KRS 136.1804: Notification of assessed value of watercraft -- Protest -- Tax rates --

Distribution of tax receipts -- Administrative fee.

(1) The department shall notify the corporation of the assessed value of its watercraft

each year, as soon as possible after rates set by local authorities are provided to the

department. The corporation shall have sixty (60) days from the date of the

department's notice of assessment to protest as provided by KRS 131.110.

(2) No appeal shall delay the collection or paymen t of taxes based upon the assessment

in controversy. The corporation shall pay to the department all state and local taxing

district taxes due on the undisputed value of its watercraft as stated in the protest

filed under KRS 131.110. When the valuation is finally determined upon appeal, the

corporation shall be billed for any additional tax and interest at the tax interest rate

as defined in KRS 131.010(6) from the date the tax would have become due if the

assessment had not been appealed. The provisions of KRS 134.015(6) shall apply to

the tax bill.

(3) The state and local taxing district taxes on the watercraft are due sixty (60) days

from the date of notice of assessment. The tangible property taxes on watercraft

shall be collected in accordance with the provisions of KRS Chapter 134.

(4) The state rate of taxation on watercraft shall be forty -five cents ($0.45) upon each

one hundred dollars ($100) of assessed value of the watercraft.

(5) The department shall annually calculate an aggregate local rate, wh ich shall be

imposed upon each one hundred dollars ($100) of assessed value of the watercraft.

(a) The aggregate local rate shall be the sum of each local personal property tax

rate for each local taxing district multiplied by a fraction, the numerator of

which shall be the length of the navigable waterways in the local taxing

district and the denominator of which shall be the total of the length of all

navigable waterways in this state. Both the numerator and the denominator

shall be adjusted, if necessary, by paragraph (b) of this subsection.

(b) For purposes of computing the local property tax rate in paragraph (a) of this

section, the length of the navigable waterways of the Green River shall be

reduced by fifty percent (50%) and the length of the naviga ble waterways of

the Kentucky River shall be reduced by seventy-five percent (75%).

(6) The watercraft taxes collected for local taxing districts by the department shall be

distributed to each local taxing district based upon the local taxing district's

fractional portion of the amount calculated in subsection (5) of this section.

(7) Prior to distribution of taxes to local taxing districts, the department shall retain an

administrative fee of one percent (1%) of the amount due each district. The fee

imposed by this subsection shall have no effect upon the discount provided to

taxpayers pursuant to KRS 134.015.