Bill Containing Industrial Sector Changes Passes Kentucky House

A Kentucky bill with property tax and utility gross receipts license tax provisions concerning the industrial sector has passed the House.

Property Tax

As currently drafted, the bill would impose an annual ad valorem tax of $0.05 on every $100 of the value of heavy equipment held in a heavy equipment rental company’s inventory for sale or for short-term rental without an operator. Qualified equipment would primarily be used or designed for construction, mining, forestry, or industrial purposes.

Utility Gross Receipts License Tax

The bill as passed by the House would amend a utility gross receipts license tax exemption for energy or energy-producing fuels. As currently drafted, the bill would amend the exemption to apply to sales of such fuels to those engaged in manufacturing or industrial processing who present a utility gross receipts license tax direct pay authorization.

H.B. 354, as passed by the Kentucky House of Representatives on February 21, 2019

Login to read more on CCHAnswerConnect.

Not a subscriber? Sign up for a free trial or contact us for a representative.

AUTHOR

CCHTaxGroup

All stories by: CCHTaxGroup