Understand what’s on the line for REALTORS® next year and how five top legislative issues may affect your business.
1. Protect Mortgage Interest and Property Tax Deductions
What’s Happening:
In 2017, Kansas’s lawmakers passed legislation to put mortgage interest and property tax deductions on a path to 100% restoration by 2020. Kansas families, farmers, and small businesses all benefit.
What Lawmakers Should Do:
Keep deductions on the path to full restoration and consider moving up the effective date before 2020.
2. Defend the right for Kansans to vote on property tax increases
What’s Happening:
Property taxes fund many important programs, however real estate has become burdened with an excessive share of the cost of state and local government. Tax revenues should be collected from a variety of sources and citizens should have a say in property tax increases that exceed inflation.
What Lawmakers Should Do:
Today citizens have the right to vote when proposed property tax increases exceed the rate of inflation. This right was under repeated assault in 2017. We will defend this right in 2018.
3. Prevent an increase in sales taxes and cost of property ownership
What’s Happening:
In 2017, lawmakers considered:
(1) Repeal of sales tax exemptions on construction labor for new and existing homes;
(2) Repeal of state sales tax exemptions on residential utilities;
(3) New sales taxes on real estate related services, such as lease of warehouse and storage space.
The cost of property ownership for Kansans will increase, as will the cost of doing business for real estate professionals, if existing exemptions are removed and/or new taxes are implemented.
What Lawmakers Should Do:
KAR will ask lawmakers to maintain existing exemptions and not impose new taxes on real estate related services.
4. Support responsible funding for public schools
What’s Happening:
Quality education is a driving factor in local economic growth. REALTORS® support the responsible funding of public schools. Tax revenues to fund schools should be equitably collected from a variety of sources and not overburden real estate and property owners.
What Lawmakers Should Do:
KAR will ask lawmakers to consider the negative economic impact of an excessive increase in the state mandated mill levy. Local option budgets should have oversight by local taxpayers with an affirmative vote of the local electorate.
5. Maintain high level of competence for real estate professionals
What’s Happening:
The Kansas Real Estate Commission (KREC) plays an important role in establishing and enforcing requirements that ensure the competence of real estate practitioners and protect the interests of the public.
What Lawmakers Should Do:
KAR supports appropriate funding for KREC and reasonable licensing and education requirements to raise the professionalism of the industry and protect the public. We oppose legislation designed to circumvent licensure and regulation of the real estate industry.
Download an in-depth 2018 Priority Legislative Issues guide.
