Questions and Answers
Corporate Income Tax; Individual Income Tax
What is the definition of capital improvement for purposes of the swine facility improvement credit?
K.S.A. 79-32,204(a)(2) defines “required improvements to a qualified swine facility” as:
“capital improvements that the secretary of health and environment certifies to the director of taxation: (A) Are required for a qualified swine facility to comply with the standards and requirements established pursuant to sections 2 through 22 or pursuant to the amendments made by this act to K.S.A. 65-171d; and (B) are not required because of expansion for which a permit has not been issued or applied for before the effective date of this act”.
The Kansas Department of Revenue adopts the following definition of capital improvement for the swine facility improvement credit.
- An outlay of funds to acquire or to extend the life or increase the productivity of, a real or tangible asset (e.g. plant, machinery, land, buildings, fixtures), which is used in operating a business, and is capitalized and will not be consumed or converted into cash.
Return to KSA Listing