Kentucky Department of Revenue Kentucky Department of Revenue Kentucky Department of Revenue Kentucky Department of Revenue

Motor Vehicle Usage Tax

Motor Vehicle Usage Tax is a tax on the privilege of using a motor vehicle upon the public highways of the Kentucky and shall be a separate and distinct from all other taxes imposed by the Commonwealth.

Motor Vehicle Usage Tax is levied at 6 percent and shall be paid on every motor vehicle used in Kentucky. The tax is collected by the county clerk or other officer with whom and when the vehicle is required to be registered. This tax is collected upon the transfer of ownership or when a vehicle is offered for registration for the first time in Kentucky.

A county clerk can not register or issue license tags to the owner of any vehicle unless the owner or his agent pays the Motor Vehicle Usage Tax in addition to the transfer, registration and license fees.

Taxing Methods of Motor Vehicle Usage Tax

Motor Vehicle Usage Tax Laws are located in Chapter 138 of the Kentucky Revised Statutes

New Motor Vehicle Trade-In Allowance for Motor Vehicle Usage Tax

As part of HB 440 enacted by the 2013 Kentucky General Assembly, a trade-in allowance will be allowed on new vehicles sold on or after July 1, 2014.  New vehicles purchased prior to July 1, but titled/registered after July 1, are not eligible for the trade-in allowance.

Locate Forms to Download
Motor Vehicle Links
Contact DOR Staff

E-Mail DOR Taxing Areas

Questions can be directed to the Kentucky Department of Revenue, Motor Vehicle Usage Tax Section, Station 64, PO Box 1303, Frankfort,  KY 40602-1303,  (502) 564-4455.


E-Filing and Payment Options

E-Tax - Electronic Filing and Payment Options


County Clerks: FAQ on Sales & Use Tax and MVU Tax (52K) August 8, 2007

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Last Updated 2/25/2016