Utah Tax Changes - November 2024
Week Of 11.21.2024
Capital City Revitalization Tax:
- Effective Date: January 1, 2025
- New Tax Rate: Salt Lake City will impose a 0.5% capital city revitalization sales and use tax.
- Combined Sales and Use Tax Rate: This will raise the total rate in Salt Lake City from 7.75% to 8.25%.
- Reporting Periods:
- Monthly Filers: Starting January 2025
- Quarterly Filers: January through March 2025
- Annual Filers: January through December 2025
- Source: Utah Tax Commission Bulletin No. 23-24, dated 11/19/2024.
Cannabinoid Licensing and Tax Requirements:
- Effective Date: January 1, 2025
- Licensing Requirement: Cannabinoid retailers must obtain a Cannabinoid Product License from the Utah Tax Commission and pay a bond.
- Tax Rate: Retailers must collect a 10% cannabinoid tax on the retail price.
- Reporting: Tax must be reported and paid electronically using Form TC-551.
- Application: Retailers can apply for the license through the Taxpayer Access Point.
- Source: Utah Tax Commission Bulletin No. 18-24, dated 11/19/2024.
Week Of 11.04.2024
Workers' Compensation Insurance Tax:
- Good news for businesses! The tax rate on workers' compensation insurance premiums is going down from 1.25% to 1.2% starting January 1, 2025.
- This change applies to all premiums reported in 2025, and the deadline to file is March 31, 2026.
Telecommunications Taxes:
- E-911 fees are decreasing! The fee will go down from 1.48to1.48to1.25 per line, effective January 1, 2025.
- New tax for military installations: The Military Installation Development Authorities (MIDA) will now charge a 3.5% municipal telecommunications license tax. This tax must be reported and paid electronically using TC-62Z.
County Sales and Use Taxes:
- Scipio and Sterling counties are raising their sales tax. Starting January 1, 2025, they will impose a 0.3% county option sales and use tax.
- This will increase the total sales tax rate in these counties from 6.35% to 6.65%.
- Businesses need to start reporting and paying the new rate according to their filing schedule:
- Monthly filers: January 2025
- Quarterly filers: January through March 2025
- Annual filers: January through December 2025
Sales and Use Taxes in Scipio and Sterling:
- Higher sales tax: Starting January 1, 2025, both Scipio and Sterling will increase their sales tax by 0.3%, bringing the total sales tax rate to 6.65%. This tax will fund highways and public transit.
- New transient room tax: Also effective January 1, 2025, both cities will impose a 1% transient room tax on short-term accommodations, bringing the total transient room tax to 5.57%.
- Reporting deadlines: Businesses must start reporting and paying these new taxes according to their filing schedule:
- Monthly filers: January 2025
- Quarterly filers: January through March 2025
- Annual filers: January through December 2025
Sales Tax Location Changes:
- New locations: As of January 1, 2025, there will be several new sales tax locations:
- MIDA (Military Installation Development Authority): Across various cities and counties.
- Inland Port: Three locations in Millard County, Fillmore, and Weber County.
- Housing and Transit Reinvestment Zone: South Jordan.
- Salt Lake County: Two new county locations.
- Discontinued location: The Inland Port location in Emery County will no longer be active.
Week Of 11.21.2024
Utah Sales and Use Tax Rates—Utah county imposes capital city revitalization tax.
The Utah State Tax Commission has issued a bulletin alerting taxpayers that Salt Lake City (Salt Lake County) will impose the recently enacted capital city revitalization sales and use tax at a rate of 0.5%, raising the combined sales and use tax rate in Salt Lake City from 7.75% to 8.25%. The capital city revitalization sales and use tax is effective January 1, 2025. Taxpayers must report and pay the new rate starting with the following periods: January 2025 (monthly filers), January through March 2025 (quarterly filers), and January through December 2025 (annual filers). (Utah Tax Commission Bulletin No. 23-24, 11/19/2024.)
Utah Sales & Use Taxes—Utah announces cannabinoid licensing and tax act requirements.
On or before January 1, 2025, cannabinoid retailers must obtain a Cannabinoid Product License from the Utah Tax Commission and pay a bond. Retailers may apply for the license at Taxpayer Access Point (tap.utah.gov). Effective January 1, 2025, retailers must also collect the cannabinoid tax at the rate of 10% of the retail price and report and pay the tax electronically using Form TC-551. (Utah Tax Commission Bulletin No. 18-24, 11/19/2024.)
