Kentucky legislation · 2026 Regular Session
Kentucky HB183: AN ACT relating to the taxation of retirement distributions.
Status: In committee, January 14, 2026
Amend KRS 141.019 to increase the retirement distribution exclusion from $31,110 to $41,110 for taxable years beginning on or after January 1, 2027.
What the bill says
An act relating to the taxation of retirement distributions.
From the introduced text:
AN ACT relating to the taxation of retirement distributions. Be it enacted by the General Assembly of the Commonwealth of Kentucky: Section 1. KRS 141.019 is amended to read as follows: In the case of taxpayers other than corporations: (1) Adjusted gross income shall be calculated by subtracting from the gross income of those taxpayers the deductions allowed individuals by Section 62 of the Internal Revenue Code and adjusting as follows: (a) Exclude income that is exempt from state taxation by the Kentucky Constitution and the Constitution and statutory laws of the United States; (b) Exclude income from supplemental annuities provided by the Railroad Retirement Act of 1937 as amended and which are subject to federal income tax by Pub. L. No. 89-699; (c) Include interest income derived from obligations of sister states and political subdivisions thereof; (d) Exclude employee pension contributions picked up as provided for in KRS 6.505, 16.545, 21.360, 61.523, 61.560, 65.155, 67A.320, 67A.510, 78.610, and 161.540 upon a ruling by the Internal Revenue Service or the federal courts that these contributions shall not be included as gross income until such time as the contributions are distributed or made available to the employee; (e) Exclude Social Security and railroad retirement benefits subject to federal income tax; (f) Exclude any money received because of a settlement or judgment …
Sponsors
- Ashley Tackett Laferty (D, HD-095) · primary sponsor
- Daniel Elliott (R, HD-054)
- Alan Gentry (D, HD-046)
Latest actions
- : to Appropriations & Revenue (H)
- : to Committee on Committees (H)
- : introduced in House
Subjects: Taxation, Taxation, Income--Individual, Retirement And Pensions
Common questions
- What is HB183?
- HB183 is a bill in the Kentucky Legislature (2026 Regular Session): AN ACT relating to the taxation of retirement distributions.
- What does HB183 do?
- In its own words: An act relating to the taxation of retirement distributions.
- What is the status of HB183?
- In committee as of January 14, 2026. Latest action: to Appropriations & Revenue (H) (January 14, 2026).
- Who sponsored HB183?
- Ashley Tackett Laferty (D, HD-095), with 2 co-sponsors.
- Where is the official record for HB183?
- On the Kentucky Legislature website: https://apps.legislature.ky.gov/record/26rs/hb183.html
Source: official Kentucky record. Tracked by Delilah, AI for legislation across all 50 states and Congress.