Questions & Answers

If I paid some sales tax on my purchases, do I get credit against use tax for that amount already paid?

If the tax rate in the other state is lower than Utah's rate, the person or consumer must pay the difference. However, you do get a credit against the use tax due for the sales or use tax you have already paid.

For example, if you paid sales tax to a state whose tax rate is lower than the Utah tax rate, when figuring your use tax, you would get a credit for the sales tax you already paid to the other state.

Use the following instructions when figuring your use tax owed:

  1. Total amount of purchases (except grocery food) subject to use tax
  2. Use tax rate (found here)
  3. Use tax (multiply line 1 by line 2)
  4. Amount of grocery food purchases subject to use tax
  5. Multiply line 4 by 0.03
  6. Add line 3 and line 5
  7. Credit for sales tax already paid to another state
  8. Use tax due (subtract line 7 from line 6) Enter ZERO if less than ZERO

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