Rep. Norm Thurston — Voting Record

Bill

Number

H.B. 60 (2025GS)

Sponsor

Rep. Eliason, Steve

Final action

Governor Signed 3/25/2025

Outcome

Became law — signed by Gov. Spencer J. Cox

Summary

What it does

• This bill:
• repeals obsolete language;
• provides the scope of the State Tax Commission's authority to share income tax return information with the Department of Workforce Services to determine eligibility for public assistance;
• provides the circumstances under which there is an annual limit on the total amount of interest that the commission pays;
• requires a payment settlement entity, such as a marketplace facilitator, to file certain federal forms with the State Tax Commission;
• clarifies what is a commercial unit for purposes of claiming a commercial energy system tax credit;
• updates the circumstances under which an individual is exempt from individual income tax;
• creates a deduction for individuals who have to repay social security that is subject to income tax;
• provides for the repeal of the enterprise zone tax credit, which, by statute, automatically expired;
• extends the carry forward period for a tax credit available to a pass-through entity taxpayer who receives income from a pass-through entity that paid the income tax on the income;
• provides the circumstances for the automatic removal of refundable individual income tax credits from the income tax return; and
• makes technical changes.

Every vote on this bill

Bill text

49
19-12-203
31A-32a-103
35A-3-105
59-1-402
59-1-403
59-1-1801
59-1-1802
59-7-614
59-7-614.10
59-10-104.1
59-10-114
59-10-510
59-10-1037
59-10-1042
59-10-1045
59-10-1102.2
63I-2-259
63I-2-263
19-12-203
31A-32a-103
35A-3-105
59-1-402
59-1-403
59-1-1801
59-1-1802
59-7-614
59-7-614.10
59-10-104.1
59-10-114
59-10-510
59-10-1037
59-10-1042
59-10-1045
59-10-1102.2
63I-2-259
63I-2-263
6
State Tax Amendments
2025 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Steve Eliason
Senate Sponsor: Daniel McCay
LONG TITLE
General Description:
This bill modifies provisions relating to the tax code. 
Highlighted Provisions:
This bill:
repeals obsolete language;
provides the scope of the State Tax Commission's authority to share income tax return 
information with the Department of Workforce Services to determine eligibility for 
public assistance;
provides the circumstances under which there is an annual limit on the total amount of 
interest that the commission pays;
requires a payment settlement entity, such as a marketplace facilitator, to file certain 
federal forms for a participating payee with an address in the state with the State Tax 
Commission; 
clarifies what is a commercial unit for purposes of claiming a commercial energy system 
tax credit;
updates the circumstances under which an individual is exempt from individual income 
tax;
creates a deduction for individuals who have to repay social security that is subject to 
income tax; 
provides for the repeal of the enterprise zone tax credit, which, by statute, automatically 
expired; 
extends the carry forward period for a tax credit available to a pass-through entity 
taxpayer who receives income from a pass-through entity that paid the income tax on the 
income;
provides the circumstances for the automatic removal of refundable individual income tax 
credits from the income tax return; and
makes technical changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
This bill provides a special effective date.
This bill provides retrospective operation.
Utah Code Sections Affected:
AMENDS:
19-12-203
, 
Effective 
01/01/26
 as enacted by Laws of Utah 2014, Chapter 24
31A-32a-103
, 
Effective 
05/07/25
 as last amended by Laws of Utah 2008, Chapter 389
35A-3-105
, 
Effective 
05/07/25
 as last amended by Laws of Utah 2015, Chapter 221
59-1-402
, 
Effective 
01/01/26
 as last amended by Laws of Utah 2024, Chapter 290
59-1-403
, 
Effective 
05/07/25
 as last amended by Laws of Utah 2024, Chapters 25, 35
59-7-614
, 
Effective 
05/07/25
Applies beginning 
01/01/25
 as last amended by Laws of 
Utah 2024, Chapter 53
59-7-614.10
, 
Effective 
05/07/25
Applies beginning 
01/01/25
 as last amended by 
Laws of Utah 2021, Chapter 282
59-10-104.1
, 
Effective 
01/01/26
 as last amended by Laws of Utah 2008, Chapter 389
59-10-114
, 
Effective 
01/01/26
 as last amended by Laws of Utah 2023, Chapter 470
59-10-510
, 
Effective 
01/01/26
 as last amended by Laws of Utah 2009, Chapter 212
59-10-1037
, 
Effective 
05/07/25
Applies beginning 
01/01/25
 as last amended by Laws 
of Utah 2021, Chapter 282
59-10-1042
, 
Effective 
01/01/26
 as last amended by Laws of Utah 2023, Chapter 459
59-10-1045
, 
Effective 
01/01/26
Applies beginning 
01/01/25
 as last amended by Laws 
of Utah 2023, Chapter 470
63I-2-259
, 
Effective 
05/07/25
 as last amended by Laws of Utah 2024, Third Special 
Session, Chapter 5
63I-2-263
, 
Effective 
05/07/25
 as last amended by Laws of Utah 2024, Third Special 
Session, Chapter 5
ENACTS:
59-1-1801
, 
Effective 
01/01/26
 Utah Code Annotated 1953
59-1-1802
, 
Effective 
01/01/26
 Utah Code Annotated 1953
59-10-1102.2
, 
Effective 
05/07/25
Applies beginning 
01/01/25
 Utah Code 
Annotated 1953
Be it enacted by the Legislature of the state of Utah:
Section 1, Section 
19-12-203
 is amended to read:
19-12-203
Effective 
01/01/26
. Refunds -- Interest.
(1)
A person 
who
that
 pays a tax under 
Title 59, Chapter 12, Sales and Use Tax Act
, on a 
purchase or lease that would otherwise be exempt under Section 
19-12-201
, except that 
the director has not issued a certification under Section 
19-12-303
, may obtain a refund 
of the tax if:
(a)
the director subsequently issues a certification under Section 
19-12-303
; and
(b)
the person files a claim for the refund with the State Tax Commission on or before 
the earlier of:
(i)
three years after the date the director issues the certification under Section 
19-12-303
; or
(ii)
six years after the date the person pays the tax under 
Title 59, Chapter 12, Sales 
and Use Tax Act
.
(2)
A person 
who
that
 pays a tax under 
Title 59, Chapter 12, Sales and Use Tax Act
, on a 
purchase or lease that is exempt under Section 
19-12-201
, may obtain a refund of the tax 
if the person files a claim for the refund with the State Tax Commission within three 
years after the date the person pays the tax under 
Title 59, Chapter 12, Sales and Use 
Tax Act
.
(3)
(a)
If a person files a claim for a refund of taxes under Subsection 
(1)
 within 180 days 
after the date the director issues a certification under Section 
19-12-303
, interest shall 
be added to the amount of the refund the State Tax Commission grants:
(i)
at the interest rate 
prescribed
and, except as provided in Subsection 
(3)(a)
(ii), in 
the manner provided
 in Section 
59-1-402
; and
(ii)
beginning on the date the person pays the tax under 
Title 59, Chapter 12, Sales 
and Use Tax Act
, for which the person is claiming the refund.
(b)
If a person files a claim for a refund of taxes under Subsection 
(1)
 more than 180 
days after the date the director issues a certification under Section 
19-12-303
, interest 
shall be added to the amount of the refund the State Tax Commission grants:
(i)
at the interest rate 
prescribed
and, except as provided in Subsection 
(3)(b)(ii)
, in 
the manner provided
 in Section 
59-1-402
; and
(ii)
beginning 30 days after the date the person files the claim for a refund.
(4)
If a person files a claim for a refund of taxes under Subsection 
(2)
, interest shall be 
added to the amount of the refund the State Tax Commission grants:
(a)
at the interest rate 
prescribed
and, except as provided in Subsection 
(4)(b)
, in the 
manner provided
 in Section 
59-1-402
; and
(b)
beginning 30 days after the date the person files the claim for the refund.
Section 2, Section 
31A-32a-103
 is amended to read:
31A-32a-103
Effective 
05/07/25
. Establishing medical care savings accounts.
(1)
For a taxable year beginning on or after January 1, 1995:
(a)
(1)
(a)
an
An
 employer, except as otherwise provided by contract or a collective 
bargaining agreement, may offer a medical care savings account program to the 
employer's employees
; or
.
(b)
a
A
 resident individual may establish a medical care savings account program for 
the individual or for the individual's dependents.
(2)
(a)
A contribution into an account made by an employer on behalf of an employee, or 
made by an individual account holder
,
 may not exceed the greater of:
(i)
$2,000 in any taxable year; or
(ii)
an amount of money equal to the sum of all eligible medical expenses paid by the 
employee or account holder for that taxable year on behalf of the employee, 
account holder, or the employee's or account holder's spouse or dependents.
(b)
For purposes of Subsection 
(2)(a)(ii)
, eligible medical expenses are limited to 
expenses in the taxable year that an insurance carrier has applied to the employee's or 
account holder's deductible.
(3)
An employer that offers a medical care savings account program shall, before making 
any contributions:
(a)
inform all employees in writing of the fact that these contributions may not be 
deductible under the federal tax laws; and
(b)
obtain from the employee a written election to participate in the medical care savings 
account program.
(4)
Except as provided in Sections 
31A-32a-105
 and 
59-10-114
, principal contributed to 
and interest earned on a medical care savings account and money reimbursed to an 
employee or account holder for eligible medical expenses are exempt from taxation.
(5)
(4)
(a)
An employer may select a single account administrator for all of the 
employer's employee's medical care savings accounts.
(b)
If a single account administrator is not selected, an employer may contribute directly 
to the account holder's individual medical care savings account.
Section 3, Section 
35A-3-105
 is amended to read:
35A-3-105
Effective 
05/07/25
. Determination of eligibility and responsibility -- 
Information from State Tax Commission.
(1)
The
Except as prohibited by federal law, the
 department may have access to relevant 
information contained in the income tax returns of an applicant, a recipient, or a person 
who has a duty to support an applicant or recipient, in determining:
(a)
eligibility for public assistance;
(b)
payment responsibilities for institutional care; or
(c)
any other administrative purpose consistent with this chapter.
(2)
The information requested by the department shall be:
(a)
provided by the State Tax Commission
, to the extent authorized by federal law,
 on 
forms 
furnished
provided
 by the department; and
(b)
treated by the department as a private record under 
Title 63G, Chapter 2, 
Government Records Access and Management Act
.
Section 4, Section 
59-1-402
 is amended to read:
59-1-402
Effective 
01/01/26
. Definitions -- Interest.
(1)
As used in this section:
(a)
"Final judicial decision" means a final ruling by a court of this state or the United 
States for which the time for any further review or proceeding has expired.
(b)
"Retroactive application of a judicial decision" means the application of a final 
judicial decision that:
(i)
invalidates a state or federal taxation statute; and
(ii)
requires the state to provide a refund for an overpayment that was made:
(A)
prior to
before
 the final judicial decision; or
(B)
during the 180-day period after the final judicial decision.
(c)
(i)
Except as provided in Subsection (1)(c)(ii), "tax
"Tax
, fee, or charge" means:
(A)
a tax, fee, or charge the commission administers under:
(I)
this title;
(II)
Title 10, Chapter 1, Part 3, Municipal Energy Sales and Use Tax Act;
(III)
Title 10, Chapter 1, Part 4, Municipal Telecommunications License Tax 
Act;
(IV)
Section 
19-6-410.5
;
(V)
Section 
19-6-714
;
(VI)
Section 
19-6-805
;
