COAL TAX

KRS tit. XI, ch. 143

in effect

KRS 143.010 Definitions for chapter

143.010. Definitions for chapter As used in this chapter: (1) "Department" means the Department of Revenue; (2) "Coal" means and includes any material composed predominantly of hydrocarbons in a solid state; (3) "Severed," "severing," or "severance" means the physical removal of coal from the earth; (4) "Ton" means a short ton of 2,000 pounds. The number of tons shall be determined at the first point at which the coal is weighed; (5) (a) "Taxpayer" means and includes any individual, partnership, joint venture, association, or corporation engaged in severing and/or processing coal in this state. In instances where contracts, either oral or written, are entered into by which persons, organizations, or businesses are engaged to mine or process the coal but do not obtain title to or do not have an economic interest therein, the party who owns the coal or has an economic interest shall be the taxpayer. (b) For purposes of this chapter, a taxpayer possesses an economic interest in coal where the taxpayer has acquired by investment any interest in coal and secures, by any form of legal relationship, income derived from the severance or processing of coal, to which he must look for a return of his capital. A party who has no capital investment in the coal or who only receives an arm's length royalty shall not be considered as having an economic interest; (6) "Gross value" is defined as follows: (a) For coal severed and/or processed and sold during a reporting period, gross value shall be the amount received or receivable by the taxpayer; (b) For coal severed and/or processed, but not sold during a reporting period, gross value shall be determined as follows: 1. If the coal is to be sold under the terms of an existing contract, the contract price shall be used in computing gross value; and 2. If there is no existing contract, the fair market value for that grade and quality of coal shall be used in computing gross value; (c) In a transaction involving related parties, gross value shall be the amount received or receivable from the first noncontrolled sale by the related parties. If coal is sold to a related party for consumption, gross value shall not be less than the fair market value for coal of similar grade and quality; (d) In the absence of a sale, gross value shall be the fair market value for coal of similar grade and quality; (e) If severed coal is purchased for the purpose of processing and resale, the gross value shall be the amount received or receivable during the reporting period reduced by the amount paid or payable to the registered taxpayer actually severing the coal; (f) If severed coal is purchased for the purpose of processing and consumption, the gross value shall be the fair market value of processed coal of similar grade and quality reduced by the amount paid or payable to the registered taxpayer actually severing the coal; (g) In all instances, the gross value shall not be reduced by any taxes, including the tax levied by KRS 143.020, royalties, sales commissions, or any other expense; and (h) In all instances, transportation expense incurred in transporting coal shall not be considered as gross income from the property; (7) "Reporting period" means the period for which each taxpayer shall compute his tax liability and remit the tax due to the department. The reporting period shall be monthly. However, the department may, under certain conditions, authorize a quarterly reporting period; (8) "Processing" includes cleaning, breaking, sizing, dust allaying, treating to prevent freezing, or loading or unloading for any purpose. "Processing" shall not include: (a) Acts performed by a final consumer who is not a related party to the person who severed and/or processed the coal if such acts are performed only at the site where the coal is consumed for purposes of generating electricity; (b) The act of unloading or loading for shipment coal that has not been severed, cleaned, broken, sized, or otherwise treated in Kentucky; or (c) The use of electromagnetic energy on coal to reduce moisture, ash, sulfur, or mercury in the coal; (9) "Related party" means two (2) or more persons, organizations, or businesses owned or controlled directly or indirectly by the same interest. Control shall exist if a contract or lease, either written or oral, is entered into whereby one (1) party mines or processes coal owned or held by another party and the owner or lessor participates in the mining, processing, or marketing of the coal or receives any value other than an arm's length passive royalty interest. In the case of related parties, the department may apportion or allocate the receipts between or among the persons, organizations, or businesses if it determines that the apportionment or allocation is necessary in order to more clearly reflect gross value; (10) (a) "Transportation expense" means: 1. The amount paid by a taxpayer to a third party for transporting coal from the mine mouth or pit to a processing plant, tipple, or loading dock; and 2. The expense incurred by a taxpayer using his own facilities in transporting coal from the mine mouth or pit to a processing plant, tipple, or loading dock. (b) "Transportation expense" shall not include: 1. The cost of acquisition, improvements, and maintenance of real property; 2. The cost of acquisition and operating expenses of mining and nonmining loading or unloading facilities; or 3. The cost of acquisition and operating expenses of equipment used to load or unload the coal at the mine, processing facility, and mining and nonmining loading facility; (11) "Registered taxpayer" means a taxpayer who holds a valid coal tax certificate of registration required under KRS 143.030(1) and the certificate of registration was valid for the period in which his coal was sold; (12) "Above-drainage" means coal in a coal bed that outcrops at the surface within a mine permit area and that is accessed at the outcrop location; (13) "Below-drainage" means coal in a coal bed that does not outcrop at the surface within a mine permit area and that is accessed by mine slopes or other openings that penetrate the coal a minimum of thirty (30) feet below the surface drainage level; and (14) "Mining ratio" means the amount of bank cubic yards of surface material that must be removed before a ton of coal can be mined. Effective: July 1, 2013 History: Amended 2013 Ky. Acts ch. 119, sec. 18, effective July 1, 2013. -- Amended 2008 Ky. Acts ch. 182, sec. 1, effective July 15, 2008. -- Amended 2005 Ky. Acts ch. 85, sec. 534, effective June 20, 2005. -- Amended 2000 Ky. Acts ch. 478, sec. 1, effective July 14, 2000. -- Amended 1994 Ky. Acts ch. 133, sec. 1, effective July 15, 1994. -- Amended 1990 Ky. Acts ch. 163, sec. 7, effective July 13, 1990; and ch. 177, sec. 4, effective July 13, 1990. -- Amended 1988 Ky. Acts ch. 331, sec. 2, effective July 15, 1988. -- Amended 1978 Ky. Acts ch. 189, sec. 1, effective July 1, 1978. -- Created 1972 Ky. Acts ch. 62, Pt. II, sec. 1. Legislative Research Commission Note (7/1/2013). Under the authority of KRS 7.136(1), the Reviser of Statutes has modified the internal numbering of subsection (10) of this statute from the way it appeared in 2013 Ky. Acts ch. 119, sec. 18. The words in the text were not changed.

