SESSION OF 2022
SUPPLEMENTAL NOTE ON SENATE BILL NO. 180
As Amended by Senate Committee on
Assessment and Taxation

Brief*
SB 180, as amended, would create a sales tax
exemption beginning January 1, 2023, for food and food
ingredients, grooming and hygiene products, and household
personal products purchased by Kansas resident veterans
who have been honorably discharged and 100 percent
disabled through military service.
Purchases for the benefit of such individuals or made on
behalf of such individuals would also qualify for the
exemption, which would be capped at $35,000 of taxable
sales per year per eligible person. Surviving spouses of
eligible persons would continue to be eligible for the
exemption until remarriage.
The bill would require individuals claiming the exemption
to apply to the Secretary of Revenue for a veteran exemption
identification number, which would be provided on a card the
size of a driver’s license upon the provision of information
sufficient to establish the eligibility of the individual. The bill
would require the exemption identification number or
exemption card to be presented to retailers when claiming the
exemption.
Upon request of the Secretary of Revenue, an eligible
person would be required to provide a statement under oath
that the total sales amounts have not exceeded the amount
provided for by the bill. If the amount of exempt sales
____________________
*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
exceeds the limit, the amount of excess sales tax would be
considered a direct sales tax liability of the eligible individual.

Background
The bill was introduced by Senators Peck, Bowers,
Corson, Hilderbrand, Kloos, McGinn, Pittman, Steffen, and
Thompson.
Senate Committee on Assessment and Taxation
In the Senate Committee hearing, proponent testimony
was provided by Senator Peck and a representative of VFW
Post 1186, stating the bill would make food and other
products more affordable for disabled veterans.
No other testimony was provided.
The Senate Committee amended the bill to change the
implementation date, allow surviving spouses to continue to
receive the exemption, and to require the Department of
Revenue to issue exemption certificates on cards the size of
driver’s licenses.
Fiscal Information
According to the Department of Revenue, enactment of
the bill would reduce state receipts by $5.5 million in FY
2023, with $4.6 million being reduced State General Fund
(SGF) receipts and $0.9 million being reduced State Highway
Fund (SHF) receipts. Beginning in FY 2024, enactment of the
bill would reduce SGF receipts by $11.1 million and SHF
receipts by $2.2 million annually.
Additionally, the Department indicates enactment of the
bill has the potential to put the State out of compliance with
the Streamlined Sales and Use Tax Agreement, which could
imperil $60.4 million of annual state receipts.

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 Any fiscal effect associated with the bill is not reflected
in The FY 2023 Governor’s Budget Report.
Taxation; sales tax; exemption; disabled veterans


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