(A) Except as provided in division (B) of this section, any person who earns wages or salaries and is required to make a filing with the Internal Revenue Service or the Kentucky Revenue Cabinet shall be required to file and pay to the city a compensation tax for the privilege of engaging in such activities within the city. The compensation tax shall be measured by 1% of all compensation paid or payable in the city for work done or services performed or rendered in the city by every resident and nonresident who is an employee.
(B) The compensation tax imposed in this section shall not apply to the following persons:
(1) Any members of the Kentucky National Guard for active duty training, unit training assemblies and annual field training;
(2) Any precinct workers for election training or work at election booths in state, county and local primary, regular or special elections;
(3) Persons who have been issued a license under KRS Chapter 243 to engage in manufacturing or trafficking in alcoholic beverages, but only for compensation earned directly as a result of engaging in that activity. Persons engaged in the business of manufacturing or trafficking in alcoholic beverages are required to file a return but may exclude the portion of their compensation derived from the manufacturing or trafficking in alcoholic beverages.
(Ord. 8-2013, passed 8-5-2013; Ord. 14-2022, passed 12-5-2022)