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PAYMENT, COLLECTION, AND REFUND OF TAXES

KRS tit. XI, ch. 134
in effect

KRS 134.010 Definitions for chapter

134.010. Definitions for chapter As used in this chapter, unless the context requires otherwise: (1) "Certificate of delinquency" means a tax claim on real property for taxes that: (a) Remains unpaid on April 15 under the regular collection schedule, or three (3) full months and fifteen (15) days from the date the taxes were due under an alternative collection schedule as determined under KRS 134.015; and (b) Has been filed with the county clerk pursuant to KRS 134.122; (2) "Chief executive" means the elected head of the executive branch of government in a city or county; (3) "Commissioner" means the commissioner of the department; (4) "County" includes counties, urban-county governments, charter county governments, consolidated local governments, and unified local governments; (5) "Department" means the Department of Revenue; (6) "Governing body of a county" means the elected legislative body of a county; (7) "Omitted property" means property described in KRS 132.290; (8) "Personal property" includes every species and character of property, tangible and intangible, other than real property; (9) "Personal property certificate of delinquency" means a personal property tax claim that: (a) Remains unpaid as of April 15 under the regular collection schedule or three (3) full months and fifteen (15) days from the date the taxes were due under an alternative collection schedule as determined under KRS 134.015; and (b) Has been filed with the county clerk pursuant to KRS 134.122; (10) "Priority certificate of delinquency" means a certificate of delinquency available for sale that relates to a parcel of property against which a third-party purchaser already holds a certificate of delinquency from a prior tax year; (11) "Protected list" means the list submitted to the county clerk by the county attorney of certificates of delinquency not eligible for sale pursuant to KRS 134.504(10); (12) (a) "Property taxes" means the ad valorem taxes due the state, a county, a county school district, or other taxing district; (b) "Property taxes" also includes any other ad valorem taxes imposed by a governmental entity that are included on the same property tax bill as the levies listed in paragraph (a) of this subsection and that the sheriff is responsible for collecting either through a statutory requirement or agreement with a taxing district; (13) "Real property" includes all lands within the state and improvements thereon; (14) "Taxpayer" means the owner of property on the assessment date, or any person otherwise made liable by law for ad valorem taxes attributable to that assessment date; (15) "Tax claim" includes the taxes due on a tax bill, the penalties, costs, fees, interest, commissions, the lien provided in KRS 134.420 and any other expenses that have become or are by reason of the delinquent tax bill proper legal charges imposed by this chapter against the delinquent taxpayer at any given time; and (16) "Third-party purchaser" means a purchaser of a certificate of delinquency. Effective: April 23, 2012 History: Amended 2012 Ky. Acts ch. 161, sec. 1, effective April 23, 2012. -- Amended 2010 Ky. Acts ch. 75, sec. 1, effective April 7, 2010. -- Amended 2009 Ky. Acts ch. 10, sec. 1, effective January 1, 2010. -- Amended 2005 Ky. Acts ch. 85, sec. 248, effective June 20, 2005. -- Amended 2000 Ky. Acts ch. 357, sec. 1, effective July 14, 2000. -- Recodified 1942 Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. secs. 4022, 4114h-1, 4149b-1.

KRS 134.015 Due dates -- Person responsible for payment -- Regular and alternative collection schedules -- Discounts

134.015. Due dates -- Person responsible for payment -- Regular and alternative collection schedules -- Discounts (1) All property taxes are due and payable on or before December 31 of the assessment year except as otherwise provided by law. Payment shall be made to the sheriff as provided in KRS 134.119 unless otherwise provided by law. (2) (a) Any taxpayer who pays the property taxes in full by November 1 of the assessment year shall receive a two percent (2%) discount on the amount otherwise due. (b) Taxes paid in full between November 2 and December 31 of the assessment year shall be paid at the amount reflected on the tax bill without discount or penalty. (c) Taxes paid in full between January 1 and January 31 of the year following the assessment year shall be subject to a penalty of five percent (5%) of the taxes due and unpaid. (d) Taxes paid after January 31 of the year following the assessment year shall be subject to a penalty of ten percent (10%) of the taxes due and unpaid. (3) If the regular collection schedule established by subsections (1) and (2) of this section is delayed, the department may establish an alternative collection schedule. Taxes shall be due two (2) full months from the date the tax bills are mailed. The alternative collection schedule shall allow a two percent (2%) discount for all tax bills paid in full within one (1) full month of the date the tax bills were mailed. Upon expiration of the discount period, the face amount reflected on the tax bill without discount or penalty shall be due for the next full month. Payments made within one (1) month following the face amount period shall be subject to a penalty of five percent (5%) of the taxes due and unpaid. Payments made after the five percent (5%) penalty period shall be subject to a penalty of ten percent (10%) of the taxes due and unpaid. (4) All taxes due under this section and all fees, penalties, and interest thereon are a personal debt of the taxpayer on the assessment date, from the time the tax becomes due until paid. (5) The lien that attaches to property on which taxes have become delinquent under KRS 134.420 shall continue as provided in KRS 134.420, from the time the taxes become delinquent until the taxes are paid or the eleven (11) year period established by KRS 134.420 expires, regardless of who owns the property. (6) A tax bill issued against omitted property, or an increase in valuation over that claimed by the taxpayer, as finally determined upon appeal as provided for in KRS 133.120, shall be due the day the bill is prepared and shall be considered delinquent on that date. If the tax bill is not paid within one (1) full month of the due date, an additional penalty of ten percent (10%) of the tax, fees, penalties, and interest due shall be added to the tax bill. The laws relating to delinquent taxes on the same class of property or taxpayers involved shall apply to delinquent omitted tax bills unless otherwise provided by law. Effective: January 1, 2010 History: Created 2009 Ky. Acts ch. 10, sec. 2, effective January 1, 2010.

KRS 134.119 Sheriff is collector of taxes -- Means of payment -- Penalties -- Sale of personal property -- Compensation of sheriff

134.119. Sheriff is collector of taxes -- Means of payment -- Penalties -- Sale of personal property -- Compensation of sheriff (1) (a) The sheriff shall be the collector of all state, county, county school district, and other taxing district property taxes unless the payment is directed by law to be made to some other person. The sheriff may contract to collect taxes on behalf of cities, independent school districts, or any other governmental unit with the authority to levy a property tax, if the enabling legislation authorizing imposition of the tax permits the governmental unit to contract for the performance of tax collection duties. (b) The provisions of this chapter relating to the collection of property taxes shall apply to other property tax collectors to the extent that the governing body of the city, school district, or taxing district appointing the tax collector has not adopted alternative tax collection processes and procedures. (2) Payment to the sheriff may be provided by any commercially acceptable means. The sheriff may limit the acceptable methods of payment to those that ensure that payment cannot be reversed or nullified due to insufficient funds. (3) (a) 1. The sheriff shall accept payment from the day on which the tax bills are mailed by the sheriff to the taxpayer as provided in KRS 133.220 and 133.230, through the day on which the sheriff files the uncollected tax claims with the county clerk pursuant to KRS 134.122. During this time period, the sheriff may accept full or partial payment for any outstanding taxes or tax claims. 2. a. Any payments received by the sheriff by mail that: i. Are received after the day on which uncollected tax claims are filed with the county clerk pursuant to KRS 134.122; and ii. Have a postmark that reflects a date on or before the day the uncollected tax claims are filed with the county clerk; shall be accepted and processed, and the amount due shall be the amount due immediately before the transfer of the uncollected tax claims by the sheriff to the county clerk. b. Payments described in this subparagraph may be processed as agreed by the sheriff and county clerk. c. Absent an agreement between the sheriff and the county clerk, the payment shall be accepted and processed by the sheriff. d. If the sheriff accepts and processes the payment, the sheriff shall notify the county clerk, and the county clerk shall update his or her records to reflect payment of the certificate of delinquency. e. The sheriff and the county clerk shall reconcile all transactions addressed by this subparagraph by preparation of an addendum to the original reconciliation provided by the sheriff to the county clerk at the time of transfer. The addendum shall be prepared thirty (30) days after the original transfer, and shall be filed by the county clerk in the clerk's order book. (b) All payments received by the sheriff shall be entered immediately by the sheriff on his or her books. Partial payments shall be credited against the total amount due and shall be apportioned by the sheriff among the entities included on the tax bill in the same proportion the amount due to each bears to the amount paid. (c) The acceptance of any payment before the taxpayer's tax liability has been finally determined shall not imply that the payment was the correct amount due and shall not preclude the assessment and collection of additional taxes due or the refund of any part of the amount paid that is in excess of the amount determined to be due. (d) The sheriff may accept payment of any tax or tax claim from any other person on behalf of the taxpayer. Any person making a payment on behalf of a taxpayer may, upon the written notarized request of the taxpayer, be treated as a transferee as provided in KRS 134.121. (e) The sheriff may accept payment of any amount due on a delinquent tax claim from any of the persons described in subparagraphs 1., 2., and 3. of this paragraph without permission of the taxpayer. The person seeking to make the payment shall provide sufficient proof to the sheriff that he or she meets the requirements to pay under this paragraph. The sheriff shall be held harmless if he or she relies upon information provided and accepts payment from a person not qualified to pay under this paragraph. Any person listed in subparagraph 1., 2., or 3. of this paragraph who makes full payment, may, upon written request to the sheriff, be treated as a transferee under KRS 134.121: 1. Any person holding a legal or equitable estate in the real or personal property upon which the delinquent taxes are due, other than a person whose only interest in the property is a lien resulting from ownership of a prior year certificate of delinquency; 2. A tenant or lawful occupant of real property, or a bailee or person in possession of any personal property upon which the delinquent taxes are due; or 3. Any person having a mortgage on real property or a security interest in real or personal property upon which the delinquent taxes are due. (4) If, upon expiration of the five percent (5%) penalty period established by KRS 134.015(2)(c), the real property tax delinquencies of a sheriff exceed fifteen percent (15%) of the amount charged to the sheriff for collection, the department may require the sheriff to make additional reasonable collection efforts. If the sheriff fails to initiate additional reasonable collection efforts within fifteen (15) business days following notification from the department that such efforts shall be made, the department may assume responsibility for collecting the delinquent taxes. If the department assumes the responsibility for collecting delinquent taxes, the department shall receive the amounts that would otherwise be paid to the sheriff as fees or commissions for the collection of tax bills. (5) In collecting delinquent taxes, the sheriff: (a) May distrain and sell personal property owned by a delinquent taxpayer in the amount necessary to satisfy the delinquent tax claim. The sale shall be made under execution for cash. If the personal property of the delinquent taxpayer within the county is not sufficient to satisfy the delinquent tax claim, the sheriff may sell so much of the personal property as is available; and (b) Shall retain any amounts that come into his or her possession payable to a delinquent taxpayer, other than claims allowed for attendance as a witness, and shall apply such amounts to the amount due on the delinquent tax claim. (6) (a) As compensation for collecting property taxes the sheriff shall be paid the following amounts, regardless of whether the amounts are collected by the sheriff prior to filing the tax claims with the county clerk, or by the county clerk after the tax claims become certificates of delinquency or personal property certificates of delinquency: 1. From the Commonwealth the sheriff shall be paid four and one-quarter percent (4.25%) of the amount collected on behalf of the Commonwealth; 2. From counties the sheriff shall be paid four and one-quarter percent (4.25%) of the amount collected on behalf of the counties; 3. The sheriff shall be compensated as provided by law or as negotiated if negotiation is permitted by law, for collecting taxes on behalf of any taxing district; 4. The sheriff shall be compensated as provided in KRS 160.500 for collecting school district taxes; 5. The sheriff shall be compensated as provided in KRS 91A.070 for collecting taxes on behalf of any city; and 6. The sheriff shall be compensated as provided in KRS 75A.050 for collecting taxes on behalf of any consolidated emergency services district. (b) The sheriff shall include the amounts he or she is entitled to under the provisions of paragraph (a) of this subsection as part of the delinquent tax claims filed with the county clerk. The amount so included shall become a part of the certificate of delinquency, and shall be paid by the person paying the certificate of delinquency rather than the taxing jurisdiction for which the taxes were collected. (7) As additional compensation for the collection of delinquent taxes, the sheriff shall be entitled to an amount equal to ten percent (10%) of the total taxes due plus ten percent (10%) of the ten percent (10%) penalty for all delinquent taxes. This fee shall be added to the total amount due, and shall be paid by the person paying the tax claim if payment is made to the sheriff, or the certificate of delinquency or personal property certificate of delinquency if payment is made after the tax claim has been filed with the county clerk. (8) If, in the process of collecting property taxes, the sheriff becomes aware of a new address for a taxpayer, the sheriff shall provide, on a form provided by the department, the information relating to the new address to the property valuation administrator, who shall update his or her records to reflect the new address. Effective: June 29, 2021 History: Amended 2021 Ky. Acts ch. 116, sec. 19, effective June 29, 2021. -- Amended 2010 Ky. Acts ch. 75, sec. 2, effective July 15, 2010. -- Created 2009 Ky. Acts ch. 10, sec. 3, effective January 1, 2010.

KRS 134.121 Transferees -- Rights and obligations

134.121. Transferees -- Rights and obligations (1) (a) Upon receipt of a written request by a person who pays taxes on behalf of another to be treated as a transferee and verification that the request meets the requirements of KRS 134.119(3)(d) or (e), the sheriff shall issue a certificate of transfer in accordance with the provisions of this section. (b) 1. Any person making a request and having taxes paid on his or her behalf under this section; and 2. The heirs and assigns of the person; shall be estopped from claiming any irregularity in the tax or any proceedings related to the tax prior to the time of transfer. (2) The sheriff shall give a certificate of transfer to the person making the payment. The certificate of transfer shall specify the: (a) Sheriff's name; (b) County where the property is located; (c) Address of the property; (d) Amount paid; (e) Name of the person making the payment; (f) Account the payment was credited to; and (g) Person in whose name the property is listed as of January 1. (3) A transferee shall be subrogated to the lien provided for in KRS 134.420, and shall have the same rights and powers of enforcing collection as provided in KRS 134.546(2). (4) The holder of a certificate of transfer shall have the certificate of transfer required by subsection (2) of this section entered on the record of encumbrances on real estate of the county in which the certificate was issued. Failure to enter the certificate of transfer shall result in a loss of the lien upon the property, if the property is transferred in good faith and for valuable consideration before recording and without notice of the existence of the certificate of transfer. The county clerk shall charge a fee pursuant to KRS 64.012 for the recording and release of a certificate of transfer. (5) When a transferee has acquired a certificate of transfer that is for any reason invalid, the state, county, city, or taxing district that received payment shall reimburse the transferee by paying to him or her the amount of principal, interest, penalties, and costs expended by him or her in the purchase. (6) (a) Any person holding a lien upon property covered by a certificate of transfer may, at any time during the life of the certificate if there has been no sale of property for taxes, cancel the certificate by paying to the last recorded owner of the certificate of transfer, or to his or her order, the amount of the certificate and interest, at the tax interest rate established by KRS 131.183 from the date of the certificate. (b) If both real and personal property are covered by one (1) certificate of transfer, the holder of a lien on any item of the property may obtain a cancellation of the lien on the certificate of transfer against the property on which he or she has a lien by paying to the last recorded owner of the certificate of transfer, before a tax sale under a certificate of delinquency, the amount applicable to the personal property included in the tax referred to by the certificate of transfer, plus the pro rata part of the face value of the certificate of transfer applicable to the property on which release is desired, plus interest on the amount of the certificate of transfer at the tax interest rate established by KRS 131.183. (c) If two (2) or more items of property are included in one (1) certificate of transfer, the transferee may release any item or items. The release shall not affect the lien of the certificate of transfer on the remaining items, but shall be a release only to the extent of the amount of taxes applying to the parcel or parcels released. (d) The provisions of law that apply to the rights of the owner of land sold for taxes by the state, county, city, or taxing district shall also apply to the owner's rights under sales of land made to satisfy a certificate of transfer, and the owner of the land or his or her heirs or assigns may redeem the property within the same length of time, and upon the same terms, as are provided by law for redeeming property sold for taxes. Effective: April 7, 2010 History: Amended 2010 Ky. Acts ch. 75, sec. 3, effective April 7, 2010. -- Created 2009 Ky. Acts ch. 10, sec. 5, effective January 1, 2010.

KRS 134.122 Transfer of certificates of delinquency by sheriff to clerk

134.122. Transfer of certificates of delinquency by sheriff to clerk (1) (a) The sheriff shall, on April 15 or three (3) months and fifteen (15) days from the date the taxes were due under an alternative collection schedule, file all tax claims on real and personal property remaining in his or her possession with the county clerk, except that in a consolidated local government the sheriff shall have fourteen (14) working days from the required filing date to file the delinquent tax claims with the county clerk. (b) The content of the information provided by the sheriff to the county clerk shall be determined by the department through the promulgation of an administrative regulation. (c) The county clerk shall acknowledge receipt of the tax claims by providing the sheriff with a receipt in the format required by the department. (d) If the sheriff fails to file the tax claims as required by this subsection, the sheriff shall be liable on his or her bond for the aggregate amount of the tax claims not filed with the clerk. (2) (a) Upon filing with the county clerk, a real property tax claim shall become a certificate of delinquency and a personal property tax claim shall become a personal property certificate of delinquency, and the department, rather than the sheriff, shall be responsible for the collection of all amounts due in accordance with KRS 134.504. (b) Certificates of delinquency and personal property certificates of delinquency filed with the county clerk are owned by the taxing jurisdictions whose taxes are included as part of the certificate of delinquency or personal property certificate of delinquency. (c) The clerk shall accept payment for certificates of delinquency as provided in KRS 134.126 and 134.127. (d) A certificate of delinquency or personal property certificate of delinquency shall include: 1. The face amount of the tax due; 2. The ten percent (10%) penalty as provided in KRS 134.015; and 3. The sheriff's commission and the ten percent (10%) sheriff's add-on as provided in KRS 134.119. (e) The certificate of delinquency or personal property certificate of delinquency shall be prima facie evidence that: 1. The property represented by the certificate of delinquency or personal property certificate of delinquency was subject to the taxes levied thereon, and that the property was assessed as required by law; 2. The tax claim was valid and correct in all respects; and 3. The taxes were not paid any time before the establishment of the certificate of delinquency or personal property certificate of delinquency. (3) If, in the process of collecting property taxes, the county clerk becomes aware of a new address for a taxpayer, the county clerk shall provide, using a form provided by the department, the information relating to the new address to the property valuation administrator, who shall update his or her records to reflect the new address. Effective: April 23, 2012 History: Amended 2012 Ky. Acts ch. 161, sec. 2, effective April 23, 2012. -- Amended 2010 Ky. Acts ch. 75, sec. 4, effective April 7, 2010. -- Created 2009 Ky. Acts ch. 10, sec. 6, effective January 1, 2010.

