Kentucky has a progressive income tax system with a flat tax rate. For the 2023 tax year and beyond, Kentucky has transitioned to a flat tax rate. This calculator helps you estimate your Kentucky state income tax liability based on your federal taxable income, deductions, and exemptions.
The calculation involves several steps:
Determine Kentucky Adjusted Gross Income (KY AGI): This is generally your federal Adjusted Gross Income (AGI). For simplicity in this calculator, we use your provided "Federal Taxable Income" as a proxy for AGI.
Calculate Kentucky Net Income: Subtract your allowable deductions (either itemized or the standard deduction, whichever is greater) and exemption credits from your KY AGI.
Apply the Flat Tax Rate: Multiply your Kentucky Net Income by the current state income tax rate.
Kentucky Tax Rates and Deductions (as of recent tax years):
Current Flat Tax Rate: 4.00% (This rate is subject to change by the Kentucky Department of Revenue).
Standard Deduction: For individuals, it's typically a set amount (e.g., $2,150 for 2023, but this can vary).
Exemption Credit: Kentucky offers credits for taxpayers and dependents. For 2023, the exemption credit was $100 per exemption.
How this Calculator Works:
This calculator simplifies the process. It assumes your provided "Federal Taxable Income" is a good starting point for your income subject to Kentucky tax. You then input your total allowable deductions (either itemized or the standard deduction if it's more beneficial) and the number of exemptions you are claiming.
The formula used is approximately:
Kentucky Net Income = Federal Taxable Income - Total Deductions - (Number of Exemptions * Exemption Credit Value)
And then:
Estimated Kentucky Tax = Kentucky Net Income * Kentucky Flat Tax Rate
Note: The exemption credit value used in this calculator is based on recent tax years ($100 per exemption). The actual exemption credit amount can change annually. This calculator provides an estimate and should not be considered a substitute for professional tax advice. Always consult official Kentucky Department of Revenue guidelines or a tax professional for precise calculations.
function calculateKentuckyTax() {
var federalTaxableIncome = parseFloat(document.getElementById("federalTaxableIncome").value);
var deductions = parseFloat(document.getElementById("deductions").value);
var exemptions = parseInt(document.getElementById("exemptions").value, 10);
var KY_FLAT_TAX_RATE = 0.04; // 4.00%
var EXEMPTION_CREDIT_PER_PERSON = 100; // Based on recent tax years, subject to change
var taxResultElement = document.getElementById("taxResult");
// Basic input validation
if (isNaN(federalTaxableIncome) || federalTaxableIncome < 0) {
taxResultElement.textContent = "Invalid Income";
return;
}
if (isNaN(deductions) || deductions < 0) {
taxResultElement.textContent = "Invalid Deductions";
return;
}
if (isNaN(exemptions) || exemptions < 0) {
taxResultElement.textContent = "Invalid Exemptions";
return;
}
// Calculate total exemption amount
var totalExemptionCredit = exemptions * EXEMPTION_CREDIT_PER_PERSON;
// Calculate Kentucky Net Income
// Ensure Net Income doesn't go below zero due to deductions/credits
var kentuckyNetIncome = federalTaxableIncome – deductions – totalExemptionCredit;
if (kentuckyNetIncome < 0) {
kentuckyNetIncome = 0;
}
// Calculate Tax
var estimatedTax = kentuckyNetIncome * KY_FLAT_TAX_RATE;
// Format and display the result
taxResultElement.textContent = "$" + estimatedTax.toFixed(2);
}