Utah Code § 63N-23-406 — Utah Code / Title 63N / Chapter 63N-23 / § 63N-23-406
§ 63N-23-406. Sales and use tax increment in a convention center reinvestment zone in a capital city.
Status: in_force

(1) A convention center reinvestment zone in a capital city proposal shall, in consultation with the State Tax Commission: (a) create a sales and use tax boundary as described in Subsection (2); and (b) establish a sales and use tax base year to calculate and transfer the sales and use tax increment within the convention center reinvestment zone in a capital city 90 days after the date of the notice described in Subsection (5). (2) (a) The Governor's Office of Economic Development, in consultation with the State Tax Commission, shall establish a sales and use tax boundary that: (i) is based on state sales and use tax collection boundaries, which are determined using the ZIP Code as defined in Section 59-12-102, including the four digit delivery route extension; (ii) follows as closely as reasonably practicable the boundary of the convention center reinvestment zone; and (iii) is one contiguous area that includes at least the entire boundary of the convention center reinvestment zone. (b) If a state sales and use tax boundary is intersected by the boundary of the convention center reinvestment zone, the convention center reinvestment zone may include the entire state sales and use tax boundary. (c) The Governor's Office of Economic Development shall include the sales and use tax boundary in the convention center reinvestment zone proposal as described in Section 63N-23-401. (3) Beginning no sooner than January 1, 2026, and on the first day of a calendar quarter after the year set in the proposal and after the sales and use tax boundary for a convention center reinvestment zone in a capital city is established, the State Tax Commission shall, at least annually, transfer an amount equal to 50% of the state sales and use tax increment and 100% of any local sales and use tax increment within an established sales and use tax boundary to the public infrastructure district created in accordance with Section 63N-23-403. (4) The Governor's Office of Economic Development may only propose one sales and use tax increment period and one sales and use tax base year for a convention center reinvestment zone established under this part. (5) (a) The distribution of the sales and use tax increment shall begin: (i) on the first day of a calendar quarter; (ii) after a 90-day waiting period, beginning on the date the State Tax Commission receives notice from the Governor's Office of Economic Development meeting the requirements of Subsection (5)(b); and (iii) no earlier than January 1, 2026, after the year set in the proposal of the approved convention center reinvestment zone. (b) The notice described in Subsection (5)(a) shall include: (i) a statement that the convention center reinvestment zone will be established under this part; (ii) the approval date and effective date of the convention center reinvestment zone; and (iii) the definitions of the sales and use tax boundary and sales and use tax base year. (6) The State Tax Commission may retain and deposit an administrative charge in accordance with Section 59-1-306 from sales and use tax revenues the State Tax Commission collects and administers under this section.