FRANKFORT, Ky. — Small businesses can still apply for a tax credit of up to $25,000 through the Kentucky Small Business Tax Credit (KSBTC), Gov. Andy Beshear, D-Ky., announced Thursday.

Qualifying small businesses should apply now to ensure their best chance of approval in time for this year’s tax filings, according to the governor’s office. Completed applications received by Nov. 1 will be fully reviewed for the 2024 tax credit eligibility. Applications can be submitted anytime throughout the year, but those received after Nov. 1 may not be eligible for tax credits until the 2025 tax year. The governor said approval is not guaranteed.

“Kentucky’s economy is soaring, and our small businesses are a big reason why,” Beshear said. “The Small Business Tax Credit recognizes the investments entrepreneurs make in people and resources as they grow and position themselves for continued growth. That makes our communities and their economies even stronger. Now is the time to find out if you are eligible and may qualify for tax credits that can be claimed on your 2024 state tax return.”

“Time is of the essence to apply for the credit in 2024, and we encourage any business owner, or those who assist businesses with accounting and tax preparation, to review program specifics on our website,” said David Brock, interim executive director of KY Innovation.

Tax credits range from $3,5000 to $25,000 per year. The amount depends on the number of jobs created and the amount invested in new equipment or technology. According to Beshear, most for-profit businesses with 50 or fewer full-time employees will qualify, including construction, manufacturing, retail, service and wholesale companies.

The governor said the KSBTC program has prompted small business owners to invest more than $2.1 million in their companies, awarding over $760,000 in tax credits and creating 222 jobs in the state. Since its inception, Beshear said KSBTC has helped create over 4,300 new jobs and generated more than $44 million in investments into small businesses and allocated over $14.7 million in total tax credits.

The tax credit is offered through KY Innovation, an office that encourages growth among Kentucky’s small businesses and entrepreneurs. To learn more about the program and to view the current application, visit the KY Innovation website.