# Kentucky HB 757: AN ACT relating to revenue measures and declaring an emergency. Kentucky HB 757, AN ACT relating to revenue measures and declaring an emergency., is a 2026 Regular Session House bill sponsored by Jason Petrie (Republican); status became law, last action 2026-04-14 (delivered to Secretary of State (Acts Ch. 161)); PRIA reads it as touching household money (as of 2026-11-01). - Canonical: https://policyrisk.com/state-bill/KY-HB757-2026RS - As of: 2026-11-01 - Plain-text twin of the page above; the HTML and this file carry the same facts. ## Facts - Bill: Kentucky HB 757 - State: Kentucky - Session: 2026 Regular Session - Title: AN ACT relating to revenue measures and declaring an emergency. - Status: became law - Chamber: House - Introduced: 2026-02-25 - Last action: 2026-04-14, delivered to Secretary of State (Acts Ch. 161) - Sponsor: Jason Petrie (Republican) - Cosponsors: 0 - Subjects: Taxation, Taxation, Income--Corporate, Taxation, Income--Individual, Taxation, Inheritance And Estate, Taxation, Property, Taxation, Sales And Use, Taxation, Severance, Technical Corrections, Telecommunications, Tobacco, Vaping, Wills, Trusts, And Estates, Accountants, Advertising, Agriculture, Athletics, Budget And Financial Administration, Business Entities And Organizations, Capital Construction, Cities, Coal, Commerce, County Clerks, Deaths, Economic Development, Education, Finance, Effective Dates, Delayed, Effective Dates, Emergency, Energy, Environment And Conservation, Fees, Funds, Housing, Building, And Construction, Investments, Jails And Jailers, Liens, Local Government, Minerals And Mining, Pollution, Property, Public Buildings And Grounds, Public Utilities, Real Estate, Reports Mandated, Retroactive Legislation, Science And Technology, Small Business, Special Purpose Governmental Entities, State Agencies, Sunset Legislation - Touches household money: yes - Roll calls: 5 (268 yes, 66 no in all) - Economic provisions PRIA read: 99 ## Summary No summary available. ## Bill overview: provisions PRIA read - Tuition waivers expand for adopted students: benefit, high. Students later adopted by relatives gain access to tuition and mandatory-fee waivers at eligible postsecondary institutions. A court must have found the student dependent, neglected, or abused, followed by removal from parental custody. Students must meet the institution's entrance requirements and… - Updated tax credits for historic buildings: benefit, high. For applications received on or after April 30, 2026, certified historic buildings qualify for credits based on rehabilitation costs. The rate is 30% for owner-occupied homes and commercial housing affordable to households earning no more than 80% of median family income; other property gets 20%. P… - Buffalo farms gain sales tax relief: benefit, high. Farmers regularly engaged in farming can make qualifying buffalo-related purchases without Kentucky sales and use tax. Covered buffalo uses include work animals and production of hides, breeding stock, meat, and by-products. Qualifying water, feed, farm chemicals, on-farm facilities, and medicines… - Farms deduct project equipment costs faster: benefit, high. Qualified farms can depreciate certain new buildings and equipment at twice the otherwise allowed rate. The property must be purchased to participate in a qualifying networking project. Total depreciation cannot exceed the taxpayer's basis in the property. This rule applies to tax years beginning b… - Estates get longer inheritance tax deadlines: benefit, medium. For deaths on or after July 1, 2026, required inheritance tax returns and payments are due within 24 months, up from 18. Filing applies when a federal estate return is required and Kentucky-taxable property exists, or assets pass to a taxable beneficiary. Paying within 14 months earns a 5% discount… - Residents face fewer new school taxes: benefit, medium. Starting January 1, 2027, districts without the school taxes covered by these restrictions cannot begin imposing them. Rates of existing covered taxes cannot increase. The law also raises a county population threshold for a school-tax exception from 300,000 to 500,000. That exception allows up to 0… - Residents no longer owe school income excise: benefit, medium. The law repeals the school excise tax on individual income and its return, payment, collection, reporting, and penalty rules. Residents subject to that levy no longer owe it under the repealed provisions. School boards can still agree in writing to levy identical remaining authorized school taxes a… - School personal-property tax rates face ceilings: benefit, medium. Starting with assessment years on or after January 1, 2029, school boards can align personal-property revenue growth with real-property revenue growth. This applies when personal-property revenue growth would otherwise be lower. The personal-property rate cannot exceed either the prior-year rate or… - Voters can challenge local property taxes: benefit, medium. Three local qualified voters can start a challenge to covered property-tax rates within 45 days, or 50 days in qualifying districts primarily located in counties with at least 300,000 people. Petitions need signatures equal to 10% of the last presidential-election vote count; school-board petitions… - Counties