Income Tax Amendments

SB 270 creates a nonrefundable income tax credit for Utah residents under 19 who earn self-employment income (defined as income from operating a trade, business, or partnership, subject to federal self-employment tax). The credit equals a percentage of the individual's Utah-sourced self-employment income, capped at $3,000 for 2025 (with annual inflation adjustments starting in 2026). It applies retroactively to tax years beginning January 1, 2025, and cannot generate a cash refund - only reducing tax liability owed. Nonresidents and part-year residents must claim a proportionate share of the credit based on their Utah income.