(VII)
Section 
34A-2-202
;
(VIII)
Section 
40-6-14
; or
(IX)
Title 69, Chapter 2, Part 4, Prepaid Wireless Telecommunications Service 
Charges; or
(B)
another amount that by statute is subject to interest imposed under this section.
(ii)
"Tax, fee, or charge" does not include a tax, fee, or charge imposed under:
(A)
Title 41, Chapter 1a, Motor Vehicle Act, except for Section 
41-1a-301
;
(B)
Title 41, Chapter 3, Motor Vehicle Business Regulation Act;
(C)
Chapter 2, Property Tax Act, except for Section 
59-2-1309
;
(D)
Chapter 3, Tax Equivalent Property Act;
(E)
Chapter 4, Privilege Tax; or
(F)
Chapter 13, Part 5, Interstate Agreements.
(2)
Except as otherwise provided for by law, the 
commission shall calculate the 
interest rate 
for a calendar year for a tax, fee, or charge 
administered by the commission shall be 
calculated
the commission administers
 based on the federal short-term rate determined 
by the Secretary of the Treasury under Section 6621, Internal Revenue Code, in effect 
for the preceding fourth calendar quarter.
(3)
The interest rate calculation shall be as follows:
(a)
except as provided in Subsection (7), in the case of an overpayment or refund, 
the 
commission shall calculate 
simple interest 
shall be calculated 
at the rate of two 
percentage points above the federal short-term rate; or
(b)
in the case of an underpayment, deficiency, or delinquency, 
the commission shall 
calculate 
simple interest 
shall be calculated 
at the rate of two percentage points 
above the federal short-term rate.
(4)
Notwithstanding Subsection (2) or (3), the 
commission shall determine the 
interest rate 
applicable to certain installment sales for purposes of a tax under Chapter 7, Corporate 
Franchise and Income Taxes, 
shall be determined 
in accordance with Section 453A, 
Internal Revenue Code, as provided in Section 
59-7-112
.
(5)
(a)
Except as provided in Subsection (5)(c), 
the commission may not pay 
interest 
may not be allowed 
on an overpayment of a tax, fee, or charge if the overpayment of 
the tax, fee, or charge is refunded within:
(i)
45 days after the last date 
prescribed
provided
 for filing the return
:
(A)
with respect to a tax under Chapter 7, Corporate Franchise and Income Taxes, 
or Chapter 10, Individual Income Tax Act
,
; and
(B)
if the return is filed electronically; or
(ii)
90 days after the last date 
prescribed
provided
 for filing the return:
(A)
with respect to a tax, fee, or charge, except for a tax under Chapter 7, 
Corporate Franchise and Income Taxes, or Chapter 10, Individual Income Tax 
Act; or
(B)
if the return is not filed electronically.
(b)
Except as provided in Subsection (5)(c), if 
the return is filed after the last date 
prescribed
a person files a return after the last date provided
 for filing the return, 
interest 
may not be
is not
 allowed on the overpayment if the overpayment is 
refunded within:
(i)
45 days after the date the return is filed:
(A)
with respect to a tax under Chapter 7, Corporate Franchise and Income Taxes, 
or Chapter 10, Individual Income Tax Act; and
(B)
if the return is filed electronically; or
(ii)
90 days after the date the return is filed:
(A)
with respect to a tax, fee, or charge, except for a tax under Chapter 7, 
Corporate Franchise and Income Taxes, or Chapter 10, Individual Income Tax 
Act; or
(B)
if the return is not filed electronically.
(c)
(i)
Subject to Subsection 
(5)(d)
(5)(c)(ii)
, for an amended return, 
the commission 
shall pay 
interest on an overpayment 
is allowed 
for a time period:
(A)
that begins on the later of
:
(I)
the date the original return was filed
;
 or
(II)
the due date for filing the original return not including any extensions for 
filing the original return; and
(B)
that ends on the date the commission receives the amended return.
(ii)
(A)
For interest that accrues on or after January 1, 2026, the maximum amount 
of interest authorized by Subsection (5)(c)(i) is $100 per calendar year.
(B)
Subsection (5)(c)(ii)(A) does not apply to an overpayment provided to a 
federally recognized tribe or an overpayment resulting from commission error.
(ii)
(iii)
For an amended return filed electronically with respect to a tax under 
Chapter 7, Corporate Franchise and Income Taxes, or Chapter 10, Individual 
Income Tax Act, 
the commission shall pay 
interest on an overpayment 
is allowed 
if the commission does not process a refund of the overpayment within a 45-day 
period after the date the commission receives the amended return, for a time 
period:
(A)
that begins 46 days after the commission receives the amended return; and
(B)
that ends on the date that the commission completes processing the refund of 
the overpayment.
(iii)
(iv)
For an amended return not filed electronically or with respect to any tax, 
fee, or charge not described in Subsection 
(5)(c)(ii)
(5)(c)(iii)
, 
the commission 
shall pay 
interest on an overpayment 
is allowed 
if the commission does not 
process a refund of the overpayment within a 90-day period after the date the 
commission receives the amended return, for a time period:
(A)
that begins 91 days after the commission receives the amended return; and
(B)
that ends on the date that the commission completes processing the refund of 
the overpayment.
(d)
(i)
This Subsection (5)(d) applies to interest on an overpayment under 
Subsection (5)(c)(i) in which:
(A)
the amount of interest accruing on the overpayment on or after January 1, 
2025, exceeds $200 in any calendar year during the time period described in 
Subsection (5)(c)(i); and
(B)
the amount of the overpayment exceeds 30% of the taxpayer's total tax 
liability as originally reported for the tax, fee, or charge to which the 
overpayment applies during the time period described in Subsection (5)(c)(i).
(ii)
This Subsection (5)(d) does not apply to:
(A)
an overpayment provided to a federally-recognized tribe; or
(B)
an overpayment resulting from commission error.
(iii)
The annual interest rate imposed on an overpayment described in Subsection 
(5)(d)(i) shall be calculated at the rate of two percentage points below the federal 
short-term rate.
(iv)
Notwithstanding Subsection (5)(d)(iii), for an overpayment described in 
Subsection (5)(d)(i):
(A)
the interest rate imposed on the overpayment shall be a rate of no less than 
0% and no more than 3%; and
(B)
the amount of interest accruing in a calendar year for an overpayment may 
not be less than $200, unless the amount of interest that would have accrued 
during the calendar year is less than $200 when calculated using the interest 
rate described in Subsection (3).
(6)
Interest on any underpayment, deficiency, or delinquency of a tax, fee, or charge shall 
be computed
The commission shall compute interest on any underpayment, deficiency, 
or delinquency of a tax, fee, or charge
 from the time the original return is due, excluding 
any filing or payment extensions, to the date the payment is received.
(7)
Interest on a refund relating to a tax, fee, or charge may not be paid on any overpayment
The commission may not pay interest on a refund relating to an overpayment of a tax, 
fee, or charge
 that arises from a statute that is determined to be invalid under state or 
federal law or declared unconstitutional under the constitution of the United States or 
Utah if the basis for the refund is the retroactive application of a judicial decision 
upholding the claim of unconstitutionality or the invalidation of a statute.
Section 5, Section 
59-1-403
 is amended to read:
59-1-403
Effective 
05/07/25
. Confidentiality -- Exceptions -- Penalty -- 
Application to property tax.
(1)
As used in this section:
(a)
"Distributed tax, fee, or charge" means a tax, fee, or charge:
(i)
the commission administers under:
(A)
this title, other than a tax under Chapter 12, Part 2, Local Sales and Use Tax 
Act;
(B)
Title 10, Chapter 1, Part 3, Municipal Energy Sales and Use Tax Act;
(C)
Title 10, Chapter 1, Part 4, Municipal Telecommunications License Tax Act;
(D)
Section 
19-6-805
;
(E)
Section 
63H-1-205
; or
(F)
Title 69, Chapter 2, Part 4, Prepaid Wireless Telecommunications Service 
Charges; and
(ii)
with respect to which the commission distributes the revenue collected from the 
tax, fee, or charge to a qualifying jurisdiction.
(b)
"Qualifying jurisdiction" means:
(i)
a county, city, or town;
(ii)
the military installation development authority created in Section 
63H-1-201
; or
(iii)
the Utah Inland Port Authority created in Section 
11-58-201
.
(2)
(a)
Any of the following may not divulge or make known in any manner any 
information gained by that person from any return filed with the commission:
(i)
a tax commissioner;
(ii)
an agent, clerk, or other officer or employee of the commission; or
(iii)
a representative, agent, clerk, or other officer or employee of any county, city, or 
town.
(b)
An official charged with the custody of a return filed with the commission is not 
required to produce the return or evidence of anything contained in the return in any 
action or proceeding in any court, except:
(i)
in accordance with judicial order;
(ii)
on behalf of the commission in any action or proceeding under:
(A)
this title; or
(B)
other law under which persons are required to file returns with the 
commission;
(iii)
on behalf of the commission in any action or proceeding to which the 
commission is a party; or
(iv)
on behalf of any party to any action or proceeding under this title if the report or 
facts shown by the return are directly involved in the action or proceeding.
(c)
Notwithstanding Subsection (2)(b), a court may require the production of, and may 
admit in evidence, any portion of a return or of the facts shown by the return, as are 
specifically pertinent to the action or proceeding.
(3)
This section does not prohibit:
(a)
a person or that person's duly authorized representative from receiving a copy of any 
return or report filed in connection with that person's own tax;
(b)
the publication of statistics as long as the statistics are classified to prevent the 
identification of particular reports or returns; and
(c)
the inspection by the attorney general or other legal representative of the state of the 
report or return of any taxpayer:
(i)
who brings action to set aside or review a tax based on the report or return;
(ii)
against whom an action or proceeding is contemplated or has been instituted 
under this title; or
(iii)
against whom the state has an unsatisfied money judgment.
(4)
(a)
Notwithstanding Subsection (2) and for purposes of administration, the 
commission may by rule, made in accordance with Title 63G, Chapter 3, Utah 
Administrative Rulemaking Act, provide for a reciprocal exchange of information 
with:
(i)
the United States Internal Revenue Service; or
(ii)
the revenue service of any other state.
(b)
Notwithstanding Subsection (2) and for all taxes except individual income tax and 
corporate franchise tax, the commission may by rule, made in accordance with Title 
63G, Chapter 3, Utah Administrative Rulemaking Act, share information gathered 
from returns and other written statements with the federal government, any other 
state, any of the political subdivisions of another state, or any political subdivision of 
this state, except as limited by Sections 
59-12-209
 and 
59-12-210
, if the political 
subdivision, other state, or the federal government grant substantially similar 
privileges to this state.
(c)
Notwithstanding Subsection (2) and for all taxes except individual income tax and 
corporate franchise tax, the commission may by rule, in accordance with Title 63G, 
Chapter 3, Utah Administrative Rulemaking Act, provide for the issuance of 
information concerning the identity and other information of taxpayers who have 
failed to file tax returns or to pay any tax due.
(d)
