Unpopular, but Truthful: Eliminating the Sales Tax on Food Is a Bad Idea

Volume 46 | December 2021 Newsletter

The Utah Taxpayer - December 2021

A Very Unpopular Statement But A Truthful One: Eliminating the Sales Tax on Food Is a Bad Idea

Whenever the debate surrounding the sales tax on food reignites, hyperbole and emotion sometimes get in the way of facts and data. Your Taxpayers Association would like to explain a few facts that seem to always be missing from the conversation.

Since 2008, purchases of unprepared food or groceries have been taxed at a reduced state tax rate of 1.75% instead of the full state rate, which is currently at 4.85%. There is another 1.25% local sales tax on food for a total of 3%, however this article is only discussing the 1.75% state sales tax rate.

What could happen if we eliminate the sales tax on food?

Recapping 2021: Your Taxpayers Association Victories and Looking Ahead to 2022

Throughout 2021, your Taxpayers Association advocated on behalf of taxpayers across the state with great success, and also identified ways to help taxpayers headed into the future. Here are just a few of the things we accomplished so far this year.

Thanks to you, we've accomplished so much.

Guest Commentary from Scott Smith: Commission and Association Work to Clarify Auditing Process

In many ways the goals of the Taxpayers Association and the Auditing Division of the Utah State Tax Commission go hand in hand. The Taxpayers Association pushes to ensure that taxes are low and fair. The Auditing Division strives to make sure all taxpayers pay their fair share of taxes based on the laws as enacted by the legislature. Keeping in mind that the Auditing Division does not create tax law, but only administers the laws as enacted, if everyone pays their fair share then taxes can remain as low as possible.

Scott Smith, Executive Director of the Utah State Tax Commission

Final Interim Committee Hearings of 2021 Move Towards Progress for Taxpayers

The November interim committee hearings are often a preview of what will appear during the 2022 General Session.

Gas, sales, property, and income taxes may all be affected.

What's coming up?

New Association Report Finds that On Average, Utahns Pay $1,025 in Taxes and Fees to County Government

The Utah Taxpayers Association just released its annual report, the “2021 Cost of County Government.” The report, based on 2019/2020 data, shows the relationship between county government revenue and citizen income in Utah’s 29 counties.

On average, Utah county governments take $39.11 of each $1,000 earned by residents in the county.

How does your county rank?

SAVE THE DATE:

Wednesday, January 12, 2022 is the 2022 Legislative Outlook Conference

The 2022 Legislative Outlook Conference will preview tax issues that are likely to arise during the 2022 Legislative Session.

The event begins at 9 a.m. Stay tuned for a detailed agenda! The event is at the Little America Hotel in downtown Salt Lake City.

You can choose to attend in person or online.

Sponsorship opportunities are available. Please contact autumn@utahtaxpayers.org to learn more.

Association Accomplishments in November

Presented in the Revenue and Taxation Interim Committee hearing on lowering tax burden for seniors and businesses in eastern Utah
Testified in the Transportation Interim Committee about equalizing funding for transportation infrastructure
Held the annual General Membership meeting
Published the Cost of County Government report
Attended the Americans for Tax Reform conference
Began planning for the 2022 Legislative Outlook Conference

In The News

Which Utahns pay more county taxes?

Utah Taxpayers Association Calls for Income Tax Cut

KJZZ

Taxpayers Association Estimates Cost of City, County Governments in Utah

Cache Valley Daily

Looking at the Tax Burden in Utah Counties

KUER