get more assessor qualifying exams: benefit, low. If a county has no qualified property valuation administrator candidate before the primary filing deadline, the state must keep holding exams. Exams continue until at least two people are certified for that county. They stop earlier if the date reaches 30 days before regular-election candidate cert… - Counties share local corrections assistance money: benefit, low. The local corrections assistance fund supports county correctional facilities and programs, including prisoner transportation. Each fiscal year, its first $3 million—or the full balance if less—is divided equally among counties. Remaining money is divided by each county's share of the statewide cou… - Election media liability requires deceptive intent: benefit, low. Media outlets and their advertising sales representatives face liability for turning election communications into synthetic media only with deceptive intent. The person must intend to deceive or mislead. A clear and conspicuous disclosure remains an available defense. This narrows liability for tho… - Jail property proceeds stay in canteens: benefit, low. Money from disposing of property bought with a jail canteen account must return to that account. The jailer must report the year's proceeds to the Legislative Research Commission by December 1. The report goes to the legislative appropriations and revenue committee. This does not create a household… - Local voices join gas utility boards: benefit, low. Municipal interlocal gas utilities must include nonmember representatives selected by qualifying county judges/executives and city mayors. Counties and cities qualify through service, infrastructure, existing rights-of-way or easements, or requests for those access rights. These representatives gen… - More funding for county corrections: benefit, low. Beginning in fiscal year 2026–2027, the law directs $4.6302 million to the Local Corrections Assistance Fund, subject to appropriation. The fund distributes money annually to counties for correctional facilities and programs, including prisoner transportation. - More funding for treatment and justice: benefit, low. Beginning in fiscal year 2026–2027, the law directs $16.3835 million to treatment and justice programs, subject to appropriation. It supports treatment in detention facilities, Kentucky Agency for Substance Abuse Policy jail and community programs, and residential treatment for pregnant women. It a… - Out-of-home care gets dedicated funding account: benefit, low. The law creates a restricted State Treasury fund for out-of-home care, administered by the Department for Community Based Services. Money cannot be spent until the General Assembly approves spending. Unspent balances carry forward to the next fiscal year. - Public health gets dedicated funding account: benefit, low. The law creates a restricted State Treasury fund administered by the Kentucky Department for Public Health. It accepts donations, grants, gifts, state appropriations, and federal money. The General Assembly must approve spending before money can be used. Unspent balances carry forward to the next f… - Rehab credits require five-year housing affordability: benefit, low. Commercial housing receiving the 30% historic rehabilitation credit based on affordability must remain affordable for at least five years. The rule covers housing affordable to households earning 80% or less of median family income. The Kentucky Housing Corporation, working with the Kentucky Herita… - Agriculture plates support state farm programs: benefit, low. The law creates the Friends of Kentucky Agriculture fund for programs run by the Kentucky Department of Agriculture. The matching plate sends $10 of its $28 initial fee and $5 of its $23 renewal fee to the fund. The fund also accepts appropriations, gifts, grants, and federal money. Money is limite… - Local gas utilities gain expansion powers: benefit, low. Public agencies working under interlocal agreements can buy or lease property outside their boundaries for natural gas facilities. This covers building, operating, repairing, and maintaining those facilities. Municipal interlocal gas utilities can also build or extend systems to sell gas inside or… - Low-interest infrastructure loans for local governments: benefit, low. The Kentucky Infrastructure Authority administers a new revolving fund offering low-interest loans to local governments. Loans can build, upgrade, renovate, or expand infrastructure the borrower owns, maintains, or operates. Unspent fund money carries forward each year. - Municipal utilities gain limited regulatory exclusions: benefit, low. Cities and municipal interlocal gas utilities are excluded from the utility definition for specified public-utility provisions. The exclusion does not cover every part of Kentucky's public-utility law. This provision does not establish a change in household utility rates. - Water withdrawal fees support river studies: benefit, low. The Kentucky River Authority must use Tier 1 water withdrawal fee revenue for its operations. The money also supports contracted water supply and quality studies. The provision does not state a fee increase or funding amount. - Businesses can count more incentive costs: benefit, low. Approved economic development