The state of Kentucky imposes a filing deadline of April 18, 2011, for year 2010 state tax returns, so you should try to get your return filed before that date. But if you will be unable to do so, you should request a state tax extension. An approved extension will give you an additional six months to submit your return. This means that your extended filing deadline will be October 18, 2011.http://revenue.ky.gov/NR/rdonlyres/7F3DD7F6-BBC1-4718-A78C-11EE2A8DF7A0/0/740ESInstructionsFillin10_Final.pdf  

You can only receive a state extension if you have a valid reason for not filing your return on time. It should also be noted that, if you have a balance due, you will still be obligated to remit your tax payment by April 18 of this year. If you do not, you will be charged late penalties and compound interest until your balance is paid in full.http://revenue.ky.gov/NR/rdonlyres/7F3DD7F6-BBC1-4718-A78C-11EE2A8DF7A0/0/740ESInstructionsFillin10_Final.pdf 

Before you begin filing your extension, collect all of your essential tax documents. This will save you time once you start figuring your tax liability. The information you need will be the same documentation you will use for your state tax form when you're ready to file. You will need the following:

1. The total of your earned income for the year - If you are employed, use the total of your taxable wages as reported on Form W-2 or Form 1099. If you are self-employed, use the amount of your gross earnings minus any applicable business expenses.
2. The total of your unearned income that is also subject to state taxation - This will include unemployment compensation, lottery winnings, pension payments, etc. See the tax form instructions for a complete list of taxable income sources.http://revenue.ky.gov/NR/rdonlyres/7F2E3A57-EEAD-4414-8558-B88674E550AF/0/740PDraftdate20410.pdf
3. The amount of state income taxes you have paid during the year - Employees will see this on Form W-2 as state taxes withheld. Self-employed individuals will use the amount of any estimated state tax payments.
4. A copy of your federal income tax return, if you are filing one
   

To calculate your state tax liability in step 2, you will use the amount of your federal adjusted gross income as a starting point for your Kentucky taxes. If you will not be filing a federal return at this time, consult a tax professional for help figuring this total.http://www.revenue.ky.gov/NR/rdonlyres/4B8E9ED2-E912-4B61-8E64-8AF7ED7D6117/0/Form740Fillin10_Final_0003.pdf 

To complete the extension request, you will also need the following:

1. Your Social Security number
2. Your current mailing address
3. The full name and Social Security number of your spouse, if you will be filing a joint tax return
4. The exact reason for your extension request
5. The date you would like your filing deadline extended tohttp://revenue.ky.gov/NR/rdonlyres/7F3DD7F6-BBC1-4718-A78C-11EE2A8DF7A0/0/740ESInstructionsFillin10_Final.pdf

Your next step is to figure the amount of additional state tax, if any, you will owe. To do this, obtain a paper copy of Form 740 "Kentucky Individual Income Tax Return" and the accompanying tax form instruction booklet. You can download the forms from the Kentucky Department of Revenue website or you can generally pick them up from your local library.http://www.revenue.ky.gov/NR/rdonlyres/4B8E9ED2-E912-4B61-8E64-8AF7ED7D6117/0/Form740Fillin10_Final_0003.pdf 

Begin the form by entering the amount of your federal adjusted gross income from your IRS Form 1040 on line 5 of the Kentucky form. Now, read the form instruction booklet for details regarding how to fill out the rest of the return. Pay special attention to the sections that explain income adjustments and state tax credits.http://www.revenue.ky.gov/NR/rdonlyres/4B8E9ED2-E912-4B61-8E64-8AF7ED7D6117/0/Form740Fillin10_Final_0003.pdf 

On lines 6 through 8 of the Kentucky return, make any necessary income adjustments to arrive at your Kentucky adjusted gross income on line 9. Subtract your standard or itemized deductions to figure your total taxable income. Consult the tax table located in the instruction booklet to assess the state tax owed on your income. Enter this as your tax on line 12.http://www.revenue.ky.gov/NR/rdonlyres/4B8E9ED2-E912-4B61-8E64-8AF7ED7D6117/0/Form740Fillin10_Final_0003.pdf 

Add any other taxes you are subject to on the appropriate lines to calculate your total tax owed. Deduct any state tax credits you are eligible to claim and then subtract your state income taxes already paid through withholding or estimated tax payments. What remains will be either the amount of your overpayment (refund) or underpayment (balance due).http://www.revenue.ky.gov/NR/rdonlyres/4B8E9ED2-E912-4B61-8E64-8AF7ED7D6117/0/Form740Fillin10_Final_0003.pdf

If you have already filed a federal extension request, you can skip this step. You will automatically receive a state extension along with your federal request. But if you are only requesting a Kentucky extension, you will need to complete the written extension form.http://www.revenue.ky.gov/NR/rdonlyres/6357ED11-ADBB-4080-8298-A5C7CE163829/0/40A102Fillin10_Final_0003.pdf 

The form you will need to submit is entitled Form 40A102 "Application for Extension of Time To File Individual, General Partnership and Fiduciary Income Tax Returns for Kentucky". This form can also be downloaded on the Kentucky Department of Revenue website or obtained from the library during tax season.http://www.revenue.ky.gov/NR/rdonlyres/6357ED11-ADBB-4080-8298-A5C7CE163829/0/40A102Fillin10_Final_0003.pdf 

Complete the extension form by entering your full name and address and selecting the kind of tax return you will eventually be filing. Fill in your Social Security number and the date you would like your filing deadline extended to. Remember that six months is the maximum extension you can receive. Then write in the exact reason you need to file your extension.http://www.revenue.ky.gov/NR/rdonlyres/6357ED11-ADBB-4080-8298-A5C7CE163829/0/40A102Fillin10_Final_0003.pdf 

If you are due a refund, you can stop here and submit your completed form to the address on the request. If you owe a balance due, you will need to complete the voucher at the bottom of the form. Detach the voucher, write out a check or money order for the amount of your outstanding balance and enclose both in an envelope with the extension request. Send all of them to the address listed on the form before April 18.http://www.revenue.ky.gov/NR/rdonlyres/6357ED11-ADBB-4080-8298-A5C7CE163829/0/40A102Fillin10_Final_0003.pdf

Once you remit your payment, it is a good idea to begin your state return as soon as possible. This will save you from last-minute rushing as your extension deadline approaches.