Key takeaways
- Utah sales tax rates: The state base rate is 4.85%, but combined rates run from about 6.1% to 9.05%. Groceries are taxed at a reduced combined rate of 3%.
- Economic nexus: Remote sellers must collect once gross revenue from Utah sales exceeds $100,000 in the previous or current calendar year. The 200-transaction threshold was removed on July 1, 2025.
- Filing & penalties: Most returns are due on the last day of the month after the period (annual returns by January 31). Late filing or payment costs $20 or 10% of the tax due, whichever is greater.
Utah sales tax key facts (2026)
| Item | Utah |
|---|---|
| State base rate | 4.85% |
| Combined rate range | ~6.1%–9.05% |
| Economic nexus threshold | $100,000 (no transaction count since July 1, 2025) |
| Sourcing | Origin-based |
Collect and file Utah sales tax with Taxually: LumaTax monitors your nexus, registers you and files your returns.
Is SaaS taxable?
Yes.
| Item | Utah |
|---|---|
| Groceries | Reduced 3% rate |
| Return due date | Last day of the month after the period |
| Governing agency | Utah State Tax Commission |
What is the sales tax rate in Utah?
Utah’s state base sales tax rate is 4.85%, but mandatory local components mean the effective minimum combined rate is higher (around 6.1%), and additional local taxes push combined rates as high as 9.05%. Find a specific rate using the Utah Taxpayer Access Point.
Do you have sales tax nexus in Utah?
Nexus is the connection that obligates your business to collect and remit Utah sales tax. You can establish it two ways — physically or economically. Either one is enough.
Physical nexus
You have physical nexus if you have a tangible presence in Utah, such as:
- An office, warehouse, sales room, or storage facility in the state
- Regularly soliciting orders in Utah
- Delivering property by means other than a common carrier
- Renting or leasing property in Utah
Economic nexus
Out-of-state sellers establish economic nexus once they exceed $100,000 in gross revenue from Utah sales in the previous or current calendar year. Utah removed its 200-transaction threshold effective July 1, 2025, so the test is now the dollar amount only.
What is taxable in Utah?
Tangible personal property and products transferred electronically are generally taxable, with some exemptions. Certain services are taxable too — for example, labor to repair, renovate, or clean tangible personal property.
Is SaaS taxable in Utah?
Yes. Utah taxes SaaS — prewritten software is taxable whether downloaded or accessed remotely.
How is food taxed in Utah?
Grocery-type food is taxed at a reduced combined rate of 3%. Prepared foods are taxed at the full applicable rate.
How to register for a Utah sales tax permit
Register before collecting. Taxually can register for you, or you can apply online through the Utah OneStop Business Registration system or by mail using Form TC-69. Registration is free; you’ll receive a temporary license number, with the official license mailed to you.
Have ready: personal identification (SSN, address), business identification (EIN, address), entity type, your start date, and an estimate of your annual taxable Utah sales and purchases.
How to collect sales tax in Utah
Utah is origin-based for in-state sellers — collect based on your business location (state rate plus local). Remote sellers charge the use tax rate, which generally matches the standard sales tax rate at the destination.
Filing and paying Utah sales tax
Filing frequency is set by prior-year liability: annual ($1,000 or less, due January 31), quarterly ($1,001–$49,999, due the last day of the month after the quarter), or monthly ($50,000+, due the last day of the following month). Businesses owing $96,000+ a year must pay by EFT. Zero returns are required.
File and pay online through the Utah Taxpayer Access Point (TAP) or by mail. Taxually’s software automates the full process.
Penalties for late or non-compliant filing
Failing to file or pay on time triggers these penalties:
- Late filing/payment: $20 or 10% of the tax due, whichever is greater.
- After 90 days: an additional $20 or 10% penalty.
- Interest accrues from the original due date until paid.
Frequently asked questions
What is the sales tax rate in Utah in 2026?
The state base rate is 4.85%, with combined rates (including mandatory local components) running from about 6.1% up to 9.05%.
What is the economic nexus threshold for Utah?
$100,000 in gross revenue from Utah sales in the previous or current calendar year. Utah removed the 200-transaction threshold effective July 1, 2025.
Is SaaS taxable in Utah?
Yes. Utah taxes SaaS and prewritten software whether downloaded or accessed remotely.
How are groceries taxed in Utah?
Groceries are taxed at a reduced combined rate of 3%. Prepared food is taxed at the full rate.
When are Utah sales tax returns due?
The last day of the month following your reporting period (annual returns are due January 31).
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