What Is Exempt From Sales Tax in Idaho? Sales Tax in Idaho

Sales tax in Idaho is 6%. It applies to sales of tangible personal property and some services like food and lodging. Additional taxes apply to hotel and motel stays. Some items are exempt from sales tax, including prescription drugs. To learn more, visit the Idaho State Tax Commission website or call their sales tax phone line.

Business Compliance

Businesses in Idaho collect sales tax from customers on qualifying sales and remit it to state and local governments. As a business owner, you serve as an agent of Idaho by charging, collecting, and remitting sales tax in compliance with state law. The combined state and local sales tax rates in Idaho range from 6% to 9% depending on the jurisdiction.

Tax Benefits for Retirees

Idaho offers retirees certain tax breaks that make it an attractive state for retirement. These include exemptions from sales and use taxes on personal vehicles. Idaho also allows retirees to deduct some local taxes from their state income taxes. With low income taxes and special retiree provisions, Idaho is one of the most tax-friendly states for retirement.

Leave a Comment