If your limited liability company (LLC) sells physical products or certain types of services, you will need to collect and pay sales tax. In Kansas, the first step is visiting the Department of Revenue website and registering for sales tax in order to acquire a seller’s permit, or sales tax permit.
What Products and Services Are Subject to Sales Tax in Kansas?
The sale, rental, or lease of tangible personal property is subject to sales tax in Kansas. Groceries are subject to sales tax in Kansas. Services to repair, alter, or maintain tangible personal property are also subject to sales tax. Services performed to install or apply tangible personal property are exempt from sales tax when the services involve the original construction, reconstruction, restoration, remodeling, renovation, repair, or replacement of a residence.
Kansas Sales Tax Rate
The sales tax rate in Kansas is 6.5%.
Five states have no sales tax. Colorado has the lowest sales tax at 2.9%, while California has the highest rate at 7.25%.
How to Register for Kansas Sales Tax
In Kansas, acquire a seller’s permit by following the revenue department’s detailed instructions for registration:
- Go to the state’s Customer Service Center website.
- Register for an account on the site.
- Fill out the business tax registration form.
- There is no fee to register for business tax.
Use our Sales Tax Calculator to calculate taxes and total purchase amount.
In Kansas, and across the country, collecting sales tax is a must if you want to avoid potentially heavy fines and even closure. It’s crucial that you follow your state’s laws, and you might consider consulting with an accountant or tax attorney to make sure you’re in full compliance.