Refund to bus companies and senior citizen programs -- Bond -- Application -- Audit
KRS 138.446
in effect138.446. Refund to bus companies and senior citizen programs -- Bond -- Application -- Audit
(1) Bus companies operating under a certificate issued pursuant to KRS Chapter 281 and senior citizen programs which utilize Title III funds of the Older A mericans Act in the provision of transportation services shall be entitled to a refund of seven - ninths (7/9) of the amount of KRS Chapter 138 taxes paid on motor fuels used in their regularly scheduled operations in Kentucky.
(2) A person shall not be enti tled to a refund pursuant to this section unless he or she shall have first filed with the department a bond issued by a surety company authorized to do business in Kentucky in an amount of not less than one thousand dollars ($1,000) nor more than five tho usand dollars ($5,000) to be determined by the department, conditioned upon faithful compliance with this section and upon the payment to the Commonwealth of any refunds to which he was not entitled.
(3) Applications for refund shall be filed with the depa rtment on a calendar quarter or calendar year basis on forms and in the manner prescribed by it for refund of tax paid on motor fuel used by buses. Each application for a refund shall show the number of gallons of motor fuel purchased during the quarter fo r use in buses; the date and quantity of each purchase; the vendor from whom the fuel was purchased; the number of gallons on which refund is claimed; and other information the department may require.
(4) The department may require that the dealer keep a c omplete record of all the gasoline sold by him or her, which records shall give the date of each sale, the number of gallons sold, the name of the person to whom sold, and the sale price.
(5) The department shall audit the application and make any other in vestigation it deems necessary to determine whether it constitutes a proper claim. When the department is satisfied that a refund is proper, it shall authorize seven -ninths (7/9) of the amount of the tax paid to be refunded as other refunds are made and th e amount refunded shall be deducted from current motor fuel tax receipts. The tax shall be refunded with interest at the tax interest rate as defined in KRS 131.010.
(6) When the department finds that an application for a refund contains a false or fraudulent statement or that a refund has been fraudulently obtained, the department shall refuse to grant any refunds to the person making the false or fraudulent statement or fraudulently obtaining a refund for a period of two (2) years from the date of the findings.
(7) The department may prescribe, promulgate and enforce administrative regulations relating to the administration and enforcement of this section.
Effective: August 1, 2026
History: Amended 2026 Ky. Acts ch. 161, sec. 96, effective August 1, 2026. -- Amended 2015 Ky. Acts ch. 19, sec. 36, effective June 24, 2015. -- Amended 2005 Ky. Acts ch. 85, sec. 382, effective June 20, 2005. -- Amended 2002 Ky. Acts ch. 274, sec. 12, effective July 15, 2002. -- Amended 1994 Ky. Acts ch. 65, sec. 14, effective J uly 15, 1994. -- Amended 1990 Ky. Acts ch. 98, sec. 14, effective January 1, 1991. -- Amended 1986 Ky. Acts ch. 496, sec. 20, effective August 1, 1986. -- Amended 1984 Ky. Acts ch. 411, sec. 2, effective July 13, 1984. -- Amended 1978 Ky. Acts ch. 208, sec . 1, effective June 17, 1978. -- Amended 1972 Ky. Acts ch. 61, sec. 8. -- Amended 1962 Ky. Acts ch. 203, sec. 10. -- Created 1960 Ky. Acts ch. 186, Art. IV, sec. 9. Formerly codified as KRS 138.662.
Source: Kentucky Legislative Research Commission (legislature.ky.gov)URL: https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=58194Fetched: 10/20/2026