TOPEKA — Kansas boat owners will see a significant tax change beginning next year.
According to a notice issued by the Kansas Department of Revenue’s Division of Property Valuation, all watercraft, boat trailers, boat motors, and marine equipment will be exempt from Kansas personal property tax starting Jan. 1, 2026.
The change follows the passage of House Bill 2231, which amended state law to remove watercraft from taxable personal property. In addition, Kansas statute K.S.A. 79-213 was updated to include marine equipment as tax-exempt beginning after Dec. 31, 2025.
As a result, beginning in 2026:
- Boat owners will no longer be required to list watercraft or marine equipment on personal property renditions with county appraisers.
- Marina and dock owners, lessees, and operators will no longer be required to submit annual lists of watercraft owners to county appraisers.
- Only taxable personal property will be subject to listing and assessment under Kansas law.
While property taxes are being eliminated, the Department of Revenue emphasized that watercraft must still be registered with the Kansas Department of Wildlife and Parks if they are used on Kansas waters.
The notice also reminds boat owners that watercraft remain taxable through Dec. 31, 2025. Boats owned as of January 1, 2025, must still be listed, valued, and taxed in the appropriate taxing district for the current year.
Under existing law through the end of 2025:
- Watercraft “in transit” on January 1 are taxed in the owner’s home taxing district if serviced by the Kansas Department of Wildlife and Parks’ numbering system.
- Boats stored outside Kansas long-term are generally not taxable in the state, with limited exceptions.
- The value of watercraft is prorated in the year it is bought or sold, and owners must notify the county appraiser of a sale or acquisition by December 20 to ensure proper valuation or refunds.
State officials encourage boat owners with questions to contact their local county appraiser’s office for guidance as the transition to the new tax exemption approaches.
The change represents a major shift in Kansas personal property taxation and is expected to reduce administrative burdens for boat owners, marinas, and county officials statewide.