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Double check your entries. Make sure you are filing a nonresident return. The Use Tax section (Did you buy anything without paying sales tax?) does not come up with a nonresident return.
Kansas residents are liable for a Compensating Use Tax if no sales tax was paid on merchandise purchased from other states and used, stored, or consumed in Kansas. It is also due if the other state’s rate is less than the Kansas rate of 6.50 percent paid at the time of purchase.
I followed the steps you outlined without success. I even deleted the Kansas return and reentered it. Still getting the compensatory use tax added on.
Are you saying that a dollar amount is appearing line 20 ("Use tax due (out of state and internet purchases; see instructions)") on the K-40 tax return?
Are you also saying that the question about Use Tax came up in the Kansas interview even though you said that you were a nonresident?
If you knew that you were not liable for the Use Tax, why did you enter anything in the Kansas interview?
Or are you referring to something else?
You see, I calculate my state taxes directly on the state websites to double check my work. In Turbo Tax and Kansas webfile, the ultimate taxable income figures are identical: there is only the tax table/calculation after that. The difference is happens to be 0.087% of my Kansas income, the use tax rate.
There was no question about Use Tax in the (Turbo Tax) Kansas interview. (It confirms I am a non-resident).
I feel there's a bug in there somewhere.
Thank you--
the use tax is not calculated on your income.
The use tax is the sales tax you did not pay when you purchased one or more items subject to sales tax.
the use tax you will pay is the use tax amount you enter when asked.
Bottom line, something else is going on with your return,
OR
it is correct..
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