HB 2515

                             HOUSE BILL No. 2515
AN ACT concerning legal tender; establishing the Kansas legal tender act; reaffirming gold
   and silver coin as legal tender; providing an income taxation subtraction modification
   for gains from the sale of specie; amending K.S.A. 2025 Supp. 79-32,117 and
   repealing the existing section.
Be it enacted by the Legislature of the State of Kansas:
    New Section 1. Sections 1 through 6, and amendments thereto,
shall be known and may be cited as the Kansas legal tender act.
    New Sec. 2. As used in the Kansas legal tender act:
    (a) "Legal tender" means a recognized medium of exchange for
the payment of debts and taxes;
    (b) "person" means:
    (1) Any individual, business entity or financial institution; and
    (2) the state or any agency, instrumentality or political subdivision
thereof; and
    (c) "specie" means:
    (1) Coin having gold or silver content; or
    (2) refined gold or silver bullion that is coined, stamped or
imprinted with its weight and purity and valued primarily based on its
metal content and not its form.
    New Sec. 3. Specie legal tender in Kansas consists of:
    (a) Specie coin issued by the United States government at any
time; or
    (b) any other specie that a court of competent jurisdiction, by final
and unappealable order, rules to be within state authority to make or
designate as legal tender.
    New Sec. 4. (a) No specie or legal tender shall be characterized as
personal property for taxation or regulatory purposes.
    (b) The exchange of one type or form of legal tender for another
type or form of legal tender shall not give rise to any tax liability of any
kind.
    (c) The purchase, sale or exchange of any type or form of specie
shall not give rise to any tax liability of any kind.
    (d) The provisions of subsections (a) through (c) shall not apply to
taxable distributions from any retirement plan account that holds
specie.
    New Sec. 5. Unless expressly provided by statute or by contract,
no person shall have the right to compel any other person to tender
specie or to accept specie as tender.
    New Sec. 6. (a) The attorney general shall enforce this act without
prejudice to any private right of action.
    (b) Kansas courts shall require specific performance as a remedy
for breach of any contract designating a type or form of specie as
tender.
    Sec. 7. K.S.A. 2025 Supp. 79-32,117 is hereby amended to read as
follows: 79-32,117. (a) The Kansas adjusted gross income of an
individual means such individual's federal adjusted gross income for
the taxable year, with the modifications specified in this section.
    (b) There shall be added to federal adjusted gross income:
    (i) Interest income less any related expenses directly incurred in
the purchase of state or political subdivision obligations, to the extent
that the same is not included in federal adjusted gross income, on
obligations of any state or political subdivision thereof, but to the
extent that interest income on obligations of this state or a political
subdivision thereof issued prior to January 1, 1988, is specifically
exempt from income tax under the laws of this state authorizing the
issuance of such obligations, it shall be excluded from computation of
Kansas adjusted gross income whether or not included in federal
adjusted gross income. Interest income on obligations of this state or a
political subdivision thereof issued after December 31, 1987, shall be
excluded from computation of Kansas adjusted gross income whether
or not included in federal adjusted gross income.
    (ii) Taxes on or measured by income or fees or payments in lieu of
income taxes imposed by this state or any other taxing jurisdiction to
the extent deductible in determining federal adjusted gross income and
                    HOUSE BILL No. 2515—page 2
not credited against federal income tax. This paragraph shall not apply
to taxes imposed under the provisions of K.S.A. 79-1107 or 79-1108,
and amendments thereto, for privilege tax year 1995, and all such years
thereafter.
    (iii) The federal net operating loss deduction, except that the
federal net operating loss deduction shall not be added to an
individual's federal adjusted gross income for tax years beginning after
December 31, 2016.
    (iv) Federal income tax refunds received by the taxpayer if the
deduction of the taxes being refunded resulted in a tax benefit for
Kansas income tax purposes during a prior taxable year. Such refunds
shall be included in income in the year actually received regardless of
the method of accounting used by the taxpayer. For purposes hereof, a
tax benefit shall be deemed to have resulted if the amount of the tax
had been deducted in determining income subject to a Kansas income
tax for a prior year regardless of the rate of taxation applied in such
prior year to the Kansas taxable income, but only that portion of the
refund shall be included as bears the same proportion to the total refund
received as the federal taxes deducted in the year to which such refund
is attributable bears to the total federal income taxes paid for such year.