Notwithstanding Subsection (2), the commission shall provide to the director of the 
Division of Environmental Response and Remediation, as defined in Section 
19-6-402
, as requested by the director of the Division of Environmental Response 
and Remediation, any records, returns, or other information filed with the 
commission under Chapter 13, Motor and Special Fuel Tax Act, or Section 
19-6-410.5
 regarding the environmental assurance program participation fee.
(e)
Notwithstanding Subsection (2), at the request of any person the commission shall 
provide that person sales and purchase volume data reported to the commission on a 
report, return, or other information filed with the commission under:
(i)
Chapter 13, Part 2, Motor Fuel; or
(ii)
Chapter 13, Part 4, Aviation Fuel.
(f)
Notwithstanding Subsection (2), upon request from a tobacco product manufacturer, 
as defined in Section 
59-22-202
, the commission shall report to the manufacturer:
(i)
the quantity of cigarettes, as defined in Section 
59-22-202
, produced by the 
manufacturer and reported to the commission for the previous calendar year under 
Section 
59-14-407
; and
(ii)
the quantity of cigarettes, as defined in Section 
59-22-202
, produced by the 
manufacturer for which a tax refund was granted during the previous calendar 
year under Section 
59-14-401
 and reported to the commission under Subsection 
59-14-401
(1)(a)(v).
(g)
Notwithstanding Subsection (2), the commission shall notify manufacturers, 
distributors, wholesalers, and retail dealers of a tobacco product manufacturer that is 
prohibited from selling cigarettes to consumers within the state under Subsection 
59-14-210
(2).
(h)
Notwithstanding Subsection (2), the commission may:
(i)
provide to the Division of Consumer Protection within the Department of 
Commerce and the attorney general data:
(A)
reported to the commission under Section 
59-14-212
; or
(B)
related to a violation under Section 
59-14-211
; and
(ii)
upon request, provide to any person data reported to the commission under 
Subsections 
59-14-212
(1)(a) through (c) and Subsection 
59-14-212
(1)(g).
(i)
Notwithstanding Subsection (2), the commission shall, at the request of a committee 
of the Legislature, the Office of the Legislative Fiscal Analyst, or the Governor's 
Office of Planning and Budget, provide to the committee or office the total amount of 
revenues
revenue
 collected by the commission under Chapter 24, Radioactive Waste 
Facility Tax Act, for the time period specified by the committee or office.
(j)
Notwithstanding Subsection (2), the commission shall make the directory required by 
Section 
59-14-603
 available for public inspection.
(k)
Notwithstanding Subsection (2), the commission may share information with federal, 
state, or local agencies as provided in Subsection 
59-14-606
(3).
(l)
(i)
Notwithstanding Subsection (2), the commission shall provide the Office of 
Recovery Services within the Department of Health and Human Services any 
relevant information obtained from a return filed under Chapter 10, Individual 
Income Tax Act, regarding a taxpayer who has become obligated to the Office of 
Recovery Services.
(ii)
The information described in Subsection (4)(l)(i) may be provided by the Office 
of Recovery Services to any other state's child support collection agency involved 
in enforcing that support obligation.
(m)
(i)
Notwithstanding Subsection (2), upon request from the state court 
administrator, the commission shall provide to the state court administrator, the 
name, address, telephone number, county of residence, and social security number 
on resident returns filed under Chapter 10, Individual Income Tax Act.
(ii)
The state court administrator may use the information described in Subsection 
(4)(m)(i) only as a source list for the master jury list described in Section 
78B-1-106
.
(n)
(i)
As used in this Subsection (4)(n):
(A)
"GOEO" means the Governor's Office of Economic Opportunity created in 
Section 
63N-1a-301
.
(B)
"Income tax information" means information gained by the commission that is 
required to be attached to or included in a return filed with the commission 
under Chapter 7, Corporate Franchise and Income Taxes, or Chapter 10, 
Individual Income Tax Act.
(C)
"Other tax information" means information gained by the commission that is 
required to be attached to or included in a return filed with the commission 
except for a return filed under Chapter 7, Corporate Franchise and Income 
Taxes, or Chapter 10, Individual Income Tax Act.
(D)
"Tax information" means income tax information or other tax information.
(ii)
(A)
Notwithstanding Subsection (2) and except as provided in Subsection 
(4)(n)(ii)(B) or (C), the commission shall at the request of GOEO provide to 
GOEO all income tax information.
(B)
For purposes of a request for income tax information made under Subsection 
(4)(n)(ii)(A), GOEO may not request and the commission may not provide to
GOEO a person's address, name, social security number, or taxpayer 
identification number.
(C)
In providing income tax information to GOEO, the commission shall in all 
instances protect the privacy of a person as required by Subsection (4)(n)(ii)(B).
(iii)
(A)
Notwithstanding Subsection (2) and except as provided in Subsection 
(4)(n)(iii)(B), the commission shall at the request of GOEO provide to GOEO 
other tax information.
(B)
Before providing other tax information to GOEO, the commission shall redact 
or remove any name, address, social security number, or taxpayer identification 
number.
(iv)
GOEO may provide tax information received from the commission in accordance 
with this Subsection (4)(n) only:
(A)
as a fiscal estimate, fiscal note information, or statistical information; and
(B)
if the tax information is classified to prevent the identification of a particular 
return.
(v)
(A)
A person may not request tax information from GOEO under Title 63G, 
Chapter 2, Government Records Access and Management Act, or this section, 
if GOEO received the tax information from the commission in accordance with 
this Subsection (4)(n).
(B)
GOEO may not provide to a person that requests tax information in 
accordance with Subsection (4)(n)(v)(A) any tax information other than the tax 
information GOEO provides in accordance with Subsection (4)(n)(iv).
(o)
Notwithstanding Subsection (2), the commission may provide to the governing board 
of the agreement or a taxing official of another state, the District of Columbia, the 
United States, or a territory of the United States:
(i)
the following relating to an agreement sales and use tax:
(A)
information contained in a return filed with the commission;
(B)
information contained in a report filed with the commission;
(C)
a schedule related to Subsection (4)(o)(i)(A) or (B); or
(D)
a document filed with the commission; or
(ii)
a report of an audit or investigation made with respect to an agreement sales and 
use tax.
(p)
Notwithstanding Subsection (2), the commission may provide information 
concerning a taxpayer's state income tax return or state income tax withholding 
information to the Driver License Division if the Driver License Division:
(i)
requests the information; and
(ii)
provides the commission with a signed release form from the taxpayer allowing 
the Driver License Division access to the information.
(q)
Notwithstanding Subsection (2), the commission shall provide to the Utah 
Communications Authority, or a division of the Utah Communications Authority, the 
information requested by the authority under Sections 
63H-7a-302
, 
63H-7a-402
, and 
63H-7a-502
.
(r)
Notwithstanding Subsection (2), the commission shall provide to the Utah 
Educational Savings Plan information related to a resident or nonresident individual's 
contribution to a Utah Educational Savings Plan account as designated on the 
resident or nonresident's individual income tax return as provided under Section 
59-10-1313
.
(s)
Notwithstanding Subsection (2), for the purpose of verifying eligibility under 
Sections 
26B-3-106
 and 
26B-3-903
, the commission shall provide an eligibility 
worker with the Department of Health and Human Services or its designee with the 
adjusted gross income of an individual if:
(i)
an eligibility worker with the Department of Health and Human Services or its 
designee requests the information from the commission; and
(ii)
the eligibility worker has complied with the identity verification and consent 
provisions of Sections 
26B-3-106
 and 
26B-3-903
.
(t)
Notwithstanding Subsection (2), the commission may provide to a county, as 
determined by the commission, information declared on an individual income tax 
return in accordance with Section 
59-10-103.1
 that relates to eligibility to claim a 
residential exemption authorized under Section 
59-2-103
.
(u)
Notwithstanding Subsection (2), the commission shall provide a report regarding any 
access line provider that is over 90 days delinquent in payment to the commission of 
amounts the access line provider owes under Title 69, Chapter 2, Part 4, Prepaid 
Wireless Telecommunications Service Charges, to the board of the Utah 
Communications Authority created in Section 
63H-7a-201
.
(v)
Notwithstanding Subsection (2), the commission shall provide the Department of 
Environmental Quality a report on the amount of tax paid by a radioactive waste 
facility for the previous calendar year under Section 
59-24-103.5
.
(w)
Notwithstanding Subsection (2), the commission may, upon request, provide to the 
Department of Workforce Services any information received under Chapter 10, Part 
4, Withholding of Tax, that is relevant to the duties of the Department of Workforce 
Services.
(x)
Notwithstanding Subsection (2), the commission may provide the Public Service 
Commission or the Division of Public Utilities information related to a seller that 
collects and remits to the commission a charge described in Subsection 
69-2-405
(2), 
including the seller's identity and the number of charges described in Subsection 
69-2-405
(2) that the seller collects.
(y)
(i)
Notwithstanding Subsection (2), the commission shall provide to each 
qualifying jurisdiction the collection data necessary to verify the revenue collected 
by the commission for a distributed tax, fee, or charge collected within the 
qualifying jurisdiction.
(ii)
In addition to the information provided under Subsection (4)(y)(i), the 
commission shall provide a qualifying jurisdiction with copies of returns and other 
information relating to a distributed tax, fee, or charge collected within the 
qualifying jurisdiction.
(iii)
(A)
To obtain the information described in Subsection (4)(y)(ii), the chief 
executive officer or the chief executive officer's designee of the qualifying 
jurisdiction shall submit a written request to the commission that states the 
specific information sought and how the qualifying jurisdiction intends to use 
the information.
(B)
The information described in Subsection (4)(y)(ii) is available only in official 
matters of the qualifying jurisdiction.
(iv)
Information that a qualifying jurisdiction receives in response to a request under 
this subsection is:
(A)
classified as a private record under Title 63G, Chapter 2, Government Records 
Access and Management Act; and
(B)
subject to the confidentiality requirements of this section.
(z)
Notwithstanding Subsection (2), the commission shall provide the Alcoholic 
Beverage Services Commission, upon request, with taxpayer status information 
related to state tax obligations necessary to comply with the requirements described 
in Section 
32B-1-203
.
(aa)
Notwithstanding Subsection (2), the commission shall inform the Department of 
Workforce Services, as soon as practicable, whether an individual claimed and is 
