If your business has recently started operating in Kentucky, you may need to register for sales tax with the Kentucky Department of Revenue. Sales tax registration is required for businesses that sell tangible personal property or taxable services in the state.
How to get a Kentucky Sales Tax License
There are 2 sales tax setup tasks you may need to complete in Kentucky to get your sales tax licence. You can follow the guide below to help you get registered directly with the Kentucky agencies or use Mosey to do it.
Use Mosey to register for sales tax in Kentucky.
Avoid the manual work and headache of registering with state agencies yourself. Automate it with Mosey and stay compliant.
Kentucky Sales Tax Setup for LLC, LLP, Corporation
Businesses with a physical presence in Kentucky have nexus with the state and are required to register with the Department of Revenue for a sales tax account. Businesses without a physical presence in Kentucky that have 200 or more separate sales into the state or $100,000 or more in gross receipts from sales into Kentucky are also subject to pay sales tax. The transaction and gross receipts thresholds are based on the previous or current calendar year sales. Note: Nonprofit organizations are subject to sales and use taxes and required to register with the Department of Revenue. Additionally, 501(c)(3) nonprofits are eligible to apply for Purchase Exemption in order to make qualifying tax-free purchases.
Register for a Sales Tax Account Online
Log in to your Kentucky Online Gateway account and apply for a sales tax account. The application is usually processed in 2 to 3 weeks.
Kentucky Purchase Sales Tax Exemption Setup for Corporation
501(c)(3) nonprofit organizations are eligible file an Application for Purchase Exemption of Sales and Use Taxes (Form 51A125) with the Kentucky Department of Revenue. The application must include a: (1) Copy of the Articles of Incorporation or Organization, (2) Detailed schedule of receipts and disbursements, (3) Copy of the organization's IRS determination letter, and (4) Proof of home-state sales tax exemption (for foreign businesses only). After approval, the Department of Revenue will issue a Purchase Exemption Number to be used on all Purchase Exemption Certificates completed and given to sellers.
Complete an Application for Purchase Exemption
Print and complete an Application for Purchase Exemption of Sales and Use Taxes (Form 51A125).
File Application for Purchase Exemption
Mail your completed application to the Kentucky Department of Revenue, Division of Sales and Use Tax.
Kentucky Sales Tax Filing Requirements & Deadlines
There are 2 sales tax filing requirements & deadlines you may need to complete in Kentucky. You can follow the guide below or use Mosey to do it.
Kentucky Sales Tax Return for LLC, LLP, Corporation
If you have a sales tax account in Kentucky, you must file sales tax returns. The frequency of filing depends on the amount of sales tax collected. If your total monthly tax liability is less than $125, you will likely be an annual filer. If your total monthly tax liability is between $125 and $1,200, you will likely be quarterly filer. If your total monthly tax liability is more than $1,200, you will likely be a monthly filer. Companies with over $10,000 in average monthly tax liability are subject to prepay sales tax.
File Sales Tax Return
Log in to your Kentucky One Stop Portal account to file your sales tax return.
Pay Sales Tax Online
Visit the Kentucky One Stop Portal to make a payment for sales tax.