projects can count lab equipment, servers, software, capitalized leases, and leasehold improvements toward eligible incentive costs. Covered facilities include research and development, headquarters, high-technology, and service-sector operations. For owned projects, t… - Coal exporters get longer refund access: benefit, low. Kentucky coal severers and processors can seek refunds of coal tax paid on coal shipped directly outside the United States. The refund period extends to before July 1, 2028. Annual refunds cover up to 10 million tons shipped outside North America. A separate 2.5 million-ton annual limit covers expo… - Districts gain more revenue spending options: benefit, low. Multicounty economic development districts formed through local agreements can use tax revenue to repay state funds appropriated for district development. They can also invest that revenue in future regional economic development projects. Those future projects must be within a participating local g… - Government data sales remain tax exempt: benefit, low. Data brokering services sold by Kentucky state agencies, counties, cities, and special districts are exempt from sales and use tax. The exemption covers these government sellers, not all data brokering businesses. - Major sports sponsors receive tax incentives: benefit, low. Beginning July 1, 2026, qualifying sports sponsors can receive 100% of Kentucky tax from admissions and related eligible sales, minus vendor compensation. Professional event series must generally last at least three consecutive days and draw 100,000 admissions; minor league events are excluded. The… - New tax credit for historic towers: benefit, low. For tax years beginning in 2027 through 2030, taxpayers get a separate credit for restoring certified historic towers. The building must have at least 25 stories, and qualified restoration costs must exceed $150 million. The credit is the smaller of the regular state percentage calculation or the f… - Nonprofit schools and charities get exemptions: benefit, low. Resident nonprofit schools and charities qualifying under federal Section 501(c)(3) receive sales and use tax exemptions. Covered purchases include tangible property, digital property, and services used solely in Kentucky for their educational or charitable work. Resident single-member companies al… - Older large renovations retain special credits: benefit, low. Certain older historic rehabilitation projects use the credit percentages specified by the updated rehabilitation credit provisions. Projects must be in a consolidated local government or urban-county government and have qualified costs above $15 million. The building must be within one-half mile o… - Premium cigar distributors pay lower tax: benefit, low. Beginning July 1, 2026, premium cigars are taxed at 6% of the distributor's actual selling price, down from 15%. Premium cigars are excluded from the 15% tax on other tobacco products. The tax reduction applies to distributors; it does not guarantee lower retail prices. - Religious groups gain sales tax exemptions: benefit, low. Qualifying resident nonprofit religious institutions receive sales and use tax exemptions for sales made in Kentucky within their religious function. Purchases must be used solely in Kentucky within that function. Eligible groups include institutions with federal nonprofit status and certain wholly… - Tax relief for some data services: benefit, low. Data brokering services fall outside Kentucky's taxable use definition when bought for use outside Kentucky, transferred electronically outside Kentucky, and used solely outside Kentucky. The added taxable-service treatment also excludes receipts from services fulfilling lump-sum, fixed-fee, or fix… - Water withdrawal fees become tax exempt: benefit, low. Kentucky River Authority water withdrawal fees are exempt from state and local taxes. The exemption applies to tax on the fee itself, not to every water-related charge. - Historic property owners face credit penalties: cost, high. Historic property owners owe a penalty equal to 100% of their allowed rehabilitation credit when officials find disqualifying work. Owners also face this penalty when an affordability-based credit's housing requirements are not maintained. The Heritage Council determines work violations; it and the… - Farm networking credits face an end: cost, high. The law limits farm networking project credits to tax years beginning before January 1, 2028. Qualified farms can claim the nonrefundable income tax or limited liability entity tax credit during their first five project years. Annual credits are limited by approved costs and applicable project inco… - Taxi companies lose fuel tax refunds: cost, high. Taxicab companies lose the refund of seven-ninths of Kentucky motor fuel taxes on fuel used for regularly scheduled service. Qualifying bus companies operating under state certificates remain eligible. Senior transportation programs using Title III Older Americans Act funds also remain eligible. - Car buyers lose state interest deduction: cost, medium. You cannot use the federal deduction for qualified passenger vehicle loan interest when calculating Kentucky individual income. This applies when you claim that federal deduction. The supplied provision does not state