For purposes of the foregoing sentence, federal taxes shall be
considered to have been deducted only to the extent such deduction
does not reduce Kansas taxable income below zero.
    (v) The amount of any depreciation deduction or business expense
deduction claimed on the taxpayer's federal income tax return for any
capital expenditure in making any building or facility accessible to the
handicapped, for which expenditure the taxpayer claimed the credit
allowed by K.S.A. 79-32,177, and amendments thereto.
    (vi) Any amount of designated employee contributions picked up
by an employer pursuant to K.S.A. 12-5005, 20-2603, 74-4919 and 74-
4965, and amendments thereto.
    (vii) The amount of any charitable contribution made to the extent
the same is claimed as the basis for the credit allowed pursuant to
K.S.A. 79-32,196, and amendments thereto.
    (viii) The amount of any costs incurred for improvements to a
swine facility, claimed for deduction in determining federal adjusted
gross income, to the extent the same is claimed as the basis for any
credit allowed pursuant to K.S.A. 79-32,204, and amendments thereto.
    (ix) The amount of any ad valorem taxes and assessments paid and
the amount of any costs incurred for habitat management or
construction and maintenance of improvements on real property,
claimed for deduction in determining federal adjusted gross income, to
the extent the same is claimed as the basis for any credit allowed
pursuant to K.S.A. 79-32,203, and amendments thereto.
    (x) Amounts received as nonqualified withdrawals, as defined by
K.S.A. 75-643, and amendments thereto, if, at the time of contribution
to a family postsecondary education savings account, such amounts
were subtracted from the federal adjusted gross income pursuant to
subsection (c)(xv) or if such amounts are not already included in the
federal adjusted gross income.
    (xi) The amount of any contribution made to the same extent the
same is claimed as the basis for the credit allowed pursuant to K.S.A.
74-50,154, and amendments thereto.
    (xii) For taxable years commencing after December 31, 2004,
amounts received as withdrawals not in accordance with the provisions
of K.S.A. 74-50,204, and amendments thereto, if, at the time of
contribution to an individual development account, such amounts were
subtracted from the federal adjusted gross income pursuant to
subsection (c)(xiii), or if such amounts are not already included in the
federal adjusted gross income.
    (xiii) The amount of any expenditures claimed for deduction in
determining federal adjusted gross income, to the extent the same is
claimed as the basis for any credit allowed pursuant to K.S.A. 79-
32,217 through 79-32,220 or 79-32,222, and amendments thereto.
                    HOUSE BILL No. 2515—page 3
    (xiv) The amount of any amortization deduction claimed in
determining federal adjusted gross income to the extent the same is
claimed for deduction pursuant to K.S.A. 79-32,221, and amendments
thereto.
    (xv) The amount of any expenditures claimed for deduction in
determining federal adjusted gross income, to the extent the same is
claimed as the basis for any credit allowed pursuant to K.S.A. 79-
32,223 through 79-32,226, 79-32,228 through 79-32,231, 79-32,233
through 79-32,236, 79-32,238 through 79-32,241, 79-32,245 through
79-32,248 or 79-32,251 through 79-32,254, and amendments thereto.
    (xvi) The amount of any amortization deduction claimed in
determining federal adjusted gross income to the extent the same is
claimed for deduction pursuant to K.S.A. 79-32,227, 79-32,232, 79-
32,237, 79-32,249, 79-32,250 or 79-32,255, and amendments thereto.
    (xvii) The amount of any amortization deduction claimed in
determining federal adjusted gross income to the extent the same is
claimed for deduction pursuant to K.S.A. 79-32,256, and amendments
thereto.
    (xviii) For taxable years commencing after December 31, 2006,
the amount of any ad valorem or property taxes and assessments paid to
a state other than Kansas or local government located in a state other
than Kansas by a taxpayer who resides in a state other than Kansas,
when the law of such state does not allow a resident of Kansas who
earns income in such other state to claim a deduction for ad valorem or
property taxes or assessments paid to a political subdivision of the state
of Kansas in determining taxable income for income tax purposes in
such other state, to the extent that such taxes and assessments are
claimed as an itemized deduction for federal income tax purposes.
