Skip to main content
CityRuleLookup

Salt Lake City, UT Local Taxes & Fees: Business Tax Classification (2026)

Some Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

Governing chapter
City Code ch. 5.04
Base fee split
Home vs. nonhome occupation
Add-on fee basis
Per employee over one
Out-of-city businesses
Same fee as in-city
Administering office
License supervisor

Summary

Salt Lake City splits its annual business license fee into a base fee that differs for home occupation versus nonhome occupation businesses, plus add-on regulatory and disproportionate cost fees tied to employee count and business type.

B. Base License Fee: ... shall be as follows: 1. Home occupation businesses: As shown on the Salt Lake City consolidated fee schedule. 2. Nonhome occupation businesses: As shown on the Salt Lake City consolidated fee schedule. ... D. Disproportionate Cost Fee: ... For any business having employees, the disproportionate cost fee for such business shall be as shown on the Salt Lake City consolidated fee schedule, per employee, for each full time and part time employee exceeding one, engaged in the operation of said business...

View official code

Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: 2026 S-21: Code current through: Ord. 40-26, passed June 16, 2026).

Full Breakdown

Every business operating in Salt Lake City pays an annual per-location license fee built from four layered pieces: a base license fee (split by classification into home occupation and nonhome occupation rates on the city's consolidated fee schedule), a regulatory fee for specific licensed activities, a disproportionate cost fee scaled per employee beyond the first, and a rental-dwelling fee based on unit or room count for boarding houses. Businesses with no physical location in the city still owe the same fee as if they were located there. The license supervisor administers licensing under City Code chapter 5.02.

Violations & Fines

Operating without paying the required license fee is a debt to the city collectible by civil action; late payment triggers a separate penalty under section 5.04.114, and a filed false return is independently prohibited.

Frequently Asked Questions

Does a home-based business pay a different license fee than a storefront?
Yes. Section 5.04.070(B) sets separate base license fee rates for home occupation businesses and nonhome occupation businesses on the city's consolidated fee schedule.
Does having employees raise the license fee?
Yes. A disproportionate cost fee applies per full-time and part-time employee beyond the first, based on the average employee count defined in section 5.02.005.

Sources & Official References

Other rules in Salt Lake City

All Salt Lake City rules

Compare Salt Lake City to another location·View the Utah local taxes & fees overview

Get notified when Business Tax Classification in Salt Lake City, UT changes

We'll email you the moment we detect a change in the code. No spam, unsubscribe anytime.

We'll never sell or share your email. One-click unsubscribe in every email.

See something wrong?

Help us keep this page accurate. If you notice an error or outdated information, let us know.