Why did the taxpayer cross the road? Wacky Tax Wednesday

To pay a lower sales tax rate

We spend a lot of time talking about the complexity of sales and use tax compliance here at Avalara. One point frequently emphasized is that sales tax rates can vary not only from state to state and town to town, but from door to door. Upcoming sales and use tax rate changes in Kansas perfectly illustrate this phenomenon.

Special districts in the Sunflower State are typically comprised of very specific address ranges: The rate in effect at odd-numbered addresses on a street may be different from the rate in effect at even-numbered addresses. A special district (and special district tax) may even be limited to a single address.

This may not be a big a deal to a business that makes sales only from one of the affected addresses; once they set their rate, they’re good to go unless there’s another rate change. However, businesses that make sales to multiple addresses in one city in Kansas must ensure they attach the proper rate to each address. That is a big deal.

Here I think it’s best to let the facts speak for themselves. Several new special districts in Kansas will impose new special district sales and use taxes (listed with combined sales and use tax rate) starting January 1, 2019. Each district is comprised of the address ranges listed with it:

The Dodge City Power Center STAR Bond district (8.65%):

• 2120 N. 14^th Ave, Dodge City 67801
• 2201–2209 N. 14^th Ave, Dodge City 67801 (odd addresses only)
• 1501–1601 Soule Street, Dodge City 67801 (odd addresses only)

The Olathe 151^st Street STAR Bond district (9.475%):

• 1200–1399 S Fountain Drive (odd and even addresses)
• 14500–14699 S Flaming Road (odd and even addresses)
• 14500–15098 S Harrison Street (even addresses only)
• 101–911 W Frontier Lane (odd addresses only)
• 100–910 W Southpark Blvd (odd and even addresses)
• 911–991 W Southpark Blvd (odd addresses only)
• 20000–20998 West 151^st Street (even addresses only)

The Salina Downtown STAR Bond special district (8.75%):

• 158 N 8^th Street
• 101–129 S 8^th Street (odd addresses only)
• 100–199 N 7^th Street (odd and even addresses)
• 200–298 N 7^th Street (even addresses only)
• 100–199 S 7^th Street (odd and even addresses)
• 201–399 S 7^th Street (odd addresses only)
• 100–299 N Santa Fe Avenue (odd and even addresses)
• 100–399 S Santa Fe Avenue (odd and even addresses)
• 100–299 N 5^th Street (odd and even addresses)
• 100–399 S 5^th Street (odd and even addresses)
• 100–299 S 4^th Street (odd and even addresses)
• 300–398 S 4^th Street (even addresses only)
• 100–199 N 3^rd Street (odd and even addresses)
• 201–299 N 3^rd  Street (odd addresses only)
• 100–299 S 3^rd Street (odd and even addresses)
• 100–199 N 2^nd Street (odd and even addresses)
• 100–199 S 2^nd Street (odd and even addresses)
• 101–199 N Front Street (odd addresses only)
• 100–198 S Front Street (even addresses only)
• 101–199 W Elm Street (odd addresses only)
• 100–398 E Elm Street (even addresses only)
• 201–299 W Ash Street (odd addresses only)
• 100–199 W Ash Street (odd and even addresses)
• 100–399 E Ash Street (odd and even addresses)
• 400–598 E Ash Street (even addresses only)
• 100–206 W Iron Avenue (odd and even addresses)
• 207–299 W Iron Avenue (odd addresses only)
• 100–599 E Iron Avenue (odd and even addresses)
• 200–206 W Walnut Street (even addresses only)
• 100–199 W Walnut Street (odd and even addresses)
• 100–499 E Walnut Street (odd and even addresses)
• 501–599 E Walnut Street (odd addresses only)
• 100–199 W Mulberry Street (odd and even addresses)
• 100–299 E Mulberry Street (odd and even addresses)
• 301–499 E Mulberry Street (odd addresses only)
• 100–198 W South Street (even addresses only)
• 101–299 E South Street (odd addresses only)

The Wichita River District Stadium STAR Bond special district (7.5%):

• 520–581 W Douglas Avenue (odd and even addresses)
• 300–498 W Maple Street (even addresses only)
• 500–599 W Maple Street (odd and even addresses)
• 701–739 W 2^nd Street (odd addresses only)
• 120–200 N Sycamore Street (odd and even addresses)
• 100–118 N Sycamore Street (even addresses only)
• 100–362 S Sycamore Street (even addresses only)
• 101–199 N McLean Blvd (odd addresses)
• 100–499 S McLean Blvd (odd and even addresses)

One-offs

Some special districts affect only one address. For example, as of January 1, 2019:

• The Atchison Fox Theatre Community Improvement District (CID), at 612 Commercial, Atchison 66002, has a combined rate of 10.75%.
• The Dodge City Sutherlands High Plains CID, at 1510 Soule Street, Dodge City 67801, has a combined tax rate of 9.65%.
• The Garden City Fulton’s Founders Brewery CID, at 207 N Main Street, Garden City 67846-5425, has a combined sales and use tax rate of 9.95%.
• The Overland Park Promontory CID has a rate of 10.1% at 8901–9099 Metcalf Avenue (odd addresses only)
• The Topeka Cyrus Hotel CID levies a combined tax of 11.15% at 912–924 S Kansas Avenue (even addresses only).
• The Wichita Chicken N Pickle CID, at 1240 N Greenwich Road, has a combined sales and use tax rate of 9%.

New special districts aren’t the only thing you need to look out for in Kansas. Sometimes the address ranges of existing special districts change. For example, as of January 1, 2019, the following special districts (listed with the sales tax rate) have updated address ranges.

• The new address for the Olathe Conference Center Hotel CID (11.475%) will be 10401 S Ridgeview
• The new address for the Shawnee Plaza TDD (10.6%) will be:
  • 13101–13399 Shawnee Mission Parkway (odd addresses only)
  • 13101–13399 W 63^rd Street (odd addresses only)
• The new address for the Shawnee Ten Quivira Plaza CID (10.1%) will be:
  • 11900–12298 Shawnee Mission Parkway (even addresses only)
  • 11900–12298 W 63^rd Street (even addresses only)

This kind of thing isn’t a one-off or due to the start of a new year: Sales and use tax rate changes in Kansas can occur quarterly. See for your own eyes at the Kansas Department of Revenue. And then consider automating sales and use tax compliance, for your own peace of mind.