IPCPR Legislative | Operating Your Business in Utah

Operating Your Business in Utah

utah

Operating Your Business in Utah

All manufacturers and distributors of all tobacco products who are responsible for the collection of tax on tobacco products, and all retailers of all tobacco products must register with the Utah State Tax Commission and obtain both a Sales and Use Tax License and a Cigarette and Tobacco License by filing the Utah State Business and Tax Registration (Form TC-69). There is an initial license fee of $30 per location, and distributors must also submit a Tobacco Tax Surety Bond (Form TC-763T) for at least $500. Cigarette and Tobacco Licenses are valid for 3 years from the date of issue and may be renewed electronically for $20 per location through the Taxpayer Access Point at https://tap.tax.utah.gov/TaxExpress/_/.

 

Utah Code § 59-14-301: Registration and licensing; Fee; Bond exceptions
Utah Code § 59-14-202: Issuance of licenses; Common carrier licenses; Contents; Valid for three years; Revocation; Distribution requirements

 

Tobacco products distributors must file a Tobacco Products Tax Return (Form TC-553) on or before the last day of the month following each calendar quarter, along with payment for taxes due. Consumers who purchases untaxed products subject to the tax are also liable for payment. Returns may be filed electronically through the Taxpayer Access Point at https://tap.tax.utah.gov/TaxExpress/_/.

 

Utah Code § 59-14-303: Remittance of tax; Returns; Invoice required; Filing requirements; Reports; Exceptions; Penalties; Overpayments

 

Hookah establishments may allow smoking and drinking in their establishments if they:

  • Certified to the Department of Health by July 1, 2012 that they met the requirements for the exemption and
  • Obtained a Certificate of Exemption from the Department of Health
  • Requirements
    • Prior to January 1, 2012:
      • The establishment had and continues to have a Class C or D liquor license;
      • The establishment sold a mixture of tobacco and other flavors for the purpose of heating, inhaling, and exhaling the tobacco mixture through a hookah pipe in the establishment; and
      • The sale of the mixture of tobacco and other flavors for use in a hookah pipe in the establishment constituted at least 10% of the establishment’s gross sales; AND
    • During the period of the exemption, the establishment:
      • Maintains its Class C or D liquor license;
      • Admits only individuals 21 years of age and older into the establishment;
      • Prominently displays signs on the premises and in advertisements that disclose the dangers of second hand smoke and inhaling tobacco in accordance with administrative rules adopted by the Department of Health;
      • Requires that only tobacco products sold by the establishment may be heated, inhaled, and exhaled in the establishment; and
      • May not sell a product for use in a hookah that contains more than 30% tobacco or more than .05% nicotine
    • This exemption will sunset on July 1, 2017.

 

Utah Code § 26-38-2.5: Temporary exemption for certain restrictions on heated tobacco
Utah Admin. Code R392-510-14: Temporary exemption

 

Localities may require additional business licenses.

Utah State Tax Commission: Cigarette & Tobacco Taxes
http://tax.utah.gov/tobacco

 

Tax Information for Retailers, Distributors, and Stampers of Cigarettes and Tobacco Products
http://tax.utah.gov/forms/pubs/pub-65.pdf

 

Form TC-69: Utah State Business and Tax Registration
http://tax.utah.gov/forms/current/tc-69.pdf

 

Form TC-763T: Tobacco Tax Surety Bond
http://tax.utah.gov/forms/current/tc-763t.pdf

 

Form TC-553: Tobacco Products Tax Return
http://tax.utah.gov/forms/2011/tc-553.pdf

 

Utah’s Taxpayer Access Point
https://tap.tax.utah.gov/TaxExpress/_/

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