True or False: License holders are assessed a financial penalty if they don't renew their license before December 31 of the year of expiration.

In Kentucky, license holders must renew their licenses before the expiration date to avoid penalties. If a license is not renewed by December 31 of the year it expires, the license holder will face a financial penalty. This rule is in place to encourage timely renewal and compliance with licensing regulations.

The penalties are designed to motivate license holders to maintain their professional credentials in good standing, ensuring that they remain compliant with the state's regulations governing their profession. It's important for license holders to be aware of these deadlines and the associated financial repercussions of late renewal to avoid unnecessary fines.

Considering other options, the statement that it depends on the license type is misleading, as the general rule applies across most license categories. Similarly, stating that financial penalties are only for late renewals is not accurate since the penalty specifically applies to those who do not renew by the set deadline. Thus, the correct answer reinforces the importance of adhering to renewal timelines to maintain licensure without incurring additional costs.