Private Letter Ruling

Ruling Number:P-1999-261
Tax Type:Kansas Retailers' Sales Tax
Brief Description:Duties Kansas law imposes upon the suppliers of multi-level distributors.
Approval Date:12/09/1999

Office of Policy & Research

December 9, 1999


Dear Sirs:

I have been asked to answer your letter that we received earlier this year. Your client had received an information notice dated May 14, 1999. The notice informs multi-level distributors of the duties Kansas law imposes on their supplier.

In your letter you stated:
It is the opinion of the Department that your client has not established sufficient contact with persons within the State of Kansas to create nexus for Kansas sales/use tax purposes.

In closing, the client does not have nexus if they and their agents never enter Kansas to do business, have no property rights in the state and send all their goods to Kansas residents by mail, UPS, or by some other common carrier.

This is a private letter ruling pursuant to K.A.R. 92-19-59. It is based solely on the facts provided in your request. If it is determined that undisclosed facts were material or necessary to an accurate determination by the department,
this ruling is null and void. This ruling will be revoked in the future by the operation of law without further department action if there is a change in the statutes, administrative regulations, or case law, or published revenue ruling, that materially affects this private letter ruling.


Mark D. Ciardullo
Tax Specialist

cc: Linda Stumbaugh

Date Composed: 12/20/1999 Date Modified: 10/11/2001