KRS 134.125 Interest on certificates of delinquency

134.125. Interest on certificates of delinquency (1) A certificate of delinquency or personal property certificate of delinquency shall bear simple interest at twelve percent (12%) per annum. Interest shall initially be calculated based on the base amount established by KRS 134.122(2)(d). Interest shall be calculated in subsequent months on the outstanding balance of the base amount until paid. A fraction of a month shall be counted as an entire month. (2) If a certificate of delinquency is paid by a third-party purchaser, the amount paid by the third-party purchaser shall become the base amount upon which simple interest is initially calculated. Interest shall be calculated in subsequent months on the outstanding balance of the base amount until paid. Effective: April 7, 2010 History: Amended 2010 Ky. Acts ch. 75, sec. 5, effective April 7, 2010. -- Created 2009 Ky. Acts ch. 10, sec. 7, effective January 1, 2010.

KRS 134.126 Duties of the clerk regarding certificates of delinquency -- Fees

134.126. Duties of the clerk regarding certificates of delinquency -- Fees (1) (a) The county clerk shall receive and record payments for all certificates of delinquency and personal property certificates of delinquency filed by the sheriff pursuant to KRS 134.122. (b) The county clerk may accept payment by any commercially acceptable means. The county clerk may limit the acceptable methods of payment to those that ensure that the payment cannot be reversed or nullified due to insufficient funds. (2) The county clerk shall give a receipt to the person making payment. (3) The county clerk shall report by the tenth day of each month to the department, the county treasurer, the sheriff, and the proper officials of the taxing districts. The governing body of a county may require the county clerk to report and pay on a more frequent basis if necessary for bonding requirements; however, the county clerk shall not be required to report and pay more frequently than weekly. (4) The county clerk shall allocate payments among the various entities entitled to a portion of the payment. The county clerk shall, at the time he or she makes the reports required by subsection (3) of this section: (a) Pay to the department for deposit in the State Treasury all moneys received due the state; (b) Pay to the county treasurer all moneys received due the county; (c) Pay to the authorized officers of the taxing districts the amount due each taxing district; and (d) Pay the amount of fees, costs, commissions, and penalties to the persons, agencies, or parties entitled thereto. (5) (a) Upon full payment of a certificate of delinquency or personal property certificate of delinquency owned by the state, county, and taxing districts, the county clerk shall note on the certificate the name and address of the person making the payment, the amount paid, and any other information the department may require. The clerk shall mark the certificate of delinquency or personal property certificate of delinquency paid in full. (b) If payment in full is made by a person other than the person primarily liable on the certificate, the person making the payment may request that the payment be treated as an assignment. Upon such request, the county clerk shall: 1. Note the assignment on the certificate of delinquency or personal property certificate of delinquency; 2. Record the encumbrance represented by the certificate of delinquency in the same manner as a notice of lis pendens; and 3. Include as part of the encumbrance recording the information required by KRS 134.490(3)(e). For recording the assignment and encumbrance, the county clerk shall receive the fee provided in KRS 64.012. (c) If a person other than the person primarily liable on the certificate does not request the payment to be treated as an assignment, he or she shall be treated in the same manner as the person primarily liable on the certificate, and any payment made pursuant to this subsection shall not constitute an assignment of the certificate. The payor shall not be subrogated to the lien of the state, county, and taxing districts as provided in subsection (8) of this section, and shall not be considered a third-party purchaser under the provisions of this chapter, or a transferee under KRS 134.121. (6) After the initial recording of an assignment of a certificate of delinquency or personal property certificate of delinquency as provided in subsection (5)(b) of this section, all subsequent actions relating to that certificate of delinquency or personal property certificate of delinquency, including assignments and releases shall be made in accordance with the general laws and procedures governing land records, except the additional information required by KRS 134.490(3)(e) shall be included. The applicable fees established by KRS 64.012 shall apply. (7) A certificate of delinquency or personal property certificate of delinquency shall be assignable. Failure of an assignee to record the assignment shall render the claim of such person to any real estate represented thereby inferior to the rights of other bona fide purchasers, payors, or creditors. (8) Any person other than the person primarily liable on a certificate who: (a) Pays the certificate of delinquency in full, and who requests to the county clerk that the payment be treated as an assignment pursuant to subsection (5)(b) of this section; or (b) Is the assignee of such a person, if the assignment has been recorded as required by this section or KRS 134.127; shall be subrogated to the lien priority of the state, county, and taxing districts as provided in KRS 134.420, and the amount due may be collectible as provided in KRS 134.546(2). (9) As compensation for collection of payments on certificates of delinquency, personal property certificates of delinquency, and other delinquent taxes, and the processing of delinquent property tax payments, the county clerk shall be paid ten percent (10%) of the amount due each taxing unit for each certificate of delinquency, personal property certificate of delinquency, or other delinquent tax claim. The fee shall be added to the amount of the tax claim and shall be paid by the person paying the tax claim. Effective: April 23, 2012 History: Amended 2012 Ky. Acts ch. 161, sec. 11, effective April 23, 2012. -- Amended 2010 Ky. Acts ch. 75, sec. 15, effective April 7, 2010. -- Created 2009 Ky. Acts ch. 10, sec. 8, effective January 1, 2010.

KRS 134.127 Payment of amount due on certificate of delinquency to the clerk

134.127. Payment of amount due on certificate of delinquency to the clerk (1) (a) The following persons may pay to the county clerk at any time the total amount due on a certificate of delinquency or personal property certificate of delinquency that is owned by the taxing jurisdictions and in the possession of the county clerk. It shall be the responsibility of the person seeking to pay the county clerk to provide sufficient proof to the county clerk that he or she meets the requirements to pay under this paragraph. The county clerk shall be held harmless if he or she relies upon information provided and accepts payment from a person not qualified to pay under this paragraph. The county clerk may also accept partial payments from these persons: 1. The person primarily liable on the certificate of delinquency or personal property certificate of delinquency, or a person paying on behalf of the person primarily liable on the certificate, provided that a person paying on behalf of the person primarily liable on the certificate under this paragraph shall, notwithstanding the provisions of KRS 134.126(5), be treated in the same manner as the person primarily liable on the certificate and shall not be treated as an assignee or a transferee under the provisions of this chapter; and 2. The following persons may pay a certificate of delinquency or personal property certificate of delinquency that relates to the specific property in which he or she has an interest, other than a person whose only interest in the property is an interest resulting from a prior year certificate of delinquency: a. Any person having a legal or equitable estate in real property subject to a certificate of delinquency; b. A tenant or lawful occupant of real property, or a bailee or person in possession of any personal property; or c. Any person having a mortgage on real property or a security interest in real or personal property. Upon full payment of a certificate of delinquency under this subparagraph, KRS 134.126(5), (6), (7), and (8) shall apply regarding the rights and interests of the person making the payment. (b) Any other person may pay the total amount due on a certificate of delinquency that is owned by the taxing jurisdictions and in the possession of the county clerk to the county clerk after ninety (90) days have passed from the filing of the tax claims with the county clerk in accordance with KRS 134.128. (c) 1. Only the persons listed in paragraph (a) of this subsection may pay a personal property certificate of delinquency. Personal property certificates of delinquency shall not be included in any sale conducted under KRS 134.128, and may not be purchased by any third party not specifically listed in paragraph (a) of this subsection. 2. A certificate of delinquency on property of a public service company that is centrally assessed, and that includes personal property and real property on the same certificate of delinquency, shall be treated for all purposes as a certificate of delinquency on real property. (2) The duties of the county clerk with regard to payment of a certificate of delinquency or personal property certificate of delinquency by a person other than the person primarily liable on the certificate, are set forth in KRS 134.126(5) and (6). (3) (a) The delinquent taxpayer or any person having a legal or equitable estate in the property covered by a certificate of delinquency may, at any time, pay the total amount due to a third-party purchaser of a certificate of delinquency. The third-party purchaser may also accept payment from any other person at any time. (b) When full payment for a certificate of delinquency is made to a third-party purchaser, the third-party purchaser shall execute a release of the lien in accordance with the provisions of KRS 382.365. The remedies included in KRS 382.365 shall apply if the third-party purchaser fails to release the lien as provided in KRS 382.365. (c) Any person other than the person primarily liable on a certificate of delinquency who pays a certificate of delinquency to a third-party purchaser may, by paying a fee pursuant to KRS 64.012, have the county clerk record the payment, and the recordation shall constitute an assignment thereof, and KRS 134.126(6) and (8) shall apply. Failure of an assignee to record the assignment shall render the claim of such person to any real estate represented thereby inferior to the rights of other bona fide purchasers, payors, or creditors. (d) If the third-party purchaser fails to release the lien in accordance with the provisions of KRS 382.365, or to surrender the certified copy of the certificate of delinquency to the person making full payment within thirty (30) days after payment has been tendered at the mailing address designated in the notice required by KRS 134.490 or the mailing address of record in the county clerk's office if no notice has been provided as required by KRS 134.490, the person making the payment shall have all of the remedies provided in KRS 382.365. (e) 1. A person entitled to make payment under this section who is having difficulty locating the third-party purchaser of the certificate of delinquency to make payment may send a registered letter addressed to the third-party purchaser of record at the address reflected in the most recent notice received from the third-party purchaser pursuant to KRS 134.490, or if no notice has been received, at the address reflected in the records of the county clerk, indicating a desire to make payment. If the letter is returned by mail unclaimed, or if the third-party purchaser fails to respond in writing within thirty (30) days, the sender may take to the county clerk as proof of mailing the certified mail receipts stamped by the post office showing that the certified letter was mailed to the correct address and the date it was mailed. If the letter was returned, the sender shall also provide the returned letter to the clerk. The sender shall attest under oath that the letter was mailed to the correct address, and if the letter was not returned, the attestation shall also provide that the third- party purchaser did not respond in writing within thirty (30) days of the date the letter was mailed. The department shall develop attestation forms for distribution to the county clerks that include a notice that any false statement made in the attestation shall be punishable by law. The form shall be a public record as defined in KRS 519.010, subject to KRS 519.060(1)(a). The clerks' taking of such testimony shall be an official proceeding under KRS 523.010(3). 2. Upon the acceptance of proof and attestation by the county clerk that the person has failed in his or her attempt to contact the third-party purchaser about making payment, the person may pay the full amount due as reflected in the records maintained by the county clerk plus applicable interest, and the county clerk shall make the necessary assignment or release of the certificate of delinquency. The county clerk shall also discharge any notice filed pursuant to KRS 382.440 or 382.450 as provided in KRS 382.470, except the county clerk shall prepare and record an in-house release executed by the county clerk along with the proof of payment, rather than requiring the signature or writing as required by KRS 382.470. The clerk shall receive a fee pursuant to KRS 64.012 for recording the release. 3. The county clerk shall deposit the money paid in an escrow account for this specific purpose in a bank having its deposits insured with the Federal Deposit Insurance Corporation. The name of the bank in which the money is deposited shall be noted on the certificate of delinquency. The county clerk may maintain one (1) escrow account for all deposits made pursuant to this subparagraph and shall maintain a record reflecting the amount due each owner of a certificate of delinquency. 4. The county clerk may deduct the sum of twenty dollars ($20) as a fee for such service. 5. The county clerk shall mail a copy of the certificate of delinquency by regular mail to the third-party purchaser of record at the address on the certificate of delinquency. 6. If any county clerk fails to pay to the person entitled thereto, upon written demand clearly identified as a demand for payment, the money received in payment of a certificate of delinquency, the county clerk and the county clerk's sureties shall be liable for the amount of the payment and twenty percent (20%) interest thereon annually from the fifteenth day after the time the county clerk received the written demand until paid. (4) Copies of the records provided for in this section and KRS 134.126, when certified by the county clerk, shall be evidence of the facts stated in them in all the courts of this state. Effective: July 14, 2022 History: Amended 2022 Ky. Acts ch. 148, sec. 4, effective July 14, 2022. -- Amended 2012 Ky. Acts ch. 161, sec. 3, effective April 23, 2012. -- Amended 2010 Ky. Acts ch. 75, sec. 6, effective April 7, 2010. -- Created 2009 Ky. Acts ch. 10, sec. 9, effective January 1, 2010.

KRS 134.128 Process for sale of certificate of delinquency by clerks to persons not listed in KRS 134.127(1)(a)

134.128. Process for sale of certificate of delinquency by clerks to persons not listed in KRS 134.127(1)(a) (1) The sale of certificates of delinquency by county clerks to persons other than those listed in KRS 134.127(1)(a) shall be conducted in accordance with the provisions of this section. (2) The department shall promulgate administrative regulations to establish a process for the purchase and sale of certificates of delinquency to third parties. The process developed by the department shall: (a) 1. Establish an annual statewide schedule for the sale of certificates of delinquency in each county. The schedule shall be published on the department's website at least ten (10) days prior to the first sale. The sale in each county shall be administered by the county clerk. 2. The sale in each county shall be scheduled at least ninety (90) days but not more than one hundred thirty-five (135) days after the unpaid tax claims are filed by the sheriff with the county clerk, unless the provisions of subparagraph 3. of this paragraph apply. The department may stagger the schedule so that sales are conducted on different dates and times in different counties. 3. A county clerk who: a. Due to the assessment schedule established by the department, anticipates receiving certificates of delinquency relating to unmined coal, oil, or gas reserves, or any other mineral or energy resources assessed separately from the surface real property pursuant to KRS 132.820 too late to be included in the annual sale scheduled during the timeframes established by subparagraph 2. of this paragraph; and b. Wants to include those certificates in the annual sale for the year in which the certificates of delinquency are created; may submit a request to the department to hold the annual sale for that county up to one hundred ninety -five (195) days after the bulk of the unpaid tax claims are filed by the sheriff with the county clerk in accordance with KRS 134.122; (b) Except as provided in KRS 134.127(1)(a), prohibit the payment of any newly filed certificates of delinquency by a third party prior to the scheduled annual sale of certificates of delinquency for that year for that county; (c) Prohibit the payment of any certificates of del inquency: 1. Involved in bankruptcy litigation in which the county attorney or department has filed a claim; 2. Involved in other litigation initiated by the county attorney or the department, or in which the county attorney or department responds or files a claim; 3. Under a payment plan that has been agreed to by the taxpayer and the county attorney or the department, and on which the payment agreement is in good standing; or 4. Related to property included in a tax delinquency diversion program established under KRS 99.727 and on the protected list required under KRS 134.504(10); (d) Establish a process to be used by county clerks in determining the order in which interested third-party purchasers may select and pay available certificates of delinquency at the annual sale. The process shall, at a minimum: 1. Be uniform in all counties to the extent practicable; 2. Establish a process, if there is more than one (1) purchaser registered to purchase certificates of delinquency at the sale, that allows all interested purchasers an opportunity to purchase certificates of delinquency on an equitable basis. The sale shall not be structured in such a manner to allow one (1) third party to purchase all of the certificates of delinquency if there are other properly registered third parties that are also interested in purchasing certificates of delinquency; 3. Establish fairness for all participants by prohibiting the participation of multiple related entities, or multiple individuals representing related interests as separate entities in the selection process at an annual sale. The department shall define "related entities" and "related interests" as part of the regulatory process; and 4. Establish a process to be used by county clerks in identifying, verifying, and selling priority certificates of delinquency. The process shall: a. Require third-party purchasers to submit a list of priority certificates of delinquency to the county clerk up to ten (10) days before the annual sale so that the clerk may identify and allo cate priority certificates of delinquency to third -party purchasers prior to the annual sale; b. Require that all priority certificates of delinquency allocated to a third-party purchaser prior to the annual sale be removed from the annual sale; c. Allow any third-party purchaser holding a certificate of delinquency on a parcel of property from a prior year to submit a priority list and purchase any priority certificates of delinquency to which the third-party purchaser is entitled, notwithstanding that the third-party purchaser may be related to another third -party purchaser participating in the sale; and d. Give priority to the third-party purchaser holding a certificate of delinquency from the most recent tax year if more than one (1) third party holds an outstanding certificate of delinquency on a parcel of property; (e) Require all potential participants in the sale to register at least one (1) week in advance with the county clerk; (f) Require a review of the list of registered participants, either by t he county clerk or the department, prior to the sale to ensure that: 1. All registered participants seeking to pay multiple certificates of delinquency are properly registered with the department as required by KRS 134.129; and 2. No registered participants or related entities or related interests prohibited from separate participation in the annual sale pursuant to the provisions of paragraph (d)3. of this subsection and the administrative regulations promulgated thereunder have separately registered to participate in the annual sale; (g) Establish advance deposit requirements for registered participants based upon the maximum amount the registered participant may pay for desired certificates of delinquency; (h) Establish a registration fee to be paid to the clerk. The registration fee paid to each county shall not exceed two hundred fifty dollars ($250) annually and may be tiered; (i) Establish payment requirements, which may include nullification of the payment and forfeiture of the advance deposit if a third-party purchaser fails to produce full payment within the specified time; and (j) Establish payment methods. (3) Any person who, in any calendar year: (a) Pays or plans to pay more than five (5) certificates of delinquency statewide; (b) Pays or plans to pay more than three (3) certificates of delinquency in any county; or (c) Invests or plans to invest more than ten thousand dollars ($10,000) in the payment of certificates of delinquency on a statewide basis in any calendar year; shall register with the department annually as provided in KRS 134.129. (4) The department shall be responsible for monitoring the sale of certificates of delinquency. (5) (a) At least thirty (30) but not more than forty-five (45) days before the scheduled sale date, the county clerk shall cause a notice to be published in accordance with the provisions of KRS Chapter 424. The notice shall list by property owner, property address, and if available, parcel number or lot number, all certificates of delinquency available for sale. The notice shall provide the date, time, and location of the sale. In addition, the notice shall list, in a separate section, all personal property certificates of delinquency held by the county clerk. (b) As compensation for advertising the sale, the county clerk shall receive five dollars ($5) for each certificate of delinquency and personal property certificate of delinquency advertised. The fee shall be added to the amount of the certificate of delinquency or personal property certificate of delinquency and shall be paid by the person paying the certificate of delinquency or personal property certificate of delinquency. (c) The cost of placing the advertisement shall be paid by the county. The cost shall be added to the amount of the certificate of delinquency or personal property certificate of delinquency and shall be paid by the person paying the certificate of delinquency or personal property certificate of delinquency. The department shall establish a formula that may be used by counties in allocating the advertising costs among the delinquent tax claims. The formula shall take into account that a percentage of delinquent tax claims remains unpaid. (6) Any certificate of delinquency not paid at the annual sale, not subject to a payment plan with the department or county attorney, and not known to be in litigation may be paid to the county clerk at any time by any person after the sale, provided that: (a) Any person required by KRS 134.129 to register with the department shall hold a current certificate of registration at the time of purchase; (b) Any person not previously registered with the county clerk during the calendar year shall register with the county clerk and shall pay the registration fee established by administrative regulation pursuant to subsection (2)(h) of this section; and (c) Any person previously registered with the county clerk during the calendar year who has not paid the maximum registration fee for that year shall pay the appropriate amount for each certificate of delinquency paid, as established by administrative regulation pursuant to subsection (2)(h) of this section, until the maximum registration has been paid. (7) Any certificate of delinquency received by the county clerk too late to be included in the annual sale in any year shall be retained by the clerk until the next scheduled annual sale. During that time period, the clerk may accept payment on the certificate of delinquency only from those individuals and entities listed in KRS 134.127(1)(a). Effective: June 27, 2025 History: Amended 2025 Ky. Acts ch. 56, sec. 2, effective June 27, 2025. -- Amended 2016 Ky. Acts ch. 127, sec. 11, effective July 15, 2016. -- Amended 2012 Ky. Acts ch. 161, sec. 4, effective April 23, 2012. -- Amended 2010 Ky. Acts ch. 75, sec. 7, effective April 7, 2010. -- Created 2009 Ky. Acts ch. 10, sec. 10, effective January 1, 2010. Legislative Research Commission Note (4/23/2012). The internal numbering of subsection (2)(a) of this statute has been modified by the Reviser of Statutes from the way it appeared in 2012 Ky. Acts ch. 161, sec. 4, under the authority of KRS 7.136(1). The words in the text were not changed. Legislative Research Commission Note (1/1/2010). A reference to "paragraph (d)2." in subsection (2)(f)2. of this statute has been changed in codification to "paragraph (d)3." to correct a manifest oversight during the amendment process. House Committee Amendment 2 to House Bill 262, which became 2009 Ky. Acts ch. 10, inserted a new subparagraph 2. in subsection (2)(d) of this statute and renumbered the subsequent subparagraphs, but did not make the conforming change to the reference in subsection (2)(f)2. This manifest clerical or typographical error has been corrected by the Reviser of Statutes under the authority of KRS 7.136(1).

