Utah businesses paid $8.1 billion in state and local taxes in 2024

Utah businesses paid $8.1 billion in state and local taxes in the recently ended fiscal year 2024, according to data released in a report from the Kem C. Gardner Policy Institute at the University of Utah. The report was Part 5 of the institute’s visual guide series on tax modernization in Utah, aimed at helping policymakers and the public better understand Utah’s business taxes.

The taxes included in the report are the corporate income tax, individual income tax, property tax, sales and use tax, unemployment insurance tax and other taxes.

“Utahns share a common interest in a state and local tax system that provides for our needs, keeps the economy strong, and remains viable over the long term,” said Phil Dean, chief economist and public finance senior research fellow at the Gardner Institute. “This visual guide illustrates key components of Utah’s business taxes and how firms create both societal benefits and costs.”

In Utah’s highly competitive business tax climate, Utah’s business taxes, as a percentage of GDP, ranked among the lowest in the nation in FY 2022, behind North Carolina (3.5 percent) and tied with Missouri, Michigan, Indiana, and Georgia (3.8 percent). Other national rankings also highlight Utah’s highly competitive standing for businesses.

The full Gardner Institute tax report, including parts 1 through 4, can be accessed at the organization’s website, gardner.utah.edu.