State income tax tables updated; low-income families may be worst impacted

SALT LAKE CITY — State lawmakers are making changes that will likely affect Utah families’ take-home pay this year.

Utah has adjusted the state income tax withholding tables, and the news isn’t necessarily good for low-income families.

It’s not just Utah. Every state is adjusting its tax withholding tables after the federal government made sweeping tax reform.  The effects of these changes are expected to be wide-reaching.

“Bottom line is that most Utahns are going to see a change in the amount in their upcoming paychecks — the amount withheld,” according to Utah State Tax Commission spokesman Charlie Roberts.

While many reports show tax code changes made at the federal level were expected to give most Americans more take-home pay, the same can’t be said for reforms made at the state level.  Generally, the new withholding tables will let people with higher incomes hold on to more of their money.

“This is very general, but if your adjusted gross income is $75,000 or more, you’ll probably have less withheld,” Roberts said.

So which group of people will have more money withheld by the state government?

“It will be those with larger families and lower incomes,” Roberts said.

However, those are just the general numbers, he said, and a lot of different factors will combine to determine how much money the state will take out of your paycheck.

“It depends on your marital status. It depends on the number of exemptions you have,” Roberts said.

People can see how much they would pay in state taxes by logging on to the commission’s website.  The changes go into effect in May.