Kentucky Small Business Tax Credit (KSBTC) Program (KSBTC)

Non-refundable Kentucky income tax credit of $3,500–$25,000 per year for for-profit small businesses (50 or fewer full-time employees) that hire and keep at least one new full-time employee for a year and buy at least $5,000 of qualifying equipment or technology. Open to nearly all industries, so a farm or agribusiness that adds a paid position and buys equipment qualifies.

Most businesses with 50 or fewer full-time employees are eligible; Hired and sustained at least one new job in the last year; Purchased at least $5,000 in qualifying equipment or technology; The new employee must have been on the payroll for at least one year; The new employee must earn at least $10.88/hour.

Non-refundable; unused credits may be carried forward up to five years; $25,000 maximum per applicant per calendar year.

Published amounts: Tax credit amount ranges from $3,500 to $25,000 per year depending on jobs created and investment made; lesser of $3,500 per eligible position or the rounded eligible dollar amount invested in qualifying equipment or technology.

After meeting all eligibility requirements, fill out the KSBTC Application below and provide all required supporting documentation listed in the application form. $250 application fee if selected for KEDFA submission.

Deadline text on the page: Rolling; applications must be submitted within the twenty four month period after the first program requirement occurs. Shares a $3,000,000 per state fiscal year credit pool with KSFTC.