Insurance Premium Surcharge Rate Adjustment
||Special Notice - Attention Insurers, Surplus Lines Brokers and Agents
Adjustment of premium surcharge rate effective April 1, 2010
Pursuant to KRS 136.392(1)(b), the premium surcharge rate will increase from $1.50 to $1.80 per $100.00 of premiums, assessments, or other charges for insurance coverage provided to policyholders on risks located in Kentucky. The adjustment to the premium surcharge rate will be effective and applied to all payments for insurance coverage reported on or after April 1, 2010.
Forms will be updated to reflect this change and will be available on the Current Year Insurance Premiums Tax/Surcharge Forms page prior to the effective date of the change. This page can be found at: http://revenue.ky.gov/forms/14IPTSF.htm
It should be noted that the exceptions listed in KRS 136.392(5) remain in full force and effect. Also be advised as follows:
- Municipal premium taxes imposed pursuant to KRS 91A are not to be included in calculation of the premium surcharge;
- Life and health insurers are not subject to the premium surcharge imposed by KRS 136.392; and
- Pursuant to KRS 342.122(1)(e), the premium surcharge shall not be imposed on Workers’ Compensation premium.
Any questions regarding the premium surcharge rate adjustment should be directed to the Miscellaneous Tax Branch at (502) 564-9300.