Kansas
Taxes and business formation • USA 2025–2026
TL;DR
Kansas at a glance — 2026 figures
State filing fees and tax position for individuals and companies registered in Kansas.
| Parameter | Value |
|---|---|
| Personal income tax | See the income tax section below |
| LLC formation fee | $160.00 |
| LLC annual report fee | $100.00 |
| LLC annual report deadline | April 15 (biennial) |
| LLC dissolution fee | $30.00 |
| Corporation formation fee | $85.00 |
| Corporation annual report fee | $100.00 |
State filing fees are set by the Secretary of State and change without notice — the official source is linked in each section below. Federal figures for tax year 2026 are on the 2026 tax cheat sheet.
Updated: August 2026
LLC in Kansas
Corporation in Kansas
Tax system of Kansas
Income Tax
Kansas uses a progressive personal income tax. In 2025, rates range from 5.2% to 5.58% depending on income level and filing status. The tax applies to all major sources of income: wages, self-employment income, and capital gains.
Sales Tax
Kansas's base sales tax rate is 6.5%, but with local surcharges the rate can reach up to 10.6% in major cities such as Wichita and Kansas City. Sales tax applies to most goods and many services, including digital goods, repairs, rentals, and hotel services. Exemptions include prescription medications, groceries, certain medical devices, and equipment used in manufacturing and agriculture. Determining the correct rate and the categories of taxable sales can be complex, especially given varying municipal surcharges. Our firm provides services for obtaining a Sales Tax Permit and for preparing and filing the Sales and Use Tax Return. We advise business owners on registration, calculation, and reporting.
Property Tax
Kansas levies property tax through counties and school districts. The average effective rate is about 1.34% of market value — higher than in most U.S. states. Property is assessed annually, with the option to appeal. Residential real estate is taxed on a lower assessment base (11.5% of market value), while commercial properties are assessed at 25%. The state also provides exemptions for senior citizens, people with disabilities, veterans, and certain categories of landlords.
Business Taxes
Kansas imposes a Corporate Income Tax on C-corporations. The base rate is 4%, plus an additional surtax of 3% on income above $50,000, which effectively gives a top rate of 7%. S-corporations, LLCs, and partnerships are generally not taxed at the entity level but must file informational returns. All registered legal entities are required to file an Annual Report with the Kansas Secretary of State every two years.
Excise Taxes
Kansas levies excise taxes on alcohol, tobacco products, gasoline and diesel fuel, as well as on sales of marijuana under medical licenses. Short-term car rentals and hotel services are also subject to additional fees.
Favorable Tax Conditions
Although Kansas is not a particularly tax-friendly state, it offers a number of business support programs, including tax credits for job creation, equipment investment, and investment in rural areas. The state has a moderate corporate tax rate and no franchise tax.
Compared to Other States
Compared with neighboring states such as Nebraska and Missouri, Kansas offers a stable corporate tax rate. Its corporate tax (4%–7%) is lower than in New York (7.25%–9%), Illinois (9.5%), or California (8.84%). However, property taxes and sales tax levels in cities are higher than in most U.S. states.
Frequently asked questions
Does Kansas have a personal income tax?+
Yes. Kansas levies a personal income tax on residents. The current rates and brackets are set out in the income tax section on this page, with a link to the state tax authority — rates are revised by the legislature, so always check the official source before filing.
How much does it cost to register an LLC in Kansas?+
The state filing fee in Kansas is $160.00. On top of that you need a registered agent with a physical address in the state, and FinTaxes charges from $299 for the formation service itself.
When is the annual report due for a Kansas LLC?+
The Kansas annual report fee is $100.00, due April 15 (biennial). Missing it typically triggers a late penalty and, if left unresolved, administrative dissolution of the company.
Do I need to live in Kansas to open an LLC there?+
No. You do not need to live in Kansas — or in the United States at all — to own an LLC registered there. Non-residents can form and own a US LLC; what the state requires is a registered agent with a physical in-state address. Your own tax residency is a separate question and decides which returns you file.
Can FinTaxes file my Kansas state return remotely?+
Yes. FinTaxes prepares and e-files federal and Kansas state returns entirely remotely, for clients anywhere in the US or abroad, as an Authorized IRS e-file Provider.
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