REVISED
SESSION OF 2024
SUPPLEMENTAL NOTE ON SENATE BILL NO. 509
As Amended by Senate Committee on
Assessment and Taxation

Brief*
SB 509, as amended, would create an income tax credit
for certain Kansas residents with children enrolled in
accredited or nonaccredited private schools.
The credit, which would be refundable and would begin
in tax year 2024, would be equal to 75 percent of the BASE
(Base Aid for Student Excellence) amount provided in school
finance law during the school year in effect on January 1 of
the tax year for students enrolled in accredited private
schools and 50 percent of the BASE amount for students
enrolled in nonaccredited private schools if the child was
eligible to be enrolled in kindergarten through 12th grade at a
Kansas public school but was not so enrolled. The
Department of Revenue would be required to provide for
advance refunds of the credit on a form prepared by the
Department of Revenue.
The bill would authorize the Department of Revenue to
consult with the State Department of Education regarding the
public school enrollment status for any child for which a credit
is sought. Taxpayers seeking to claim the credit would
acknowledge by seeking the credit that the Department of
Revenue is permitted such consultation.
Taxpayers receiving the credit would be required to
provide a valid Social Security number for each child for
which the taxpayer is claiming the credit. Taxpayers filing a
____________________
*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
false claim for the credit or claiming the credit and not
sending their child to a private school, as described in the bill,
would be subject to civil penalties. Taxpayers would be
prohibited from claiming the credit for a child who received a
scholarship pursuant to the Tax Credit for Low Income
Student Scholarship Act.
The Department of Revenue would be required to
submit a report to the Legislature by January 15 of each year
of the total amount of credits claimed and any information on
fraudulent claims for the credit.
For tax year 2024, the total amount of credits allowed
would be limited to $75.0 million. For tax year 2025 and each
subsequent tax year, if the total amount of credits claimed in
any year exceeds 90 percent of the maximum amount
allowed, the maximum amount of credits allowed would
increase by 25 percent for the following tax year. The bill
would require the Department of Revenue to publish
information on its website identifying such increases in the
maximum total amount of tax credits.
The bill would be in effect upon publication in the
Kansas Register.

Background
The bill was introduced by the Senate Committee on
Assessment and Taxation at the request of Senator Erickson.

Senate Committee on Assessment and Taxation
In the Senate Committee hearing, proponent testimony
was provided by representatives of Americans for Prosperity–
Kansas, Holy Savior Catholic Academy, Kansas Policy
Institute, and yes. every. kid. Proponents generally stated the
bill would provide parents with a financial resource to enable

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them to make decisions regarding the education of their
children.
Written-only proponent testimony was provided by
representatives of Catholic Diocese of Wichita, Kansas
Catholic Conference, and Kansas Family Voice.
Opponent testimony was provided by representatives of
Game On for Kansas Schools, Kansas Association of School
Boards, Kansas State Board of Education, Kansas Interfaith
Action, Kansas PTA, United School Administrators of Kansas,
and five private citizens. Opponents generally stated the bill
would provide a tax incentive for education with little or no
State oversight, could jeopardize funding for public schools,
and could risk entanglement of State oversight with home
education.
Written-only opponent testimony was provided by
representatives of Blue Valley Schools, Kansas National
Education Association, Mainstream, and Stand Up Blue
Valley, and several private citizens.
No other testimony was provided.
The Senate Committee amended the bill to provide for
the aggregate limit to the amount of credits available, prohibit
the credit in cases of scholarships being received by the
student under the Tax Credit for Low Income Student
Scholarship Program, and provide for civil penalties in the
event the credit is claimed and the student is not enrolled in a
private school.

Fiscal Information
According to the fiscal note prepared by the Division of
the Budget on the bill, as introduced, the Department of
Revenue estimates enactment of the bill could result in
$240.0 million in credits being claimed in tax year 2024 and
$253.8 million in credits being claimed in tax year 2025.
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However, the fiscal note did not include the effects of the
Senate Committee amendment providing for an aggregate
cap on the credit.
A fiscal note on the amended bill was not immediately
available. Any fiscal effect associated with enactment of the
bill is not reflected in The FY 2025 Governor’s Budget Report.
Taxation; income tax; credit; accredited private school; nonaccredited private school


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