Idaho State Taxes: A Simple Guide
Idaho has a state income tax, state and local sales taxes, and county-level property taxes. This guide explains the basics in straightforward terms for individuals.
ℹ️Important: This is a general overview. Tax laws and programs change. Always check official Idaho guidance for current details.
🥔Idaho state income tax
Idaho taxes personal income using its own brackets and definitions. In general:
- •Residents with income above certain thresholds must file an Idaho income tax return.
- •Nonresidents may need to file if they earn Idaho-source income.
- •Idaho's rules for taxable income, deductions, and credits differ from federal law.
Most residents file both a federal Form 1040 and an Idaho return if required.
🛒Sales and use tax
Idaho has a state sales tax, and some cities add local sales taxes. Rates vary depending on the location of the purchase.
- •Many goods and some services are taxable.
- •If you buy taxable goods from out-of-state sellers without tax, you may owe use tax to Idaho.
Idaho businesses selling taxable goods or services must collect and remit sales and use taxes to the state and applicable local jurisdictions.
🏡Property taxes
Property taxes in Idaho are administered by counties and local governments. Taxes are based on the assessed value of homes, land, and other real property.
- •Homeowners receive annual property tax bills from their county.
- •Rates vary widely depending on the local government and school district.
- •Idaho offers some property tax relief programs, especially for qualifying homeowners.
🔗Putting Idaho taxes together
A typical Idaho resident may deal with:
- •Federal income tax (Form 1040)
- •Idaho state income tax
- •State and local sales and use taxes
- •County property taxes if they own a home
Understanding Idaho's rules becomes easier once you know the basics of how filing taxes works.