Session of 1999
HOUSE BILL No. 2131
By Committee on Taxation
9 AN ACT relating to income taxation; providing a credit therefrom for
10 certain investments in certain agricultural cooperatives.
12 Be it enacted by the Legislature of the State of Kansas:
13 Section 1. (a) As used in this section:
14 (1) "Agricultural cooperative" means any corporation which is organ-
15 ized pursuant to the provisions of K.S.A. 17-1601 et seq., and amendments
16 thereto, and which engages in the activity of developing and promoting
17 the processing and marketing of agricultural commodities grown, made
18 or manufactured in this state through marketing contracts entered into
19 pursuant to K.S.A. 17-1616, and amendments thereto; and
20 (2) "direct investment" means the payment of money or the transfer
21 of any form of economic value, whether tangible or intangible, other than
22 money in exchange for stock.
23 (b) For all taxable years commencing after December 31, 1998, there
24 shall be allowed a credit against the tax liability of an individual or family
25 farm corporation imposed under the Kansas income tax act for direct
26 investment in an agricultural cooperative. The credit allowed by this sub-
27 section in any taxable year to a taxpayer shall not exceed the amount equal
28 to 25% of such investment or $2,000, whichever amount is less. If the
29 amount of such tax credit exceeds the taxpayer's income tax liability for
30 any such taxable year, such excess amount may be carried over for de-
31 duction from the taxpayer's income tax liability in the next succeeding
32 taxable year or years until the total amount of the tax credit has been
33 deducted from tax liability, except that no such excess amount shall be
34 carried over for deduction after the fourth taxable year succeeding the
35 taxable year in which the direct investment was made.
36 Sec. 2. This act shall take effect and be in force from and after its
37 publication in the statute book.