Week Of 11.04.2024
Utah Insurance Companies Taxes—Utah decreases workers’ compensation insurance premium tax rate.
Effective January 1, 2025, the Utah workers' compensation insurance premium tax rate decreases from 1.25% to to 1.2%. The tax rate applies to all taxable workers' compensation premiums for the 2025 calendar year and reported on Forms TC-49 and TC-420, due March 31, 2026. (Utah Tax Commission Bulletin No. 24-24, 11/05/2024.)
Utah Sales and Use Tax Rates—Utah issues bulletin on telecom rate changes.
The Utah State Tax Commission has issued a bulletin alerting taxpayers that after recent legislation the state's total E-911 fee will decrease from $1.48 to $1.25, effective January 1, 2025. Also, the Military Installation Development Authorities (MIDA) will impose the municipal telecommunications license tax at 3.5%. Taxpayers should report and pay the tax electronically on their TC-62Z (Municipal Telecom License Tax Return). (Utah Tax Commission Bulletin No. 19-24, 11/05/2024.)
Utah Sales and Use Tax Rates Utah counties impose county option sales and use tax.
Effective January 1, 2025, Scipio and Sterling counties will impose the city or town option sales and use tax at 0.3% to fund highways and public transit. The tax will raise the combined sales tax rate in Scipio and Sterling from 6.35% to 6.65%. Taxpayers must report and pay the new rate starting with the following periods: January 2025 (monthly filers), January through March 2025 (quarterly filers), January through December 2025 (annual filers). (Utah Tax Commission Bulletin No. 21-24, 11/05/2024.)
Utah Sales and Use Tax Rates—Utah municipalities to impose city/town option sales and use tax.
Effective January 1, 2025, Scipio and Sterling imposes the city or town option sales and use tax at 0.3% to fund highways and public transit. The tax increase will raise the combined sales tax rate in Scipio and Sterling from 6.35% to 6.65%. Taxpayers must report and pay sales and use tax at the new rate starting with the following periods: January 2025 (monthly filers), January through March 2025 (quarterly filers), January through December 2025 (annual filers). (Utah Tax Commission Bulletin No. 21-24, 11/05/2024.)
Utah Sales and Use Tax Rates—Utah municipalities impose transient room tax.
Effective January 1, 2025, Scipio (Millard County) and Sterling (Sanpete County) will impose the municipality transient room tax at 1% for the use of short-term public accommodations. The total transient room tax in both Scipio and Sterling will be 5.57%. Providers must collect taxes at the new rate and file form TC-62T, beginning with the following periods: January 2025 (monthly filers), January through March 2025 (quarterly filers), and January through December 2025 (annual filers). (Utah Tax Commission Bulletin No. 22-24, 11/05/2024.)
Utah Sales & Use Taxes—Utah announces sales tax location changes.
The Utah State Tax Commission has issued a bulletin announcing, effective January 1, 2025, the creation of a number of MIDA (Military Installation Development Authority) sales tax locations across various cities and counties and three Inland Port sales tax locations in Millard County, Fillmore, and Weber County. Also, a new Housing and Transit Reinvestment Zone sales tax location will be created in South Jordan along with two new county locations in Salt Lake County. The bulletin further states that the Inland Port location in Emery County will be discontinued. (Utah Tax Commission Bulletin No. 20-24, 11/05/2024.)
Utah Special Local Tax Rates—Utah issues bulletin on telecom rate changes.
The Utah State Tax Commission has issued a bulletin alerting taxpayers that after recent legislation the state's total E-911 fee will decrease from $1.48 to $1.25, effective January 1, 2025. Also, the Military Installation Development Authorities (MIDA) will impose the municipal telecommunications license tax at 3.5%. Taxpayers should report and pay the tax electronically on their TC-62Z (Municipal Telecom License Tax Return). (Utah Tax Commission Bulletin No. 19-24, 11/05/2024.)
Week Of 11.21.2024
Utah Sales and Use Tax Rates—Utah county imposes capital city revitalization tax.
The Utah State Tax Commission has issued a bulletin alerting taxpayers that Salt Lake City (Salt Lake County) will impose the recently enacted capital city revitalization sales and use tax at a rate of 0.5%, raising the combined sales and use tax rate in Salt Lake City from 7.75% to 8.25%. The capital city revitalization sales and use tax is effective January 1, 2025. Taxpayers must report and pay the new rate starting with the following periods: January 2025 (monthly filers), January through March 2025 (quarterly filers), and January through December 2025 (annual filers). (Utah Tax Commission Bulletin No. 23-24, 11/19/2024.)
