{"data":{"id":"us-ky/krs-139.515","jurisdiction":"us-ky","citation":"KRS 139.515","heading":"Sales tax refund program for qualifying signature projects.","body":"(1) As used in this section:\n(a) \"Agency\" has the same meaning as in KRS 154.30-010;\n(b) \"Signature project\" means a project that meets the requirements established by\nKRS 154.30-050; and\n(c) \"Tangible personal property used in the construction of a signature project\"\nmeans tangible personal property that:\n1. Consists of:\na. Permanently incorporated building materials and fixtures that are\nan improvement to real property on the signature project;\nb. Building materials temporarily incorporated into the signature\nproject for infrastructure support during construction; or\nc. Temporarily incorporated specialized forms for concrete that are\nfor exclusive use on the qualifying signature project; and\n2. Is not machinery or equipment.\n(2) (a) Notwithstanding any other p rovision of KRS Chapter 139 and KRS 134.580,\nthe sales or use tax paid on the purchase of tangible personal property used in\nthe construction of the portion of a signature project that does not relate to\napproved public infrastructure costs or approved sig nature project costs, as\ndefined in KRS 154.30 -010, may be refunded to the agency under the\nconditions established by subsection (3) of this section.\n(b) The authority, as defined in KRS 154.30 -010, shall notify the department\nupon the approval of a signature project. The notification shall include the\nname of the signature project, the name of the agency, the name of the project\ndeveloper, the commencement  date of the tax incentive agreement, and the\npercentage of total anticipated expenditures for tangible personal property\nused in the construction of a signature project that are not included in the\nproject grant agreement as approved public infrastructure  costs or approved\nsignature project costs.\n(c) The department shall determine the total amount of eligible refund due under\neach application for refund based upon the actual percentage of total\nexpenditures for tangible personal property used in the const ruction of a\nsignature project that are not included in the project grant agreement as\napproved public infrastructure costs reported in the refund request reduced by\nthe amount of vendor compensation taken in accordance with KRS 139.570.\n(3) To qualify for  the refund established by subsection (2) of this section, the agency\nshall collect from the purchasers of tangible personal property used in the\nconstruction of the signature project all documentation relating to the payment of\nsales or use tax, and shall  file an application for refund of the sales or use tax paid\nby the purchasers as reflected in the documentation collected. Requests for refund\nshall be filed annually during the first twelve (12) years the project grant agreement\nis in effect, and shall c over purchases made during the immediately preceding year.\nRequests for refund shall be filed in the manner directed by the department.\n(4) (a) The agency shall file the first year refund request within sixty (60) days\nfollowing the end of the fiscal year in which the project grant agreement is\nexecuted. The agency shall file the final refund request within sixty (60) days\nfollowing the end of the eleventh fiscal year following the fiscal year in which\nthe project grant agreement was executed, or within six ty (60) days after\nconstruction is complete, whichever date is earlier. All other annual refund\nrequests shall be filed within sixty (60) days after the completion of each\nfiscal year.\n(b) Failure to file a refund request within the timeframes provided in paragraph\n(a) of this subsection shall result in an adjustment to the refund amount paid\nas follows:\n1. For late refund requests filed within the first one hundred twenty (120)\ndays after the request was due, for each month or portion thereof that the\nrefund request is late, the refund amount shall be reduced by one twelfth\n(1/12) of the total amount determined by the department to be due to the\nagency.\n2. Any refund request filed more than one hundred twenty (120) days after\nthe timeframes provided in para graph (a) of this subsection shall be\nrejected and no refunds shall be paid for the time period covered by the\nrequest.\n(5) Interest shall not be allowed or paid on any refund made under the provisions of this\nsection.\n(6) The agency shall execute informat ion sharing agreements prescribed by the\ndepartment with contractors, vendors, and other related parties to verify\nconstruction material costs.","path":["KRS Chapter 139"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=28909","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:50:32Z","sha256":"5ab97445851ae6f89346bdaf5849ce77d970fa688ad8c28d042ed81894b75c7d","source_id":"us-ky","stale":false,"prev":"us-ky/krs-139.512","next":"us-ky/krs-139.516"},"notice":"GroundRules: Original legal text. Not legal advice."}