Skip to Content

House Bill 487 (and its companion HB 366) raises taxes/revenue AT LEAST 41 different ways:

  1. Raises cigarette tax by 50 cents per pack.
  2. Imposes a floor stocks tax on cigarettes.

 

EXPANDED ADMISSIONS TAX, which includes:

  1. Bowling
  2. Skating rinks
  3. Health spas
  4. Swimming pools
  5. Tennis courts
  6. Weight training
  7. Fitness centers
  8. Golfing

 

SALES TAX ADDED TO SERVICES:

  1. Landscaping
  2. Janitorial
  3. Small-animal veterinary services
  4. Pet-care services
  5. Non-coin-operated laundry and dry-cleaning services
  1. Linen supply services
  2. Indoor tanning services
  3. Non-medical diet and weight-reducing services
  4. 19.Limousine services
  1. Extended-warranty services

 

INCOME TAX DEDUCTIONS REMOVED:

  1. Investment interest
  2. Taxes
  3. Losses
  4. Medical-care expenses
  5. Moving expenses
  6. Other miscellaneous deductions
  7. Any deduction allowed by the Internal Revenue Code for amounts allowed under state law in calculating the value of the distributive shares of the estate of a decedent, unless there is filed with the income return a statement that the deduction has not been claimed under that law.
  8. Any deduction allowed by U.S.C. sec. 151 for personal exemptions.
  9. Amend net income to disallow the 20% deduction related to pass-through income to individuals under Section 199A of the Internal Revenue Code.
  10. Eliminate the $10 personal credit for the taxpayer.
  11. spouse, and
  12. each dependent
  13. Disallows Domestic Production Activities Deduction in conformance with Internal Revenue Code.
  14. Reduces pension-income exclusion from$41, 1 00 to $31, 1 00

 

CORPORATE INCOME TAXES (this will increase taxes for some, lower them for others):

  1. This changes the requirement for a combined report based on being a member of a unitary business group
  2. Market-based sourcing of safes.

MISCELLANEOUS INCREASES:

  1. For the current budget cycle, there is a new $2 fee for each new motor vehicle tire purchased, and sales tax is collected on it. That is up from the $1 fee that had been charged, and that fee was not subject to the sales tax.
  2. Allows a KCTCS fee not to exceed $8 per credit hour to be used exclusively for debt service.
  3. Imposes sales and use tax on property certified as a pollution control facility.
  4. Suspends the motion picture production company sales tax incentive until July 1, 2022.
  5. Requires the Department of Fish and Wildlife Resources to pay an assessment in an amount equal to 5% of the debt service associated with the Kentucky State Police two-way radio system.

 

Walker Thomas voted to INCREASE taxes 41 different ways!