Form Pub. Ks-1510 - Kansas Sales Tax And Compensating Use Tax Page 38
ADVERTISEMENT
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
421) Print or type all information, except for the
IMPORTANT: When you use a blanket
authorized signature. The information on the
exemption certificate for your regular exempt
certificate must be legible both to you and to our
customers, ask them to verify or renew this document
auditors. Do not print a signature on paper forms,
every year. This will help guarantee that the exempt
although it is often helpful to print or type the name
customer’s information (i.e., exact business name and
below the signature. (A signature is not required on
location, tax account number, etc.) remains accurate
an electronic exemption certificate.)
and up-to-date.
2) Fill in all the blanks. A certificate is complete only
CAUTION: When you use blanket exemption
when all the information is provided. If there is a
certificates, you should segregate any taxable
blank on the form, it must be filled in. Addresses
purchases from that vendor and pay for them
must include the street or PO Box, city, state, and
separately. Each buyer signs the exemption certificate
zip code.
acknowledging responsibility for payment of the tax if:
When the certificate requires a tax registration
“... the tangible personal property or service is
number, be sure your customer provides it. An
used other than as stated ... or for any other
exemption certificate is not complete unless the
purpose that is not exempt from sales or
customer supplies the proper registration
compensating tax ...”
number(s). A seller may lawfully require a copy of
the buyer’s sales tax certificate of registration as a
Record Keeping
condition of honoring the Resale Exemption
Certificate (ST-28A). [K.A.R. 92-19-25b]
Keep all sales tax records, including exemption
certificates and copies of tax exemption cards (Kansas
3) Give specific descriptions. Be as precise as
or diplomatic (see page 8), for your current year of
possible when describing the property or services
business and at least three prior years.
purchased. You may use an itemized list, refer to
an itemized invoice number, or at the very least
Penalties for Misuse
provide a general description of the items. When
describing a business activity, include the principal
A buyer who issues an exemption certificate in order
product(s) sold or manufactured.
to unlawfully avoid payment of the tax for business or
personal gain is guilty of a misdemeanor, and upon
Blanket Exemption Certificates
conviction may be fined up to $1,000 or imprisoned for
up to a year, or both. When a buyer is found to have
If you make recurring exempt sales of the same type
to the same purchaser, it is not necessary to have an
used a Resale Exemption Certificate (ST-28A) to avoid
exemption certificate for each transaction. You may
payment of the tax, the director may also increase any
instead accept a blanket exemption certificate to cover
penalty due on the tax by $250 or 10 times the tax due,
future sales. Most of the certificates in this publication
whichever is greater, for each transaction where the
may be used as a blanket certificate.
misuse of a Resale Exemption Certificate occurred.
38
ADVERTISEMENT
0 votes
Related Articles
Related forms
Related Categories
Parent category: Financial