Utah lawmakers pass $190 million tax cut, food tax remains in place

Feb 9, 2022, 2:22 PM | Updated: Feb 10, 2022, 5:09 pm
FILE: The Utah State Capitol (Jason Olson, Deseret News Archives)...
FILE: The Utah State Capitol (Jason Olson, Deseret News Archives)
(Jason Olson, Deseret News Archives)

UPDATE: – The Utah Senate passed the changes to S.B. 59 Thursday, sending the law to cut taxes to Utah Gov. Spencer Cox.

The original story follows:

SALT LAKE CITY — A year after the Utah Legislature touted tax cuts, lawmakers voted to cut taxes again in 2022.

SB 59 and its approved amendments include a little less than $160 million cut from the current income tax rate and awaits approval from the Senate. This across-the-board cut means dropping the rate from 4.95% to 4.85%. The Deseret News reported this means an approximately $100 annual savings for a family that earns approximately $72,000; the higher an income, the greater the dollar savings for individuals or families.

Democrats pushed for an elimination of a food tax but failed to gain the Republican supermajority support needed.

The cut also includes an earned income tax credit of $16 million and a Social Security tax reduction of $15. The earned income tax credit targets low and moderate income Utahns. The House Revenue and Taxation Committee voted Friday to endorse the new version of the bill with the ongoing funding for the nonrefundable state earned income tax credit and the expanded eligibility to the state’s Social Security tax credit.

A nonrefundable tax credit only gives taxpayers back what they have already paid in taxes. In contrast a refundable tax credit means taxpayers could receive a full amount of tax credit, regardless of how much they have paid.

The bill absorbed two other bills focused on helping those with lower incomes in the state. The changed bill will now return to the Utah Senate that passed a previous version.

KSL 5 TV Live

Top Stories

Local News

Americans are using their credit cards more often as the economy opens....
Matt Gephardt

Gephardt Busts Inflation: The key to saving money on your credit card bills

More Utahns are carrying debt, but the thing is – many of those folks have no idea how much interest they are paying on their debt.
1 day ago
Matt Rascon

Man chases teens after shots fired at Taylorsville High

As parents and neighbors reacted to gunshots heard from the Taylorsville parking lot, one man ran towards the school.
1 day ago
Follow @KSL_AlexCabrero...
Alex Cabrero

Tragedy to triumph: how a Utah family is honoring their son

The heartwarming way a Utah family is honoring the life of their son while helping others.
1 day ago
Mike Hayes says he noticed changes when he started intermittent fasting...
Ayanna Likens

The health benefits of intermittent fasting

Intermittent fasting has become increasingly popular and health experts say there are some benefits to it.
1 day ago
Candice Madsen

GM for Tabernacle Choir Retires after 21 Years

“For 21 years I’ve been part of the magic and I still pinch myself,” Scott Barrick said.
1 day ago
Ladd Egan

‘Ball of fire’: Utah man severely burned during backyard accident with gasoline

A Utah man suffered severe burns to his hands and face while trying to start a fire in his backyard fire pit.
1 day ago

Sponsored Articles

Fiber Optical cables connected to an optic ports and Network cables connected to ethernet ports...
Brian Huston, CE and Anthony Perkins, BICSI

Why Every Business Needs a Structured Cabling System

A structured cabling system benefits businesses by giving you faster processing speeds and making your network more efficient and reliable.
notebook with password notes highlighted...
PC Laptops

How to Create Strong Passwords You Can Actually Remember

Learn how you can create strong passwords that are actually easy to remember! In a short time you can create new ones in seconds.
house with for rent sign posted...
Chase Harrington, president and COO of Entrata

Top 5 Reasons You May Want to Consider Apartment Life Over Owning a Home

There are many benefits of renting that can be overshadowed by the allure of buying a home. Here are five reasons why renting might be right for you.
Festive kitchen in Christmas decorations. Christmas dining room....
Lighting Design

6 Holiday Decor Trends to Try in 2022

We've rounded out the top 6 holiday decor trends for 2022 so you can be ahead of the game before you start shopping. 
Happy diverse college or university students are having fun on their graduation day...
BYU MBA at the Marriott School of Business

How to Choose What MBA Program is Right for You: Take this Quiz Before You Apply!

Wondering what MBA program is right for you? Take this quiz before you apply to see if it will help you meet your goals.
Diverse Group of Energetic Professionals Team Meeting in Modern Office: Brainstorming IT Programmer...
Les Olson

Don’t Let a Ransomware Attack Get You Down | Protect Your Workplace Today with Cyber Insurance

Business owners and operators should be on guard to protect their workplace. Cyber insurance can protect you from online attacks.