KRS § 67.767 — KY Code / Title IX / Chapter 67 / Section 67.767
67.767 Development, adoption, use, and availability of standard form or forms for occupational license tax returns -- Duties of Secretary of State and tax districts
Status: in_force

67.767 Development, adoption, use, and availability of standard form or forms for

occupational license tax returns -- Duties of Secretary of State and tax

districts.

(1) (a) The Secretary of State shall prescribe a standard form or forms, through

promulgation of an administrative regulation, which shall be accepted by all

tax districts and shall allow for returns of net profits and gross receipts

occupational license taxes by all business entities unless the tax district opts

out from acceptance in accordance with subsection (2) of this section or is

exempted under subsection (3) of this section. The Secretary shall also

develop and update as necessary instructions or a set of instructions for

business entities on the completion of the standard form or forms so that

business entities have the current information necessary to ensure the proper

payment of the tax to each tax district.

(b) The Secretary shall seek advice and comments on the development,

amendment, and maintenance of the form or forms and instructions from an

advisory committee chaired by the Secretary, or his or her designee, that is

composed of a representative from the Kentucky Association of Counties, the

Kentucky League of Cities, the Kentucky Occupational License Association,

the Kentucky School Boards Association, the Kentucky Society of Certified

Public Accountants, urban-county governments, and consolidated local

governments, and a representative of business entities appointed by the

Secretary.

(c) During the development of the proposed initial form or forms, the Secretary

of State shall report in writing to the Interim Joint Committee on Local

Government on the progress of the development process. When the proposed

administrative regulation is filed with the Legislative Research Commission

pursuant to KRS Chapter 13A, the Secretary of State shall also submit a copy

thereof, via regular or electronic mail, to the members of the Interim Joint

Committee on Local Government or, if during a session of the General

Assembly, to the members of the House Standing Committee on Local

Government and the Senate Standing Committee on State and Local

Government. The submission to the members shall include a note from the

Secretary of State stating that the members may submit any comments

regarding the proposed administrative regulation in accordance with the

deadline established in KRS 13A.270(1)(c).

(d) Notwithstanding KRS 13A.290(6)(a), after full review by the Administrative

Regulation Review Subcommittee, the Legislative Research Commission

shall assign the administrative regulation to the Interim Joint Committee on

Local Government for consideration or, if during a session of the General

Assembly, to the House Standing Committee on Local Government and the

Senate Standing Committee on State and Local Government.

(e) Once the standard form or forms are adopted or amended, the Secretary of

State shall include the form or forms, instructions, and any updates on the

one-stop business portal or another public website maintained by that office

along with information submitted to the Secretary of State pursuant to

subsection (2) or (3) of this section. The form or forms and instructions shall

be updated and maintained by the Secretary of State at no cost to the tax

districts. No fee shall be levied against the public or businesses for accessing

and downloading forms, instructions, or other information maintained by the

Secretary of State under this section.

(2) After the form or forms are adopted under subsection (1) of this section but prior to

July 1, 2017, a tax district may adopt the standard form or forms as its exclusive

return form or forms, may accept the standard form or forms in addition to the tax

district's own return form or forms, or may elect to opt out of accepting the standard

form or forms through adoption of a written order by the tax district's governing

body. If a tax district elects not to accept the standard form or forms, it shall

forward the following information to the Secretary of State for inclusion on the one-

stop business portal or another public website maintained by that office:

(a) A copy of the written order specifying that the tax district will not accept the

standard form or forms within thirty (30) days of its adoption; and

(b) A copy of occupational license tax forms that the tax district accepts, any

accompanying instructions, and any future amendments to those forms and

instructions within thirty (30) days of any change.

(3) After July 1, 2017, a tax district shall either adopt the standard form or forms as its

exclusive return form or forms or accept the standard form or forms in addition to

the tax district's own return form or forms, unless:

(a) The tax district submits a written request approved by the tax district's

governing body to the Secretary of State for an exemption based on

documented information that acceptance of the form will impose an undue

financial hardship on the tax district; and

(b) The Secretary of State approves the request for an exemption and obtains the

return form or forms that will be accepted by the tax district and any

applicable instructions for inclusion on the one-stop business portal or another

public website maintained by that office. In exercising his or her discretion to

grant an exemption under this subsection, the Secretary of State may impose

any reasonable terms and limitations upon the exemption.

(4) Upon receipt of an order pursuant to subsection (2) of this section or upon the

issuance of an exemption under subsection (3) of this section, the Secretary of State

shall provide notice to the Kentucky Society of Certified Public Accountants of the

tax districts that have submitted a written order to opt out under subsection (2) of

this section or that are granted an exemption under subsection (3) of this section.

(5) The Secretary of State shall, only upon the request of a tax district, include

electronic links for the electronic filing of forms with the local tax district by no

later than July 1, 2017.

(6) Nothing in this section or KRS 67.766 shall be interpreted to alter or preempt the

requirements imposed by a tax district regarding deadlines, reporting, rates, or other

legally imposed procedures regarding the imposition, administration, and collection

of local occupational license taxes by a tax district. Nor shall the adoption or use of

a standard form or forms developed under this section release the taxpayer from any

liability or responsibility to the tax district for the correct payment of taxes,

penalties, and any other obligations imposed by the tax district. This section and

KRS 67.766 shall not be interpreted to authorize the collection of local tax revenues

by the state government or any other agency of the state.