KRS 134.129 Registration for sale of certificates of delinquency with Department of Revenue

134.129. Registration for sale of certificates of delinquency with Department of Revenue (1) Any person who, in any calendar year: (a) Pays or plans to pay directly, indirectly, or through another or others, more than five (5) certificates of delinquency statewide; (b) Pays or plans to pay directly, indirectly, or through another or others, more than three (3) certificates of delinquency in any county; or (c) Invests or plans to invest directly, indirectly, or through another or others, more than ten thousand dollars ($10,000) in the payment of certificates of delinquency on a statewide basis in any calendar year; shall register with the department annually. (2) The person shall hold a certificate of registration from the department prior to the payment of any certificate of delinquency that results in the person owning more than five (5) certificates of delinquency statewide, more than three (3) certificates of delinquency in any county, or investing more than ten thousand dollars ($10,000) in the payment of certificates of delinquency statewide in a calendar year. (3) The department shall promulgate administrative regulations to establish registration requirements and an application process, which may include the imposition of an administrative fee to offset the cost of processing and reviewing the application. (4) As part of the application process, the department may require that the applicant and any of its directors, officers, members, and managers: (a) Are current and in good standing on all taxes owed to the Commonwealth; (b) Are in good standing with regard to operations under a previously issued certificate of registration; (c) Have not previously operated without obtaining a certificate of registration under this section under circumstances where he or she should have registered; and (d) Have a satisfactory record with the Office of Consumer Protection within the Office of the Attorney General. What constitutes a satisfactory record shall be determined by the department through the promulgation of an administrative regulation. Any applicant failing to meet one (1) or more of these requirements may be denied a certificate of registration. (5) (a) The department may decline to issue a certificate of registration to any applicant who does not meet the requirements established by this chapter and the administrative regulations promulgated thereunder. (b) The department may suspend or revoke a certificate of registration if the person holding the certificate violates the provisions of this chapter or the administrative regulations promulgated thereunder. Effective: April 23, 2012 History: Amended 2012 Ky. Acts ch. 161, sec. 5, effective April 23, 2012. -- Created 2009 Ky. Acts ch. 10, sec. 11, effective January 1, 2010.

KRS 134.131 County clerk to annually provide department with list of certificates of delinquency received from sheriff -- Publication on department's Web site

134.131. County clerk to annually provide department with list of certificates of delinquency received from sheriff -- Publication on department's Web site (1) On or before May 15, 2013, and each May 15 thereafter, each county clerk shall provide or shall arrange to provide to the department a list of all certificates of delinquency received by the county clerk from the sheriff for that year, and that are in the possession of the clerk on the day the information is provided. The list shall include, at a minimum, the property owner name, property address, and parcel number or lot number if available. To the extent possible, the list shall be provided to the department in an electronic format. (2) On or before June 1, 2013, and on or before each June 1 thereafter, the department shall publish on its Internet Web site a consolidated list of certificates of delinquency by county. To the extent possible, within each county, the list shall be in alphabetical order by property owner name, and shall include at a minimum the property owner name, property address, and parcel number or lot number if available. (3) The information required by this section shall be provided by the county clerks and department as a public service. The department, the county clerk, and the employees thereof shall be held harmless regarding the content or any omission relating to information provided. (4) If the tax collection schedule is delayed in any county, that county shall provide the information required by subsection (1) of this section to the department within thirty (30) days of receipt from the sheriff, and the department shall publish the information on its Web site within fifteen (15) days of receipt from the county clerk. Effective: April 23, 2012 History: Created 2012 Ky. Acts ch. 161, sec. 14, effective April 23, 2012.

KRS 134.140 Investment of tax revenues until time of distribution -- Disposition of investment earnings

134.140. Investment of tax revenues until time of distribution -- Disposition of investment earnings (1) The sheriff may invest any tax revenues held in his or her possession from the time of collection until the time of distribution to the proper taxing authorities. Investments by the sheriff shall be restricted to those permitted by KRS 66.480. (2) As part of the monthly distribution of taxes to a district board of education as required by KRS 134.191, the sheriff shall pay to the board of education that part of the investment earnings for the month which are attributable to the investment of school taxes, less an amount not to exceed four percent (4%) of the earned monthly investment income to reimburse the sheriff for the costs of administering the investment. (3) In counties where the sheriff pays fees and commissions collected to the county and the salaries and expenses of the sheriff's office are paid by the county, the sheriff shall pay to the county treasurer the investment earnings, other than those paid to the board of education in compliance with subsection (2) of this section, at the time of his or her monthly distribution of taxes to the county required by KRS 134.191. (4) In those counties where the office of sheriff is funded in whole or in part by fees and commissions, the sheriff may use investment earnings, other than those which must be paid to the board of education in compliance with subsection (2) of this section, to pay lawful expenses of his or her office. Effective: January 1, 2010 History: Amended 2009 Ky. Acts ch. 10, sec. 19, effective January 1, 2010. -- Amended 2002 Ky. Acts ch. 346, sec. 170, effective July 15, 2002. -- Amended 1982 Ky. Acts ch. 57, sec. 2, March 9, 1982. -- Recodified 1942 Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. secs. 4067, 4114h-2, 4129.

KRS 134.160 Office rooms, hours, and books of sheriff

134.160. Office rooms, hours, and books of sheriff (1) The governing body of a county shall provide the sheriff with office space that includes a secure place to keep the records of his or her office. (2) (a) The sheriff shall keep an accurate account of all moneys received and all disbursements made, showing: 1. The amount; 2. The date and time of payment or disbursement; 3. The name of the person making the payment or to whom the disbursement was made; and 4. The account the payment was credited to or the disbursement deducted from. (b) The sheriff shall maintain records that account for separate and distinct appropriations in separate and distinct accounts. (c) The sheriff shall balance all accounts on a monthly basis unless otherwise provided by law. The cost of maintaining records and accounts in whatever form shall be paid for as other county records. (3) All payments received by the sheriff shall be entered immediately by the sheriff on his or her books. The sheriff may provide a receipt specifying the amount and to what account the payment was credited to the person making the payment. (4) The sheriff shall obtain a receipt for all disbursements made by the sheriff. (5) Other than as permitted for investment and expenditures by this chapter, the sheriff shall not apply or use any money received by him or her for any purpose other than that for which the money was paid or collected. (6) The sheriff shall keep all books and accounts in the manner and form required by the department. (7) The books of the sheriff shall be open at all times to the inspection of the Auditor of Public Accounts, the department, the governing body of the county or any member thereof, the governing body of any other taxing district for which the sheriff collects taxes or any member thereof, the Commonwealth's and county attorneys, and any taxpayer or person having any interest therein. Effective: January 1, 2010 History: Amended 2009 Ky. Acts ch. 10, sec. 20, effective January 1, 2010. -- Amended 2005 Ky. Acts ch. 85, sec. 254, effective June 20, 2005. -- Recodified 1942 Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. secs. 4137, 4138, 4139, 4140.

KRS 134.190 Collection of tax from taxpayer about to remove or conceal property -- Payment of delinquent taxes due on property by one holding royalties or payments derived therefrom

134.190. Collection of tax from taxpayer about to remove or conceal property -- Payment of delinquent taxes due on property by one holding royalties or payments derived therefrom (1) A sheriff who believes, on reasonable grounds, that any person from whom a tax is due is about to conceal or remove his property from the state, county or taxing district shall immediately collect the taxes in the manner provided for the collection of taxes, costs and penalties of delinquent taxpayers. (2) Anyone holding royalties or payments derived from property shall, if requested by the Department of Revenue, sheriff, or collector, remit payment for delinquent taxes due on that property. However, the amount remitted shall not exceed the total amount being held. The delinquent tax payment may be deducted from the royalties or payments owed to the property owner. The property tax bill receipt shall be evidence of payment and authorization for deduction. Effective: June 20, 2005 History: Amended 2005 Ky. Acts ch. 85, sec. 255, effective June 20, 2005. -- Amended 1992 Ky. Acts ch. 391, sec. 3, July 14, 1992. -- Recodified 1942 Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. sec. 4148a.

KRS 134.191 Monthly reporting and payment of taxes collected by sheriff

134.191. Monthly reporting and payment of taxes collected by sheriff (1) The sheriff shall provide monthly reports by the tenth day of each month to the chief executive of the county, the department, and any other district for which the sheriff collects taxes. The governing body of the county may require the sheriff to report and pay on a more frequent basis if necessary for bonding requirements; however, the sheriff shall not be required to report and pay more frequently than weekly. (2) The report shall be broken down by governmental entity and shall include the following information for the preceding month or reporting period, if the reporting period is other than monthly: (a) The total amount of taxes collected; (b) The total amount of any fines, forfeitures, or other moneys collected; and (c) The disposition of such revenue or money collected. (3) At the time of making the report, the sheriff shall pay to the county treasurer or other officer designated by the governing body of a county, to the department, and to any other district for which the sheriff collects taxes, all funds belonging to the county, the state, or the district that were collected during the period covered by the report. (4) Any sheriff failing to pay over taxes collected as required by law shall be subject to a penalty of one percent (1%) for each thirty (30) day period or fraction thereof that the payment is not made, plus interest at the tax interest rate provided in KRS 131.183 on such amounts. The governing body of a county, the department, or the other district for which the sheriff collects taxes, in its settlement with the sheriff, shall charge him or her with such penalties and interest. (5) The chief executive of a county, or the commissioner of the department may grant an extension of time, not to exceed fifteen (15) days, for filing the report required by subsection (1) of this section with that entity when good cause exists. The extension shall be in writing and shall be recorded in the office of the county clerk. The extension when granted shall suspend the penalty and interest for the duration of the extension. The penalty and interest shall apply at the expiration of the extension. Effective: January 1, 2010 History: Created 2009 Ky. Acts ch. 10, sec. 21, effective January 1, 2010.

KRS 134.192 Annual settlement of tax collections by sheriff

134.192. Annual settlement of tax collections by sheriff (1) Each sheriff shall annually settle his or her accounts with the department, the county, and any district for which the sheriff collects taxes on or before September 1 of each year. If any sheriff resigns, dies, or otherwise vacates his or her office, the books and records shall be made available to the department, the county, and any other district for which the sheriff collects taxes within thirty (30) days from the date that the office is vacated. The annual settlement of the sheriff shall be audited in accordance with KRS 43.070, 64.810, and 134.193. (2) (a) The department shall conduct the settlement relating to taxes collected for the state. (b) The sheriff shall settle his or her accounts with the county, the school district, and any other taxing district for which he or she collects taxes. On request of the governing body of the county or any other district for which the sheriff collects taxes, the department may conduct the local settlement. If no local settlement has been initiated by July 1 of any year, the department may initiate the local settlement on behalf of the county, the school district, and the taxing districts. Upon completion of the local settlement, the department may receive reasonable reimbursement for expenses incurred. (3) In making his or her settlement with the local governments and the department, the sheriff shall be allowed credit for the uncollected tax claims properly filed with the county clerk's office as required by KRS 134.122. (4) All tax bills on omitted property that were not turned over to the sheriff in time to be collected shall be carried over as a charge against the sheriff as part of the annual settlement. (5) The report of the state and local settlement shall be filed in the county clerk's office and approved by the governing body of the county no later than September 1 of each year. The settlement shall show the amount of ad valorem tax collected for the county, the school district, and all taxing districts, and an itemized statement of the money disbursed to or on behalf of the county, the school district, and all taxing districts. (6) The settlement shall be published pursuant to KRS Chapter 424. (7) On the final settlement, the sheriff shall pay to the county treasurer all money that remains in his or her hands attributable to amounts charged against the sheriff relating to the collection of property taxes, and shall take receipts as provided in KRS 134.160. The sheriff shall pay any additional amounts charged against him or her as a result of the settlements. (8) (a) If the sheriff fails to remit amounts charged against him or her to the appropriate taxing district, the department may issue bills for the subsequent year and may assume all collection duties in the name of and on behalf of the cities, counties, school districts, and other taxing districts. (b) The fees and commissions which the sheriff would have been entitled to receive from the taxing districts shall be paid to the department. (9) No tax bills or tax books shall be delivered to the sheriff during the second or any subsequent calendar year of the sheriff's regular term until the settlement is submitted and approved by the department and the governing body of a county, and until the sheriff's bond is in place, should a bond be required by the fiscal court. (10) If the tax records of a county are destroyed by fire, flood, tornado, or other act of nature, or are lost, stolen, or mutilated so as to require a reassessment of the property in the county or a recertification of the tax bills, the sheriff shall have five (5) months from the time he or she receives the recertified tax bills to make settlement pursuant to this section. (11) In counties containing a population of less than seventy thousand (70,000), the sheriff shall provide to the fiscal court by March 15 of each year a complete statement for the preceding calendar year, which includes: (a) A complete statement of all funds received by his or her office for official services, showing separately the total income received by his or her office for services rendered, exclusive of his or her commissions for collecting taxes, and the total funds received as commissions for collecting state, county, and school taxes; and (b) A complete statement of all expenditures of his or her office, including his or her salary, compensation of deputies and assistants, and reasonable expenses. (12) At the time he or she files the statements required by subsection (11) of this section, the sheriff shall pay to the governing body of the county any fees, commissions, and other income of his or her office, including income from investments, which exceed the sum of his or her maximum salary as permitted by the Constitution and other reasonable expenses, including compensation of deputies and assistants. The settlement for excess fees and commissions and other income shall be subject to correction by audit conducted pursuant to KRS 43.070 or 64.810. The provisions of this subsection shall not be construed to amend KRS 64.820 or 64.830. (13) If a county's population that equaled or exceeded seventy thousand (70,000) is less than seventy thousand (70,000) after the most recent federal decennial census, then the provisions of KRS 64.368 shall apply. Effective: January 1, 2022 History: Amended 2021 Ky. Acts ch. 37, sec. 2, effective January 1, 2022. -- Created 2009 Ky. Acts ch. 10, sec. 22, effective January 1, 2010.