    (xix) For taxable years beginning after December 31, 2012, and
ending before January 1, 2017, the amount of any: (1) Loss from
business as determined under the federal internal revenue code and
reported from schedule C and on line 12 of the taxpayer's form 1040
federal individual income tax return; (2) loss from rental real estate,
royalties, partnerships, S corporations, except those with wholly owned
subsidiaries subject to the Kansas privilege tax, estates, trusts, residual
interest in real estate mortgage investment conduits and net farm rental
as determined under the federal internal revenue code and reported
from schedule E and on line 17 of the taxpayer's form 1040 federal
individual income tax return; and (3) farm loss as determined under the
federal internal revenue code and reported from schedule F and on line
18 of the taxpayer's form 1040 federal income tax return; all to the
extent deducted or subtracted in determining the taxpayer's federal
adjusted gross income. For purposes of this subsection, references to
the federal form 1040 and federal schedule C, schedule E, and schedule
F, shall be to such form and schedules as they existed for tax year 2011,
and as revised thereafter by the internal revenue service.
    (xx) For taxable years beginning after December 31, 2012, and
ending before January 1, 2017, the amount of any deduction for self-
employment taxes under section 164(f) of the federal internal revenue
code as in effect on January 1, 2012, and amendments thereto, in
determining the federal adjusted gross income of an individual
taxpayer, to the extent the deduction is attributable to income reported
on schedule C, E or F and on line 12, 17 or 18 of the taxpayer's form
1040 federal income tax return.
    (xxi) For taxable years beginning after December 31, 2012, and
ending before January 1, 2017, the amount of any deduction for
pension, profit sharing, and annuity plans of self-employed individuals
under section 62(a)(6) of the federal internal revenue code as in effect
on January 1, 2012, and amendments thereto, in determining the federal
adjusted gross income of an individual taxpayer.
    (xxii) For taxable years beginning after December 31, 2012, and
ending before January 1, 2017, the amount of any deduction for health
insurance under section 162(l) of the federal internal revenue code as in
effect on January 1, 2012, and amendments thereto, in determining the
                   HOUSE BILL No. 2515—page 4
federal adjusted gross income of an individual taxpayer.
    (xxiii) For taxable years beginning after December 31, 2012, and
ending before January 1, 2017, the amount of any deduction for
domestic production activities under section 199 of the federal internal
revenue code as in effect on January 1, 2012, and amendments thereto,
in determining the federal adjusted gross income of an individual
taxpayer.
    (xxiv) For taxable years commencing after December 31, 2013,
that portion of the amount of any expenditure deduction claimed in
determining federal adjusted gross income for expenses paid for
medical care of the taxpayer or the taxpayer's spouse or dependents
when such expenses were paid or incurred for an abortion, or for a
health benefit plan, as defined in K.S.A. 65-6731, and amendments
thereto, for the purchase of an optional rider for coverage of abortion in
accordance with K.S.A. 40-2,190, and amendments thereto, to the
extent that such taxes and assessments are claimed as an itemized
deduction for federal income tax purposes.
    (xxv) For taxable years commencing after December 31, 2013,
that portion of the amount of any expenditure deduction claimed in
determining federal adjusted gross income for expenses paid by a
taxpayer for health care when such expenses were paid or incurred for
abortion coverage, a health benefit plan, as defined in K.S.A. 65-6731,
and amendments thereto, when such expenses were paid or incurred for
abortion coverage or amounts contributed to health savings accounts
for such taxpayer's employees for the purchase of an optional rider for
coverage of abortion in accordance with K.S.A. 40-2,190, and
amendments thereto, to the extent that such taxes and assessments are
claimed as a deduction for federal income tax purposes.
    (xxvi) For all taxable years beginning after December 31, 2016,
the amount of any charitable contribution made to the extent the same
is claimed as the basis for the credit allowed pursuant to K.S.A. 72-
4357, and amendments thereto, and is also claimed as an itemized
deduction for federal income tax purposes.
    (xxvii) For all taxable years commencing after December 31,
2020, the amount of any interest expense paid or accrued in a previous
taxable year but allowed as a deduction pursuant to section 163 of the
federal internal revenue code in the current taxable year by reason of
the carryforward of disallowed business interest pursuant to section
163(j) of the federal internal revenue code. For purposes of this
paragraph, an interest expense is considered paid or accrued only in the
first taxable year the deduction would have been allowable pursuant to
section 163 of the federal internal revenue code if the limitation
pursuant to section 163(j) of the federal internal revenue code did not
exist.
