Session of 2000
HOUSE BILL No. 2617
By Special Committee on Agriculture
10 AN ACT relating
to income taxation; providing a credit therefrom for
11 certain investments in
certain agricultural cooperatives.
13 Be it enacted by the Legislature of the
State of Kansas:
1. (a) As used in this section:
15 (1) "Agricultural
cooperative" means any corporation which is organ-
16 ized pursuant to the provisions of K.S.A.
17-1601 et seq., and amendments
17 thereto, and which engages in the activity
of developing and promoting
18 the processing and marketing of
agricultural commodities grown, made
19 or manufactured in this state through
marketing contracts entered into
20 pursuant to K.S.A. 17-1616, and amendments
21 (2) "direct
investment" means the payment of money or the transfer
22 of any form of economic value, whether
tangible or intangible, other than
23 money in exchange for stock.
24 (b) For all
taxable years commencing after December 31, 1998, there
25 shall be allowed a credit against the tax
liability of an individual, family
26 farm corporation as defined under K.S.A.
17-5903 and amendments
27 thereto or limited liability agricultural
company as defined under K.S.A.
28 17-5903 and amendments thereto imposed
under the Kansas income tax
29 act in an amount equal to a direct
investment in an agricultural cooper-
30 ative. The credit allowed by this
subsection in any taxable year to a tax-
31 payer shall not exceed $500, or the amount
of tax imposed under the
32 Kansas income tax act reduced by the sum of
any other credits allowable
33 pursuant to law, whichever amount is less.
If the amount of such tax credit
34 exceeds the taxpayer's income tax liability
for any such taxable year, such
35 excess amount may be carried over for
deduction from the taxpayer's
36 income tax liability in the next succeeding
taxable year or years until the
37 total amount of the tax credit has been
deducted from tax liability, except
38 that no such excess amount shall be carried
over for deduction after the
39 fourth taxable year succeeding the taxable
year in which the direct in-
40 vestment was made.
41 Sec. 2. This act shall
take effect and be in force from and after its
42 publication in the statute book.