Providing a rebate instead of an income tax credit for the high performance tax credit program and capping the maximum rebate provided.

SB 536 changes how Kansas taxpayers can benefit from the High Performance Tax Credit Program by converting the existing income tax credit into a direct rebate payment. The bill applies to businesses investing in qualified facilities located outside of metropolitan counties and establishes specific rebate amounts based on the number of jobs created and the size of the investment. Under the new rules, businesses in nonmetropolitan regions receive $2,500 per job plus $1,000 for every $100,000 invested, while other qualifying businesses receive $1,500 per job plus the same investment bonus. The legislation also sets a maximum cap on the rebate amount and ends eligibility for new investments starting January 1, 2027.