There’s a new 6% state sales tax on city services

July 1 marked the first day a new six percent state sales tax that went into effect for some services in Kentucky, including some offered by the City of Berea. The tax was enacted during the most recent legislative session in Frankfort.

Under the new tax law, the six percent levy will be added to various amenities offered by Berea’s Parks and Recreation Department. “If you are renting the Folk Center or a picnic shelter, for example, you’re going to be paying an extra six percent,” said City of Berea Finance Director Susan Meeks. In addition the tax will be added to the cost of renting of the swimming pool for individual parties and events.

Other items to be covered by the new tax include admission fees to the Berea City Pool and the Berea Crafts Festival. “As of right now, for the pool and the entrance into the craft festival, sales tax is included in the ticket price,” Meeks said

Fortunately for fans of Berea’s craft workshops, the six percent sales tax will not apply to offerings like the upcoming Festival of Learnshops, since educational classes are exempt in the current law. However, the tax is applicable to other items, including costs for softball team entries, the price of silent auction items, golf tournament fees, raffle tickets, or other designated fund raisers.

For more information on which services are covered by the six percent sales tax, consult https://taxanswers.ky.gov.

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