Bill > HB0061

This bill modifies tax withholding requirements and provisions related to producers and mineral production payments in Utah. Specifically, the bill changes the withholding percentage from a flat 5% to a percentage tied to the state income tax rate, and introduces new reporting and filing requirements for producers. Key changes include requiring producers to file quarterly and annual electronic returns with the commission, providing detailed information about mineral production payments, and mandating electronic filing of federal forms like Form 1099. The bill also establishes a penalty structure for producers who fail to file returns correctly or on time, with penalties ranging from $30 to $100 per form and potential maximum penalties of $75,000 to $500,000 per calendar year depending on the timing and nature of the filing violation. Additionally, the bill clarifies exemptions for certain types of payments, such as those to government agencies or exempt organizations. These amendments aim to modernize and streamline tax withholding processes for mineral production payments in Utah, with the changes set to take effect for taxable years beginning on or after January 1, 2026.

Budget and Finance

https://le.utah.gov/~2025/bills/static/HB0061.html