The Kentucky KYU license: who needs it and how to file
Kentucky taxes heavy trucks for every mile they drive on its roads, wherever the carrier is based. The license is free and quick to get. The quarterly returns are where carriers get caught.
The KYU tax in numbers
A KYU license is Kentucky's weight-distance tax account. You need one before running any truck with a combined licensed weight over 59,999 pounds on Kentucky roads. The license is free, the tax is 2.85 cents per Kentucky mile, and a return is due every quarter, even when you drove zero Kentucky miles.
Kentucky is easy to cross and easy to forget. Its weight-distance tax reaches heavy trucks based in any state, and the returns are due every quarter whether or not a truck entered Kentucky.
This guide covers who needs a KYU license, when a temporary permit is enough, how to apply and file, and how to recover an account that has lapsed.
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Key takeaways
Over 59,999 pounds on Kentucky roads
The tax applies to any carrier whose truck crosses that weight on a Kentucky public highway, wherever the carrier is based.
Actual weight counts, not just the plate
Combined licensed weight is the greater of your declared registration weight and the heaviest combined weight you actually run.
The license is free and issued online
The KYU number appears on screen when you finish the online application. It is tied to your USDOT number, with no physical license.
2.85 cents a mile, every quarter
Returns are due by the last day of the month after each quarter, and a zero-mile return is still required.
A missed return costs $500
Plus 20% of any tax due and interest, and Kentucky can cancel the license.
Occasional trips can use a permit
A temporary KYU permit costs $40 per truck and covers 10 consecutive days.
In this articleContents
What is a KYU license?
A KYU license is the tax account Kentucky uses to collect its weight-distance tax. Under KRS 138.660(3), carriers pay 2.85 cents for every mile a vehicle with a combined licensed weight over 59,999 pounds travels on Kentucky public highways.
The Kentucky Transportation Cabinet's Division of Motor Carriers issues the license and collects the returns. The license itself is free. What you pay is the mileage tax, every quarter.
There is no physical license. Your KYU number is tied electronically to your USDOT number, and you only need to display it on the truck if you are leased to another carrier and run under its DOT authority.
Is KYU the same as IFTA?
No. IFTA is a fuel tax based on the fuel a truck uses in each jurisdiction. KYU is a highway-use tax based only on Kentucky miles. You cannot pay KYU on your IFTA return, and a truck over 59,999 pounds owes both. For the fuel side, see our guide to filing your quarterly IFTA return.
Kentucky is one of several states that tax heavy trucks by weight and miles. Our truck permits overview maps the others, and our New Mexico truck permits guide covers the closest equivalent in the Southwest.
Who needs a KYU license?
You need a KYU license before you run a vehicle with a combined licensed weight over 59,999 pounds on any Kentucky public highway. Where your company is based does not matter: a carrier from another state that runs Kentucky is in scope the same way a Kentucky fleet is.
The license has to be in place before the truck uses Kentucky roads. For occasional runs, a temporary permit can replace it, as covered below.
How Kentucky measures combined licensed weight
Under KRS 138.655, combined licensed weight is the greater of two numbers for the current registration period:
- The declared combined maximum gross weight of the power unit and anything it tows, for registration
- The highest actual combined gross weight of the power unit and towed unit when it runs on Kentucky highways
Who is exempt from KYU?
Farm-plated vehicles are exempt from the KYU tax. The statute excludes vehicles that qualify as farm vehicles under Kentucky law or under another state's law, and Kentucky's permit FAQ describes the exemption as farm-plated vehicles hauling their own products.
Trucks at or under 59,999 pounds combined licensed weight owe no KYU. They may still need IFTA, which starts at over 26,000 pounds or three or more axles.
Leased owner-operators
If you are leased to another carrier and run under its DOT authority, you set up your Kentucky portal profile as a Registrant rather than a Motor Carrier. This is also the one case where the KYU number has to be displayed on the vehicle.
Do you need a KYU license or a temporary permit?
