Threshold rules for this state are being re-verified
At least one detail on this page could only be confirmed from a secondary source, or an official source was silent (for example, whether marketplace sales count toward your own threshold is not stated in the official sources we reviewed). Check the official source before you rely on it.
Utah Sales Tax Nexus: Economic Nexus Threshold (2026)
Utah's economic nexus threshold for remote sellers is $100,000 in sales, measured over the previous or current calendar year. The official guidance we reviewed does not say whether marketplace sales count toward Utah's threshold. Inventory or another physical presence in Utah generally creates nexus regardless of sales. The state rate is 4.85%, plus local taxes.
Utah sales tax nexus: key facts
| Sales threshold | $100,000 |
|---|---|
| Transaction threshold | None |
| Test | Sales only |
| What counts | More than $100,000 gross revenue from sales of TPP, products transferred electronically, or services for storage, use or consumption in Utah |
| Measurement period | Previous or current calendar year |
| Marketplace sales count toward your threshold? | Unclear (not stated in official sources reviewed) |
| Marketplace facilitator law | Yes: marketplaces generally collect on the sales they facilitate |
| State rate | 4.85% |
| Local sales taxes | Yes, in addition to the state rate |
| Current threshold effective | July 1, 2025 |
| Recent change | Yes, see the note below |
| Registration | Official registration page |
| Last researched | September 23, 2026 |
The state rate is the statewide state-level rate only. Local and district rates are extra where they apply.
Recent change
S.B. 47 (2025 General Session, 'Sales and Use Tax Remittance Amendments') repealed the 200-transaction test effective July 1, 2025. Only the $100,000 gross revenue test remains.
Quick check: do you have nexus in Utah?
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What to do after crossing the Utah threshold
We did not find a specific start-date rule for Utah in the sources reviewed. Check the official guidance before you begin collecting.
- Confirm the numbers. Check your Utah sales against the measure and period in the key facts above.
- Register before you collect. Use Utah's official registration page. Collecting a state's tax without a registration is generally not allowed.
- Collect and file. Charge Utah sales tax (plus any local taxes that apply at the delivery address) on taxable sales from the start date, and file returns on the schedule the state assigns. Marketplaces generally collect on the sales they facilitate, so you usually collect on your direct sales.
- Look back. If you crossed the threshold in an earlier period and did not register, get advice on those periods. Many states have voluntary disclosure programs that may limit penalties.
Physical presence and inventory in Utah
Per Pub 25, a seller has physical presence if it has or uses an office, distribution house, warehouse or other place of business in Utah, maintains a stock of goods or inventory in Utah, regularly delivers other than by common carrier, or regularly leases or services property in Utah. FBA/3PL inventory in Utah creates physical nexus. Related-seller (affiliate) nexus rules also apply.
Marketplace sellers in Utah
Do marketplace sales count toward your own threshold? Unclear (not stated in official sources reviewed).
Since Oct 1, 2019 marketplace facilitators with Utah nexus must license and collect on facilitated sales, and they determine nexus separately for direct and facilitated sales. Marketplace sellers do not need a license for facilitated sales unless they have Utah nexus, and licensed marketplace sellers do not report marketplace sales. Official guidance I could access does not say whether facilitated sales count toward a remote seller's own $100,000. The current statute text (Utah Code 59-12-107) could not be retrieved.
Other things to know about Utah
- Full SSUTA member. Register through Taxpayer Access Point (tap.utah.gov) or sstregister.org.
- The combined rate always includes a statewide local option (1.00%) and county option (0.25%) on top of the 4.85% state rate, so the effective minimum general rate is 6.10%, with more local add-ons by location.
- Grocery food is taxed at a reduced state rate of 1.75% (3% combined statewide).
- The 200-transaction test ended July 1, 2025. Some Tax Commission publications (e.g., Pub 25, Rev. 10/25) still mention 200 sales, but the Commission's remote-seller page reflects the repeal.
Frequently asked questions
What is the Utah economic nexus threshold?
$100,000 in sales, measured over the previous or current calendar year. What counts: More than $100,000 gross revenue from sales of TPP, products transferred electronically, or services for storage, use or consumption in Utah.
Do marketplace sales count toward the Utah threshold?
Unclear (not stated in official sources reviewed). Since Oct 1, 2019 marketplace facilitators with Utah nexus must license and collect on facilitated sales, and they determine nexus separately for direct and facilitated sales. Marketplace sellers do not need a license for facilitated sales unless they have Utah nexus, and licensed marketplace sellers do not report marketplace sales. Official guidance I could access does not say whether facilitated sales count toward a remote seller's own $100,000. The current statute text (Utah Code 59-12-107) could not be retrieved.
Does FBA or 3PL inventory in Utah create nexus?
Per Pub 25, a seller has physical presence if it has or uses an office, distribution house, warehouse or other place of business in Utah, maintains a stock of goods or inventory in Utah, regularly delivers other than by common carrier, or regularly leases or services property in Utah. FBA/3PL inventory in Utah creates physical nexus. Related-seller (affiliate) nexus rules also apply.
Does Utah have a transaction-count test?
No. Utah uses only the dollar threshold. S.B. 47 (2025 General Session, 'Sales and Use Tax Remittance Amendments') repealed the 200-transaction test effective July 1, 2025.
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- State-by-state review of your sales and inventory locations
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Disclaimer: This page provides general information for educational purposes and is not tax, legal or accounting advice. State rules change, and whether you have nexus can depend on facts not covered here. Confirm with Utah's official guidance or a qualified professional before acting. RAHA Financials is not affiliated with any state tax agency.
Sources
- Primary official source: https://tax.utah.gov/business/sales-tax/other-sales-tax/out-of-state-remote-sellers/
- tax.utah.gov: https://tax.utah.gov/business/sales-tax/other-sales-tax/marketplace-facilitators/
- tax.utah.gov: https://tax.utah.gov/forms/pubs/pub-25.pdf
- le.utah.gov: https://le.utah.gov/~2025/bills/static/SB0047.html
