Summary
- Under Senate Bill 162 (signed 23 March 2026), Utah has widened its sales and use tax to cover streaming and subscription-based digital services from 1 July 2026, shifting the focus from whether content is downloaded/owned to whether a customer pays for access. [vatcalc.com], [pwc.com]
- Newly taxable items include video and music streaming, e-books, gaming services/subscriptions, digital audio-visual and audio works, prewritten software and many SaaS offerings — with the taxable event being payment for access rather than transfer of the product. [vatcalc.com], [fandlgagnon.com]
- The law also codifies that prewritten software is taxable regardless of delivery method (including cloud/seller-hosted), while confirming that transactions already taxed under Utah’s Multi-Channel Video or Audio Service Tax Act are exempt to avoid double taxation. [pwc.com], [vatcalc.com]
External links
- US Utah sales tax on digital services update – VATCalc [vatcalc.com]
- Utah clarifies sales tax on streaming, subscriptions, and seller-hosted prewritten software – PwC [pwc.com]
- Utah Expands Sales Tax to Digital Goods and Software Effective July 1, 2026 – FandlGagnon [fandlgagnon.com]