KRS 143.020 Imposition of tax on severance or processing of coal

143.020. Imposition of tax on severance or processing of coal For the privilege of severing or processing coal, in addition to all other taxes imposed by law, a tax is hereby levied on every taxpayer engaged in severing and/or processing coal within this Commonwealth at the rate of four and one-half percent (4.5%) of the gross value of all coal severed and/or processed during the reporting period; except that the minimum tax for a reporting period shall be an amount determined by applying a rate of fifty cents ($0.50) per ton to the total number of tons severed during the reporting period. The minimum tax shall not apply to a taxpayer who only processes coal. Effective: July 1, 1978 History: Amended 1978 Ky. Acts ch. 189, sec. 2, July 1, 1978. -- Amended 1976 Ky. Acts ch. 84, sec. 1, effective March 29, 1976. -- Created 1972 Ky. Acts ch. 62, Pt. II, sec. 2.

KRS 143.021 Tax credit for thin seam coal

143.021. Tax credit for thin seam coal (1) A nonrefundable severance tax credit against the severance tax imposed by KRS 143.020 shall be allowed for new permitted production after July 1, 2000, as follows. (a) For coal mined from above-drainage seams using deep mining or underground mining methods, the credit shall be equal to: 1. Two and one-quarter percent (2.25%) of the gross value of coal with a coal thickness of between twenty-seven (27) and thirty (30) inches; or 2. Three percent (3%) of the gross value of coal with a coal thickness of less than twenty-seven (27) inches. (b) For coal mined from below-drainage seams using deep mining or underground mining methods, the credit shall be equal to: 1. Two and one-quarter percent (2.25%) of the gross value of coal with a coal thickness of between thirty-two (32) and thirty-six (36) inches; 2. Three percent (3%) of the gross value of coal with a coal thickness of between twenty-seven (27) and thirty-two (32) inches; or 3. Three and three-quarters percent (3.75%) of the gross value of coal with a coal thickness of less than twenty-seven (27) inches. (2) Coal thickness under subsection (1) of this section shall be based on the weighted average isopach mapping of actual coal thickness by mine as certified by a professional engineer for each reporting period. The taxpayer shall attach a copy of the certified isopach mapping for each reporting period to the return filed for that period. (3) The taxpayer shall take the tax credit under this section in conjunction with the taxpayer's monthly return. Effective: July 14, 2000 History: Created 2000 Ky. Acts ch. 478, sec. 2, effective July 14, 2000.