an effective date or dollar amount. - Homeowners can deduct only main-home interest: cost, medium. For tax years beginning on or after January 1, 2026, Kentucky limits the qualified home-interest deduction to your main home. Only interest paid or accrued on debt used to acquire that home qualifies. You cannot claim the deduction for more than one home. - Workers cannot deduct overtime in Kentucky: cost, medium. You cannot use the federal deduction for qualified overtime pay when calculating Kentucky individual income. Claiming that federal deduction does not give you the same state tax break. The supplied provision does not state an effective date. - Workers cannot deduct tips in Kentucky: cost, medium. You cannot use the federal deduction for qualified tips when calculating Kentucky individual income. The federal tip deduction does not give you the same state tax break. The supplied provision does not state an effective date. - Tobacco sellers face stricter license rules: cost, medium. Covered cigarette, tobacco, and vapor vending operators must get a license costing $25 each year. Products must be subject to the act's specified product tax for this requirement to apply. Applicants with covered tobacco, fraud, false-record, or business-reporting convictions or pleas cannot get th… - Farm tax licenses require regular renewal: cost, medium. Agriculture exemption license numbers expire December 31, 2026, and every four years afterward. They expire sooner when the holder stops the qualifying farm activity. Renewal requires continued eligibility and the required documents. The Department of Revenue can extend the first deadline by up to… - Fantasy contests require participants age 21: cost, low. Participants must be at least 21 to enter fantasy sports contests in Kentucky. The state's general age of majority remains 18. Adults ages 18 through 20 cannot participate in these contests. - Regional gas utilities face household limits: cost, low. A municipal interlocal gas utility generally cannot supply natural gas directly to a home. Direct service remains allowed under the specified statutory exception, at rates and minimum monthly charges set by the Public Service Commission. The interlocal utility can still supply gas to a municipal ut… - Covered services fall under use tax: cost, low. Kentucky's use-tax definition now includes the right to benefit from the listed taxable services. Purchasers using those covered services in Kentucky fall within that definition. Kentucky's sales and use tax rate is 6%. The supplied provision does not list the individual services or state an effect… - Historic credit applicants can face fees: cost, low. The Kentucky Heritage Council can charge a fee to process a historic rehabilitation tax credit application. The fee cannot exceed the actual processing cost. The law does not set a fixed fee. - Payphone tax and service purchase rules: cost, low. Kentucky applies a 6% sales tax to gross receipts from pay telephone service. Providers collect and remit the tax. The law also presumes services provided to Kentucky purchasers are retail purchases for use or consumption in the state. That presumption affects sales and use tax treatment; it does n… - Regional districts can assess workers' pay: cost, low. Regional economic development districts can assess salaries, wages, commissions, and other compensation for work performed within their boundaries. This can reduce affected workers' take-home pay. Each assessment ends at the earliest of three points: 20 years after it starts, retirement of supporte… - Tire buyers face continued two-dollar fee: cost, low. Beginning July 1, 2026, Kentucky continues a $2 retailer fee for each new motor vehicle, trailer, or semitrailer tire. Retailers can pass that fee to buyers. The fee ends July 1, 2034. If passed through, four covered tires carry $8 in fees. - Employers face deadline for hiring credit: cost, low. The $100-per-worker hiring credit is limited to tax years beginning before January 1, 2028. Workers must have been classified as unemployed by the Office of Unemployment Insurance for at least 60 days before hiring. They must stay employed for at least 180 consecutive days during the year the credi… - Tax records reach more legislative reviews: cost, low. The Department of Revenue can share tax information with the Legislative Research Commission for specified purposes. These include reviews involving film tax exemptions, hiring credits, farm credits, High School Equivalency Diploma credits, and coal transportation refunds. The authority expands per… - Tougher penalties for special plate funds: cost, low. Covered people and groups face a Class D felony and a mandatory $5,000 fine for intentional misuse of special plate funds. This includes spending against the stated purpose or on prohibited administrative or personnel costs. Failing to audit these funds carries the same penalties, but only when an… - Kratom businesses face bans and penalties: cost, low. Kratom processors and retailers cannot prepare, manufacture, distribute, dispense, sell, or offer kratom, extracts, or kratom products for sale. Violations carry civil penalties of up to $5,000 for a first offense. The maximum rises to $10,000 for a second or later offense. These are maximum penalt… - County