Act now to claim your Kentucky Department of Revenue primary residence sales tax exemption

Co-op members need to take action

To help our members navigate recent changes to Kentucky’s sales tax laws, Blue Grass Energy is launching a public awareness campaign.

Beginning January 1, 2023, the Kentucky Department of Revenue will only exempt a person’s “domicile” (primary residence) from sales tax on utility services, including electric bills.

Blue Grass Energy is one of 26 electric cooperatives in Kentucky that work together to advocate for electric co-op members. These efforts have helped protect the long-standing sales tax exemption for residential energy bills. Though this sales tax exemption remains in place for electric use at a primary residence, Kentucky will begin imposing a sales tax on other properties as of January 1, 2023.

To make sure the sales tax is not mistakenly applied to the electric bill of their primary residence, co-op members need to act. We are asking members to complete a form for each account. All members who have a meter(s) in their name need to declare which meter(s) are associated with their primary residence. If you have multiple accounts in your name, it is especially important for you to declare now which accounts are associated with your primary residence.

Click the button below to download the form or it is also available at the Kentucky Department of Revenue website, the Primary Residence Sales Tax Exemption Form allows utility customers to declare whether the address listed on their electric bill is their primary residence. A second form from the department is available for landlords with multiple tenants at a single-metered property.

For more information, members are encouraged to contact the Kentucky Department of Revenue by completing their contact form or calling them at (502) 564-5170. Click here for the latest information and clarifications from the Department of Revenue.

Please add your account number to the form before submitting it. You can send the completed signed form to the following email address: memberservice@bgenergy.com.  Members can also mail it to Blue Grass Energy, P.O. Box 990, Nicholasville, KY 40340-0990, or drop it by any local BGEnergy office.