How to Complete and File Kentucky Form K-5: MyTaxes, Paper, and Corrections

Kentucky Form K-5 is the Department of Revenue’s annual return for reporting the withholding statement details from your W-2s, W-2Gs, and 1099s. File it through the MyTaxes portal at MyTaxes.ky.gov by January 31 following the tax year, and file a separate K-5 for each statement type you need to report.¹

Who Files Form K-5

Your filing method depends on how many withholding statements you issue in the year. Under 103 KAR 18:050(5), any employer or payer issuing 26 or more statements annually must file electronically, either through the MyTaxes portal or by submitting data files in an accepted format.¹ If you issue 25 or fewer statements, Form K-5 is your filing method and you may file it either electronically or on paper. You can use K-5 in the portal above that threshold too, but you must click Submit to file electronically; printing and mailing is not allowed at that volume.²

One carve-out matters before you start listing recipients. 1099 series forms need to be reported to DOR only when Kentucky income tax was actually withheld. A 1099-NEC or 1099-MISC with no Kentucky withholding does not belong on K-5.³ W-2s and W-2Gs are always reported.

What To Gather Before You Start

For each recipient you plan to report, pull together five pieces of information:

Your Kentucky employer withholding tax account number. The portal auto-populates it, but verify it matches your records.
The recipient’s nine-digit SSN (for employees on a W-2) or SSN/FEIN (for payees on a 1099 or W-2G).
The recipient’s last name. The form asks for the last name only, not the full legal name.⁴
Kentucky wages, gambling winnings, or other payments subject to Kentucky income tax.
Kentucky income tax actually withheld from that person during the year.

Use only the Kentucky-taxable portion. For an employee who split time between Kentucky and another state, report just the wages attributed to Kentucky. The source document is the Kentucky wages box on the W-2, not the federal wages box. Reconciling to your payroll data before you file is cheaper than filing corrections later.

Filing Form K-5 In MyTaxes

Most employers complete the whole process online in one session. The steps are:⁴

Sign in at MyTaxes.ky.gov and select the Employers Withholding Tax/Withholding Reconciliation link.
Click Transactions in the page header and choose File a Form.
On the File A Form page, select your withholding account, confirm the account ID and business name, choose form type 42A805 (K-5), set return type to Informational Return, and select the tax year period of January 1 through December 31. Click Next.
On the Withholding Statements tab, click Add Row for each recipient and fill in SSN or FEIN, last name, Kentucky wages or payments, Kentucky income tax withheld, and the confirmation checkbox. Repeat for every person.
Click Next to reach the Totals tab. Choose the statement type you are reporting (W-2, W-2G, or a specific 1099 variant), enter the number of statements, the combined Kentucky wages or payments, and the combined Kentucky tax withheld. Click Calculate, then Submit.
Review the summary, click Next, read the electronic signature statement, and click Yes. Print the confirmation page and keep the confirmation number.

If you need to report more than one statement type, run through the process again for each one. A single K-5 covers a single statement type, so a business reporting both W-2s and 1099-NECs with Kentucky withholding files two K-5 returns.

Filing On Paper

If you issue 25 or fewer statements and would rather not file online, print the K-5 from the MyTaxes portal, fill it out, and mail it to:⁵

Kentucky Department of Revenue
501 High Street, Sta. 57
Frankfort, KY 40601

DOR considers the form filed when received, not when postmarked, so give the mail enough time to arrive by January 31. If timing is tight, use the portal; the electronic confirmation is immediate.

Bulk Filers At 26 Or More Statements

If your volume puts you above the 25-statement threshold and you want to upload data rather than key it in, DOR accepts W-2 data in the Social Security Administration’s EFW2 format with Kentucky RS state records, and W-2G and 1099 data in the federal Publication 1220 format with Kentucky B state records.²³ Using K-5 in the portal and clicking Submit also satisfies the electronic requirement at any volume.

Fixing Errors After You File

The MyTaxes portal does not currently accept corrected statements. If you catch a mistake after submitting K-5, mail corrected W-2s, 1099s, or W-2Gs on paper to the same 501 High Street address in Frankfort.⁵ Include a cover letter identifying the original filing and the specific corrections so the paperwork gets matched to the right account.

Penalties For Missing Or Botching The Filing

Kentucky’s per-statement penalties make a late or sloppy K-5 expensive. Under KRS 131.180, failing to furnish a required wage and tax statement draws a civil penalty of $25 per statement, with a $100 minimum. Statements that are incomplete or improperly completed carry a separate $10-per-statement penalty.⁶ An employer with 50 workers who misses the deadline faces a minimum penalty of $1,250 before any correction penalties are added.

The exposure goes beyond the entity. Under KRS 141.340, a corporation’s president, vice president, secretary, treasurer, or anyone in an equivalent office can be held jointly and severally liable for Kentucky withholding tax that should have been collected and paid. The same personal liability reaches managers of LLCs, partners in LLPs, and general partners of LLLPs. Dissolution or leaving the office does not erase the liability; it attaches to whoever held the role when the tax became due. The only defense is showing you lacked authority to collect, account for, or pay over the tax at that time.⁷

One related filing to keep on your calendar: Form K-3, the annual withholding reconciliation, is due the same January 31 and is submitted separately. DOR uses the K-3 totals and the K-5 statement detail together to confirm the numbers match, so file both and make sure they agree.¹

1
Kentucky Department of Revenue. Withholding Kentucky Income Tax Instructions for Employers
2
Kentucky Department of Revenue. Withholding Tax Changes
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Kentucky Department of Revenue. Specifications for Electronic Submission of 1099 and W-2G Tax Information
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Kentucky Department of Revenue. Kentucky Form K-5 Filing in MyTaxes Portal
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Kentucky Department of Revenue. Employer Payroll Withholding
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Kentucky Department of Revenue. Withholding Kentucky Income Tax Instructions for Employers
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Kentucky Legislative Research Commission. Kentucky Revised Statutes 141.340