Stay on Top of Tax Requirements

What taxes apply to my business?

Your business will need to meet federal, state, and local tax requirements. These requirements will depend on your business structure and location. 

What are my federal tax obligations?

Your business structure determines what federal taxes you must pay and how you pay them. Some of the taxes require payment throughout the year, so it’s important to know your tax obligations before the end of your tax year.

There are five general types of business taxes:

1. Income tax
2. Self-employment tax
3. Estimated tax
4. Employer tax
5. Excise tax Each category of business tax might have special rules, qualifications, or IRS forms you need to file. Check with the IRS to see which business taxes apply to you.

If your business has employees, you might be required to withhold taxes from their paychecks. Federal employment taxes include income, Social Security and Medicare, unemployment, and self-employment taxes. Check with the IRS to see which taxes you need to withhold.

What are my state tax obligations?

Various state tax obligations apply to different kinds of businesses. You can learn more about these obligations from the Kansas Department of Revenue.

What is Occupation Tax?

All entities engaging in a business activity in Kansas City, KS need to register and file an occupation tax application. The Occupation Tax application allows the UG to determine whether additional licenses or permits are required, and also assess the Occupation Tax associated with doing business in the UG.

Are there exemptions?

Some businesses are excluded from paying the Occupation Tax. You must still file the occupation tax application, and the UG will determine your eligibility for exemption. Exemptions include but are not limited to:

1. Businesses individually operated by a blind person, 
2. Attorneys offices, for the occupation of the attorney, 
3. Agricultural growers for products grown and sold within the state, 
4. Milk product production, 
5. Motor Vehicle fuel sales, 
6. Organizations operated wholly for charitable, religious, benevolent, fraternal, civic, educational- from which profit is not derived by any individual, 
7. Organizations qualified by the I.R.S. as 501(c)3.

How do I file an Occupation Tax application?

After you have submitted your zoning application, the Business Licensing department will give you directions on how to submit your Occupation Tax application.