What sales tax law changes did the 2011 Kansas Legislature make to refund deadlines and game bird sales?

Plain-English summary

Kansas Notice 11-01 summarizes two sales tax changes from the 2011 legislative session.

1. Refund claim deadline extended from 1 year to 3 years. Section 6 of 2011 Senate Bill 10 amended K.S.A. 79-3609(b) so that, for any sales tax refund claim filed after July 1, 2011, the claim must be filed within three years of the return's due date or it is time-barred. Under prior law the deadline was one year.

2. Game birds sold for hunting are exempt. Revenue Ruling 19-2011-01 (dated March 18, 2011) had provided that when game birds are purchased by a controlled shooting area operator from a bird breeder for release at the shooting area, that purchase is a taxable retail sale (while later charges to hunters shooting the released birds are not taxable). Section 15 of 2011 Senate Bill 193 amended K.S.A. 79-3606 to add a new exemption at (gggg) for "all sales of game birds for which the primary purpose is use in hunting," effective July 1, 2011. As of that date, the game-bird statement in Revenue Ruling 19-2011-01 no longer applies, and such sales are exempt.

Date note. The notice's printed date reads "June 7, 2010," but that is a source typo: the notice describes 2011 legislation and cites a March 18, 2011 Revenue Ruling, so it was issued in 2011.

What this means for you

Businesses seeking sales tax refunds

• For claims filed after July 1, 2011, you have three years from the return's due date to file, not one.

Game bird breeders, shooting areas, and hunting operations

• Effective July 1, 2011, sales of game birds whose primary purpose is use in hunting are exempt from sales tax.
• The earlier ruling that treated an operator's purchase of birds from a breeder as taxable no longer applies from that date.

Tax preparers

• Apply the three-year refund window and the game-bird exemption for periods on and after July 1, 2011.

Common questions

How long do I have to file a sales tax refund claim? Three years from the return's due date, for claims filed after July 1, 2011 (previously one year).

Are game birds taxable? Sales of game birds for which the primary purpose is use in hunting are exempt effective July 1, 2011.

What happened to Revenue Ruling 19-2011-01? Its statement that an operator's purchase of game birds is a taxable retail sale no longer applies as of July 1, 2011.

Why does the notice say 2010? The printed "June 7, 2010" date is a source typo; the content is from the 2011 session.

Citations and references

• K.S.A. 79-3609(b) -- sales tax refund claim deadline, extended from one year to three years by Section 6 of 2011 Senate Bill 10 (claims filed after July 1, 2011).
• K.S.A. 79-3606(gggg) -- new exemption for game birds sold primarily for hunting, added by Section 15 of 2011 Senate Bill 193, effective July 1, 2011.
• Revenue Ruling 19-2011-01 (March 18, 2011) -- prior game-bird treatment, superseded as to game birds by the new exemption.

Source

• Landing page: Kansas Department of Revenue Policy Information Library
• Original document: Notice 11-01

Original ruling text

Policy & Research Phone: 785-296-3081
915 SW Harrison St FAX: 785-296-7928
Topeka KS 66612-1588 www.ksrevenue.org
Nick Jordan, Secretary Department of Revenue Sam Brownback, Governor
Richard Cram, Director

                                    NOTICE 11-01

    SALES TAX LAW CHANGES IN 2011 KANSAS LEGISLATIVE SESSION
                                    dated June 7, 2010

Statute of limitations for sales tax refund claims lengthened from 1 year to 3 years, effective
for refund claims filed after July 1, 2011 – Section 6 of 2011 Senate Bill 10 amended K.S.A.
79-3609(b) to provide that for any sales tax refund claim filed after July 1, 2011, the claim must
filed within three years from the due date of the return, or it will be time-barred. Under prior
law, the claim must have been filed within one year from the due date of the return, or it would
be time-barred.

Sales of game birds are exempt from sales tax – Revenue Ruling 19-2011-01, dated March 18,
2011, provided in part:

   If game birds are purchased by a controlled shooting area operator from a bird breeder for
   release at a controlled shooting area, such a transaction shall be considered a retail sale of
   tangible personal property subject to sales tax. Any charges for hunters later shooting
   and taking any such game birds released at the controlled shooting area will not be
   considered a transaction subject to sales tax.

Section 15 of 2011 Senate Bill 193 amended K.S.A. 79-3606 to provide a new sales tax
exemption at (gggg) for: "all sales of game birds for which the primary purpose is use in
hunting." This law becomes effective on July 1, 2011. As of that date, the above statement in
Revenue Ruling 19-2011-01 concerning game birds will no longer apply. The sale of game birds
for which the primary purpose is use in hunting shall be exempt from sales tax, effective July 1,
2011.

Taxpayer Assistance. Additional copies of this Notice, and other department forms or
publications, may be download from our web site, www.ksrevenue.org. If you have questions
about this notice and how it applies, please contact:

Taxpayer Assistance Center Phone: 785-368-8222
Kansas Department of Revenue Fax: 785-291-3614
915 SW Harrison St., 1st Floor
Topeka, KS 66612-1588