Why did Kansas update its income tax withholding tables for 2021, and what are the new standard deduction amounts?

Plain-English summary

Kansas Notice 21-22 announces updated income tax withholding tables that reflect a higher standard deduction enacted in 2021 Senate Bill 50.

The law change. Section 9 of Senate Bill 50 amended K.S.A. 79-32,119 to change the standard deduction for individuals filing Kansas income tax returns. New subsection (c)(2) provides that, for tax year 2021 and all years thereafter, the standard deduction amount is $3,500 for single filing status, $8,000 for married filing status, and $6,000 for head of household filing status. As applied by the Department, the base standard deduction is:

• $3,500 -- single filing status
• $8,000 -- married filing joint status
• $4,000 -- married filing separate status
• $6,000 -- head of household filing status

Why the tables changed. Kansas law requires the Secretary of Revenue to prepare tables (or prescribe schedules or rates) for withholding tax that approximate an employee's annual tax liability during the calendar year. To keep withholding aligned with the higher standard deduction, the Department updated the withholding tax tables for tax year 2021 and all later years. The revised tables are posted on the Department's website.

What this means for you

Employers

• Use the Department's updated withholding tables for 2021 and later so you withhold the correct amount of Kansas income tax from employee wages.
• The higher standard deduction generally lowers the amount that needs to be withheld compared with the prior tables.

Employees

• Your Kansas withholding for 2021 and later reflects a higher standard deduction ($3,500 single, $8,000 married filing jointly, $4,000 married filing separately, $6,000 head of household).
• If your withholding no longer matches your situation, consider updating your Kansas withholding allowance certificate with your employer.

Common questions

What triggered the update? 2021 Senate Bill 50 (Section 9) amended K.S.A. 79-32,119 to raise the Kansas standard deduction.

What are the new standard deduction amounts? $3,500 single, $8,000 married filing jointly, $4,000 married filing separately, and $6,000 head of household.

When do the new tables apply? Tax year 2021 and all tax years thereafter.

Where can employers get the updated tables? On the Kansas Department of Revenue's website (withholding tax forms page).

Citations and references

• Senate Bill 50 (2021), Section 9 -- amended K.S.A. 79-32,119 to set the standard deduction at $3,500 (single), $8,000 (married), and $6,000 (head of household) for 2021 and after.
• K.S.A. 79-32,119 -- Kansas standard deduction statute; new subsection (c)(2) sets the amounts.
• The Secretary of Revenue's duty to maintain withholding tables that approximate an employee's annual Kansas tax liability.

Source

• Landing page: Kansas Department of Revenue Policy Information Library
• Original document: Notice 21-22

Original ruling text

Policy and Research
109 SW 9th Street Phone: 785-368-8222
PO Box 3506 Fax: 785-296-1279
Topeka KS 66601-3506 www.ksrevenue.org
Mark A. Burghart, Secretary Laura Kelly, Governor

                                       NOTICE 21-22

                          WITHHOLDING TAX TABLES UPDATED
                                       (JULY 13, 2021)

   During the 2021 Legislative Session Senate Bill 50 was passed and signed into law. This

Bill amended K.S.A. 79-32,119 to change the standard deduction for individuals filing Kansas
income tax returns. Specifically, Section 9 of the Bill includes new statutory language, found in
subsection (c)(2), which provides:

         (2) For tax year 2021, and all tax years thereafter, the standard deduction amount
   of an individual, including husband and wife who are either both residents or who file
   a joint return as if both were residents, shall be as follows: Single individual filing
   status, $3,500; married filing status, $8,000; and head of household filing status,
   $6,000.

  In accordance with the new law, for tax years 2021, and all subsequent tax years, the base

standard deduction will be: $3,500 for single filing status; $8,000 for married filing joint status;
$4,000 for married filing separate status; and $6,000 for head of household filing status.

   Under Kansas law the Secretary of Revenue is required to prepare tables, and/or to prescribe

schedules or rates, for withholding tax that will approximate an employee's annual tax liability
during a calendar year. In recognition of this requirement the Department has updated the
withholding tax tables to reflect the higher standard deduction for tax years 2021, and all tax years
thereafter. These tables are available through the Department's website at:
https://ksrevenue.org/forms-btwh.html

                                   TAXPAYER ASSISTANCE

  Additional copies of this notice, forms or publications are available from our web site,

www.ksrevenue.org. If you have questions about this Notice, please contact:

                                Taxpayer Assistance Center
                               Kansas Department of Revenue
                               Scott Office Building, 1st Floor
                                      120 SE 10th Ave
                                       P. O. Box 3506
                                  Topeka, KS 66601-3506
                                    Phone: 785-368-8222
                                     Fax: 785-291-3614