Updated October 8, 2026. Quick answer: Generally no, if you qualify for the federal exclusion. Kansas statute defines Kansas adjusted gross income as “such individual’s federal adjusted gross income for the taxable year” plus or minus listed modifications, so a gain excluded under section 121 stays out. Gain above it is taxed at 5.2% and then 5.58% for taxable income above $23,000 for single filers ($46,000 for joint filers).
Kansas tax on home sale profit at a glance
| Item | What the documents say |
|---|---|
| Profit on your main home | Kansas adjusted gross income starts from federal adjusted gross income; no document read mentions section 121 |
| Rate on gain above the exclusion | Graduated: 5.2% up to $23,000 of taxable income ($46,000 joint), 5.58% above |
| Collected at the sale | None found in the documents read |
| Source | Kansas Department of Revenue; Kansas Office of Revisor of Statutes |
What the Kansas documents say
K.S.A. 79-32,117 defines Kansas adjusted gross income, for an individual, as “such individual’s federal adjusted gross income for the taxable year” with listed additions and subtractions. The 2025 booklet’s K-40 starts at “Federal adjusted gross income (as reported on your federal income tax return”. Under the federal statute, “Gross income shall not include gain from the sale or exchange” of a principal residence that meets the ownership and use tests, so an excluded gain never enters federal adjusted gross income. That is reasoning from two documents. Neither document mentions section 121, and no Kansas modification for home-sale gain was seen among the lines read.
K.S.A. 79-32,110 sets the rate for “For tax year 2024, and all tax years thereafter”: “Not over $23,000 5.2% of Kansas taxable income” for single filers, and “Over $23,000 $1,196 plus 5.58% of excess over $23,000”. Married couples filing jointly reach the second bracket at $46,000, with $2,392 plus 5.58% of the excess over $46,000. The schedule is the same for 2026.
What the federal exclusion requires
Most state answers start here. The statute says “Gross income shall not include gain from the sale or exchange” of property that, during the five years before the sale, you owned and used as your principal residence for periods adding up to two years or more. The limit is “shall not exceed $250,000”, or $500,000 for a husband and wife who make a joint return and meet the statute’s conditions. See CMG’s home sale taxes page and exclusion calculator.
A worked example at a $400,000 gain
An illustration, not a return: a married couple in Kansas sells their main home with a gain of $400,000 and meets the federal ownership and use tests. The gain is below the $500,000 joint exclusion, so it is not in federal adjusted gross income and, on the documents read, $0 is taxed by Kansas. As a second illustration, computed below, suppose the gain were $600,000. The amount above the exclusion would then be $100,000, which is taxed at 5.2% or 5.58% depending on the rest of the return; this page computes no tax because the bracket depends on it.
What is collected at the sale
The documents read show no Kansas withholding, prepayment or transfer tax on a home sale. That is a gap in what was read, not a statement that none exists; ask the closing agent.
What changes in 2026
Kansas: K.S.A. 79-32,110 applies the 5.2% and 5.58% schedule to tax year 2024 and all tax years thereafter, so it is unchanged for 2026 on the documents read.
What the documents do not say
- The pages read never name section 121, so conformity is reasoned from the federal starting point. No Department of Revenue rate document dated 2026 was found; the 2026 schedule is the statute’s, which applies to tax year 2024 and all later years. No sale-time rule was found. The booklet is for tax year 2025.
Common mistakes
- Applying 5.58% to the whole gain; the bracket depends on total taxable income and filing status.
- Assuming a sale-time tax is absent because none was found; the page reports a gap, not a statement.
- Assuming the answer for one state applies to another, or that the state answer changes the federal tax on the sale.
Related: home sale taxes, state tax on home sale profit, how Kansas taxes capital gains, Kansas retirement taxes, and home sale exclusion calculator.
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Answer againSources
- 2025 Kansas Individual Income Tax booklet (K-40 instructions): https://www.ksrevenue.gov/pdf/ip25.pdf
- K.S.A. 79-32,117: https://ksrevisor.gov/statutes/chapters/ch79/079_032_0117.html
- K.S.A. 79-32,110: https://ksrevisor.gov/statutes/chapters/ch79/079_032_0110.html
- K.S.A. 79-32,110 Rate of tax on individuals: https://ksrevisor.gov/statutes/chapters/ch79/079_032_0110.html
- 26 U.S.C. 121, Exclusion of gain from sale of principal residence (U.S. Code, GovInfo): https://www.govinfo.gov/content/pkg/USCODE-2023-title26/html/USCODE-2023-title26-subtitleA-chap1-subchapB-partIII-sec121.htm
Sources: the primary documents linked above, read on October 8, 2026. General information, not tax advice. Your own facts decide the outcome, and a tax professional or the state agency itself is the right place to confirm anything consequential.