Utah · the numbers
Utah figures at a glance for 2026
The Utah numbers for the 2026 return in one place: the 4.45% rate, the taxpayer tax credit and its thresholds, the Social Security, retirement, child and my529 credits, the property tax relief limits, the dates, and a short list of what changed from 2025. Figures the Tax Commission has not yet published are marked to come. For anyone who files here, and for anyone checking a preparer’s work.
By Charles Trautman, EA, editor
Need to Know Tax · written from Utah State Tax Commission sources, November 3, 2026; updated November 12, 2026 after the election · not yet reviewed by an Utah practitioner
Utah’s income tax has one rate and no deductions of its own, so most of its numbers are credits and the income lines where credits start to fade. Three of those are indexed and will not be published until the Tax Commission posts the 2026 Form TC-40 in December: the Utah personal exemption per dependent, the taxpayer tax credit thresholds, and the Circuit Breaker property tax limits. Everything else for 2026 is fixed in statute and known now. The rate is 4.45%, down from 4.5%. The child tax credit thresholds rose by $7,000 on a joint return. The Social Security credit thresholds, the $450 retirement credit and the 20% earned income credit did not move.
The core figures
| Item | 2025 | 2026 |
|---|---|---|
| Tax rate, all income, flat | 4.5% | 4.45% |
| Starting point (TC-40 line 4) | Federal AGI | Federal AGI |
| Standard deduction or itemized deductions | None; see taxpayer tax credit | None; see taxpayer tax credit |
| Taxpayer tax credit: percentage of the federal standard deduction, or of federal itemized deductions less state and local income tax | 6% | 6% |
| Utah personal exemption, per qualifying dependent (6% of it is credit) | $2,111 (verify) | to come |
| Taxpayer tax credit phase-out begins, Utah taxable income: single or MFS / HOH / joint | $18,213 / $27,320 / $36,426 (verify) | to come |
| Taxpayer tax credit phase-out rate | 1.3¢ per $1 | 1.3¢ per $1 |
| Exemption from Utah tax (“qualified exempt taxpayer,” line 21) | Federal AGI at or below the federal standard deduction | Utah modified AGI at or below the federal standard deduction plus Utah personal exemptions |
| Local income tax | None | None |
| Estate, inheritance or gift tax | None (dormant statute) | None (statute repealed) |
The dependent exemption and the phase-out thresholds are indexed to the consumer price index against a 2020 base of $1,750 and $15,095 single / $22,643 HOH, with the joint threshold set at twice the single. The 2025 figures above are the latest published.
What the taxpayer tax credit is worth
| Household | Federal standard deduction | Credit at 6% | Utah taxable income where the credit is fully gone |
|---|---|---|---|
| Single, under 65, no dependents | $16,100 | $966 | about $92,500 |
| Head of household, one qualifying child | $24,150 | $1,576 | about $148,500 |
| Married, both under 65, no dependents | $32,200 | $1,932 | about $185,000 |
| Married, two qualifying children | $32,200 | $2,185 | about $204,500 |
| Married, both 65 or older, no dependents | $35,500 | $2,130 | about $200,300 |
Credit figures include 6% of a $2,111 exemption per child (2025 figure). The “fully gone” column uses the 2025 thresholds and will shift slightly when the 2026 thresholds are published. The extra federal standard deduction for age 65 counts; the separate $6,000 federal senior deduction does not. An itemizer uses 6% of itemized deductions minus the state and local income tax deducted.
The credits
| Credit | Figure | Phase-out or limit |
|---|---|---|
| Social Security benefits credit (AH) | 4.45% of taxable Social Security in Utah income | Minus 2.5¢ per $1 of modified AGI over $54,000 single, $45,000 MFS, $90,000 HOH or joint; not indexed; not with code 18 |
| Retirement credit (18) | Up to $450 per person born on or before December 31, 1952 | Minus 2.5¢ per $1 of modified AGI over $25,000 single, $16,000 MFS, $32,000 joint or HOH; not indexed; not with AH or AJ |
| Military retirement credit (AJ) | 4.45% of taxable military retirement pay, including survivor benefit plan payments | No income limit; not with code 18 |
| Child tax credit (AT) | $1,000 per qualifying child under 6 on December 31 | Minus 10¢ per $1 of modified AGI over $30,500 MFS, $49,000 single or HOH, $61,000 joint (raised by H.B. 290 for 2026) |
| Earned income tax credit (AM) | 20% of the federal EITC | Nonrefundable; cannot exceed Utah wages in box 16 of your W-2s |
| At-home parent credit (01) | $100 per child 12 months or younger | Parent’s earnings $3,000 or less and federal AGI $50,000 or less |
| my529 credit (20) | 4.45% of contributions up to $2,560 single / $5,120 joint per beneficiary; maximum $113.92 / $227.84 | Beneficiary under 19 when added to the account; nonqualified withdrawals added back (code 54) |
| Health benefit plan credit (23) | 5% of premiums for a plan not available through an employer; up to $300 single, $600 HOH, $900 joint (verify) | Phases out with income (verify) |
| Credit for tax paid to another state (17, TC-40S) | Lesser of the other state’s tax or the Utah tax on the same income | Residents and part-year residents only |
| Pass-through entity taxpayer credit (AP) | Your share of Utah tax the entity elected to pay | Ten-year carryforward; election now permanent |
| Child and dependent care credit | None for families |
All Utah credits are nonrefundable and none carry forward except the pass-through entity credit. Credits computed as “the tax rate times” an amount fall with the rate; the Social Security credit on $20,000 of taxable benefits is $890 for 2026, not $900.
