Rate decreases for the second time since 2008
FRANKFORT, Ky. (July 1, 2022)—The Kentucky Department of Revenue (DOR) has set the 2022 State Real Property Tax Rate at 11.5 cents per $100 of assessed value. Kentucky Revised Statute 132.020 requires DOR to set the real property rate no later than July 1 of each year.
The state property tax rate is based on the revenue generated from the increase in taxable real property assessments from 2021 to 2022. If the increase in revenue is more than 4 percent after the exclusion of both new properties added to the tax roll during 2021, and the property subject to Tax Increment Financing, then the prior year's rate must be reduced.
The 2021 State Real Property Tax Rate was 11.9 cents per $100 of assessed value. Because the assessment increase for 2022 is estimated at 7.36 percent, the state real property tax rate must be reduced to 11.5 cents per $100 of assessed value to keep state revenues from real property tax to no more than a 4 percent increase over the 2021 receipts.
Revenue generated from the state property tax rate is deposited into the state's General Fund.
Additional information regarding property taxes can be found on the property tax homepage.