11-26 - Limitations on Local Taxes and Fees

Title 11 > 11-26

Sections (4)

Local Charges on a Public Service Provider

11-26-201 - Definitions — Ceiling on local charges based on gross revenue of public service provider.

(1) As used in this part: “Local charge” means one or more of the following charges paid by a public service provider to a county or municipality:a tax;a license;a fee;a license fee;a license tax; ora charge similar to Subsections (1)(a)(i) through (v).”Municipality” means:a city; ora town.”Public service provider” means a person engaged in the business of supplying taxable energy as defined in Section 10-1-303.

(2) A county or a municipality may not impose upon, charge, or collect from a public service provider local charges: imposed on the basis of the gross revenue of the public service provider;derived from sales, use, or both sales and use of the service within the county or municipality; andin a total amount that is greater than 6% of gross revenue.

(3) The determination of gross revenue under this section may not include: the sale of gas or electricity as special fuel for motor vehicles; ora local charge.

(4) This section may not be construed to: affect or limit the power of a county or a municipality to impose sales and use taxes under:Title 59, Chapter 12, Sales and Use Tax Act; orTitle 10, Chapter 1, Part 3, Municipal Energy Sales and Use Tax Act; orgrant any county or municipality the power to impose a local charge not otherwise provided for by law.

(5) This section takes precedence over any conflicting provision of law.

Renumbered and Amended by Chapter 283, 2018 General Session

11-26-202 - Exemption of municipality from taxation limitation.

A municipality is exempt from this limit by a majority vote of the municipality’s voters who vote in a municipal election.

Renumbered and Amended by Chapter 283, 2018 General Session

Transportation Utility Fee

11-26-301 - Definitions — Prohibition on imposition of transportation utility fee.

(1) As used in this section: “Legal subdivision” means a local government that is recognized by Utah Constitution, Article XI.”Legal subdivision” does not include a local government that Utah Constitution, Article XI, only authorizes the Legislature to create.”Municipality” means the same as that term is defined in Section 10-1-104.”Transportation utility fee” means an ongoing, regular fee imposed:by a municipality for the purpose of maintaining public roads; andon utility customers within the municipality.

(2) A municipality may not impose a transportation utility fee on a legal subdivision.

(3) This section does not grant to a municipality any authority not otherwise provided for by law to impose a transportation utility fee.

Amended by Chapter 391, 2020 General Session

Car Sharing Taxes, Fees, and Charges

11-26-401 - Definitions — Prohibition on car sharing program taxes, fees, and other charges.

(1) As used in this part:“Car sharing” means the same as that term is defined in Section 13-48a-101.”Local political subdivision” means the same as that term is defined in Section 11-14-102.”Rental” means the same as the terms “lease” or “rental” are defined in Section 59-12-102.

(2) A local political subdivision may not impose a tax, fee, or charge on the gross proceeds or gross income of a car sharing transaction that the local political subdivision does not impose on other transactions involving the rental of a motor vehicle without a driver.

Amended by Chapter 16, 2025 Special Session 1