Worked example: where the Social Security credit runs out
A married couple, both 70, with $17,900 of federally taxable Social Security benefits. The credit is 4.45% of the benefits, $797, reduced by 2.5 cents for every dollar of modified AGI above $90,000.
| Modified AGI | Credit before reduction | Reduction | Credit allowed | Utah tax on the benefits after credit |
|---|---|---|---|---|
| $70,000 | $797 | $0 | $797 | $0 |
| $90,000 | $797 | $0 | $797 | $0 |
| $100,000 | $797 | −$250 | $547 | $250 |
| $110,000 | $797 | −$500 | $297 | $500 |
| $121,900 and above | $797 | −$797 | $0 | $797 |
The credit disappears once modified AGI exceeds the threshold by 1.78 times the taxable benefits ($797 ÷ 0.025 = $31,880). The couple could not also take the $450 retirement credit on the same return; at this income it would be fully phased out anyway.
Filing and payment dates
| Date | What |
|---|---|
| March 1, 2027 | Earliest the Tax Commission issues income tax refunds; allow 120 days from filing or from March 1, whichever is later |
| April 15, 2027 | TC-40 and all tax due; to avoid the extension penalty, 90% of 2026 tax or 100% of 2025 tax must be prepaid by today (withholding, credits, TC-546 payments) |
| September 1, 2027 | County deadline for homeowner Circuit Breaker, indigent abatement, veteran exemption and senior deferral applications |
| October 15, 2027 | Extended due date; automatic six months, no form |
| December 31, 2027 | Renter refund (Form TC-90CB) due to the Tax Commission |
Utah has no quarterly estimated payments and no underpayment penalty for individuals. The only payment test is the 90%/100% prepayment by April 15. Voluntary prepayments go on Form TC-546 or through TAP any time.
Beyond the income tax
| Item | Figure |
|---|---|
| Primary residential property tax exemption | 45% of market value exempt; home taxed on 55% |
| Circuit Breaker homeowner abatement (county), age 67+ | 2025 household income under $44,221; up to $1,412 abated plus the tax on 20% of market value; apply by September 1; 2026 limits to come |
| Circuit Breaker renter refund (Tax Commission), age 66+ | 2025 household income under $44,221; up to $1,412; TC-90CB by December 31; 2026 limits to come |
| Veterans with a disability, property tax exemption | Up to $535,459 of taxable value, scaled to the disability rating (10% minimum) |
| Senior property tax deferral, age 75+ | 2025 household income $88,442 or less; liquid resources under 20 times the tax; apply by September 1, renew yearly |
| State sales tax | 4.85% state rate; combined minimum about 6.1% with local rates; unprepared food 3% combined |
| Reciprocity with other states for wages | None |
| Nonresident short-stay filing exception | 20 or fewer days worked in Utah, no other Utah income, home state has no income tax or a similar exemption |
What changed from 2025
- Rate 4.45%, down from 4.5% (S.B. 60, 2026), retroactive to January 1, 2026.
- Child tax credit thresholds up to $30,500 / $49,000 / $61,000 from $27,000 / $43,000 / $54,000 (H.B. 290, 2026). Amount still $1,000, age still under six.
- my529 cap up to $2,560 / $5,120 per beneficiary from $2,490 / $4,980; the credit on a full contribution is $113.92 / $227.84.
- Exempt-taxpayer test now uses Utah modified AGI against the standard deduction plus Utah personal exemptions (H.B. 60, 2025).
- New subtraction for a current-year repayment of Social Security benefits taxed in an earlier year (H.B. 60, 2025).
- Pass-through entity tax made permanent; the sunset after 2025 was removed (H.B. 77, 2026).
- Estate tax statute repealed (H.B. 77, 2026). No practical change; it had collected nothing since 2005.
- Interest on amended-return refunds capped at $100 per calendar year (H.B. 60, 2025).
- Federal standard deduction permanently higher, so the 6% credit is a little larger. Federal tips, overtime, senior and car-loan deductions: no effect on Utah. Federal 100% bonus depreciation: flows through.
- Not changed: Social Security credit thresholds ($54,000 / $45,000 / $90,000, set for 2025), the $450 retirement credit and its 1952 birth cutoff, the 20% EITC, the 6% credit percentage, the 1.3-cent phase-out rate.
