Utah Creates Sales Tax Exemption for Electrical Facilities

Utah created a sales and use tax exemption for charges related to the construction, operation, maintenance, repair, or replacement of “distribution electrical cooperative or a wholesale electrical cooperative” facilities. The bill does the following:

• “Enacts a sales and use tax exemption for amounts paid or charged in connection with the construction, operation, maintenance, repair, or replacement of facilities owned by a distribution electrical cooperative or a wholesale electrical cooperative; and
• Makes technical changes” including pointing out the definition of distribution electrical cooperative or a wholesale electrical cooperative and adding the effective date of July 1, 2022.

(State of Utah, S.B. 106, Electrical Facility Sales Tax Exemption, effective July 1, 2022)