KRS 138.4631 — Estimated assessment, plus penalty and interest, against holders of U-Drive-It permits and against dealers with loaner motor vehicles for failure or refusal to pay tax

(1) If any holder of a permit under KRS 138.463(2) fails or refuses to file a ret urn or
furnish any information requested in writing, the cabinet may, from any information
in its possession, make an estimate of the permit holder's gross rental or lease
charges and issue an assessment against the permit holder based on the estimated
gross rental or lease charges and add a penalty of ten percent (10%) of the amount
of the assessment so determined. This penalty shall be in addition to all other
applicable penalties provided by law.
(2) If a dealer under KRS 138.4605 fails or refuses to fil e a return or furnish any
information requested in writing, the cabinet may, from any information in its
possession, make an estimate of the tax owed by the dealer on his loaner motor
vehicles and issue an assessment against the dealer after adding a penal ty of ten
percent (10%) of the amount of the assessment so determined. The penalty shall be
in addition to all other applicable penalties provided by law.
(3) If any holder of a permit under KRS 138.463(2) or a dealer under KRS 138.4605
fails to make and f ile a return required by KRS 138.4605 or 138.463 on or before
the due date of the return or the due date as extended by the cabinet, or if the tax, or
any installment or portion of the tax imposed by KRS 138.4605 or 138.463, is not
paid on or before the da te prescribed for its payment, then, unless it is shown to the
satisfaction of the cabinet that the failure is due to a reasonable cause, five percent
(5%) of the tax found to be due shall be added to the tax for each thirty (30) days or
fraction thereof e lapsing between the due date of the return and the date on which
filed, but the total penalty shall not exceed twenty -five percent (25%) of the tax;
provided, however, that in no case shall the penalty be less than ten dollars ($10).
(4) If the tax imposed by KRS 138.4605 or 138.463, whether assessed by the cabinet,
the dealer, or the permit holder, or any installment or portion of the tax is not paid
on or before the date prescribed for its payment, there shall be collected, as a part of
the tax, interest upon the unpaid amount at the tax interest rate as defined in KRS
131.010(6) from the date prescribed for its payment until payment is actually made.