Kentucky · Flat income tax, local occupational taxes
CPA, bookkeeping & fractional CFO services in Kentucky
Kentucky has a flat personal income tax, but many cities and counties charge occupational license taxes on wages and net profits, which adds a local layer most owners overlook. CPA Torrance is a CPA-led firm based in Torrance, California that provides bookkeeping, tax planning, tax filing and fractional CFO support to Kentucky businesses remotely.
- Serving all of Kentucky remotely
- Kentucky 720, 720S, 765 and local occupational returns tracked for you
- Monthly reporting included
In short
What is the Kentucky limited liability entity tax?
The limited liability entity tax is a Kentucky tax on most corporations, LLCs and limited partnerships, calculated on gross receipts or gross profits, with a minimum amount due. It is separate from income tax. Many Kentucky cities and counties also charge occupational license taxes on business net profits and employee wages.
- State income tax
- Flat rate
- State sales tax
- 6%
- Key business tax
- Local occupational license tax, LLET
- How we serve
- Remotely, statewide
Services in Kentucky
What we do for Kentucky business owners
From Louisville logistics companies and Lexington healthcare practices to bourbon producers and Northern Kentucky suppliers, Kentucky owners need state and local taxes handled together. We provide monthly bookkeeping, federal and Kentucky tax planning, filings and CFO reporting from one coordinated team.
Bookkeeping Services
- Monthly reconciliations in QuickBooks Online
- Kentucky sales and use tax tracking
- Payroll and contractor payment review
- Monthly profit and loss and balance sheet
- Catch-up and clean-up bookkeeping
Tax Planning & Strategy
- Entity and S corporation review
- Kentucky limited liability entity tax planning
- Federal and state estimated payments
- Multi-state income review
- Year-end tax planning meeting
Tax Filing & Compliance
- Federal business returns (1120, 1120S, 1065)
- Kentucky Form 720, 720S, 765 and local net profits returns
- Owner individual returns
- IRS and state notice help
- Due-date tracking for every filing
Fractional CFO Services
- Cash-flow forecasts
- Budget versus actual reviews
- Margin and pricing analysis
- Lender- and investor-ready reporting
- Growth and hiring plans
Kentucky tax planning
Planning around Kentucky taxes
Kentucky planning combines the flat rate, the LLET, local occupational taxes and federal planning.
Book a 15-min callLLET
We calculate the limited liability entity tax and the credit owners may claim against it.
Local occupational taxes
Louisville, Lexington and many counties tax net profits and wages. We file local returns where you owe.
PTET election
Kentucky offers an elective pass-through entity tax. We model whether it helps.
Who we work with
Kentucky industries we serve
We work with owner-led businesses across Kentucky, with experience in the industries that drive the state economy.
Logistics and distribution
Warehousing and freight around Louisville.
Bourbon and spirits
Distillers with inventory and excise tax issues.
Automotive suppliers
Manufacturers with job costing.
Healthcare practices
Medical and dental practices.
E-commerce sellers
Online brands with Kentucky sales tax, inventory and multi-channel books.
Professional firms
Consultants, agencies and law firms billing by the hour, project or retainer.
Why Kentucky businesses choose CPA Torrance
Areas we cover
Serving businesses across Kentucky
Businesses in Louisville, Lexington, Bowling Green, Owensboro, Covington work in automotive, bourbon and spirits, logistics, healthcare and agriculture. CPA Torrance helps Kentucky businesses, including those owned from out of state, stay compliant and organized through remote meetings.
- Louisville
- Lexington
- Bowling Green
- Owensboro
- Covington
- Florence
- Georgetown
- Richmond
- Elizabethtown
- Frankfort
- Video meetings on your schedule
- Secure document portal for statements and returns
- Cloud accounting you can see any time
FAQ
Kentucky business tax and accounting questions
Not covered here? A 15-minute call gets you a straight answer for your situation.
What financial services can CPA Torrance provide to Kentucky businesses?
We provide monthly bookkeeping, federal and Kentucky tax planning, business tax filing and fractional CFO services. Everything runs from one set of books, so your bookkeeper, CPA and CFO advisor work from the same numbers.
Do Kentucky LLCs pay the LLET?
Most do, including single-member LLCs owned by individuals in many cases. A minimum amount applies even when receipts are low.
Do I owe local tax in Louisville or Lexington?
Businesses operating there generally file local net profits returns, and employers withhold occupational tax from wages.
Does Kentucky have a pass-through entity tax?
Yes. Kentucky allows an elective PTET for partnerships and S corporations.
Can CPA Torrance work with Kentucky businesses remotely?
Yes. We serve businesses across Kentucky, including Louisville, Lexington, Bowling Green, Owensboro, Covington, Florence, Georgetown, Richmond, Elizabethtown and Frankfort, through video meetings, a secure document portal and cloud accounting you can see any time. Our office is in Torrance, California.
How do I get started?
Book a 15-minute call or request a free financial assessment. We review your books, tax position and systems and recommend the right mix of support for your Kentucky business.
Get your Kentucky books and taxes in order.
Book a call to review bookkeeping and tax planning for your Kentucky business.