UT · payroll profile

Utah

Everything an out-of-state employer needs before running a Utah payroll: what to withhold, which form the employee signs, whether reciprocity applies, and who to register with.

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Personal income tax
Flat 4.45%
Reciprocal agreements
None
SUI wage base 2026
$50,700
Local income taxes
No

Income tax withholding

Imposes wage income tax Yes
Rate structure Flat 4.45%
Withholding certificate Federal Form W-4
Employee's Withholding Certificate (Utah uses the federal W-4; no separate state certificate)
Accepts federal Form W-4 Yes
Convenience-of-the-employer rule No
Nonresident withholding threshold 20 days
Per Utah Pub 14: do not withhold Utah tax for a nonresident employee who (1) has no other sources of Utah income, (2) works in Utah for 20 days or less, and (3) is a resident of a state that either has no income tax or provides a substantially similar exclusion for nonresidents (mutuality requirement). COST phrases this as 'more than 21 days'; the Pub 14 language ('20 days or less') is used here.
Local income taxes No
No local personal income or wage taxes in Utah.

Reciprocity

States that exempt Utah residents

A Utah resident working in these states files that state's certificate and is taxed only by Utah.

Unemployment insurance and paid leave

Taxable wage base 2026 $50,700
2025 base was $48,900.
New employer rate varies by industry
New employers are assigned the average contribution rate for their industry, so there is no single statewide new-employer rate.
Experience rate range 0.2% – 7.2%
Experience-rating method benefit ratio
Employee UI contribution No
Paid family / medical leave No

Employer registration

Tax agency
Utah State Tax Commission
UI agency
Utah Department of Workforce Services

Sources

tax.utah.gov · tax.utah.gov · taxfoundation.org · oui.doleta.gov · oui.doleta.gov · oui.doleta.gov

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This is a determination aid, not advice. StateSide encodes published state rules and applies them mechanically to the facts you enter. It does not know your entity structure, your nexus history, your equity compensation, or the dozens of exceptions that turn a clean rule into a judgement call. Every determination cites the state source it came from — verify against that source, and take anything consequential to a payroll tax professional before you act on it.