SB 223 Utah Senate · 2026 General Session

Sales and Use Tax Exemptions Modifications

SB 223 modifies Utah's sales and use tax exemptions to support renewable energy infrastructure development. It extends the tax exemption for equipment used to expand existing alternative energy power plants (like solar, wind, or geothermal facilities) and adds a new exemption for equipment that increases capacity at electric energy storage facilities (such as battery systems). This directly affects businesses building or upgrading renewable energy projects by reducing their upfront costs for qualifying equipment. The bill also includes minor technical adjustments to tax code definitions but does not appropriate new state funds.

Bill status passed 4 of 5 stages cleared

Introduction

Jan 2026

Committee Review

Mar 2026

Senate Passage

Feb 2026

House Passage

Feb 2026

Governor

Introduced Jan 30, 2026 Last action Mar 7, 2026

Maddy AI version diff · 1 comparison

What changed between versions

Introduced → Substitute #1 · 4 edits

MODERATE

The bill was amended to remove the definitions section (Section 1) and significantly reduce the scope of exemptions listed in Section 2. The original version included over 100 detailed definitions and exemptions, while the substitute version retains only the core exemption list without the extensive definitions. This change streamlines the bill by removing redundant definitions that were already codified in the Utah Code, making the legislation more concise and easier to reference.

Scope change

The bill's scope was narrowed by removing the comprehensive definitions section that defined over 160 terms related to sales and use tax. The exemption list itself remains largely intact, but the supporting definitions that clarified how terms like 'alternative energy,' 'telecommunications service,' and 'marketplace facilitator' were defined were removed.

DEFINITION

Removed the entire definitions section that defined 160+ terms including 'alternative energy,' 'telecommunications service,' 'marketplace facilitator,' 'mobility enhancing equipment,' and many other sales and use tax terms.

TECHNICAL

Removed the original title page header that included 'Sales and Use Tax Exemptions Modifications' and the detailed highlighted provisions section that listed specific bill provisions.

Reformatted the bill to match standard legislative substitute formatting with page numbers, timestamps, and sponsor information in the header.

TIMELINE

Changed the effective date from July 1, 2026 to February 20, 2026 (as indicated by the substitute bill date stamp), making the bill effective earlier than originally drafted.

Floor votes · Senate Feb 23, 2026

How they voted

24–0

Passed · 5 other

Total votes 29

Feb 23, 2026

D Democratic6

5 Yea 1

83% Yea

N Forward1

1 Yea

100% Yea

R Republican22

18 Yea 4

81% Yea

Vote distribution

All Yea All Nay Mixed No data

Full legislative history

Actions timeline

Total actions

Key actions

Committee

Mar 5, 2026

Lower · Passed

House/ comm rpt/ sent to Rules [House Rules Committee]

lower

Mar 2, 2026

Lower · Passed

House Comm - Recommends Returned to Rules [House Public Utilities and Energy Committee]

lower

Feb 26, 2026

Lower · Passed

House Comm - Held [House Public Utilities and Energy Committee]

lower

Feb 24, 2026

Committee

House/ to standing committee [House Public Utilities and Energy Committee]

lower

Feb 23, 2026

Introduced

House/ 1st reading (Introduced)

lower

Feb 23, 2026

Lower · Passed

Senate/ passed 3rd reading

lower

Feb 3, 2026

Upper · Passed

Senate/ committee report favorable [Senate Revenue and Taxation Committee]

upper

Feb 2, 2026

Upper · Passed

Senate Comm - Favorable Recommendation [Senate Revenue and Taxation Committee]

upper

Feb 2, 2026

Committee

Senate/ to standing committee [Senate Revenue and Taxation Committee]

upper

Jan 30, 2026

Introduced

Senate/ 1st reading (Introduced)

upper

1 primary · 1 co-sponsor