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) as shown on Form 740, page 1. Your Social Security Number PART I TAX COMPUTATION A. Spouse 1. Enter Taxable Income from Form 740, line 15 ..................................................................... 1 2. Enter tax on amount from line 1 using the Tax Rate Schedule in Part III or enter tax from Schedule J (Kentucky Farm Income Averaging) (attached) ............... 2 3. Enter tax from Form 4972-K (Kentucky Tax on Lump-Sum Distributions) ........................ 3 4. Add lines 2.

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Kentucky's individual income tax law is based on the Internal Revenue Code in effect as of December 31, 2022​​​​​. The tax rate is four and one-half (4.5) percent and allows itemized deductions and certain income reducing deductions as defined in KRS 141.019​.

Kentucky imposes a flat income tax of 4.5%. The tax rate is the same no matter what filing status you use. Aside from state and federal taxes, many Kentucky residents are subject to local taxes, which are called occupational taxes.

In September 2022, the Kentucky Department of Revenue announced the individual tax rate of 4.5% for 2023, a 0.5% decrease from 2022.

Kentucky has a flat 4.50 percent individual income tax rate. There are also jurisdictions that collect local income taxes. Kentucky has a 5.00 percent corporate income tax rate. Kentucky has a 6.00 percent state sales tax rate and does not levy any local sales taxes.

Locate the tax table in IRS Publication 17 for the tax year you are filing. Find the income bracket that contains your taxable income in the left hand column of the table. For example, if you have $33,460, you would use the income bracket ranging from $33,450 to $33,500.

If you make $120,000 a year living in the region of Kentucky, USA, you will be taxed $34,569. That means that your net pay will be $85,431 per year, or $7,119 per month.

Annual wages minus the Kentucky standard deduction equals annual Kentucky wages. Compute tax on wages using the 4% Kentucky flat tax rate to determine gross annual Kentucky tax. Divide the gross annual Kentucky tax by the number of annual pay periods to determine the Kentucky withholding tax for the pay period.

Additions to Federal Adjusted Gross Income. Line 1—Interest on securities issued by other states and their political subdivisions is taxed by Kentucky and must be reported. Also report dividends received from regulated investment companies (mutual funds) that are taxable for Kentucky income tax purposes.

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© Copyright 1997-2025
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Form Packages
Adoption
Bankruptcy
Contractors
Divorce
Home Sales
Employment
Identity Theft
Incorporation
Landlord Tenant
Living Trust
Name Change
Personal Planning
Small Business
Wills & Estates
Packages A-Z
Form Categories
Affidavits
Bankruptcy
Bill of Sale
Corporate - LLC
Divorce
Employment
Identity Theft
Internet Technology
Landlord Tenant
Living Wills
Name Change
Power of Attorney
Real Estate
Small Estates
Wills
All Forms
Forms A-Z
Form Library
Customer Service
Terms of Service
DMCA Policy
About Us
Blog
Affiliates
Contact Us
Privacy Notice
Delete My Account
Site Map
All Forms
Search all Forms
Industries
Forms in Spanish
Localized Forms
Legal Guides
Real Estate Handbook
All Guides
Prepared for You
Notarize
Incorporation services
Our Customers
For Consumers
For Small Business
For Attorneys
Our Sites
US Legal Forms
USLegal
FormsPass
pdfFiller
signNow
airSlate workflows
DocHub
Instapage
Social Media
Call us now toll free:
1-877-389-0141
As seen in:
  • USA Today logo picture
  • CBC News logo picture
  • LA Times logo picture
  • The Washington Post logo picture
  • AP logo picture
  • Forbes logo picture
© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232