KRS 143.022 Coal severance tax refund on exported coal -- Annual report

143.022. Coal severance tax refund on exported coal -- Annual report (1) A taxpayer engaged in severing or processing coal within this Commonwealth that has paid the tax imposed under KRS 143.020 may apply for a refund equal to the amount of tax paid under KRS 143.020 if the coal is transported directly to a market outside of the United States of America. (2) To apply for the refund allowed under subsection (1) of this section the taxpayer shall file an application for refund with the departme nt and submit all information and documentation necessary to substantiate that the tax was paid upon the coal which was transported directly to a market outside of the United States of America. (3) The refund process allowed under subsection (1) of this se ction is available beginning on or after August 1, 2020, but before July 1, 2028, and limited during any calendar year to the export of a combined total of: (a) Ten million (10,000,000) tons of coal subject to the tax imposed under KRS 143.020 and exported through United States coal export terminals to markets outside of North America; and (b) Two million five hundred thousand (2,500,000) tons of coal subject to the tax imposed under KRS 143.020 and exported through United States coal export terminals to markets outside of the United States of America and within North America. (4) (a) By November 1, 2026, and each November 1 thereafter as long a refund is issued under this section, the department shall report to the Legislative Research Commission for referr al to the Interim Joint Committee on Appropriations and Revenue: 1. By destination: a. The total tons of coal in which refunds were granted under subsection (3)(a) of this section for the taxable year; and b. The total tons of coal in which refunds were granted under subsection (3)(b) of this section for the taxable year; 2. By county: a. The total number of refunds requested for the taxable year; b. The total dollar amount of the refunds requested for the taxable year; c. The total number of refunds issued for the taxable year; and d. The total dollar amount of the refunds issued for the tax able year; and 3. By taxpayer: a. The name and location of the taxpayer requesting the refund as listed on the tax return; and b. The total dollar amount of the refund issued for the taxable year. (b) The information required to be reported under this sect ion shall not be considered confidential taxpayer information and shall not be subject to KRS Chapter 131 or any other provisions of the Kentucky Revised Statutes prohibiting disclosure or reporting of information. Effective: July 15, 2026 History: Amended 2026 Ky. Acts ch. 161, sec. 103, effective July 15, 2026. -- Amended 2024 Ky. Acts ch. 166, sec. 17, effective July 15, 2024. -- Amended 2022 Ky. Acts ch. 212, sec. 41, effective July 14, 2022. -- Created 2020 Ky. Acts ch. 91, sec. 46, effective April 15, 2020.

KRS 143.023 Limitation of tax on coal severance for coal used in burning solid waste

143.023. Limitation of tax on coal severance for coal used in burning solid waste Notwithstanding the severance tax on coal, provided in this chapter, the tax on coal used for burning solid waste shall be limited to fifty cents ($0.50) per ton or four percent (4%) of the selling price per ton whichever is less. Effective: February 26, 1991 History: Renumbered from KRS 224.8907(1), July 10, 1991. -- Created 1991 (1st Extra. Sess.) Ky. Acts ch. 12, sec. 49, effective February 26, 1991 and compiled as part of KRS 224.8907. Formerly codified as part of KRS 224.8907.

