K-35: Historic Preservation Credit Schedule (2025)
Kansas · Kansas DOR · Used for tax years 2025
Kansas Schedule K-35 calculates the historic preservation tax credit for a qualified historic structure. It reports property and rehabilitation project information, the credit available for the current tax year, and any unused credit to carry forward.
Who files this form
Use Schedule K-35 to claim the Kansas Historic Preservation Credit for qualified expenditures to restore or preserve a qualified historic structure under an approved rehabilitation plan. The Kansas State Historical Society determines and issues the credit.
A qualified taxpayer is the owner of the historic structure or another person who may qualify for the federal rehabilitation credit under section 47 of the Internal Revenue Code.
Partners, shareholders and members of pass-through entities claim their proportionate shares of the credit. Taxpayers claiming a credit acquired by sale, assignment or other transfer also use this schedule.
Complete a separate K-35 for each qualified historic structure.
What you'll need
Attach to K-35: A copy of the credit certification or Certificate of Transfer from the Kansas State Historical Society, as applicable. If you are claiming an acquired credit, include the Certificate of Transfer.
Keep with your records:
- The Kansas State Historical Society tax credit certificate.
- Federal Form 3468, if applicable.
- An itemized list of actual costs and expenses.
- The Certificate of Transfer, if you are claiming an acquired credit.
To complete the schedule, have your project and certification numbers, property name and address, project start date, placed-in-service date, qualified expenditure total and applicable share percentage. If you have a prior-year carryforward, use line 10 of your prior-year K-35.
How to file
Complete a separate schedule for each qualified historic structure:
- Parts A and B: Enter the historic structure and rehabilitation project information.
- Part C: Calculate the available credit using qualified expenditures, the applicable credit percentage and your proportionate share. For the first year of an acquired credit, skip lines 1 and 2 and enter the transferred credit on line 3.
- Part D: Add any prior-year carryforward. On line 9, enter the smaller of the available credit on line 7 or your remaining Kansas tax liability on line 8.
- Part E: Subtract line 9 from line 7 to calculate the carryforward on line 10.
Enter the line 9 credit on the appropriate nonrefundable credit line of Form K-40, K-41, K-120 or K-130. Attach the required credit certification or transfer documentation to K-35.
The supplied text does not give mailing or e-filing directions for submitting the schedule.
Common mistakes
- Leaving out the certification or transfer document. The instructions specifically say to attach a copy of the credit certification or credit transfer from the Kansas State Historical Society.
- Not keeping supporting records. Keep the tax credit certificate, Federal Form 3468 if applicable, an itemized cost and expense list, and any Certificate of Transfer. The Kansas Department of Revenue may request additional information.
- Putting an acquired credit in the wrong place. The form reminds first-year claimants to skip lines 1 and 2 and enter the transferred credit on line 3. In later years, enter the acquired credit carryforward on line 6.
Questions people ask
When can I claim the state credit?
The state credit is generally available in the same tax year as the federal credit. If the project does not qualify for the federal credit, take the state credit in the year the qualified rehabilitation plan was placed in service.
Can I carry unused credit forward?
Yes. Unused credit may be carried forward until it is used, but not beyond the 10th taxable year after the year the qualified rehabilitation plan was placed in service. Acquired credits have a separate carryforward limit.
What are the rules for a credit I acquired from someone else?
An acquired credit may be used for either the tax year the qualified rehabilitation plan was first placed in service or the year you acquired the credit. Unused amounts may be carried forward for up to five years, but all amounts must be claimed within 10 years following the tax year the plan was first placed in service. Include the Kansas State Historical Society Certificate of Transfer with K-35.
What percentage do I enter for my share on line 4?
Partners, shareholders and members of pass-through entities enter the percentage representing their proportionate share in the partnership, S corporation, LLC or LLP. All other taxpayers enter 100%.