Including homestead renters as eligible to participate in certain homestead property tax refund claims.

Session of 2025
HOUSE BILL No. 2074
By Representatives Sawyer Clayton, Brownlee Paige, Carlin, Carmichael, Carr,
Featherston, Haskins, Hoye, Martinez, McDonald, Meyer, Miller, Mosley,
Neighbor, Oropeza, Osman, S. Ruiz, Sawyer, Simmons, Stogsdill, Wikle, Winn and
Woodard
1-23
AN ACT concerning taxation; relating to the homestead property tax
refund act; including homestead renters as eligible to participate in
certain homestead property tax refund claims; amending K.S.A. 79-
4501, 79-4511 and 79-4522 and K.S.A. 2024 Supp. 79-4502, 79-4508
and 79-4509 and repealing the existing sections.
Be it enacted by the Legislature of the State of Kansas:
Section 1. K.S.A. 79-4501 is hereby amended to read as follows: 79-
4501. The title of this act shall be the homestead property tax refund act.
The purpose of this act shall be to provide ad valorem tax refunds to: (a)
Certain persons who are of qualifying age who own or rent their
homestead; (b) certain persons who have a disability, who own or rent
their homestead; and (c) certain persons other than persons included under
the provisions of (a) or (b) who have low incomes and dependent children
and own or rent their homestead.
Sec. 2. K.S.A. 2024 Supp. 79-4502 is hereby amended to read as
follows: 79-4502. As used in this act, unless the context clearly indicates
otherwise:
(a) "Income" means the sum of adjusted gross income under the
Kansas income tax act effective for tax year 2013 and thereafter without
regard to any modifications pursuant to K.S.A. 79-32,117(b)(xx) through
(xxiii) and (c)(xx), and amendments thereto, maintenance, support money,
cash public assistance and relief, not including any refund granted under
this act, the gross amount of any pension or annuity, including all
monetary retirement benefits from whatever source derived, including but
not limited to, all payments received under the railroad retirement act,
except disability payments, payments received under the federal social
security act, except that for determination of what constitutes income such
amount shall not exceed 50% of any such social security payments and
shall not include any social security payments to a claimant who prior to
attaining full retirement age had been receiving disability payments under
the federal social security act in an amount not to exceed the amount of
such disability payments or 50% of any such social security payments,
whichever is greater, all dividends and interest from whatever source
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HB 2074 2
derived not included in adjusted gross income, workers compensation and
the gross amount of "loss of time" insurance. Income does not include gifts
from nongovernmental sources or surplus food or other relief in kind
supplied by a governmental agency, nor shall net operating losses and net
capital losses be considered in the determination of income. Income does
not include veterans disability compensation. Income does not include
disability payments received under the federal social security act.
(b) "Household" means a claimant, a claimant and spouse who
occupy the homestead or a claimant and one or more individuals not
related as husband and wife who together occupy a homestead.
(c) "Household income" means all income received by all persons of
a household in a calendar year while members of such household.
(d) (1) "Homestead" means the dwelling, or any part thereof, owned
and occupied as a residence by the household and so much of the land
surrounding it, as defined as a home site for ad valorem tax purposes, and
may consist of a part of a multi-dwelling or multi-purpose building and a
part of the land upon which it is built or a manufactured home or mobile
home and the land upon which it is situated. The provisions of this
paragraph shall apply to: (A) Claims under K.S.A. 79-4508, and
amendments thereto, for tax years prior to tax year 2025; and (B) all
claims under K.S.A. 79-4508a, and amendments thereto.
(2) Commencing with tax year 2025, for purposes of claims under
K.S.A. 79-4508, and amendments thereto, "homestead" means the
dwelling, or any part thereof, whether owned or rented, that is occupied as
a residence by the household and so much of the land surrounding it, as
defined as a home site for ad valorem tax purposes, and may consist of a
part of a multi-dwelling or multi-purpose building and a part of the land
upon which it is built or a manufactured home or mobile home and the
land upon which it is situated.
(3) "Owned" includes a vendee in possession under a land contract, a
life tenant, a beneficiary under a trust and one or more joint tenants or
tenants in common.
(e) "Claimant" means a person who has filed a claim under the
provisions of this act and was, during the entire calendar year preceding
the year in which such claim was filed for refund under this act, except as
provided in K.S.A. 79-4503, and amendments thereto, both domiciled in
this state and was:
(1) For purposes of a claim under K.S.A. 79-4508, and amendments
thereto:
(A) A person having a disability;
(B) a person who is 55 years of age or older;
(C) a disabled veteran;
(D) the surviving spouse of a deceased member of the armed forces
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HB 2074 3
who died in the line of duty during a period of active service; or
(E) a person other than a person included under subparagraph (A),
(B), (C) or (D) having one or more dependent children under 18 years of
age residing at the person's homestead during the calendar year
immediately preceding the year in which a claim is filed under this act; or
(2) for purposes of a claim under K.S.A. 2024 Supp. 79-4508a, and
amendments thereto:
(A) A person who is 65 years of age or older; or
(B) a disabled veteran.