KRS 143.024 Tax incentive for purchase or severance of coal used in alternative fuel or gasification facility

143.024. Tax incentive for purchase or severance of coal used in alternative fuel or gasification facility (1) As used in this section: (a) "Alternative fuel facility" has the same meaning as in KRS 154.27-010; (b) "Approved company" has the same meaning as in KRS 154.27-010; (c) "Authority" has the same meaning as in KRS 154.27-010; (d) "Base amount" has the same meaning as in KRS 154.27-010; (e) "Capital investment" has the same meaning as in KRS 154.27-010; (f) "Eligible project" has the same meaning as in KRS 154.27-010; (g) "Energy-efficient alternative fuel facility" has the same meaning as in KRS 154.27-010; (h) "Gasification facility" has the same meaning as in KRS 154.27-010; and (i) "Tax incentive agreement" has the same meaning as in KRS 154.27-010. (2) Notwithstanding any other provision of KRS 134.580 or this chapter, an approved company that purchases or severs coal that is subject to the tax imposed under KRS 143.020 and that is specifically used by the approved company as feedstock for an alternative fuel facility, energy-efficient alternative fuel facility, or gasification facility may be eligible for an incentive under KRS 154.27-060. (3) A company approved for incentives under KRS 154.27-060 shall file a request for the incentive with the department within sixty (60) days of the completion of the construction, retrofit, or upgrade of the facility. In subsequent years, the approved company shall file a request for the incentive within sixty (60) days following the end of each calendar year. The request for incentives shall be in the form prescribed by the department through the promulgation of administrative regulations in accordance with KRS Chapter 13A. The request for incentives shall include but not be limited to the following information: (a) Verification of the base amount; (b) Verification of the tons of coal purchased and used or severed and used by the approved company as feedstock for an alternative fuel facility, energy- efficient alternative fuel facility, or gasification facility during the calendar year for which the request for incentives is being made; (c) Verification that the minimum capital investment as set forth in the tax incentive agreement has been made; (d) Verification of the output of coal-derived alternative transportation fuels, coal- derived synthetic natural gas, coal-derived liquid fuels, coal-derived energy- efficient alternative fuels, or other coal-derived chemicals or chemical feedstocks; and (e) Any other information that the department may require. (4) To assist in determining the amount of coal purchased and used or severed and used that is eligible for the incentive, the department shall obtain from the University of Kentucky Center for Applied Energy Research a reasonable and typical estimate of the tons of coal needed to produce a given output of coal-derived alternative transportation fuels, coal-derived synthetic natural gas, coal-derived liquid fuels, coal-derived energy-efficient alternative fuels, or other coal-derived chemicals or chemical feedstocks, considering: (a) The type of coal to be used; (b) Equipment to be employed; (c) Size and output of the facility; (d) Slate of products produced; and (e) Other characteristics of the alternative fuel facility, energy-efficient alternative fuel facility, or gasification facility. (5) (a) The department and the authority shall review the request for incentives jointly and shall verify that the request for incentives meets all requirements established by statute and administrative regulation. (b) The department shall verify the tax paid pursuant to KRS 143.020 on the coal purchased or severed by the approved company and used as feedstock for an alternative fuel facility, energy-efficient alternative fuel facility, or gasification facility during the calendar year for which the application was submitted and shall determine the amount of the tax paid that qualifies for distribution to the approved company pursuant to this section. (c) The incentive amount shall be distributed to the approved company in quarterly installments beginning on July 1 of the year following the calendar year for which the request for incentives required under this section was submitted. (6) The approved company seeking incentives shall execute information-sharing agreements prescribed by the department with vendors from which it purchased coal to verify the value of coal purchased by the approved company and used as feedstock for an alternative fuel facility, energy-efficient alternative fuel facility, or gasification facility and the amount of tax paid under KRS 143.020 on such coal. (7) The department shall notify the authority of the incentive distributed to each approved company upon request. Effective: July 15, 2010 History: Amended 2010 Ky. Acts ch. 60, sec. 4, effective July 15, 2010. -- Created 2007 (2d Extra. Sess.) Ky. Acts ch. 1, sec. 11, effective August 30, 2007. Legislative Research Commission Note (8/30/2007). A manifest clerical or typographical error in subsection (4) of this section has been corrected by the Reviser of Statutes during codification pursuant to the authority of KRS 7.136.

