Kansans had a new line on this year's state income tax form.
They were told to pony up for the "compensating use tax" for
online purchases from out-of-state companies. The tax has been in place
for several years, but most people tend to ignore it or don't know it exists. Lawmakers suggested the use tax make its way onto the state
income tax form this year. And many citizens surprised state officials
by admitting to making an online purchase in 2004, thereby producing
more revenue for the Kansas treasury. "Certainly, not everyone is
going to 'fess up to owing this," says Richard Cram, director
of policy and research at the Kansas Department of Revenue. "But we
have a decent amount." Cram said the state had received $344,000 in
these taxes by March 22.