2011 Kentucky Revised Statutes CHAPTER 68 COUNTY FINANCE AND COUNTY TREASURER 68.197 License fees in counties of 30,000 or more -- Exemptions from local fees and taxes -- Regulation of ministers.
KY Rev Stat § 68.197 (1996 through Reg Sess) What's This?
68.197 License fees in counties of 30,000 or more -- Exemptions from local fees and
taxes -- Regulation of ministers.
(1)
(2)
(3)
(4)
The fiscal court of each county having a population of thirty thousand (30,000) or
more may by ordinance impose license fees on franchises, provide for licensing any
business, trade, occupation, or profession, and the using, holding, or exhibiting of
any animal, article, or other thing.
License fees on business, trade, occupation, or profession for revenue purposes,
except those of the common schools, may be imposed at a percentage rate not to
exceed one percent (1%) of:
(a) Salaries, wages, commissions, and other compensation earned by persons
within the county for work done and services performed or rendered in the
county;
(b) The net profits of self-employed individuals, partnerships, professional
associations, or joint ventures resulting from trades, professions, occupations,
businesses, or activities conducted in the county; and
(c) The net profits of corporations resulting from trades, professions, occupations,
businesses, or activities conducted in the county.
In order to reduce administrative costs and minimize paperwork for employers,
employees, and businesses, the fiscal court may provide:
(a) For an annual fixed amount license fee which a person may elect to pay in lieu
of reporting and paying the percentage rate as provided in this subsection on
salaries, wages, commissions, and other compensation earned within the
county for work done and services performed or rendered in the county; and
(b) For an annual fixed amount license fee which an individual, partnership,
professional association, joint venture, or corporation may elect to pay in lieu
of reporting and paying the percentage rate as provided in this subsection on
net profits of businesses, trades, professions, or occupations from activities
conducted in the county.
(a) Licenses imposed for regulatory purposes are not subject to limitations as to
form and amount.
(b) No public service company that pays an ad valorem tax is required to pay a
license tax.
(c) 1.
It is the intent of the General Assembly to continue the exemption from
local license fees and occupational taxes that existed on January 1, 2006,
for providers of multichannel video programming services or
communications services as defined in KRS 136.602 that were taxed
under KRS 136.120 prior to the effective date of this section.
2.
To further this intent, no company providing multichannel video
programming services or communications services as defined in KRS
136.602 shall be required to pay a license tax. If only a portion of an
entity's business is providing multichannel video programming services
including products or services that are related to and provided in support
of the multichannel video programming services or communications
services, this exclusion applies only to that portion of the business that
provides multichannel video programming services or communications
services, including products or services that are related to and provided
in support of the multichannel video programming services or
communications services.
(d) No license tax shall be imposed upon or collected from any insurance
company except as provided in KRS 91A.080, bank, trust company, combined
bank and trust company, combined trust, banking, and title business in this
state, or any savings and loan association whether state or federally chartered,
or in other cases where the county is prohibited by law from imposing a
license fee.
(5) No license fee shall be imposed or collected on income received by members of the
Kentucky National Guard for active duty training, unit training assemblies, and
annual field training, or on income received by precinct workers for election
training or work at election booths in state, county, and local primary, regular, or
special elections, or upon any profits, earnings, or distributions of an investment
fund which would qualify under KRS 154.20-250 to 154.20-284 to the extent any
profits, earnings, or distributions would not be taxable to an individual investor.
(6) Persons who pay a county license fee pursuant to this section and who also pay a
license fee to a city contained in the county may, upon agreement between the
county and the city, credit their city license fee against their county license fee. As
used in this subsection, "city contained in the county" shall include a city that is in
more than one (1) county.
(7) The provisions of subsection (6) of this section notwithstanding, effective with
license fees imposed under the provisions of subsection (1) of this section on or
after July 15, 1986, persons who pay a county license fee and a license fee to a city
contained in the county shall be allowed to credit their city license fee against their
county license fee. As used in this subsection, "city contained in the county" shall
include a city that is in more than one (1) county.
