HB 487 – Sales Tax Impact on Nonprofits
Section 36 of House Bill 487, which goes into effect July 1, contains language that imposes sales and use tax on certain services. Due to a recent...
The manufacturing industry is the largest contributor to Kentucky’s gross domestic product. As an incentive to attract new manufacturers to locate their operations in Kentucky, certain items have been exempted from Kentucky sales tax.
Materials purchased to be processed in order to become part of the finished product are exempt. In addition, exemptions are available for qualifying supplies, tools, machinery for “new and expanded industry”.
Sales tax exemptions are also available for the cost of energy used in the manufacturing process to the extent that these costs exceed 3% of the cost of production.
The above items are very general in nature. A determination of whether or not a specific item is exempt from sales tax should be discussed with your tax advisor.
posted by Bill Upchurch, CPA/ABV/CFF, CFE, CVA
Section 36 of House Bill 487, which goes into effect July 1, contains language that imposes sales and use tax on certain services. Due to a recent...
In October 1, 2012, the Kentucky Department of Revenue started a tax amnesty program for taxpayers owing back taxes to Kentucky. This program...
On March 20, 2020, Treasury Secretary Steven Mnuchin announced that the April 15th deadline for filing federal income tax returns and making payments...