KRS 134.193 Annual sheriff's tax settlement audit -- Requirements

134.193. Annual sheriff's tax settlement audit -- Requirements The annual sheriff's tax settlement audit required by KRS 134.192(1) shall be one (1) audit encompassing the period September 1 to August 31 and the taxes collected on real estate, tangible personal property, unmined coal, oil and gas reserve, other mineral or energy resources, public service corporations, and any other ad valorem collections for which: (1) The collection schedule has been completed; (2) Delinquent tax claims have been filed with the county clerk in accordance with KRS 134.122; and (3) Settlements have been prepared in accordance with KRS 134.192. Effective: January 1, 2022 History: Created 2021 Ky. Acts ch. 37, sec. 1, effective January 1, 2022.

KRS 134.215 Outgoing sheriff -- Delivery of records and unpaid tax bills to successor -- Receipt for unpaid and partially paid tax bills, contents, filing, recording -- Responsibility for collecting and accounting for accounts -- Settlement -- Notice of temporary refusal to accept payment of taxes -- Expense allowance to outgoing sheriff for preparation of receipt

134.215. Outgoing sheriff -- Delivery of records and unpaid tax bills to successor -- Receipt for unpaid and partially paid tax bills, contents, filing, recording -- Responsibility for collecting and accounting for accounts -- Settlement -- Notice of temporary refusal to accept payment of taxes -- Expense allowance to outgoing sheriff for preparation of receipt (1) An outgoing sheriff, as soon as his or her successor has been qualified and inducted into office and his or her official bond approved, shall: (a) Immediately vacate his or her office; (b) Deliver to his or her successor all books, papers, records, and other property held by virtue of his or her office; and (c) Make a complete settlement of his or her accounts as sheriff, as provided in KRS 134.192, except as otherwise provided in this section. (2) (a) All unpaid tax claims and tax claims upon which partial payments have been accepted in the possession of the sheriff upon the date of expiration of his or her term shall be turned over to the incoming sheriff, who shall collect and account for them as provided by law. (b) The outgoing sheriff shall take a receipt from the incoming sheriff for the unpaid and partially paid tax claims. This receipt shall show in detail for each unpaid and for each partially paid tax claim the total amount due each taxing district as reflected on the tax claims. The receipt shall be signed and acknowledged by the incoming sheriff before the county clerk, filed with the county clerk, and recorded in the order book of the county clerk in the manner required by law for recording the official bond of the sheriff. A certified copy of the receipt as recorded in the order book of the county clerk shall be filed with the department. (c) The outgoing sheriff and his or her bondsmen or sureties shall be relieved in the final settlement of his or her accounts of all responsibility for collecting and accounting for the amounts covered by the receipt, and the incoming sheriff shall be charged with full responsibility for collecting and accounting for these amounts as otherwise provided by law for the collection and accounting for taxes. (3) Each outgoing sheriff shall make a final settlement with the department, the fiscal court, and all districts for which his or her office collected taxes by March 15 immediately following the expiration of his or her term of office. The settlement shall address all charges of taxes made against the sheriff and all money received by him or her as sheriff, and shall include all of the information required for the annual settlement pursuant to KRS 134.192. Upon approval of the final settlement, the outgoing sheriff shall deliver these records to the incumbent sheriff. The final settlement of the outgoing sheriff shall be audited as provided in KRS 43.070 and 64.810. (4) (a) For the purpose of establishing an accurate accounting for unpaid and partially paid tax claims, either the outgoing sheriff, the incoming sheriff, or both, may, by giving advance notice by publication pursuant to KRS Chapter 424, refuse to accept payment of ad valorem taxes during any or all of the period from January 1 through January 15. (b) During the transition period from January 1 through January 15, both the incoming and outgoing sheriffs shall have working access to the office facilities and to the records and mail of the sheriff's office relating to the payment, collection, and refund of ad valorem taxes on property. (c) Interest shall not be assessed or collected for the period during which payment of taxes is prohibited under the terms of this section. (5) The outgoing sheriff shall be paid in accordance with KRS 64.140 and 64.530 the reasonable expenses actually incurred in preparing the receipt required under this section. Reasonable expenses actually incurred may include office expenses and salaries of himself or herself, deputies, and employees paid in accordance with the schedule of the previous year or the amount paid an auditor necessary in determining, verifying, and recording the unpaid and partially paid tax claims turned over to the incoming sheriff. Effective: January 1, 2010 History: Amended 2009 Ky. Acts ch. 10, sec. 23, effective January 1, 2010. -- Amended 2005 Ky. Acts ch. 85, sec. 256, effective June 20, 2005. -- Amended 2002 Ky. Acts ch. 71, sec. 7, effective July 15, 2002. -- Amended 1992 Ky. Acts ch. 220, sec. 10, effective January 1, 1994. -- Amended 1978 Ky. Acts ch. 384, sec. 273, effective June 17, 1978. -- Amended 1966 Ky. Acts ch. 239, sec. 136. -- Amended 1952 Ky. Acts ch. 220, sec. 1. -- Created 1950 Ky. Acts ch. 92, sec. 1.

KRS 134.230 Bond to be executed by sheriff -- Liability of sheriff and sureties

134.230. Bond to be executed by sheriff -- Liability of sheriff and sureties (1) (a) The sheriff shall execute a bond annually to the Commonwealth with one (1) or more sufficient sureties in the minimum sum of ten thousand dollars ($10,000), conditioned on the faithful performance of his or her duties and to pay over to the proper person and at the proper time all money collected. The bond shall be executed prior to the sheriff collecting taxes for the year in which the bond is executed. The bond shall be approved by order of the governing body of the county, and shall be filed by the governing body of the county with the county clerk and with the department. (b) The governing body of the county may require the sheriff to enter into an additional bond, with good surety to be approved by the governing body of the county. (2) (a) Subject to the provisions of paragraph (b) of this subsection, the sureties on all bonds executed by the sheriff pursuant to this section shall be jointly and severally liable for any default of the sheriff during the calendar year in which the bond was executed, whether the liability accrues before or after the execution of the bond. (b) Neither the sheriff nor a surety shall be liable for any act or default of the sheriff relating to the sheriff's revenue duties unless notice of the act or default of the sheriff giving rise to a claim upon the bond has been given to the surety by the department, the chief executive of the county, the county attorney, or other person asserting the claim within ninety (90) days after discovery or at the latest within one (1) year after the end of the year within which the bond was executed. (3) (a) Any sheriff who fails to execute a bond as required by this section shall forfeit his or her office. The vacancy shall be filled as provided in KRS 63.220. (b) If the chief executive of the county does not appoint a sheriff as provided in KRS 63.220 within thirty (30) days, the department may appoint a tax collector to collect the moneys due the state. An appointed collector shall execute a bond within ten (10) days of being appointed, in the same manner and under the same conditions as provided in this section for a sheriff. A sheriff who forfeits his or her office under this subsection or who resigns his or her office shall not be appointed as collector under this section. Effective: January 1, 2010 History: Amended 2009 Ky. Acts ch. 10, sec. 24, effective January 1, 2010. -- Amended 1994 Ky. Acts ch. 9, sec. 2, effective July 15, 1994. -- Amended 1990 Ky. Acts ch. 27, sec. 6, effective July 13, 1990; and ch. 183, sec. 1, effective July 13, 1990. -- Amended 1982 Ky. Acts ch. 112, sec. 1, effective July 15, 1982. -- Amended 1978 Ky. Acts ch. 384, sec. 275, effective June 17, 1978. -- Amended 1976 (1st Extra. Sess.) Ky. Acts ch. 20, sec. 6, effective January 2, 1978. -- Amended 1964 Ky. Acts ch. 131, sec. 1. -- Amended 1954 Ky. Acts ch. 145, sec. 1. -- Recodified 1942 Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. sec. 4130, 4134.

KRS 134.420 Lien for taxes

134.420. Lien for taxes (1) The state and each county, city, or other taxing district shall have a lien on the property assessed for taxes due them respectively for eleven (11) years following the date when the taxes become delinquent. (2) This lien shall not be defeated by gift, devise, sale, alienation, or any means except by sale to a bona fide purchaser, but no purchase of property made before final settlement for taxes for a particular assessment date has been made by the sheriff shall preclude the lien covering the taxes. (3) The lien shall include all interest, penalties, fees, commissions, charges, costs, attorney fees, and other expenses as provided by this chapter that have been incurred by reason of delinquency in payment of the tax claim certificate of delinquency, personal property certificate of delinquency, or in the process of collecting any of them, and shall have priority over any other obligation or liability for which the property is liable. (4) The lien of any city, county, or other taxing district shall be of equal rank with that of the state. (5) When any proceeding is instituted to enforce the lien provided in this subsection, it shall continue in force until the matter is judicially terminated. (6) Every city with a population of less than twenty thousand (20,000) based upon the most recent federal decennial census shall file notice of the delinquent tax liens with the county clerk of any county or counties in which the taxpayer's business or residence is located, or in any county in which the taxpayer has an interest in property. The notice shall be recorded in the same manner as notices of lis pendens are filed, and the file shall be designated miscellaneous state and city delinquent and unpaid tax liens. Effective: January 1, 2015 History: Amended 2014 Ky. Acts ch. 92, sec. 217, effective January 1, 2015. -- Amended 2009 Ky. Acts ch. 10, sec. 18, effective January 1, 2010. -- Amended 2007 Ky. Acts ch. 14, sec. 2, effective June 26, 2007. -- Amended 2005 Ky. Acts ch. 85, sec. 272, effective June 20, 2005. -- Amended 2004 Ky. Acts ch. 104, sec. 3, effective July 13, 2004. -- Amended 1998 Ky. Acts ch. 209, sec. 9, effective March 30, 1998. -- Amended 1996 Ky. Acts ch. 344, sec. 9, effective July 15, 1996. -- Amended 1990 Ky. Acts ch. 164, sec. 2, effective July 13, 1990; and repealed and reenacted ch. 476, Pt. V, sec. 349, effective July 13, 1990. -- Amended 1982 Ky. Acts ch. 238, sec. 6, effective July 15, 1982. -- Amended 1978 Ky. Acts ch. 84, sec. 3, effective June 17, 1978. -- Amended 1974 Ky. Acts ch. 319, sec. 1. -- Amended 1962 Ky. Acts ch. 210, sec. 22. -- Recodified 1942 Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. secs. 4021, 4257a-7. Legislative Research Commission Note (7/13/90). The Act amending this section prevails over the repeal and reenactment in House Bill 940, Acts ch. 476, pursuant to Section 653(1) of Acts ch. 476.

KRS 134.421 Apportionment of taxes on real property when one owner does not pay taxes due

134.421. Apportionment of taxes on real property when one owner does not pay taxes due (1) When real property is owned by two (2) or more persons and had been assessed as one (1) tract, and one (1) owner does not pay his or her share of the taxes due, the taxes owed by the owner failing to pay may be paid by any other owner. Any owner who pays the amount due by another owner under this section shall have a lien on the delinquent taxpayer's portion of the real property for the amount paid and may file suit to recover the amount paid. (2) (a) Whenever one (1) tax claim or certificate of delinquency exists on land which is divided both as to ownership and area into two (2) or more tracts, any person or persons owning any of the tracts may, upon ten (10) days' notice given to the owners of the other tracts, make application to the county attorney and to the property valuation administrator of the county for an apportionment of the assessment. (b) The property valuation administrator of the county may make an apportionment of the amount of the encumbrance among the owners of each tract according to the value of their respective interests as shown by the proof introduced by them. (c) Any owner of a tract for which the tax claim or certificate of delinquency was apportioned may have the encumbrance on his or her property released by paying to the sheriff his or her pro rata share of the tax claim or to the county clerk his or her pro rata share of the certificate of delinquency as ascertained by the decision of apportionment. (d) The determination of the property valuation administrator of the county shall be final unless an appeal therefrom to the Circuit Court is prosecuted within sixty (60) days from the issuance of the decision. Effective: January 1, 2010 History: Created 2009 Ky. Acts ch. 10, sec. 17, effective January 1, 2010.

KRS 134.452 Third-party purchaser of certificate of delinquency -- Fees -- Reasonable attorneys' litigation fees -- Collection limitations -- Notice to proper owner -- Legislative findings

134.452. Third-party purchaser of certificate of delinquency -- Fees -- Reasonable attorneys' litigation fees -- Collection limitations -- Notice to proper owner -- Legislative findings (1) Notwithstanding any other provisions of this chapter, a third-party purchaser of a certificate of delinquency shall be entitled to collect only the following prelitigation fees: (a) The amount actually paid for the certificate of delinquency; (b) Interest as provided in KRS 134.125, calculated on the amount actually paid to the county clerk from the date the certificate of delinquency was purchased until paid; and (c) 1. Prelitigation attorneys' fees, which may include amounts incurred for collection efforts and costs related to notification, processing, research, communication, compliance, legal costs, documentation, and similar expenses, from the date the third-party purchaser purchases the certificate of delinquency from the county clerk, to the date on which the notice required by KRS 134.490(2) is mailed by the third-party purchaser. 2. The amount that may be collected by the third-party purchaser as prelitigation attorneys' fees shall be subject to the following limitations: a. i. If the amount paid for a certificate of delinquency is between five dollars ($5) and three hundred fifty dollars ($350), actual reasonable fees incurred up to one hundred percent (100%) of the amount of the certificate of delinquency, not to exceed three hundred fifty dollars ($350); ii. If the amount paid for a certificate of delinquency is between three hundred fifty-one dollars ($351) and seven hundred dollars ($700), actual reasonable fees incurred up to eighty percent (80%) of the amount of the certificate of delinquency, not to exceed five hundred sixty dollars ($560); and iii. If the amount paid for a certificate of delinquency is above seven hundred one dollars ($701), actual reasonable fees incurred up to seventy percent (70%) of the amount of the certificate of delinquency, not to exceed seven hundred dollars ($700); and b. If a third-party purchaser is the owner of more than one (1) certificate of delinquency against the same taxpayer, actual and reasonable prelitigation attorneys' fees for all certificates of delinquency against the same taxpayer shall not exceed one and one-half (1.5) times the maximum amount permitted in subdivision a. of this subparagraph for the largest tax bill owed by the taxpayer. 3. The amounts allowed by subparagraph 2. of this paragraph shall not accrue to the account of the delinquent taxpayer, nor be charged by the third-party purchaser against the delinquent taxpayer all at one (1) time unless the amount of certificate of delinquency is one hundred seventy-five dollars ($175) or less. The third-party purchaser may accrue to the account of the delinquent taxpayer, and charge the delinquent taxpayer an amount equal to the lesser of prelitigation attorney's fees incurred by the third-party purchaser since the prior notice was sent or one hundred seventy-five dollars ($175), for each notice sent to the delinquent taxpayer, provided that: a. The total aggregate amount of prelitigation attorneys' fees that may accrue to the account of the delinquent taxpayer and be charged by the third-party purchaser against the delinquent taxpayer shall not exceed the limitations established by subparagraph 2.a. of this paragraph; and b. Additional fees shall not accrue to the account of the delinquent taxpayer or be charged by the third-party purchaser against the delinquent taxpayer more frequently than every ninety (90) days, regardless of how many notices the third-party purchaser may send. (2) If the delinquent taxpayer and the third-party purchaser enter into a payment agreement, the third-party purchaser may collect the installment payment processing fee authorized by KRS 134.490(5). (3) (a) In addition to the fees established by subsections (1), (2), and (4) of this section, a third-party purchaser may collect actual, reasonable attorneys' fees and costs that arise due to the prosecution of collection remedies or the protection of a certificate of delinquency that is involved in litigation. Fees and costs permitted under this subsection include fees and costs incurred from the first day after the notice required by KRS 134.490(2) is sent through the day any litigation is finally concluded. (b) For purposes of this subsection: 1. Actual attorneys' litigation fees up to two thousand dollars ($2,000) may be reasonable if the fees are based upon documented work performed at a rate commensurate with hourly rates customarily charged by private attorneys in that jurisdiction for similar services. A flat rate, without hours documented for work performed, may be reasonable if the flat fee is determined to be discounted from the usual and customary rates for comparable work; and 2. Any attorneys' litigation fee in excess of two thousand dollars ($2,000) shall be allowed if authorized by the court upon a finding that the third-party purchaser incurred actual attorneys' litigation fees in excess of two thousand dollars ($2,000) and that those attorneys' litigation fees were warranted based upon the complexity of the issues presented in the litigation. (4) The third-party purchaser may collect administrative fees incurred for preparing, recording, and releasing an assignment of the certificate of delinquency in the county clerk's office, not to exceed one hundred fifteen dollars ($115). (5) The General Assembly recognizes that third-party purchasers play an important role in the delinquent tax collection system, allowing taxing districts to receive needed funds on a timely basis. The General Assembly has carefully considered the fees and charges authorized by this section, and has determined that the amounts established are reasonable based on the costs of collection and fees and charges incurred in litigation. (6) A certificate of delinquency owned by a third-party purchaser shall be deemed a general intangible for the purposes of Article 9 of KRS Chapter 355. Effective:June 29, 2017 History: Amended 2017 Ky. Acts ch. 177, sec. 4, effective June 29, 2017. -- Amended 2014 Ky. Acts ch. 71, sec. 6, effective July 15, 2014. -- Amended 2013 Ky. Acts ch. 103, sec. 4, effective June 25, 2013. -- Amended 2012 Ky. Acts ch. 161, sec. 13, effective April 23, 2012. -- Amended 2009 Ky. Acts ch. 10, sec. 14, effective January 1, 2010. -- Created 2007 Ky. Acts ch. 14, sec. 1, effective June 26, 2007. Legislative Research Commission Note (4/23/2012). The internal numbering of subsection (1)(c) of this statute has been modified by the Reviser of Statutes from the way it appeared in 2012 Ky. Acts ch. 161, sec. 13, under the authority of KRS 7.136(1). The words in the text were not changed. Legislative Research Commission Note (4/23/2012). 2012 Ky. Acts ch. 161, sec. 15, provides that this statute, as amended by 2012 Ky. Acts ch. 161, sec. 13, shall apply to certificates of delinquency purchased on or after the effective date of the Act, April 23, 2012.

