Sales tax is a tax imposed by state and local governments on the sale of goods and services and is usually calculated as a percentage of the sale price. Sales tax is sometimes referred to as retail sales tax.
In Utah, sales tax is a tax levied on the sale of most goods and some services by state and local governments. The state sales tax rate is 4.85% as of my knowledge cutoff in 2023. However, localities can add their own sales taxes on top of the state rate, which can make the total sales tax rate higher depending on the specific location within the state. These local sales taxes are used to fund various local projects and services. The sales tax is generally collected by the retailer at the point of sale and then remitted to the state tax commission. Certain goods and services may be exempt from sales tax or taxed at a reduced rate, and businesses are responsible for understanding and complying with these tax regulations. It's important for consumers and businesses to be aware of the specific sales tax rates that apply to their transactions, as they can vary by locality.