KY SB167

Allows Kentucky individual taxpayers to exclude union dues and professional membership dues from adjusted gross income for state income tax purposes, for taxable years beginning January 1, 2027 through December 31, 2030

Defines "union dues" as dues, fees, assessments, or charges required of employees represented by a labor organization; defines "professional membership dues" as amounts required to maintain professional licenses or association memberships related to employment

Applies only to dues not already deducted under Section 162 of the Internal Revenue Code (unreimbursed employee business expenses)

Requires the Department of Revenue to report annually to the Legislative Research Commission by November 1, beginning in 2028, on the number of returns claiming the exclusion, total amounts claimed, total reduced tax liability, and distribution by adjusted gross income ranges

Reporting data on this exclusion is explicitly exempted from taxpayer confidentiality protections under KRS Chapter 131