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Kansas High Performance Incentive Program Credits

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K-59 Kansas High Performance Incentive Program (HPIP) Credits

For the taxable year beginning , 20____ ; ending , 20____ .

Name of taxpayer (as shown on return) Social Security Number or Employer ID Number (EIN)

If partner, shareholder or member, enter name of partnership, S corporation, LLC or LLP that earned credit EIN of entity that earned the credit

PART A – GENERAL INFORMATION

1. Enter the period for which you were HPIP certified by the Secretary of Commerce.

2. Enter your HPIP certification number.

PART B – HPIP TRAINING AND EDUCATION CREDIT

3. Total qualified cash investment in training and education.

4. Total amount expended for payroll during the period specified.

5. Multiply line 4 by 2%.

6. Amount of credit subject to limitation (subtract line 5 from line 3).

7. Training and education credit for amount invested (the lesser of line 6 or $50,000).

8. Enter your proportionate share percentage. %

9. Amount of credit allowable for training and education.

9a. Training and education credit used.

PART C – HPIP INVESTMENT CREDIT

10. Address location of qualified business facility:

Street Address City

11. Complete the following investment schedule for the 1st qualifying year:

  (1) Enter Business Entity Tax Filing Period By Month (2) Base Year: Monthly Base Investment (3) 1st Qualifying Year: Monthly Qualifying Investment
a
b
c
d
e
f
g
h
i
j
k
l
mTOTAL
nAverage Investment
oCapitalized Rents
pTOTAL
qBase
rAverage Qualified Investment
sMinimum Investment Allowed
Enter $50,000 or $1,000,000 (see instructions)
tQualified Business Facility Investment
uINVESTMENT CREDIT (10% of line 11t)

12. Enter your ownership percentage. See instructions. %

13. Amount of current year credit available (multiply line 11u by 12).

13a. Prior year(s) carry forward.

13b. Total credit available this tax year (add lines 13 and 13a).

14. Amount of tax liability for current year after all previous claimed credits.

15. Amount of credit used.

16. Amount of carry forward for next year’s Schedule K-59.

PART D – NEW INVESTMENT INFORMATION

17. Number of actual jobs created as a direct result of this qualified business facility investment.

18. Additional payroll generated as a direct result of actual jobs created on line 17.

19. Actual number of jobs retained that would have been eliminated if not for this qualified business facility investment.