KRS 143.025 Determination of taxable gross value of severed coal

143.025. Determination of taxable gross value of severed coal (1) Taxpayers severing coal in Kentucky and partially or wholly processing the coal outside of Kentucky thereafter and taxpayers severing coal outside of Kentucky and partially or wholly processing the coal in Kentucky thereafter shall determine and report the gross value of the coal by application of the following formula: (a) Determine the direct cost of severing or processing the coal in Kentucky as defined in paragraphs (d) and (e) of this subsection. (b) Determine the direct cost of severing or processing the coal outside of Kentucky as defined in paragraphs (d) and (e) of this subsection. (c) Exclude from paragraphs (a) and (b) of this subsection transportation expense and overhead cost as defined in paragraph (f) of this subsection. (d) Include in the direct cost of severing coal: black lung excise tax; contract mining, less transportation expense contained therein; cost depletion; depreciation; development; equipment rental; explosives; fuel; labor and associated expenses; maintenance; reclamation; royalties when based on tons severed; and wheelage. (e) Include in the direct cost of processing coal: depreciation; equipment rental; fee processing; fuel; labor and associated expense; maintenance; and refuse disposal. (f) Include in the overhead costs: commissions; freight yard and siding expense; general expense; general insurance and supervision; general office expense; idle time expense; inventory adjustments; mine closing expense; officers' salaries; percentage depletion; quality analysis; scale and weighman's expense; transportation expense and taxes, including sales, coal severance, property, franchises, and state income taxes. (2) For purposes of computing the formula under this section, any expense which is not directly attributable to either the severing or processing of the coal shall be classified as an overhead cost. (3) Direct cost determined in subsection (1)(a) of this section divided by the total of direct cost determined in subsection (1)(a) of this section and the direct cost determined in subsection (1)(b) of this section and the result multiplied by the gross value of the coal shall equal the proportion of gross value which is subject to the tax levied under KRS 143.020. (4) Any taxpayer determining taxable gross value as provided in this section shall submit supporting computations and classifications of cost with each coal tax return, unless the department authorizes the taxpayer to submit the supporting information on a basis other than monthly. Effective: July 1, 2013 History: Amended 2013 Ky. Acts ch. 119, sec. 19, effective July 1, 2013. -- Amended 2005 Ky. Acts ch. 85, sec. 537, effective June 20, 2005. -- Created 1990 Ky. Acts ch. 163, sec. 2, effective July 13, 1990.

KRS 143.030 Application for certificate of registration -- Tax return -- Revocation of certificate -- Penalty for operation without certificate

143.030. Application for certificate of registration -- Tax return -- Revocation of certificate -- Penalty for operation without certificate (1) Every individual, partnership, joint venture, association, limited liability company, limited liability partnership, corporation, or other business entity engaged in severing or processing coal shall, prior to July 1, 1978, or prior to severing or processing coal in this Commonwealth, file an application for a certificate of registration in such form as the department may prescribe. Every application shall be signed by: (a) The owner if a natural person; (b) A member or partner if the entity is an association, limited liability company, limited liability partnership, or partnership; (c) An executive officer, if the entity is a corporation, or some person specifically authorized by the corporation to sign the application, to which shall be attached written evidence of his or her authority; or (d) A licensed certified public accountant, or an attorney licensed to practice law in the Commonwealth of Kentucky, acting on behalf of the owner, association, partnership, limited liability company, limited liability partnership, corporation, or other business entity. (2) On or before the twentieth day of the month following the reporting period in which any coal is severed or processed, the taxpayer severing or processing such coal shall file with the department a tax return in such form as the department may require and remit the amount of the tax due. A tax return is required for each reporting period even though there may be no tax liability. (3) Whenever any taxpayer fails to comply with any provisions of this chapter, or any rule or regulation of the department relating thereto, the department may order the suspension or revocation of the certificate of registration held by such taxpayer. (4) Any taxpayer, including any officer of a corporation, who conducts a coal severing or processing operation in this state without obtaining a certificate of registration or after a certificate of registration has been suspended or revoked, shall be guilty of a misdemeanor and upon conviction therefor, shall be fined an amount not less than one hundred dollars ($100) nor more than one thousand dollars ($1,000) or imprisoned for a period not to exceed six (6) months or both such fine and imprisonment. Effective: June 20, 2005 History: Amended 2005 Ky. Acts ch. 85, sec. 538, effective June 20, 2005. -- Amended 2002 Ky. Acts ch. 44, sec. 3, effective July 15, 2002. -- Amended 1978 Ky. Acts ch. 189, sec. 3, effective July 1, 1978. -- Created 1972 Ky. Acts ch. 62, sec. 3.