If your trucks only pass through Kentucky now and then, you can buy a temporary KYU permit per truck instead of holding a license. It costs $40, covers one vehicle for 10 consecutive days, and is issued in lieu of the KYU tax for that trip.
| KYU license | Temporary KYU permit | |
|---|---|---|
| Cost | Free to obtain | $40 per truck, plus a 4% card processing fee |
| Covers | Every qualified vehicle in your inventory, until canceled | One vehicle (one VIN) for 10 consecutive days |
| Tax | 2.85 cents per Kentucky mile, on quarterly returns | Issued in lieu of the KYU tax |
| Payment | Credit card or ACH, in the Motor Carrier Portal | Major credit cards only |
Do the math before you choose. $40 buys about 1,404 miles of KYU tax at 2.85 cents a mile, so the permit is rarely the cheaper option per mile. What it buys is not having a KYU account to keep current. Once Kentucky becomes a regular lane, the license usually makes more sense.
Your federal credentials must be active first. Kentucky will not sell a temporary permit until your USDOT number and MC authority have loaded into its system, which generally takes 24 to 48 hours. The same site sells 10-day Kentucky temporary IFTA permits; our temporary fuel permit guide explains how those work.
How do you apply for a KYU license?
You apply online in the Kentucky Transportation Cabinet's Motor Carrier Portal, and the KYU number is issued on screen when you finish. Have your FEIN, USDOT number, and each truck's plate, state of registration, VIN, unit number, year, make, and gross weight ready.
Step 1: Set up a KYID account
First-time users need a KYID account, Kentucky's state sign-in. The 2026 registration guide still calls it the Kentucky Online Gateway.
Step 2: Create your portal profile
Choose Motor Carrier if you run under your own DOT authority, or Registrant if you are leased on. Enter your taxpayer ID (US carriers select FEIN) and your USDOT number.
Step 3: Apply and add every qualified vehicle
Under KYU Online, confirm your vehicles are registered over 59,999 pounds, choose the permanent license, and add each qualified vehicle. Kentucky can cite trucks that are missing from your inventory. You update the inventory online in the same portal.
Step 4: Confirm and save your KYU number
Review the details, confirm, and accept the terms. Your KYU number appears on the next screen. Save a copy with your other credentials.
If the online application fails for technical reasons, Kentucky still accepts the paper TC 95-1 Kentucky Trucking Application by mail or email, but it takes 10 to 14 business days. Kentucky lists applying before your MC authority is fully active with FMCSA as a common mistake.
How do you file KYU quarterly returns?
You file and pay a KYU return every calendar quarter through KYU E-File in the Motor Carrier Portal. Under KRS 138.685, it is due by the last day of the month after the quarter ends. File even if no truck entered Kentucky: a zero-mile return is what keeps the account in good standing.
| Quarter | Miles driven | Return due |
|---|---|---|
| Q3 2026 | July to September | October 31, 2026 |
| Q4 2026 | October to December | January 31, 2027 |
| Q1 2027 | January to March | April 30, 2027 |
| Q2 2027 | April to June | July 31, 2027 |
Filing opens on the first day after each quarter. October 31, 2026 is a Saturday and January 31, 2027 is a Sunday, so file on the business day before rather than counting on an extension.
How to calculate the KYU tax
Multiply the Kentucky miles your qualified vehicles drove in the quarter by $0.0285. For example, 1,000 miles is $28.50, 5,000 miles is $142.50, and 20,000 miles is $570.00. You pay by credit card or ACH, and the financial institution's processing charge is added to the tax.
Keeping records and amending returns
Keep mileage records, vehicle types, weights, and axle counts, and fuel records for five years. If you cannot produce them when asked, Kentucky can estimate your tax and assess you on the estimate (KRS 138.680).
To increase reported miles on a filed return, amend it yourself in KYU E-File. To decrease them, you have to contact the Division of Motor Carriers. Our trucker tax team can file Kentucky returns on the same calendar as your IFTA.
What happens if you miss a KYU return?
