On July 1, the state increased its sales tax rate from 6.15% to 6.5%. This increases the total sales tax for purchases in Topeka (including on-campus sales) to 9.15%; for total sales tax for purchases in Shawnee County outside the city limits is now 7.65%. All taxable sales made on-campus are subject to the new 9.15% rate. To help you determine the appropriate amount of sales tax to collect (or to include in an item’s price), use the sales tax calculator spreadsheet at www.washburn.edu/faculty-staff/finance-office/Files/sales%20tax%20calculator.xlsx.

Although this change will have no direct impact on the University’s sales tax revenues, it can have an impact on expenditures if the University’s sales tax exemption is not utilized. Here are some suggestions to avoid paying sales tax on University-related purchases:

• Don’t pay for items with personal funds, then request reimbursement from the University. Although some merchants may not charge you sales tax if your purchase is for the University, state sales tax law specifically states that in such situations, the merchant is supposed to collect the sales tax from you.
    
• Use your P-card for small purchases whenever possible. The University’s sales tax exemption number is printed on the card.
    
• Request the merchant to bill the University directly. You will need to have a copy of Washburn’s sales tax exemption form to provide to the merchant; contact Purchasing to obtain a copy.
    
• Use purchase orders when possible. 

If you have any questions, please contact Mary Gruber (ext 2031) or Chris Leach ([email protected]).

Posted by: Chris Leach

Target: all students, faculty and staff