Perhaps you’ve recently heard the news.  Though the federal government determined in late December that forgiven PPP loan funds were nontaxable, the State of Utah recently announced that such forgiven PPP funds are taxable income for Utah taxation purposes.

https://kutv.com/news/local/businesses-that-got-ppp-loans-may-be-in-for-an-unexpected-tax-bill

Additionally, our office has been in close communication with the Utah State Tax Commission and the Utah Governor’s Office of Economic Development.  The Utah State Tax Commission has indicated that any Utah government grants (state, county, or local), which are federally funded and related to Covid-19, and which are subject to federal taxation, are not taxable for Utah taxation purposes.  “Shop-in-Utah” grants, for example, are subject to federal taxation but they are not subject to Utah taxation.

News in the taxation arena seems to change weekly.  We’ll do our best to keep you informed.  Please let us know if you have any questions.