entitled to claim a federal earned income tax credit for the year requested by the 
Department of Workforce Services if:
(i)
the Department of Workforce Services requests this information; and
(ii)
the commission has received the information release described in Section 
35A-9-604
.
(bb)
(i)
As used in this Subsection (4)(bb), "unclaimed property administrator" means 
the administrator or the administrator's agent, as those terms are defined in Section 
67-4a-102
.
(ii)
(A)
Notwithstanding Subsection (2), upon request from the unclaimed property 
administrator and to the extent allowed under federal law, the commission shall 
provide the unclaimed property administrator the name, address, telephone 
number, county of residence, and social security number or federal employer 
identification number on any return filed under Chapter 7, Corporate Franchise 
and Income Taxes, or Chapter 10, Individual Income Tax Act.
(B)
The unclaimed property administrator may use the information described in 
Subsection (4)(bb)(ii)(A) only for the purpose of returning unclaimed property 
to the property's owner in accordance with Title 67, Chapter 4a, Revised 
Uniform Unclaimed Property Act.
(iii)
The unclaimed property administrator is subject to the confidentiality provisions 
of this section with respect to any information the unclaimed property 
administrator receives under this Subsection (4)(bb).
(cc)
Notwithstanding Subsection (2), the commission may, upon request, disclose a 
taxpayer's state individual income tax information to a program manager of the Utah 
Fits All Scholarship Program under Section 
53F-6-402
 if:
(i)
the taxpayer consents in writing to the disclosure;
(ii)
the taxpayer's written consent includes the taxpayer's name, social security 
number, and any other information the commission requests that is necessary to 
verify the identity of the taxpayer; and
(iii)
the program manager provides the taxpayer's written consent to the commission.
(dd)
Notwithstanding Subsection (2), the commission may provide to the Division of 
Finance within the Department of Government Operations any information necessary 
to facilitate a payment from the commission to a taxpayer, including:
(i)
the name of the taxpayer entitled to the payment or any other person legally 
authorized to receive the payment;
(ii)
the taxpayer identification number of the taxpayer entitled to the payment;
(iii)
the payment identification number and amount of the payment;
(iv)
the tax year to which the payment applies and date on which the payment is due;
(v)
a mailing address to which the payment may be directed; and
(vi)
information regarding an account at a depository institution to which the 
payment may be directed, including the name of the depository institution, the 
type of account, the account number, and the routing number for the account.
(ee)
Notwithstanding Subsection (2), the commission shall provide the total amount of 
revenues
revenue
 collected by the commission under Subsection 
59-5-202
(5):
(i)
at the request of a committee of the Legislature, the Office of the Legislative 
Fiscal Analyst, or the Governor's Office of Planning and Budget, to the committee 
or office for the time period specified by the committee or office; and
(ii)
to the Division of Finance for purposes of the Division of Finance administering 
Subsection 
59-5-202
(5).
(ff)
Notwithstanding Subsection (2), the commission may provide the Department of 
Agriculture and Food with information from a return filed in accordance with 
Chapter 31, Cannabinoid Licensing and Tax Act.
(gg)
Notwithstanding Subsection 
(2)
, the commission shall provide the Department of 
Workforce Services with the information described in Section 
35A-3-105
.
(5)
(a)
Each report and return shall be preserved for at least three years.
(b)
After the three-year period provided in Subsection (5)(a) the commission may 
destroy a report or return.
(6)
(a)
Any individual who violates this section is guilty of a class A misdemeanor.
(b)
If the individual described in Subsection (6)(a) is an officer or employee of the state, 
the individual shall be dismissed from office and be disqualified from holding public 
office in this state for a period of five years thereafter.
(c)
Notwithstanding Subsection (6)(a) or (b), GOEO, when requesting information in 
accordance with Subsection (4)(n)(iii), or an individual who requests information in 
accordance with Subsection (4)(n)(v):
(i)
is not guilty of a class A misdemeanor; and
(ii)
is not subject to:
(A)
dismissal from office in accordance with Subsection (6)(b); or
(B)
disqualification from holding public office in accordance with Subsection 
(6)(b).
(d)
Notwithstanding Subsection (6)(a) or (b), for a disclosure of information to the 
Office of the Legislative Auditor General in accordance with Title 36, Chapter 12, 
Legislative Organization, an individual described in Subsection (2):
(i)
is not guilty of a class A misdemeanor; and
(ii)
is not subject to:
(A)
dismissal from office in accordance with Subsection (6)(b); or
(B)
disqualification from holding public office in accordance with Subsection 
(6)(b).
(7)
Except as provided in Section 
59-1-404
, this part does not apply to the property tax.
Section 6, Section 
59-1-1801
 is enacted to read:
18. Reportable Transactions by Persons Other than Taxpayers
59-1-1801
Effective 
01/01/26
. Definitions.
As used in this part:
(1)
"Participating payee" means the same as that term is defined in 26 U.S.C. Sec. 6050W.
(2)
"Payment settlement entity" means the same as that term is defined in 26 U.S.C. Sec. 
6050W.
Section 7, Section 
59-1-1802
 is enacted to read:
59-1-1802
Effective 
01/01/26
. Reporting by payment settlement entity.
A payment settlement entity that is required to file a return in accordance with 26 U.S.C. 
Sec. 6050W shall file a return containing the same information with the commission for each 
participating payee with an address in Utah:
(1)
electronically;
(2)
in a format approved by the commission; and
(3)
within 30 days after the day on which the payment settlement entity is required to file a 
return with the Internal Revenue Service.
Section 8, Section 
59-7-614
 is amended to read:
59-7-614
Effective 
05/07/25
Applies beginning 
01/01/25
. Clean energy systems 
tax credits -- Definitions -- Certification -- Rulemaking authority.
(1)
As used in this section:
(a)
(i)
"Active solar system" means a system of equipment that is capable of:
(A)
collecting and converting incident solar radiation into thermal, mechanical, or 
electrical energy; and
(B)
transferring a form of energy described in Subsection (1)(a)(i)(A) by a 
separate apparatus to storage or to the point of use.
(ii)
"Active solar system" includes water heating, space heating or cooling, and 
electrical or mechanical energy generation.
(b)
"Biomass system" means a system of apparatus and equipment for use in:
(i)
converting material into biomass energy, as defined in Section 
59-12-102
; and
(ii)
transporting the biomass energy by separate apparatus to the point of use or 
storage.
(c)
"Clean energy source" means the same as that term is defined in Section 
54-17-601
.
(d)
"Commercial energy system" means a system that is:
(i)
(A)
an active solar system;
(B)
a biomass system;
(C)
a direct use geothermal system;
(D)
a geothermal electricity system;
(E)
a geothermal heat pump system;
(F)
a hydroenergy system;
(G)
a passive solar system; or
(H)
a wind system;
(ii)
located in the state; and
(iii)
used:
(A)
to supply energy to a commercial unit; or
(B)
as a commercial enterprise.
(e)
"Commercial enterprise" means an entity, the purpose of which is to produce:
(i)
electrical, mechanical, or thermal energy for sale from a commercial energy 
system; or
(ii)
hydrogen for sale from a hydrogen production system.
(f)
(i)
"Commercial unit" means a building or structure
, other than a residence,
 that an 
entity uses to transact business.
(ii)
Notwithstanding Subsection (1)(f)(i):
(A)
with respect to an active solar system used for agricultural water pumping or a 
wind system, each individual energy generating device is considered to be a 
commercial unit; or
(B)
if an energy system is the building or structure that an entity uses to transact 
business, a commercial unit is the complete energy system itself.
(g)
"Direct use geothermal system" means a system of apparatus and equipment that 
enables the direct use of geothermal energy to meet energy needs, including heating a 
building, an industrial process, and aquaculture.
(h)
"Geothermal electricity" means energy that is:
(i)
contained in heat that continuously flows outward from the earth; and
(ii)
used as a sole source of energy to produce electricity.
(i)
"Geothermal energy" means energy generated by heat that is contained in the earth.
(j)
"Geothermal heat pump system" means a system of apparatus and equipment that:
(i)
enables the use of thermal properties contained in the earth at temperatures well 
below 100 degrees Fahrenheit; and
(ii)
helps meet heating and cooling needs of a structure.
(k)
"Hydroenergy system" means a system of apparatus and equipment that is capable of:
(i)
intercepting and converting kinetic water energy into electrical or mechanical 
energy; and
(ii)
transferring this form of energy by separate apparatus to the point of use or 
storage.
(l)
"Hydrogen production system" means a system of apparatus and equipment, located 
in this state, that uses:
(i)
electricity from a clean energy source to create hydrogen gas from water, 
regardless of whether the clean energy source is at a separate facility or the same 
facility as the system of apparatus and equipment; or
(ii)
uses renewable natural gas to produce hydrogen gas.
(m)
"Office" means the Office of Energy Development created in Section 
79-6-401
.
(n)
(i)
"Passive solar system" means a direct thermal system that utilizes the structure 
of a building and the structure's operable components to provide for collection, 
storage, and distribution of heating or cooling during the appropriate times of the 
year by utilizing the climate resources available at the site.
(ii)
"Passive solar system" includes those portions and components of a building that 
are expressly designed and required for the collection, storage, and distribution of 
solar energy.
(o)
"Photovoltaic system" means an active solar system that generates electricity from 
sunlight.
(p)
(i)
"Principal recovery portion" means the portion of a lease payment that 
constitutes the cost a person incurs in acquiring a commercial energy system.
(ii)
"Principal recovery portion" does not include:
(A)
an interest charge; or
(B)
a maintenance expense.
(q)
"Residential energy system" means the following used to supply energy to or for a 
residential unit:
(i)
an active solar system;
(ii)
a biomass system;
(iii)
a direct use geothermal system;
(iv)
a geothermal heat pump system;
(v)
a hydroenergy system;
(vi)
a passive solar system; or
(vii)
a wind system.
(r)
(i)
"Residential unit" means a house, condominium, apartment, or similar dwelling 
unit that:
(A)
is located in the state; and
(B)
serves as a dwelling for a person, group of persons, or a family.
(ii)
"Residential unit" does not include property subject to a fee under:
(A)
Section 
59-2-405
;
(B)
Section 
59-2-405.1
;
(C)
Section 
59-2-405.2
;
(D)
Section 
59-2-405.3
; or
(E)
Section 
72-10-110.5
.
(s)
"Wind system" means a system of apparatus and equipment that is capable of:
(i)
intercepting and converting wind energy into mechanical or electrical energy; and
(ii)
transferring these forms of energy by a separate apparatus to the point of use, 
sale, or storage.
(2)
A taxpayer may claim an energy system tax credit as provided in this section against a 
tax due under this chapter for a taxable year.
(3)
(a)
