The Application for Charter Bus Part Direct Pay Authorization is a Kentucky Department of Revenue form used by eligible charter bus operators to request authorization to directly report and pay sales or use tax on qualifying charter bus repair and replacement parts instead of having the supplier collect and remit the tax. The applicant agrees that, if the authorization is issued, the applicant will directly report and pay the tax that would otherwise have been paid by the supplier.
This form collects essential business identification details, tax account information, business activity details, transportation information, qualifying vehicle information, and documentation details. It is designed to help the Department of Revenue determine whether the applicant meets the requirements for the charter bus repair and replacement part exemption process.
Completing the application accurately is important because incorrect information, missing documentation, or incomplete explanations may delay the review process. Applicants should provide clear business information, maintain proper purchase records, and include supporting documents required by the form instructions.
How To File Form 51A163
Applicants should complete all sections of the form and submit it to the Kentucky Department of Revenue, Division of Sales and Use Tax. The mailing address provided for submission is:
KY Department of Revenue
Division of Sales and Use Tax
P.O. Box 181, Station 67
Frankfort, KY 40602-0181
Before completing the application, prepare the following information:
- Legal business name and trade or DBA name.
- Federal Employer Identification Number (FEIN).
- Business location and mailing address.
- Contact information.
- Kentucky tax account numbers.
- Business activity description.
- USDOT number.
- Number of qualifying charter buses.
- Required transportation certification or supporting documentation.
- Description of records used to track taxable purchases.
How To Complete Kentucky Form 51A163
Complete each section carefully and provide information that matches your official business records.
Applicant Information
This section identifies the business applying for the direct pay authorization.
Legal Business Name
Enter the official registered name of the business applying for authorization. Use the same business name associated with tax and government records.
Trade or DBA Name
Provide the business name used publicly if it differs from the legal business name. A DBA name is the operating name customers may recognize.
Federal Employer Identification Number (FEIN)
Enter the federal identification number assigned to the business by the Internal Revenue Service.
Business Location
Provide the physical location where the business operates.
Principal Location Address
Enter the primary business street address.
City
Enter the city where the principal business location is located.
County
Provide the county for the business location.
State
Enter the state abbreviation for the principal location.
ZIP Code
Provide the ZIP code for the business location.
Mailing Address
Use this section if business correspondence should be sent to an address different from the principal location.
Mailing Address
Enter the address where official notices and correspondence should be mailed.
City
Provide the mailing city.
County
Enter the county associated with the mailing address.
State
Provide the state for the mailing address.
ZIP Code
Enter the ZIP code for the mailing address.
Telephone Number
Provide a phone number where the Department of Revenue can contact the applicant.
Fax Number
Enter a fax number if available.
E-mail Address
Provide an email address for business communication.
Account Information
This section requires Kentucky tax account details. The form notes that the applicant must have at least one qualifying Kentucky account to qualify.
Kentucky Sales Tax Account Number
Enter the applicant’s Kentucky sales tax account number, if applicable.
Kentucky Consumers Use Tax Account Number
Provide the Kentucky consumers use tax account number, if applicable.
Kentucky Employer’s Withholding Account Number
Enter the employer withholding account number if the business has one.
Kentucky Corporation Income and License Account Number
Provide the corporation income and license account number if applicable.
Other Information
This section collects details about the applicant’s business operations and qualifying charter bus activity.
Business Activity Details
Question 1: Description of Business Activity
Provide a short explanation of the company’s business activities. Describe the type of transportation services provided and how the business operates.
The description should clearly explain the applicant’s role as a charter bus operator or related business activity.
Transportation Information
Question 2: USDOT Number
Enter the applicant’s United States Department of Transportation (USDOT) number. The form specifically requests the applicant’s USDOT number as part of the application requirements.
Qualifying Charter Bus Information
Question 3: Number of Charter Buses
Enter the number of motor vehicles owned or leased by the applicant that qualify for the repair and replacement part exemption.
The qualifying vehicles must operate under a charter bus certificate issued by the Transportation Cabinet under KRS Chapter 281 or under similar authority from the United States Department of Transportation. Applicants must attach a copy of the certificate or other supporting documentation.
Charter Buses
Enter the total number of qualifying charter buses owned or leased by the applicant.
Purchase Record Documentation
Question 4: Description of Business Records Maintained
Explain how the business tracks purchases of charter bus repair and replacement parts.
The records must identify purchases made from Kentucky vendors or from out-of-state vendors for storage, use, or other consumption in Kentucky. Attach a detailed explanation of the documentation system used to show the correct amount of taxable purchases.
Certification And Signature Section
The final section confirms that the information provided is accurate and that the signer has authority to submit the application.
Signature
The authorized individual must sign the application to certify that the information provided is correct.
Print Name
Enter the printed name of the person signing the application.
Title
Provide the signer’s official position or job title within the business.
Date
Enter the date the application is signed.
The certification states that the signer confirms the accuracy of the application and agrees to directly report and pay the applicable sales or use tax if the authorization is issued.
Supporting Documentation Requirements
Applicants should include required documentation with the application to support eligibility.
Required supporting materials may include:
- A copy of the charter bus certificate or similar transportation authority documentation.
- A detailed explanation of records maintained for tracking taxable purchases.
Providing complete supporting information helps the Department of Revenue review the application efficiently.
Final Review Before Filing
Before submitting the Application for Charter Bus Part Direct Pay Authorization, confirm that:
- The legal business name matches official records.
- The FEIN is entered correctly.
- Business and mailing addresses are complete.
- Contact information is accurate.
- At least one required Kentucky tax account number is provided.
- The business activity description clearly explains operations.
- The USDOT number is included.
- The number of qualifying charter buses is entered.
- Required certificates or supporting documents are attached.
- Purchase tracking procedures are explained clearly.
- An authorized person has signed and dated the application.
A complete and accurate application helps ensure that the Kentucky Department of Revenue has the information needed to review the request for direct pay authorization.