Utah’s $100 Million Tax Cut Plan Targets Three Groups
Feb 22, 2021, 6:52 PM | Updated: Jan 4, 2023, 5:19 pm
SALT LAKE CITY – Families, veterans and retirees could keep more of their money thanks to a $100 million tax relief package announced Monday in the Utah Legislature.
“2020 has been a difficult year for all of us and we hope that this tax relief will help bring financial stability to families, to seniors and to veterans,” said Senate President Stuart Adams, R-Layton.
Legislative leaders said that Utah’s economy is doing better than most other states, and that the tax cut proposal would be an important part of the state’s ongoing success.
“As elected officials, it is absolutely our job to take and use tax dollars to the greatest benefit of Utahns,” said House Speaker Brad Wilson, R-Kaysville, “and sometimes, that actually means giving it back to Utahns.”
The tax cuts would come from three separate pieces of legislation.
Right Now: #Utah legislative leaders announce 3 bills that will provide millions in tax relief.
The proposed legislation is intended to help families, veterans and elderly Utahns.
— Ladd Egan (@laddegan) February 22, 2021
The first, SB153, would reduce taxes for Utah families by restoring part of the dependent tax exemption that was reduced because of federal tax reform in 2017.
“With this tax cut, a family with three kids — just like my own — our state income tax will go down by $200,” said Anthony Neil, who spoke during Monday’s press conference at the Capitol.
The second bill, SB11, would get rid of individual income taxes in Utah on military retire pay.
“Until this year, Utah was one of only a few states to fully tax military retirement income,” said Mario Reeve, a retired Senior Master Sergeant with the Utah Air National Guard. “I applaud the Utah Legislature for recognizing the service of so many who served and now call Utah home.”
The third bill, HB86, seeks to help seniors on fixed incomes by eliminating Utah income tax on certain social security income.
“You go to a grocery store, they don’t care that you’ve got a fixed income. You go buy gasoline, they don’t care that you’ve got a fixed income,” said Lou Carroll, a retired Utah resident. “So, any time that you can get some assistance like this, it’s a definite benefit.”
VIDEO: “You go to a grocery store they don’t care that you’ve got a fixed income"#Utah tax relief plan would help seniors keep more of their money.
"Any time that you can get some assistance like this it’s a definite benefit"
— Ladd Egan (@laddegan) February 23, 2021
“The Legislature is committed to helping all Utahns and will continue to work tirelessly to support our communities,” Adams said in a statement. “I believe our best days are still ahead of us.”
Leaders also said on Monday that a tax rate cut for all Utahns was not being considered for this legislative session, but that it’s something they’d like to look at in the future.