A missed return costs more than the tax. Under KRS 138.715, a late return or payment carries a penalty of 20% of the tax plus interest, and failing to file a required report carries a $500 penalty. Kentucky's KYU page warns that skipping even a zero-mile return brings a penalty, interest, and a $500 revocation fee.
Kentucky can also cancel the license for failing to file or pay (KRS 138.675), and it may refuse a new license to anyone whose license was previously revoked for cause (KRS 138.665).
If you had a good reason, explain it to the cabinet in writing. It may reduce the 20% penalty to 5%, or to 1% for a first violation within 12 months.
How to reinstate a KYU account
File every return that is due and pay every bill that is due in the Motor Carrier Portal. Once all filings and payments are in, the account goes back to active. Kentucky's reinstatement instructions walk through the screens.
How to close a KYU account
If you no longer run trucks over 59,999 pounds in Kentucky, close the account rather than letting returns lapse. Bring all filings and fees current, then answer Yes to Ceased Operations on your final return, even if you stop mid-quarter. Afterwards, delete your vehicle inventory in the portal.
Forgot the Ceased Operations step? Email the Division of Motor Carriers with your KYU number to request the closure.
How Simplex helps with your KYU license
The license takes minutes. Keeping it in good standing takes a return every quarter. We help with both, and with the credentials Kentucky checks first.
Quarterly weight-distance returns
Our trucker tax preparation team handles weight-distance taxes for Kentucky, New York, New Mexico, and Oregon, alongside IFTA fuel taxes and Form 2290.
Trip and temporary permits
Only in Kentucky now and then? Our trucking permits team handles trip and temporary fuel permits, so each unit is covered before it crosses the state line.
The credentials that come first
Kentucky won't issue credentials until your federal ones are active. Our authority packages cover the USDOT number, MC authority, BOC-3, and UCR.
Frequently asked questions
Do I need a KYU license if I'm not based in Kentucky?+
How much does a KYU license cost?+
How fast can I get a KYU number?+
Do I have to file a KYU return if I didn't drive in Kentucky?+
Is KYU the same as IFTA?+
Do I need to display my KYU number on the truck?+
Where this information comes from
The requirements below come from the Kentucky Revised Statutes and the Kentucky Transportation Cabinet's Division of Motor Carriers, checked on September 24, 2026.
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1
Kentucky Revised Statutes — KRS 138.660
The weight-distance tax: 2.85 cents per mile above 59,999 pounds combined licensed weight.
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2
Kentucky Revised Statutes — KRS 138.655
How combined licensed weight is measured, the farm vehicle exclusion, and the 10-day trip permit.
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3
Kentucky Revised Statutes — KRS 138.665
License required before using Kentucky highways, the $40 trip permit, and refusal after a revocation.
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4
Kentucky Revised Statutes — KRS 138.715
The 20% penalty, interest, the $500 penalty for a missed report, and penalty reductions.
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5
KYTC — Kentucky Weight Distance (KYU)
Applying, quarterly filing regardless of travel, zero-mile returns, payment, amendments, reinstating, and closing.
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6
KYTC — Commercial Motor Vehicle Credentials
No fee for a permanent KYU number, and how KYU differs from IFTA.
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7
KYTC — KYU Registration Guide (2026)
The online application steps, the Registrant profile for leased carriers, and display rules.
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8
KYTC — Motor Carrier Permits FAQ
The $40, 10-day temporary KYU permit, card fee, and the active-credentials requirement.
Written by
Simplex Group
Permits & Fuel Tax Team, Simplex Group
Reviewed for technical accuracy by a Simplex permitting manager before publication. Simplex has registered and filed permits and fuel taxes for interstate carriers across all 50 states for more than 20 years.
Published · Updated
Related articles and services
A zero-mile return is still a return
The KYU tax is small per mile. The penalty for a skipped quarter is not, and a revoked license can make it harder to get a new one.
If you want your Kentucky returns filed on the same calendar as IFTA and your other state taxes, talk to our team.