It depends. If you live in KY, it will not be possible to get a refund for local and county taxes. As Hal_Al mentions, KY localities take out the exact amount of tax on your wages. KY localities only tax income where you work. (Metro Louisville does tax a Louisville resident at a higher rate than a Louisville nonresident). Therefore, if you are a Kentucky resident, there is no real way to obtain a refund for local taxes paid to KY.
If you are an Indiana resident, however, you may be entitled to Indiana local taxes. Indiana localities also tax the income, because Indiana localities tax income to the resident of a county or a worker in the county. So if you live in Indiana and work in Kentucky, you can receive a credit on your Indiana return for the local tax you pay to the Kentucky city you work in. Please see the screenshot below on how you enter this in TurboTax.
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