Kansas K 19 Template

Guidelines on Utilizing Kansas K 19

Filling out the Kansas K-19 form is a critical task for pass-through entities, such as partnerships, S corporations, LLCs, and LLPs, that have nonresident owners and need to report Kansas income tax withholdings for these owners. This document ensures that the correct amount of Kansas income tax is withheld and reported, complying with state tax regulations. The process involves providing detailed information about the entity, the nonresident owners, and their respective shares of Kansas taxable income and the tax withheld. Following the steps correctly is crucial for both the entity and the nonresident owners to avoid any potential issues with their tax obligations in Kansas.

1. Begin with Part A - ENTITY INFORMATION. Fill in the tax year-ending date of the partnership, S Corporation, LLC, or LLP.
2. Enter the full name of the pass-through entity as recognized legally.
3. Provide the Employer Identification Number (EIN) of the entity.
4. Write down the full street address of the entity, including city, state, and zip code.
5. Select the type of ownership from the provided options by checking the appropriate box. If the entity type is 'Other,' specify this in the provided space.
6. Move on to Part B - NONRESIDENT OWNER INFORMATION.
7. Write the name of the nonresident owner.
8. Enter the Social Security Number (SSN) or EIN associated with the owner.
9. Provide the street address of the nonresident owner, including city, state, and zip code.
10. Select the type of taxpayer by checking the appropriate box. If the taxpayer type is 'Other,' specify this in the provided space.
11. Proceed to Part C - NONRESIDENT OWNER’S KANSAS TAXABLE INCOME AND WITHHOLDING.
12. Fill in the percent of ownership the nonresident has in the Part A entity.
13. Enter the nonresident owner's share of Kansas taxable income.
14. Specify the total Kansas tax withheld for the nonresident owner.
15. If applicable, complete Part D - OWNER’S SHARE OF KANSAS TAXABLE INCOME AND WITHHOLDING.
16. For each partner, shareholder, or member, list their name and SSN or EIN.
17. Indicate their percent of ownership in the Part B entity.
18. Detail each partner’s share of Kansas taxable income and their share of Kansas tax withheld. If the partner is a pass-through entity, attach a separate schedule with this information for each of their partners, shareholders, or members.
19. After completing the form, prepare three copies for each nonresident owner:
• One copy for the nonresident owner to include with their Kansas income tax return.
• One copy for the nonresident owner's records.
• One copy to be retained by the pass-through entity for its records.
20. For those completing Part D, distribute three copies of Form K-19 as follows:
• One copy to each of the entity's owners to be enclosed with their Kansas income tax return.
• One copy to each of the entity's owners for their records.
• One copy to be retained by the partnership, S corporation, LLC, or LLP for its records.

The correct completion and distribution of Form K-19 are essential for compliance with Kansas tax regulations. It ensures that income earned by nonresident owners is accurately reported and that the appropriate amount of tax is withheld. Timely and accurate submission of this form helps avoid potential penalties and interest for noncompliance. Additionally, it simplifies the tax filing process for nonresident owners by providing them with the necessary documentation to support their Kansas income tax return.

What is the Kansas K-19 form?

The Kansas K-19 form, officially titled "Report of Nonresident Owner Tax Withheld," is a document required by the state of Kansas. It is utilized by partnerships, S Corporations, limited liability companies (LLCs), and limited liability partnerships (LLPs) to report and withhold Kansas income tax from the Kansas taxable income of their nonresident partners, shareholders, or members. This withholding applies to portions of income not reported on federal Schedules C, E, or F.

Who needs to file the Kansas K-19 form?

Any partnership, S Corporation, LLC, or LLP that has nonresident owners and earns income in Kansas must file the Kansas K-19 form. This requirement ensures that Kansas collects income tax on earnings generated within the state from nonresident owners.

What information is required on the K-19 form?

The K-19 form requires detailed information about the entity, including the name, Employer Identification Number (EIN), and address, as well as the type of ownership. Additionally, for each nonresident owner, their name, Social Security Number or EIN, and address must be included. The form also asks for the nonresident owner’s percentage of ownership, share of Kansas taxable income, and the total Kansas tax withheld.

How does a nonresident owner "opt out" of Kansas income tax withholding?

Nonresident owners can "opt out" of the required Kansas income tax withholding by filing Form KW-7A, an affidavit, with the pass-through entity. This form needs to be filed alongside the entity’s Form KW-7S, which details the decision to opt out of withholding.

Can the Kansas tax withheld be used in lieu of filing a Kansas income tax return?

