Taxes on Typical Utah Family
Last week, the Utah Taxpayers Association released a report detailing the federal, state, and local taxes paid by a median income Utah family consisting of two parents and three children. Click here to read the report and click here to read the Deseret Morning News article on the report.
Taxes consume 25.3% of a typical Utah family's income. This includes all direct taxes paid by the typical family as well as the employer-paid payroll taxes (which are counted in the income denominator as well as in the taxes numerator) but does not include taxes paid by businesses that are passed on to consumers in the form of higher prices, to employees in the form of reduced compensation, and to shareholders in the form of reduced share prices and dividends.
Some of the results may be surprising, particularly how much the typical 5-person, 3-child family pays in state and local sales taxes and how little (comparatively) the same family pays in federal income taxes.