KRS 134.490 Actions by owner of certificate of delinquency to collect or foreclose certificate -- Notice by third-party purchaser to taxpayer -- Installment payment plans

134.490. Actions by owner of certificate of delinquency to collect or foreclose certificate -- Notice by third-party purchaser to taxpayer -- Installment payment plans (1) (a) Within fifty (50) days after the delivery of a certificate of delinquency by the clerk to a third-party purchaser, the third-party purchaser shall send a notice to the delinquent taxpayer informing the delinquent taxpayer that the certificate of delinquency has been purchased by the third-party purchaser. (b) The third-party purchaser shall send this notice once every six (6) months until the notice required by subsection (2) of this section is sent. (c) The notices included in this subsection shall be sent by certified mail with proof of mailing and include the information required by subsection (3)(d) of this section. A copy of each notice shall be sent to each mortgagee who holds a mortgage on the property that is the subject of the certificate of delinquency. (2) Anytime after the expiration of the one (1) year tolling period established by KRS 134.546, the third-party purchaser may institute an action to collect the amount due on a certificate of delinquency. At least forty-five (45) days before instituting a legal action, the third-party purchaser shall send a notice to the taxpayer and a copy of the notice to each mortgagee who holds a mortgage on the property by certified mail with proof of mailing. The notice shall: (a) Inform the taxpayer that enforcement action will be taken; (b) Include a statement advising the taxpayer that substantial additional administrative costs and fees associated with collection in addition to the amount due on the certificate of delinquency may be imposed and that collection actions may include foreclosure; and (c) Include the information required by subsection (3) of this section. The notice shall be in addition to any notice sent under subsection (1) of this section. (3) (a) 1. For certificates of delinquency for all property except property described in paragraph (b) of this subsection, third-party purchasers or their designees shall obtain from the office of the property valuation administrator of the county in which the real property is located the most recent address for the property owner. 2. To obtain information from the office of the property valuation administrator, the third-party purchaser shall, at the option of the property valuation administrator, either: a. Obtain information from an up-to-date public access list or website offered by the property valuation administrator; or b. Submit a list of addresses, map identification numbers, or parcel numbers for which updated information is requested to the property valuation administrator, who shall update his or her records with regard to the properties for which information is requested and provide the updated information to the third-party purchaser within ten (10) days. 3. For this service, the property valuation administrator may charge a fee not to exceed two dollars ($2) for each address provided or obtained. 4. Except as provided in paragraph (b) of this subsection, the third-party purchaser shall send the notices required by subsections (1) and (2) of this section to the address provided by the property valuation administrator. Unless the provisions of subparagraph 7. of this paragraph apply, the third-party purchaser shall not be required to send a notice to any party other than the owner of record as provided by the property valuation administrator at the time the notice is sent and the mortgagee as required by subsections (1) and (2) of this section. 5. If, due to insufficient staffing, the property valuation administrator is unable to provide the requested information to the third-party purchaser within ten (10) days of submission, the property valuation administrator shall immediately notify the third-party purchaser, and the third-party purchaser may send the notices required by subsections (1) and (2) of this section to the address reflected in the public records of the property valuation administrator. 6. Any notices sent pursuant to information obtained under this paragraph that are returned as undeliverable shall be re-sent by certified mail with proof of mailing addressed to the "Occupant" at the address of the property that is the subject of the certificate of delinquency. These notices shall be sent within twenty (20) days of receipt of the returned notice. 7. If a third-party purchaser becomes aware of a more recent or more accurate address for a delinquent taxpayer that is different from the address reflected in the records of the property valuation administrator, the third-party purchaser shall send notices to the updated address in the manner required by this subsection, and shall notify the property valuation administrator of the updated address. 8. If a third-party purchaser receives an address from the property valuation administrator during an address check after a first notice is sent and returned as undeliverable, and the address is the same as was originally provided, the third-party purchaser shall send the notice addressed to "Occupant" at the address of the property that is the subject of the certificate of delinquency in the manner required by this subsection. (b) 1. For certificates of delinquency relating to unmined coal, oil or gas reserves, or any other mineral or energy resources assessed separately from the surface real property pursuant to KRS 132.820, third-party purchasers or their designees shall obtain from the department the most recent address for the property owner. 2. To obtain information about a particular property, the third-party purchaser shall submit to the department a list of addresses, map identification numbers, parcel numbers, and any other information the department may require. The department shall: a. Update its records with regard to the properties for which information is requested; and b. Provide the updated information to the third -party purchaser within ten (10) business days. 3. For this service, the department may charge a fee not to exceed two dollars ($2) for each address provided. 4. The third-party purchaser shall send the notices required by subsections (1) and (2) of this section relating to unmined coal, oil or gas reserves, or any other mineral or energy resources assessed separately from the surface real property pursuant to KRS 132.820 to the address provided by the department. Unless the provisions of subparagraph 5.f. of this paragraph apply, the third-party purchaser shall not be required to send a notice to any party other than the owner of record as provided by the department at the time the notice is sent and the mortgagee as required by subsections (1) and (2) of this section. 5. a. Any notice sent pursuant to subsections (1) and (2) of this section based on information obtained pursuant to this paragraph and returned as undeliverable shall be submitted to the department within ten (10) days of receipt of the returned notice. b. The department shall attempt to obtain an updated address for the owner of the property subject to the certificate of delinquency from the individual or entity filing the property tax return for the property. c. The individual or entity filing the property tax return shall provi de an address of the property owner upon request of the department. d. The department shall provide any updated address information to the third-party purchaser. e. If updated information is provided, the notices shall be re -sent by certified mail with proof of mailing to the updated address of the owner within ten (10) days of the receipt of the updated information from the department. f. If a third-party purchaser becomes aware of a more recent or more accurate address for a delinquent taxpayer that is di fferent from the address reflected in the records of the department, the third -party purchaser shall send notices to the updated address in the manner required by this subsection, and shall notify the department of the updated address. (c) The third-party purchaser shall maintain complete and accurate records of all notices sent pursuant to this section. (d) The notices required by this section shall include the following information: 1. A statement that the certificate of delinquency is a lien of record against the property for which delinquent taxes are owed; 2. A statement that the certificate bears interest at the rate provided in KRS 134.125; 3. A statement that if the certificate is not paid, it will be subject to collection as provided by law, and that collection actions may include foreclosure. The notice required by subsection (2) of this section shall also include a statement of the intent to institute legal action to collect the amount due; 4. A complete listing of the amount due, as of the date of the notice, broken down as follows: a. The purchase price of the certificate of delinquency; b. Interest accrued subsequent to the purchase of the certificate of delinquency; and c. Fees imposed by the third-party purchaser; 5. If the third-party purchaser is required to register with the department as provided in KRS 134.128(3), for certificates of delinque ncy purchased after June 1, 2012, a statement informing the taxpayer that upon written request and the payment of a processing fee, the third -party purchaser will offer a payment plan; and 6. Information, in a format and with content as determined by the department, detailing the provisions of the law relating to third -party purchaser fees and charges. (e) In addition, the notice shall provide the following information to the taxpayer: 1. The legal name of the third -party purchaser; 2. The third-party purchaser's physical address; 3. The third-party purchaser's mailing address for payments, if different from the physical address; and 4. The third-party purchaser's telephone number. If the information required by this paragraph changes, the third -party purchaser shall, within thirty (30) days of the change becoming effective, send a notice to each taxpayer by certified mail with proof of mailing with the corrected information. The third -party purchaser shall also update contact information included in the rec ords of the county clerk within ten (10) days of the change becoming effective. Failure to send the original notice or any correction notices shall result in the suspension of the accrual of all interest and any fees incurred by the third-party purchaser after that date until proper notice is given as required by this subsection. (4) If a person entitled to pay a certificate of delinquency to a third -party purchaser makes payment on the certificate of delinquency to the county clerk under the conditions described in KRS 134.127(3)(d), the payment shall constitute payment in full, and no other amounts may be collected by the third -party purchaser from the person. (5) (a) For certificates of delinquency purchased after June 1, 2012, at the written request of a delinquent taxpayer, a third-party purchaser required to register with the department as provided in KRS 134.128(3) shall provide a monthly installment payment plan to a taxpayer. (b) The taxpayer and third-party purchaser shall sign an agreement detailing the terms of the installment payment plan. (c) The third-party purchaser may impose a processing fee, not to exceed eight dollars ($8) per month to offset the administrative cost of providing the payment plan. No other fees, charges, interest, or other amounts not expressly authorized by this chapter shall be charged, assessed, or collected by the third- party purchaser. (d) The existence of an agreement to provide a payment plan shall not impact the right of the third-party purchaser to pursue legal action if the delinquent taxpayer fails to follow the terms of the installment payment agreement. (e) Upon default of a delinquent taxpayer: 1. The third-party purchaser shall retain all amounts paid, which shall be applied to the outstanding balance due; and 2. The third-party purchaser shall not be required to offer the delinquent taxpayer another opportunity for an installment payment plan. (f) If a third-party purchaser who was required to offer payment plans pursuant to paragraph (a) of this subsection, subsequently does not purchase a sufficient number of certificates of delinquency to require registration with the department, the third-party purchaser shall continue to offer payment plans under the conditions established by this subsection for all delinque nt taxpayers whose certificates of delinquency were purchased during a period in which the third-party purchaser was required to register with the department. (g) A third-party purchaser who is not required to register with the department as provided in KRS 134.128(3), or who holds certificates of delinquency purchased prior to June 1, 2012, may voluntarily offer installment payment plans to delinquent taxpayers in accordance with the provisions of this subsection. (h) The department may establish additional terms and conditions for installment payment plans in an administrative regulation. (6) Any person to whom a third-party purchaser transfers or assigns a certifi cate of delinquency shall be considered a third-party purchaser under this chapter. Effective: July 15, 2026 History: Amended 2026 Ky. Acts ch. 161, sec. 36, effective July 15, 2026. -- Amended 2022 Ky. Acts ch. 212, sec. 65, effective July 14, 2022. -- Amended 2012 Ky. Acts ch. 161, sec. 6, effective April 23, 2012. -- Amended 2010 Ky. Acts ch. 75, sec. 8, effective April 7, 2010. -- Amended 2009 Ky. Acts ch. 10, sec. 15, effective January 1, 2010. -- Amended 2007 Ky. Acts ch. 14, sec. 5, effective June 26, 2007. -- Amended 1998 Ky. Acts ch. 209, sec. 15, effective March 30, 1998. -- Amended 1994 Ky. Acts ch. 65, sec. 5, effective July 15, 1994. -- Amended 1990 Ky. Acts ch. 27, sec. 11, effective July 13, 1990. -- Recodified 1942 Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. sec. 4149b-7.

KRS 134.504 Department to collect or contract with county attorney for collection of certificates of delinquency -- Procedures

