State tax rates and rules for income, sales, gas, property, cigarette, and other taxes that impact middle-class families. Go to the Kiplinger Tax Map Utah Add to State Compare List | View List View State Compare List (0) selected | Compare up to 5 The Bottom Line Tax-Friendly Utah has a flat-rate income tax system. Although the current rate is a modest 4.95%, the overall income tax bill for middle-class families can still be above average. On the other hand, average sales tax and property tax rates are generally below average. So, all in all, you don't get stung too bad by taxes in the Beehive State. Income Tax Range Utah has a flat tax of 4.95%. Sales Tax State levy is 4.85%, but mandatory 1% local sales tax and 0.25% county option sales tax are added to the state tax (for a 6.1% total rate). Plus, localities can add up to an additional 2.95%, making the average combined state and local rate 7.19%, according to the Tax Foundation.Groceries: Taxable (1.75% state tax, plus mandatory 1.25% in local and county taxes)Clothing: TaxableMotor Vehicles: TaxablePrescription Drugs: Exempt Real Property Taxes In Utah, the median property tax rate is $575 per $100,000 of assessed home value. Motor Fuel Taxes Gasoline: 31.41¢ per gallon (31.91¢ per gallon effective January 1, 2022). Diesel: 31.41¢ per gallon (31.91¢ per gallon effective January 1, 2022). Sin Taxes Cigarettes: $1.70 per packSnuff: $1.83 per ounceOther tobacco products: 86% of manufacturer’s priceVapor products: 56% of manufacturer’s priceBeer: $0.42 per gallonWine: not availableLiquor: $15.92 per gallonUtah directly controls the distribution and sale of wine and liquor. Liquor tax is an estimate by the Distilled Spirits Council of the United States and published by the Tax Foundation. Annual Car Taxes and Fees An annual vehicle registration fee and a separate uniform fee are imposed. Estate and Inheritance Taxes No estate or inheritance tax.