To qualify for a property tax exemption under this classification an institution must:
- Be non-profit
- Have its funds used exclusively for education and
- Be located within Kentucky
The Court of Appeals has defined an institution of education as a place where systematic instruction in any and all useful branches of learning is given by methods common in schools and institutions of learning.
The education exemption extends to any income producing property that may be owned by the institution provided the income is used to further its educational programs.
When an organization requests an exemption they need to request an application from the Property Valuation Office.