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Steps to Filling Out Kentucky 74A118
Completing the Kentucky 74A118 form is an essential task for insurers operating in the state. This form must be filled out accurately to report the insurance surcharge due. Follow the steps below to ensure that you complete the form correctly and submit it on time.
- Begin by entering the account number in the designated space at the top of the form.
- Check the appropriate box if this is an amended return or if it pertains to surplus lines.
- Fill in the name and address of your company in the provided fields.
- Indicate the month and year for which you are reporting.
- Provide the NAIC and FEIN numbers as required.
- In line 1, report the total premiums collected, including assessments and other charges, but excluding municipal taxes.
- In line 2, deduct amounts not subject to surcharge:
- Line 2A: Enter the total of premiums returned to policyholders on terminated policies.
- Line 2B: Report premiums collected for accident and health insurance, federal insured crop insurance, federal insured flood insurance, reinsurance, title insurance, and workers' compensation.
- Line 2C: List premiums collected from exempt entities such as the federal government and nonprofit organizations.
- Calculate the total amount not subject to surcharge and enter it on line 2D.
- Subtract line 2D from line 1 to find the amount subject to surcharge and enter this on line 3.
- Multiply the amount on line 3 by the current surcharge rate (0.018) and enter the result on line 4.
- Calculate any penalty due, if applicable, and enter it on line 5.
- Calculate any interest due, if applicable, and enter it on line 6.
- Add lines 4, 5, and 6 to find the total amount due and enter it on line 7.
- If there are any adjustments, provide supporting documentation and enter the total on line 8.
- Finally, calculate the total amount due (line 7 plus or minus line 8) and enter it on line 9.
- Indicate if payment was made online and provide the confirmation number if applicable.
- Sign and date the form, ensuring that both the principal officer and preparer provide their information.
After completing the form, make sure to submit it along with any payment due to the Kentucky Department of Revenue. Proper submission helps ensure compliance and avoids potential penalties.
Dos and Don'ts
When filling out the Kentucky 74A118 form, it is important to follow specific guidelines to ensure accuracy and compliance. Here are four things you should and shouldn't do:
- Do double-check all figures before submission to avoid errors.
- Do ensure that you include all required information, such as your account number and contact details.
- Don't leave any sections blank; if a section is not applicable, indicate that clearly.
- Don't forget to file on time to avoid penalties; submit your report by the 20th of each month.
File Breakdown
| Fact Name | Details |
|---|---|
| Form Purpose | The Kentucky 74A118 form is used for reporting monthly insurance surcharge collections. |
| Governing Law | KRS 136.392 outlines the requirements for insurers regarding the surcharge. |
| Who Must File | All domestic, foreign, and alien insurers, except life and health insurers, must file this form. |
| Filing Frequency | Insurers are required to file monthly or annually, even if no premiums were collected. |
| Deadline for Filing | The form must be submitted by the 20th day of each month for the preceding month's collections. |
| Penalty for Late Filing | A penalty of 2% applies for each 30 days the report is late, up to a maximum of 20%. |
| Exemptions | Certain entities, like the federal government and nonprofit institutions, are exempt from the surcharge. |
| Interest on Late Payments | Interest at the "tax increase rate" applies to unpaid surcharges after the original due date. |
| Adjustments | Insurers can attach supporting documentation for any adjustments to the reported amounts. |
| Contact Information | For questions, insurers can call the Kentucky Department of Revenue at (502) 564-4810. |
Documents used along the form
The Kentucky 74A118 form is a crucial document for insurers operating in Kentucky, specifically for reporting monthly insurance surcharge collections. However, it is often accompanied by various other forms and documents that help clarify or support the information provided. Below is a list of other forms commonly used alongside the 74A118, each serving a specific purpose in the reporting process.
- Form 74A119: This form is used for annual insurance premium surcharge reporting. Insurers with lower annual liabilities can use this instead of the monthly form.
- Form 74A120: This document is a request for refund of surcharge overpayments. Insurers can submit this form to recover any excess amounts paid.
