Utah Code § 59-12-401 — Resort communities tax authority for cities, towns, and certain authorities and certain counties -- Base -- Rate -- Collection fees

(1)
(a) In addition to other sales and use taxes, a city or town in which the transient room capacity as defined in Section 59-12-405 is greater than or equal to 66% of the municipality's permanent population may impose a sales and use tax of up to 1.1% on the transactions described in Subsection 59-12-103(1) located within the city or town.
(b) Notwithstanding Subsection (1)(a), a city or town may not impose a tax under this section on:
(i)
(A) the sale of a motor vehicle, an aircraft, a watercraft, a modular home, a manufactured home, or a mobile home;
(B) the sales and uses described in Section 59-12-104 to the extent the sales and uses are exempt from taxation under Section 59-12-104; and
(C) except as provided in Subsection (1)(d), amounts paid or charged for food and food ingredients;
(ii) transactions that occur in the district sales tax area, as defined in Subsection (4), if the fairpark district, as defined in Subsection (4), has imposed a tax under Subsection (4);
(iii) transactions that occur within a project area described in a project area plan adopted by the military installation development authority under Title 63H, Chapter 1, Military Installation Development Authority Act, if the military installation development authority has imposed a tax under Subsection (3);
(iv) transactions that occur within the sales and use tax boundary of a major sporting event venue zone under Title 63N, Chapter 3, Part 17, Major Sporting Event Venue Zone Act, if the creating entity of the major sporting event venue zone has imposed a tax under Subsection (5).
(c) For purposes of this Subsection (1), the location of a transaction shall be determined in accordance with Sections 59-12-211 through 59-12-215.
(d) A city or town imposing a tax under this section shall impose the tax on the purchase price or the sales price for amounts paid or charged for food and food ingredients if the food and food ingredients are sold as part of a bundled transaction attributable to food and food ingredients and tangible personal property other than food and food ingredients.
(2)
(a) An amount equal to the total of any costs incurred by the state in connection with the implementation of Subsection (1) which exceed, in any year, the revenues received by the state from its collection fees received in connection with the implementation of Subsection (1) shall be paid over to the state General Fund by the cities and towns which impose the tax provided for in Subsection (1).
(b) Amounts paid under Subsection (2)(a) shall be allocated proportionally among those cities and towns according to the amount of revenue the respective cities and towns generate in that year through imposition of that tax.
(3)
(a) Subject to Section 63H-1-203, the military installation development authority created in Section 63H-1-201 may impose a tax under this section on the transactions described in Subsection 59-12-103(1) located within a project area described in a project area plan adopted by the authority under Title 63H, Chapter 1, Military Installation Development Authority Act, as though the authority were a city or a town.
(b) For purposes of calculating the permanent population within a project area, the board, as defined in Section 63H-1-102, shall:
(i) use the actual number of permanent residents within the project area as determined by the board;
(ii) include in the calculation of transient room capacity the number, as determined by the board, of approved high-occupancy lodging units, recreational lodging units, special lodging units, and standard lodging units, even if the units are not constructed;
(iii) adopt a resolution verifying the population number; and
(iv) provide the commission any information required in Section 59-12-405.
(c) Notwithstanding Subsection (1)(a), a board as defined in Section 63H-1-102 may impose the sales and use tax under this section if there are no permanent residents.
(4)
(a) As used in this Subsection (4):
(i) "District sales tax area" means the same as that term is defined in Section 11-70-101.
(ii) "Fairpark district" means the Utah Fairpark Area Investment and Restoration District, created in Section 11-70-201.
(iii) "Fairpark district board" means the board of the fairpark district.
(b) Beginning October 1, 2024, the fairpark district, by resolution of the fairpark district board, may impose a tax under this section, as though the fairpark district were a city or town, on transactions described in Subsection 59-12-103(1) located within the district sales tax area.
(c) For purposes of calculating the permanent population within the district sales tax area, the fairpark district board shall:
(i) use the actual number of permanent residents within the district sales tax area as determined by the fairpark district board;
(ii) include in the calculation of transient room capacity the number, as determined by the fairpark district board, of approved high-occupancy lodging units, recreational lodging units, special lodging units, and standard lodging units, even if the units are not constructed;
(iii) adopt a resolution verifying the population number; and
(iv) provide the commission any information required in Section 59-12-405.
(d) Notwithstanding Subsection (1)(a), the fairpark district may impose the sales and use tax under this section if there are no permanent residents within the district sales tax area.
(5)
(a) As used in this Subsection (5):
(i) "Creating entity" means the same as that term is defined in Section 11-71-101.
(ii) "Major sporting event venue zone" means an area approved to be a major sporting event venue zone under Title 63N, Chapter 3, Part 17, Major Sporting Event Venue Zone Act.
(iii) "Sales and use tax boundary" means the same as that term is defined in Section 63N-3-1701.
(b) Beginning October 1, 2025, the creating entity of a major sporting event venue zone, established under Title 63N, Chapter 3, Part 17, Major Sporting Event Venue Zone Act, may by ordinance impose a tax under this section on transactions that occur within the sales and use boundary of a major sporting event venue zone as those terms are defined in Section 63N-3-1701 to the same extent and in the same manner as a city or town may impose a tax under this section.
(6)
(a) As used in this Subsection (6), "major sporting event venue" means a venue that has been or is proposed to be used for the Olympic Games, as confirmed by the Salt Lake City-Utah Committee for the Games, a site, arena, or facility along with supporting or adjacent structures.
(b) Beginning October 1, 2025, a county of the third class with at least three major sporting event venues within the jurisdiction of the county may, by ordinance, impose a tax under this section on transactions occurring within the unincorporated areas of the county to the same extent and in the same manner as a city or town may impose a tax under this section.
(c) Revenue generated by a tax imposed under this Subsection (6) may only be used by the county of the third class on public infrastructure and infrastructure improvements, including transportation infrastructure and improvements, and transit projects.
(7) For purposes of this section, population shall be based on, to the extent not otherwise required by federal law:
(a) the most recent estimate from the Utah Population Committee created in Section 63C-20-103; or
(b) if the Utah Population Committee estimate is not available for each municipality and unincorporated area, the adjusted sub-county population estimate provided by the Utah Population Committee in accordance with Section 63C-20-104.