infrastructure projects pay administration fees: cost, low. Projects funded through the coal-producing county or tobacco county economic development infrastructure funds pay a 0.5% administration fee. The Kentucky Infrastructure Authority receives the fee when the project begins. The fee comes from the fund that allocated the project, leaving less money for… - Event sponsors pay state police charges: cost, low. Sponsors of events that are not state-operated must pay for security services provided by the Kentucky State Police. The department must bill sponsors and accept their payments. The provision does not specify a charge amount. - Lobbyist employers pay higher registration fees: cost, low. Employers of executive agency lobbyists pay $750 when filing an updated registration statement, up from $500. The same fee applies to each real party in interest—the party on whose behalf lobbying occurs. This is a $250 increase per covered filing. - State agencies fund Personnel Board operations: cost, low. Executive branch agencies with employees covered by state personnel law pay annual assessments to operate the Personnel Board. The Finance and Administration Cabinet sets and collects the assessments. Each agency's assessment uses its authorized full-time positions on July 1 of each year in the two… - State project transfers face tighter caps: cost, low. State agencies generally cannot transfer more than 5% of a capital project's legislatively authorized amount into its funding account. That limit excludes private or federal funds and transfers required by unforeseen court or regulatory decisions. Ordinary biennial contingency transfers for authori… - Kentucky Access loses designated tax funding: cost, low. The Kentucky Access fund loses a designated source of accident and health premium taxes and retaliatory taxes. The change covers collections above the amounts collected in calendar year 1997. The supplied text identifies no replacement funding source or direct change to household premiums, benefits… - Schools lose some facility funding support: cost, low. The state cannot provide equalization funding for covered school facility tax rates levied on or after January 1, 2026. For covered rates levied earlier, support ends after 20 years or when supported bonds retire, whichever comes first. Remaining support also depends on state finances and General A… - Schools must repay recovered facility aid: cost, low. School districts receiving urgent-needs aid under the covered authorizations must repay the state after later insurance or lawsuit recoveries. The recovered money must concern the original facility. When recoveries are less than the aid, repayment equals those recoveries minus the district's collec… - Captive property trusts lose dividend deduction: cost, low. Beginning January 1, 2018, captive real estate investment trusts cannot deduct dividends paid when calculating Kentucky taxable net income. The restriction applies to trusts meeting the law's captive-ownership requirements. A trust owned by another real estate investment trust is outside this defin… - Corporations lose certain federal tax deductions: cost, low. Corporations must add back certain federal deductions when calculating Kentucky taxable income. These include deductions for qualified film, television, live theater, and sound recording productions. They also include the specified federal interest deduction for payments to qualified lenders on qua… - Direct-use ethanol counts as taxable gasoline: cost, low. Fuel-grade ethanol counts as gasoline when sold for direct motor use or for buyers to blend for their own use. This includes ethanol, cellulosic ethanol, and ethanol flex fuel. Ethanol sold for blending or compounding into commercial gasoline is excluded. The classification brings covered transacti… - Donated-goods refunds exclude religious institutions: cost, low. The law limits donated-goods tax refunds to qualifying educational or charitable institutions; religious institutions are excluded. Eligible groups must routinely sell donated items and provide job training and employment to people with workplace disadvantages and disabilities. They must spend at l… - Estimated tax refunds face tighter rules: cost, low. Kentucky limits when estimated tax payments can be refunded, including payments by corporations and limited liability pass-through entities. A taxpayer or authorized officer must apply on the state's form, and Revenue must find the payment was made in error. Alternatively, a refund is available whe… - Fluorspar businesses face state extraction tax: cost, low. Businesses extracting fluorspar in Kentucky are subject to the state's natural-resource severance tax rules. The provision does not specify the tax rate or resulting bill. - Historic rehabilitation credits face application cutoff: cost, low. The earlier historic rehabilitation credit rules cover only applications received before April 30, 2026. Later applicants must use the separate later-application credit rules to qualify. The law also places the Section 59 rehabilitation credit alongside existing rehabilitation credits in the requir… - More charging sellers face tax duties: cost, low. Anyone receiving payment for power supplied through an electric vehicle charging station is included in the