The sales tax rate in Millcreek, Utah is 7.25 percent on most retail purchases as of January 1, 2026. Grocery food is taxed at 3 percent, and restaurant purchases carry a higher 8.25 percent rate.1Utah State Tax Commission. Combined Sales and Use Tax Rate Which rate applies depends on what you’re buying and, in some cases, where exactly you’re buying it, because Millcreek’s city boundaries don’t always line up with the Salt Lake City mailing addresses many residents use.
What Makes Up the 7.25 Percent
The combined rate stacks taxes from three levels of government. Utah’s state portion is 4.85 percent, made up of a 4.70 percent base rate plus a 0.15 percent addition set in the same statute.2Utah Legislature. Utah Code 59-12-103 – Sales and Use Tax Base – Rates – Effective Dates – Use of Sales and Use Tax Revenue The remaining 2.40 percent comes from local and county sources.
That local layer includes a 1.00 percent local option tax that funds Millcreek’s own operations and a 0.25 percent county option tax. The other 1.15 percent is spread across county assessments for mass transit, roads, arts and parks programming, and similar regional services.1Utah State Tax Commission. Combined Sales and Use Tax Rate The Utah State Tax Commission publishes a quarterly rate schedule with every component listed by jurisdiction if you need the exact breakdown.
Grocery Food Is Taxed at 3 Percent
Unprepared food and food ingredients qualify for a combined 3 percent rate statewide.3Utah State Tax Commission. Grocery Food Sales and Use Tax That rate consists of a 1.75 percent state portion, the 1.00 percent local option, and the 0.25 percent county option. The reduction comes entirely from the state side: Utah charges 1.75 percent on grocery food instead of the usual 4.85 percent, while the local and county pieces stay the same.
The lower rate covers what you’d normally buy at a grocery store for home preparation: produce, meat, dairy, bread, canned goods, and similar staples. It does not cover dietary supplements, prepared meals, or food sold with utensils for immediate consumption. The gap between 3 percent and 7.25 percent adds up fast on a full cart, so the line between grocery and prepared food matters at checkout.
Restaurant Meals Are Taxed at 8.25 Percent
Every county in Utah currently imposes a restaurant tax of up to 1.00 percent on top of the standard sales tax.3Utah State Tax Commission. Grocery Food Sales and Use Tax In Millcreek, that brings the effective rate on restaurant purchases to 8.25 percent. The restaurant tax applies to all food and beverage sales by a restaurant, not just prepared meals.4Tax Commission. Restaurants with Grocery Food Sales If a restaurant also sells unprepared grocery items, those still carry the restaurant tax rather than the 3 percent grocery rate.
Exemptions Worth Knowing
Prescription Drugs and Medical Equipment
Utah exempts prescription drugs when the buyer presents a valid prescription or when a hospital or medical facility makes the purchase. The exemption also covers syringes, oxygen, stoma supplies, and prosthetic devices bought with a prescription. Durable medical equipment, mobility-enhancing equipment, and disposable home medical supplies qualify as well, but only with a prescription.5Utah State Tax Commission. Publication 53 Sales Tax Information for Healthcare Providers Over-the-counter medications bought without a prescription are taxed at the full 7.25 percent rate.
Digital Goods
Utah taxes products delivered electronically if the physical version would be taxable. Downloaded music, ebooks, movies, and ringtones are all taxable because CDs, paperbacks, and DVDs are taxable tangible personal property.6Utah State Tax Commission. Pub 25 Prewritten software is treated the same way regardless of how it’s delivered. Charges purely for database access, where the point is retrieving information rather than downloading audiovisual content or books, are exempt.
Use Tax on Online and Out-of-State Purchases
When you buy something for use in Millcreek from a seller that doesn’t collect Utah sales tax, you owe the equivalent amount as use tax at the same 7.25 percent rate. Most large online retailers and marketplaces now collect Utah tax automatically, but smaller out-of-state sellers sometimes don’t.7Utah State Tax Commission. Sales and Use Tax FAQ
If you don’t hold a Utah sales tax license, you report use tax on your personal Utah income tax return (Form TC-40). If you do hold a license, you report it on your sales and use tax return instead.7Utah State Tax Commission. Sales and Use Tax FAQ
Why Your Millcreek Address Might Look Like Salt Lake City
Figuring out whether a transaction falls inside Millcreek is less straightforward than it sounds. ZIP codes like 84106, 84109, and 84124 often show “Salt Lake City” as the mailing address, but large portions of those ZIP codes actually sit inside Millcreek. The postal service doesn’t care about municipal tax boundaries, so a Salt Lake City mailing address tells you nothing about which rate applies.
Utah uses destination-based sourcing, meaning the rate is set by where the buyer takes possession of the goods. For shipped items, the delivery address controls. For in-person purchases, the store’s location controls. If you live on the Millcreek side of a boundary street and order online, the seller should charge the Millcreek rate based on your delivery address. Sellers using address-lookup tools tied to GIS boundary data usually get this right, but errors happen near boundary lines. If a rate looks wrong, the Utah State Tax Commission’s online rate lookup tool can confirm which jurisdiction covers a specific address.