​House Bill 8, enacted during the 2022 legislative session, amended KRS 139.200 to impose sales tax on parking services effective Jan. 1, 2023, as follows:

Parking Services:

  1. Including,
    • valet services; and
    • ​the use of parking lots and parking structures; but

  2. ​Excluding any parking services at an educational institution.

​Yes, charges for street parking are included in the category of parking services subject to sales and use tax beginning Jan. 1, 2023.​

​Yes, parking services provided by city, county and state governments, along with those provided by nonprofit entities, are taxable. However, any parking services provided at an educational institution are expressly excluded from taxation based upon the statutory language of HB 8.​

​No, charges for vehicle or boat storage are outside the scope of parking services subject to sales and use tax.

​Yes, if customers receive a receipt for their purchase of parking services, the parking service provider must itemize the tax by displaying the amount of sales tax collected on the parking transaction. KRS 139.210(1) requires the retailer to collect the tax from the purchaser and separately display the tax from the sales price, the price advertised in the premises, the marked price, or other price on the sales receipt or other proof of sale.  This requirement applies to parking services at meters for street parking, parking lots, parking structures or other locations where the customer receives a receipt and pays electronically by credit card, debit card, phone application, etc.

For parking service charges at coin-only operated meters and cash-only parking lots and structures where receipts are not available to customers, the parking service provider may add the tax to the total amount of the sales price as a single charge to the customer. In these circumstances, the parking service provider must display a statement advising customers that the sales tax is included within the sales price. This guidance is consistent with Kentucky Administrative Regulation 103 KAR 27:180, which addresses vending machine sales.

​No, parking services provided at an educational institution are not taxable.​

​Yes, these parking service charges are taxable because the parking is not located at an educational institution.​

​Yes, charges for parking services at these locations are taxable because there are no exclusions provided under the statutory language of HB 8​.