power dealer definition. Newly covered sellers must follow the existing charging-power tax reporting and payment rules. This provision does not state the tax rate or amount owed. - New tax on data brokering services: cost, low. Kentucky charges 6% sales tax on gross receipts from taxable data brokering services. Use or consumption of those services in Kentucky is also subject to 6% use tax on the sales price. - New taxes for contest market operators: cost, low. Beginning January 1, 2027, paid fantasy contest providers owe 12% of entry fees collected minus winnings paid. Prediction market operators owe 14.25% of fees for event contracts bought by Kentucky residents or nonresidents in Kentucky. Both taxes use accrual accounting and are due monthly by the tw… - Payphone providers face expanded tax coverage: cost, low. Public payphone service is included in the communications services covered by the utility gross receipts license tax. This brings those service charges into the defined tax base for providers. The provision does not state a tax rate or require any change in customer prices. - Production businesses lose federal deduction treatment: cost, low. Kentucky adds back federal deductions for qualified film, television, live theater, and sound recording productions. This applies to deductions under federal Section 181. Affected taxpayers must include those deducted amounts in Kentucky adjusted gross income. - Qualified property-loan deductions face state addback: cost, low. Kentucky adds back interest deducted federally under Section 139L for a qualified real estate loan. The interest must concern amounts paid to a qualified lender. Taxpayers claiming that deduction must include it in their Kentucky adjusted gross income. - Regulated utilities pay a higher assessment: cost, low. Utilities regulated by the Kentucky Public Service Commission pay an annual assessment of 0.23%, replacing the former 0.2% maximum rate. The assessment uses the previous calendar year's Kentucky earnings or receipts, with adjustments required by law. Each utility pays at least $50 annually. The com… - Some companies must wait for deductions: cost, low. The ten-year deduction for qualifying combined-reporting tax impacts starts with the first tax year beginning on or after January 1, 2028. The law delays the start from January 1, 2026. It covers specified increases in deferred tax liabilities or decreases in deferred tax assets caused by combined… - Special energy facilities lose tax exemptions: cost, low. Certified fluidized bed energy production facilities lose their state and local property-tax exemption and their sales and use tax exemption. The law also repeals the combustion-technology exemption definitions and certificate authority. For tax years beginning on or after January 1, 2021, these fa… - State ends three development financing programs: cost, low. The law ends three Commonwealth tax increment financing participation programs on the relevant section's effective date. No new applications can be submitted or considered after that date. Previously approved projects keep their existing tax incentive agreements. The Commonwealth cannot approve agr… - New sales tax collection rules for retailers: mixed, medium. Remote retailers must register and collect Kentucky tax when covered sales exceed $100,000 in the current or previous calendar year. Covered sales include physical goods, digital goods, and services supplied to Kentucky buyers. Collection must start by the first day of a calendar month no more than… - Kentucky updates its federal tax baseline: mixed, medium. For tax years beginning on or after January 1, 2026, Kentucky uses the federal tax code dated December 31, 2025. Later federal changes are excluded, except changes extending provisions that were scheduled to end. The effect on state taxes depends on which federal rules apply to each taxpayer. - Cash payments can round five cents: mixed, low. When pennies are unavailable, cash debts to the state, local governments, and school districts must round to the nearest five cents. Cash purchases, sales, and covered lottery, racing, and charitable gaming transactions can use the same rounding, but it is optional. All charges are first calculated… - New tobacco distributor option carries fee: mixed, low. Businesses licensed as unclassified acquirers can also obtain a distributor's license to sell tobacco or vapor products in Kentucky. The added license costs $450 for each year or part of a year. - District businesses face fees and credits: mixed, low. Regional district occupational license fees no longer have to be the only occupational fees that apply there. Businesses can therefore face more than one applicable fee. A person paying both covered city and county license fees can credit the city fee against the county fee. All cities party to the… - Cities keep choices over district boundaries: mixed, low. A regional economic development district cannot include city territory unless the city approves participation by ordinance or resolution. The city keeps its occupational tax authority unless it voluntarily joins and agrees to the district tax. Separately, annexing territory within a district no lon… - Plate fund recipients face spending checks: mixed, low. Covered special plate recipients