134.504. Department to collect or contract with county attorney for collection of certificates of delinquency -- Procedures (1) (a) The department shall be responsible for the collection of certificates of delinquency and personal property certificates of delinquency. (b) The provisions of this section relating to certificates of delinquency shall also apply to personal property certificates of delinquency unless otherwise specifically noted. (c) The department shall offer the collection dutie s related to certificates of delinquency and personal property certificates of delinquency to the county attorney in each county, unless the department determines that a county attorney has previously failed to perform collection duties in a reasonable and acceptable manner. (2) Any county attorney desiring to perform the collection duties shall enter into a contract with the department on an annual basis. (3) The terms of the contract shall: (a) Specify the duties to be undertaken by the county attorney, w hich shall include, at a minimum, the duties set forth in subsection (4) of this section; (b) Provide that, if the county attorney fails to perform the duties required by the contract during the contract period, the department may assume all collection responsibilities; and (c) Allow the county attorney, at the option of the county attorney, to enforce collection of a certificate of delinquency by the procedure established in KRS 91.481 to 91.527 and authorized by KRS 68.095. (4) The following duties shall be performed by the department or the county attorney, as the case may be, with regard to each certificate of delinquency: (a) Within thirty (30) days after the establishment of a certificate of delinquency, the county attorney or the department shall mail a notice by regular mail to the owner of record on the assessment date at the address on the records of the property valuation administrator, or to the in -care-of address if an in-care-of address is provided as required by subsection (5) of this section. The notice shall: 1. Include the name, address, and telephone number of a contact person in the county attorney's office or the department, as the case may be; 2. Advise that: a. The certificate of delinquency is a lien of record against the property on which the taxes are due; b. The amounts due are a personal obligation of the taxpayer on the assessment date; and c. The certificate bears interest at the rate of twelve percent (12%) and, if not paid, will be subject to collection by the county attorney or the department as provided by law; 3. Include the total amount due as of the date of the notice; 4. Include in bold print in at least twelve (12) point font, a statement advising the taxpayer that anytime after ninety (90) days from the creation of the certificate of delinquency, the certificate of delinquency may be paid by a third-party purchaser and, that if so paid, the certificate of delinquency will be subject to collection by the third-party purchaser as provided by law. The notice shall also advise that a third-party purchaser may impose substantial additional administrative costs and fees associated with collection in addition to the amount due on the certificate of delinquency, and that collection actions may include foreclosure. This provision shall not be included in notices sent for personal property certificates of delinquency; and 5. Advise that the taxpayer may qualify for a payment plan with the county attorney or the department, if the taxpayer meets the requirements established by the county attorney or the department, and if terms are agreed to prior to the date of the sale; (b) The county attorney or the department shall file in the office of the county clerk a list of the names and addresses to which the thirty (30) day notice was mailed along with a certificate attesting that the notices were mailed in accordance with the requirements of this section; (c) 1. All thirty (30) day notices returned as undeliverable shall be submitted by the county attorney or department to the property valuation administrator, and a list of the returned notices shall be filed with the county clerk, who shall record the list in the order book of the county. 2. The property valuation administrator shall attempt to correct inadequate or erroneous addresses and, if property has been transferred, shall determine the new owner, current mailing address, and in-care-of address, if any, as provided in KRS 382.135. 3. The property valuation administrator shall return the notices with the corrected information to the county attorney or the department within twenty (20) days of receipt. 4. Upon receipt of the new information from the property valuation administrator, the county attorney or the department shall resend the notice required by paragraph (a) of this subsection using the updated information; (d) 1. At least twenty (20) days after the mailing of the thirty (30) day notice required by paragraph (a) of this subsection, but within sixty (60) days of the establishment of a certificate of delinquency, the county attorney or department shall send a second notice, by regular mail, to owners of record whose tax bills remain delinquent, or to the in-care-of addresses or corrected address, if information regarding a new property owner has been received by the county attorney or the department under the provisions of paragraph (c) of this subsection. The notice shall include, at a minimum, the following information: a. The name, address, and telephone number of a contact person in the county attorney's office or the department, as the case may be; b. A statement that a sale of tax claims shall be held by the county clerk on the date established by the department for the sale. The text of the statement shall include the actual sale date, as well as a statement noting that the certificate of delinquency may be paid by a third-party purchaser at the sale, and if the certificate of delinquency is paid by a third-party purchaser, it shall be subject to collection by the third-party purchaser as provided by law, that significant additional collection fees shall be imposed by the third- party purchaser, and that collection actions may include foreclosure. This statement shall not be included in notices sent to owners of property subject to a personal property certificate of delinquency; and c. A statement that the taxpayer may qualify for a payment plan with the county attorney or the department, if the taxpayer meets the requirements established by the county attorney or the department, and if terms are agreed to prior to the date of the sale. 2. The county attorney or the department shall file in the office of the county clerk a list of the names and addresses to which the sixty (60) day notice was mailed, along with a certificate attesting that the notices were mailed in accordance with the requirements of this section. 3. If the notice required by paragraph (c) of this subsection is returned as undeliverable, and the property valuation administrator is not able to provide a corrected or updated address, the cou nty attorney or the department shall address the sixty (60) day notice to "Occupant" and shall mail the notice to the address of the property to which the certificate of delinquency applies; (e) The county attorney or the department shall deliver to the pr operty valuation administrator, at the same time the notice required by paragraph (d) of this subsection is sent, a list of the owners whose tax bills remain delinquent. The property valuation administrator shall review this list in accordance with KRS 132.220 to establish that the properties on the list can be identified and physically located; and (f) 1. Anytime after the expiration of the one (1) year tolling period established by KRS 134.546, the county attorney or department may institute an action to collect the amount due on a certificate of delinquency owned by the taxing jurisdictions and in the possession of the county clerk. 2. At least forty-five (45) days before instituting a legal action, the county attorney or department shall send, by regula r mail, a notice of intent to initiate legal action to enforce the lien. 3. The notice shall be sent to the owner of record of the property or to the in-care-of address or corrected address if either has been provided pursuant to this section. (5) If property subject to a certificate of delinquency has been transferred in any year after the assessment date, the property valuation administrator shall determine the in-care-of address supplied in the deed pursuant to KRS 382.135 and shall provide that information to the county attorney or the department. (6) (a) Failure of the county attorney or the department to mail the notices required in subsection (4) of this section shall not affect the validity of the claim of the state, county, school district, and taxing district. However, the county attorney or the department shall not receive any compensation, commission, or payment related to any certificate of delinquency for which the notices required by the provisions of subsection (4) of this section are not sent. (b) For each notice mailed, one dollar ($1) shall be added to the amount of the certificate of delinquency, to offset the cost of mailing, and, upon collection, the county attorney or the department shall be paid the amounts as reimbursement for mailing costs. (7) (a) As compensation for the collection duties performed pursuant to a contract with the department, a county attorney shall be paid twenty percent (20%) of the amount due each taxing unit during the contract period, whether the amount is paid voluntarily, through sale, or under court order, and whether the amount is paid to the county clerk or the county attorney. The fee for the county attorney shall be added to the amount of the certificate of delinquency and shall be paid by the person paying the certificate of delinquency. (b) If payment in full is voluntarily made by the taxpayer to the county attorney or county clerk within five (5) days of the filing of the tax claim with the county clerk, the county attorney fee shall be waived. (c) 1. If a county attorney files a court action or files a cross -claim, the county attorney shall be paid the greater of: a. Reasonable attorney's fees and costs that arise from the prosecution of collection remedies or the protection of a certificate of delinquency during litigation; or b. An additional fee of thirteen percent (13%) of the amount of the certificate of delinquency and shall be reimbursed for costs incident to the court action. The additional fee and costs incident to the litigation shall be added to the certificate of delinquency and shall be paid by the person paying the certificate of delinquency. 2. For purposes of subparagraph 1.a. of this paragraph: a. Actual attorney's fees up to two thousand dollars ($2,000) may be reasonable if the fees are based upon documented work performed at a rate commensurate with hourly rates customarily charged by private attorneys in that jurisdiction for similar services. A flat fee rate, without hours documented for work performed, may be reasonable if the flat fee rate is determined to be discounted from the usual and customary rates for comparable work; and b. Any attorney's fee arising from the litigation in excess of two thousand dollars ($2,000) shall be reasonable if the court finds that the county attorney incurred actual attorney's fees in excess of two thousand dollars ($2,000) and the additional fees were warranted based upon the complexity of the issues presented in the litigation. (d) If more than one (1) county attorney renders necessary services to collect on a certificate of delinquency, the county attorney serving the last notice or rendering the last substantial service preceding collection shall be entitled to the fee. (8) (a) The county attorney shall establish a system to accept installment payments from delinquent taxpayers. The county attorney may, during the contract period, enter into an agreement with a delinquent taxpayer to accept installment payments on the certificates of delinquency. The agreement shall not waive the county attorney's right to initiate court action or other authorized collection activities if the taxpayer does not make payments in accordance with the agreement. (b) The county attorney may, upon written request of the taxpayer for good cause and with agreement of the affected taxing jurisdiction or fee recipient, waive or reduce fees and penalties that are part of a certificate of delinquency during settlement or negotiation with a taxpayer in accordance with guidance provided by the department. (9) Any action by the county attorney authorized by this chapter shall be filed on relation of the commissioner. A copy of any judgment obtained by the county attorney shall be sent to the department. (10) (a) The county attorney shall notify the county clerk and the department of the filing of an action at the time the action is filed, and of payment agreements at the time the agreements are entered into. The county clerk shall note on the certificate of delinquency the filing of the lawsuit or the existence of the payment agreement, and these certificates of delinquency shall not be available for purchase or payment by a third-party purchaser. (b) The county attorney shall provide to the county clerk at least ten (10) days but not more than twenty (20) days prior to the annual sale date for the county established pursuant to KRS 134.128, a protected list of current year certificates of delinquency that are: 1. Under a payment plan with the county attorney on which payments are current; 2. Involved in litigation initiated by the county attorney or in which the county attorney responds or files an answer; 3. Involved in bankruptcy litigation in which the county attorney has filed a claim; or 4. Included on a list of protected properties submitted to the county attorney by a vacant property review commission or an alternative government entity as provided in KRS 99.727. The list shall include sufficient detail for the county clerk to accurately identify the property. (c) The county attorney shall notify the county clerk of the failure of any payment agreement and, upon notification to the clerk, the certificate of delinquency shall be available for purchase. (11) The department may make its delinquent tax collection databases and other technical resources, including but not limited to tax refund offsetting, available to the county attorney upon request from the county attorney. The county attorney seeking assistance shall enter into any agreements required by the department to protect taxpayer confidentiality, to ensure database integrity, or to address the concerns of the department. (12) (a) If a county attorney chooses not to contract for collection duties, or if a county attorney fails to perform the duties required by the contract, the department shall assume responsibility for all uncollected certificates of delinquency and personal property certificates of delinquency, including, at the option of the department, those with pending court action or for which the county attorney has entered into an installment payment agreement. (b) If the department assumes or retains responsibility for the collection of certificates of delinquency and personal property certificates of delinquency, the twenty percent (20%) fee that would have been paid to the county attorney under subsection (7) of this section, and any other fees or costs established by this section for the county attorney shall be paid to the department for deposit in the delinquent tax fund provided for under KRS 134.552. Effective: July 15, 2026 History: Amended 2026 Ky. Acts ch. 48, sec. 2, effective July 15, 2026. -- Amended 2022 Ky. Acts ch. 212, sec. 66, effective July 14, 2022. -- Amended 2016 Ky. Acts ch. 127, sec. 12, effective July 15, 2016. -- Amended 2012 Ky. Acts ch. 161, sec. 7, effective April 23, 2012. -- Amended 2010 Ky. Acts ch. 75, sec. 9, effective April 7, 2010. -- Created 2009 Ky. Acts ch. 10, sec. 12, effective January 1, 2010. Legislative Research Commission Note (4/7/2010). 2010 Ky. Acts ch. 75, sec. 7, subparagraphs 1., 2., and 3. of subsection (2)(c), codified as KRS 134.128(2)(c)1., 2., and 3., describe the types of certificates of delinquency for which payment is to be prohibited by third-party purchasers and are joined by the conjunction "or." 2010 Ky. Acts ch. 75, sec. 9, creating subparagraphs (b)1., 2., and 3. of subsection (10) of this section, uses very similar language to describe the certificates of delinquency to be included on the protected list provided by the county attorney to the county clerk prior to the annual sale, however, these subparagraphs are joined by the conjunction "and." The drafter advises and the context indicates that the conjunction joining subparagraphs 1., 2., and 3. of subsection (10)(b) of 2010 Ky. Acts ch. 75, sec. 9, should be "or"; however, it could not be corrected as a manifest clerical or typographical error under the authority of KRS 7.136(1)(h), therefore subsection (10) of this statute retains the language as it appeared in 2010 Ky. Acts ch. 75. Legislative Research Commission Note (1/1/2010). A reference to "subsection (8)" in subsection (12)(b) of this statute has been changed in codification to "subsection (7)" to correct a manifest oversight during the drafting of 09 RS BR 4, which became House Bill 262 and 2009 Ky. Acts ch. 10. Materials in the bill folder reveal that a subsection was deleted and subsequent subsections renumbered, but a conforming change was not made to the reference in subsection (12)(b). This manifest clerical or typographical error has been corrected by the Reviser of Statutes under the authority of KRS 7.136(1).

KRS 134.505 No compensation to county attorney who fails to perform duties as to tax claims

134.505. No compensation to county attorney who fails to perform duties as to tax claims Any person while serving as county attorney who was required by law by reason of his office to prosecute an action or to assist the commissioner of revenue in prosecuting an action to enforce a claim of the state, county, school district and any other taxing district to any land which was purchased by such districts at a sheriff's sale or sales for delinquent taxes and who did not institute such action before he relinquished his office or otherwise failed to perform substantially all the duties of his office relative to the claim, shall not be entitled to receive any commission or compensation for any such sale or sales when the redemption costs are paid. Any county clerk or other person authorized to collect funds to satisfy unredeemed land sales shall be liable for any such money distributed as a commission to any former county attorney who is not entitled to it. Effective: June 20, 2005 History: Amended 2005 Ky. Acts ch. 85, sec. 277, effective June 20, 2005. -- Amended 1978 Ky. Acts ch. 384, sec. 281, effective June 17, 1978. -- Created 1942 Ky. Acts ch. 131, sec. 30.

KRS 134.545 Use of funds by county attorney

134.545. Use of funds by county attorney Moneys paid to the county attorney under an agreement entered into pursuant to KRS 134.504 shall be used only for payment of county attorney office operating expenses. Effective: January 1, 2010 History: Amended 2009 Ky. Acts ch. 10, sec. 13, effective January 1, 2010. -- Created 1978 Ky. Acts ch. 400, sec. 7, effective June 17, 1978.

KRS 134.546 Cause of action on certificates of delinquency -- Sale and deed on foreclosure -- No redemption -- Additional rights if owner is a taxing unit

134.546. Cause of action on certificates of delinquency -- Sale and deed on foreclosure -- No redemption -- Additional rights if owner is a taxing unit (1) Any action to collect any amount due on a certificate of delinquency or personal property certificate of delinquency may be brought at any time after the passage of one (1) year from the date the taxes became delinquent, and shall be brought within eleven (11) years of the date when the taxes became delinquent. (2) A third-party purchaser may: (a) Institute an action against the delinquent taxpayer to collect the amount of the certificate of delinquency and any other certificates of delinquency subsequently issued to the same third-party purchaser against the same delinquent, and shall have all the remedies available for the enforcement of a debt; (b) Institute an action to enforce the lien provided in KRS 134.420, represented by the certificate of delinquency and those certificates subsequently held by the same third-party purchaser against the same delinquent or property; or (c) Institute one (1) action including both types of actions mentioned in paragraphs (a) and (b) of this subsection, and the joinder of actions shall not be defeated if the delinquent taxpayer has disposed of any property covered by the lien, but the purchaser of the property shall be made a defendant if the judgment is to affect his or her interest in the property, and as between them the delinquent taxpayer shall be responsible. (3) If the state, county, or a taxing district is the owner of a certificate of delinquency or personal property certificate of delinquency, it shall have, in addition to the remedies provided in subsection (1) of this section, the right to distrain and sell any property owned by the delinquent taxpayer, including that on which the lien provided in KRS 134.420 has attached. Any property sold under distraint proceedings shall be sold in the same manner as provided in KRS 131.500, except that the exercise of the power shall be vested in the county attorney. (4) Any property while owned by a delinquent taxpayer shall be subject to foreclosure or execution in satisfaction of a judgment pursuant to an action in rem or an action in personam, or both, to enforce the obligation. (5) If property is sold pursuant to a judgment of foreclosure, it shall be appraised pursuant to the provisions of KRS 426.520, and there shall be a right of redemption as provided in KRS 426.530. If there is no purchaser at a foreclosure sale, the master commissioner shall make a deed to the person or persons shown by record to be the owner of the certificate or certificates of delinquency, and that person or persons shall have a pro rata interest in accordance with the amount of their respective certificates. (6) The department may provide to a third-party purchaser factual information related to the owner or lessee of the coal, oil, gas reserves, or any other mineral resources assessed under KRS 132.820(1) pursuant to an order entered in a foreclosure action involving a certificate of delinquency for unmined coal, oil, gas, or any other mineral resources. The department may promulgate an administrative regulation establishing a fee schedule for the provision of the information described in this subsection. Any fee imposed shall not exceed the greater of the actual cost of providing the information or ten dollars ($10). Effective: April 7, 2010 History: Amended 2010 Ky. Acts ch. 75, sec. 10, effective April 7, 2010. -- Created 2009 Ky. Acts ch. 10, sec. 16, effective January 1, 2010.

KRS 134.547 Collection of delinquent taxes and assessment of omitted property

134.547. Collection of delinquent taxes and assessment of omitted property (1) The department may act in the name of and in behalf of the state and in the name of and in behalf of any and all counties, school districts, and other taxing districts in the state to institute and prosecute any action or proceeding for the collection of delinquent taxes and the assessment of omitted property. If the department assumes the duties of collecting the delinquent taxes assessed under the authority of KRS Chapter 132, it shall have all the powers, rights, duties, and authority conferred generally upon the department by the Kentucky Revised Statutes, including but not limited to Chapters 131, 132, 133, 134, and 135. (2) Nothing contained in this chapter shall prevent the department from assessing any property in accordance with the provisions of KRS 136.020, 136.030, 136.050, or 136.120 to 136.180. (3) The department may require the use of any reports, forms, or databases necessary to administer the law in connection with the collection of delinquent taxes. Effective: January 1, 2010 History: Amended and renumbered, 2009 Ky. Acts ch. 10, sec. 25, effective January 1, 2010. -- Amended 2005 Ky. Acts ch. 85, sec. 267, effective June 20, 2005. -- Amended 2002 Ky. Acts ch. 346, sec. 171, effective July 15, 2002. -- Amended 1998 Ky. Acts ch. 209, sec. 8, effective March 30, 1998. -- Amended 1996 Ky. Acts ch. 254, sec. 28, effective July 15, 1996. -- Amended 1990 Ky. Acts ch. 27, sec. 7, effective July 13, 1990; and ch. 411, sec. 7, effective July 13, 1990. -- Amended 1984 Ky. Acts ch. 405, sec. 3, effective July 13, 1984. -- Amended 1968 Ky. Acts ch. 152, sec. 107. -- Recodified 1942 Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. sec. 4149b-12, 4257a-1, 4257a-2, 4267. Formerly codified as KRS 134.380.

KRS 134.548 Assessment of omitted property in action to enforce certificate of delinquency or to invalidate land tax sale

134.548. Assessment of omitted property in action to enforce certificate of delinquency or to invalidate land tax sale Whenever the Commonwealth prosecutes an action in a Circuit Court pursuant to KRS 134.546, to enforce a certificate of delinquency or a personal property certificate of delinquency, the court shall have authority to assess property which has been omitted for any reason, whenever necessary to establish the total personal liability of any defendant in such action or to establish the total amount of any lien or liens against the property. Provided, however, that the twenty percent (20%) penalty provided in KRS 132.340 and 135.060 shall not apply to the amount of taxes, penalties, and interest due for any assessment made pursuant to this section for any omission which was caused through no fault of the person owning the property on the assessment date. Effective: January 1, 2010 History: Amended and renumbered, 2009 Ky. Acts ch. 10, sec. 27, effective January 1, 2010. -- Created 1942 Ky. Acts ch. 131, secs. 29 and 32. Formerly codified as KRS 134.495.

KRS 134.549 Sale and conveyance of land obtained by taxing unit through action on certificate of delinquency -- Redemption by taxpayer

134.549. Sale and conveyance of land obtained by taxing unit through action on certificate of delinquency -- Redemption by taxpayer (1) After the state, county, and taxing districts obtain real property as authorized by KRS 134.546, the designated agent of the commissioner may advertise and sell at public sale any of the lands, and the commissioner may convey the lands by deed to the purchaser. The commissioner shall, within thirty (30) days from receipt of payment, pay to the county and taxing district the amount of the proceeds due each. The department shall be entitled to an administration fee equal to fifteen percent (15%) of the sale price of the property, which shall be paid into the delinquent tax fund provided for in KRS 134.552. (2) The sales shall be advertised by a written or printed notice posted at the courthouse door for fifteen (15) days before the date of sale, and by publication pursuant to KRS Chapter 424, and may in addition be advertised by printed handbills posted for fifteen (15) days before the date of sale in three (3) or more conspicuous places in the taxing districts. (3) Any real property acquired by the state, county, and taxing districts pursuant to KRS 134.546 may be redeemed at any time before the commissioner gives a deed to a purchaser, by paying to the county clerk the amount due at the time the property was acquired, plus subsequent costs and interest at the rate of twelve percent (12%) per annum. Effective: January 1, 2010 History: Amended and renumbered, 2009 Ky. Acts ch. 10, sec. 28, effective January 1, 2010. -- Amended 2005 Ky. Acts ch. 85, sec. 278, effective June 20, 2005. -- Amended 1990 Ky. Acts ch. 27, sec. 13, effective July 13, 1990. -- Amended 1966 Ky. Acts ch. 239, sec. 139. -- Recodified 1942 Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. sec. 4149b-9. Formerly codified as KRS 134.510.