    (xxviii) For all taxable years beginning after December 31, 2021,
the amount of any contributions to, or earnings from, a first-time home
buyer savings account if distributions from the account were not used
to pay for expenses or transactions authorized pursuant to K.S.A. 58-
4904, and amendments thereto, or were not held for the minimum
length of time required pursuant to K.S.A. 58-4904, and amendments
thereto. Contributions to, or earnings from, such account shall also
include any amount resulting from the account holder not designating a
surviving payable on death beneficiary pursuant to K.S.A. 58-4904(e),
and amendments thereto.
    (xxix) For all taxable years beginning after December 31, 2024,
the amount of any contributions to, or earnings from, an adoption
savings account if distributions from the account were not used to pay
for expenses or transactions authorized pursuant to K.S.A. 2025 Supp.
38-2504, and amendments thereto, or were not held for the minimum
length of time required pursuant to K.S.A. 2025 Supp. 38-2504, and
amendments thereto. Contributions to, or earnings from, such account
shall also include any amount resulting from the account holder not
designating a surviving payable on death beneficiary pursuant to
K.S.A. 2025 Supp. 38-2504(e), and amendments thereto.
                   HOUSE BILL No. 2515—page 5
    (c) There shall be subtracted from federal adjusted gross income:
    (i) Interest or dividend income on obligations or securities of any
authority, commission or instrumentality of the United States and its
possessions less any related expenses directly incurred in the purchase
of such obligations or securities, to the extent included in federal
adjusted gross income but exempt from state income taxes under the
laws of the United States.
    (ii) Any amounts received which are included in federal adjusted
gross income but which are specifically exempt from Kansas income
taxation under the laws of the state of Kansas.
    (iii) The portion of any gain or loss from the sale or other
disposition of property having a higher adjusted basis for Kansas
income tax purposes than for federal income tax purposes on the date
such property was sold or disposed of in a transaction in which gain or
loss was recognized for purposes of federal income tax that does not
exceed such difference in basis, but if a gain is considered a long-term
capital gain for federal income tax purposes, the modification shall be
limited to that portion of such gain which is included in federal
adjusted gross income.
    (iv) The amount necessary to prevent the taxation under this act of
any annuity or other amount of income or gain which was properly
included in income or gain and was taxed under the laws of this state
for a taxable year prior to the effective date of this act, as amended, to
the taxpayer, or to a decedent by reason of whose death the taxpayer
acquired the right to receive the income or gain, or to a trust or estate
from which the taxpayer received the income or gain.
    (v) The amount of any refund or credit for overpayment of taxes
on or measured by income or fees or payments in lieu of income taxes
imposed by this state, or any taxing jurisdiction, to the extent included
in gross income for federal income tax purposes.
    (vi) Accumulation distributions received by a taxpayer as a
beneficiary of a trust to the extent that the same are included in federal
adjusted gross income.
    (vii) Amounts received as annuities under the federal civil service
retirement system from the civil service retirement and disability fund
and other amounts received as retirement benefits in whatever form
which were earned for being employed by the federal government or
for service in the armed forces of the United States.
    (viii) Amounts received by retired railroad employees as a
supplemental annuity under the provisions of 45 U.S.C. §§ 228b(a) and
228c(a)(1) et seq.
    (ix) Amounts received by retired employees of a city and by
retired employees of any board of such city as retirement allowances
pursuant to K.S.A. 13-14,106, and amendments thereto, or pursuant to
any charter ordinance exempting a city from the provisions of K.S.A.
13-14,106, and amendments thereto.
    (x) (1) For taxable years beginning after December 31, 2021, the
amount of any federal credit disallowance under the provisions of 26
U.S.C. § 280C(a).
    (2) For taxable years beginning after December 31, 2019, and
ending before January 1, 2022, 50% of the amount of the federal
employee retention credit disallowance under rules similar to the rules
of 26 U.S.C. § 280C(a). The taxpayer shall be required to prove that
such taxpayer previously filed Kansas income tax returns and paid
Kansas income tax on the disallowed amount. Notwithstanding any
other provision of law to the contrary, any claim for refund or amended
return relating to this subparagraph shall be allowed to be filed on or
before April 15, 2025, and no claim for refund or amended return shall
be allowed or filed after April 15, 2025.
