1     
JOINT RESOLUTION DIRECTING TAX REVIEW

2     
COMMISSION TO STUDY TAX INCENTIVES

3     
2019 GENERAL SESSION

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STATE OF UTAH

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Chief Sponsor: Kay J. Christofferson

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Senate Sponsor: Lincoln Fillmore

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8     LONG TITLE
9     General Description:
10          This joint resolution directs the Utah Tax Review Commission to study tax incentives
11     offered by the state.
12     Highlighted Provisions:
13          This joint resolution directs the Utah Tax Review Commission to:
14          ▸     study the state's current tax incentive structure;
15          ▸     examine the positive and negative effects of the current incentives on the state's
16     economy;
17          ▸     identify any overlapping or redundant tax credits, tax exemptions, or other
18     incentives;
19          ▸     make recommendations regarding whether:
20               •     the current structure of providing targeted exemptions, credits, and other
21     incentives is more effective than lowering overall rates for all taxpayers; and
22               •     certain activities should be eligible for multiple incentives; and
23          ▸     report recommendations on these issues to the Revenue and Taxation Interim
24     Committee.
25     Special Clauses:
26          None
27     


28     Be it resolved by the Legislature of the state of Utah:
29          WHEREAS, Utah Code Title 59, Chapter 1, Part 9, Utah Tax Review Commission,
30     creates the Utah Tax Review Commission (TRC);
31          WHEREAS, the TRC shall make recommendations to the governor and the Legislature
32     on specific tax issues, as requested by the Legislature in a joint resolution of the Legislature;
33          WHEREAS, Utah's sales and use tax system has numerous exemptions available to a
34     variety of taxpayers and for a variety of purchases; and
35          WHEREAS, Utah's corporate and individual income tax systems have multiple credits
36     available to a variety of businesses and individuals:
37          NOW, THEREFORE, BE IT RESOLVED that the Legislature directs the TRC to study
38     the state's current tax incentive structure.
39          BE IT FURTHER RESOLVED that the Legislature directs the TRC to examine the
40     positive and negative effects of the current incentives on the state's economy.
41          BE IT FURTHER RESOLVED that the Legislature directs the TRC to identify any
42     overlapping or redundant tax credits, tax exemptions, or other incentives.
43          BE IT FURTHER RESOLVED that the Legislature directs the TRC to make
44     recommendations regarding whether:
45          (1) the current structure of providing targeted exemptions, credits, and other incentives
46     is more effective than lowering overall rates for all taxpayers; and
47          (2) certain activities should be eligible for multiple incentives.
48          BE IT FURTHER RESOLVED that the Legislature directs the TRC to report the TRC's
49     recommendations to the Revenue and Taxation Interim Committee by November 1, 2019.
50          BE IT FURTHER RESOLVED that a copy of this resolution be sent to the chairperson
51     of the TRC immediately after the Legislature passes this resolution.