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April 26, 2023
2023-0766

Utah lowers personal income tax rate retroactive to January 1, 2023

On March 22, 2023, Utah Governor Spencer J Cox signed into law H.B. 54, which lowers the state's personal income tax rate from 4.85% to 4.65%, retroactive to January 1, 2023.

The Governor's fiscal year 2024 budget had called for a reduction to 4.75% due to a booming economy and skyrocketing income tax revenues.

This is the second consecutive year that Utah has retroactively lowered the personal income tax rate. In 2022, the Utah legislature passed SB 59, which lowered the state's personal income tax rate from 4.95% to 4.85%, retroactive to January 1, 2022. (See EY Tax Alert 2022-0793.)

The updated withholding tables and formulas, once available, will be posted here.

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Contact Information
For additional information concerning this Alert, please contact:
 
Workforce Tax Services - Employment Tax Advisory Services
   • Kristie Lowery (kristie.lowery@ey.com)
   • Kenneth Hausser (kenneth.hausser@ey.com)
   • Debera Salam (debera.salam@ey.com)

Published by NTD’s Tax Technical Knowledge Services group; Andrea Ben-Yosef, legal editor

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