Subject to the other provisions of this Subsection (3), a taxpayer may claim a 
nonrefundable tax credit under this Subsection (3) with respect to a residential unit 
the taxpayer owns or uses if:
(i)
the taxpayer:
(A)
purchases and completes a residential energy system to supply all or part of 
the energy required for the residential unit; or
(B)
participates in the financing of a residential energy system to supply all or part 
of the energy required for the residential unit; and
(ii)
the taxpayer obtains a written certification from the office in accordance with 
Subsection (8).
(b)
(i)
Subject to Subsections (3)(b)(ii) through (iv) and, as applicable, Subsection 
(3)(c) or (d), the tax credit is equal to 25% of the reasonable costs of each 
residential energy system installed with respect to each residential unit the 
taxpayer owns or uses.
(ii)
A tax credit under this Subsection (3) may include installation costs.
(iii)
A taxpayer may claim a tax credit under this Subsection (3) for the taxable year 
in which the residential energy system is completed and placed in service.
(iv)
If the amount of a tax credit under this Subsection (3) exceeds a taxpayer's tax 
liability under this chapter for a taxable year, the taxpayer may carry forward the 
amount of the tax credit exceeding the liability for a period that does not exceed 
the next four taxable years.
(c)
The total amount of tax credit a taxpayer may claim under this Subsection (3) for a 
residential energy system, other than a photovoltaic system, may not exceed $2,000 
per residential unit.
(d)
The total amount of tax credit a taxpayer may claim under this Subsection (3) for a 
photovoltaic system may not exceed:
(i)
for a system installed on or after January 1, 2018, but on or before December 31, 
2020, $1,600;
(ii)
for a system installed on or after January 1, 2021, but on or before December 31, 
2021, $1,200;
(iii)
for a system installed on or after January 1, 2022, but on or before December 31, 
2022, $800;
(iv)
for a system installed on or after January 1, 2023, but on or before December 31, 
2023, $400; and
(v)
for a system installed on or after January 1, 2024, $0.
(e)
If a taxpayer sells a residential unit to another person before the taxpayer claims the 
tax credit under this Subsection (3):
(i)
the taxpayer may assign the tax credit to the other person; and
(ii)
(A)
if the other person files a return under this chapter, the other person may 
claim the tax credit under this section as if the other person had met the 
requirements of this section to claim the tax credit; or
(B)
if the other person files a return under Chapter 10, Individual Income Tax Act, 
the other person may claim the tax credit under Section 
59-10-1014
 as if the 
other person had met the requirements of Section 
59-10-1014
 to claim the tax 
credit.
(4)
(a)
Subject to the other provisions of this Subsection (4), a taxpayer may claim a 
refundable tax credit under this Subsection (4) with respect to a commercial energy 
system if:
(i)
the commercial energy system does not use:
(A)
wind, geothermal electricity, solar, or biomass equipment capable of 
producing a total of 660 or more kilowatts of electricity; or
(B)
solar equipment capable of producing 2,000 or more kilowatts of electricity;
(ii)
the taxpayer purchases or participates in the financing of the commercial energy 
system;
(iii)
(A)
the commercial energy system supplies all or part of the energy required 
by commercial units owned or used by the taxpayer; or
(B)
the taxpayer sells all or part of the energy produced by the commercial energy 
system as a commercial enterprise;
(iv)
the taxpayer has not claimed and will not claim a tax credit under Subsection (7) 
for hydrogen production using electricity for which the taxpayer claims a tax 
credit under this Subsection (4); and
(v)
the taxpayer obtains a written certification from the office in accordance with 
Subsection (8).
(b)
(i)
Subject to Subsections (4)(b)(ii) through (iv), the tax credit is equal to 10% of 
the reasonable costs of the commercial energy system.
(ii)
A tax credit under this Subsection (4) may include installation costs.
(iii)
A taxpayer is eligible to claim a tax credit under this Subsection (4) for the 
taxable year in which the commercial energy system is completed and placed in 
service.
(iv)
The total amount of tax credit a taxpayer may claim under this Subsection (4) 
may not exceed $50,000 per commercial unit.
(c)
(i)
Subject to Subsections (4)(c)(ii) and (iii), a taxpayer that is a lessee of a 
commercial energy system installed on a commercial unit may claim a tax credit 
under this Subsection (4) if the taxpayer confirms that the lessor irrevocably elects 
not to claim the tax credit.
(ii)
A taxpayer described in Subsection (4)(c)(i) may claim as a tax credit under this 
Subsection (4) only the principal recovery portion of the lease payments.
(iii)
A taxpayer described in Subsection (4)(c)(i) may claim a tax credit under this 
Subsection (4) for a period that does not exceed seven taxable years after the day 
on which the lease begins, as stated in the lease agreement.
(5)
(a)
Subject to the other provisions of this Subsection (5), a taxpayer may claim a 
refundable tax credit under this Subsection (5) with respect to a commercial energy 
system if:
(i)
the commercial energy system uses wind, geothermal electricity, or biomass 
equipment capable of producing a total of 660 or more kilowatts of electricity;
(ii)
(A)
the commercial energy system supplies all or part of the energy required by 
commercial units owned or used by the taxpayer; or
(B)
the taxpayer sells all or part of the energy produced by the commercial energy 
system as a commercial enterprise;
(iii)
the taxpayer has not claimed and will not claim a tax credit under Subsection (7) 
for hydrogen production using electricity for which the taxpayer claims a tax 
credit under this Subsection (5); and
(iv)
the taxpayer obtains a written certification from the office in accordance with 
Subsection (8).
(b)
(i)
Subject to Subsection (5)(b)(ii), a tax credit under this Subsection (5) is equal 
to the product of:
(A)
0.35 cents; and
(B)
the kilowatt hours of electricity produced and used or sold during the taxable 
year.
(ii)
A taxpayer is eligible to claim a tax credit under this Subsection (5) for 
production occurring during a period of 48 months beginning with the month in 
which the commercial energy system is placed in commercial service.
(c)
A taxpayer that is a lessee of a commercial energy system installed on a commercial 
unit may claim a tax credit under this Subsection (5) if the taxpayer confirms that the 
lessor irrevocably elects not to claim the tax credit.
(6)
(a)
Subject to the other provisions of this Subsection (6), a taxpayer may claim a 
refundable tax credit as provided in this Subsection (6) if:
(i)
the taxpayer owns a commercial energy system that uses solar equipment capable 
of producing a total of 660 or more kilowatts of electricity;
(ii)
(A)
the commercial energy system supplies all or part of the energy required by 
commercial units owned or used by the taxpayer; or
(B)
the taxpayer sells all or part of the energy produced by the commercial energy 
system as a commercial enterprise;
(iii)
the taxpayer does not claim a tax credit under Subsection (4) and has not claimed 
and will not claim a tax credit under Subsection (7) for hydrogen production using 
electricity for which a taxpayer claims a tax credit under this Subsection (6); and
(iv)
the taxpayer obtains a written certification from the office in accordance with 
Subsection (8).
(b)
(i)
Subject to Subsection (6)(b)(ii), a tax credit under this Subsection (6) is equal 
to the product of:
(A)
0.35 cents; and
(B)
the kilowatt hours of electricity produced and used or sold during the taxable 
year.
(ii)
A taxpayer is eligible to claim a tax credit under this Subsection (6) for 
production occurring during a period of 48 months beginning with the month in 
which the commercial energy system is placed in commercial service.
(c)
A taxpayer that is a lessee of a commercial energy system installed on a commercial 
unit may claim a tax credit under this Subsection (6) if the taxpayer confirms that the 
lessor irrevocably elects not to claim the tax credit.
(7)
(a)
A taxpayer may claim a refundable tax credit as provided in this Subsection (7) if:
(i)
the taxpayer owns a hydrogen production system;
(ii)
the hydrogen production system is completed and placed in service on or after 
January 1, 2022;
(iii)
the taxpayer sells as a commercial enterprise, or supplies for the taxpayer's own 
use in commercial units, the hydrogen produced from the hydrogen production 
system;
(iv)
the taxpayer has not claimed and will not claim a tax credit under Subsection (4), 
(5), or (6) or Section 
59-7-626
 for electricity or hydrogen used to meet the 
requirements of this Subsection (7); and
(v)
the taxpayer obtains a written certification from the office in accordance with 
Subsection (8).
(b)
(i)
Subject to Subsections (7)(b)(ii) and (iii), a tax credit under this Subsection (7) 
is equal to the product of:
(A)
$0.12; and
(B)
the number of kilograms of hydrogen produced during the taxable year.
(ii)
A taxpayer may not receive a tax credit under this Subsection (7) for more than 
5,600 metric tons of hydrogen per taxable year.
(iii)
A taxpayer is eligible to claim a tax credit under this Subsection (7) for 
production occurring during a period of 48 months beginning with the month in 
which the hydrogen production system is placed in commercial service.
(8)
(a)
Before a taxpayer may claim a tax credit under this section, the taxpayer shall 
obtain a written certification from the office.
(b)
The office shall issue a taxpayer a written certification if the office determines that:
(i)
the taxpayer meets the requirements of this section to receive a tax credit; and
(ii)
the residential energy system, the commercial energy system, or the hydrogen 
production system with respect to which the taxpayer seeks to claim a tax credit:
(A)
has been completely installed;
(B)
is a viable system for saving or producing energy from clean resources; and
(C)
is safe, reliable, efficient, and technically feasible to ensure that the residential 
energy system, the commercial energy system, or the hydrogen production 
system uses the state's clean and nonrenewable energy resources in an 
appropriate and economic manner.
(c)
In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the 
office may make rules:
(i)
for determining whether a residential energy system, a commercial energy system, 
or a hydrogen production system meets the requirements of Subsection (8)(b)(ii); 
and
(ii)
for purposes of a tax credit under Subsection (3) or (4), establishing the 
reasonable costs of a residential energy system or a commercial energy system, as 
an amount per unit of energy production.
(d)
A taxpayer that obtains a written certification from the office shall retain the 
certification for the same time period a person is required to keep books and records 
under Section 
59-1-1406
.
(e)
The office shall submit to the commission an electronic list that includes:
(i)
the name and identifying information of each taxpayer to which the office issues a 
written certification; and
(ii)
for each taxpayer:
(A)
the amount of the tax credit listed on the written certification; and
(B)
the date the clean energy system was installed.
(9)
In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, the 
commission may make rules to address the certification of a tax credit under this section.
(10)
A tax credit under this section is in addition to any tax credits provided under the laws 
or rules and regulations of the United States.
(11)
A taxpayer may not claim or carry forward a tax credit described in this section in a 
