Utah taxes capital gains at 4.65%. Combined with federal taxes, your effective rate on a home sale could reach 23.4%.
UT State Rate
4.65%
Flat tax rate
Federal Rate
15%
Most common long-term bracket
Combined Effective
23.4%
On $150K taxable gain (example)
After the $250K/$500K exclusion, here's what a typical seller might owe.
If Utah is where your primary residence is located and you've lived there at least 2 of the last 5 years, you can exclude up to $250K (single) or $500K (married filing jointly) of your capital gain from both federal and state taxes.
Investment and rental properties in Utah don't qualify for the exclusion. You'll owe 4.65% state tax plus federal tax on the full gain, plus 25% depreciation recapture on any depreciation claimed.
In Utah, homes sold in January sell for 11% more than those sold in August (-7%). Timing your sale right can offset a significant portion of your tax bill.
Capital gains tax rates on home sales in Utah and nearby states.
| State | Rate | Tax on $150K Gain | Notes |
|---|---|---|---|
Wyoming0% | 0% | $0 | No state income tax |
Nevada0% | 0% | $0 | No state income tax |
| 2.5% | $3,750 | Flat tax rate | |
| 4.4% | $6,600 | Flat tax rate | |
UtahYou | 4.65% | $6,975 | Flat tax rate |
| 5.695% | $8,543 | Flat tax rate |
Selling in Wyoming instead of Utah would save $6,975 in state tax on a $150K gain.
Utah taxes capital gains at a flat 4.65% rate. The flat rate is straightforward for tax planning.
The Salt Lake City metro and Utah County (Provo/Orem) have seen strong appreciation driven by the tech sector.
Utah does not offer a preferential capital gains rate. All income is taxed uniformly at 4.65%.
The state's strong population growth and limited buildable land (mountains, public land) have driven significant appreciation in the Wasatch Front corridor.
Offering buyer concessions?
Our sister tool helps you model different scenarios and maximize your position.