August 13, 2021
Effective July 1, 2021, retailers, out-of-state sellers, and marketplace facilitator’s that have an excess of $100,000 in gross receipts are required to collect and remit sales tax in the state of Kansas. Prior to July 1, 2021, Kansas did not adopt economic nexus provisions however the state took the position that Kansas could require on-line and other remote sellers with no presence in the state to collect and remit applicable sales and use tax delivered into the state of Kansas beginning October 1, 2019.
July 28, 2021
Kansas DOR recently issued a notice about L. 2021, S47, which clarified the withholding rules for teleworkers. The notice provides that for January 1, 2021, to December 31, 2022, employers have the option to continue to withhold income taxes based on the state of the employee’s primary work location and not based on the state in which the employee is teleworking or otherwise during the pandemic.
July 8, 2021
The Kansas Department of Revenue has advised taxpayers that unemployment compensation should be excluded from gross taxable income in 2020 to align with the federal American Rescue Plan Act of 2021 which excludes up to $10,200 in unemployment compensation from gross income per taxpayer. The IRS is sending refunds to taxpayers affected by the change. In addition to the refunds, the IRS is sending affected taxpayers a letter after making the adjustment notifying the taxpayer of the change. In order for Kansas taxpayers to exclude unemployment compensation from Kansas taxable income, taxpayers must amend their Kansas income tax return and include a copy of the IRS letter. Only affected taxpayers who have filed and paid their Kansas income tax returns by the original due date are required to amend their returns. Kansas taxpayers whose returns are on extension can claim the exclusion for unemployment compensation on their original return.
March 23, 2021
Indiana Governor Eric Holcomb announced that the Indiana Department of Revenue is extending individual income tax filing and payment deadlines to align with the IRS deadline of May 17, 2021. Individual tax returns and payments, originally due by April 15, 2021, are now due on or before May 17, 2021. All other tax return filings and payment due dates remain unchanged. Individuals unable to file by the May 17, 2021, deadline can file an extension directly with the department or with the IRS. If the IRS extension is granted, the Indiana extension is automatically granted. A timely filed extension results in the federal tax filing deadline of October 15, 2021, and the Indiana filing deadline of November 15, 2021. The extension only shifts the filing deadline and not the payment deadline; 90% of the taxes owed must still be paid by May 17, 2021, to avoid penalties and interest. (DOR Announces Individual and Filing Payment Deadline Extensions, Ind. Dept. Rev., 03/22/2021.)+C17+C18
April 1, 2020
The deadline for 2019 individual income, fiduciary, corporate income and privilege tax has been extended to July 15, 2020. The filing date for homestead and property tax relief refund claims has been extended to October 15, 2020.
More on Taxes and the Coronavirus Pandemic.
Disclaimer: Please note this is the information that is readily available at this time, it is subject to change so please consult your Withum tax advisor.