This program currently provides adequate funding for state government, educational services and institutions, and provides for expansion to accommodate future growth.

Individual Income Tax
A tax is levied on Idaho taxable income of individuals, estates and trusts. Tax rates range from two percent to 8.2 percent, depending on income.

Federal income tax is not deductible from state taxes.

Every taxpayer is required to file a return and must pay a $10 permanent building-fund tax.

Sales & Use Tax
The state levies a five percent Sales and Use Tax on all sales or transfers of title of tangible personal property.

Retail sales of tangible personal property are taxed at five percent. Major exemptions are on sales for the following:

Gasoline
Heating fuel (coal, wood, natural gas, etc.)
Electricity
Water
Gas (when delivered to consumer's personal property)

Property Tax
Tax rates may vary among localities depending on the aggregate levies imposed by cities, counties, and special taxing districts. The averages tax rate for the urban areas of the state is approximately 1.7 percent of market value. This rate varies from about one percent to 2.7 percent of market value depending on the local area.

Idaho and Boise have some of the lowest property taxes in the U.S.

The property tax in Boise is used to support local services such as education and fire and police protection.

The Boise area's balanced tax structure is based on three categories of tax revenue: income tax, sales tax, and local property tax.

This program currently provides adequate funding for state government, educational services and institutions, and provides for expansion to accommodate future growth.

Individual Income Tax
A tax is levied on Idaho taxable income of individuals, estates and trusts. Tax rates range from 2 percent to 8.2 percent, depending on income.

Taxable income (filing as single)
$0-$7,500 2-7.5%
$7,500-$20,000 7.8%
$20,000+ 8.2%

• Federal income tax is not deductible from State taxes.
• Every taxpayer is required to file a return and must pay a $10 permanent building-fund tax.

Sales & Use Tax
The state levies a five percent Sales and Use Tax on all sales or transfers of title of tangible personal property.

Retail sales of tangible personal property are taxed at five percent. Major exemptions are on sales for the following:

• gasoline
• heating fuel (coal, wood, natural gas, etc.)
• electricity
• water
• gas (when delivered to consumer's personal property)

Property Tax

• Tax rates may vary among localities depending on the aggregate levies imposed by cities, counties, and special taxing districts. The average tax rate for the urban areas of the state is approximately 1.7 percent of market value. This rate varies from about one percent to 2.7% of market value depending on the local area.
• Idaho and Boise have some of the lowest property taxes in the U.S.
• Idaho ranks 37th among U.S. states for state and local property tax collections per capital.
• The property tax in Boise supports local services such as education and fire and police protection.