A recent survey by the National Federation of Independent Business (NFIB) indicates that most small business owners in Kentucky support requiring local governments to accept electronic tax filings and payments for payroll and business license taxes. The 2026 NFIB Kentucky member ballot found that over 55% of respondents favored this change, while fewer than 28% opposed it.
“A clear majority of our members believe Kentucky should require local governments to accept electronic tax filings and payments for payroll and business license taxes,” said NFIB State Director Tom Underwood. “This is about saving time, reducing paperwork, and allowing small businesses to focus on running their companies instead of navigating outdated systems.”
The survey results come as the state legislature considers House Bill 518. This bill would mandate local governments to allow electronic tax filing and payment options. Representative Patrick Flannery, who previously received the NFIB’s Guardian of Small Business award, sponsors the bill.
In addition to questions about electronic tax filings, NFIB members were surveyed on other policy issues relevant to small businesses:
– More than 90% opposed requiring employers to let employees set their own work schedules.
– Over 63% supported letting employers contribute pre-tax dollars for employees’ health insurance or other health care needs.
– About 58% favored allowing mandatory labor law posters to be provided electronically rather than only as physical copies.
– Nearly 57% said Kentucky should prevent local governments from setting workplace temperature regulations beyond current federal OSHA standards.
Underwood noted that these results are part of NFIB’s process for determining its advocacy positions. “Our public policy positions are set entirely by our members,” Underwood said. “Each year, we ballot small business owners on the issues that affect them most. Every member gets one vote, regardless of the size of their business, and those votes guide our work in Frankfort.”