Behind the scenes: a flat rate that is not flat
Utah’s rate is the same at every income, but the tax is not. The taxpayer tax credit is worth up to $1,932 to a joint filer at low income and nothing above about $185,000, and every dollar between costs 1.3 cents of credit on top of 4.45 cents of tax, an effective rate of 5.75%. Add the child credit phase-out and a young family between $61,000 and $81,000 of modified AGI faces 15.75 cents on the dollar from Utah; add the Social Security phase-out and a retired couple between $90,000 and $122,000 faces 6.95 cents. The Legislature cuts the rate every year and leaves the phase-outs alone, which is why the thresholds matter as much as the headline number.
The credits defined as a percentage of federal figures, the 6% credit and the 20% EITC, grow with federal inflation adjustments without a vote. The credits with fixed amounts and thresholds, $450 for retirees born before 1953, $1,000 for children under six, $54,000 and $90,000 for Social Security, move only when a bill passes. In 2026 one did, for the child credit. The retirement credit’s thresholds have not moved in many years, and its birth-year cutoff means the youngest person who can claim it turned 74 in 2026.
What to bring
- Last year’s TC-40 and TC-40A, to compare credit codes and amounts line by line
- Dates of birth for everyone on the return: under six for the child credit, 1952 or earlier for the retirement credit, 65 for the extra federal standard deduction that flows into the 6% credit
- SSA-1099s, so the Social Security credit can be computed on the taxable amount
- 1099-R for military retirement pay, which gets its own credit
- my529 contribution statements by beneficiary
- Premium statements for a health plan bought outside work
- Prepayments made on TC-546 or TAP, with dates
- For a homeowner or renter 66 or older with modest income: the county abatement or TC-90CB paperwork, which is separate from the TC-40
Questions people ask
What is the Utah income tax rate for 2026?
4.45% on Utah taxable income, which is federal AGI with a few Utah additions and subtractions. There are no brackets and no local income taxes.
What is the Utah standard deduction for 2026?
There is none. Utah gives a nonrefundable credit equal to 6% of the federal standard deduction you took (or 6% of your itemized deductions minus state and local income tax), plus 6% of a per-dependent exemption, and reduces it by 1.3 cents for every dollar of Utah taxable income above an indexed threshold. The 2026 exemption and thresholds are to come; the 2025 figures were $2,111 and $18,213 single, $27,320 head of household, $36,426 joint.
Does Utah tax Social Security?
The federally taxable part is in Utah income, and a credit equal to 4.45% of it takes the tax back off for anyone with modified AGI up to $54,000 single or $90,000 joint. Above those lines the credit shrinks by 2.5 cents per dollar. See Utah for retirees.
How much is the Utah child tax credit?
$1,000 per child under six on December 31, nonrefundable, reduced by 10 cents per dollar of modified AGI over $61,000 on a joint return or $49,000 single or head of household. Those limits are new for 2026.
Does Utah require estimated tax payments?
No. There is no quarterly requirement and no underpayment penalty. What Utah does require is that 90% of this year’s tax or 100% of last year’s be paid in by April 15 to avoid the extension penalty if you file late. See Utah calendar and forms.
When will the 2026 figures that are “to come” be published?
The Tax Commission posts the 2026 TC-40 and instructions in December 2026, with the indexed dependent exemption and taxpayer tax credit thresholds. Publication 36 with the 2026 property tax relief limits follows on its own schedule.
One rate, one credit that stands in for a deduction, and a handful of thresholds
Know where your Utah taxable income falls against the 6% credit phase-out and, if it applies, the child or Social Security credit line, and most of the Utah return is predictable before it is filed.
Written by Charles Trautman, EA, editor · Need to Know Tax, Lone Tree, Colorado
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Forms and official pages named in this article
- Form TC-40 and schedules TC-40A, TC-40B, TC-40S, TC-40W (Tax Commission forms page)
- Utah Code 59-10-1018, Taxpayer tax credit
- Utah Code 59-10-1042, Social Security benefits credit (code AH)
- Retirement credit (code 18)
- Qualified exempt taxpayers (TC-40 line 21)
- Extensions and prepayments (Form TC-546)
- Publication 36, Property Tax Relief Programs (Form TC-90CB and county programs)
- my529: Utah state income tax credit limits
Sources and where to check
- S.B. 60 (2026), Income Tax Rate Amendments, enrolled
- H.B. 290 (2026), Child Tax Credit Amendments, enrolled
- H.B. 77 (2026), Tax Modifications, enrolled
- H.B. 60 (2025), State Tax Amendments, enrolled
- Utah State Tax Commission practitioner webinar, 2025 Utah Tax Updates (January 15, 2026)
- Utah State Tax Commission: income tax rate history
- Utah State Tax Commission: Who must file
- Utah State Tax Commission: Where’s my refund (TAP FAQ)