Two area communities join Derby in lawsuit against KDOR

As an example when a vehicle is purchased in Wichita for $10,000, Sedgwick County gets its 1 percent cut of $100 at the point of sale. When the car is registered to a Derby address, an additional $50 is taken as the Derby half-cent sales tax approved by voters. But instead of that all going toward the city of Derby, $33 is sent to the county, allocated as “County Sales Tax,” while the remaining $17 is sent to Derby.

In December of 2016 a Shawnee County District Court Judge issued a summary judgement in favor of the KDOR. In January of this year, the City of Derby gave notice of its intentions to appeal the decision. The Kansas Court of Appeals has not yet developed an opinion on the ruling.

The cities of Goddard and Haysville have recently joined the City of Derby in the lawsuit. Both communities also have a municipal sales tax in place.

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