KRS 134.551 Refund to purchaser of certificate of delinquency that is unenforceable or declared void -- Reassessment of property

134.551. Refund to purchaser of certificate of delinquency that is unenforceable or declared void -- Reassessment of property (1) If a certificate of delinquency or personal property certificate of delinquency held by an individual is declared void by a court of competent jurisdiction because of the irregularity of taxing officers, the amount for which the certificate was issued shall be refunded by the state, county, and taxing districts on a pro rata basis. If a school district or county is unable to make the refund currently when requested, it shall be given preference from the next year's revenue. The application for refund must be made within one (1) year after the judgment. The property covered by the void certificate shall be assessed immediately as omitted property and the tax bill shall be payable as soon as prepared. (2) (a) If a certificate of delinquency held by a third-party purchaser who paid the certificate of delinquency to the county clerk: 1. Is unenforceable because: a. It is a duplicate certificate of delinquency; b. The tax liability represented by the certificate of delinquency was satisfied prior to the purchase of the certificate of delinquency; c. All or a portion of the certificate of delinquency is exonerated; or d. The property to which the certificate of delinquency applies was not subject to taxes as a matter of law as certified by the property valuation administrator; or 2. Should not have been sold because, on the date of the annual sale, the certificate of delinquency met the requirements for inclusion on the protected list pursuant to KRS 134.504(10) and it: a. Was included on the protected list; b. Was mistakenly left off the protected list; or c. Became eligible for inclusion on the protected list between the date the protected list was submitted and the date of sale; the third-party purchaser may apply to the county clerk for a refund. (b) The application for refund filed with the county clerk shall include written proof that one (1) of the situations described in paragraph (a) of this subsection exists with regard to the certificate of delinquency for which a refund is sought. (c) 1. Upon acceptance and approval of the application for refund, the county clerk shall approve a refund of the amount paid to the county clerk by the third-party purchaser in satisfaction of the certificate of delinquency. The refunded amount shall not include any filing fees paid by the third- party purchaser to the county clerk. 2. Amounts refunded to the third-party purchaser shall be deducted from amounts in the hands of the county clerk due to the state, county, taxing districts, sheriff, county attorney, and the county clerk on a pro rata basis, if the county clerk has sufficient funds in his or her hands to make the refund. 3. If the county clerk does not have sufficient funds to make the refund at the time the refund is approved, the county clerk may either: a. Retain the approved refund claim in his or her office and make the refund payment as soon as he or she has sufficient funds in his or her hands to make the refund payment; or b. Provide a signed letter to the person to whom payment is due, which includes the amount due from each taxing jurisdiction or fee office, and which directs each taxing jurisdiction or fee official to pay to the person the amount due and owing from that taxing jurisdiction or fee official as reflected in the letter. 4. Upon the making of a refund to a third-party purchaser, the county clerk shall issue and file a release of the lien on the property assessed for taxes as provided in this subparagraph without charge to the third-party purchaser. The release shall be linked to the encumbrance in the county clerk's indexing system. a. The department shall prepare a release form to be used by the county clerk when a refund is paid under this paragraph. The form shall include, at a minimum, the following: i. The name and address of the taxpayer; ii. The name and address of the third-party purchaser; iii. The book and page number of the third-party purchaser's lis pendens filing; iv. The property address; v. The applicable tax year; and vi. The map identification number or tax bill number. b. The release form shall be signed by the government official responsible for making the correction. c. In addition to the signed release form, information filed by the county clerk shall include a copy of the documentation provided by the government official and a copy of the refund check or letter of refund authorization issued to the third-party purchaser. The county clerk shall record and file this information without a fee. d. The county clerk shall also make any necessary corrections to the tax records within the office of the county clerk. e. The county clerk shall return the release document to the taxpayer and shall provide a copy of the release document to the third-party purchaser. (d) If the county clerk denies the application for refund, or the property valuation administrator fails to certify that property was not subject to taxes as a matter of law, the third-party purchaser may appeal the decision of the county clerk or the property valuation administrator to the Board of Tax Appeals pursuant to KRS 49.220. Effective: June 29, 2021 History: Amended 2021 Ky. Acts ch. 185, sec. 68, effective June 29, 2021. -- Amended 2017 Ky. Acts ch. 74, sec. 75, effective June 29, 2017. -- Amended 2012 Ky. Acts ch. 161, sec. 8, effective April 23, 2012. -- Amended 2010 Ky. Acts ch. 75, sec. 11, effective April 7, 2010. -- Amended and renumbered as KRS 134.551, 2009 Ky. Acts ch. 10, sec. 29, effective January 1, 2010. -- Amended 1982 Ky. Acts ch. 452, sec. 8, effective July 1, 1982. -- Recodified 1942 Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. sec. 4149b-11. Formerly codified as KRS 134.520.

KRS 134.552 Disposition of penalties collected on delinquent taxes and omitted assessments -- Use for administration

134.552. Disposition of penalties collected on delinquent taxes and omitted assessments -- Use for administration (1) The twenty percent (20%) penalty established by KRS 132.290, the administrative fee established by KRS 134.549, the fees payable to the department for collecting delinquent taxes pursuant to KRS 134.504, and any other fees or penalties payable to the department for collecting delinquent taxes shall be paid into the State Treasury and credited as provided in subsection (2) of this section. (2) One-fourth (1/4) of the moneys received pursuant to the provisions of subsection (1) of this section shall be credited to the general fund. The remaining three -fourths (3/4) shall be credited to a fund to be designated and known as the delinquent tax fund, to be used for the administration and enforcement of the laws relating to the collection of delinquent taxes and the assessment of omitted property. Salaries, fees, and expenses authorized by the laws relating to the collection of delinquent taxes and the assessment of omitted property, may be paid out of the delinquent tax fund upon certifications or requisitions of the commissioner of revenue. Effective: January 1, 2010 History: Amended and renumbered, 2009 Ky. Acts ch. 10, sec. 26, effective January 1, 2010. -- Amended 2005 Ky. Acts ch. 85, sec. 270, effective June 20, 2005. -- Amended 1990 Ky. Acts ch. 507, sec. 20, effective July 13, 1990. -- Amended 1982 Ky. Acts ch. 450, sec. 65, effective July 1, 1983. -- Amended 1978 Ky. Acts ch. 400, sec. 3, effective June 17, 1978. -- Amended 1976 (1st Extra. Sess.) Ky. Acts ch. 17, sec. 38, effective January 1, 1978. -- Recodified 1942 Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. secs. 4257a -2, 4257a-5. Formerly codified as KRS 134.400. 2026-2028 Budget Reference. See State/Executive Branch Budget, 2026 Ky. Acts ch. 168, Pt. I, F, 7, (1) at 20884.

KRS 134.580 Refund of taxes, other than ad valorem and unconstitutional taxes -- Immunity of the Commonwealth from refund suits based on combined or consolidated returns

134.580. Refund of taxes, other than ad valorem and unconstitutional taxes -- Immunity of the Commonwealth from refund suits based on combined or consolidated returns (1) As used in this section, unless the context requires otherwise: (a) "Agency" means the agency of state government which administers the tax to be refunded or credited; and (b) "Overpayment" or "payment where no tax was due" means the excess of the tax payments made over the correct tax liability determined under the terms of the applicable statute without reference to the constitutionality of the statute. (2) When money has been paid into the State Treasury in payment of any state taxes, except ad valorem taxes, whether payment was made voluntarily or involuntarily, the appropriate agency shall authorize refunds to the person who paid the tax, or to his or her heirs, personal representatives or assigns, of any overpayment of tax and any payment where no tax was due. When a bona fide controversy exists between the agency and the taxpayer as to the liability of the taxpayer for the payment of tax claimed to be due by the agency, the taxpayer may pay the amount claimed by the agency to be due, and if an appeal is taken by the taxpayer from the ruling of the agency within the time provided by KRS 49.220 and it is finally adjudged that the taxpayer was not liable for the payment of the tax or any part thereof, the agency shall authorize the refund or credit as the Board of Tax Appeals or courts may direct. (3) No refund shall be made unless each taxpayer individually files an application or claim for the refund within four (4) years from the date payment was made. Each claim or application for a refund shall be in writing and state the specific grounds upon which it is based. Denials of refund claims or applications may be protested and appealed in accordance with KRS 49.220 and 131.110. (4) Notwithstanding any provision of this section, when an assessment of limited liability entity tax is made under KRS 141.0401 against a pass-through entity as defined in KRS 141.206, the corporation or individual partners, members, or shareholders of the pass-through entity shall have the greater of the time period provided by this section or one hundred eighty (180) days from the date the assessment becomes final to file amended returns requesting any refund of tax for the taxable year of the assessment and to allow for items of income, deduction, and credit to be properly reported on the returns of the partners, members, or shareholders of the pass-through entity subject to adjustment. (5) Refunds shall be authorized with interest as provided in KRS 131.183. The refunds authorized by this section shall be made in the same manner as other claims on the State Treasury are paid. They shall not be charged against any appropriation, but shall be deducted from tax receipts for the current fiscal year. (6) Nothing in this section shall be construed to authorize the agency to make or cause to be made any refund except within four (4) years of the date prescribed by law for the filing of a return including any extension of time for filing the return, or the date the money was paid into the State Treasury, whichever is the later, except in any case where the assessment period has been extended by written agreement between the taxpayer and the department, the limitation contained in this subsection shall be extended accordingly. Nothing in this section shall be construed as requiring the agency to authorize any refund to a taxpayer without demand from the taxpayer, if in the opinion of the agency the cost to the state of authorizing the refund would be greater than the amount that should be refunded or credited. (7) This section shall not apply to any case in which the statute may be held unconstitutional, either in whole or in part. (8) In cases in which a statute has been held unconstitutional, taxes paid thereunder may be refunded to the extent provided by KRS 134.590, and by the statute held unconstitutional. (9) No person shall secure a refund of motor fuels tax under KRS 134.580 unless the person holds an unrevoked refund permit issued by the department before the purchase of gasoline or special fuels and that permit entitles the person to apply for a refund under KRS 138.344 to 138.355. (10) Notwithstanding any provision of the Kentucky Revised Statutes to the contrary: (a) The Commonwealth hereby revokes and withdraws its consent to suit in any forum whatsoever on any claim for recovery, refund, or credit of any tax overpayment for any taxable year ending before December 31, 1995, made by an amended return or any other method after December 22, 1994, and based on a change from any initially filed separate return or returns to a combined return under the unitary business concept or to a consolidated return. No such claim shall be effective or recognized for any purpose; (b) Any stated or implied consent for the Commonwealth of Kentucky, or any agent or officer of the Commonwealth of Kentucky, to be sued by any person for any legal, equitable, or other relief with respect to any claim for recovery, refund, or credit of any tax overpayment for any taxable year ending before December 31, 1995, made by an amended return or any other method after December 22, 1994, and based on a change from any initially filed separate return or returns to a combined return under the unitary business concept or to a consolidated return, is hereby withdrawn; and (c) The provisions of this subsection shall apply retroactively for all taxable years ending before December 31, 1995, and shall apply to all claims for such taxable years pending in any judicial or administrative forum. (11) Notwithstanding any provision of the Kentucky Revised Statutes to the contrary: (a) No money shall be drawn from the State Treasury for the payment of any claim for recovery, refund, or credit of any tax overpayment for any taxable year ending before December 31, 1995, made by an amended return or any other method after December 22, 1994, and based on a change from any initially filed separate return or returns to a combined return under the unitary business concept or to a consolidated return; and (b) No provision of the Kentucky Revised Statutes shall constitute an appropriation or mandated appropriation for the payment of any claim for recovery, refund, or credit of any tax overpayment for any taxable year ending before December 31, 1995, made by an amended return or any other method after December 22, 1994, and based on a change from any initially filed separate return or returns to a combined return under the unitary business concept or to a consolidated return. Effective: June 29, 2021 History: Amended 2021 Ky. Acts ch. 185, sec. 69, effective June 29, 2021. -- Amended 2019 Ky. Acts ch. 196, sec. 2, effective June 27, 2019. -- Amended 2017 Ky. Acts ch. 74, sec. 76, effective June 29, 2017. -- Repealed and reenacted 2009 Ky. Acts ch. 86, sec. 10, effective March 24, 2009. -- Amended 2008 Ky. Acts ch. 132, sec. 11, effective April 24, 2008. -- Amended 2007 Ky. Acts ch. 22, sec. 1, effective March 19, 2007. -- Amended 2005 Ky. Acts ch. 85, sec. 280, effective June 20, 2005; ch. 112, sec. 1, effective June 20, 2005; and ch. 134, sec. 1, effective June 20, 2005. -- Amended 1996 Ky. Acts ch. 344, sec. 1, effective July 15, 1996. -- Amended 1990 Ky. Acts ch. 177, sec. 1, effective July 13, 1990; and ch. 423, sec. 7, effective July 13, 1990. -- Amended 1982 Ky. Acts ch. 452, sec. 9, effective July 1, 1982. -- Amended 1976 Ky. Acts ch. 155, sec. 1. -- Amended 1970 Ky. Acts ch. 216, sec. 2. - - Amended 1966 Ky. Acts ch. 187, Part I, sec. 1. -- Recodified 1942 Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. sec. 4114h-7. Legislative Research Commission Note (6/27/2019). This statute was amended in 2019 Ky. Acts ch. 151, sec. 12 (HB 354) and ch. 196, sec. 2 (HB 458). Although HB 354 was enacted, 2019 Ky. Acts ch. 196, sec. 16 (HB 458) repealed certain sections of that prior Act, including Section 12, and directed the Reviser of Statutes to not codify them. Therefore, the amendment to this statute in 2019 Ky. Acts ch. 151, sec. 12, was not codified. Legislative Research Commission Note (3/24/2009). 2009 Ky. Acts ch. 86, sec. 15, provides that "the provisions of Sections 7 to 10 of this Act shall apply retroactively to all outstanding refund claims for taxable years ending prior to the effective date of this Act and shall apply to all claims for those taxable years pending in any judicial or administrative forum." Legislative Research Commission Note (3/24/2009). 2009 Ky. Acts ch. 86, sec. 17, provides that "The intent of the General Assembly in repealing and reenacting KRS 136.392, 138.195, 141.160, 160.6156, 160.6157, 160.6158, 131.183, 141.044, 141.235, 134.580, 393.060, and 157.621 in Sections 1 to 12 of this Act is to affirm the amendments made to these sections in 2008 Ky. Acts ch. 132. The provisions in Sections 1 to 12 of this Act shall apply retroactively to April 24, 2008." Legislative Research Commission Note (3/24/2009). 2009 Ky. Acts ch. 86, sec. 18, provides "To the extent that any provision included in this Act is considered new language, the provisions of KRS 446.145 requiring such new language to be underlined are notwithstood." Legislative Research Commission Note (4/24/2008). 2008 Ky. Acts ch. 132, sec. 15 provides that the amendments made to this statute by that Act "shall apply retroactively to all outstanding refund claims for taxable years ending prior to the effective date of this Act (April 24, 2008) and shall apply to all claims for those taxable years pending in any judicial or administrative forum." Legislative Research Commission Note (6/20/2005). 2005 Ky. Acts chs. 11, 85, 95, 97, 98, 99, 123, and 181 instruct the Reviser of Statutes to correct statutory references to agencies and officers whose names have been changed in 2005 legislation confirming the reorganization of the executive branch. Such a correction has been made in this section. Legislative Research Commission Note (9/6/90). This note replaces an earlier note dated 7/13/90. This section was amended by two 1990 Acts. Where those Acts are not in conflict, they have been compiled together. Where a conflict exists, the Act which was last enacted by the General Assembly prevails, pursuant to KRS 446.250.

KRS 134.590 Refund of ad valorem taxes or taxes held unconstitutional

134.590. Refund of ad valorem taxes or taxes held unconstitutional (1) When the appropriate state government agency determines that a taxpayer has paid ad valorem taxes into the state treasury when no taxes were due or has paid under a statute held unconstitutional, the state government agency which administers the tax shall refund the money, or cause it to be refunded, to the person who paid the tax. The state government agency shall not authorize a refund to a person who has paid the tax due on any tract of land unless the taxpayer has paid the entire tax due the state on the land. (2) No state government agency shall authorize a refund unless each taxpayer individually applies for a refund within two (2) years from the date the taxpayer paid the tax. Each claim or application for a refund shall be in writing and state the specific grounds upon which it is based. Denials of refund claims or applications may be protested and appealed in accordance with KRS 49.220 and 131.110. No state government agency shall refund ad valorem taxes, except those held unconstitutional, unless the taxpayer has properly followed the administrative remedy procedures established through the protest provisions of KRS 131.110, the appeal provisions of KRS 133.120, the correction provisions of KRS 133.110 and 133.130, or other administrative remedy procedures. (3) If a taxpayer pays city, urban-county, county, school district, consolidated local government, or special district ad valorem taxes to a city, urban-county, county, school district, consolidated local government, or special district when no taxes were due or the amount paid exceeded the amount finally determined to be due, the taxes shall be refunded to the person who paid the tax. (4) Refunds of ad valorem taxes shall be authorized by the mayor or chief finance officer of any city, consolidated local government, or urban-county government for the city, consolidated local government, or urban-county government or for any special district for which the city, consolidated local government, or urban-county government is the levying authority, by the county judge/executive of any county for the county or special district for which the fiscal court is the levying authority, or by the chairman or finance officer of any district board of education. (5) Upon proper authorization, the sheriff or collector shall refund the taxes from current tax collections he or she holds. If there are no such funds, the district's finance officer shall make the refunds. The sheriff or collector shall receive credit on the next collection report to the district for any refunds the sheriff or collector makes. (6) No refund shall be made unless each taxpayer individually applies within two (2) years from the date payment was made. If the amount of taxes due is in litigation, the taxpayer shall individually apply for refund within two (2) years from the date the amount due is finally determined. Each claim or application for a refund shall be in writing and state the specific grounds upon which it is based. No refund for ad valorem taxes, except those held unconstitutional, shall be made unless the taxpayer has properly followed the administrative remedy procedures established through the protest provisions of KRS 131.110, the appeal provisions of KRS 133.120, the correction provisions of KRS 133.110 and 133.130, or other administrative remedy procedures. (7) Notwithstanding other statutory provisions, for property subject to a tax rate that is set each year based on the certified assessment, a taxing district may recover any loss of ad valorem tax revenue it suffers due to the issuance of refunds by adjusting the following tax year's tax rate. Effective:June 29, 2017 History: Amended 2017 Ky. Acts ch. 74, sec. 77, effective June 29, 2017. -- Amended 2005 Ky. Acts ch. 112, sec. 2, effective June 20, 2005. -- Amended 2002 Ky. Acts ch. 346, sec. 172, effective July 15, 2002. -- Amended 1996 Ky. Acts ch. 344, sec. 2, effective July 15, 1996. -- Amended 1992 Ky. Acts ch. 391, sec. 5, effective July 14, 1992. -- Amended 1990 Ky. Acts ch. 177, sec. 2, effective July 13, 1990. -- Amended 1980 Ky. Acts ch. 270, sec. 1, effective July 15, 1980. -- Amended 1966 Ky. Acts ch. 187, Part I, sec. 2. -- Amended 1954 Ky. Acts ch. 5, sec. 1. -- Recodified 1942 Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. secs. 162, 163, 4114h-7.