KRS 143.035 Collection and payment of tax by processor -- Agreement with department

143.035. Collection and payment of tax by processor -- Agreement with department Notwithstanding any other provisions of this chapter to the contrary, where the department finds that it would facilitate and expedite the collection of the tax imposed by this chapter, the department may authorize the taxpayer processing the coal to report and pay the tax which would be due from the taxpayer severing the coal. Authorization from the department shall be in the form of an agreement executed by the taxpayer processing the coal, the taxpayer severing the coal and the department. The agreement shall be in such form as the department may prescribe. The agreement must be signed by the owners if the taxpayers are natural persons; in the case of a partnership or association by a partner or member; in the case of a corporation, by an executive officer or some person specifically authorized by the corporation to sign the application. The director of the sales and severance tax division shall sign for the department. The agreement may be terminated by any party to the agreement upon giving thirty (30) days written notice to the other parties to the agreement; however, the department may terminate the agreement immediately upon written notice to the other parties when either the taxpayer processing the coal or the taxpayer severing the coal fails to comply with the terms of the agreement. Effective: June 20, 2005 History: Amended 2005 Ky. Acts ch. 85, sec. 539, effective June 20, 2005. -- Created 1978 Ky. Acts ch. 189, sec. 6, effective July 1, 1978.

KRS 143.037 Certificates or forms for verification of deduction by processor -- Statement required for coal severed outside of state -- Deduction prohibited for nonregistrants or untraceable purchases

143.037. Certificates or forms for verification of deduction by processor -- Statement required for coal severed outside of state -- Deduction prohibited for nonregistrants or untraceable purchases (1) For the purpose of administering KRS 143.010(6)(e) and (f), the department shall provide to all registered taxpayers, who sell severed or processed coal that will subsequently be claimed as a deduction for purchased coal, certificates or other similar forms designed for the purpose of permitting the processor of the coal to verify his deduction for purchased coal. If coal which has been severed outside this state is purchased by a processor, he shall acquire a statement in such form as the department may prescribe from the person severing the coal outside this state. (2) A deduction for purchased coal shall not be allowed for purchases of coal originating from persons severing coal in this state who are not registered to report and pay the tax due under this chapter or for purchases of coal which cannot be traced to a person who severed the coal outside this state. Effective: June 20, 2005 History: Amended 2005 Ky. Acts ch. 85, sec. 540, effective June 20, 2005. -- Created 1988 Ky. Acts ch. 331, sec. 1, effective July 15, 1988.

KRS 143.040 Administration by Department of Revenue

143.040. Administration by Department of Revenue The Department of Revenue shall administer the provisions of this chapter and shall, subject to the provisions of KRS 143.090, have all the powers, rights, duties, and authority with respect to promulgation of rules and regulations, assessment, collection, refunding and administration of the taxes levied by this chapter conferred generally on it by the Kentucky Revised Statutes including Chapters 131, 134, and 135 of such statutes. Effective: June 20, 2005 History: Amended 2005 Ky. Acts ch. 85, sec. 535, effective June 20, 2005. -- Amended 1976 Ky. Acts ch. 84, sec. 2, effective March 29, 1976. -- Created 1972 Ky. Acts ch. 62, Pt. II, sec. 4.