taxable year during which the taxpayer claims or carries forward a tax credit under 
Section 
59-7-614.7
.
Section 9, Section 
59-7-614.10
 is amended to read:
59-7-614.10
Effective 
05/07/25
Applies beginning 
01/01/25
. Nonrefundable 
enterprise zone tax credit.
(1)
As used in this section:
(a)
"Business entity" means a corporation that meets the definition of "business entity" 
as that term is defined in Section 
63N-2-202
.
(b)
"Office" means the Governor's Office of Economic Opportunity created in Section 
63N-1a-301
.
(2)
Subject to the provisions of this section,
 for a taxable year beginning before January 1, 
2025,
 a business entity may claim a nonrefundable enterprise zone tax credit as 
described in Section 
63N-2-213
.
(3)
The enterprise zone tax credit under this section is the amount listed as the tax credit 
amount on the tax credit certificate that the office issues to the business entity for the 
taxable year.
(4)
A business entity may carry forward a tax credit under this section for a period that does 
not exceed the next three taxable years, if the amount of the tax credit exceeds the 
business entity's tax liability under this chapter for that taxable year.
(5)
(a)
In accordance with Section 
59-7-159
, the Revenue and Taxation Interim 
Committee shall study the tax credit allowed by this section and make 
recommendations concerning whether the tax credit should be continued, modified, 
or repealed.
(b)
(i)
Except as provided in Subsection 
(5)(b)(ii)
, for purposes of the study required 
by this Subsection 
(5)
, the office shall provide by electronic means the following 
information for each calendar year to the Office of the Legislative Fiscal Analyst:
(A)
the amount of tax credits provided in each development zone;
(B)
the number of new full-time employee positions reported to obtain tax credits 
in each development zone;
(C)
the amount of tax credits awarded for rehabilitating a building in each 
development zone;
(D)
the amount of tax credits awarded for investing in a plant, equipment, or other 
depreciable property in each development zone;
(E)
the information related to the tax credit contained in the office's latest report 
under Section 
63N-1a-301
; and
(F)
any other information that the Office of the Legislative Fiscal Analyst requests.
(ii)
(A)
In providing the information described in Subsection 
(5)(b)(i)
, the office 
shall redact information that identifies a recipient of a tax credit under this 
section.
(B)
If, notwithstanding the redactions made under Subsection 
(5)(b)(ii)(A)
, 
reporting the information described in Subsection 
(5)(b)(i)
 might disclose the 
identity of a recipient of a tax credit, the office may file a request with the 
Revenue and Taxation Interim Committee to provide the information described 
in Subsection 
(5)(b)(i)
 in the aggregate for all development zones that receive 
the tax credit under this section.
(c)
As part of the study required by this Subsection 
(5)
, the Office of the Legislative 
Fiscal Analyst shall report to the Revenue and Taxation Interim Committee a 
summary and analysis of the information provided to the Office of the Legislative 
Fiscal Analyst by the office under Subsection 
(5)(b)
.
(d)
The Revenue and Taxation Interim Committee shall ensure that the 
recommendations described in Subsection 
(5)(a)
 include an evaluation of:
(i)
the cost of the tax credit to the state;
(ii)
the purpose and effectiveness of the tax credit; and
(iii)
the extent to which the state benefits from the tax credit.
Section 10, Section 
59-10-104.1
 is amended to read:
59-10-104.1
Effective 
01/01/26
. Exemption from taxation.
(1)
For purposes of this section:
(a)
"Modified adjusted gross income" means the amount calculated by:
(i)
adding the individual's adjusted gross income on the individual's federal individual 
income tax return for the taxable year and any additions required by Section 
59-10-114
 for the taxable year; and
(ii)
subtracting from the amount calculated in accordance with Subsection 
(1)(a)(i)
, 
any subtractions required by Section 
59-10-114
 for the taxable year.
(b)
"Personal exemptions" means the total exemption amount an individual is allowed to 
claim for the taxable year under Section 151, Internal Revenue Code, for:
(i)
the individual;
(ii)
the individual's spouse; and
(iii)
the individual's dependents.
(b)
(c)
"Standard deduction":
(i)
means the standard deduction an individual is allowed to claim for the taxable 
year under Section 63, Internal Revenue Code; and
(ii)
notwithstanding Subsection 
(1)(b)(i)
(1)(c)(i)
, does not include an additional 
amount allowed under Section 63(f), Internal Revenue Code, for an individual or 
an individual's spouse who is:
(A)
blind; or
(B)
65 years of age or older.
(2)
For taxable years beginning on or after January 1, 2002, an
An
 individual is exempt 
from a tax imposed by Section 
59-10-104
 or 
59-10-116
 if the individual's 
adjusted 
gross income on the individual's federal individual income tax return for the taxable year
modified adjusted gross income
 is less than or equal to the sum of the individual's:
(a)
personal exemptions for that taxable year; and
(b)
standard deduction for that taxable year.
Section 11, Section 
59-10-114
 is amended to read:
59-10-114
Effective 
01/01/26
. Additions to and subtractions from adjusted 
gross income of an individual.
(1)
There shall be added to adjusted gross income of a resident or nonresident individual:
(a)
a lump sum distribution that the taxpayer does not include in adjusted gross income 
on the taxpayer's federal individual income tax return for the taxable year;
(b)
the amount of a child's income calculated under Subsection 
(4)
 that:
(i)
a parent elects to report on the parent's federal individual income tax return for the 
taxable year; and
(ii)
the parent does not include in adjusted gross income on the parent's federal 
individual income tax return for the taxable year;
(c)
(i)
a withdrawal from a medical care savings account and any penalty imposed for 
the taxable year if:
(A)
the resident or nonresident individual does not deduct the amounts on the 
resident or nonresident individual's federal individual income tax return under 
Section 220, Internal Revenue Code;
(B)
the withdrawal is subject to Subsections 
31A-32a-105(1)
 and 
(2)
; and
(C)
the withdrawal is subtracted on, or used as the basis for claiming a tax credit 
on, a return the resident or nonresident individual files under this chapter;
(ii)
a disbursement required to be added to adjusted gross income in accordance with 
Subsection 
31A-32a-105(3)
; or
(iii)
an amount required to be added to adjusted gross income in accordance with 
Subsection 
31A-32a-105(5)(c)
;
(d)
the amount withdrawn under 
Title 53B, Chapter 8a, Utah Educational Savings Plan
, 
from the account of a resident or nonresident individual who is an account owner as 
defined in Section 
53B-8a-102
, for the taxable year for which the amount is 
withdrawn, if that amount withdrawn from the account of the resident or nonresident 
individual who is the account owner:
(i)
is not expended for:
(A)
higher education costs as defined in Section 
53B-8a-102.5
; or
(B)
a payment or distribution that qualifies as an exception to the additional tax 
for distributions not used for educational expenses provided in Sections 529(c) 
and 530(d), Internal Revenue Code; and
(ii)
is:
(A)
subtracted by the resident or nonresident individual:
(I)
who is the account owner; and
(II)
on the resident or nonresident individual's return filed under this chapter 
for a taxable year beginning on or before December 31, 2007; or
(B)
used as the basis for the resident or nonresident individual who is the account 
owner to claim a tax credit under Section 
59-10-1017
;
(e)
except as provided in Subsection 
(5)
, for bonds, notes, and other evidences of 
indebtedness acquired on or after January 1, 2003, the interest from bonds, notes, and 
other evidences of indebtedness:
(i)
issued by one or more of the following entities:
(A)
a state other than this state;
(B)
the District of Columbia;
(C)
a political subdivision of a state other than this state; or
(D)
an agency or instrumentality of an entity described in Subsections 
(1)(e)(i)(A)
through 
(C)
; and
(ii)
to the extent the interest is not included in adjusted gross income on the taxpayer's 
federal income tax return for the taxable year;
(f)
subject to Subsection 
(2)(c)
, any distribution received by a resident beneficiary of a 
resident trust of income that was taxed at the trust level for federal tax purposes, but 
was subtracted from state taxable income of the trust pursuant to Subsection 
59-10-202(2)(b)
;
(g)
any distribution received by a resident beneficiary of a nonresident trust of 
undistributed distributable net income realized by the trust on or after January 1, 
2004, if that undistributed distributable net income was taxed at the trust level for 
federal tax purposes, but was not taxed at the trust level by any state, with 
undistributed distributable net income considered to be distributed from the most 
recently accumulated undistributed distributable net income;
(h)
any adoption expense:
(i)
for which a resident or nonresident individual receives reimbursement from 
another person; and
(ii)
to the extent to which the resident or nonresident individual subtracts that 
adoption expense:
(A)
on a return filed under this chapter for a taxable year beginning on or before 
December 31, 2007; or
(B)
from federal taxable income on a federal individual income tax return;
(i)
the amount of tax paid on income attributed to the individual in accordance with 
Subsection 
59-10-1403.2(2)
 that is not included in adjusted gross income; and
(j)
the amount of tax paid:
(i)
on income attributed to the individual and taxable in this state, that is not included 
in adjusted gross income;
(ii)
to another state; and
(iii)
that the commission determines is substantially similar to the tax imposed under 
Subsection 
59-10-1403.2(2)
.
(2)
There shall be subtracted from adjusted gross income of a resident or nonresident 
individual:
(a)
the difference between:
(i)
the interest or a dividend on an obligation or security of the United States or an 
authority, commission, instrumentality, or possession of the United States, to the 
extent that interest or dividend is:
(A)
included in adjusted gross income for federal income tax purposes for the 
taxable year; and
(B)
exempt from state income taxes under the laws of the United States; and
(ii)
any interest on indebtedness incurred or continued to purchase or carry the 
obligation or security described in Subsection 
(2)(a)(i)
;
(b)
if the conditions of Subsection 
(3)(a)
 are met, the amount of income derived by a Ute 
tribal member:
(i)
during a time period that the Ute tribal member resides on homesteaded land 
diminished from the Uintah and Ouray Reservation; and
(ii)
from a source within the Uintah and Ouray Reservation;
(c)
an amount received by a resident or nonresident individual or distribution received 
by a resident or nonresident beneficiary of a resident trust:
(i)
if that amount or distribution constitutes a refund of taxes imposed by:
(A)
a state; or
(B)
the District of Columbia; and
(ii)
to the extent that amount or distribution is included in adjusted gross income for 
that taxable year on the federal individual income tax return of the resident or 
nonresident individual or resident or nonresident beneficiary of a resident trust;
(d)
the amount of a railroad retirement benefit:
(i)
paid:
(A)
in accordance with The Railroad Retirement Act of 1974, 45 U.S.C. Sec. 231 
et seq.;
(B)
to a resident or nonresident individual; and
(C)
for the taxable year; and
(ii)
to the extent that railroad retirement benefit is included in adjusted gross income 