20. Payroll for actual jobs retained on line 19.

21. Additional revenue or loss generated as a direct result of this qualified business facility investment.

22. Additional sales generated as a direct result of this qualified business facility investment.

23. Total employment in the state of Kansas.

24. Total payroll in the state of Kansas.

PART E – CARRY FORWARD SCHEDULE

25. First Year Carry Forward

a. Tax Year b. Certification No. c. Certification Date

d. Carry Fwd Amt e. Credit Used f. Credit Fwd Available

26. Second Year Carry Forward

a. Tax Year b. Certification No. c. Certification Date

d. Carry Fwd Amt e. Credit Used f. Credit Fwd Available

27. Third Year Carry Forward

a. Tax Year b. Certification No. c. Certification Date

d. Carry Fwd Amt e. Credit Used f. Credit Fwd Available

28. Fourth Year Carry Forward

a. Tax Year b. Certification No. c. Certification Date

d. Carry Fwd Amt e. Credit Used f. Credit Fwd Available

29. Fifth Year Carry Forward

a. Tax Year b. Certification No. c. Certification Date

d. Carry Fwd Amt e. Credit Used f. Credit Fwd Available

30. Sixth Year Carry Forward

a. Tax Year b. Certification No. c. Certification Date

d. Carry Fwd Amt e. Credit Used f. Credit Fwd Available

31. Seventh Year Carry Forward

a. Tax Year b. Certification No. c. Certification Date

d. Carry Fwd Amt e. Credit Used f. Credit Fwd Available

32. Eighth Year Carry Forward

a. Tax Year b. Certification No. c. Certification Date

d. Carry Fwd Amt e. Credit Used f. Credit Fwd Available

33. Ninth Year Carry Forward

a. Tax Year b. Certification No. c. Certification Date

d. Carry Fwd Amt e. Credit Used f. Credit Fwd Available

34. Tenth Year Carry Forward

a. Tax Year b. Certification No. c. Certification Date

d. Carry Fwd Amt e. Credit Used f. Credit Fwd Available

Lines 35 through 40 are to be used for HPIP carry forward on UNEXPIRED credits where the investments were placed into service in taxable years commencing after December 31, 2000.

35. Eleventh Year Carry Forward

a. Tax Year b. Certification No. c. Certification Date

d. Carry Fwd Amt e. Credit Used f. Credit Fwd Available

36. Twelfth Year Carry Forward

a. Tax Year b. Certification No. c. Certification Date

d. Carry Fwd Amt e. Credit Used f. Credit Fwd Available

37. Thirteenth Year Carry Forward

a. Tax Year b. Certification No. c. Certification Date

d. Carry Fwd Amt e. Credit Used f. Credit Fwd Available

38. Fourteenth Year Carry Forward

a. Tax Year b. Certification No. c. Certification Date

d. Carry Fwd Amt e. Credit Used f. Credit Fwd Available

39. Fifteenth Year Carry Forward

a. Tax Year b. Certification No. c. Certification Date

d. Carry Fwd Amt e. Credit Used f. Credit Fwd Available

40. Sixteenth Year Carry Forward

a. Tax Year b. Certification No. c. Certification Date

d. Carry Fwd Amt e. Credit Used f. Credit Fwd Available

Enter text✕

What the Kansas High Performance Incentive Program Credits Are

The Kansas High Performance Incentive Program Credits are state-administered tax incentives designed to support business expansions and capital investment in Kansas. Companies that meet program eligibility—typically tied to job creation, wage thresholds, and qualifying capital expenditures—may receive a credit against state tax liability or other incentive certification issued by the Kansas Department of Commerce and reviewed by Kansas Department of Revenue.

Why these Credits Matter to Kansas Projects

These credits can materially improve project economics by reducing state tax exposure and enhancing cash-flow planning for qualifying capital investments and hires. Certification also documents compliance for audits and supports financing conversations with lenders and investors.

Why these Credits Matter to Kansas Projects

Who Typically Prepares and Uses These Credit Applications

Parties should coordinate internal payroll, HR, and accounting records early to ensure timely, accurate support for the application and any subsequent certification or audit.

  • Corporate finance and tax departments preparing documentation and tax positions for credit claims.
  • Business development or site-selection teams documenting capital investment and projected job creation.
  • External accountants, tax attorneys, or economic development consultants assisting with eligibility and submission.

Primary Components You’ll Find in a Professional Credit Package

A complete submission combines eligibility documentation, quantitative schedules, legal certifications, and a clear project narrative to support award and credit calculation.

Eligibility Criteria

Defines required job numbers, wage floors, and qualifying capital expenditures the applicant must meet to be considered for credits.

Project Narrative

Concise description of the project scope, timeline, location, and how the investment creates the required economic benefits.

Quantitative Schedules

Tables showing expected hires, wage rates, and capital expenditures; used to calculate credit amounts and to support audits.

Supporting Documents

Contracts, invoices, payroll reports, lease or deed records, and other documentary proof corroborating the project and expenditures.

Certification Forms

Signed statements and attestations by authorized officers confirming accuracy of the submission and acceptance of program terms.

Post-Award Compliance

Ongoing reporting and recordkeeping obligations the recipient must follow to retain credits and avoid recapture.

Step-by-Step: Completing the Application

Follow these four core steps to prepare and submit a complete application package to the Kansas program.

