Earlier this month, Utah Gov. Spencer Cox signed into law a bill that would lower Utah’s state income tax from 4.65% to 4.55%. According to Kiplinger Finance, this will save the average Utahn about $2 per week starting with the 2024 tax year.
Senate Bill 69, which is sponsored by Sen. Chris Wilson and Rep. Kay Christofferson, amends both corporate franchise and income tax rates as well as the individual income tax rate.
Section 59-10-104, subsections 2a and 2b, read, “For a taxable year, the tax is an amount equal to the product of: (a)the resident individual’s state taxable income for that taxable year; and (b) 4.55%.”
Cox spoke in support of the bill while signing, stating, “We’ve approved more than $1 billion in taxes over the past three years and this tax cut continues the trend of returning money to hardworking Utahns while still providing the resources that make our state strong.”
Critics of the bill argue that these tax cuts benefit wealthy Utahns: those in the top 1% of the population saving up to $2,676 a year, while those in the bottom 20% of the state’s population can expect to save around $24.
Cox spoke on what could be next for the state. “Ultimately what they want to do and what I want to do is get rid of the income tax completely.” Since it was not discussed in the most recent meeting of the legislature, this will be an issue taken on during the next session.
Author: Aidan Mortensen
Photo courtesy of Utah House of Representatives
Editor: Anna Mower
news@suunews.net