must keep money separate and use 100% for their stated purpose. Recipients getting at least $200,000 in a fiscal year must pay for an annual audit and submit it to the Transportation Cabinet. Smaller recipients must submit a compliance form. Agencies controlling sta… - National Guard plate fees change recipients: mixed, low. The $5 environmental-fee share of National Guard plate fees goes to the National Guard Association of Kentucky. It no longer goes to the veterans' program trust fund. Total listed plate fees stay $23 initially and $11 for renewal. The Transportation Cabinet must send designated special-plate enviro… - State audits get revised payment rules: mixed, low. The Kentucky Auditor can receive General Fund support for certain statewide audits. Covered systems include personnel and payroll, cash and investments, revenue collection, and state accounting. Entities being examined must pay for other audits, investigations, examinations, and reviews, including… - Certain state labeling requirements end: mixed, low. The law repeals the state labeling requirements in KRS 217.2203, removing those duties for covered businesses. It also repeals related provisions about state regulations and federal rules overriding state requirements. Consumers lose those specific state labeling protections. The supplied text does… - Public vehicle chargers face fees, inspections: mixed, low. Beginning January 1, 2027, public retail vehicle chargers with at least 20 kilowatts of capacity need an Agriculture Department license. Licenses last through January 31 of the following year, and holders pay $100 annually per covered charging port. Fees fund inspections at least every two years, c… - Colleges gain authority to sell assets: mixed, low. Kentucky postsecondary boards can sell property bought partly or fully with capital construction funds, and equipment bought with state money. Within 30 days after a sale, institutions must send detailed accounts to state budget officials and the legislative appropriations committee. Sale proceeds… - Businesses face different research deduction rules: mixed, low. For tax years beginning on or after January 1, 2026, Kentucky adds back federal domestic research deductions under Section 174A. It subtracts deductions under Section 174 as that section stood on December 31, 2024. These rules apply to Kentucky adjusted gross income and corporation income tax. The… - Corporations use fixed interest deduction rules: mixed, low. Corporations must use federal business interest deduction limits as they stood on December 31, 2024, for Kentucky income tax. Later federal amendments do not apply to this calculation. The provision does not establish whether a corporation's deduction increases or decreases. - Film credits continue with public reporting: mixed, low. Companies producing all or part of a motion picture in Kentucky can apply for the refundable sales and use tax credit. Revenue can accept new applications through June 30, 2030, but not on or after July 1, 2030. Beginning November 1, 2026, Revenue must report credit details annually to the legislat… - Loss carryback refunds change interest timing: mixed, low. Income tax refunds from net operating loss carrybacks no longer follow the special interest-timing rule. That rule treated the tax as paid when the refund claim was filed, with interest starting 90 days later. It still applies to net capital loss carrybacks. The change concerns refund interest, not… - Older development projects keep adjusted calculations: mixed, low. Projects approved before January 1, 2023, use a modified income tax revenue calculation for calendar years 2023 through 2048. This calculation applies to tax increment financing, which uses tax revenue to support development. Its multiplier is 1 plus 25% of the difference between 5% divided by that… - Online marketplaces face revised collection threshold: mixed, low. Marketplace providers must register and collect Kentucky tax when combined direct and facilitated Kentucky sales exceed $100,000. Covered sales are delivered, electronically transferred, or provided to Kentucky purchasers. Collection starts no later than the first day of a calendar month within 60… ## Sponsors and cosponsors - Sponsor: Jason Petrie (Republican), House ## Roll call votes | Date | Chamber | Motion | Result | Yes | No | Other | | --- | --- | --- | --- | --- | --- | --- | | 2026-04-14 | House | passed | pass | 66 | 18 | | | 2026-04-14 | Senate | passed | pass | 31 | 5 | | | 2026-04-01 | House | passed | pass | 65 | 25 | | | 2026-04-01 | Senate | passed | pass | 37 | 0 | | | 2026-03-11 | House | 3rd reading, passed | pass | 69 | 18 | | ## Actions (68) - 2026-04-14: delivered to Secretary of State (Acts Ch. 161) - 2026-04-14: enrolled, signed by President of the Senate (House) - 2026-04-14: enrolled, signed by Speaker of the House (House) - 2026-04-14: received in House (House) - 2026-04-14: passed 31-5 (Senate) - 2026-04-14: vetoes overridden (Senate) - 2026-04-14: posted for consideration of Governor's line vetoes - 2026-04-14: to Rules (S) (Senate) - 2026-04-14: received in Senate (Senate) - 2026-04-14: passed 66-18 (House) - 2026-04-14: vetoes overridden (House) - 2026-04-14: posted for consideration of Governor's line vetoes - 2026-04-14: taken from Rules (House) - 