(8) On July 14, 2000, the provisions of subsection (7) of this section notwithstanding,
city license fees not credited against county license fees enacted under this section
or KRS 67.083 as of January 1, 2000, shall not be credited against county license
fees. However, this exception shall not apply to county license fees enacted for the
first time, or increased, on or after January 1, 2000. This provision shall expire July
15, 2002, unless otherwise extended by the General Assembly.
(9) A county that enacted an occupational license fee under the authority of KRS
67.083 shall not be required to reduce its occupational tax rate when it is
determined that the population of the county exceeds thirty thousand (30,000).
(10) Notwithstanding any statute to the contrary:
(a) In those counties where a license fee has been authorized by a public question
approved by the voters, there shall be no credit of a city license fee against a
county license fee except by agreement between the county and the city in
accordance with subsection (6) of this section;
(b)
Notwithstanding any provision of the KRS to the contrary, no taxpayer shall
be refunded or credited for any overpayment of a license tax paid to any
county to the extent the overpayment is attributable to or derives from this
section as it existed at any time subsequent to July 15, 1986, and the taxpayer
seeks a credit for a license tax paid to a city located within such county, if
such refund claim or amended tax return claim was filed or perfected after
November 18, 2004, except by agreement between the city and county in
accordance with subsection (6) of this section;
(c) In those counties where a license fee has been authorized by a public question
approved by the voters, the percentage rate of the license fee in effect on
January 1, 2005, and any maximum salary limit upon which the license fee is
calculated shall remained unchanged for subsequent fiscal years. A percentage
rate higher than the percentage rate in effect on January 1, 2005, or any change
in the maximum salary limit upon which a license fee is calculated shall be
prohibited unless approved by the voters at a public referendum. The
percentage rate of a license fee in such counties shall at no time exceed one
percent (1%). Any question to be placed before the voters as a result of this
paragraph shall be placed on the ballot at a regular election or nominating
primary.
(d) This subsection shall have retroactive application; and
(e) If any provision of this subsection or the application thereof to any person or
circumstance is held invalid, the invalidity shall not affect other provisions or
application of this section that can be given effect without the invalid
provision or application, and to this end the provisions of this subsection are
severable.
(11) Pursuant to this section, no fiscal court shall regulate any aspect of the manner in
which any duly ordained, commissioned, or denominationally licensed minister of
religion may perform his or her duties and activities as a minister of religion. Duly
ordained, commissioned, or denominationally licensed ministers of religion shall be
subject to the same license fees imposed on others in the county on salaries, wages,
commissions, and other compensation earned for work done and services performed
or rendered.
Effective: July 12, 2006
History: Amended 2006 Ky. Acts ch. 168, sec. 2, effective July 12, 2006. -- Amended
2005 Ky. Acts ch. 79, sec. 1, effective March 16, 2005; ch. 167, sec. 2, effective July
1, 2005; and ch. 168, sec. 122, effective January 1, 2006. -- Amended 2003 Ky. Acts
ch. 117, sec. 19, effective June 24, 2003. -- Amended 2002 Ky. Acts ch. 230, sec. 2,
effective July 15, 2002. -- Amended 2000 Ky. Acts ch. 425, sec. 1, effective July 14,
2000. -- Amended 1998 Ky. Acts ch. 509, sec. 2, effective July 15, 1998. -- Amended
1990 Ky. Acts ch. 481, sec. 2, effective July 13, 1990. -- Amended 1986 Ky. Acts
ch. 131, sec. 1, effective July 15, 1986. -- Amended 1978 Ky. Acts ch. 268, sec. 1,
effective June 17, 1978. -- Amended 1976 Ky. Acts ch. 301, sec. 3. -- Amended 1974
Ky. Acts ch. 113, sec. 1. -- Amended 1968 Ky. Acts ch. 152, sec. 40. -- Created 1966
Ky. Acts ch. 263, secs. 1 and 2.
Legislative Research Commission Note (7/12/2006). 2006 Ky. Acts ch.168, sec. 3,
provides that the amendments to KRS 68.197 in 2006 Ky. Acts ch. 168, sec. 2, shall
apply retroactively to August 1, 2005.
Disclaimer: These codes may not be the most recent version. Kentucky may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
