TheTimesTribune.com, Corbin, KY

Local News

June 5, 2009

Corbin wins fight for Knox taxes

Judge rules Knox County will lose occupational taxes from city limits

By Carl Keith Greene / Staff Writer

A judge ruled Thursday in favor of Corbin in an occupational tax dispute with Knox County.

Senior Circuit Judge Rod Messer’s ruling states, “(U)pon collection by the City of Corbin of its occupational license fee, all Corbin taxpayers who also owe an occupational fee to Knox County shall be allowed to credit the amount of the occupational license fee paid to the City of Corbin against the occupational license fee owed to Knox County.”

On Thursday afternoon, Knox Judge-Executive J.M. Hall said the county “respectfully disagrees with this ruling.” He said the fiscal court will appeal Messer’s decision.

Doug McSwain, the county’s attorney in the matter, issued a statement, saying, the county “disagrees with the portion of the opinion that says Knox County must recognize any credits.”

He reinforced Hall’s intention to appeal that particular portion of the finding and added, “Knox County agrees with the portion of the opinion that upholds the agreement between Knox County and Barbourville.”

The statement concludes, “Knox County intends to fully collect all occupational license taxes owed to the county during the appeal. In this respect, nothing has changed.”

When asked, Knox Magistrate Guilio Cima, who represents the population that lives in the Knox County portion of Corbin’s city limits, had no comment on the issue.

Corbin Mayor Willard McBurney said he was “very satisfied and pleased” with Messer’s ruling. The income from the taxes will be used to “improve all of town,” he said.

The struggle for tax money from the workers in the roughly 27 percent of Corbin that lays in Knox County began in April of last year.

That was when the city filed suit for a portion of the one percent tax collected by Knox County.

Currently, Corbin gets 75 percent of Whitley County’s occupational tax collected from workers inside the Whitley County portion of the city.

But it collects no portion of the Knox County money reaped from the Knox County section of the city.

In 2005, Corbin established its own occupational tax, but the city has yet to begin collecting it.

The lawsuit filed by Corbin calls for those who work in the Knox County section of town to be able to credit their city occupational tax against the county occupational tax when and if the city tax is enacted.

Thus, the worker would pay only one of the taxes, unless the city tax is less than the county tax. Then the portion collected by the city would be credited against that portion of the county’s tax.

In an analysis of the controversy, Messer said in his judgement, “Corbin stands to collect considerable revenue if its claim is allowed without increasing the tax burden on its taxpayers who are also subject to the Knox County tax.”

The Knox County/Barbourville agreement addressed earlier in the statement from McSwain is the deal made between the county and Barbourville on Oct. 28, 2003, that said Barbourville will collect 32 percent of occupational taxes collected county-wide until 2012, after 2012, Barbourville will collect 25 percent.

Corbin had argued in the suit that the agreement effectively caused workers in Corbin’s Knox County section to give a portion of their money to Barbourville and Barbourville has no right to directly or indirectly tax people outside its city limits.

In his opinion, Messer overruled Corbin’s motion for summary judgement that the October 2003 agreement is against the law.

Text Only
Local News
  • Barbourville’s done. What’s next, Corbin?

    With Barbourville saying “No” to alcohol sales by the drink and by the package Tuesday night, the attention now turns to Corbin’s vote just six days away — Tuesday, Feb. 14.

    February 8, 2012

  • 0208 Danny Moses Jerry Rains.jpg Whitley man missing since Monday

    First responders and neighborhood volunteers will continue their search Wednesday at 11 a.m. for a Whitley County man who’s been missing for two days.

    February 8, 2012 1 Photo

  • Former sheriff Hodge appears in Whitley County Circuit Court

    Feb. 8, 2012.pdf

    Former Whitley County sheriff Lawrence Hodge appeared in Whitley Circuit Court Monday, according to Commonwealth’s Attorney Allen Trimble.

    February 8, 2012

  • Search underway for man in Whitley County - Online Exclusive

    A ground search is currently underway in the Bee Creek area of Whitley County for a 63-year-old man who has been missing since yesterday, according to Woodbine Fire Department Chief Rick Fore.
    Richard "Dick" Martin hasn't been seen since he left his house about 11:30 a.m. Monday. He was riding a red Honda ATV.

    February 7, 2012

  • 0207 Barbourville alcohol election.jpg Alcohol election underway in Barbourville

    Just before noon today (Tuesday) about 500 Barbourville residents had voted in the local option election that will decide if alcohol can be sold in the city.

    February 7, 2012 1 Photo

  • W’burg jewelry thieves arrested

    Williamsburg men connected to at least 10 burglaries have been arrested, according to Whitley County Sheriff Colan Harrell.

    February 7, 2012

  • 0207 harley-davidson license plates.jpg New temporary tag now on motorcycle market

    A new temporary license tag for motorcycles was presented Monday to the owners of London’s Wildcat Harley-Davidson by Laurel County Clerk Dean Johnson.

    February 7, 2012 1 Photo

  • Police search for stolen state truck

    Police continued their search Monday night for a Kentucky Department of Transportation truck after the 2005 model white Chevy S-10 Blazer was stolen from the parking lot Sunday night near the Knox County Ambulance Service (EMS Station 2) office in East Corbin.

    February 7, 2012

  • Animal ordinance to be discussed in London

    In a meeting that lasted about an hour, the London City Council decided to have the animal ordinance it has been discussing for several months ready to be seriously considered at the March meeting.

    February 7, 2012

  • B’ville alcohol vote is Tuesday

    The first local option election in the Tri-County area will be held Tuesday at Barbourville’s Kentucky National Guard armory on Manchester Street.

    February 6, 2012

Front page
Featured Ads
Seasonal Content

AP Video
Worker Tells 911: Powell 'exploded the House' Triple Win: Santorum Takes Minn., Mo., Colo. Injured Marine Inspired by Homecoming No Rape Charges Against Son of NYPD Commissioner Romney Congratulates Santorum, Focuses on Obama Paul Says Results Help Him Rack Up Delegates Egypt's Ruling Generals Play Risky Game With US Former Komen Exec Defends Funding Cut Skip the Coffee Cup and Inhale Your Caffeine Fix Calif. Gay Marriage Ban Ruled Unconstitutional Jury Selection for Ex-UVa Athlete Enters 2nd Day Raw Video: Giants Celebrate Another Super Bowl Cab Driver Helps Wis. Family Escape House Fire Greek Leaders Seek Deal As Bankruptcy Looms Bernanke: Recovery Depends on Consumer Spending Staff Removed at LA School During Abuse Probe Eastwood in Super Bowl Ad 'Compassionate' Stranded Fishermen Rescued From Bay of Green Bay Analyst: Outside Troops Won't Intervene in Syria Police: Father Planned Deadly Fire for Some Time
Hyperlocal Search
Premier Guide
Find a business

Walking Fingers
Maps, Menus, Store hours, Coupons, and more...
Premier Guide
Popular Searches
Powered by Local.com