K-92: Commercial Restoration and Preservation Credit Schedule (Revision 2024-07)

Who files this form

Use Schedule K-92 to claim the Kansas Commercial Restoration and Preservation Credit, including available carryforward amounts or credits received by transfer. A separate K-92 is required for each Tax Credit Certificate issued by the Kansas Department of Revenue.

The credit covers qualifying restoration and preservation costs for a commercial structure at least 50 years old that does not receive the historic preservation credit under K.S.A. 79-32,211. The Department must approve an application and issue a Tax Credit Certificate.

For an S corporation, partnership, or LLC that does not elect to be taxed at the entity level, the credit passes through to shareholders, partners, or members as described in the instructions.

When it's due

For the 2024, 2025, and 2026 tax years covered by this edition:

• Application window: December 1 through December 31 of the year in which the costs and expenditures were made.
• Certificate issuance: If the application is approved, the Department will issue the Tax Credit Certificate no later than February 1 of the following year.

The text does not give a filing deadline for Schedule K-92 itself.

What you'll need

Have these documents and details available to complete the schedule:

• Your Tax Credit Certificate, including its certificate number and credit amount.
• Your taxpayer name, Social Security number or EIN, and taxable-year beginning and ending dates.
• The commercial structure's address and a brief description.
• If applicable, the pass-through entity's name and EIN and your proportionate share percentage.
• Your prior year's K-92 showing any available carryforward.
• Amounts of credit received or transferred during the tax year.
• Your Kansas tax liability after all credits other than this credit.

If you carry credit forward, you must maintain records of its use and provide them to the Department upon request. For a credit transfer, the transferor and transferee should complete and submit Form K-260 after the actual transfer or agreement.

How to file

1. Complete an Application for Commercial Restoration and Preservation Credit and submit it to the Kansas Department of Revenue for review.
2. After approval and issuance of a Tax Credit Certificate, complete a separate K-92 for each certificate. Enter the requested taxpayer information and the applicable property and certificate details in Part A.
3. In Part B, enter the certificate credit amount and your proportionate share percentage. All taxpayers other than partners, shareholders, or members of pass-through entities enter 100% on line 2.
4. Calculate the available credit by adding your share, prior-year carryforward, and credit received by transfer, then subtracting credit transferred to someone else.
5. On line 9, enter the smaller of your available credit or your Kansas tax liability after other credits. Also enter this amount on the appropriate line of Form K-40, K-41, K-120, or K-130.
6. Enter the remaining credit on line 10 and on next year's Schedule K-92, subject to the carryforward limits.

The text does not specify a mail or e-file method or a filing address. For help completing the schedule, contact the Kansas Department of Revenue at 785-368-8222. Forms are available at ksrevenue.gov.

Common mistakes

• Combining certificates on one schedule: A separate K-92 is required for each Tax Credit Certificate.
• Claiming both preservation credits for the same structure: You may not claim this credit and the credit under K.S.A. 79-32,211 for the same structure.
• Treating Form K-260 as the transfer itself: The form only notifies the Department. It should not be submitted before the actual transfer or agreement.
• Failing to track carryforward use: You must keep records and provide them to the Department upon request.
• Entering a negative carryforward: Line 10 cannot be less than zero.

Questions people ask

How much is the credit?

The credit is 10% of qualifying restoration and preservation costs and expenses. An additional 10% credit is allowed for costs and expenses of installing fire suppression materials or equipment.

What spending limits apply?

Qualifying structure costs and expenses must total at least $25,000 and no more than $500,000. The same limits apply separately to qualifying fire suppression materials or equipment costs and expenses.

Can I carry unused credit forward?

Yes. Approved credit exceeding your tax liability may be carried forward, but not beyond the 10th taxable year following the taxable year in which the expenditures were made. Transferred credits have additional limits.

Can I transfer the credit to someone else?

Yes. After the application is approved and a Tax Credit Certificate is issued, all or part of the credit may be transferred to another individual or entity. The transfer takes effect under an agreement between the parties. The transferor and transferee should then submit Form K-260 to notify the Department.

When can someone use a transferred credit?

A recipient may claim it for either the tax year the restoration and preservation expenditures were made or the tax year the recipient received 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 in which the costs and expenses were made.

Official sources

• https://www.ksrevenue.gov/pdf/k-92.pdf