Title XI, Revenue and Taxation

September 1, 2009, and before July 1, 2014. (1) (a) Effective for sales on or after September 1, 2009, and before July 1, 2014, of: 1. New motor vehicles; 2. Dealer demonstrator vehicles; 3. Previous model year motor vehicles; and 4. U-Drive-It motor vehicles that have been trans…

2014. (1) (a) Effective for sales on or after July 1, 2014, of: 1. New motor vehicles; 2. Dealer demonstrator vehicles; 3. Previous model year motor vehicles; and 4. U-Drive-It motor vehicles that have been transferred within one hundred eighty (180) days of being registered as a…

(1) A motor vehicle dealer who operates a service or repair component in his dealership may register a motor vehicle to be used exclusively as a loaner or rental motor vehicle to the customers of this service or repair department. The dealer may pay usage tax on the loaner or ren…

As used in KRS 138.463 and 138.4631, unless the context requires otherwise: (1) "Cabinet" means the Transportation Cabinet; (2) "Rent" and "rental" means a contract, other than a peer-to-peer car sharing program agreement as defined in KRS 281.010 or a car sharing program agreeme…

(1) A holder of a certificate as required under KRS 281.630 to operate as a U-Drive-It as defined in KRS 281.010: (a) May pay the motor vehicle usage tax imposed under KRS 138.460 upon the retail price of the motor vehicle; or (b) May pay the motor vehicle usage tax of six percen…

Drive-It permits and against dealers with loaner motor vehicles for failure or refusal to pay tax. (1) If any holder of a permit under KRS 138.463(2) fails or refuses to file a return or furnish any information requested in writing, the cabinet may, from any information in its po…

(1) The county clerk shall report each Monday to the department all moneys collected during the previous week. (2) The clerk shall deposit motor vehicle and manufactured home usage tax and sales and use tax collections in accordance with KRS 131.155. (3) Failure to deposit or, if…

county clerk. (1) Any person other than a dealer, as defined in KRS 186.010(10), who sells or transfers a motor vehicle in this state shall deliver to the county clerk the certificate of title with the assignment form on the reverse side properly executed and shall transfer the v…

There is expressly exempted from the tax imposed by KRS 138.460: (1) (a) Motor vehicles titled or registered to the United States, or to the Commonwealth of Kentucky or any of its political subdivisions; and (b) The gross rental or lease charges for the rental or lease of a motor…

rent. (1) As used in this section: (a) "Bad debt" has the same meaning as in 26 U.S.C. sec. 166, except that the following shall be excluded: 1. Financing charges or interest; 2. Excise or sales and use taxes charged on the purchase price; 3. Uncollectible amounts on property tha…

(1) As used in this section: (a) "Electric motorcycle" means the same as "motorcycle" or "motor scooter" as defined in KRS 186.010, that is powered by a: 1. Battery or equivalent energy storage device that can be charged with an electric plug using an external electricity source;…

Collection -- Penalties -- Administrative regulations. (1) As used in this section: (a) "Department" means the Department of Revenue; (b) "Distribute" means the delivery or transfer of electric power into the battery or other energy storage device of an electric vehicle at a loca…

diesel fuel -- Exceptions -- Civil penalty. (1) A person shall not sell or deliver untaxed diesel fuel or dyed diesel fuel when the person knows or has reason to know that the fuel will be used in a motor vehicle on any public highway. (2) A person shall not introduce untaxed die…

(1) As used in this section: (a) "Adjusted gross fantasy contest receipts" means the total sum of entry fees collected by a fantasy contest service provider from all fantasy contest participants entering a fantasy contest, less winnings paid to fantasy contest participants in the…

2027) (1) As used in this section: (a) "Consumer" means a: 1. Kentucky resident who purchases an event contract through a prediction market; or 2. Person who is not a Kentucky resident who purchases an event contract through a prediction market while in Kentucky; (b) "Department"…

January 1, 2027) (1) (a) A fantasy contest service provider shall be liable for the payment of the tax levied in KRS 138.505. (b) A prediction market operator shall be liable for the payment of the tax levied in KRS 138.506. (2) Notwithstanding anything in this chapter to the con…

intertrack, and interstate wagering -- Exemptions -- Uses of tax revenue -- Order of disbursements -- Two-day international horse racing event -- International harness racing event. (1) (a) Before August 1, 2022, except as provided in paragraph (e) of this subsection and subsecti…

As used in KRS 138.510 to 138.550: (1) "Advanced deposit account wagering" has the same meaning as in KRS 230.210; (2) "Advanced deposit account wagering license" has the same meaning as in KRS 230.210; (3) "Association" has the same meaning as in KRS 230.210; (4) "Corporation" m…

(1) (a) Beginning August 1, 2014, but before August 1, 2022, an excise tax is imposed on all advance deposit account wagering licensees licensed under KRS 230.260 at a rate of one-half of one percent (0.5%) of all amounts wagered through the licensee by Kentucky residents; and (b…

Records -- Distribution of tax revenue generated under KRS 138.513. (1) The department shall enforce the provisions of and collect the tax and penalties imposed and other payments required by KRS 138.510 to 138.550, and in doing so it shall have the general powers and duties gran…

Any person who violates any provision of KRS 138.510 to 138.530 shall be subject to the uniform civil penalties imposed pursuant to KRS 131.180 and interest at the tax interest rate as defined in KRS 131.010(6).

