Disaster Credit Frequently Asked Questions

No, the actual acquisition of the business will not qualify. If you need to make some improvements to the facility or wish to purchase some additional machinery and equipment, these types of expenditures would qualify.

No, the actual acquisition of the business will not qualify. If you need to make some improvements to the facility or wish to purchase some additional machinery and equipment, these types of expenditures would qualify.

The Kansas Department of Revenue will review these types of situations on a case by case basis. With each scenario different facts will determine the outcome. Factual situations should be submitted to the Department of Revenue for review.

No. Because your lease was entered into before the date of the occurrence of the major disaster declaration, these lease payments will not qualify for the credit. If you should renew your lease during this time frame, these lease payments related to the renewal of the lease agreement will not qualify either.

This program has been put into place to encourage new investment in some of the communities hardest hit by the disasters. Therefore, if you were to sign a new lease for new equipment during this time frame, those lease payments would qualify for the credit.

No. Labor services to make improvements to your facility or to repair machinery and equipment at the facility for which your own employees are paid wages cannot qualify for the credit.

Yes, it is possible if funding is available in one of the subsequent fiscal years. The Department will notify you if funding is available.

Yes, in fact we encourage you to do so. Filing electronically reduces our processing costs and enables the Department to process your return quickly. At this time however, the Schedule K-87, Declared Disaster Capital Investment Credit cannot be part of the electronic file. We ask that you file your tax return electronically and FAX your credit schedule to our office at 785-296-8989. We will match your credit schedule to your tax return and process your information in record time.