Certain nonresident owners are eligible to use the Kansas tax withheld, as reported on Form KW-7S, instead of filing a Kansas income tax return by themselves. However, this depends on specific eligibility criteria which can be referenced in the instructions for Forms KW-7 and KW-7S.

What are the Kansas withholding tax rates for nonresident owners?

The Kansas withholding tax rate for nonresident owners is currently set at 4.9%. This rate applies to the Kansas taxable income of nonresident owners of partnerships, S corporations, LLCs, or LLPs.

How many copies of Form K-19 need to be prepared, and who should they be distributed to?

Three copies of Form K-19 should be prepared for each nonresident owner. One copy should be sent to the nonresident owner to include with their Kansas income tax return, one should be kept by the nonresident owner for their records, and one should be retained by the pass-through entity for its records. If the form is being completed by a pass-through entity, then additional copies need to be prepared and distributed accordingly to their owners.

Where can I find further assistance on completing or filing the Kansas K-19 form?

For additional assistance on completing or filing the Kansas K-19 form, you can contact the Kansas Department of Revenue's Taxpayer Assistance Center in Topeka. They offer help both over the phone and online, with resources available through their official website.

When completing the Kansas K-19 form, a Report of Nonresident Owner Tax Withheld, individuals frequently encounter several challenges. Addressing these challenges can ensure the accurate and timely processing of the form.

1. Not verifying the tax year and the proper form version. Each year, tax forms can undergo revisions. Using an outdated form can lead to processing delays or the submission of inaccurate information.

2. Incorrectly identifying the type of entity in Part A. It's crucial to accurately state whether the entity is a Partnership, S Corporation, LLC, or LLP, as this affects how income and withholding are calculated and reported.

3. Failing to provide complete nonresident owner information in Part B, including an accurate Social Security Number (SSN) or Employer Identification Number (EIN). Incomplete or inaccurate owner information can lead to difficulties in matching withholding to the proper individual or entity.

4. Omitting details in Part C regarding the nonresident owner's share of Kansas taxable income and withholding. Precise calculations and reporting are critical for ensuring the correct amounts are withheld and credited.

5. Overlooking the necessity of completing Part D for pass-through entities. When the nonresident owner in Part B is itself a pass-through entity, Part D must be filled out to provide the ownership percentage and share of Kansas taxable income and withholding for each of its partners, shareholders, or members.

Common errors also involve the ancillary documentation and procedures related to the K-19 form:

• Not enclosing the required schedules for partners, shareholders, or members when a pass-through entity in Part D is involved. This supplementary schedule is vital for a comprehensive report of withholding.
• Forgetting to prepare three copies of the K-19 for distribution: one for the nonresident owner's Kansas income tax return, one for the owner's records, and one for the pass-through entity's records.
• Neglecting to explore nonresident owner options such as opting out of Kansas income tax withholding or electing to use the tax withheld as reported on Form KW-7S, which can offer significant tax planning advantages.
• Inadequately utilizing taxpayer assistance resources offered by the Kansas Department of Revenue, which can clarify uncertainties regarding the completion of the form and avoid common mistakes.
• Disregarding the requirement to also complete and submit Form KW-7 and the Schedule of Nonresident Owner Withholding (KW-7S), which are essential parts of the withholding tax remission process.

By careful attention to these details, individuals can significantly improve the accuracy and compliance of their K-19 form submissions, thereby streamlining their tax reporting and potentially preventing costly errors.

When dealing with the intricacies of tax reporting in Kansas, especially for nonresident owners involved in pass-through entities like partnerships, S corporations, LLCs, or LLPs, the K-19 Form is a critical document. However, to ensure compliance and optimize tax handling, several other forms and documents typically accompany the K-19 form. Understanding the function and requirements of these additional documents is essential for an accurate and comprehensive approach to tax obligations in Kansas.

• KW-7 Form: Nonresident Owner Withholding Tax Return - This document is necessary for reporting the total income tax withheld from nonresident owners by the entity. It serves as a summary return, accompanying the paid tax to the Kansas Department of Revenue.
• KW-7S Schedule: Schedule of Nonresident Owner Withholding - Used along with the KW-7 form, this schedule details the tax withheld for each nonresident owner, linking the withholding reported on the KW-7 form to individual nonresidents.
• KW-7A Form: Affidavit for Opt-Out of Withholding - Nonresident owners who choose to opt-out of the income tax withholding must file this affidavit. It's crucial for entities to collect and retain this form to justify not withholding Kansas income tax for those opting out.
• K-40 Form: Individual Income Tax Return - Nonresident owners need this form to file their Kansas income tax return. It allows them to include the income reported and the tax withheld as shown on the K-19 and KW-7S forms.
• K-40C Form: Corporate Income Tax Return - Similar to the K-40, but for corporate entities. Nonresident corporate owners use this form to report their Kansas income and the withheld tax.
• KW-100 Publication: Kansas Withholding Tax Guide - While not a form, this guide provides essential information, updates, and instructions regarding nonresident owner tax withholding and other related tax rules in Kansas. It is a valuable resource for understanding all related obligations.

