Sales tax deduction in Utah
Varies
Is Sales Tax Deductible in Utah?
Short answer: Only instead of income tax: itemizers in Utah pick sales tax (6.1% state rate, about 7.42% with local taxes) or state income tax, whichever is bigger. Grocery food is taxed at a reduced 3% statewide rate (1.75% state + 1.25% local); the 6.1% figure includes a mandatory 1.25% local add-on (state-only rate is 4.85%).
Use the IRS Sales Tax Deduction Calculator or your receipts, add sales tax paid on a car, boat, or home-building materials, and stay within the $40,400 SALT cap (Schedule A line 5a).
Records to keep: Keep your state return, W-2s and 1099s (1099-R, SSA-1099), and any state credit worksheets. Check your state revenue department's current-year instructions before you file.
Sales tax deduction in Utah
Varies
Individuals / Personal Taxes
Only instead of income tax: itemizers in Utah pick sales tax (6.1% state rate, about 7.42% with local taxes) or state income tax, whichever is bigger. Grocery food is taxed at a reduced 3% statewide rate (1.75% state + 1.25% local); the 6.1% figure includes a mandatory 1.25% local add-on (state-only rate is 4.85%).
Business justification
Only instead of income tax: itemizers in Utah pick sales tax (6.1% state rate, about 7.42% with local taxes) or state income tax, whichever is bigger. Grocery food is taxed at a reduced 3% statewide rate (1.75% state + 1.25% local); the 6.1% figure includes a mandatory 1.25% local add-on (state-only rate is 4.85%). Use the IRS Sales Tax Deduction Calculator or your receipts, add sales tax paid on a car, boat, or home-building materials, and stay within the $40,400 SALT cap (Schedule A line 5a).
Category
- Personal Tax Deductions