StateBook International®

The Definitive Site for Site Selection

Regulations & Permits

A state sales tax is levied at the rate of 6% on the purchase or lease price of taxable goods and on utility services. Local sales taxes are not levied in Kentucky. The Kentucky Constitution requires the state to tax all classes of taxable property, and state statutes allow local jurisdictions to tax only a few classes. All locally taxed property is subject to county taxes and school district taxes (either a county school district or an independent school district). Property located inside city limits may also be subject to city property taxes. Property assessments in Kentucky are at 100% fair cash value. Special local taxing jurisdictions (fire protection districts, watershed districts and sanitation districts) levy taxes within their operating areas (usually a small portion of the community or county).

Data Name Value
State Tax Ranks (Kentucky)
Overall 33
Corporate Tax 27
Individual Income Tax 29
Sales Tax 14
Unemployment Insurance Tax 36
Property Tax 47
State Sales Tax Rates (Kentucky)
Sales Tax 6.000%
Are Localities Permitted to Define the Tax Base? No
State Unemployment Insurance Tax Rates (Kentucky)
Minimum 0.6000%
Maximum 9.7500%
Taxable Wage Base $10,200
Most Favorable Schedule - Minimum 0.3000%
Most Favorable Schedule - Maximum 9.0000%
Least Favorable Schedule - Minimum 1.0000%
Least Favorable Schedule - Maximum 10.0000%
State Property & Capital Stock Tax Rates (Kentucky)
Property Tax Collections Per Capita $732
Property Tax Collections - Percentage of Income 1.96%
Capital Stock Tax Rate None
Capital Stock Maximum Payment N/A
Payment Options for CST and CIT N/A
Real Estate Taxes
Median Real Estate Taxes Paid   $1,141
State Income Tax Rates (Kentucky)
Corporate  
≥ $0 4.000%
≥ $50,000 5.000%
≥ $100,000 6.000%
Individual (Ordinary Income)  
≥ $0 2.000%
≥ $3,000 3.000%
≥ $4,000 4.000%
≥ $5,000 5.000%
≥ $8,000 5.800%
≥ $75,000 6.000%