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MIDA plans first sales tax increase for Wasatch County projects

[FILE] An American flag and State of Utah flag fly at half mast near the Utah State Capitol. Gov. Spencer Cox ordered flags to be lowered at state facilities Monday in honor of the 9/11 tragedy.
Shelley Dennis
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Adobe Stock
The state capitol building of Utah, located in Salt Lake City, stands atop a hill overlooking the city. Known as the "Beehive State," Utah's three branches of government meet in this building, designed by Richard K.A. Kletting. Here the American flag and the state flag of Utah fly at half mast, in memory of the 10th anniversary of the September 11th attacks.

Visitors will pay more in sales taxes at Deer Valley’s East Village and other MIDA resort destinations starting in 2028.

The Military Installation Development Authority manages thousands of acres of land in Wasatch County, including Deer Valley’s East Village resort expansion, golf and equestrian facilities near the Jordanelle Reservoir and more.

During the most recent legislative session, Utah lawmakers granted MIDA the power to impose an accommodations tax and a resort communities sales tax within the land the agency uses.

Now, MIDA is exercising that new taxing power in Wasatch County, where its developments are called the Military Recreation Facility.

At a MIDA board meeting Thursday, Nov. 7, MIDA attorney Richard Catten explained the new tax will be part of a $390 million bond to expedite the construction of East Village. He also said it won’t go into effect for a few years.

“The board will be adopting this today, but the actual tax will not be imposed until July of 2028,” he said.

Starting July 1, 2028, the sales and use tax in the Military Recreation Facility area will increase by 0.5%, or an additional $1 for every $200 in sales. That will bring the total resort sales tax to 1.6%.

The new tax is delayed for a few years to allow time for resort amenities to get up and running.

When the change in law was proposed in February, Republican Sen. Daniel McCay worried about the lack of accountability, since those taxes would be levied by non-elected officials – members of MIDA’s board are appointed. Still, the new law passed unanimously.

MIDA was originally founded to serve veterans and members of the military. It invests in economic development projects to generate revenue for its programs.

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