KRS 160.6154: Collection and distribution of taxes imposed under KRS 160.613 and

160.614.

(1) The department shall collect all taxes imposed by school districts pursuant to KRS

160.613 and 160.614, and shall have all the powers, rights, duties, and authority

with respect to the collection, refund, and administration of these taxes as provided

under KRS Chapters 131, 134, and 135, except as otherwise provided in KRS

160.613 to 160.617. The department shall distribute the taxes collected to each

school district impos ing the tax on a monthly basis. Distributions shall be made in

accordance with the district boundary information submitted to the department

pursuant to KRS 160.6152, as modified by any adjustments or agreements made

pursuant to the provisions of KRS 160.6153.

(2) From each distribution, the department shall deduct an amount which represents the

proportionate share of the department's actual operating and overhead expenses

incurred in the collection and administration of the taxes not to exceed one percent

(1%) of the amount collected. The department shall report its actual expenses and

the allocation of expenses among school districts to the Kentucky Board of

Education on a quarterly basis.

(3) As soon as practicable after each return is received, the depar tment may examine

and audit it. If the amount of tax computed by the department is greater than the

amount returned by the taxpayer, the excess shall be assessed by the department on

behalf of the school district within two (2) years from the date prescribed by law for

the filing of the return including any extensions granted, except as provided in this

section. A notice of the assessment shall be mailed to the taxpayer.

(4) In the case of a failure to file a return or the filing of a fraudulent return, the excess

may be assessed at any time.