KRS 134.800 County clerk to collect ad valorem taxes on motor vehicles registered by him -- Acceptable means of payment

134.800. County clerk to collect ad valorem taxes on motor vehicles registered by him -- Acceptable means of payment The county clerk shall be collector of all state, county, city, urban-county government, school, and special taxing district ad valorem taxes on motor vehicles registered by him. The clerk may accept payment of taxes due by any commercially acceptable means including credit cards. Effective: March 30, 1998 History: Amended 1998 Ky. Acts ch. 209, sec. 17, effective March 30, 1998. -- Amended 1986 Ky. Acts ch. 431, sec. 1, effective July 15, 1986. -- Created 1982 Ky. Acts ch. 264, sec. 7, effective January 1, 1984.

KRS 134.805 County clerk commission for collecting taxes -- Notices of ad valorem taxes due on motor vehicles

134.805. County clerk commission for collecting taxes -- Notices of ad valorem taxes due on motor vehicles (1) The county clerk shall be allowed by the Department of Revenue, for collecting state ad valorem taxes on motor vehicles, a commission of fo ur percent (4%) on state taxes collected. (2) The county clerk shall be allowed by the county treasurer, for collecting county and special district ad valorem taxes on motor vehicles, a commission of four percent (4%) on county and special taxes collected. (3) The county clerk shall be allowed a commission of four percent (4%) of the school district taxes collected. (4) The county clerk shall be allowed a commission of four percent (4%) of the city or urban-county government taxes collected. (5) (a) For the convenience and benefit of the Commonwealth's citizens and to maximize ad valorem tax collections, county clerks shall be responsible for causing the preparation and distribution of a notice of ad valorem taxes due to the January 1 owner, as defined in KRS 186.010(7)(a) and (c), of each motor vehicle no later than forty-five (45) days prior to the ad valorem tax and registration renewal due date in each calendar year. (b) When a vehicle is transferred in any year before the ad valorem taxes on that vehicle have been paid, a notice of taxes due shall be sent within ten (10) working days after the date of transfer or notice of transfer to the owner as of January 1 of that year. (c) When ad valorem taxes on a vehicle become delinquent for sixty (60) days, as defined by KRS 134.810, a second notice shall be sent within ten (10) working days to the January 1 owner of record. The notice shall inform the delinquent owner of the lien provisions provided by KRS 134.810 on all vehicles owned or acquired by the owner o f the vehicle at the time the tax liability arose. (d) The notices required under this subsection shall be calculated, prepared, and distributed on behalf of county clerks by AVIS. The notices required under this subsection shall be sent by: 1. Email, if the owner has provided an email address to the Transportation Cabinet in AVIS; 2. Text message, if the owner has provided a mobile phone number to the Transportation Cabinet in AVIS; or 3. First-class mail. (e) Nonreceipt of the notices required under this subsection shall not constitute any defense against applicable penalty, interest, lien fees, or costs recovery. Effective: July 15, 2026 History: Amended 2026 Ky. Acts ch. 135, sec. 5, effective July 15, 2026. -- Amended 2005 Ky. Acts ch. 85, sec. 281, effective June 20, 2005. -- Amended 2002 Ky. Acts ch. 316, sec. 2, effective July 15, 2002. -- Amended 1996 Ky. Acts ch. 352, sec. 1, effective July 15, 1996. -- Amended 1988 Ky. Acts ch. 113, sec. 5, effective December 31, 1988. -- Amended 1984 Ky. Acts ch. 54, sec. 2, effective July 13, 1984. -- Created 1982 Ky. Acts ch. 264, sec. 8, effective January 1, 1984. Legislative Research Commission Note (7/15/2002). The amendments made to subsection (5) of this statute in 2002 Ky. Acts ch. 316, sec. 2, "shall apply for tax assessments made on or after January 1, 2003." 2002 Ky. Acts. ch. 316, sec. 5.

KRS 134.810 Date on which taxes become due or delinquent

134.810. Date on which taxes become due or delinquent (1) All state, county, city, urban-county government, school, and special taxing district ad valorem taxes shall be due and payable on or before the earlier of the last day of the month in which registration renewal is required by law for a motor vehicle renewed or the last day of the month in which a vehicle is transferred. (2) All state, county, city, urban-county government, school, and special taxing district ad valorem taxes due on motor vehicles shall become delinquent following the earlier of the end of the month in which registration renewal is required by law or the last day of the second calendar month following the month in which a vehicle was transferred. (3) Any taxes which are paid within thirty (30) days of becoming delinquent shall be subject to a penalty of three percent (3%) on the taxes due. However, this penalty shall be waived if the tax bill is paid within five (5) days of the tax bill being declared delinquent. Any taxes which are not paid within thirty (30) days of becoming delinquent shall be subject to a penalty of ten percent (10%) on the taxes due. In addition, interest at an annual rate of fifteen percent (15%) shall accrue on said taxes and penalty from the date of delinquency. A penalty or interest shall not accrue on a motor vehicle under dealer assignment pursuant to KRS 186A.220. (4) When a motor vehicle has been transferred before registration renewal or before taxes due have been paid, the owner pursuant to KRS 186.010(7)(a) and (c) on January 1 of any year shall be liable for the taxes on the motor vehicle, except as hereinafter provided. (5) If an owner obtains a certificate of registration for a motor vehicle valid through the last day of his second birth month following the month and year in which he applied for a certificate of registration, all state, county, city, urban-county government, school, and special tax district ad valorem tax liabilities arising from the assessment date following initial registration shall be due and payable on or before the last day of the first birth month following the assessment date or date of transfer, whichever is earlier. Any taxes due under the provisions of this subsection and not paid as set forth above shall be considered delinquent and subject to the same interest and penalties found in subsection (3) of this section. (6) For purposes of the state ad valorem tax only, all motor vehicles: (a) Held for sale by a licensed motor vehicle dealer, including licensed motor vehicle auction dealers; (b) That are in the possession of a licensed motor vehicle dealer, including licensed motor vehicle auction dealers, for sale, although ownership has not been transferred to the dealer; and (c) With a salvage title held by an insurance company; on January 1 of any year shall not be taxed as a motor vehicle pursuant to KRS 132.485 but shall be subject to ad valorem tax as goods held for sale in the regular course of business under the provisions of KRS 132.020(1)(e) and 132.220. (7) Any provision to the contrary notwithstanding, when any ad valorem tax on a motor vehicle becomes delinquent, the state and each county, city, urban-county government, or other taxing district shall have a lien on all motor vehicles owned or acquired by the person who owned the motor vehicle at the time the tax liability arose. A lien for delinquent ad valorem taxes shall not attach to any motor vehicle transferred while the taxes are due on that vehicle. For the purpose of delinquent ad valorem taxes on leased vehicles only, a lien on a leased vehicle shall not be attached to another vehicle owned by the lessor. (8) The lien required by subsection (7) of this section shall be filed and released by the automatic entry of appropriate information in the AVIS database. For the filing and release of each lien or set of liens arising from motor vehicle ad valorem property tax delinquency, a fee of two dollars ($2) pursuant to this section shall be added to the delinquent tax account. The fee shall be collected and retained by the county clerk who collects the delinquent tax. (9) The implementation of the automated lien system provided in this section shall not affect the manner in which commercial liens are recorded or released. Effective: June 27, 2019 History: Amended 2019 Ky. Acts ch. 151, sec. 13, effective June 27, 2019. -- Amended 2013 Ky. Acts ch. 94, sec. 4, effective June 25, 2013. -- Amended 2006 Ky. Acts ch. 255, sec. 6, effective January 1, 2007; and ch. 255, sec. 18, effective January 1, 2007. -- Amended 2005 Ky. Acts ch. 168, sec. 78, effective January 1, 2006. -- Amended 2002 Ky. Acts ch. 316, sec. 3, effective July 15, 2002. -- Amended 1998 Ky. Acts ch. 168, sec. 1, effective July 15, 1998; and ch. 600, sec. 2, effective April 14, 1998. -- Amended 1996 Ky. Acts ch. 352, sec. 2, effective July 15, 1996. -- Amended 1994 Ky. Acts ch. 20, sec. 2, effective July 15, 1994. -- Amended 1992 Ky. Acts ch. 338, sec. 25, effective July 14, 1992. -- Amended 1990 Ky. Acts ch. 106, sec. 2, effective July 13, 1990; an d ch. 437, sec. 8, effective July 13, 1990. -- Amended 1988 Ky. Acts ch. 113, sec. 4, effective December 31, 1988. -- Amended 1984 Ky. Acts ch. 54, sec. 3, effective January 1, 1985; and ch. 391, sec. 6, effective January 1, 1985. -- Created 1982 Ky. Acts ch. 264, sec. 9, effective January 1, 1984. Legislative Research Commission Note (7/15/2002). The amendments made to subsection (4) of this statute in 2002 Ky. Acts ch. 316, sec. 3, "shall apply for tax assessments made on or after January 1, 2003." 2002 Ky. Acts ch. 316, sec. 5.

KRS 134.815 Payment by clerk -- Report of clerk

134.815. Payment by clerk -- Report of clerk (1) The county clerk shall, by the tenth of each month, report under oath and pay to the state, county, city, urban-county government, school, and special taxing districts all ad valorem taxes on motor vehicles collected by him for the preceding month, less the collection fee of the county clerk, which shall be deducted before payment to the depository. The county clerk shall be required to deposit state collections in a manner consistent with procedures established by the department for the prompt payment to the state of other state tax moneys collected by the county clerk. (2) Any county clerk who fails to pay over any taxes collected by him on motor vehicles as required by subsection (1) of this section shall be required to pay a penalty of one percent (1%) for each thirty (30) day period or fraction thereof, plus interest at the legal rate per annum of such taxes. (3) The county clerk may be granted an extension, not to exceed fifteen (15) days, for filing the monthly report to each district required by this section. (4) In the event a motor vehicle is registered in a county other than that in which the vehicle had a taxable situs as of the most recent assessment date, the county clerk in the new county of registration shall be charged with collecting the ad valorem taxes due for the state, county, city, urban-county government, school and special tax districts in which the vehicle had situs. The county clerk making such collections shall receive commissions on collections as set out for other collections on motor vehicles. (5) All moneys collected under this section by a county clerk on motor vehicles which had a taxable situs in another county shall be reported and deposited with the state, after he has deducted the appropriate commissions due from these collections, and such collections shall be distributed to the proper tax district. (6) The department shall provide procedures governing receipt and disbursement of all moneys collected under subsections (4) and (5) of this section. Effective: June 20, 2005 History: Amended 2005 Ky. Acts ch. 85, sec. 282, effective June 20, 2005. -- Amended 1988 Ky. Acts ch. 355, sec. 1, effective July 15, 1988. -- Amended 1984 Ky. Acts ch. 54, sec. 4, effective January 1, 1985. -- Created 1982 Ky. Acts ch. 264, sec. 10, effective January 1, 1984. Legislative Research Commission Note. A technical correction has been made in subsection (5) by the Reviser of Statutes pursuant to KRS 7.136.

KRS 134.820 Final settlement

134.820. Final settlement (1) Each county clerk shall annually, by January 31 of each year, make a settlement with the state, county, city, urban-county government, school, and special taxing districts for all ad valorem taxes on motor vehicles collected for the prior tax period. In the event that any county clerk resigns, dies or otherwise vacates his office, a settlement with all districts shall be made within thirty (30) days from the date the office is vacated. (2) On final settlement, the clerk shall pay the state, county, city, urban-county government, school, or special taxing districts all moneys remaining in his hands to which they are entitled. Effective: January 1, 1985 History: Amended 1984 Ky. Acts ch. 54, sec. 5, effective January 1, 1985. -- Created 1982 Ky. Acts ch. 264, sec. 11, effective January 1, 1984.

KRS 134.825 Data processing costs for AVIS for ad valorem collections to be paid by Department of Revenue

134.825. Data processing costs for AVIS for ad valorem collections to be paid by Department of Revenue The Department of Revenue shall be responsible for payment of all expenses related to the development and implementation of computer and administrative systems necessary to carry out the provisions of KRS 134.805, 134.810 and 186A.145 and, further, shall reimburse each state agency involved for all ongoing operational costs, including the calculation, preparation, and mailing of notices of ad valorem property tax due on motor vehicles, incurred by each such agency in administering the provisions of KRS 134.805, 134.810 and 186A.145. Effective: June 20, 2005 History: Amended 2005 Ky. Acts ch. 85, sec. 283, effective June 20, 2005. -- Amended 1990 Ky. Acts ch. 112, sec. 1, effective July 13, 1990. -- Created 1988 Ky. Acts ch. 113, sec. 11, effective March 28, 1988.

KRS 134.830 County clerk to collect ad valorem taxes on motorboats

134.830. County clerk to collect ad valorem taxes on motorboats The collection of ad valorem taxes on motorboats shall be administered in the same manner and according to the same procedures provided for motor vehicles in KRS 134.800 to 134.820. Effective: January 1, 1990 History: Created 1988 Ky. Acts ch. 163, sec. 2, effective January 1, 1990.

KRS 134.990 Penalties

134.990. Penalties (1) Any sheriff who fails to make his or her annual settlement available as required by KRS 134.192, or who fails to remit any amounts which are due to the taxing districts as required by law, shall be subject to indictment in his or her county of residence, and upon conviction shall be fined not less than five hundred dollars ($500) nor more than five thousand dollars ($5,000). (2) Any sheriff who violates KRS 134.160(5) shall be fined not less than one hundred dollars ($100) nor more than five hundred dollars ($500) for each offense. (3) Any sheriff who fails to maintain accurate records of ad valorem taxes collected, or who fails to collect taxes due that were collectable shall be held liable on his or her bond for the amount of the tax, penalties, interest, and costs due, plus a thirty percent (30%) penalty thereon. Action shall be brought in the Circuit Court of the county in which the tax is due, on motion of the county attorney or department on behalf of the state. All actions shall be prosecuted by the county attorney, who shall be entitled to retain the penalty recovered for services rendered if all amounts otherwise due are recovered and paid to the taxing jurisdictions entitled to receive those amounts. (4) Any outgoing sheriff who fails for ten (10) days to comply with KRS 134.215 shall be fined not less than fifty dollars ($50) nor more than five hundred dollars ($500), and be liable on his or her bond for any default. (5) In addition to the penalty imposed by KRS 134.191, any sheriff who fails to report as required in KRS 134.191 shall be fined not less than one hundred dollars ($100) nor more than five hundred dollars ($500). (6) Any person who is required to register with the department pursuant to KRS 134.129 who fails to register shall be fined not less than ten dollars ($10) or more than five hundred dollars ($500) for each certificate of delinquency purchased while the person was not registered but should have been. (7) Any person who willfully fails to comply with any administrative regulation promulgated under KRS 134.547(3) shall be fined not less than twenty dollars ($20) nor more than one thousand dollars ($1,000). (8) Any county attorney who contracts with the department to collect certificates of delinquency and personal property certificates of delinquency who fails to send the notices required by KRS 134.504(4) shall be fined not less than ten dollars ($10) nor more than one hundred dollars ($100) for each notice that he or she fails to send. (9) Any sheriff who fails to keep his or her books in an intelligible manner and according to the form prescribed by the department, or to make the entries required by law, shall be fined not less than fifty dollars ($50) nor more than two hundred dollars ($200) for each offense. (10) Any third-party purchaser who attempts to circumvent the fairness of the sale process established pursuant to KRS 134.128 by involving multiple entities or individuals in the bidding process at the annual sale: (a) Shall be guilty of a Class A misdemeanor; (b) May have the registration required by KRS 134.129 revoked; and (c) May be prohibited from participating in future sales of priority certificates of delinquency. The county attorney and the Attorney General shall have concurrent jurisdiction for the investigation and prosecution of offenses under this section. (11) (a) Any third-party purchaser who knowingly: 1. Demands costs or fees in excess of those permitted by KRS 134.452; 2. Fails to send notices as required by KRS 134.490, or to include in the notices the information required by KRS 134.490; or 3. Fails to provide revised contact information as required by KRS 134.490; shall be subject to a fine of not less than one hundred dollars ($100) nor more than two hundred fifty dollars ($250) for the first offense, and for the second and any subsequent offenses, shall be fined not less than two hundred fifty dollars ($250) nor more than five hundred dollars ($500). (b) As used in this subsection, "knowingly" has the same meaning as in KRS 501.020. (12) Any person who fails to do an act required, or does an act forbidden, by any provision of this chapter for which no other penalty is provided shall be fined not less than ten dollars ($10) nor more than five hundred dollars ($500). Effective: April 7, 2010 History: Amended 2010 Ky. Acts ch. 75, sec. 12, effective April 7, 2010. -- Amended 2009 Ky. Acts ch. 10, sec. 30, effective January 1, 2010. -- Amended 2007 Ky. Acts ch. 14, sec. 7, effective June 26, 2007. -- Amended 2005 Ky. Acts ch. 85, sec. 284, effective June 20, 2005. -- Amended 1998 Ky. Acts ch. 209, sec. 18, effective March 30, 1998. -- Amended 1994 Ky. Acts ch. 73, sec. 3, effective July 15, 1994. -- Repealed and reenacted 1990 Ky. Acts ch. 476, Pt. V, sec. 350, effective July 13, 1990. -- Amended 1980 Ky. Acts ch. 240, sec. 5, effective July 15, 1980. -- Amended 1978 Ky. Acts ch. 371, sec. 10, effective January 1, 1981. -- Amended 1958 Ky. Acts ch. 126, sec. 10. -- Recodified 1942 Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat. secs. 4029, 4037, 4067, 4135, 4139, 4143, 4145, 4147, 4149b- 8, 4149b-12, 4166, 4260c.
Source: Kentucky Legislative Research Commission (legislature.ky.gov)URL: https://apps.legislature.ky.gov/law/statutes/chapter.aspx?id=37639Fetched: 10/20/2026

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