Download as PDF
131.180 Uniform Civil Penalty Act.
The provisions of this section shall be known as the "Uniform Civil Penalty Act."
Penalties to be assessed in accordance with this section shall apply as follows
unless otherwise provided by law:
(1) Any taxpayer who files any return or report after the due date prescribed for
filing or the due date as extended by the department shall, unless it is shown to
the satisfaction of the department that the failure is due to reasonable cause,
pay a penalty equal to two percent (2%) of the total tax due for each thirty (30)
days or fraction thereof that the report or return is late. The total penalty levied
pursuant to this subsection shall not exceed twenty percent (20%) of the total
tax due; however, the penalty shall not be less than ten dollars ($10).
(2) Any taxpayer who fails to withhold or collect any tax as required by law, fails to
pay the tax computed due on a return or report on or before the due date
prescribed for it or the due date as extended by the department or, excluding
underpayments determined pursuant to subsections (2) and (3) of KRS
141.990, fails to have timely paid at least seventy-five percent (75%) of the tax
determined due by the department shall, unless it is shown to the satisfaction
of the department that the failure is due to reasonable cause, pay a penalty
equal to two percent (2%) of the tax not withheld, collected, or timely paid for
each thirty (30) days or fraction thereof that the withholding, collection, or
payment is late. The total penalty levied pursuant to this subsection shall not
exceed twenty percent (20%) of the tax not timely withheld, collected, or paid;
however, the penalty shall not be less than ten dollars ($10).
(3) Any taxpayer who fails to pay any installment of estimated tax by the time
prescribed in KRS 141.044 and 141.305 or who, pursuant to subsections (2) or
(3) of KRS 141.990, is determined to have a declaration underpayment shall,
unless it is shown to the satisfaction of the department that the failure or
underpayment is due to reasonable cause, pay a penalty equal to ten percent
(10%) of the amount of the underpayment or late payment; however, the
penalty shall not be less than twenty-five dollars ($25).
(4) If any taxpayer fails or refuses to make and file a report or return or furnish any
information requested in writing by the department, the department may make
an estimate of the tax due from any information in its possession, assess the
tax at not more than twice the amount estimated to be due, and add a penalty
equal to five percent (5%) of the tax assessed for each thirty (30) days or
fraction thereof that the return or report is not filed. The total penalty levied
pursuant to this subsection shall not exceed fifty percent (50%) of the tax
assessed; however, the penalty shall not be less than one hundred dollars
($100) unless the taxpayer demonstrates that the failure to file was due to
reasonable cause as defined in KRS 131.010(9). This penalty shall be
applicable whether or not any tax is determined to be due on a subsequently
filed return or if the subsequently filed return results in a refund.
(5) If any taxpayer fails or refuses to pay within forty-five (45) days of the due date
any tax assessed by the department which is not protested in accordance with
KRS 131.110, there shall be added a penalty equal to two percent (2%) of the
unpaid tax for each thirty (30) days or fraction thereof that the tax is final, due,
and owing, but not paid.
(6)
(7)
(8)
(9)
(10)
(11)
(12)
(13)
Any taxpayer who fails to obtain any identification number, permit, license, or
other document of authority from the department within the time required by
law shall, unless it is shown to the satisfaction of the department that the failure
is due to reasonable cause, pay a penalty equal to ten percent (10%) of any
cost or fee required to be paid for the identification number, permit, license, or
other document of authority; however, the penalty shall not be less than fifty
dollars ($50).
If any tax assessed by the department is the result of negligence by a taxpayer
or other person, a penalty equal to ten percent (10%) of the tax so assessed
shall be paid by the taxpayer or other person who was negligent.
If any tax assessed by the department is the result of fraud committed by the
taxpayer or other person, a penalty equal to fifty percent (50%) of the tax so
assessed shall be paid by the taxpayer or other person who committed fraud.
If any check tendered to the department is not paid when presented to the
drawee bank for payment, there shall be paid as a penalty by the taxpayer who
tendered the check, upon notice and demand of the department, an amount
equal to ten percent (10%) of the check. The penalty under this section shall
not be less than ten dollars ($10) nor more than one hundred dollars ($100). If
the taxpayer who tendered the check shows to the department's satisfaction
that the failure to honor payment of the check resulted from error by parties
other than the taxpayer, the department shall waive the penalty.
Any person who fails to make any tax report or return or pay any tax within the
time, or in the manner required by law, for which a specific civil penalty is not
provided by law, shall pay a penalty as provided in this section, with interest
from the date due at the tax interest rate as defined in KRS 131.010(6).
The penalties levied pursuant to subsection (5) of this section shall apply to
any tax assessment protested pursuant to KRS 131.110 to the extent that any
appeal of the assessment or portion of it is ruled by the Kentucky Board of Tax
Appeals or, if appealed from, the court of last resort, as not protested,
appealed, or pursued in good faith by the taxpayer.
Nothing in this section shall be construed to prevent the assessment or
collection of more than one (1) of the penalties levied under this section or any
other civil or criminal penalty provided for violation of the law for which
penalties are imposed.
All penalties levied pursuant to this section shall be assessed, collected, and
paid in the same manner as taxes. Any corporate officer or other person who
becomes liable for payment of any tax assessed by the department shall
likewise be liable for all penalties and interest applicable thereto.
Effective:June 20, 2005
History: Amended 2005 Ky. Acts ch. 85, sec. 121, effective June 20, 2005. -Amended 2002 Ky. Acts ch. 366, sec. 14, effective January 1, 2003. -- Amended
1994 Ky. Acts ch. 4, sec. 2, effective July 15, 1994. Amended 1992 Ky. Acts
ch. 403, sec. 2, effective July 14,1992. -- Amended 1982 Ky. Acts ch. 452,
sec. 2, effective July 1, 1982. -- Recodified 1942 Ky. Acts ch. 208, sec. 1,
effective October 1, 1942, from Ky. Stat. sec. 4114h-12.
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.