on that resident or nonresident individual's federal individual income tax return for 
that taxable year;
(e)
an amount:
(i)
received by an enrolled member of an American Indian tribe; and
(ii)
to the extent that the state is not authorized or permitted to impose a tax under this 
part on that amount in accordance with:
(A)
federal law;
(B)
a treaty; or
(C)
a final decision issued by a court of competent jurisdiction;
(f)
an amount received:
(i)
for the interest on a bond, note, or other obligation issued by an entity for which 
state statute provides an exemption of interest on its bonds from state individual 
income tax;
(ii)
by a resident or nonresident individual;
(iii)
for the taxable year; and
(iv)
to the extent the amount is included in adjusted gross income on the taxpayer's 
federal income tax return for the taxable year;
(g)
the amount of all income, including income apportioned to another state, of a 
nonmilitary spouse of an active duty military member if:
(i)
both the nonmilitary spouse and the active duty military member are nonresident 
individuals;
(ii)
the active duty military member is stationed in Utah;
(iii)
the nonmilitary spouse is subject to the residency provisions of 50 U.S.C. Sec. 
4001(a)(2); and
(iv)
the income is included in adjusted gross income for federal income tax purposes 
for the taxable year;
(h)
for a taxable year beginning on or after January 1, 2019, but beginning on or before 
December 31, 2019, only:
(i)
the amount of any FDIC premium paid or incurred by the taxpayer that is 
disallowed as a deduction for federal income tax purposes under Section 162(r), 
Internal Revenue Code, on the taxpayer's 2018 federal income tax return; plus
(ii)
the amount of any FDIC premium paid or incurred by the taxpayer that is 
disallowed as a deduction for federal income tax purposes under Section 162(r), 
Internal Revenue Code, for the taxable year;
(i)
(h)
for a taxable year beginning on or after January 1, 2020, 
the amount of any 
FDIC premium paid or incurred by the taxpayer that is disallowed as a deduction for 
federal income tax purposes under Section 162(r), Internal Revenue Code, for the 
taxable year;
 and
(j)
(i)
an amount of a distribution from a qualified retirement plan under Section 401(a), 
Internal Revenue Code, if:
(i)
the amount of the distribution is included in adjusted gross income on the resident 
or nonresident individual's federal individual income tax return for the taxable 
year; and
(ii)
for the taxable year when the amount of the distribution was contributed to the 
qualified retirement plan, the amount of the distribution:
(A)
was not included in adjusted gross income on the resident or nonresident 
individual's federal individual income tax return for the taxable year; and
(B)
was taxed by another state of the United States, the District of Columbia, or a 
possession of the United States
.
; and
(j)
the amount of any repayment in the current taxable year of social security income 
received in a previous taxable year if:
(i)
the individual claimed a credit for the repayment on the individual's federal 
individual income tax return for the current taxable year; and
(ii)
the individual did not claim a tax credit under Section 
59-10-1042
 for the taxable 
year in which the individual received the social security income.
(3)
(a)
A subtraction for an amount described in Subsection 
(2)(b)
 is allowed only if:
(i)
the taxpayer is a Ute tribal member; and
(ii)
the governor and the Ute tribe execute and maintain an agreement meeting the 
requirements of this Subsection 
(3)
.
(b)
The agreement described in Subsection 
(3)(a)
:
(i)
may not:
(A)
authorize the state to impose a tax in addition to a tax imposed under this 
chapter;
(B)
provide a subtraction under this section greater than or different from the 
subtraction described in Subsection 
(2)(b)
; or
(C)
affect the power of the state to establish rates of taxation; and
(ii)
shall:
(A)
provide for the implementation of the subtraction described in Subsection 
(2)(b)
;
(B)
be in writing;
(C)
be signed by:
(I)
the governor; and
(II)
the chair of the Business Committee of the Ute tribe;
(D)
be conditioned on obtaining any approval required by federal law; and
(E)
state the effective date of the agreement.
(c)
(i)
The governor shall report to the commission by no later than February 1 of each 
year regarding whether or not an agreement meeting the requirements of this 
Subsection 
(3)
 is in effect.
(ii)
If an agreement meeting the requirements of this Subsection 
(3)
 is terminated, the 
subtraction permitted under Subsection 
(2)(b)
 is not allowed for taxable years 
beginning on or after the January 1 following the termination of the agreement.
(d)
For purposes of Subsection 
(2)(b)
 and in accordance with 
Title 63G, Chapter 3, Utah 
Administrative Rulemaking Act
, the commission may make rules:
(i)
for determining whether income is derived from a source within the Uintah and 
Ouray Reservation; and
(ii)
that are substantially similar to how adjusted gross income derived from Utah 
sources is determined under Section 
59-10-117
.
(4)
(a)
For purposes of this Subsection 
(4)
, "Form 8814" means:
(i)
the federal individual income tax Form 8814, Parents' Election To Report Child's 
Interest and Dividends; or
(ii)
(A)
a form designated by the commission in accordance with Subsection 
(4)(a)(ii)(B)
 as being substantially similar to 2000 Form 8814 if for purposes of 
federal individual income taxes the information contained on 2000 Form 8814 
is reported on a form other than Form 8814; and
(B)
for purposes of Subsection 
(4)(a)(ii)(A)
 and in accordance with 
Title 63G, 
Chapter 3, Utah Administrative Rulemaking Act
, the commission may make 
rules designating a form as being substantially similar to 2000 Form 8814 if for 
purposes of federal individual income taxes the information contained on 2000 
Form 8814 is reported on a form other than Form 8814.
(b)
The amount of a child's income added to adjusted gross income under Subsection 
(1)(b)
 is equal to the difference between:
(i)
the lesser of:
(A)
the base amount specified on Form 8814; and
(B)
the sum of the following reported on Form 8814:
(I)
the child's taxable interest;
(II)
the child's ordinary dividends; and
(III)
the child's capital gain distributions; and
(ii)
the amount not taxed that is specified on Form 8814.
(5)
Notwithstanding Subsection 
(1)(e)
, interest from bonds, notes, and other evidences of 
indebtedness issued by an entity described in Subsections 
(1)(e)(i)(A)
 through 
(D)
 may 
not be added to adjusted gross income of a resident or nonresident individual if, as 
annually determined by the commission:
(a)
for an entity described in Subsection 
(1)(e)(i)(A)
 or 
(B)
, the entity and all of the 
political subdivisions, agencies, or instrumentalities of the entity do not impose a tax 
based on income on any part of the bonds, notes, and other evidences of indebtedness 
of this state; or
(b)
for an entity described in Subsection 
(1)(e)(i)(C)
 or 
(D)
, the following do not impose 
a tax based on income on any part of the bonds, notes, and other evidences of 
indebtedness of this state:
(i)
the entity; or
(ii)
(A)
the state in which the entity is located; or
(B)
the District of Columbia, if the entity is located within the District of 
Columbia.
Section 12, Section 
59-10-510
 is amended to read:
59-10-510
Effective 
01/01/26
. Return of electing small business corporation.
An electing small business corporation, as defined in Section 
1371(a)(2)
1362
, Internal 
Revenue Code, shall make a return for each taxable year, stating specifically:
(1)
the items of the electing small business corporation's gross income and the deductions 
allowable by Subtitle A, Internal Revenue Code;
(2)
the names and addresses of all persons owning stock in the electing small business 
corporation at any time during the taxable year;
(3)
the number of shares of stock owned by each shareholder at all times during the taxable 
year to each shareholder;
(4)
the date of each distribution to a shareholder; and
(5)
other information as the commission may prescribe by:
(a)
form; or
(b)
administrative rule made in accordance with 
Title 63G, Chapter 3, Utah 
Administrative Rulemaking Act
.
Section 13, Section 
59-10-1037
 is amended to read:
59-10-1037
Effective 
05/07/25
Applies beginning 
01/01/25
. Nonrefundable 
enterprise zone tax credit.
(1)
As used in this section:
(a)
"Business entity" means a claimant, estate, or trust that meets the definition of 
"business entity" as that term is defined in Section 
63N-2-202
.
(b)
"Office" means the Governor's Office of Economic Opportunity created in Section 
63N-1a-301
.
(2)
Subject to the provisions of this section, 
for a taxable year beginning before January 1, 
2025, 
a business entity may claim a nonrefundable enterprise zone tax credit as 
described in Section 
63N-2-213
.
(3)
The enterprise zone tax credit under this section is the amount listed as the tax credit 
amount on the tax credit certificate that the office issues to the business entity for the 
taxable year.
(4)
A business entity may carry forward a tax credit under this section for a period that does 
not exceed the next three taxable years, if the amount of the tax credit exceeds the 
business entity's tax liability under this chapter for that taxable year.
(5)
(a)
In accordance with Section 
59-10-137
, the Revenue and Taxation Interim 
Committee shall study the tax credit allowed by this section and make 
recommendations concerning whether the tax credit should be continued, modified, 
or repealed.
(b)
(i)
Except as provided in Subsection 
(5)(b)(ii)
, for purposes of the study required 
by this Subsection 
(5)
, the office shall provide by electronic means the following 
information, if available to the office, for each calendar year to the Office of the 
Legislative Fiscal Analyst:
(A)
the amount of tax credits provided in each development zone;
(B)
the number of new full-time employee positions reported to obtain tax credits 
in each development zone;
(C)
the amount of tax credits awarded for rehabilitating a building in each 
development zone;
(D)
the amount of tax credits awarded for investing in a plant, equipment, or other 
depreciable property in each development zone;
(E)
the information related to the tax credit contained in the office's latest report 
under Section 
63N-1a-306
; and
(F)
other information that the Office of the Legislative Fiscal Analyst requests.
(ii)
(A)
In providing the information described in Subsection 
(5)(b)(i)
, the office 
shall redact information that identifies a recipient of a tax credit under this 
section.
(B)
If, notwithstanding the redactions made under Subsection 
(5)(b)(ii)(A)
, 
reporting the information described in Subsection 
(5)(b)(i)
 might disclose the 
identity of a recipient of a tax credit, the office may file a request with the 
Revenue and Taxation Interim Committee to provide the information described 
in Subsection 
(5)(b)(i)
 in the aggregate for all development zones that receive 
the tax credit under this section.
(c)
As part of the study required by this Subsection 
(5)
, the Office of the Legislative 
Fiscal Analyst shall report to the Revenue and Taxation Interim Committee a 
summary and analysis of the information provided to the Office of the Legislative 
Fiscal Analyst by the office under Subsection 
(5)(b)
.
(d)
The Revenue and Taxation Interim Committee shall ensure that the 
recommendations described in Subsection 
(5)(a)
 include an evaluation of:
(i)
the cost of the tax credit to the state;
(ii)
the purpose and effectiveness of the tax credit; and
(iii)
the extent to which the state benefits from the tax credit.
Section 14, Section 
59-10-1042
 is amended to read:
59-10-1042
Effective 
