The bill amends K.S.A. 2025 Supp. 79-3606 to introduce a sales tax exemption for nonprofit organizations that support students of U.S. military academies, their alumni, and their families, recognizing the importance of these organizations in serving military-connected individuals. The existing section of the law is repealed to incorporate this new exemption while maintaining various existing exemptions for other entities, such as educational institutions and nonprofit hospitals. The bill also clarifies the conditions under which these exemptions apply, ensuring consistency with the law's intended purposes.

Additionally, the bill outlines specific requirements for nonprofit organizations and contractors regarding the use of exemption certificates for construction-related purchases, emphasizing compliance and accountability. It establishes penalties for misuse of materials purchased under these exemptions and includes provisions for refunding sales tax on qualifying purchases made prior to the bill's effective date. Overall, the legislation aims to streamline tax exemptions for various sectors, enhance support for nonprofit organizations, and ensure proper documentation and reporting for tax-exempt purchases.

Statutes affected:
As introduced: 79-3606