Epithelial K+ channels are essential for maintaining electrolyte and fluid homeostasis in the kidney. It is recognized that basolateral inward-rectifying K+ (Kir) channels play an important role in the control of resting membrane potential and trans-epithelial voltage, thereby modulating water and electrolyte transport in the distal part of nephron and collecting duct. Monomeric Kir4.1 (encoded by Kcnj10 gene) and heteromeric Kir4.1/Kir5.1 (Kir4.1 together with Kir5.1 (Kcnj16)) channels are abundantly expressed at the basolateral membranes of the distal convoluted tubule and the cortical collecting duct cells. Loss-of-function mutations in KCNJ10 cause EAST/SeSAME tubulopathy in humans associated with salt wasting, hypomagnesemia, metabolic alkalosis, and hypokalemia. In contrast, mice lacking Kir5.1 have severe renal phenotype that, apart from hypokalemia, is the opposite of the phenotype seen in EAST/SeSAME syndrome. Experimental advances using genetic animal models provided critical insights into the physiological role of these channels in electrolyte homeostasis and the control of kidney function. Here, we discuss current knowledge about K+ channels at the basolateral membrane of the distal tubules with specific focus on the homomeric Kir4.1 and heteromeric Kir4.1/Kir5.1 channels. Recently identified molecular mechanisms regulating expression and activity of these channels, such as cell acidification, dopamine, insulin and insulin-like growth factor-1, Src family protein tyrosine kinases etc, as well as the role of these channels in NCC-mediated transport in the distal convoluted tubules, are also described.