06 July 2017 Kansas issues revised income tax withholding tables — Form W-2 filing deadline changed to January 31 The Kansas Department of Revenue has released revised withholding tables for calendar year 2017, to be used by employers for the remainder of calendar year 2017. As we reported, recently enacted SB30, rolls back Kansas Governor Brownback's six-year income tax reduction by expanding the number of tax brackets from two to three and increasing the tax rates associated with the brackets for calendar years 2017-2018. The increase is intended to offset a budget shortfall. SB 30 states that no taxpayer will be assessed penalties and interest resulting from an underpayment of income tax due to SB 30, as long as the underpayment is rectified by April 17, 2018. According to the Department, the revised 2017 withholding tables actually reflect the higher tax year 2018 withholding tax rates. Applying these rates to the second half of tax year 2017 should allow most employees to "catch-up" on their withholding for tax year 2017. In addition, beginning to withhold at the 2018 rate now means it will not be necessary to change the amount of withholding again in just six months for calendar year 2018. (Notice 17-02, Kansas Department of Revenue, June 27, 2017, posted June 27, 2017.) Recently enacted HB2212 changes the deadline for employers to submit Forms W-2 to the Department from the last day of February to January 31, matching the federal submission deadline. The change in deadline is effective for calendar year 2017 Forms W-2, due by January 31, 2018. The Department is currently working on updating the employer's withholding guide. For more information on Kansas withholding taxes, see the Department's website.
Document ID: 2017-1071 | |||||||||||