2026-04-14: to Rules (H) (House) - 2026-04-14: received in House (House) - 2026-04-13: line items vetoed - 2026-04-02: delivered to Governor - 2026-04-02: enrolled, signed by President of the Senate (House) - 2026-04-02: enrolled, signed by Speaker of the House (House) - 2026-04-01: passed 65-25 (House) - 2026-04-01: Free Conference Committee report adopted in House (House) - 2026-04-01: posted for passage for consideration of Free Conference (House) - 2026-04-01: taken from Rules (House) - 2026-04-01: to Rules (H) (House) - 2026-04-01: received in House (House) - 2026-04-01: passed 34-0 (Senate) - 2026-04-01: Free Conference Committee report adopted in Senate (Senate) - 2026-04-01: posted for passage for consideration of Free Conference Committee Report (House) - 2026-04-01: Free Conference Committee report filed in House and Senate (House) - 2026-04-01: Free Conference Committee appointed in House and Senate (House) - 2026-04-01: Conference Committee report adopted in House and Senate (House) - 2026-04-01: Conference Committee report (1) filed in House and Senate (House) - 2026-04-01: Conference Committee appointed in House and Senate (House) - 2026-04-01: Senate refused to recede from Committee Substitute (1) (Senate) - 2026-04-01: posted for passage for receding from Senate Committee Substitute (1) (Senate) - 2026-04-01: to Rules (S) (Senate) - 2026-04-01: received in Senate (Senate) - 2026-04-01: House refused to concur in Senate Committee Substitute (1) (Senate) - 2026-04-01: posted for passage for concurrence in Senate Committee Substitute (1) (Senate) - 2026-04-01: to Rules (H) (House) - 2026-04-01: received in House (House) - 2026-04-01: passed 37-0 with Committee Substitute (1) (Senate) - 2026-04-01: Floor Amendment (1) withdrawn (Senate) - 2026-04-01: 3rd reading (Senate) - 2026-04-01: posted for passage in the Regular Orders of the Day for Wednesday, April 01 2026 (Senate) - 2026-04-01: reported favorably, to Rules with Floor Amendment (1) and Committee Substitute (1) (Senate) - 2026-03-24: returned to Appropriations & Revenue (S) (Senate) - 2026-03-24: 2nd reading (Senate) - 2026-03-24: taken from Appropriations & Revenue (S) (Senate) - 2026-03-24: floor amendment (1) filed (Senate) - 2026-03-20: returned to Appropriations & Revenue (S) (Senate) - 2026-03-20: 1st reading (Senate) - 2026-03-20: taken from Appropriations & Revenue (S) (Senate) - 2026-03-13: to Appropriations & Revenue (S) (Senate) - 2026-03-12: to Committee on Committees (S) (Senate) - 2026-03-12: received in Senate (Senate) - 2026-03-11: 3rd reading, passed 69-18 with Committee Substitute (1) (House) - 2026-03-10: posted for passage in the Regular Orders of the Day for Wednesday, March 11 2026 (House) - 2026-03-10: floor amendments (6), (7), (8) and (9) filed to Committee Substitute (House) - 2026-03-10: reported favorably, 2nd reading, to Rules with Committee Substitute (1) (House) - 2026-03-09: floor amendments (2), (3), (4) and (5) filed (House) - 2026-03-09: returned to Appropriations & Revenue (H) (House) - 2026-03-09: 1st reading (House) - 2026-03-09: taken from Appropriations & Revenue (H) (House) - 2026-03-04: to Appropriations & Revenue (H) (House) - 2026-03-04: floor amendment (1) filed (House) - 2026-02-25: to Committee on Committees (H) (House) - 2026-02-25: introduced in House (House) ## Bill text - Current, 2026-04-14: [PDF](https://apps.legislature.ky.gov/recorddocuments/bill/26RS/hb757/bill.pdf) - Introduced, 2026-02-25: [PDF](https://apps.legislature.ky.gov/recorddocuments/bill/26RS/hb757/orig_bill.pdf) ## Related bills - HB 869: AN ACT relating to fiscal matters and declaring an emergency. (signed) - SB 197: AN ACT providing funding and establishing conditions for state government agencies and institutions, making an appropriation therefor, and declaring an emergen… (became law) - SB 133: AN ACT relating to the fiscal reporting of local entities. (signed) - HB 826: AN ACT relating to education. (signed) - HB 727: AN ACT relating to education and declaring an emergency. (signed) - SB 324: AN ACT relating to the entertainment industry. (signed) ## Sources - [Current (PDF)](https://apps.legislature.ky.gov/recorddocuments/bill/26RS/hb757/bill.pdf) - [Introduced (PDF)](https://apps.legislature.ky.gov/recorddocuments/bill/26RS/hb757/orig_bill.pdf) ## Related - [HB 869: AN ACT relating to fiscal matters and declaring an emergency.](https://policyrisk.com/state-bill/KY-HB869-2026RS) - [SB 197: AN ACT providing funding and establishing conditions for state government agenc…](https://policyrisk.com/state-bill/KY-SB197-2026RS) - [SB 133: AN ACT relating to the fiscal reporting of local entities.](https://policyrisk.com/state-bill/KY-SB133-2026RS) - [HB 826: AN ACT relating to education.](https://policyrisk.com/state-bill/KY-HB826-2026RS) - [HB 727: AN ACT relating to education and declaring an emergency.](https://policyrisk.com/state-bill/KY-HB727-2026RS) - [SB 324: AN ACT relating to the entertainment industry.](https://policyrisk.com/state-bill/KY-SB324-2026RS) - [Kentucky bills](https://policyrisk.com/states/kentucky/bills) - [Kentucky state hub](https://policyrisk.com/states/kentucky) - [All state legislation](https://policyrisk.com/state-bills) Source: PRIA, https://policyrisk.com/state-bill/KY-HB757-2026RS (as of 2026-11-01).