The surviving spouse of a disabled veteran who was receiving benefits
pursuant to subsection (e)(1)(C) at the time of the veterans' death, shall be
eligible to continue to receive benefits until such time the surviving spouse
remarries.
When a homestead is occupied by two or more individuals and more
than one of the individuals is able to qualify as a claimant, the individuals
may determine between them as to whom the claimant will be. If they are
unable to agree, the matter shall be referred to the secretary of revenue
whose decision shall be final.
(f) "Property taxes accrued" means property taxes, exclusive of
special assessments, delinquent interest and charges for service, levied on
a claimant's homestead in 1979 or any calendar year thereafter by the state
of Kansas and the political and taxing subdivisions of the state. When a
homestead is owned by two or more persons or entities as joint tenants or
tenants in common and one or more of the persons or entities is not a
member of claimant's household, "property taxes accrued" is that part of
property taxes levied on the homestead that reflects the ownership
percentage of the claimant's household. For purposes of this act, property
taxes are "levied" when the tax roll is delivered to the local treasurer with
the treasurer's warrant for collection. When a claimant and household own
their homestead part of a calendar year, "property taxes accrued" means
only taxes levied on the homestead when both owned and occupied as a
homestead by the claimant's household at the time of the levy, multiplied
by the percentage of 12 months that the property was owned and occupied
by the household as its homestead in the year. When a household owns and
occupies two or more different homesteads in the same calendar year,
property taxes accrued shall be the sum of the taxes allocable to those
several properties while occupied by the household as its homestead
during the year. Whenever a homestead is an integral part of a larger unit
such as a multi-purpose or multi-dwelling building, property taxes accrued
shall be that percentage of the total property taxes accrued as the value of
the homestead is of the total value. For the purpose of this act, the word
"unit" refers to that parcel of property covered by a single tax statement of
which the homestead is a part.
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(g) "Disability" means:
(1) Inability to engage in any substantial gainful activity by reason of
any medically determinable physical or mental impairment which can be
expected to result in death or has lasted or can be expected to last for a
continuous period of not less than 12 months, and an individual shall be
determined to be under a disability only if the physical or mental
impairment or impairments are of such severity that the individual is not
only unable to do the individual's previous work but cannot, considering
age, education and work experience, engage in any other kind of
substantial gainful work which exists in the national economy, regardless
of whether such work exists in the immediate area in which the individual
lives or whether a specific job vacancy exists for the individual, or whether
the individual would be hired if application was made for work. For
purposes of the preceding sentence (with respect to any individual), "work
which exists in the national economy" means work which exists in
significant numbers either in the region where the individual lives or in
several regions of the country; for purposes of this subsection, a "physical
or mental impairment" is an impairment that results from anatomical,
physiological or psychological abnormalities which are demonstrable by
medically acceptable clinical and laboratory diagnostic techniques; or
(2) blindness and inability by reason of blindness to engage in
substantial gainful activity requiring skills or abilities comparable to those
of any gainful activity in which the individual has previously engaged with
some regularity and over a substantial period of time.
(h) "Blindness" means central visual acuity of 20/200 or less in the
better eye with the use of a correcting lens. An eye which is accompanied
by a limitation in the fields of vision such that the widest diameter of the
visual field subtends an angle no greater than 20 degrees shall be
considered for the purpose of this paragraph as having a central visual
acuity of 20/200 or less.
(i) "Disabled veteran" means a person who is a resident of Kansas
and who:
(1) Served in the active military, naval, air or space service and who
was discharged or released therefrom under an honorable discharge or a
general discharge under honorable conditions;
(2) received a disability that was incurred or aggravated in the line of
duty in the active military, naval, air or space service; and
(3) has a service-connected evaluation percentage equal to or greater
than 50%, pursuant to 38 U.S.C. § 1101 et seq. or 10 U.S.C. § 1201 et seq.
(j) "Rent constituting property taxes accrued" means 15% of the
gross rent actually paid in cash or its equivalent in 2025, or any taxable
year thereafter, by a claimant and claimant's household solely for the right
of occupancy of a Kansas homestead on which ad valorem property taxes
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HB 2074 5
were levied in full for that year. When a household occupies two or more
different homesteads in the same calendar year, "rent constituting property
taxes accrued" shall be computed by adding the "rent constituting
property taxes accrued" for each property rented by the household while
occupied by the household as its homestead during the year.
