In a year when a booming economy and past tax hikes brought in half a billion dollars more to spend than expected, lawmakers voted to give tax cuts to companies in the hope of continuing rapid economic growth.
The state will take in an additional $80 million that’s expected to result from recent tax changes by Congress and has dedicated about a third of it to cover a tax cut for businesses. The remainder paid the way for lowering the income tax rate that corporations and individuals pay, from 5 percent to 4.95 percent.
Some families will still see their state tax bills climb next year, according to state estimates, as the federal tax cuts eliminated some exemptions that Utah’s tax code uses to determine state taxes.