Kentucky Statutes 154.12-2086 – Skills training investment credit — Department of Revenue certification
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(1) The Bluegrass State Skills Corporation may, in accordance with KRS § 154.12-2084 to KRS § 154.12-2089, award a credit against the Kentucky tax imposed by KRS § 141.020 or 141.040, and KRS § 141.0401, to an approved company. The amount of the skills training investment credit awarded by the Bluegrass State Skills Corporation shall be an amount equal to fifty percent (50%) of the amount of approved costs incurred by the approved company in connection with its program of occupational upgrade training or skills upgrade training, the credit amount not to exceed five hundred dollars ($500) per employee and, in the aggregate, not to exceed one hundred thousand dollars ($100,000) for each approved company per biennium. The Bluegrass State Skills Corporation shall only approve one (1) application per biennium for each qualified company.
(2) The skills training investment credit shall be credited on the tax return of the approved company filed for the fiscal year during which the final authorizing resolution is adopted by the Bluegrass State Skills Corporation in accordance with KRS § 154.12-2088(6). The skill training investment credits allowed under KRS
154.12-2084 to 154.12-2089 shall only be used by the approved company that has been awarded the credits in accordance with KRS § 154.12-2084 to KRS § 154.12-2089. The skills training investment credits provided for in this section shall be applied to both the income tax imposed by KRS § 141.020 or 141.040, and the limited liability entity tax imposed by KRS § 141.0401, with the ordering of the credits as provided in KRS
141.0205. These credits shall be in addition to all other tax credits granted under the laws of the Commonwealth.
(3) The skills training investment credits may be carried forward for three (3) successive fiscal years of the approved company if the amount allowable as credits exceeds the income tax liability of the approved company in the tax year during which the final authorizing resolution is adopted by the Bluegrass State Skills Corporation; however, thereafter, if the amount allowable as credits exceeds the income tax liability of the approved company, the excess credits shall not be refundable or carried forward to any other fiscal year of the approved company for which a tax return of the approved company is to be filed.
(4) A qualified company shall not be entitled to receive the skills training investment credits if the qualified company requires that the employee reimburse the employer or otherwise pay for any costs or expenses incurred in connection with the occupational upgrade training or skills upgrade training.
(5) To the extent that any expenditures of a qualified company constitute approved costs and are the basis for the skills training investment credits under KRS § 154.12-
2084 to 154.12-2089, these expenditures shall not be eligible as the basis for grants- in-aid under Bluegrass State Skills Corporation provisions in KRS § 154.12-204 to
154.12-208 or the Local Government Economic Development Program under the provisions of KRS § 42.4588 to KRS § 42.4595.
(6) Priority consideration for preliminary approval under KRS § 154.12-2088 shall be given to qualified companies that the Bluegrass State Skills Corporation determines
to be high performance companies. A minimum of thirty percent (30%) of the total skills training investment credits authorized by the Bluegrass State Skills Corporation during any fiscal year shall be awarded to qualified companies that have been designated as high performance companies by the Bluegrass State Skills Corporation. The Bluegrass State Skills Corporation shall establish guidelines and standards for the designation of high performance companies.
(7) By October 1 of each year, the Department of Revenue shall certify to the Bluegrass State Skills Corporation the amount of any skills training investment credits taken pursuant to KRS § 154.12-2084 to KRS § 154.12-2089 on tax returns filed during the fiscal year ending June 30 of that year.
Effective: June 28, 2006
History: Amended 2006 (1st Extra. Sess.) Ky. Acts ch. 2, sec. 41, effective June 28,
2006. — Amended 2005 Ky. Acts ch. 85, sec. 569, effective June 20, 2005. — Amended 2000 Ky. Acts ch. 300, sec. 7, effective July 14, 2000. — Created 1998 Ky. Acts ch. 499, sec. 2, effective July 15, 1998.
Legislative Research Commission Note (6/28/2006). 2006 (1st Extra Sess.) Ky. Acts ch. 2, sec. 73, provides that “unless a provision of this Act specifically applies to an earlier tax year, the provisions of this Act shall apply to taxable years beginning on or after January 1, 2007.”
