Attachment 16 Kansas Tax Language - 1.26.2023 - FINAL.docx

Special Notes regarding FAR 52.229-3: Federal, State and Local Taxes:

Offerors are hereby notified that under Kansas Stat. Ann. 79-3606, all sales of tangible personal property or services purchased by a contractor for construction projects for the government of the United States, its agencies or instrumentalities, that would be exempt from taxation if purchased directly by the government of the United States, its agencies or instrumentalities is exempt from state and local sales tax or compensating tax. Therefore, the contractor’s purchase of such building and construction materials within the State of Kansas to be incorporated into buildings or other projects belonging to the U.S. Department of Veterans Affairs (VA) are exempt from Kansas Sales and Compensating Tax. To take advantage of the tax exemption, the VA will furnish to the contractor at award a Project Exemption Certificate for the project involved, and the contractor may present this certificate when it purchases materials for incorporation into such project.

Notwithstanding FAR 52.229-3, all bids received in response to this solicitation are presumed to reflect this tax exemption, and therefore should not include Kansas State or Local sales tax or Compensating tax on sales of materials for incorporation into a VA project under this contract.