Utah state tax: Overview
Utah has a flat-rate income tax system. But retirees can get stung by the Beehive State's income tax, since Utah is one of 11 states that tax Social Security benefits.
Sales taxes in Utah aren't high compared to other states. But Utah's average combined state and local sales tax rate is 7.20%, which is above average. Median property tax rates in Utah are fairly low compared to other states.
[Data for this state tax guide was gathered from a number of sources including the U.S. Census Bureau, the state’s government website, and the Sales Tax Handbook. Property taxes are cited as a rate percentage rather than the assessed value.]
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Utah income tax
Utah has a flat state income tax rate of 4.55%, according to the Tax Foundation.
Social Security benefits are included in Utah taxable income to the same extent they're taxed at the federal level. However, a nonrefundable tax credit is available for Social Security benefits.
- Pensions are taxable but Railroad Retirement benefits are exempt.
- Income from a qualified retirement plan may be deductible if contributions to the plan were previously taxed in another state.
- 401(k) and IRA distributions are taxable.
Utah sales tax
Utah's state sales tax rate is 6.10%, but a 1.15% local sales tax means a total 7.20% total rate, according to the Tax Foundation.
- Groceries: Taxable
- Clothing: Taxable
- Motor Vehicles: Taxable
- Prescription Drugs: Taxable
Property taxes in Utah
In Utah, the median property tax rate is 0.47% of assessed home value according to the Tax Foundation.
Utah offers its residents five types of property tax relief. To find application forms and more information on any of the following programs, contact your county's auditor or treasurer's office.
- Circuit Breaker: Renter Refund and Homeowner Low Income Abatement
- Veterans with a Disability Exemption
- Active or Reserve Duty Armed Forces Exemption
- Blind Exemption
- Indigent Abatement/Deferral
Utah gas tax
| Product | Tax Amount |
|---|---|
| Gasoline | $0.29 per gallon |
| Diesel | $0.29 per gallon |
Source: Sales Tax Handbook
Utah taxes on alcohol and tobacco
Utah tobacco taxes
| Product | Tax Amount |
|---|---|
| Cigarettes | $1.70 per pack of 20 |
| Other Tobacco Products | 86% of manufacturer's selling price |
Source: Sales Tax Handbook
Utah alcohol taxes
| Product | Amount |
|---|---|
| Beer | $0.41 per gallon |
| Wine | $0 per gallon |
| Liquor | state-controlled |
Source: Sales Tax Handbook
Utah estate and inheritance taxes
There are no estate or inheritance taxes in Utah.
Related Content
-
McDonald's Stock Stabilizes After Earnings. Is It Time to Buy?McDonald's stock is moving cautiously higher Tuesday after the fast-food chain beat Q3 expectations for its third quarter, but E. coli concerns remain.
-
Is PayPal Stock Still a Buy After a Revenue Miss?PayPal stock is falling Tuesday after the payments giant reported mixed third-quarter results, but most of Wall Street remains bullish.
-
Adoption Tax Credit 2024: What You Need to KnowTax Credits The federal adoption tax credit is slightly higher for 2024. Here’s what you can claim under the tax break designed to help grow your family.
-
New 2025 Child Tax Credit Announced: How Much Is It?Family Tax Credits Explore the new IRS-adjusted amounts for popular family tax credits.
-
Three Ways to Avoid the Mansion TaxProperty Tax Some homebuyers have found creative loopholes around the mansion tax, but are they legal?
-
Three Creative Ways to Lower Your Retirement TaxesTax Tips You can apply key minimalism concepts for potential tax savings. Here’s how.
-
States That Offer a Child Tax Credit in 2024Child Tax Credit Fifteen states plus the District of Columbia currently offer a child tax credit. Here’s how much you can get.
-
Three Tax Reasons to Retire in PanamaRetirement Taxes With low property taxes and tax-free foreign income, this tropical paradise could make you rethink retirement as a U.S. expat.
-
Is the IRS Coming for Your Gambling Winnings?Tax Tips The latest tax audit on unreported income points to high-income, high-wealth gamblers. Could
-
Best States to Buy Chocolate Candy Tax-FreeState Taxes There’s something spooky this Halloween and it’s not just the ghouls. Find out if your state’s sales tax takes a bite out of sweet savings.
