Kentucky County Enacts Occupation Tax

April 16, 2024, 6:59 PM UTC

A temporary occupational tax for employers in Adair County, Kentucky, took effect this year under a previously approved county ordinance.

Employers must withhold 0.5% of wages paid to employees working within the county, under an ordinance that took effect Jan. 1, 2024.

The occupational tax applies to any business conducting business within the county that issues Forms W-2 to its employees and must be filed quarterly.

The rate will decrease from 0.50% to 0.25% in 2025 and is set to expire in the last quarter of 2025.

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