Accurate completion and submission of these forms, along with keeping up-to-date with the guidelines in the KW-100 publication, form the backbone of compliance for nonresident owner tax withholding in Kansas. Entities and their nonresident owners must ensure all relevant documentation is properly filled out and submitted to meet Kansas' tax requirements. Staying informed and prepared with all necessary paperwork helps mitigate risks and streamlines the tax reporting process for all parties involved.

The Kansas K-19 form, which focuses on reporting nonresident owner tax withheld by partnerships, S corporations, LLCs, or LLPs, shares similarities with several other tax forms across different jurisdictions. Its primary function is to ensure that income tax from nonresident owners is accurately reported and withheld, a requirement that is not unique to Kansas. The structure and purpose of the K-19 form can be compared to various documents utilized by both federal and state tax authorities.

The IRS Form 8805, Foreign Partner's Information Statement of Section 1446 Withholding Tax, is one such document that closely resembles the Kansas K-19 form. Both forms are designed to report income and withholding tax for nonresident entities, ensuring compliance with their respective tax obligations. Form 8805 is used by partnerships in the United States to report and remit withholding tax on income effectively connected to the U.S. that is allocable to foreign partners. Similar to the K-19, it requires detailed information about the entity and its owners, including the share of income and the tax withheld. The specificity with which both forms handle the distribution of income and tax responsibilities underlines the importance of transparency and accuracy in tax reporting for nonresident owners.

Another comparable document is California's Form 592, Nonresident Withholding Annual Return, which serves a similar purpose for entities with nonresident members in California. Like the K-19, California's Form 592 requires partnerships, S corporations, or other entities to report income and withholding tax for nonresident owners. Both forms are integral to their respective states' efforts to ensure that nonresident owners pay the appropriate tax on income earned within the state. This process entails detailing the amount of income attributable to each nonresident owner and the tax withheld on their behalf, underscoring the alignment in regulatory approaches between different states.

In essence, while the Kansas K-19 form is specifically tailored to Kansas' tax laws, its structure and purpose echo that of other withholding tax forms across the United States, including the IRS Form 8805 and California's Form 592. Each of these documents plays a crucial role in the wider framework of tax compliance for nonresident owners, highlighting the interconnectedness of tax reporting and withholding requirements across different jurisdictions.

Filling out the Kansas K-19 form, which is vital for reporting nonresident owner tax withheld by partnerships, S corporations, LLCs, or LLPs, requires attention to detail and adherence to specific guidelines. Below are nine essential do's and don'ts to help ensure the process is done accurately and efficiently.

• Review the entire form first to understand what information is required and how to present it.
• Use the most current form available on the Kansas Department of Revenue website to ensure compliance with the latest tax laws and regulations.
• Gather all necessary documentation before starting, including Employer Identification Numbers (EINs), social security numbers, addresses, and detailed financial information.
• Double-check the math, especially when calculating percentages of ownership and shares of Kansas taxable income and withholding.
• Include a Schedule of Nonresident Owner Withholding (KW-7S) and a Nonresident Owner Withholding Return (KW-7) if you have nonresident owners, to correctly remit the tax withheld.

• Rush through the form, as mistakes can lead to delays or issues with the Kansas Department of Revenue.
• Forget to sign and date the form. An unsigned form is considered incomplete and will not be processed.
• Omit any required attachments, such as Form KW-7A for nonresident owners “opting out” of withholding or additional schedules for pass-through entities listed in Part D.
• Assume federal line numbers haven't changed; verify against the most recent federal tax forms to ensure correct reporting.
• Ignore the option for nonresident owners to use the Kansas tax withheld in lieu of filing a separate Kansas income tax return if eligible.

Following these guidelines can help streamline the process of completing the Kansas K-19 form, ensuring accuracy and compliance with Kansas tax laws. For further assistance, the Kansas Department of Revenue's Taxpayer Assistance Center is a valuable resource.

