Short-Term Rental Taxes in Utah: Park City, Moab, and What STR Investors Need to Know
4.65% flat state income tax | Conforms to federal bonus depreciation | Park City total lodging tax ~12.1% | Moab (Grand County) ~12.35% | Top markets: Park City (ski/Sundance), Moab (Arches/Canyonlands), St. George, Brian Head | Some of the highest STR property values in the West
Utah has emerged as one of the West's premier STR investment destinations, driven by world-class ski resorts in Park City (home to the Sundance Film Festival, Park City Mountain, and Deer Valley), the dramatic red rock landscapes around Moab and Arches National Park, and the warm-weather golf and recreation market in St. George. The tax environment is straightforward and investor-friendly: a moderate flat rate and full federal bonus depreciation conformity.
Utah State Income Tax
Utah's 4.65% flat income tax applies to all taxable income, including net rental income. The flat rate structure means every dollar of rental income is taxed at the same rate — no bracket planning is needed. Utah's flat 4.65% is lower than California (up to 13.3%), Oregon (up to 9.9%), and comparable to Colorado (4.4%). Combined with full bonus depreciation conformity, Utah presents a clean and favorable tax picture for STR investors.
Utah Lodging Taxes by Market
| County / Market | State Sales Tax | County/Local Tax | Approximate Total |
|---|---|---|---|
| Summit County (Park City) | 6.1% | ~6% | ~12.1% |
| Grand County (Moab) | 6.1% | ~6.25% | ~12.35% |
| Washington County (St. George) | 6.1% | ~4% | ~10.1% |
| Iron County (Brian Head) | 6.1% | ~4% | ~10.1% |
| Utah County (Provo/Sundance area) | 6.1% | ~3% | ~9.1% |
| Salt Lake County (Salt Lake City) | 6.1% | ~4% | ~10.1% |
| Garfield County (Bryce Canyon area) | 6.1% | ~4% | ~10.1% |
| Kane County (Kanab/Zion gateway) | 6.1% | ~4% | ~10.1% |
Park City: Utah's Highest-Value STR Market
Park City is one of the most valuable STR markets in the entire United States. Properties range from $800,000 ski condos to $5M+ luxury mountain homes, and the rental market supports extraordinary rates: $500–$2,500+/night in ski season (December–March), with strong shoulder seasons driven by fall foliage, mountain biking, and the Sundance Film Festival in January. Park City Mountain Resort and Deer Valley (recently expanded and now opened to snowboarders) drive some of the highest ADRs of any ski market in the country.
Park City has adopted a permit system for STRs with annual caps. Permits can be difficult to obtain in some areas, and they affect property value — permitted STR properties command a premium at sale. Summit County has also adopted regulations for unincorporated county properties. Verify permit availability for any specific property before acquisition.
Moab: National Parks Gateway Market
Moab sits at the gateway to both Arches National Park and Canyonlands National Park — two of the most visually stunning parks in the U.S. STR demand in Moab is driven by outdoor recreation: hiking, mountain biking, jeep tours, and river rafting. The market is intensely seasonal (spring and fall are peak; summer can be very hot; winter is mild but slower) with average stays typically 2–4 nights — well within STR loophole parameters.
Moab STR properties tend to have strong outdoor amenity ratios. Desert landscaping, patios with red rock views, hot tubs, and unique architectural features designed to capture views are all 5-year or 15-year assets for cost segregation purposes. A $600,000 Moab property with dramatic views might yield 22–28% of value in short-life assets.
Cost Segregation in Utah: High-Value Properties, Strong Returns
Utah's high property values in Park City — where $1M–$3M is the norm for quality STR-ready properties — make cost segregation particularly impactful. A $1.5M Park City ski property with $375,000 in bonus-eligible deductions (25% ratio) generates $138,750 in federal first-year tax savings at 37%, plus $17,438 in Utah state savings at 4.65% — a combined $156,188 first-year benefit from cost segregation alone.
Utah's full bonus depreciation conformity means there's no complex state addback calculation. What you claim federally, you claim in Utah. The combination of high property values, strong rental income, and clean state tax rules makes Utah — particularly Park City — one of the most compelling cost segregation markets in the country.
Estimate Your Utah STR Tax Savings
Park City's extraordinary property values + full bonus depreciation conformity = some of the largest cost seg deductions in the country. Get your free estimate.
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