Utah Income Tax Guide

4.5% individual rateUtah reduced its individual income-tax rate beginning with tax year 2025.

Deductions become a creditThe taxpayer tax credit starts at 6% of federal deductions and Utah dependent exemptions.

Credit phases out with incomeA 1.3% phaseout applies above filing-status base amounts.

Updated August 24, 2026

Utah taxable income is simplifiedThe 4.5% rate applies to supported Utah income before the taxpayer tax credit.

The regular credit is modeledIt starts with 6% of the 2026 federal standard deduction plus $2,111 per supported dependent.

The phaseout is includedThe credit is reduced by 1.3% of income above $18,213 single/separate, $27,320 head, or $36,426 joint.

Child and EITC provisions are outsideThose credits require age and eligibility details beyond the current inputs.

Retirement credits are outsideAge, benefit type, and income determine Utah retirement and Social Security credits.

Is Utah simply 4.5% of income?Not usually. A taxpayer tax credit can offset part of the initial tax.

Is the federal standard deduction subtracted?Utah generally converts it into the taxpayer tax credit rather than subtracting it directly here.

Is the credit phaseout modeled?Yes, using the current status base amounts and 1.3% phaseout.

Is Utah's child tax credit included?No. Child age and other eligibility facts are not collected.

Are retirement credits included?No. They require age and income-source details.

Is this TC-40?No. It is a streamlined estimate without every Utah addition, subtraction, or credit.

How Utah taxes work