2024 Bills

HB 510: Removing Income Tax for Minors

To track the status of this bill, find it on our Legislation Tracker. Click here to contact the sponsor of the bill to share your thoughts, or click here to email your Senator and Representative about it.

Libertas Institute supports this bill

Staff review of this legislation finds that it aligns with our principles and should therefore be passed into law.

Should the state of Utah join Nevada, Wyoming, Florida and other states and eliminate its state income tax? It would certainly let workers keep more of their paycheck, but such an effort would probably take years of coordination.

What wouldn’t take years is an effort this legislative session to make minors W-2 income exempt from Utah’s state income tax, which currently sits at 4.65%. The bill is House Bill 510 (HB 510) and is sponsored by Representative Kera Birkeland.

Due to thresholds to have state income tax apply, this bill would bring relief mostly to sixteen or seventeen year olds who work consistently throughout a particular year. Because the bill is limited to W-2 income, the bill does not apply to income earned through self-employment received in other forms.

Because the bill brings relief to the most hard-working of youth, it deserves support.