    (xi) For taxable years beginning after December 31, 1986,
dividend income on stock issued by Kansas venture capital, inc.
    (xii) For taxable years beginning after December 31, 1989,
amounts received by retired employees of a board of public utilities as
pension and retirement benefits pursuant to K.S.A. 13-1246, 13-1246a
                    HOUSE BILL No. 2515—page 6
and 13-1249, and amendments thereto.
    (xiii) For taxable years beginning after December 31, 2004,
amounts contributed to and the amount of income earned on
contributions deposited to an individual development account under
K.S.A. 74-50,201 et seq., and amendments thereto.
    (xiv) For all taxable years commencing after December 31, 1996,
that portion of any income of a bank organized under the laws of this
state or any other state, a national banking association organized under
the laws of the United States, an association organized under the
savings and loan code of this state or any other state, or a federal
savings association organized under the laws of the United States, for
which an election as an S corporation under subchapter S of the federal
internal revenue code is in effect, which accrues to the taxpayer who is
a stockholder of such corporation and which is not distributed to the
stockholders as dividends of the corporation. For taxable years
beginning after December 31, 2012, and ending before January 1, 2017,
the amount of modification under this subsection shall exclude the
portion of income or loss reported on schedule E and included on line
17 of the taxpayer's form 1040 federal individual income tax return.
    (xv) The cumulative amounts not exceeding $3,000, or $6,000 for
a married couple filing a joint return, for each designated beneficiary
that are contributed to: (1) A family postsecondary education savings
account established under the Kansas postsecondary education savings
program or a qualified tuition program established and maintained by
another state or agency or instrumentality thereof pursuant to section
529 of the internal revenue code of 1986, as amended, for the purpose
of paying the qualified higher education expenses of a designated
beneficiary; or (2) an achieving a better life experience (ABLE)
account established under the Kansas ABLE savings program or a
qualified ABLE program established and maintained by another state or
agency or instrumentality thereof pursuant to section 529A of the
internal revenue code of 1986, as amended, for the purpose of saving
private funds to support an individual with a disability. The terms and
phrases used in this paragraph shall have the meaning respectively
ascribed thereto by the provisions of K.S.A. 75-643 and 75-652, and
amendments thereto, and the provisions of such sections are hereby
incorporated by reference for all purposes thereof. For all taxable years
beginning after December 31, 2022, contributions made to a qualified
tuition program account or a qualified ABLE program account pursuant
to this paragraph on and after January 1 but prior to the date required
for filing a return pursuant to K.S.A. 79-3221, and amendments thereto,
of the successive taxable year may be elected by the taxpayer to apply
to the prior taxable year if such election is made at the time of filing the
return. No contribution shall be used as a modification pursuant to this
paragraph in more than one taxable year.
    (xvi) For all taxable years beginning after December 31, 2004,
amounts received by taxpayers who are or were members of the armed
forces of the United States, including service in the Kansas army and
air national guard, as a recruitment, sign up or retention bonus received
by such taxpayer as an incentive to join, enlist or remain in the armed
services of the United States, including service in the Kansas army and
air national guard, and amounts received for repayment of educational
or student loans incurred by or obligated to such taxpayer and received
by such taxpayer as a result of such taxpayer's service in the armed
forces of the United States, including service in the Kansas army and
air national guard.
    (xvii) For all taxable years beginning after December 31, 2004,
amounts received by taxpayers who are eligible members of the Kansas
army and air national guard as a reimbursement pursuant to K.S.A. 48-
281, and amendments thereto, and amounts received for death benefits
pursuant to K.S.A. 48-282, and amendments thereto, to the extent that
such death benefits are included in federal adjusted gross income of the
taxpayer.
    (xviii) (A) For all taxable years beginning after December 31,
                    HOUSE BILL No. 2515—page 7
2007, and ending before January 1, 2024, amounts received as benefits
under the federal social security act which are included in federal
adjusted gross income of a taxpayer with federal adjusted gross income
of $75,000 or less, whether such taxpayer's filing status is single, head
of household, married filing separate or married filing jointly.
