SALT Update: Kentucky Tax Amnesty
Posted by: Brett Neate, CPA
Kentucky will kick off a 61-day tax amnesty program beginning today - October 1, 2012. The program will be available to all taxpayers owing taxes, penalties, fees, or interest subject to the administrative jurisdiction of the Department of Revenue (DOR), with the exception of property taxes or penalties related to cigarettes or fuel licenses.
For taxes which are owed as a result of the non-reporting or under reporting of tax liabilities or the nonpayment of any account receivable owed by an eligible taxpayer, the Commonwealth will waive criminal prosecution and all civil penalties and fees which may be assessed for the taxable years or periods for which tax amnesty is requested. Taxes paid under the amnesty program will bear interest at one-half the tax interest rate, except that taxpayers who have an installment payment plan must pay the full amount of interest.
Delinquent taxpayers who do not apply for amnesty will face higher penalties and an additional two percent in interest; contact the trusted State and Local Tax experts of Zinner & Co. to discuss taking advantage of this rare opportunity before it is too late.