Utah Sales & Use Taxes—Utah announces cannabinoid licensing and tax act requirements.
On or before January 1, 2025, cannabinoid retailers must obtain a Cannabinoid Product License from the Utah Tax Commission and pay a bond. Retailers may apply for the license at Taxpayer Access Point (tap.utah.gov). Effective January 1, 2025, retailers must also collect the cannabinoid tax at the rate of 10% of the retail price and report and pay the tax electronically using Form TC-551. (Utah Tax Commission Bulletin No. 18-24, 11/19/2024.)
Week Of 11.04.2024
Utah Insurance Companies Taxes—Utah decreases workers’ compensation insurance premium tax rate.
Effective January 1, 2025, the Utah workers' compensation insurance premium tax rate decreases from 1.25% to to 1.2%. The tax rate applies to all taxable workers' compensation premiums for the 2025 calendar year and reported on Forms TC-49 and TC-420, due March 31, 2026. (Utah Tax Commission Bulletin No. 24-24, 11/05/2024.)
Utah Sales and Use Tax Rates—Utah issues bulletin on telecom rate changes.
The Utah State Tax Commission has issued a bulletin alerting taxpayers that after recent legislation the state's total E-911 fee will decrease from $1.48 to $1.25, effective January 1, 2025. Also, the Military Installation Development Authorities (MIDA) will impose the municipal telecommunications license tax at 3.5%. Taxpayers should report and pay the tax electronically on their TC-62Z (Municipal Telecom License Tax Return). (Utah Tax Commission Bulletin No. 19-24, 11/05/2024.)
Utah Sales and Use Tax Rates Utah counties impose county option sales and use tax.
Effective January 1, 2025, Scipio and Sterling counties will impose the city or town option sales and use tax at 0.3% to fund highways and public transit. The tax will raise the combined sales tax rate in Scipio and Sterling from 6.35% to 6.65%. Taxpayers must report and pay the new rate starting with the following periods: January 2025 (monthly filers), January through March 2025 (quarterly filers), January through December 2025 (annual filers). (Utah Tax Commission Bulletin No. 21-24, 11/05/2024.)
Utah Sales and Use Tax Rates—Utah municipalities to impose city/town option sales and use tax.
Effective January 1, 2025, Scipio and Sterling imposes the city or town option sales and use tax at 0.3% to fund highways and public transit. The tax increase will raise the combined sales tax rate in Scipio and Sterling from 6.35% to 6.65%. Taxpayers must report and pay sales and use tax at the new rate starting with the following periods: January 2025 (monthly filers), January through March 2025 (quarterly filers), January through December 2025 (annual filers). (Utah Tax Commission Bulletin No. 21-24, 11/05/2024.)
Utah Sales and Use Tax Rates—Utah municipalities impose transient room tax.
Effective January 1, 2025, Scipio (Millard County) and Sterling (Sanpete County) will impose the municipality transient room tax at 1% for the use of short-term public accommodations. The total transient room tax in both Scipio and Sterling will be 5.57%. Providers must collect taxes at the new rate and file form TC-62T, beginning with the following periods: January 2025 (monthly filers), January through March 2025 (quarterly filers), and January through December 2025 (annual filers). (Utah Tax Commission Bulletin No. 22-24, 11/05/2024.)
Utah Sales & Use Taxes—Utah announces sales tax location changes.
The Utah State Tax Commission has issued a bulletin announcing, effective January 1, 2025, the creation of a number of MIDA (Military Installation Development Authority) sales tax locations across various cities and counties and three Inland Port sales tax locations in Millard County, Fillmore, and Weber County. Also, a new Housing and Transit Reinvestment Zone sales tax location will be created in South Jordan along with two new county locations in Salt Lake County. The bulletin further states that the Inland Port location in Emery County will be discontinued. (Utah Tax Commission Bulletin No. 20-24, 11/05/2024.)
Utah Special Local Tax Rates—Utah issues bulletin on telecom rate changes.
The Utah State Tax Commission has issued a bulletin alerting taxpayers that after recent legislation the state's total E-911 fee will decrease from $1.48 to $1.25, effective January 1, 2025. Also, the Military Installation Development Authorities (MIDA) will impose the municipal telecommunications license tax at 3.5%. Taxpayers should report and pay the tax electronically on their TC-62Z (Municipal Telecom License Tax Return). (Utah Tax Commission Bulletin No. 19-24, 11/05/2024.)