Kentucky to lower state income tax in 2026 - WNKY News 40 Television

Kentucky to lower state income tax in 2026 - WNKY News 40 Television

FRANKFORT, Ky. – Some good news for working Kentuckians as we head closer to the new year. This past legislative session, the Kentucky State Legislature voted to decrease the state income tax from 4% to 3.5% starting in 2026. This will keep over $700 million in Kentuckians pockets and will all be a part of a plan to eliminate the state income tax altogether. The income tax decrease, though, is not automatic and needs to hit certain parameters ev…