Taxes in Florence, Kentucky
Complete tax guide for Florence, KY. State income tax up to 4%, 0.8% property tax, 7.19% sales tax. Calculate your total tax burden.
State Income Tax
4%
Kentucky
Property Tax
0.8%
Effective rate
Sales Tax
7.19%
Combined rate
Tax Burden
Moderate
Florence, KY Tax Overview
Population
32,921
Median Income
$51,700
Cost of Living
84 (100 = avg)
State Income Tax
4%
Local Income Tax
2.39%
Median Home Price
$171,000
Florence Tax Calculator
Pre-filled with Florence median: $51,700
Total Tax Burden in Florence
$11,424
Take-Home: $40,276 · Effective Rate: 22.10%
Federal Tax
$4,166
8.06% eff.
KY State + Local
$3,304
6.39% eff.
FICA
$3,955
7.65% eff.
Take-Home
$40,276
77.90% kept
Tax Breakdown
| Item | Annual | Monthly |
|---|---|---|
| Gross Income | $51,700.00 | $4,308.33 |
| Federal Income Tax | -$4,165.50 | -$347.13 |
| Kentucky State Tax | -$2,068.00 | -$172.33 |
| Florence Local Tax (2.39%) | -$1,235.63 | -$102.97 |
| Social Security (6.2%) | -$3,205.40 | -$267.12 |
| Medicare (1.45%) | -$749.65 | -$62.47 |
| Take-Home Pay | $40,275.82 | $3,356.32 |
Property Tax in Florence
Median Home
$171,000
Annual Tax
$1,368
Monthly Tax
$114
Effective Rate
0.8%
Sales Tax in Florence
Combined Rate
7.19%
State Portion
~4.7%
Local Portion
~2.5%
The combined sales tax rate in Florence is 7.19%, which is above the national average of 7.12%. On a $100 purchase, you would pay $7.19 in sales tax.
Tax Burden Comparison
| Tax Type | Florence | Kentucky Avg | National Avg |
|---|---|---|---|
| Income Tax | 4% + 2.39% | 4% | 4.6% |
| Property Tax | 0.8% | ~0.8% | 1.1% |
| Sales Tax | 7.19% | ~7.19% | 7.12% |
| Overall Burden | Moderate | — | Moderate |
About Taxes in Florence
Florence has a population of approximately 32,921 residents with a median household income of $51,700. The cost of living index is 84 (16.0% lower than the national average of 100).
Tax burden classification: Moderate. Effective combined tax rate of 26.4% includes federal, state, FICA, property, and sales taxes for a typical Florence household.
Official Tax Resources for Kentucky
For authoritative Kentucky tax forms, filing deadlines, and the latest legislative updates, consult these official government resources:
- Kentucky Department of Revenue — official state revenue agency
- Kentucky Individual Income Tax Forms — current tax year forms and instructions
- IRS Federal Tax Forms and Instructions — federal income tax filing
Tax Saving Tips for Florence Residents
- Kentucky's income tax rate of 4% is competitive. You may still benefit from maximizing 401(k) contributions ($23,500 limit) to reduce your taxable income at both state and federal levels.
- Florence has a local income tax of 2.39%. If you work remotely, verify whether you owe city tax based on where you work or where you live. Some cities only tax people who work within city limits.
- Property tax in Florence (0.8%) is below the national average of 1.1%. This makes homeownership more affordable here relative to property tax burden.
- Use a Health Savings Account (HSA) if eligible. Contributions are tax-deductible ($4,400 individual, $8,750 family), growth is tax-free, and withdrawals for medical expenses are tax-free.
Other Cities in Kentucky
Sources & Methodology
Tax rate data on this page is compiled from official government sources and updated for the 2026 tax year. Calculations follow the IRS-published 2026 federal tax brackets, FICA rates (6.2% Social Security up to $176,100 wage base, 1.45% Medicare), and Kentucky state tax provisions. Property tax estimates use Florence's median home value of $171,000and the local effective property tax rate of 0.8%.
- • Federal tax brackets and standard deductions: IRS.gov
- • State income tax rates and brackets: Kentucky Department of Revenue
- • Median household income, home value, and demographics: U.S. Census Bureau ACS
- • Cost of living comparisons: U.S. Bureau of Labor Statistics CES
- • National average benchmarks: Tax Foundation state-level tax burden studies
Disclaimer: Estimates are for informational purposes only. Actual tax liability depends on filing status, deductions, credits, and individual circumstances. Consult a licensed tax professional or your state revenue agency for binding tax guidance.
Reviewed by LevyIO Tax Research Team · Published 2026-01-15 · Last updated 2026-04-30
Calculate Your Full Kentucky Tax Burden
See detailed state tax brackets, FICA breakdown, and compare to neighboring states.
Frequently Asked Questions
What are the tax rates in Florence, KY?
Florence, Kentucky has a state income tax rate up to 4%, plus a local income tax of 2.39%. The property tax rate is 0.8% and the combined sales tax rate is 7.19%.
How much is property tax in Florence?
The effective property tax rate in Florence is 0.8%. On the median home price of $171,000, this equals approximately $1,368 per year or $114 per month. This is below the national average of 1.1%.
What is the sales tax rate in Florence?
The combined sales tax rate in Florence is 7.19%, which includes both state and local components. This is above the national average combined rate of approximately 7.12%.
How does Florence's tax burden compare to other cities?
Florence has a moderate overall tax burden. The effective total tax rate for a median-income household is approximately 26.4%. The combination of 4% state income tax, 0.8% property tax, and 7.19% sales tax determines the total burden. Cost of living index is 84 (100 = national average).
Are there any local taxes in Florence?
Yes. Florence imposes a local income tax of 2.39% in addition to the state income tax of 4%.