Kentucky Tax Rates by County: Car, Property & Sales Tax

How Kentucky Local Taxes Work

Motor Vehicle Property (Car) Tax

Kentucky treats motor vehicles as taxable property. January 1 is the assessment date, the county Property Valuation Administrator (PVA) is the assessor, and the county clerk collects the tax when you renew your registration. Under KRS 132.485 the standard value is the average trade-in value in the J.D. Power valuation manual. Vehicles 20 or more years old are valued at their 19th-year value, reduced 10% for each additional year. The PVA can adjust the value for condition, options, mileage, or a branded title if you provide evidence.

The state rate on non-historic vehicles is 45 cents per $100 of value. Every county adds a county-wide rate and one school district rate, and many addresses also carry a city or special district (often fire district) rate. Kentucky has no state program that reduces the tax on the first $20,000 of value, so the whole stacked rate applies to the full assessed value. Use the Kentucky car tax calculator to add the rates for your exact location.

Due date: the tax is due by the last day of the month your registration renewal is due, or by the last day of the month the vehicle is transferred if that is earlier (KRS 134.810). The Kentucky Department of Revenue mails a notice the month before renewal. Late payment adds 3% if paid within 30 days of becoming delinquent (waived within 5 days), 10% after that, plus 15% annual interest. To dispute a value, talk to the county PVA first; a written protest to the Department of Revenue is due within 60 days of the notice.

Real Property Tax

Real estate is assessed at fair cash value as of January 1, and tax bills go out in the fall. The bill stacks the state rate (10.6 cents per $100 on residential property in 2025) with the county-wide, school district, and any city or special district rates for the parcel. Under KRS 134.015, taxes are due by December 31 of the assessment year: paying in full by November 1 earns a 2% discount, November 2 through December 31 is the face amount, January brings a 5% penalty, and after January 31 the penalty is 10%. If billing is delayed, the Department of Revenue may set an alternative schedule, so check the dates printed on your county's bill.

Homeowners who are 65 or older, or classified as totally disabled, can claim the homestead exemption. For the 2025-2026 assessment years it is $49,100 of assessed value, per the Kentucky Department of Revenue.

Sales Tax

Kentucky's sales and use tax is 6% of gross receipts or purchase price, and there are no local sales and use taxes in Kentucky. Food and food ingredients for human consumption (groceries) are exempt under KRS 139.485. Candy, soft drinks, prepared food, alcoholic beverages, tobacco, and dietary supplements are taxable.