Articles on: Accounts & Payments

Kentucky Sales Tax

For an overview of state sales tax, please view our article TicketSource and Sales Tax.


Sales tax will apply to this state from December 2, 2025


  1. Overview
  2. If you’ve been collecting taxes in Kentucky - online sales through TicketSource payment processing
  3. If you’ve been collecting taxes in Kentucky – online sales through Stripe payment processing
  4. If you are tax-exempt


Overview


For events in the U.S. state of Kentucky, TicketSource is required to charge the attendee sales tax on their booking (tickets, sundry sales and booking fees). You can find information on the current sales tax percentage for Kentucky here https://www.avalara.com/taxrates/en/state-rates.html


By using TicketSource and agreeing to its terms of use, event organizers authorize TicketSource to collect and remit taxes on your online ticket sales in States where TicketSource is legally required to do so. It remains the event organizer’s responsibility to understand their tax obligations.


If you’ve been collecting taxes in Kentucky - online sales through TicketSource payment processing


You should no longer collect and remit sales tax for online sales related to Kentucky-based events.  TicketSource is now responsible for collecting and remitting sales tax.  Please note that you will still be responsible for any applicable sales tax on direct sales (sales not processed online through TicketSource or when using your own merchant services).  Please refer to our Sales Tax Guidance for additional information.


If you’ve been collecting taxes in Kentucky – online sales through Stripe payment processing


TicketSource will collect and remit the sales tax on the booking fee for your online sales related to Kentucky-based events. You will remain responsible for any applicable sales tax on your online ticket sales (excluding the booking fee) or direct sales (sales not processed online through TicketSource or when using your own merchant services).  Please refer to our Sales Tax Guidance for additional information.


If you are tax-exempt


Sales tax is exempt on specific events or organizations:


  • Nonprofit educational, charitable, or religious institutions which have qualified for exemption under Section 501(c)(3) of the Internal Revenue Code.
  • School-affiliated groups such as parent-teacher organizations and booster clubs are also exempt.
  • Sale of admissions and fundraising event sales by other nonprofit organizations.

 

For events in Kentucky, your 501(c)(3) status is not sufficient to gain tax-exemption. Except for nonprofit schools, you must apply for exemption to the Kentucky Department of Revenue who will provide you with documentation confirming your sales tax-exempt status and an exemption number.


If you believe you are exempt under Kentucky Statute, please complete the tax exemption declaration in your TicketSource account from late November (please check back on this article in late November for guidance).


If you declare a tax exemption, we may contact you to request evidence of your exemption.  As stipulated by the state, delays in providing this evidence may result in sales tax being charged until suitable documentation is provided.


For further information, please visit the Kentucky Department of Revenue https://revenue.ky.gov/Business/Sales-Use-Tax/Pages/default.aspx

Updated on: 28/11/2025