Utah has a flat state income tax price of 4.55% for the 2024 tax yr (the taxes due in 2025). This constant price means everybody pays the identical share, simplifying tax submitting in comparison with states like California, which have advanced tax brackets with charges reaching double-digit percentages for prime earners.
Whether or not you’re a Utah resident or earn revenue within the state, you may anticipate a extra predictable course of for submitting your revenue taxes. Able to study extra? Let’s discover what Utah taxpayers have to know for the 2024 tax yr.
*Observe that you’re nonetheless liable for federal taxes should you meet the IRS income filing threshold. This text addresses state-specific taxes solely.
Who has to file Utah state revenue tax
When you earn revenue in Utah or reside within the state, you might have to file a Utah state revenue tax return. Your submitting obligation will depend on your residency standing, revenue stage, and particular exemptions.
Right here’s a fast have a look at who doesn’t have to file:
- Certified exempt taxpayers: Utah could exempt you from state revenue tax in case your federal adjusted gross revenue (AGI) is lower than your federal commonplace deduction.
- Nonresident members of partnerships, S firms, and trusts: In case your solely Utah revenue is from certainly one of these sources and passes by way of to your federal return, you might be exempt.
- Nonresidents working briefly in Utah: Typically, should you had been a nonresident employed in Utah for 20 days or much less and wouldn’t have another revenue sourced from the state, submitting will not be required. Nonetheless, exceptions apply to sure professions, corresponding to skilled athletes and entertainers.
For everybody else, your gross revenue—together with wages, ideas, rental revenue, and different sources—will decide whether or not you have to file.
Different revenue tax issues in Utah
Utah’s flat tax system simplifies revenue taxes, however particular sorts of revenue are handled in another way. Right here’s a fast breakdown:
- Retirement and pension revenue tax: Most retirement and pension revenue obtained whereas a Utah resident is taxed on the flat 4.55% price. Some taxpayers could qualify for a retirement credit score of as much as $450.
- Funding revenue tax: Dividends, curiosity, and capital positive aspects are taxed at the usual 4.55% price for Utah residents.
- Social Safety revenue tax: Utah taxes Social Safety advantages, however qualifying taxpayers can declare a credit score to offset among the tax.
- Navy revenue tax: Navy pay taxed federally can also be taxed in Utah. Taxpayers receiving taxable navy retirement could qualify for a credit score. Federally exempt revenue is excluded from Utah taxes. Nonresident service members don’t pay Utah tax on active-duty navy pay, even when earned in Utah.
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Frequent Utah state tax credit
Utah presents a number of tax credit to assist scale back your state revenue tax burden. These credit apply to a spread of conditions, from retirement revenue to family-related bills. Right here’s a fast overview.
| Tax credit score | Description | Quantity |
| Well being Profit Plan Credit score | Credit score for taxpayers who bought their very own medical health insurance and lacked entry to employer-sponsored plans. | As much as $300 (single), $600 (married), $900 (with dependents). |
| Utah my529 Credit score | Nonrefundable credit score for contributions to Utah’s my529 training financial savings plan. | 4.55% of contributions, as much as $219.31 per beneficiary on a joint return or $109.66 per beneficiary for single filers. |
| Retirement Credit score | Credit score for qualifying taxpayers receiving taxable retirement revenue. | As much as $450 per taxpayer. Might not declare should you declare the Social Safety Credit score or the Navy Retirement Credit score. |
| Social Safety Advantages Credit score | Credit score for low- and middle-income taxpayers to offset taxes on Social Safety advantages. | Varies primarily based on revenue. Might not declare should you declare the Retirement Credit score. |
| At-Residence Mother or father Credit score | Credit score for fogeys caring for youngsters 12 months previous or youthful at residence. | As much as $100 per youngster. |
| Utah Baby Tax Credit score (CTC) | Credit score for every qualifying dependent youngster ages 1-3. | $1,000 per youngster. |
| Utah Earned Revenue Tax Credit score (EITC) | Refundable credit score primarily based on revenue and household measurement, aligning with federal EITC eligibility. | 20% of federal EITC quantity; most federal EITC quantity for 2024 tax yr is $7,830. |
Learn how to file Utah state revenue tax
Submitting taxes in Utah is simple with the best instruments and help. TurboTax simplifies the method and ensures you get each deduction and credit score you’re eligible for, saving you money and time.
Whether or not you’re a Utah resident, part-year resident, or nonresident with Utah revenue, TurboTax has you coated. TurboTax offers step-by-step steerage that will help you file confidently and maximize your refund, both working on your own or with expert help. Want much more assist? Join with a local tax expert in Utah for customized recommendation—or actually have a native skilled file your taxes for you. From guaranteeing accuracy to uncovering all eligible credit, we’re right here that will help you each step of the way in which.