Kentucky Dependent Care, Family Size, Senior, and Homestead Tax Relief¶
Kentucky tax relief relevant to caregiver households, including the Child and Dependent Care Credit, Family Size Tax Credit, personal credits for people age 65 or older or legally blind, and the homestead exemption for homeowners age 65 or older or classified as totally disabled.
Kentucky taxpayers claiming the Child and Dependent Care Credit enter the federal Form 2441 credit multiplied by 20% on Form 740 or 740-NP. Kentucky also provides a Family Size Tax Credit for income-limited households; the family-size rules include qualifying children and can include a child who is permanently and totally disabled at any time during the year. Personal credits include $40 for each person on the return who is age 65 or older and $40 for each legally blind person. For property tax, Kentucky's homestead exemption lets eligible homeowners age 65 or older or classified as totally disabled deduct $49,100 from the assessed value of their home for the 2025-2026 assessment years.