(1) Every business entity, other than a sole proprietorship, subject to a net profits, gross receipts, or occupational license tax levied by a tax district shall make quarterly estimated tax payments on or before the fifteenth day of the fourth, sixth, ninth, and twelfth month of each taxable year if the tax liability for the taxable year exceeds five thousand dollars ($5,000).
(2) The quarterly estimated tax payments required under subsection (1) of this section shall be based on the lesser of:

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Terms Used In Kentucky Statutes 67.755


(a) Twenty-two and one-half percent (22.5%) of the current taxable year tax liability;
(b) Twenty-five percent (25%) of the preceding full year taxable year tax liability;
or
(c) Twenty-five percent (25%) of the average tax liability for the three (3) preceding full year taxable years’ tax liabilities if the tax liability for any of the three (3) preceding full taxable years exceeded twenty thousand dollars ($20,000).
(3) Any business entity that fails to submit the minimum quarterly payment required under subsection (2) of this section by the due date for the quarterly payment shall pay an amount equal to twelve percent (12%) per annum simple interest on the amount of the quarterly payment required under subsection (2) of this section from the earlier of:
(a) The due date for the quarterly payment until the time when the aggregate quarterly payments submitted for the taxable year equal the minimum aggregate payments due under subsection (2) of this section; or
(b) The due date of the annual return.
A fraction of a month is counted as an entire month.
(4) The provisions of this section shall not apply to any business entity’s first full or partial taxable year of doing business in the tax district or any first taxable year in which a business entity’s tax liability exceeds five thousand dollars ($5,000).
(5) The provisions of this section shall not apply unless adopted by the tax district.
Effective: July 13, 2004
History: Amended 2004 Ky. Acts ch. 63, sec. 3, effective July 13, 2004. — Created
2003 Ky. Acts ch. 117, sec. 3, effective June 24, 2003.