TaxWrenTaxes for Kentucky freelancers in 2026
Single filers get a standard deduction of $3,360 ($3,360 married filing jointly).
On $85,000 of 1099 profit, a single filer owes about $2,647 in Kentucky income tax on top of $17,800 in federal taxes. That ranks 23rd lowest of 51 (50 states and DC), $82 less than the median state.
Among its neighbors, Tennessee, Ohio and Indiana would tax the same income less, while West Virginia, Missouri, Virginia and Illinois would tax it more.
Kentucky also has local (county or city) income taxes. They average 0.93% of adjusted gross income statewide (2023 IRS and Census data compiled by the Tax Foundation) and are not included in these estimates.
Kentucky income tax brackets for 2026
| Rate | Single: taxable income over | Married jointly: over |
|---|---|---|
| 3.5% | $0 | $0 |
Kentucky vs. neighboring states
Tax on $85,000 of 1099 profit for a single filer in 2026. The median across all 50 states and DC is $2,729 of state income tax.
| State | State tax | Total tax | Take-home |
|---|---|---|---|
| Kentucky | $2,647 | $20,447 | $64,553 |
| Illinois | $3,765 | $21,565 | $63,435 |
| Indiana | $2,301 | $20,101 | $64,899 |
| Missouri | $2,775 | $20,575 | $64,425 |
| Ohio | $1,729 | $19,529 | $65,471 |
| Tennessee | $0 | $17,800 | $67,200 |
| Virginia | $3,728 | $21,528 | $63,472 |
| West Virginia | $2,729 | $20,529 | $64,471 |
How Kentucky taxes changed
For 2026, Kentucky cut its top rate from 4% to 3.5% and raised the single standard deduction from $3,270 to $3,360. State tax on $85,000 of 1099 profit falls from $3,029 to $2,647 (−$382).
| 2025 | 2026 | |
|---|---|---|
| Top income tax rate | 4% | 3.5% |
| Standard deduction (single) | $3,270 | $3,360 |
| State tax on $85,000 of 1099 profit | $3,029 | $2,647 |
| Take-home on a $75,000 salary | $58,444 | $59,085 |
Each year uses that year's federal and Kentucky rules, so the take-home row also reflects federal changes. Federal changes · All data updates
Sources: Kentucky revenue department, Tax Foundation, State Individual Income Tax Rates and Brackets, IRS Rev. Proc. 2025-32. See our methodology.
Kentucky 1099 tax FAQ
Does Kentucky have a state income tax?
Kentucky has a flat income tax of 3.5%.
How much should a freelancer in Kentucky set aside for taxes?
A single filer with $85,000 of 1099 profit and no other income should set aside about 24% of every payment in 2026: $12,010 self-employment tax, $5,790 federal income tax and $2,647 Kentucky income tax. Use the calculator for your own income, expenses and filing status.
What is the top Kentucky income tax rate in 2026?
3.5%. Kentucky has a flat income tax of 3.5%.
Do I need to make estimated tax payments to Kentucky?
Generally yes, if you expect to owe state tax that is not covered by withholding. Kentucky sets its own thresholds and due dates; check the Kentucky revenue department's estimated payment rules.