Utah Code 59-10-1044. Nonrefundable earned income tax credit

59-10-1044. Nonrefundable earned income tax credit.

(1)

As used in this section:

claimant: means a resident or nonresident person that has state taxable income. See Utah Code 59-10-1002
Individual: means a natural person and includes aliens and minors. See Utah Code 59-10-103
tax credit: means a tax credit that a claimant, estate, or trust may:

(a)

claim:

(i)	as provided by statute; and

(ii)	in an amount that does not exceed the claimant's, estate's, or trust's tax liability under this chapter for a taxable year; and

(b)

carry forward or carry back:

(i)	if allowed by statute; and

(ii)	unless otherwise provided in statute, to the extent that the amount of the tax credit exceeds the claimant's, estate's, or trust's tax liability under this chapter for a taxable year. See Utah Code 59-10-1002 Wages: means the same as that term is defined in Section 59-10-401. See Utah Code 59-10-103
(a)	“Federal earned income tax credit” means the federal earned income tax credit described in Section 32, Internal Revenue Code.

(b)

“Qualifying claimant” means a resident or nonresident individual who:

(i)	qualifies for and claims the federal earned income tax credit for the current taxable year; and

(ii)	earns income in Utah that is reported on a W-2 form.

(2)

Subject to Section 59-10-1002.2, a qualifying claimant may claim a nonrefundable earned income tax credit equal to the lesser of:

(a)	20% of the amount of the federal earned income tax credit that the qualifying claimant was entitled to claim on a federal income tax return for the current taxable year; and

(b)	the total Utah wages reported on the qualifying claimant’s W-2 form for the current taxable year.

(3)	A qualifying claimant may not carry forward or carry back the amount of the earned income tax credit that exceeds the qualifying claimant’s tax liability.

Amended by Chapter 459, 2023 General Session