Collection of Utah Sales Tax

Sales Tax License

All schools that are required to collect sales tax must have a sales tax license from the Tax Commission.

Each school engaging in taxable sales should obtain its own tax license.

Applications for sales tax licenses are available through the Tax Commission. When completing an

application, be sure to include the proper name of the school and the name of a contact person who will

be responsible for filing returns.

Once a license has been issued, preprinted personalized returns will be mailed approximately four

weeks before the return is due. If returns are not received, the school is responsible for obtaining blank

return forms and filing by due date, even if no tax is due for the period.

Filing Requirements

Filing periods are determined by the Tax Commission. If the sales tax liability is less than $1,000 per

year, tax returns must be filed annually. If the sales tax liability is up to $50,000 per year, returns must

be filed quarterly. If the sales tax liability is more than $50,000 per year, returns must be filed monthly.

A tax return must be filed whether or not tax is due for a particular period. Tax records are subject to

audit by the Tax Commission.

Penalties and Interest

The penalty for failure to file a tax due return by the due date is the greater of $20 or 10 percent of the

unpaid tax. Additionally, a second penalty, the greater of $20 or 10 percent of the tax balance, will be

charged if a tax balance remains unpaid 90 days after the due date. The penalty for failure to pay as

reported on a timely filed return or within 30 days of a notice of deficiency is the greater of $20 or 10

percent of the tax due.

What's Taxable and What's Not?

The State Tax Commission Publication 35 “Sales Tax Information for Public and Private Elementary and

Secondary Schools” answers this question by providing a lengthy list of taxable and non-taxable sales at

schools. This publication is included in the Appendix for reference.