Utah state income tax in 2025: A guide

Utah has a flat state income tax rate of 4.55% for the 2024 tax year (the taxes due in 2025). This consistent rate means everyone pays the same percentage, simplifying tax filing compared to states like California, which have complex tax brackets with rates reaching double-digit percentages for top earners.  

Whether you’re a Utah resident or earn income in the state, you can expect a more predictable process for filing your income taxes. Ready to learn more? Let’s explore what Utah taxpayers need to know for the 2024 tax year. 

*Note that you are still responsible for federal taxes if you meet the IRS income filing threshold. This article addresses state-specific taxes only.  

Who has to file Utah state income tax

If you earn income in Utah or reside in the state, you may need to file a Utah state income tax return. Your filing obligation depends on your residency status, income level, and specific exemptions. 

Here’s a quick look at who doesn’t need to file: 

• Qualified exempt taxpayers: Utah may exempt you from state income tax if your federal adjusted gross income (AGI) is less than your federal standard deduction. 
• Nonresident members of partnerships, S corporations, and trusts: If your only Utah income is from one of these sources and passes through to your federal return, you are exempt. 
• Nonresidents working temporarily in Utah: Generally, if you were a nonresident employed in Utah for 20 days or less and do not have any other income sourced from the state, filing may not be required. However, exceptions apply to certain professions, such as professional athletes and entertainers.

For everyone else, your gross income—including wages, tips, rental income, and other sources—will determine whether you must file. 

Other income tax considerations in Utah

Utah’s flat tax system simplifies income taxes, but specific types of income are treated differently. Here’s a quick breakdown: 

• Retirement and pension income tax: Most retirement and pension income received while a Utah resident is taxed at the flat 4.55% rate. Some taxpayers may qualify for a retirement credit of up to $450.
• Investment income tax: Dividends, interest, and capital gains are taxed at the standard 4.55% rate for Utah residents. 
• Social Security income tax: Utah taxes Social Security benefits, but qualifying taxpayers can claim a credit to offset some of the tax. 
• Military income tax: Military pay taxed federally is also taxed in Utah. Taxpayers receiving taxable military retirement may qualify for a credit. Federally exempt income is excluded from Utah taxes. Nonresident service members don’t pay Utah tax on active-duty military pay, even if earned in Utah.

Common Utah state tax credits

Utah offers several tax credits to help reduce your state income tax burden. These credits apply to a range of situations, from retirement income to family-related expenses. Here’s a quick overview. 

Tax credit	Description	Amount
Health Benefit Plan Credit	Credit for taxpayers who purchased their own health insurance and lacked access to employer-sponsored plans.	Up to $300 (single), $600 (married), $900 (with dependents).
Utah my529 Credit	Nonrefundable credit for contributions to Utah’s my529 education savings plan.	4.55% of contributions, up to $219.31 per beneficiary on a joint return or $109.66 per beneficiary for single filers.
Retirement Credit	Credit for qualifying taxpayers receiving taxable retirement income.	Up to $450 per taxpayer. May not claim if you claim the Social Security Credit or the Military Retirement Credit.
Social Security Benefits Credit	Credit for low- and middle-income taxpayers to offset taxes on Social Security benefits.	Varies based on income. May not claim if you claim the Retirement Credit.
At-Home Parent Credit	Credit for parents caring for children 12 months old or younger at home.	Up to $100 per child.
Utah Child Tax Credit (CTC)	Credit for each qualifying dependent child ages 1-3.	$1,000 per child.
Utah Earned Income Tax Credit (EITC)	Refundable credit based on income and family size, aligning with federal EITC eligibility.	20% of federal EITC amount; maximum federal EITC amount for 2024 tax year is $7,830.

How to file Utah state income tax

Filing taxes in Utah is straightforward with the right tools and support. TurboTax simplifies the process and ensures you get every deduction and credit you’re eligible for, saving you time and money. 

Whether you’re a Utah resident, part-year resident, or nonresident with Utah income, TurboTax has you covered. TurboTax provides step-by-step guidance to help you file confidently and maximize your refund, either working on your own or with expert help. Need even more help? Connect with a local tax expert in Utah for personalized advice—or even have a local professional file your taxes for you. From ensuring accuracy to uncovering all eligible credits, we’re here to help you every step of the way.