It doesn’t seem to matter if we get a healthy tax return or not – filing our income tax annually can be a challenge both in terms of time and our finances. And even if you take all your receipts to an accountant or download a computer tax program to file your taxes, you may be wondering how the Beehive State taxes its citizens and what the rules are. This is an introduction to Utah personal income tax law.

Utah income tax

States enact personal income tax laws to pay for public services such as schools, police budgets, and road construction and maintenance by charging their citizens a percentage of their job income. While some states use a variable tax rate based on income, Utah collects a standard 5% for all citizens. The table below summarizes Utah’s personal income tax laws.

Utah personal income taxes may not be the only taxes that apply to citizens: you may also be subject to state consumer tax laws as well as federal tax laws. Basic state and federal tax laws allow the government to tax both earned and unearned personal income. Earned income is your pay for work, including wages, salaries, tips, commissions, and bonuses. Unearned income is income from sources other than work, such as interest, dividends, and gains from the sale of assets, royalties, and gambling winnings.

The Internal Revenue Service (IRS) processes federal income taxes, and most IRS forms and publications are available online. Although some states base their income tax codes on the federal code, you should be aware that there may be significant differences depending on where you live before filing or paying taxes. If you need help filing your state and federal income tax, you can find state tax forms online along with resources for taxpayer assistance programs.

Resources related to Utah’s personal income tax laws

State tax codes can be difficult to decipher, especially if they overlap with federal taxes. If you need legal assistance with a tax matter, you can consult a Utah tax law attorney.