Kentucky’s flat tax rate is unchanged for 2025, while its standard deduction increased, the state revenue department said Oct. 25.
In 2025, the state tax rate is 4% and the standard deduction is $3,270 annually, up from $3,160, the department said in the withholding formula.
The state also released the 2025 version of Form K-4, Kentucky’s Withholding Certificate, and filing specifications for 2024 Forms W-2 and 1099.
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