|to Local Government (H)
|AN ACT relating to local taxation of business.
|Bill Request Number
|Summary of Original Version
|Amend KRS 67.750 to exempt any proceeds derived by a business entity from the transfer or sale of business property from the definition of "gross receipts" and "net profit" for purposes of local net profits, gross receipts, and occupational license taxes; amend KRS 67.758 to require that any overpayments of local net profits, gross receipts, or occupational license taxes shall be applied to any past deficiencies or nonpayment remaining due, prior to being provided as a refund of the current year tax due, and to clarify that the business entity has the option of applying any refund to future payments of estimated tax; amend KRS 67.760 to make technical corrections clarifying that for purposes of the local taxes on business, computations of gross income, gross receipts, and accounting procedures shall be as nearly identical as is possible to the requirements of the federal income tax laws and to require that the same calendar or fiscal year used for federal tax purposes shall be used for local purposes; amend KRS 67.768 to eliminate the requirement that business entities must submit copies of their federal income tax return with their local returns, and allow any local tax district to compel the business entity to provide any portion of the federal return if necessary to audit the local return; amend KRS 67.770 to require that a local tax district must grant a filing extension to a business entity that has been granted an extension for federal tax purposes by the Internal Revenue Service; amend KRS 67.790 to require a local tax district to waive all penalties assessed against a business entity if it is ultimately determined that the entity owes no tax, and to eliminate the minimum penalty provisions for failure to file a return or timely pay tax; create a new section of KRS 67.750 to 67.790 to require that for an individual who must pay a local tax as a business entity, and who for federal tax purposes reports income on one or more schedules of a single federal return, that all income and expenses subject to tax by a local tax district shall be combined to calculate one amount of net profit or gross receipts on which to levy the tax due; create a new section of KRS 67.750 to 67.790 to declare the purpose and intent of KRS 67.750 to 67.790; repeal KRS 67.765.
|Index Headings of Original Version
Local Mandate - Local net profits, gross receipts, occupational taxes, amend administrative requirements
Local Government - Local taxation of business; amend administrative requirements
Taxation - Local net profits, gross receipts, occupational taxes; amend administrative requirements
Taxation, Income--Corporate - Local net profits, gross receipts, occupational taxes; amend administrative requirements
Taxation, Income--Individual - Local net profits, gross receipts, occupational taxes; amend administrative requirements
Last updated: 8/28/2019 7:34 AM (EDT)