In re the Appeal of Federal Deposit Insurance

K.S.A. 79-1106 (Ensley 1984) and K.S.A. 79-1107 (Ensley 1984) signal the legislative intention of taxing a bank’s privilege of doing business within the state. The privilege tax is in lieu of ad valorem taxes. The tax is paid to the State for the privilege of doing business within the state according to, or measured by, the privilege taxpayer’s net income for the next preceding year.

K.S.A. 79-1106 (Ensley 1984) provides:

“It is hereby declared to be the intention of the legislature to levy a tax on national banking associations, banks, trust companies, and savings and loan associations, which…