Kansas Income Tax Rate for 2020 and How to Start a Business in Kansas

What is the Kansas income tax rate for 2020?
Kansas state income tax rate table for the 2020 – 2021 filing season has three income tax brackets with KS tax rates of 3.1%, 5.25% and 5.7% for Single, Married Filing Jointly, Married Filing Separately, and Head of Household statuses.
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One of the states that levies income taxes on its citizens and non-citizens who make money there is Kansas. Depending on the amount of money earned, different state income tax rates apply. Kansas will have three different income tax categories in 2020, with rates ranging from 3.1% to 5.7%. The following tax rates apply to single filers: The first $15,000 of taxable income is subject to a 3.1% tax. – 5.7% on taxable income over $30,000 and 5.25% on income between $15,001 and $30,000

The tax rates for married couples filing jointly are:

– 3.1% on the initial $30,000 of taxable income – 5.25% of taxable income in the range of $30,001 and $60,000

– 5.7% of tax-exempt income over $60,000

It’s crucial to remember that these rates could change, so people should always check the Kansas Department of Revenue for changes.

There are specific actions you must take to guarantee that you abide with Kansas laws and regulations if you are considering opening a business there. The selection of a business structure is one of the initial phases. The simplest type of business structure, a sole proprietorship, is perfect for people who desire to operate a firm independently. You must register your business with the Kansas Secretary of State’s office and get all essential licenses and permits before you may begin a sole proprietorship.

In Kansas, registering a trade name is a crucial first step in beginning a business. A trade name, commonly referred to as a “doing business as” (DBA) name, is the name under which a company conducts business. You must submit an application and payment to the Kansas Secretary of State’s office in order to register a trade name there. This procedure makes sure that your company name is original and not being used by another company in the state.

A business is given an entity number, which is a special identifying number, by the Kansas Secretary of State’s office. All businesses operating in the state must have this number, which is used to identify a business for tax purposes. You must register your company with the Kansas Secretary of State’s office in order to receive an entity number.

Last but not least, it’s critical to confirm that the proposed business name is available in Kansas before deciding on it. The business entity database maintained by the Kansas Secretary of State can be used to determine whether a business name is available. This stage makes sure that the trademark or intellectual property rights of another company in the state are not being violated by the use of your company name.

With rates ranging from 3.1% to 5.7%, Kansas has a progressive income tax system. If you’re considering opening a business in Kansas, it’s crucial to pick a business structure, register a trade name, get an entity number, and confirm that the name you want to use is available. By taking these actions, you can make sure that your company complies with all applicable state rules and regulations and position yourself for success.

FAQ
How do I get articles of incorporation in Kansas?

You must submit “Articles of Incorporation” to the Kansas Secretary of State’s office in order to get articles of incorporation in Kansas. The paperwork can be submitted in person, by mail, or online. The information on the paperwork must include your corporation’s name, its mission, the names and addresses of your initial directors, as well as those of your registered agent and initial directors. Depending on the sort of corporation you are founding, there is a filing cost that varies. To make sure you are meeting all legal criteria for opening a business in Kansas, you might also want to speak with an accountant or business attorney.

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