Final passage came on a 34-3 Senate vote to lower the tax to 3.5% from 4% at the start of 2026. The bill goes to Democratic Gov. Andy Beshear, who has said he supports the tax cut. It continues a downward trend in the personal income tax rate since the GOP gained full control of the legislature in 2017.

Some Democrats voted with Republicans Tuesday to pass a half-a-percent cut to Kentuckians’ individual income tax rate.

The bill will lower Kentucky’s individual income tax rate from 4% to 3.5% in 2026, a move projected to lower state revenue by $718 million annually.

A bill that would further cut the state’s income tax rate is headed to Kentucky Gov. Andy Beshear’s desk after final passage Tuesday in the Kentucky Senate.