Rural Opportunity Zone (ROZ)
Rural Opportunity Zones (ROZ) are designed to spur economic development and expand job growth in 73 key counties around the state. The program has two main incentives:
- A state income tax exemption for up to five years to individuals who move to a ROZ county from outside the state. Individuals must not have lived in Kansas for the past five years, nor have Kansas source income of more than $10,000 per year over the past five years.
- Student loan forgiveness of up to $3,000 per year ($15,000 maximum benefit) for individuals who graduate from an accredited post-secondary institution and move to a ROZ county. The student loan forgiveness portion of the program is a county-state partnership, and counties must opt in to participate.
Local Community Incentives
Local communities in Kansas are excited about the prospect of adding dairies to their community and offer competitive packages ranging from loans to providing land for building sites.
Agricultural Projects Sales Tax Exemption
Beginning July 1, 2014 a sales tax exemption is available for capital investment in agriculture, including for dairies. The exemption is granted for the construction, reconstruction, enlargement or remodeling of a facility with a total cost of the project being no less than $50,000.
Machinery & Equipment Property Tax Exemption
A state and local property tax exemption is available for new or used commercial and industrial machinery and equipment acquired by qualified purchase or lease, or transferred into the state for the purpose of expanding an existing facility or establishing a new facility.
Sales Tax Exemption
In addition to other sales tax exemptions, the following ag-based items are exempt from sales tax:
- Purchases of animals primarily used for agriculture
- Production of food for human consumption
- Production of animal or dairy products
- Production of offspring for use in any such endeavor