- Form 74A121: This is a supporting documentation form for adjustments. Insurers must attach this form when reporting any adjustments to their surcharge amounts.
- Chick Fil A Job Application: For those interested in joining the fast-food chain, the OnlineLawDocs.com provides the necessary application form, which helps gather essential personal and professional details for employment consideration.
- Form 74A122: This form is used to report penalties and interest on late payments. It helps insurers calculate additional fees incurred due to late submissions.
- Form 74A123: This is a declaration of exempt status for certain policyholders. Insurers must provide this form for clients who qualify for exemption from the surcharge.
- Form 74A124: This document is used for reporting surcharges related to specific types of insurance, such as title or workers' compensation, which have different rules.
- Form 74A125: This form is for documenting premium returns to policyholders. Insurers must complete this when they issue refunds that affect surcharge calculations.
- Form 74A126: This is a compliance verification form. Insurers may need to submit this to confirm adherence to Kentucky's insurance regulations.
- Form 74A127: This document is used for reporting changes in the insurer’s business structure, such as mergers or acquisitions, which can impact surcharge obligations.
- Form 74A128: This is a notice of intent to appeal any surcharge assessments. Insurers can use this form to formally contest decisions made by the Department of Revenue.
These forms work together with the Kentucky 74A118 to ensure that insurers comply with state regulations while accurately reporting their financial activities. Each document plays a role in maintaining transparency and accountability in the insurance industry within Kentucky.
Common PDF Forms
Inheritance Tax in Kentucky - Details about estimated tax payments must be disclosed on the return.
To learn more about the IRS W-9 form and its importance in providing accurate taxpayer information, you can visit https://smarttemplates.net which offers valuable resources and templates to assist with the process.
Kentucky Workers Compensation Laws - Be thorough when describing the accident and its impact on your life.
FAQ
What is the Kentucky 74A118 form?
The Kentucky 74A118 form is a Monthly Insurance Surcharge Report that insurers in Kentucky must file. This form is used to report the premiums, assessments, and other charges collected on risks located in Kentucky. It is essential for ensuring compliance with the state’s insurance premium surcharge requirements. The report must be submitted to the Kentucky Department of Revenue by the 20th of each month for the preceding month’s collections.
Who is required to file the 74A118 form?
Every domestic, foreign, and alien insurer, excluding life and health insurers, must file the Kentucky 74A118 form. This includes insurers that are subject to or exempt from Kentucky insurance premiums taxes. Even if no premiums were collected during a reporting period, insurers are still required to file this form to maintain compliance.
What information is needed to complete the form?
To complete the Kentucky 74A118 form, insurers need to provide details such as total premiums collected, amounts not subject to surcharge, and the amount due. Specific categories for deductions include premiums returned to policyholders, accident and health insurance, and federal insured crop and flood insurance, among others. Insurers must also include their account number, NAIC number, and FEIN, as well as the month and year for which they are reporting.
What happens if the form is filed late?
If the Kentucky 74A118 form is filed after the due date, a penalty will be applied. The penalty is 2% of the surcharge due for each 30 days or fraction thereof that the report is late, with a maximum penalty of 20%. There is also a minimum penalty of $10. It is crucial for insurers to adhere to the filing deadlines to avoid these additional costs.
Are there any exemptions from the surcharge?
Yes, certain policyholders are exempt or partially exempt from the insurance premium surcharge. These include the federal government, resident educational and charitable institutions under Section 501(c)(3), and local and state governments for real property coverage. Additionally, premiums for specific types of insurance, such as life and health insurance, workers' compensation, and municipal premium taxes, are also exempt from the surcharge.
How should payments be made for the surcharge?
Payments for the surcharge should be made payable to the Kentucky State Treasurer. Insurers can mail the completed form along with payment to the Kentucky Department of Revenue at the designated mailing address. Alternatively, payments can be made online, and a confirmation number should be noted on the form if this method is used. It is important to ensure that the payment is submitted by the due date to avoid penalties and interest.