138.470 Exemptions from tax.
Download pdf
Loading PDF...
<![CDATA[138.470 Exemptions from tax. There is expressly exempted from the tax imposed by KRS 138.460: <br>(1) Motor vehicles titled or registered to the United States, or to the Commonwealth of Kentucky or any of its political subdivisions; (2) Motor vehicles titled or registered to institutions of purely public charity and institutions of education not used or employed for gain by any person or <br>corporation; (3) Motor vehicles which have been previously titled in Kentucky on or after July 1, 2005, or previously registered and titled in any state or by the federal government <br>when being sold or transferred to licensed motor vehicle dealers for resale. The <br>motor vehicles shall not be leased, rented, or loaned to any person and shall be held <br>for resale only; (4) Motor vehicles sold by or transferred from dealers registered and licensed in compliance with the provisions of KRS 186.070 and KRS 190.010 to 190.080 to <br>nonresident members of the Armed Forces on duty in this Commonwealth under <br>orders from the United States government; (5) Commercial motor vehicles, excluding passenger vehicles having a seating capacity for nine (9) persons or less, owned by nonresident owners and used primarily in <br>interstate commerce and based in a state other than Kentucky which are required to <br>be registered in Kentucky by reason of operational requirements or fleet proration <br>agreements and are registered pursuant to KRS 186.145; (6) Motor vehicles titled in Kentucky on or after July 1, 2005, or previously registered in Kentucky, transferred between husband and wife, parent and child, stepparent <br>and stepchild, or grandparent and grandchild; (7) Motor vehicles transferred when a business changes its name and no other transaction has taken place or an individual changes his or her name; (8) Motor vehicles transferred to a corporation from a proprietorship or limited liability company, to a limited liability company from a corporation or proprietorship, or <br>from a corporation or limited liability company to a proprietorship, within six (6) <br>months from the time that the business is incorporated, organized, or dissolved; (9) Motor vehicles transferred by will, court order, or under the statutes covering descent and distribution of property, if the vehicles were titled in Kentucky on or <br>after July 1, 2005, or previously registered in Kentucky; (10) Motor vehicles transferred between a subsidiary corporation and its parent corporation if there is no consideration, or nominal consideration, or in sole <br>consideration of the cancellation or surrender of stock; (11) Motor vehicles transferred between a limited liability company and any of its members, if there is no consideration, or nominal consideration, or in sole <br>consideration of the cancellation or surrender of stock; (12) The interest of a partner in a motor vehicle when other interests are transferred to him; (13) Motor vehicles repossessed by a secured party who has a security interest in effect at the time of repossession and a repossession affidavit as required by KRS <br>186.045(6). The repossessor shall hold the vehicle for resale only and not for <br>personal use, unless he has previously paid the motor vehicle usage tax on the <br>vehicle; (14) Motor vehicles transferred to an insurance company to settle a claim. These vehicles shall be junked or held for resale only; (15) Motor carriers operating under a charter bus certificate issued by the Transportation Cabinet under KRS Chapter 281; (16) Motor vehicles registered under KRS 186.050 that have a declared gross vehicle weight with any towed unit of forty-four thousand and one (44,001) pounds or <br>greater; (17) Farm trucks registered under KRS 186.050(4) that have a declared gross vehicle weight with any towed unit of forty-four thousand and one (44,001) pounds or <br>greater; and (18) In order to be eligible for the exemption established in subsections (16) and (17) of this section, motor vehicles shall be required to be registered at the appropriate <br>range for the declared gross weight of the vehicle established in KRS 186.050(3)(b) <br>and shall be prohibited from registering at a higher weight range. If a motor vehicle <br>is initially registered in one (1) declared gross weight range and subsequently is <br>registered at a declared gross weight range lower than forty-four thousand and one <br>(44,001) pounds, the person registering the vehicle shall be required to pay the <br>county clerk the usage tax due on the vehicle unless the person can provide written <br>proof to the clerk that the tax has been previously paid. Effective: March 6, 2006 <br>History: Amended 2006 Ky. Acts ch. 6, sec. 12, effective March 6, 2006. -- Amended 2005 Ky. Acts ch. 173, Pt. XIX, sec. 1, effective August 1, 2005. -- Amended 2003 <br>Ky. Acts ch. 124, sec. 39, effective October 1, 2003; and ch. 103, sec. 4, effective <br>June 24, 2003. -- Amended 1998 Ky. Acts ch. 290, sec. 1, effective July 15, 1998. -- <br>Amended 1994 Ky. Acts ch. 54, sec. 2, effective July 15, 1994. </p>
<BR></DIV><!-- /.col.one --><!-- /.col.two --></DIV><!-- /.col.main --></DIV><!-- /div id = content -->
<BR class=clear></DIV>
<!-- /div id = livearea -->
<DIV></DIV><!-- /.col.one -->
<DIV></DIV><!-- /.col.main -->
<DIV></DIV><!-- /#content --><BR class=clear>
<DIV></DIV><!-- /#livearea -->
<!-- Footer-->
<DIV id=footer>
<DIV class=container>
<P class=copyright>Copyright © 2012-2022 Laws9.Com All rights reserved. </P><!-- /.copyright -->
<P class=footerlinks><A
href="/contactus.html">Contact Us</A> | <A href="/aboutus.html">About Us</A> | <A
href="/terms.html">Terms</A> | <A
href="/privacy.html">Privacy</A></P><!-- /.footerlinks -->
</DIV><!-- /.container -->
</DIV><!-- /footer -->
</BODY></HTML>
]]>