(k) "Gross rent" means the rent paid at arm's length solely for the
right of occupancy of a homestead or space rent paid to a landlord for the
parking of a mobile home, exclusive of charges for any utilities, services,
furniture and furnishings or personal property appliances furnished by the
landlord as a part of the rental agreement, whether or not expressly set out
in the rental agreement. Whenever the director of taxation finds that the
landlord and tenant have not dealt with each other at arm's length and
that the "gross rent" charge was excessive, the director may adjust the
"gross rent" to a reasonable amount for the purposes of the claim.
Sec. 3. K.S.A. 2024 Supp. 79-4508 is hereby amended to read as
follows: 79-4508. (a) Commencing in the tax year beginning after
December 31, 2005, the amount of any claim pursuant to this act and
under this section sh all be computed by deducting the amount computed
under column (2) from the amount of claimant's property tax accrued.
(1) (2)
Claimant's household Deduction from property tax
income accrued
But not
At least more than
$0 $6,000 $0
6,001 7,000 4%
7,001 16,000 4% plus 4% of every $1,000, or
fraction thereof, of income in
excess of $7,001
16,001 27,000 40% plus 5% of every $1,000,
or fraction thereof, of income in
excess of $16,001
27,001 27,600 95%
Commencing with tax year 2025, column "(2) Deduction from property
tax accrued" means deduction from property tax accrued and/or rent
constituting property tax accrued, and the amount of any claim under this
section shall be computed by deducting the amount computed under
column (2) from the amount of claimant's property tax accrued and/or rent
constituting property tax accrued.
(b) The director of taxation shall prepare a table under which claims
under this act and this section shall be determined. The amount of claim
for each bracket shall be computed only to the nearest $1.
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(c) The claimant may elect not to record the amount claimed on the
claim. The claim allowable to persons making this election shall be
computed by the department which shall notify the claimant by mail of the
amount of the allowable claim.
(d) In the case of all tax years commencing after December 31, 2004,
the upper limit threshold amount prescribed in this section, shall be
increased by an amount equal to such threshold amount multiplied by the
cost-of-living adjustment determined under section 1(f)(3) of the federal
internal revenue code for the calendar year in which the taxable year
commences.
Sec. 4. K.S.A. 2024 Supp. 79-4509 is hereby amended to read as
follows: 79-4509. (a) In the event property taxes accrued , rent constituting
property taxes accrued or their sum exceeds $700 for a household in any
one year, the amount thereof shall, for purposes of this act, be deemed to
have been $700.
(b) The provisions of subsection (a) shall not apply to a claim for
refund pursuant to K.S.A. 2024 Supp. 79-4508a, and amendments thereto.
Sec. 5. K.S.A. 79-4511 is hereby amended to read as follows: 79-
4511. (a) Every claimant under this act shall supply to the division, in
support of a claim, reasonable proof of age or disability, and changes of
homestead, household membership, household income, and size and nature
of property claimed as the homestead. A claim alleging disability shall be
supported by a report of the examining physician of the claimant with a
statement or certificate that the applicant has a disability within the
meaning of subsection (g) of K.S.A. 79-4502, and amendments thereto.
(b) Every claimant who is a homestead owner, or whose claim is
based wholly or partly upon homestead ownership at some time during the
calendar year, shall supply to the division, in support of a claim, the
amount of property taxes levied upon the property claimed as a homestead
and a statement that the property taxes accrued used for purposes of this
act have been or will be paid by the claimant. Upon request by the
division, such claimant shall provide a copy of the statement of property
taxes levied upon the property claimed as a homestead. The amount of
personal property taxes levied on a manufactured home or mobile home
shall be set out on the personal property tax statement showing the amount
of such tax as a separate item.
(c) Every claimant who is a homestead renter, or whose claim is
based wholly or partly upon homestead rent at some time during the
calendar year, shall supply to the division, in support of a claim, a
statement prescribed by the director certifying the amount of gross rent
paid and that ad valorem property taxes were levied in full for that year on
the property, all or a part of which was rented by the claimant. When such
claimant reports household income that is 150% or less of the homestead
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HB 2074 7
rent amount and such claimant has failed to provide any documentation or
information requested by the division to verify such household income in
support of a claim as required pursuant to subsection (a), within 30 days
of such request, such homestead property tax refund claim shall be denied.
(d) The information required to be furnished under subsection (b) or
(c) shall be in addition to that required under subsection (a).
Sec. 6. K.S.A. 79-4522 is hereby amended to read as follows: 79-
4522. A person owning or occupying a homestead that is not rental
property and for which the appraised valuation for property tax purposes
exceeds $350,000 in any year shall not be entitled to claim a refund of
property taxes under the homestead property tax refund act for any such
year. The provisions of this section shall be part of and supplemental to the
homestead property tax refund act.
Sec. 7. K.S.A. 79-4501, 79-4511 and 79-4522 and K.S.A. 2024 Supp.
79-4502, 79-4508 and 79-4509 are hereby repealed.
Sec. 8. This act shall take effect and be in force from and after its
publication in the statute book.
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