Utah Code Title 31A. Insurance Code § 31A-40-207. Taxation

(1)(a) A covered employee whose service is subject to a sales or use tax under Title 59, Chapter 12, Sales and Use Tax Act, is considered the employee of the client for purposes of imposing and collecting the sales or use tax on the service performed by the covered employee.

(b) This chapter may not be interpreted to relieve a client of a sales or use tax liability with respect to a good or service of the client.

(2)(a) If the amount of a tax or fee described in Subsection (2)(b) is determined on the basis of the gross receipts of a professional employer organization, only an administrative fee collected by the professional employer organization is considered gross receipts.

(b) This Subsection (2) applies to:

(a) on a client for a covered employee; and

(b) on the professional employer organization for an employee of the professional employer organization who is not a covered employee coemployed with a client.