Motor Vehicle Usage Tax is a tax on the privilege of using a motor vehicle upon the public highways of the Kentucky and shall be separate and distinct from all other taxes imposed by the Commonwealth. It is levied at 6 percent and shall be paid on every motor vehicle used in Kentucky. The tax is collected by the county clerk or other officer with whom the vehicle is required to be registered. This tax is collected upon the transfer of ownership or when a vehicle is offered for registration for the first time in Kentucky.
A county clerk cannot register or issue license tags to the owner of any vehicle unless the owner or his agent pays the Motor Vehicle Usage Tax in addition to the transfer, registration and license fees.
Motor Vehicle Usage Tax Laws are located in Kentucky Revised Statute: Chapter 138Kentucky Vehicle License Registration