Does Utah Tax Social Security?
Utah taxes Social Security at its flat rate but grants a full tax credit below income limits raised in 2025 — $54,000 (single) and $90,000 (married filing jointly / head of household) — so most middle-income Utah retirees owe nothing; the credit phases out above the limits.
Utah is one of only 8 states that tax Social Security benefits in 2026.
State Tax Rate
4.45% flat (2026)
Who's Exempt
Full credit below $54K single / $90K joint income limits
Who is exempt from Utah's Social Security tax?
Available Exemptions & Deductions
- A nonrefundable credit equal to the Utah tax on your benefits, available below income limits raised by SB 71 (2025): $54,000 (single), $90,000 (married filing jointly / head of household), $45,000 (married filing separately).
- The credit phases out at 2.5 cents per dollar of income over the threshold.
- Beginning tax year 2025, the credit is computed on Utah state taxable income rather than federal adjusted gross income.
Key facts about Utah and Social Security
Utah’s flat income tax rate is 4.45% for 2026 (cut from 4.5% in 2025 by SB 60, retroactive to January 1, 2026).
Utah lawmakers debated full repeal of the Social Security tax in 2025 and instead raised the credit’s income limits (SB 71) — full repeal remains an active legislative topic.
Utah is one of the few states that still taxes benefits at any income level once the credit fully phases out.
Tax-smart strategy for Utah residents
For Utah retirees near the credit’s phase-out band, each extra dollar of income costs both ordinary tax and 2.5 cents of credit — an effective marginal rate well above the flat 4.55%. Income smoothing around the band is the highest-leverage move.
Frequently Asked Questions
About Utah Social Security tax
The other states that tax Social Security in 2026
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Our engine factors in Utah's exemptions and thresholds to show your true after-tax Social Security benefit.