specifications for making a building or facility accessible and usable by the disabled must be in conformity with Title I and Title III of the Americans with Disabilities Act of 1990, 42 USCA 12101 et seq. and 28 CFR Part 36 and 29 CFR 1630 et seq.
Expenditures incurred to remove an existing architectural barrier qualify for the disabled access credit. Effective July 1, 1997, the construction of a small barrier free living unit attached to the principal residence also qualifies as an eligible expenditure.
Expenditures incurred to modify or adjust an existing facility or piece of equipment for the purpose of employing individuals with a disability qualifies for the disabled access credit.
For individual taxpayers, a certain percentage of expenditures, based on adjusted gross income is allowed as a credit, or $9,000 whichever is less, not to exceed the taxpayers income tax liability.
An individual with a tax liability of less than $2,250, is allowed a refund in the first year the credit is claimed of 25 percent of the amount that exceeds the liability. In the second year the refund is 33 percent of the amount carried over from the first year which exceeds the liability. In the third year, the refund is 50 percent of the amount carried over from the second year which exceeds the liability. In the fourth year, any remaining credit exceeding the liability is refunded.
An individual with a tax liability of $2,250 or more may carry forward any amount of credit which exceeds the income tax liability for a period of four years.
For a business taxpayer, the credit is 50 percent of the actual expenditures or $10,000 whichever is less, not to exceed the taxpayers income or privilege tax liability.
A business may carry forward any amount of credit which exceeds the income or privilege tax liability for a period of four years.