(2) The skills training investment credit shall be credited on the tax return of the approved company filed for the fiscal year during which the final authorizing resolution is adopted by the Bluegrass State Skills Corporation in accordance with KRS § 154.12-2088(6). The skill training investment credits allowed under KRS
Terms Used In Kentucky Statutes 154.12-2086
- Biennium: means the two (2) year period commencing on July 1 in each even- numbered year and ending on June 30 in the ensuing even-numbered year. See Kentucky Statutes 446.010
- Commonwealth: means the Commonwealth of Kentucky. See Kentucky Statutes 154.1-010
- Company: may extend and be applied to any corporation, company, person, partnership, joint stock company, or association. See Kentucky Statutes 446.010
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Corporation: may extend and be applied to any corporation, company, partnership, joint stock company, or association. See Kentucky Statutes 446.010
- Fiscal year: The fiscal year is the accounting period for the government. For the federal government, this begins on October 1 and ends on September 30. The fiscal year is designated by the calendar year in which it ends; for example, fiscal year 2006 begins on October 1, 2005 and ends on September 30, 2006.
- State: means the Commonwealth of Kentucky. See Kentucky Statutes 154.1-010
- Year: means calendar year. See Kentucky Statutes 446.010
154.12-2084 to 154.12-2089 shall only be used by the approved company that has been awarded the credits in accordance with KRS § 154.12-2084 to KRS § 154.12-2089. The skills training investment credits provided for in this section shall be applied to both the income tax imposed by KRS § 141.020 or 141.040, and the limited liability entity tax imposed by KRS § 141.0401, with the ordering of the credits as provided in KRS
141.0205. These credits shall be in addition to all other tax credits granted under the laws of the Commonwealth.
(3) The skills training investment credits may be carried forward for three (3) successive fiscal years of the approved company if the amount allowable as credits exceeds the income tax liability of the approved company in the tax year during which the final authorizing resolution is adopted by the Bluegrass State Skills Corporation; however, thereafter, if the amount allowable as credits exceeds the income tax liability of the approved company, the excess credits shall not be refundable or carried forward to any other fiscal year of the approved company for which a tax return of the approved company is to be filed.
(4) A qualified company shall not be entitled to receive the skills training investment credits if the qualified company requires that the employee reimburse the employer or otherwise pay for any costs or expenses incurred in connection with the occupational upgrade training or skills upgrade training.
(5) To the extent that any expenditures of a qualified company constitute approved costs and are the basis for the skills training investment credits under KRS § 154.12-
2084 to 154.12-2089, these expenditures shall not be eligible as the basis for grants- in-aid under Bluegrass State Skills Corporation provisions in KRS § 154.12-204 to
154.12-208 or the Local Government Economic Development Program under the provisions of KRS § 42.4588 to KRS § 42.4595.
(6) Priority consideration for preliminary approval under KRS § 154.12-2088 shall be given to qualified companies that the Bluegrass State Skills Corporation determines
to be high performance companies. A minimum of thirty percent (30%) of the total skills training investment credits authorized by the Bluegrass State Skills Corporation during any fiscal year shall be awarded to qualified companies that have been designated as high performance companies by the Bluegrass State Skills Corporation. The Bluegrass State Skills Corporation shall establish guidelines and standards for the designation of high performance companies.
(7) By October 1 of each year, the Department of Revenue shall certify to the Bluegrass State Skills Corporation the amount of any skills training investment credits taken pursuant to KRS § 154.12-2084 to KRS § 154.12-2089 on tax returns filed during the fiscal year ending June 30 of that year.
Effective: June 28, 2006
History: Amended 2006 (1st Extra. Sess.) Ky. Acts ch. 2, sec. 41, effective June 28,
2006. — Amended 2005 Ky. Acts ch. 85, sec. 569, effective June 20, 2005. — Amended 2000 Ky. Acts ch. 300, sec. 7, effective July 14, 2000. — Created 1998 Ky. Acts ch. 499, sec. 2, effective July 15, 1998.
Legislative Research Commission Note (6/28/2006). 2006 (1st Extra Sess.) Ky. Acts ch. 2, sec. 73, provides that “unless a provision of this Act specifically applies to an earlier tax year, the provisions of this Act shall apply to taxable years beginning on or after January 1, 2007.”