{"data":{"id":"us-ky/krs-141.386","jurisdiction":"us-ky","citation":"KRS 141.386","heading":"Nonrefundable tax credit for railroad expansion or upgrade to","body":"accommodate transportation of fossil energy resources or biomass resources.\n(1) As used in this section:\n(a) \"Fossil energy resources\" means reserves of coal, oil shale, and natural gas;\nand\n(b) \"Biomass resources\" means agricultural materials that may be used for\nproduction of transportation fuels such as biodiesel or ethanol or that may\nthemselves be used as a fuel, alone or in combination with a fossil fuel, for\ngeneration of electricity.\n(2) For taxable years beginning after December 31, 2009:\n(a) A corporation that owns fossil energy resources subject to tax under KRS\n143.020 or 143A.020 or biomass resources and transports these resources\nusing rail facilities; or\n(b) A railway company s ubject to tax under KRS 136.120 that serves a\ncorporation that owns fossil energy resources subject to tax under KRS\n143.020 or 143A.020 or biomass resources;\nshall be entitled to a nonrefundable tax credit against the taxes imposed under KRS\n141.040 and 141.0401, with the ordering of credits as directed by KRS 141.0205, in\nan amount certified by the department pursuant to subsection (4) of this section.\n(3) (a) The credit shall be equal to twenty -five percent (25%) of the expenditures\npaid or incurred by the corporation or railway company to expand or upgrade\nrailroad track, including roadbeds, bridges, and related track structures, to\naccommodate the transport of fossil energy resources or biomass resources.\n(b) The credit amount approved for a calendar y ear for all taxpayers under this\nsection shall be limited to one million dollars ($1,000,000).\n(c) If the total amount of approved credit exceeds one million dollars\n($1,000,000), the department shall determine the amount of credit each\ncorporation and railway company receives by multiplying one million dollars\n($1,000,000) by a fraction, the numerator of which is the amount of approved\ncredit for a corporation or railway company and the denominator of which is\nthe total approved credit for all corporations and railway companies.\n(4) Each corporation or railway company eligible for the credit provided under this\nsection shall file a railroad expansion tax credit claim on forms prescribed by the\ndepartment by the fifteenth day of the first month following the  close of the\npreceding calendar year. The department shall determine the amount of the\napproved credit and issue a credit certificate to the corporation or railway company\nby the fifteenth day of the third month following the close of the calendar year.","path":["KRS Chapter 141"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=29126","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:50:34Z","sha256":"f271fec973101f6f63a643dcfb7e54388e68f3df78e93df8ba6b3bcb7cbdd25c","source_id":"us-ky","stale":false,"prev":"us-ky/krs-141.385","next":"us-ky/krs-141.387"},"notice":"GroundRules: Original legal text. Not legal advice."}