  • 01
    Gather Documents: Collect payroll, invoices, leases, and contracts that evidence hires and expenditures.
  • 02
    Populate Forms: Complete each field accurately, using MM/DD/YYYY for dates and the exact legal names.
  • 03
    Submit to Agency: File the application with Kansas Department of Commerce and copy Kansas Department of Revenue as required.
  • 04
    Track Certification: Receive decision, record credit amount, and follow post-award reporting and compliance steps.

How the Review and Credit Issuance Process Typically Flows

A straightforward routing process takes applications from submission through agency review, certification, and tax reporting.

  • Application Intake: Agency logs submission and issues an intake confirmation to the applicant.
  • Technical Review: Program staff evaluate eligibility, documentation, and quantitative schedules for completeness.
  • Certification Decision: If approved, the agency issues certification or a credit allocation letter to the recipient.
  • Tax Reporting: Recipient reports certified credit on state tax filings per Department of Revenue guidance.

Configuring an Online Workflow for Credit Applications

Set up an electronic workflow to collect attachments, track approvers, and retain a secure audit trail for each submission.

Field Workflow Setting
Notification Email to CFO | Notify legal and tax reviewers
Authentication Email + SMS code | Strong signer verification
Template Pre-fill project data | Reduce manual entry errors
Storage Encrypted archival PDF | Retain audit trail

Technical Requirements for Digital Submission and Signing

Ensure your chosen platform preserves an immutable audit trail and retains documents in an encrypted format to support agency review and audits.

  • Accepted Formats: PDF, DOCX
  • Authentication: Email or SMS
  • Integrations: Cloud storage and SSO

Typical Deadlines and Timing Expectations

Timelines vary by program year and project; confirm current windows with the Kansas Department of Commerce before preparing a submission.

Application Window:

Open and close dates depend on program announcements each fiscal year.

Supporting Documents Due:

Submit all supporting evidence with the initial application unless agency allows follow-up.

Decision Period:

Agency review times vary; expect several weeks to a few months depending on complexity.

Credit Issuance:

Certified credits are documented by the agency and reported for state tax purposes.

Annual Recertification:

Some credits require ongoing reporting or annual verification to remain valid.

Key Milestones from Application to Credit Claim

Track these sequential milestones to manage expectations and internal deadlines for supporting evidence and reporting.

01

Pre-Application Review

Internal validation of eligibility and required documentation before formal filing.

02

Submission and Acknowledgment

Agency receives and acknowledges application; applicant logs reference numbers.

03

Agency Evaluation

Technical review and potential requests for additional documentation or clarification.

04

Certification and Tax Claim

Final certification issued; recipient reports the credit on state tax filings per guidance.

Required Data Elements for the Application Package

Legal Name: Exact registered entity name
Federal EIN: Nine-digit employer identification number
Kansas Account: State tax or registration number if applicable
Project Address: Street, city, county, ZIP
Jobs/Wages: Number of positions and wage detail
Supporting Docs: Invoices, payroll, contracts, leases

Penalties and Risks of Incorrect or Incomplete Submissions

Credit Recapture: Agency may require repayment of issued credits
Interest and Fines: Monetary obligations may accrue on recaptured amounts
Tax Penalties: Incorrect claims can trigger state tax penalties
Audit Exposure: Incomplete records increase the likelihood of audits
Program Ineligibility: Errors may disqualify future program participation
Reputational Risk: Noncompliance can affect lender and community relationships

Common Preparation Pitfalls to Avoid

  • Submitting estimates without supporting payroll or vendor documentation delays approvals and often prompts agency requests for substantiation.
  • Mismatched entity names, EINs, or tax account numbers between supporting documents and forms is a frequent cause of rejection.
  • Relying on informal or unsigned attachments instead of formal contracts and invoices makes verification difficult during audits.
  • Failing to coordinate with local permitting, zoning, or economic development authorities can create eligibility gaps or funding conflicts.

Frequently Asked Questions About Kansas High Performance Incentive Program Credits

Answers to common questions about eligibility, documentation, processing, and post-award compliance for credit recipients.


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