Unless your income exempts you from owing Utah taxes, you'll probably file a state tax return this tax season. The state simplifies the process with the Utah Taxpayer Access Point (TAP) website that supports electronically filing your return, making payments and tracking your return as it processes. You also only have one state income tax rate to consider, and you can easily get extra time to file past the due date.
Who Must File Utah Income Taxes?
According to Utah's tax laws, you'll often have to file a state return if the IRS requires you to file a federal income tax return this tax year. This includes full- and part-year residents along with nonresidents who have earned Utah income and will depend on the federal standard deduction for the filing status. The state also emphasizes you may want to file in any case if you think you can get a Utah tax refund.
If you're a nonresident taxpayer, there are some income exemptions to know. Specifically, the state won't make you file in cases where your Utah income only came from a pass-through business entity (such as a partnership) or where such an entity already had withheld your state taxes due. If you had income from other Utah sources, you'd still need to file.
What Are the Forms to Use?
Whether you're a Utah resident or nonresident, you'll use the TC-40 tax forms that you can view on the Utah State Tax Commission website. Along with the main fillable forms, you'll find additional links for the instructions along with packets that include documents that supplement your Form TC-40. Examples of some common schedules include:
- TC-40A for income additions, subtractions and credits
- TC-40B for part-year and nonresident taxpayers
- TC-40S for reporting other state income taxes
What Is the Tax Rate in Utah?
Utah filers only deal with a flat income tax rate of 4.95 percent. The state doesn't have tax brackets, so you'll pay this rate on your taxable income regardless of your filing status or the amount earned. However, you might end up exempt from Utah taxes if you have an income no more than your filing status's standard deduction or if you qualify for a significant tax credit.
What Are the Filing Deadline and Extension Process?
Utah adheres to the IRS federal tax return due date of April 15, or the next business day when the typical due date occurs on a holiday or weekend. This means you should both file your 2021 state income tax return and send your tax payment by April 18, 2022.
However, Utah also provides an extra six months (October 17, 2022) to give you more time to file the state return. To get this extended tax filing deadline, just make a tax payment of either 90 percent of what you owe this tax year or 100 percent of what you owed the prior year. You don't need to fill anything out for the extra time.
What Are the Penalties for Late Filing and Underpayment of Taxes?
Utah taxpayers can face added costs for not filing on time, but this only happens when there's also a tax liability. So, if you don't owe the state anything or they owe you money, you won't need to worry about interest and penalties.
On the other hand, you can pay a monthly penalty consisting of two percent of your taxes owed plus two percent interest. This happens if you hadn't paid the minimum amount required for the automatic extension. To see how this could affect you, check out the state's calculator that lets you estimate interest and penalties based on what you owe and when you make payments and file your Utah tax return.
You might want to check out the state's payment agreement option if you owe so much taxes that you could face a tax lien. While this option won't avoid the interest and penalties, it can lead to more affordable monthly payments that get you caught up and reduce the likelihood of going to collections. You can either call 801-297-7703 or visit the Utah TAP website.
Where Do I Mail/E-file My Utah Return?
You have flexibility in how you can e-file your Utah return online. First, you can file your return using the Utah TAP website, where you'll see a link under "Returns" once the tax filing season begins. Second, based on your income, you could take advantage of the tax preparation services part of the federal FreeFile program. Lastly, you can choose any compatible tax preparation website such as Credit Karma, H&R Block, TurboTax or FreeTaxUSA.
To let a professional handle the job, you might opt to visit a local tax clinic to get e-file free if you meet the program's income requirements. You can also pay for this service via tax preparation chains or accounting offices.
You or a tax professional can also complete a paper return and mail it to one of these Utah State Tax Commission addresses:
- Not including tax payment: 210 North 1950 West, Salt Lake City, UT 84134-0260
- Including tax payment: 210 North 1950 West, Salt Lake City, UT 84134-0266
How Do I Pay Taxes Due?
The Utah State Tax Commission recommends using the Utah TAP website for tax payments. It supports both bank accounts and credit cards, where you pay a convenience fee for card payments. The fee depends on the payment amount; for example, it would be $30 for a $1,000 tax payment.
You can use the tax return coupon form TC-547 to make a tax payment by money order or check. If you do so, use this Utah State Tax Commission address: 210 North 1950, West Salt Lake City, UT 84134-0266.
Alternatively, you can visit a local tax office to pay with cash or another common payment method.
Where Can I Check My Utah Refund Status?
The State of Utah explains that e-filed returns can take up to one month to process versus up to three months for mailed returns. Therefore, it can be a while before you can check your refund status and get accurate information. Also, keep in mind the actual refund can take longer, especially for those sent via check rather than direct deposit.
You'll find that the Utah TAP website displays a "Check Your Refund Status" link under the "Refunds" section. You'll get asked to specify that you want to check the status of an individual income tax return. Next, you'll provide your Social Security number along with your adjusted gross income or refund amount.
If you have questions about your tax refund or just prefer to call, you can dial 801-957-7760 during business hours. You can expect to verify yourself with similar details as you would checking the refund status online.
What About Utah Taxes if You’re Self-employed?
In many cases, you'll complete the Form TC-40 tax return when self-employed and pay the 4.95 percent individual income tax rate. This applies if you're part of a partnership, have a limited liability company or act as a sole proprietor. But if you run an S-corporation, you'd need to look into filing TC-20S.
What About Utah Taxes if You’re a Business?
Utah corporations not qualifying as pass-through entities have a slightly higher five percent income tax rate and must pay a $100 minimum in taxes. You'd need to use Form TC-20 for your corporate tax return. You can visit the Utah TAP website to pay your corporate taxes due.
Rates and dates in this article are correct as of publication. But check for any changes with the Utah State Tax Commission before you file.
- Utah.gov: Taxpayer Access Point
- Utah.gov: TAP FAQ – Where’s My Refund?
- Utah.gov: Due Dates, Extensions, and Prepayments
- Utah.gov: Penalties and Interest
- Utah Tax Express: Penalty and Interest Calculator
- Utah.gov: Payment Agreement Request
- Utah.gov: Free & Paid Tax Software & Websites
- Utah.gov: Offices, Mailing Addresses & Contact Information
- Utah.gov: Payment Options
- Utah.gov: Credit Card Fees
- Utah.gov: Tax Rates
- Utah.gov: Qualified Exempt Taxpayers
- Utah.gov: Who Must File a Utah Income Tax Return
- Utah.gov: Current Forms
- Salt Lake City: Tax Information
Ashley Donohoe has written about business and technology topics since 2010. Having a Master of Business Administration degree, bookkeeping certification and experience running a small business and doing tax returns, she is knowledgeable about the tax issues individuals and businesses face. Other places featuring her business writing include Zacks, JobHero, LoveToKnow, Bizfluent, Chron and Study.com.