A bill to reduce the individual income tax rate in Kentucky has now been sent to the Governor.
Following earlier passage in the House, the Kentucky Senate approved a bill to lower the individual tax rate from the current 4.0-percent to 3.5-percent in 2026.
During Senate debate, Senator Chris McDaniel said lowering the tax rate was good for Kentucky.(AUDIO)
Senator Cassie Chambers Armstrong said she had reservations about the reduction in the state tax.(AUDIO)
Upon the signature by Governor Andy Beshear, the drop in the individual tax rate will continue the tax modernization plan started in Kentucky in 2022.
The plan calls for the total elimination of the individual state tax with a year-to-year reduction in the rate.