01/01/26
. Nonrefundable tax credit for social security 
benefits.
(1)
As used in this section:
(a)
"Head of household filing status" means the same as that term is defined in Section 
59-10-1018
.
(b)
"Joint filing status" means the same as that term is defined in Section 
59-10-1018
.
(c)
"Married filing separately status" means a married individual who:
(i)
does not file a single federal individual income tax return jointly with that married 
individual's spouse for the taxable year; and
(ii)
files a single federal individual income tax return for the taxable year.
(d)
"Modified adjusted gross income" means the sum of the following for a claimant or, 
if the claimant's return under this chapter is allowed a joint filing status, the claimant 
and the claimant's spouse:
(i)
adjusted gross income for the taxable year for which a tax credit is claimed under 
this section;
(ii)
any interest income that is not included in adjusted gross income for the taxable 
year described in Subsection 
(1)(d)(i)
; and
(iii)
any addition to adjusted gross income required by Section 
59-10-114
 for the 
taxable year described in Subsection 
(1)(d)(i)
.
(e)
"Single filing status" means a single individual who files a single federal individual 
income tax return for the taxable year.
(f)
"Social security benefit" means an amount received by a claimant as a monthly 
benefit in accordance with the Social Security Act, 42 U.S.C. Sec. 401 et seq.
(2)
Except as provided in Section 
59-10-1002.2
 and Subsections 
(3)
 and 
(4)
, each claimant 
on a return that receives a social security benefit may claim a nonrefundable tax credit 
against taxes otherwise due under this part equal to the product of:
(a)
the percentage listed in Subsection 
59-10-104(2)
; and
(b)
the claimant's social security benefit that is included in adjusted gross income on the 
claimant's federal income tax return for the taxable year.
(3)
A claimant may not:
(a)
carry forward or carry back the amount of a tax credit under this section that exceeds 
the claimant's tax liability for the taxable year; or
(b)
claim a tax credit under this section for a taxable year if a tax credit under Section 
59-10-1019
 is claimed on the claimant's return for the same taxable year.
(4)
The tax credit allowed by Subsection 
(2)
 claimed on a return filed under this part shall 
be reduced by $.025 for each dollar by which modified adjusted gross income for 
purposes of the return exceeds:
(a)
for a 
federal individual income tax 
return 
filed under this chapter 
that is allowed a 
married filing separately status, $37,500;
(b)
for a 
federal individual income tax 
return 
filed under this chapter 
that is allowed a 
single filing status, $45,000;
(c)
for a 
federal individual income tax 
return 
filed under this chapter 
that is allowed a 
head of household filing status, $75,000; or
(d)
for a return 
filed 
under this chapter that is allowed a joint filing status, $75,000.
(5)
In accordance with 
Title 63G, Chapter 3, Utah Administrative Rulemaking Act
, the 
commission may make rules governing the calculation and method for claiming the tax 
credit described in this section.
Section 15, Section 
59-10-1045
 is amended to read:
59-10-1045
Effective 
01/01/26
Applies beginning 
01/01/25
. Nonrefundable tax 
credit for taxes paid by pass-through entity.
(1)
As used in this section, "taxed pass-through entity taxpayer" means a resident or 
nonresident individual who:
(a)
has income attributed to the individual by a pass-through entity;
(b)
receives the income described in Subsection 
(1)(a)
 after the pass-through entity pays 
the tax described in Subsection 
59-10-1403.2(2)
; and
(c)
adds the amount of tax paid on the income described in Subsection 
(1)(a)
 to adjusted 
gross income in accordance with Subsection 
59-10-114(1)(i)
.
(2)
(a)
A taxed pass-through entity taxpayer may claim a nonrefundable tax credit for the 
taxes imposed under Subsection 
59-10-1403.2(2)
.
(b)
The tax credit is equal to the amount of the tax paid under Subsection 
59-10-1403.2(2)
 by the pass-through entity on the income attributed to the taxed 
pass-through entity taxpayer.
(3)
(a)
A taxed pass-through entity taxpayer may carry forward the amount of the tax 
credit that exceeds the taxed pass-through entity taxpayer's tax liability for a period 
that does not exceed the next 
five
ten
 taxable years.
(b)
A taxed pass-through entity taxpayer may not carry back the amount of the tax credit 
that exceeds the taxed pass-through entity taxpayer's tax liability for the taxable year.
Section 16, Section 
59-10-1102.2
 is enacted to read:
59-10-1102.2
Effective 
05/07/25
Applies beginning 
01/01/25
. Removal of tax 
credit from tax return and prohibition on claiming a tax credit -- Conditions for removal 
and prohibition on claiming a tax credit -- Commission publishing requirements.
(1)
As used in this section, "tax return" means a tax return filed in accordance with this 
chapter.
(2)
Beginning two taxable years after the requirements of Subsection (3) are met:
(a)
the commission shall remove a tax credit allowed under this part from each tax return 
on which the tax credit appears; and
(b)
a claimant, estate, or trust filing a tax return may not claim the tax credit.
(3)
The commission shall remove a tax credit allowed under this part from a tax return and 
a claimant, estate, or trust filing a tax return may not claim the tax credit as provided in 
Subsection (2) if:
(a)
the total amount of the tax credit claimed by all claimants, estates, or trusts filing tax 
returns is less than $10,000 per year for three consecutive taxable years beginning on 
or after January 1, 2025; and
(b)
fewer than 10 claimants, estates, and trusts per year for the three consecutive taxable 
years described in Subsection (3)(a), file a tax return claiming the tax credit.
(4)
On or before the November interim meeting of the year after the taxable year in which 
the requirements of Subsection (3) are met, the commission shall report to the Revenue 
and Taxation Interim Committee by electronic means that in accordance with this 
section:
(a)
the commission is required to remove a tax credit from each tax return on which the 
tax credit appears; and
(b)
a claimant, estate, or trust filing a tax return may not claim the tax credit.
(5)
(a)
Within a 30-day period after the day on which the commission makes the report 
required by Subsection (4), the commission shall publish a list in accordance with 
Subsection (5)(b) stating each tax credit that the commission will remove from a 
return on which the tax credit appears.
(b)
The list shall:
(i)
be published on:
(A)
the commission's website; and
(B)
the public legal notice website in accordance with Section 
45-1-101
;
(ii)
include a statement that:
(A)
the commission is required to remove the tax credit from each return on which 
the tax credit appears; and
(B)
the tax credit may not be claimed on a return;
(iii)
state the taxable year for which the removal described in Subsection (5)(a) takes 
effect; and
(iv)
remain available for viewing and searching until the commission publishes a new 
list in accordance with this Subsection (5).
Section 17, Section 
63I-2-259
 is amended to read:
63I-2-259
Effective 
05/07/25
. Repeal dates: Title 59.
(1)
Subsection 
59-7-159(3)(b)(iii)
, referencing Section 
59-7-614.10
, is repealed December 
31, 2026.
(1)
(2)
Subsection 
59-7-610
(8), regarding claiming a tax credit in the same taxable year as 
the targeted business income tax credit, is repealed December 31, 2024.
(3)
Section 
59-7-614.10
, Nonrefundable enterprise zone tax credit, is repealed December 
31, 2026.
(2)
(4)
Subsection 
59-7-614.10
(5), regarding claiming a tax credit in the same taxable year 
as the targeted business income tax credit, is repealed December 31, 2024.
(3)
(5)
Section 
59-7-624
, Targeted business income tax credit, is repealed December 31, 
2024.
(6)
Subsection 
59-10-137(3)(b)(viii)
, referencing Section 
59-10-1037
, is repealed 
December 31, 2026.
(4)
(7)
Subsection 
59-10-210
(2)(b)(vi), regarding Section 
59-10-1112
, is repealed 
December 31, 2024.
(5)
(8)
Subsection 
59-10-1007
(8), regarding claiming a tax credit in the same taxable year 
as the targeted business income tax credit, is repealed December 31, 2024.
(9)
Section 
59-10-1037
, Nonrefundable enterprise zone tax credit, is repealed December 31, 
2026.
(6)
(10)
Subsection 
59-10-1037
(5), regarding claiming a tax credit in the same taxable 
year as the targeted business income tax credit, is repealed December 31, 2024.
(7)
(11)
Section 
59-10-1112
, Targeted business income tax credit, is repealed December 
31, 2024.
Section 18, Section 
63I-2-263
 is amended to read:
63I-2-263
Effective 
05/07/25
. Repeal dates: Titles 63A through 63O.
(1)
Title 63A, Chapter 2, Part 5, Educational Interpretation and Translation Services 
Procurement Advisory Council is repealed July 1, 2025.
(2)
Section 
63A-17-806
, Definitions -- Infant at Work Pilot Program -- Administration -- 
Report, is repealed June 30, 2026.
(3)
Section 
63C-1-103
, Appointment and terms of boards, committees, councils, and 
commissions transitioning on October 1, 2024, or December 31, 2024, is repealed July 
1, 2025.
(4)
Section 
63C-1-104
, Appointment and terms of boards transitioning on October 1, 2024, 
is repealed January 1, 2025.
(5)
Title 63C, Chapter 29, Domestic Violence Data Task Force, is repealed October 1, 2024.
(6)
Subsection 
63G-6a-802
(1)(e), regarding a procurement for a presidential debate, is 
repealed January 1, 2025.
(7)
Subsection 
63G-6a-802
(3)(b)(iii), regarding a procurement for a presidential debate, is 
repealed January 1, 2025.
(8)
Subsection 
63H-7a-403
(2)(b), regarding the charge to maintain the public safety 
communications network, is repealed July 1, 2033.
(9)
Subsection 
63J-1-602.2(3)
, regarding funding the Enterprise Zone Act, is repealed 
December 31, 2026.
(9)
(10)
Subsection 
63J-1-602.2
(47), regarding appropriations to the State Tax 
Commission for deferral reimbursements, is repealed July 1, 2027.
(10)
(11)
Section 
63M-7-221
, Expungement working group, is repealed April 30, 2025.
(11)
(12)
Section 
63M-7-504
, Crime Victim Reparations and Assistance Board -- 
Members, is repealed December 31, 2024.
(12)
(13)
Section 
63M-7-505
, Board and office within Commission on Criminal and 
Juvenile Justice, is repealed December 31, 2024.
(13)
(14)
Title 63M, Chapter 7, Part 6, Utah Council on Victims of Crime, is repealed 
December 31, 2024.
(14)
(15)
Subsection 
63N-2-213
(12)(a), regarding claiming a tax credit in the same taxable 
year as the targeted business income tax credit, is repealed December 31, 2024.
(16)
Title 63N, Chapter 2, Part 2, Enterprise Zone Act, is repealed December 31, 2026.
(15)
(17)
Title 63N, Chapter 2, Part 3, Targeted Business Income Tax Credit in an 
Enterprise Zone, is repealed December 31, 2024.
Section 19. 
Effective Date.
(1)
Except as provided in Subsection 
(2)
, this bill takes effect on May 7, 2025.
(2)
The actions affecting the following sections take effect for a taxable year beginning on 
or after January 1, 2026:
(a)
Section 
19-12-203
 (Effective 01/01/26);
(b)
Section 
59-1-402
 (Effective 01/01/26);
(c)
Section 
59-1-1801
 (Effective 01/01/26);
(d)
Section 
59-1-1802
 (Effective 01/01/26);
(e)
Section 
59-10-104.1
 (Effective 01/01/26);
(f)
Section 
59-10-114
 (Effective 01/01/26);
(g)
Section 
59-10-510
 (Effective 01/01/26); and
(h)
Section 
59-10-1042
 (Effective 01/01/26).
Section 20. 
Retrospective operation.
The following sections have retrospective operation for a taxable year beginning on or 
after January 1, 2025:
(1)
Section 
59-7-614
;
(2)
Section 
59-7-614.10
;
(3)
Section 
59-10-1037
;
(4)
Section 
59-10-1045
; and
(5)
Section 
59-10-1102.2
.
3-7-25 10:50 AM