For best results, please update your browser to the latest version
In 2005, the Utah Legislature adopted legislation to enact SST's point of delivery sourcing requirements effective July 1, 2006. The adopted legislation instructed sellers to collect required sales and use tax based on the point of delivery for each customer.
The point of delivery sourcing requirement was repealed during the Legislature's 2006 General Session.
During the 2006 General Session, the Utah Legislature adopted S.B. 233, Sales and Use Tax Revisions. In part, S.B. 233 eliminated point of delivery sourcing for required sales and use tax. This means that Utah sellers will continue to collect and remit sales and use tax in the traditional point of sale manner.
Point of sale means that for sellers with one or more fixed places of business, sales will continue to be sourced at the place of business where the sales occur, regardless of whether the goods are delivered. For sellers with a non-fixed place of business (e.g. vending machine operators, mobile tool companies, etc.), sales will continue to be sourced to where the sales take place. If a business sells merchandise that is shipped from outside Utah direct to a consumer in Utah, and if the seller engages in business in Utah (has nexus), then the sale is sourced to the location of the purchaser.
The information presented herein regarding point of sale versus point of delivery sourcing is subject to change based on further action by the Utah Legislature. Sellers are cautioned to check the Tax Commission's website prior to each calendar quarter to obtain up-to-date sales and use tax information and rate changes.
Current information can be obtained from the Tax Commission website, by calling the Technical Research Unit at (801) 297-7705 or 1-800-662-4335, ext. 7705, or by email to TaxMaster@utah.gov (please allow 24-hour response time).