Richmond local tax
On $60,000 of wages, working in Richmond costs $1,200 a year in local occupational fees.
Levy by levy
Each levy is applied at its own wage cap. Adding the rates together and applying them once would give a different, wrong answer wherever the caps differ.
| Levy | Rate | Wages it applies to | Annual amount |
|---|---|---|---|
| Richmond occupational fee | 2% | $60,000 | $1,200 |
| Total | $1,200 |
How Richmond and Madison County interact
The county fee does not reach inside the city limits at all. There is nothing to credit, because the county never levies on this worker — which is a different thing from a credit, and modelling it as a stack would over-charge every city worker by the full county rate.
- The county fee is "required to be filed if you are conducting business anywhere in Madison County that is NOT located inside the city limits of Richmond or Berea", so it does not reach a Richmond workplace.
Madison County's own occupational fee does not reach inside Richmond's city limits, so it is not owed on wages earned there.
Source: Madison County — occupational tax, verified 2026-08-22.
Richmond local tax: common questions
How much local tax do I pay working in Richmond?
On $60,000 of wages, $1,200 a year if you live in Richmond. That is a single levy, and each is capped at its own wage base rather than sharing one — which is why the total is not simply the rates added together.
Does Madison County charge on top of Richmond?
The county fee does not reach inside the city limits at all. There is nothing to credit, because the county never levies on this worker — which is a different thing from a credit, and modelling it as a stack would over-charge every city worker by the full county rate.
Is this the same as Kentucky state income tax?
No. This is a local occupational licence fee, levied by the city, county or school board, and it is separate from Kentucky's state income tax. It is also not waived by Kentucky's reciprocity agreements with neighbouring states — Form 740-NP-R, the reciprocal-state refund return, instructs "Do not include local tax withheld."