    (B) For all taxable years beginning after December 31, 2023,
amounts received as benefits under the federal social security act that
are included in federal adjusted gross income of a taxpayer.
    (xix) Amounts received by retired employees of Washburn
university as retirement and pension benefits under the university's
retirement plan.
    (xx) For taxable years beginning after December 31, 2012, and
ending before January 1, 2017, the amount of any: (1) Net profit from
business as determined under the federal internal revenue code and
reported from schedule C and on line 12 of the taxpayer's form 1040
federal individual income tax return; (2) net income, not including
guaranteed payments as defined in section 707(c) of the federal internal
revenue code and as reported to the taxpayer from federal schedule K-
1, (form 1065-B), in box 9, code F or as reported to the taxpayer from
federal schedule K-1, (form 1065) in box 4, from rental real estate,
royalties, partnerships, S corporations, estates, trusts, residual interest
in real estate mortgage investment conduits and net farm rental as
determined under the federal internal revenue code and reported from
schedule E and on line 17 of the taxpayer's form 1040 federal
individual income tax return; and (3) net farm profit as determined
under the federal internal revenue code and reported from schedule F
and on line 18 of the taxpayer's form 1040 federal income tax return;
all to the extent included in the taxpayer's federal adjusted gross
income. For purposes of this subsection, references to the federal form
1040 and federal schedule C, schedule E, and schedule F, shall be to
such form and schedules as they existed for tax year 2011 and as
revised thereafter by the internal revenue service.
    (xxi) For all taxable years beginning after December 31, 2013,
amounts equal to the unreimbursed travel, lodging and medical
expenditures directly incurred by a taxpayer while living, or a
dependent of the taxpayer while living, for the donation of one or more
human organs of the taxpayer, or a dependent of the taxpayer, to
another person for human organ transplantation. The expenses may be
claimed as a subtraction modification provided for in this section to the
extent the expenses are not already subtracted from the taxpayer's
federal adjusted gross income. In no circumstances shall the subtraction
modification provided for in this section for any individual, or a
dependent, exceed $5,000. As used in this section, "human organ"
means all or part of a liver, pancreas, kidney, intestine, lung or bone
marrow. The provisions of this paragraph shall take effect on the day
the secretary of revenue certifies to the director of the budget that the
cost for the department of revenue of modifications to the automated
tax system for the purpose of implementing this paragraph will not
exceed $20,000.
    (xxii) For taxable years beginning after December 31, 2012, and
ending before January 1, 2017, the amount of net gain from the sale of:
(1) Cattle and horses, regardless of age, held by the taxpayer for draft,
breeding, dairy or sporting purposes, and held by such taxpayer for 24
months or more from the date of acquisition; and (2) other livestock,
regardless of age, held by the taxpayer for draft, breeding, dairy or
sporting purposes, and held by such taxpayer for 12 months or more
from the date of acquisition. The subtraction from federal adjusted
gross income shall be limited to the amount of the additions recognized
under the provisions of subsection (b)(xix) attributable to the business
in which the livestock sold had been used. As used in this paragraph,
the term "livestock" shall not include poultry.
    (xxiii) For all taxable years beginning after December 31, 2012,
amounts received under either the Overland Park, Kansas police
department retirement plan or the Overland Park, Kansas fire
                   HOUSE BILL No. 2515—page 8
department retirement plan, both as established by the city of Overland
Park, pursuant to the city's home rule authority.
    (xxiv) For taxable years beginning after December 31, 2013, and
ending before January 1, 2017, the net gain from the sale from
Christmas trees grown in Kansas and held by the taxpayer for six years
or more.
    (xxv) For all taxable years commencing after December 31, 2020,
100% of global intangible low-taxed income under section 951A of the
federal internal revenue code of 1986, before any deductions allowed
under section 250(a)(1)(B) of such code.
    (xxvi) (1) For all taxable years commencing after December 31,
2020, the amount of any interest expense paid or accrued in the current
taxable year and disallowed as a deduction pursuant to section 163(j) of
the federal internal revenue code.
