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​​​​​Kentucky Revised Statute Chapter 141 requires employers to withhold income tax for both residents and nonresidents employees (unless exempted by law). Employers must withhold the income tax of the employees receiving "wages" as defined in Section 3401(a) of the Internal Revenue Code.

What's New for 2018 Withholding Statement Reporting

Form K-4 - Kentucky Withholding Certificate:  Kentucky recently enacted a new flat 5% income tax rate. Due to this change all Kentucky wage earners will be taxed at this rate with an allowance for the standard deduction. The new Form K-4 is only required to be completed by an individual declaring exemption status or by an individual requesting additional withholding per pay period. All prior Forms K- 4 are obsolete.

Form K-4, as well as the updated withholding tax tables and formula, may be found in the "Current Withholding Tax Forms" section below.

Electronic Filing Threshold Lowered:  Effective January 1, 2018, Kentucky's tax law lowered the electronic filing requirement from 100 to 26 withholding statements (Forms W-2, W-2G, and 1099 Series). Therefore, employers and payers issuing 26 or more Forms W-2, W-2G, or 1099 Series are required to file electronically.

The deadline for reporting the withholding statement information to DOR is January 31, 2019. No extensions will be granted.


​Note: As in prior years, W-2 data files must be submitted in the Social Security Administration's EFW2 format with state RS Records defined by DOR. W-2G and 1099 Series data files must be submitted in the IRS Publication 1220 format with state B Records defined by DOR.

Also, the Transmitter Report (Form 42A806) is now only used for CD submissions of wage statement electronic data files.


Form K-5 - Kentucky Employer's Report of Withholding Tax Statements:  Employers and payers issuing 25 or fewer withholding statements (Forms W-2, W-2G, and 1099 Series) must file Form K-5 or submit the information in the accepted electronic format. Paper copies of withholding statements should not be mailed to the DOR.

Paper copies of Forms W-2, W-2G, and 1099 Series received by DOR will not be processed and will not be considered filed. Retain the forms for your records and only provide copies upon request.

You will be able to electronically file Form K-5 by clicking the Submit button online, or you may print and mail the completed K-5 to the address on the form. The 2018 Form K-5 accepted version will be available on or before January 1, 2019.


Note: Form K-5 may be used to report more than 25 statements (W-2, W-2G, or 1099). However, clicking Submit to file electronically is required.


Blank W-2 Forms Are No Longer Available from DOR:  These forms may be ordered from the IRS or purchased at an office supply store.

Provided below is a list of software vendors who will electronically file your state and federal Wage and Tax Statement information and then mail Wage and Tax Statements to your employees. (Fees may apply.) To be redirected to their sites, please click on their logo below.

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Forms Not Available Online 

  42A801 (K-1):
      Employer's Return of Income Tax Withheld

  42A803 (K-3):
      Employer's Return of Income Tax Withheld

These forms are meant to be scanned and sent to us for processing.  Failure to use the original forms may delay the processing, and can lead to transposition errors that may cause your return to be considered late.  If the original is lost please call (502) 564-7287, or visit one of the Department of Revenue's offices​ for replacement.​​​​


2018 Withholding Tax Tables

2018 Kentucky Withholding Tax Formula  (5/18)

2018 Withholding Tax Table & Formula  (7/18)


2018 Employer Withholding Tax Calculator

DOR has created a withholding tax calculator for 2018 to assist employers in computing the correct amount of Kentucky withholding tax for employees.  The calculator was developed in a spreadsheet format so emploers may use it for multiple employees.

Employer Withholding Tax Calculator

Additional Resources






Filing Withholding Taxes

​File Online Returns

T​he Withholding Return and Payment System (WRAPS) provides the taxpayers of the Commonwealth the ability to file their Withholding K-1 and K-3 returns online. Taxpayers may file returns, view previously filed online returns, amend returns, request refunds and credit forwards as well as the ability to access the Enterprise Electronic Payment System for paying Withholding Tax Due.​

E-file W-2s​

Department of Revenue allows employers to submit wage and tax information via the internet as an alternative method of submitting the Report of Employees Annual Wage and Tax Information. This method is offered at no cost to the employer. Submission of Wage and Tax information must be filed on or before January 31.

Department of Revenue will assign a personal identification number (PIN) when the employer declares an intention to send annual wage and tax reports to Department of Revenue via the Web. To register, please fill out the Form 42A808 - Authorization to Submit Employees Annual Wage Statements Via DOR Web Site and return it us.

To transmit W-2 files electronically, please visit https://revweb.ky.gov/w2ftp/wfLogon.aspx

Filers who registered to use the FTP software from previous years are already registered to use the web site. The PIN doesn't change. If you have forgotten your PIN number please call us (502) 564-7287.

If you have already registered and are ready to transfer your withholding information go to E-file and Payment Options in the top right hand corner of most of the pages within the DOR webpage.​

For more information, download 2018 Specifications for Electronic Submission of Annual Wage and Tax Information via Electronic Media or Web.

E-file 1099s and W2Gs on CD​

We allow submission of Forms 1099 and ​​W2G electronically on CD. Please follow the federal specifications for Information Return reporting with DOR defined fields in the B Record.

2018 Specifications for Electronic Submission of 1099 and W2G


Employer Payroll Withholding

The Kentucky Department of Revenue conducts work
under the authority of the Finance and Administration Cabinet.