UPDATED
SESSION OF 2024
SUPPLEMENTAL NOTE ON SENATE BILL NO. 41
As Recommended by Senate Committee on
Assessment and Taxation

Brief*
SB 41 would create a sales and use tax remittance
credit for retailers in an amount equal to 1.5 percent of the
amount of sales and use tax being remitted by the retailer,
with a monthly cap of $300 per retailer.
Retailers filing a consolidated return for sales and use
tax prior to January 1, 2023, would be subject to the $300 cap
even if the retailer no longer files a consolidated return after
that date.

Background
The bill was introduced by the Senate Committee on
Assessment and Taxation at the request of a representative
of the Kansas Chamber.

Senate Committee on Assessment and Taxation
In the Senate Committee hearing on January 26, 2023,
proponent testimony was provided by representatives of
Fuel True, Kansas Chamber, Kansas Restaurant and
Hospitality Association, and National Federation of
Independent Business-Kansas. The proponents generally
stated the bill would compensate retailers for their work in
collecting and remitting sales taxes to the state.
____________________
*Supplemental notes are prepared by the Legislative Research
Department and do not express legislative intent. The supplemental
note and fiscal note for this bill may be accessed on the Internet at
http://www.kslegislature.org
 Written-only proponent testimony was provided by
representatives of Hemslöjd, Inc.; Kansas Agribusiness
Retailers Association; and Shawnee Chamber of Commerce.
Written-only neutral testimony was provided by a
representative of the League of Kansas Municipalities.
No other testimony was provided.
On January 9, 2024, the bill was withdrawn from the
Senate Calendar and rereferred to the Senate Committee on
Assessment and Taxation.
Following discussion on January 24, 2024, the Senate
Committee again recommended the bill be passed.

Fiscal Information
According to the fiscal note prepared by the Division of
the Budget on the bill, the Department of Revenue indicates
enactment of the bill would reduce sales and use tax
collections by $57.1 million per year. The Department
indicates it is unclear whether the reduced revenue should be
prorated between state and local revenue and from what the
distribution of any state share of the reduced revenue should
be. Any fiscal effect associated with the bill is not reflected in
The FY 2025 Governor’s Budget Report.
Taxation; sales tax; remittance credit


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