Kentucky’s low property tax burden, a cap on unemployment insurance taxes, low sales tax, and sales tax exemption on machinery for new firms drive our competitive tax structure.

Several sales tax exemptions contribute to our favorable business climate:

• Machinery for new and expanded industry.
• Raw materials, industrial supplies, and industrial tools.
• Items purchased for resale.
• Certified pollution control equipment.
• Containers, packaging, and wrapping materials.
• Energy and energy producing fuels, to the extent that they exceed 3 percent of the cost of production.
• Industrial supplies and tools used to perform a manufacturing process on another entity's property.

Tax Information:

• State of Kentucky
• Kentucky's One-Stop Tax Portal
• City of Bowling Green
• Warren County
• All other South Central Kentucky communities