K-68: Individual Development Account Credit Schedule (Revision 2024-07)
Kansas · Kansas DOR · Used for tax years 2024, 2025, 2026
Kansas Schedule K-68 calculates the Individual Development Account Credit for contributions to an IDA reserve fund. It reports contributions, your proportionate share, and a credit equal to 75% of that share of contributions, with sections for K-40 and K-41 filers to calculate th
Who files this form
Schedule K-68 is used to claim the Kansas Individual Development Account (IDA) credit for contributions to an IDA reserve fund. A program contributor can be a person or an entity.
The credit is available to all income tax filers. The schedule includes directions for Form K-40, K-41 and K-120 filers, including partners, shareholders and members of pass-through entities claiming their proportionate share.
What you'll need
Have the following information ready to complete the schedule:
- Your taxable year's beginning and ending dates.
- Your name as shown on your return and your Social Security number or Employer Identification Number (EIN).
- The exact dates and amounts of contributions made to an IDA reserve fund during the tax year. Enclose a separate sheet if you need more space.
- If you are a partner, shareholder or member, the partnership, S corporation, LLC or LLP's name and EIN, plus your proportionate share percentage. All other taxpayers enter 100%.
- For Form K-40 and K-41 filers, your Kansas tax liability after all credits other than this credit.
Common mistakes
- Claiming both credits for the same contribution. No IDA credit is allowed for a contribution that also qualified for a community service tax credit claimed on Schedule K-60.
- Completing Parts B and C as a Form K-120 filer. Form K-120 filers must skip lines 6 through 8 and enter the amount from line 5 on the appropriate line in Part I of Form K-120.
Questions people ask
How much is the credit?
The credit is 75% of the amount contributed during the tax year. Partners, shareholders and members of pass-through entities use their proportionate share percentage to calculate their share of the credit.
Can excess credit be refunded?
Yes. The text states that credit exceeding the program contributor's tax liability is refunded. Form K-40 and K-41 filers calculate the excess in Part C by subtracting line 7 from line 5 and enter it on the appropriate line of their return.
What is an IDA reserve fund?
It is a fund created by an approved community-based organization to cover program administration costs and provide matching funds for money in individual development accounts. The organization may be a religious or charitable association or a tribal entity approved by the Kansas Department of Commerce.
Who can help with eligibility or completing the schedule?
For questions about qualifying for the Kansas Individual Development Account Program, contact the Kansas Department of Commerce at 785-296-4100 or kansascommerce.gov. For help completing the schedule, contact the Kansas Department of Revenue at 785-368-8222. Additional copies of the schedule are available at ksrevenue.gov.