KRS 143.050 Bond for payment -- Court action on unpaid bond

143.050. Bond for payment -- Court action on unpaid bond (1) Any taxpayer charged with the filing of reports and payment of the tax imposed by this chapter may be required to post a cash or corporate surety bond in an amount to be determined by the department. (2) The Commonwealth may bring an action for a restraining order, temporary or permanent injunction to restrain or enjoin the operation of a taxpayer's business until the bond is posted. Such action may be brought in the Franklin Circuit Court or in the Circuit Court having jurisdiction of the taxpayer. Effective: June 20, 2005 History: Amended 2005 Ky. Acts ch. 85, sec. 541, effective June 20, 2005. -- Created 1972 Ky. Acts ch. 62, Pt. II, sec. 5.

KRS 143.060 Filing of return -- Review of department -- Assessment on understatement of value

143.060. Filing of return -- Review of department -- Assessment on understatement of value (1) As soon as practicable after each return is received, the department shall examine and audit it. If the amount of tax computed by the department is greater than the amount returned by the taxpayer, the excess shall be assessed within four (4) years from the date the return was filed, except as provided in subsection (2) of this section, and except that in the case of a failure to file a return or of a fraudulent return, the excess may be assessed at any time. A notice of such assessment shall be mailed to the taxpayer. The time herein provided may be extended by agreement between the taxpayer and the department. (2) For the purpose of subsections (1) and (4) of this section, a return filed before the last day prescribed by law for the filing thereof shall be considered as filed on such last day. (3) Any final ruling, order or determination of the department with regard to the administration of this chapter may be reviewed only in the manner provided in KRS 49.200 to 49.250 and 131.110. (4) Notwithstanding the four (4) year time limitation of subsection (1), in the case of a return where the taxpayer understates the gross value by twenty-five percent (25%) or more, the excess shall be assessed by the department within six (6) years from the date the return was filed. Effective:June 29, 2017 History: Amended 2017 Ky. Acts ch. 74, sec. 88, effective June 29, 2017. -- Amended 2005 Ky. Acts ch. 85, sec. 542, effective June 20, 2005. -- Amended 1978 Ky. Acts ch. 189, sec. 4, effective July 1, 1978. -- Created 1972 Ky. Acts ch. 62, Pt. II, sec. 6.

KRS 143.070 Civil penalties for violation of chapter

143.070. Civil penalties for violation of chapter Any person who violates any of the provisions of this chapter shall be subject to the uniform civil penalties imposed pursuant to KRS 131.180. Effective: July 14, 1992 History: Amended 1992 Ky. Acts ch. 403, sec. 21, effective July 14, 1992. -- Created 1972 Ky. Acts ch. 62, Pt. II, sec. 7.

KRS 143.080 Interest

143.080. Interest Any tax not paid on or before the due date shall bear interest at the tax interest rate as defined in KRS 131.010(6) from the date due until paid. Effective: July 1, 1982 History: Amended 1982 Ky. Acts ch. 452, sec. 28, effective July 1, 1982. -- Created 1972 Ky. Acts ch. 62, Pt. II, sec. 8.

KRS 143.085 Corporate officers personally liable

143.085. Corporate officers personally liable Notwithstanding any other provisions of this chapter to the contrary, the president, vice president, secretary, treasurer, or any other person holding any equivalent corporate office of any corporation subject to the provisions of this chapter shall be personally and individually liable, both jointly and severally, for the taxes imposed under this chapter, and neither the corporate dissolution nor withdrawal of the corporation from the state nor the cessation of holding any corporate office shall discharge the foregoing liability of any person. The personal and individual liability shall apply to each and every person holding corporate office at the time the taxes become or became due. No person will be personally and individually liable pursuant to this section who had no authority in the management of the business or financial affairs of the corporation at the time that the taxes imposed by this chapter become or became due. Taxes as used in this section include interest accrued at the rate provided by KRS 143.080, and all applicable penalties imposed under this chapter, and all applicable penalties and fees imposed under KRS 131.180, 131.410 to 131.445, and 131.990. Effective: July 15, 1994 History: Amended 1994 Ky. Acts ch. 65, sec. 20, effective July 15, 1994. -- Created 1988 Ky. Acts ch. 322, sec. 10, effective July 15, 1988.

