EVERGY KANSAS CENTRAL, INC.

14. TAXES

Effective Income Tax Rates

The Evergy Companies' effective income tax rates reflected in the financial statements are included in the following table.

Evergy's effective income tax rate increased for the three months ended September 30, 2026, compared to the same period in 2025, primarily due to a decrease in the amortization of federal and state excess deferred income taxes (EDIT) relative to pre-tax income.

Evergy Kansas Central's effective income tax rate increased for the three months ended September 30, 2026, compared to the same period in 2025, primarily due to a decrease related to energy production tax credits relative to pre-tax income.

Evergy Metro's effective income tax rate increased for the three months ended September 30, 2026, compared to the same period in 2025, primarily due to a decrease in the amortization of federal and state EDIT and other income tax credits.

Evergy's effective income tax rate increased year to date September 30, 2026, compared to the same period in 2025, primarily due to a decrease in the amortization of federal EDIT relative to pre-tax income.

Evergy Kansas Central's effective income tax rate increased year to date September 30, 2026, compared to the same period in 2025, primarily due to a decrease in the amortization of federal EDIT.

Evergy Metro's effective income tax rate increased year to date September 30, 2026, compared to the same period in 2025, primarily due to a decrease in the amortization of federal EDIT.

Nuclear Production Tax Credits

In 2022, the Inflation Reduction Act (IRA) was signed into law providing a transferable Production Tax Credit (PTC) for electricity produced by existing nuclear power plants. Beginning in 2024, nuclear units, including Wolf Creek, became eligible for a production tax credit through 2032. In October 2026, Evergy Kansas Central and Evergy Metro sold nuclear production tax credits generated in 2025 to a third party and received cash proceeds of $124.2 million. Evergy Kansas Central and Evergy Metro each received $62.1 million. In Kansas, pursuant to nuclear PTC refund riders approved by the KCC, the benefits associated with the nuclear PTCs, including carrying costs, will be returned to customers through monthly bill credits over a three-year period beginning in the first quarter of 2027. In Missouri, Evergy Metro's pending rate case with the MPSC will address the return of its nuclear PTC benefits to customers.