Understanding the Kansas K-19 form, titled "Report of Nonresident Owner Tax Withheld," is crucial for entities with nonresident partners, shareholders, or members. However, there are several misconceptions surrounding its usage and requirements. Addressing these misconceptions ensures compliance with Kansas tax laws and proper tax withholding and reporting.

• Misconception 1: The K-19 form is required for all businesses operating in Kansas.

  This is incorrect. The K-19 form is specifically required for pass-through entities such as partnerships, S corporations, LLCs, and LLPs that have nonresident owners and must withhold Kansas income tax on their behalf.

• Misconception 2: Only individuals can be considered nonresident owners for the purpose of the K-19 form.

  Both individuals and organizations can be nonresident owners. The form accommodates different types of taxpayers including partnerships, trusts, and other entities as nonresident owners.

• Misconception 3: Withholding is required on all types of income distributed to nonresident owners.

  Kansas income tax must be withheld only on the Kansas taxable income (whether distributed or undistributed) that is not on federal Schedules C, E, or F and reported on lines 12, 17, or 18 of Form 1040 when properly completed.

• Misconception 4: All nonresident owners are subject to the same withholding tax rate.

  The current withholding tax rate for nonresident owners is 4.9%. It is important for entities to verify the current rate with the Kansas Department of Revenue as rates may change.

• Misconception 5: Nonresident owners cannot opt-out of Kansas income tax withholding.

  Nonresident owners have the option to "opt out" of the withholding requirement by filing an affidavit, Form KW-7A, with the pass-through entity.

• Misconception 6: Completing Form K-19 is the final step in fulfilling withholding obligations.

  In addition to completing the K-19 form, entities must also complete a Schedule of Nonresident Owner Withholding (KW-7S) and a Nonresident Owner Withholding Return (KW-7) to remit the tax withheld.

• Misconception 7: The K-19 form requires extensive details about the pass-through entity’s income.

  The form primarily focuses on the nonresident owner’s share of Kansas taxable income and the tax withheld for that income, rather than the entity's total income details.

• Misconception 8: Any pass-through entity part of a larger group does not need to report on K-19.

  Even if a pass-through entity is part of a larger group, it must still report and withhold tax for its nonresident owners if they have Kansas taxable income attributable to the entity.

• Misconception 9: There is only one copy of Form K-19 prepared and submitted to the Kansas Department of Revenue.

  Three copies of Form K-19 should be prepared for each nonresident owner: one to be enclosed with their Kansas income tax return, one for the owner’s records, and one to be retained by the pass-through entity.

Correcting these misconceptions helps ensure that pass-through entities and their nonresident owners properly understand and meet their tax reporting and withholding obligations under Kansas law.

The Kansas K-19 form is a critical document for reporting nonresident owner tax withholdings by partnerships, S corporations, LLCs, and LLPs. Understanding how to correctly complete and use this form is paramount for entities with nonresident owners earning income from Kansas sources. Below are ten key takeaways that entities should be aware of when dealing with the K-19 form:

• The K-19 form is specifically designed to report the Kansas income tax withheld from the Kansas taxable income of nonresident partners, shareholders, or members of pass-through entities such as partnerships, S corporations, LLCs, and LLPs.
• It's important to gather all necessary information including the entity’s name, employer identification number (EIN), and the nonresident owner's details such as name and social security number or EIN before starting the form.
• Entities must withhold Kansas income tax for any portion of nonresident owners' income that is derived from Kansas sources and is not reported on federal Schedules C, E, or F.
• The current withholding tax rate for nonresident owners in Kansas is 4.9%, which is essential to calculate the correct amount of tax to withhold.
• Nonresident owners have the option to "opt out" of Kansas income tax withholding by filing an affidavit, Form KW-7A, making it crucial for entities to communicate with their nonresident owners about their preferences.
• In addition to the K-19 form, entities are required to complete a Schedule of Nonresident Owner Withholding (KW-7S) and a Nonresident Owner Withholding Return (KW-7) to remit the tax withheld.
• Entities must prepare three copies of the K-19 form for each nonresident owner: one for the owner to include with their Kansas income tax return, one for the owner’s records, and one to be kept by the entity.
• For nonresident owners that are pass-through entities themselves, Part D of the form must be completed to report each owner’s share of the income and withholding.
• Entities may refer to the Kansas Withholding Tax publication (KW-100) for additional guidance and information on nonresident owner withholding requirements.
• For assistance with the K-19 form or any withholding tax questions, entities can contact the Kansas Department of Revenue's Taxpayer Assistance Center.

Proper completion and timely submission of the K-19 form and related documents ensure compliance with Kansas tax laws and help avoid potential penalties for both the entity and its nonresident owners.