Form Pub. Ks-1510 - Kansas Sales Tax And Compensating Use Tax Page 8
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42exemption must present a Tax Exemption Card issued
and state INCOME tax, not to sales tax. Groups and
by the Office of Foreign Missions (OFM) of the U. S.
organizations that are NOT EXEMPT from paying Kansas
Department of State. Details are in Notice 04-09.
sales tax include:
Domestic Violence Shelters — Effective January 1,
• alumni associations
2005, property and services purchased by or on behalf
• charitable and benevolent organizations
of the domestic violence shelters that are member
• clubs and professional associations
agencies of the Kansas coalition against sexual and
• labor unions
domestic violence (KCSDV) will be exempt.
Habitat For Humanity — This organization may buy the
materials that will be incorporated into its housing
ITEMS EXEMPT FROM SALES TAX
projects without sales tax. The exemption applies only
to housing materials. Habitat for Humanity must still pay
Items used by these industries and groups are
sales tax on all of its other purchases of goods or taxable
exempt from sales tax:
services.
Korean War Memorial — Property and services
Aircraft sales, parts, and repair services for carriers in
purchased by or on behalf of a 501(c)3 nonprofit
interstate or foreign commerce, and on and after January
corporation organized to construct a Korean War
1, 2005 sales of aircraft repair, modification and
Memorial are exempt from sales tax. KDOR has issued
replacement parts and sales of services employed in
Project Exemption Certificates (PECs) to the qualifying
the remanufacture, modification and repair of aircraft.
entities.
See also Notice 04-06 on our web site.
Parent-Teacher Associations — A PTA or PTO is exempt
Broadcasting equipment purchased by over-the-air free
from paying sales tax when buying goods and services.
access radio and television stations to generate their
It is also exempt from collecting sales tax on its sales of
broadcast signals.
tangible personal property, but must collect tax when
Drill bits and explosives used in the exploration of oil
selling taxable services or admissions.
and gas.
Religious Organizations — All sales of tangible personal
Drugs and pharmaceuticals sold to veterinarians.
property and services purchased by a 501(c)(3)
Farm machinery & equipment - For more information
religious organization, and used exclusively for religious
consult Pub. KS-1550, Kansas Sales and Use Tax for
purposes, are exempt. Religious organizations also
the Agricultural Industry.
qualify to request a PEC so that materials purchased
or furnished by a contractor to construct or remodel
NOTE: Since July 1, 2006, “Work-site utility vehicles” equipped
facilities for the religious organization are also exempt.
with a bed or cargo box may be purchased exempt from
Rural Volunteer Fire-Fighters — Property or services
sales tax when used exclusively in farming and ranching.
purchased by or on behalf of rural volunteer fire-fighters
Since July 1, 2007, “precision farming equipment” that is
installed or purchased to be installed on farm machinery
and used exclusively by them in the performance of their
and equipment is exempt from sales tax.
duties and functions are exempt from sales tax.
Youth Development Programs — Sales of tangible
Food sold to groups providing meals to the elderly and
personal property to a nonprofit organization for
homebound, and food sold by a nonprofit 501(c)(3)
nonsectarian comprehensive multi-discipline youth
organization under a food distribution program that sells
development programs and activities, and all sales of
the food below cost in exchange for community service
tangible personal property by or on behalf of such
and, on and after January 1, 2005, all sales of food
organization are exempt from tax. Examples include: Boy
products by or on behalf of any such contractor or
Scout and Girl Scout Councils and Troops. Exception:
organization for any such purpose.
Sales of taxable services and sales of property
Integrated production machinery and equipment.
customarily used for human habitation (such as beds,
Materials purchased by a community action group to
chairs, bedding, and lamps) are taxable to a nonprofit
repair or weatherize low-income housing.
youth development organization.
Medical supplies and durable medical equipment
purchased by a nonprofit skilled nursing home. Also
For a complete list of all tax exempt entities, see our
exempt effective July 1, 2007 are oxygen delivery and
Pub. KS-1520, Kansas Exemption Certificates, available
kidney dialysis equipment and enteral feeding systems.
on the KDOR web site.
Public health educational materials purchased by a
nonprofit corporation for free distribution to the public.
BUYERS WHO ARE NOT EXEMPT
Railroad parts, materials, and services for railroad rolling
stock used in interstate or foreign commerce.
The previous list of exempt buyers contains a number
Rolling stock (trucks, buses, tractor-trailers, etc.), repair
of nonprofit organizations. A common misconception is
or replacement parts, and motor fuels purchased by
that all nonprofit organizations are exempt from sales
ICC carriers.
tax. A federal exemption issued under Section 501(c)
Warehouse machinery & equipment, racking systems.
of the Internal Revenue Code applies ONLY to federal
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