Utah Military Installation Development Accommodations Tax Authorized

A new Utah tax on accommodations in military development project areas is authorized. The Military Installation Development Authority may impose the tax on providers of accommodations located on authority-owned or other government-owned property within a project area.

Tax Rate

The authority may impose the tax at a maximum rate of 15% of the amounts paid or charged for accommodations and services. Amounts paid or charged for accommodations and services include only those amounts that are part of the rental room rate.

Recovery of Tax From Customers

Providers may recover an amount equal to the tax from customers. To do so, they must include the amount as a separate line item on their customers’ bills.

Other Taxes

If the authority imposes the tax, neither the authority nor a public entity may impose, on the amounts paid or charged for accommodations and services, any:

  • sales and use tax; or
  • state transient room tax.

S.B. 240, Laws 2018, effective May 8, 2018

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CCHTaxGroup

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