In addition to all other penalties provided in KRS 138.510 to 138.540: (1) When the pari-mutuel system of betting is operated at a track licensed under KRS Chapter 230, the license may be suspended, revoked, or renewal refused by the corporation upon the failure of the operator t…

- Reporting requirements. (1) As used in this section: (a) "Adjusted gross fixed-odds wagering revenue" means the total sum of wagers collected on all fixed-odds wagers on live horse racing and all combination of bets of multiple individual wagers into one (1) bet that includes o…

As used in KRS 138.660 to 138.7291 and 138.990(13) and (14), unless the context requires otherwise: (1) "Cabinet" means the Transportation Cabinet; (2) "Combined licensed weight" shall mean the greater of: (a) The declared combined maximum gross weight of the vehicle and any towe…

(1) Every motor carrier, excluding charter bus operators registered pursuant to KRS Chapter 281, shall pay a tax at the rate levied in KRS 138.220(1) and (2) on the amount of gasoline and special fuels used in operations on the public highways of this state. (2) In addition to th…

(1) (a) Except as provided in paragraph (b) of this subsection, a license shall be required of each motor carrier or heavy equipment motor carrier subject to the provisions of KRS 138.660 before he or she uses or continues to use the public highways of this state. (b) If the vehi…

(1) If a licensee at any time files a false quarterly report of the information required or fails or refuses to file the quarterly report or to pay the full amount of the tax or violates any other provisions of KRS 138.655 to 138.725, inclusive, without a showing that such failur…

(1) Every licensee shall maintain complete records on all motor vehicles, by type, operating on Kentucky highways, weight and number of axles, mileage records and records of all purchases, use, and other dispositions of gasoline and special fuels. Such records, together with mani…

(1) Every licensee shall file a quarterly tax return and pay any taxes due using the motor carrier portal. The return shall be made under penalty of perjury and shall show such information as the cabinet may require. (2) The licensee shall file the return required under this sect…

(1) Those taxes imposed by subsections (1) and (2) of KRS 138.660 shall be determined as follows: The total number of gallons of gasoline and special fuels used during the taxable period in the licensee's operations on the public highways in Kentucky shall be multiplied by the ta…

(1) Every licensee subject to the tax imposed by subsections (1) and (2) of KRS 138.660 shall be entitled to a credit for each quarterly period beginning on and after July 1, 1980, equivalent to the tax rate levied in KRS 138.220(1) and (2) on gasoline and special fuels purchased…

(1) The cabinet may audit the books and records of each licensee who has at any time since the last audit was made applied for a credit or refund thereunder and make such other investigations as it deems necessary to determine whether the credits or refunds applied for constitute…

(1) The payments due from returns required by KRS 138.685 shall be made by credit card, debit card, or electronic fund transfer for the amount of tax due for the preceding calendar quarter computed as provided in KRS 138.690. (2) A payee shall be required to add to his or her tax…

(1) If any licensee neglects or refuses to make the return or pay the tax at the time provided in KRS 138.685, a penalty of twenty percent (20%) of the tax and interest at the tax interest rate as defined in KRS 131.010(6) from the date when due shall be paid on the tax. (2) If a…

With respect to KRS 138.655 to 138.725, it is unlawful for any person to: (1) Fail to pay the tax imposed; (2) Fail, neglect, or refuse to file any return in the manner or within the time required; (3) Make any false statement or conceal any material fact in any record, return, o…

furnishing information. (1) The Department of Vehicle Regulation shall administer the provisions of KRS 138.655 to 138.725 and 138.990, and may prescribe, adopt and enforce regulations relating to the administration and enforcement thereof. (2) The Department of Vehicle Regulatio…

of Revenue. (1) Nothing in KRS 138.655 to 138.725 shall deny the right of the Department of Revenue to make audits of a taxpayer's records and accounts, even though the same taxpayer may be or should be a motor carrier and subject to investigation by the Department of Vehicle Reg…

Any final ruling of the Department of Vehicle Regulation with regard to the administration of KRS 138.655 to 138.725 shall be appealed to the Board of Tax Appeals pursuant to KRS 49.220.

collection of motor fuel taxes. The Transportation Cabinet may enter into motor fuels tax agreements on behalf of the Commonwealth with authorized representatives of other jurisdictions providing for the collection, refund, or audit of interstate motor fuel taxes. Copies of any a…

The exemptions allowed under KRS 279.200 and KRS 279.530 shall not apply to the taxes levied under this chapter and no refund shall be allowed by reason of the provisions of KRS 279.200 or KRS 279.530.

As used in KRS 138.820 to 138.860: (1) "Contaminated waste materials" means those materials, in solid, liquid or gaseous form, which are transported or buried with radioactive wastes; (2) "Department" means the Department of Revenue; (3) "Person" includes every natural person, fi…

(1) An excise tax of ten cents ($0.10) per pound is hereby levied and shall be paid by the processor to the department upon all contaminated waste materials and all radioactive waste material delivered in the Commonwealth of Kentucky for processing, packaging, storage, disposal, …

Every processor shall maintain complete records of all deliveries of contaminated waste materials and of radioactive waste materials. Such records, together with manifests of lading, invoices, correspondence and other papers pertaining thereto shall be retained for a minimum peri…

The department may audit the books and records of each processor and make such other investigations as it deems necessary to determine the payment of tax and other requirements imposed by KRS 138.820 to 138.860.

The tax returns required by KRS 138.820(3) shall be accompanied by a certified or cashier's check, payable to the state treasurer, for the amount of tax due for the preceding calendar month except that the department may waive this requirement and accept the check of the processo…

The department shall administer the taxes provided under KRS 138.820(1) and may prescribe, adopt and enforce regulations relating to the administration and enforcement thereof.