    (2) For purposes of this paragraph, an interest expense is
considered paid or accrued only in the first taxable year the deduction
would have been allowable pursuant to section 163 of the federal
internal revenue code if the limitation pursuant to section 163(j) of the
federal internal revenue code did not exist.
    (3) For tax year 2021, an amount equal to the sum of any interest
expenses paid or accrued in tax years 2018, 2019 and 2020 less the sum
of amounts allowed as a deduction pursuant to section 163 of the
federal internal revenue code in tax years 2018, 2019 and 2020.
    (xxvii) For taxable years commencing after December 31, 2020,
the amount disallowed as a deduction pursuant to section 274 of the
federal internal revenue code of 1986 for meal expenditures shall be
allowed to the extent such expense was deductible for determining
federal income tax and was allowed and in effect on December 31,
2017.
    (xxviii) For all taxable years beginning after December 31, 2021:
(1) The amount contributed to a first-time home buyer savings account
pursuant to K.S.A. 58-4903, and amendments thereto, in an amount not
to exceed $3,000 for an individual or $6,000 for a married couple filing
a joint return; or (2) amounts received as income earned from assets in
a first-time home buyer savings account. For all taxable years
beginning after December 31, 2022, contributions made to a first-time
home buyer savings account pursuant to subparagraph (1) on and after
January 1 but prior to the date required for filing a return pursuant to
K.S.A. 79-3221, and amendments thereto, of the successive taxable
year may be elected by the taxpayer to apply to the prior taxable year if
such election is made at the time of filing the return. No contribution
shall be used as a modification pursuant to subparagraph (1) in more
than one taxable year.
    (xxix) For taxable years beginning after December 31, 2017, for
an individual taxpayer who carried back federal net operating losses
arising in a taxable year beginning after December 31, 2017, and before
January 1, 2021, pursuant to section 172(b)(1) of the federal internal
revenue code as amended by the coronavirus aid, relief, and economic
security act (CARES act), the amount of such federal net operating loss
carryback for each applicable year. If the amount of such federal net
operating loss carryback exceeds the taxpayer's Kansas adjusted gross
income for such taxable year, the amount thereof that exceeds such
Kansas adjusted gross income may be carried forward as a subtraction
modification in the following taxable year or years until the total
amount of such federal net operating loss carryback has been deducted,
except that no such unused amount shall be carried forward for
deduction as a subtraction modification after the 20th taxable year
following the taxable year of the net operating loss. Notwithstanding
any other provision of law to the contrary, an extension of time shall be
allowed for a claim for refund or amended return for tax years 2018,
2019 or 2020 limited to the application of the provisions of this
paragraph and such claim for refund or amended return must be filed
on or before April 15, 2025.
    (xxx) For all taxable years beginning after December 31, 2024: (1)
                    HOUSE BILL No. 2515—page 9
The amount contributed to an adoption savings account pursuant to
K.S.A. 2025 Supp. 38-2503, and amendments thereto, in an amount not
to exceed $6,000 for an individual or $12,000 for a married couple
filing a joint return; or (2) amounts received as income earned from
assets in an adoption savings account.
    (xxxi) For taxable years commencing after December 31, 2025,
the amount of any net gain from the sale of specie, as defined in section
2, and amendments thereto, except the sale of specie as a taxable
distribution from any retirement plan account that holds specie.
    (d) There shall be added to or subtracted from federal adjusted
gross income the taxpayer's share, as beneficiary of an estate or trust, of
the Kansas fiduciary adjustment determined under K.S.A. 79-32,135,
and amendments thereto.
    (e) The amount of modifications required to be made under this
section by a partner which relates to items of income, gain, loss,
deduction or credit of a partnership shall be determined under K.S.A.
79-32,131, and amendments thereto, to the extent that such items affect
federal adjusted gross income of the partner.
    Sec. 8. K.S.A. 2025 Supp. 79-32,117 is hereby repealed.
    Sec. 9. This act shall take effect and be in force from and after its
publication in the statute book.
I hereby certify that the above BILL originated in the HOUSE, and was
adopted by that body
HOUSE adopted
Conference Committee Report
                                                   Speaker of the House.
                                                  Chief Clerk of the House.
Passed the SENATE
      as amended
SENATE adopted
Conference Committee Report
                                                   President of the Senate.
                                                   Secretary of the Senate.
APPROVED
                                                                 Governor.