KRS 143.090 Revenue credited to road fund and Office of Energy Policy

143.090. Revenue credited to road fund and Office of Energy Policy (1) The Transportation Cabinet shall certify to the commissioner of the Department of Revenue by October 1 of each fiscal year the amount required for lease rental payments to the Kentucky Turnpike Authority for resource recovery road projects. (2) The Office of Energy Policy shall certify to the commissioner of the Department of Revenue by October 1 of each year the amount of the annual lease rental payments required to be made for any energy research development or demonstration project undertaken by the Office of Energy Policy. The amount so certified shall in no case exceed three million dollars ($3,000,000) in any one (1) year. (3) Upon receiving the certifications provided for in subsections (1) and (2) of this section, the commissioner of the Department of Revenue shall cause the certified amounts to be deposited from the proceeds of the tax levied by KRS 143.020 to the credit of the transportation fund and the Office of Energy Policy, respectively, unless otherwise provided by the General Assembly in a budget bill, as follows: (a) An amount equal to the amount certified by the Transportation Cabinet shall be deposited to the transportation fund (road fund); and (b) An amount equal to the amount certified by the Office of Energy Policy shall be transferred by appropriate interfund transfer procedures to the Office of Energy Policy. (4) All tax levied by KRS 143.020 collected in excess of the amount required to be deposited to the transportation fund (road fund) or transferred to the Office of Energy Policy shall be deposited by the Department of Revenue to the credit of the general fund. (5) If the proceeds of the tax levied by KRS 143.020 are less than the amounts certified under subsections (1) and (2) of this section, the commissioner of revenue shall prorate the proceeds to the transportation fund and the Office of Energy Policy based upon the ratio of each certified amount to the total of the two (2) certified amounts. Effective: July 14, 2018 History: Amended 2018 Ky. Acts ch. 29, sec. 9, effective July 14, 2018. -- Amended 2010 Ky. Acts ch. 24, sec. 115, effective July 15, 2010. -- Amended 2006 Ky. Acts ch. 152, sec. 5, effective July 12, 2006. -- Amended 2005 Ky. Acts ch. 85, secs. 536 and 543, effective June 20, 2005. -- Amended 2000 Ky. Acts ch. 2, sec. 3, effective July 14, 2000. -- Amended 1994 Ky. Acts ch. 277, sec. 5, effective July 15, 1994. -- Amended 1990 Ky. Acts ch. 325, sec. 26, effective July 13, 1990. -- Amended 1984 Ky. Acts ch. 410, sec. 8, effective July 13, 1984. -- Amended 1980 Ky. Acts ch. 298, sec. 2, effective July 15, 1980. -- Amended 1978 Ky. Acts ch. 189, sec. 5, effective July 1, 1978. -- Amended 1976 Ky. Acts ch. 84, sec. 3, effective March 29, 1976. -- Created 1972 Ky. Acts ch. 62, Pt. II, sec. 9.

KRS 143.100 Political subdivisions prohibited from taxing any operations relating to coal production

143.100. Political subdivisions prohibited from taxing any operations relating to coal production No city, county, taxing district or other unit of government, except the Commonwealth of Kentucky, shall levy any occupational, license, excise, severance or other tax, assessment or impost of any kind whatsoever upon the severance, processing, sale, use, transportation, or other handling of coal within the Commonwealth of Kentucky. Effective: March 29, 1976 History: Created 1976 Ky. Acts ch. 84, sec. 4, effective March 29, 1976.

KRS 143.990 Penalty

143.990. Penalty Any taxpayer who fails to file required returns or remit the tax due under this chapter or who falsifies or alters a certificate or other form required under KRS 143.037 shall be guilty of a misdemeanor and upon conviction therefor shall be fined an amount not to exceed one thousand dollars ($1,000) or imprisoned for a period not to exceed six (6) months, or both. Effective: July 15, 1988 History: Amended 1988 Ky. Acts ch. 331, sec. 3, effective July 15, 1988. -- Created 1972 Ky. Acts ch. 62, Pt. II, sec. 10.

Source: Kentucky Legislative Research Commission (legislature.ky.gov)URL: https://apps.legislature.ky.gov/law/statutes/chapter.aspx?id=37685Fetched: 10/20/2026