Utah tax deductions and write-offs (2026)

No. Utah offsets the tax on military retired pay with a nonrefundable Military Retirement Credit equal to the flat tax rate times taxable military retirement pay (4.5% for 2025), which zeroes out the tax on that income. The credit covers survivors' military retirement pay but can't be combined with Utah's $450 retirement credit. we did not confirm this on an official page. Some sources list Utah as partial because the exemption works through a credit. Other retirement income: Pensions and 401(k)/IRA withdrawals are taxed at Utah's flat rate. A retirement credit of up to $450 is available only to taxpayers born on or before December 31, 1952, and phases out above $25,000 single / $32,000 joint modified AGI.

Yes. Pensions and 401(k)/IRA withdrawals are taxed at Utah's flat rate. A retirement credit of up to $450 is available only to taxpayers born on or before December 31, 1952, and phases out above $25,000 single / $32,000 joint modified AGI. Classified as taxed because the small credit is limited to older, lower-income filers.

Partly. Utah taxes federally taxable Social Security but offers a nonrefundable credit equal to the flat tax rate times that amount. The credit shrinks by 2.5 cents per dollar of modified AGI above $54,000 (single), $90,000 (joint or head of household) or $45,000 (married filing separately). These thresholds were set by SB 71 for tax year 2025 and are not indexed. A 2026 bill to change them (HB 210) failed, so they are assumed to apply for 2026; the 2026 TC-40 instructions were not yet available to confirm. The credit cannot be combined with Utah's $450 retirement credit.

Yes: Utah offers the Utah Earned Income Tax Credit, 20% of the federal EITC, or your total Utah W-2 wages if that is less (nonrefundable). Nonrefundable, with no carryforward or carryback. You must claim the federal EITC and have Utah wages reported on a W-2. Claim on TC-40A with code AM.

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%).

Yes: Utah offers the Renter Refund (Circuit Breaker). Refund of up to $1,412 for low-income older renters, based on income and a percentage of rent paid; applied for on Form TC-90CB or online through Taxpayer Access Point. Age 66+ by December 31, or an unmarried surviving spouse; full-year Utah resident; total household income under $44,221 (2025).

Yes on your federal return if you itemize, within the $40,400 SALT cap. Utah adds its own break: circuit breaker credit up to $1,412 for homeowners or renters 66+ or widowed with 2025 household income up to $44,221.

No: Utah doesn't base registration on your car's value, so it isn't deductible as personal property tax. Age-based uniform fee is $150 (under 3 years) down to $10 (12+ years); only heavy trucks pay a value-based 1.5% fee.

Utah has a flat 4.5% income tax and a credit that offsets part of the tax on Social Security for low and middle incomes.

Yes on your Utah return: 4.45% credit on up to $2,560 single / $5,120 joint per beneficiary (max $113.92 / $227.84). Only contributions to the state's own plan count. my529 only; nonrefundable, claimed by account owner; beneficiary must be named before age 19; caps indexed annually.

Yes: $1,000 per qualifying child under 6 (must also qualify for the federal child tax credit). Reduced by $0.10 per dollar of modified AGI above $49,000 single/head of household, $61,000 joint, or $30,500 married filing separately (2026 thresholds). Nonrefundable; no carryforward.

Yes, as a business expense: Utah charges $59 to form an LLC; ongoing: $18 annual renewal. Due by end of the anniversary month; $10 late fee.