Idaho Taxes

Idaho taxes individual income at a flat 5.3% on taxable income above an inflation-indexed zero-rate threshold (Idaho Code 63-3024, as amended in 2025). The threshold is $2,500 single / $5,000 joint in the statute, indexed every year by the State Tax Commission: for tax year 2025 the first $4,811 (single) or $9,622 (married filing jointly) is taxed at 0% and everything above at 5.3%. The 2026 thresholds are published by the Tax Commission with the 2026 forms.

Idaho's fuels tax on gasoline and gasohol — including ethanol and ethanol blends (E00 to E99), methanol and M-85 — is $.32 per gallon (32 cents), in effect since July 1, 2015, per the Idaho State Tax Commission. Unleaded high-octane racing fuel is taxed at the same $.32. A separate petroleum transfer fee is also charged on fuel. No gas-tax suspension is in effect in Idaho. The 18.4-cent federal gasoline tax is extra.

No sales-tax holiday.

The State of Idaho receives no property tax: counties levy and collect it for local services and for independent taxing districts such as cities and schools. The county assessor values your property at 100% of market value as of January 1 each year, less exemptions, and each district's budget sets its levy rate. The homeowner's (homestead) exemption removes the first $125,000 or 50% of the assessed market value of an owner-occupied homestead, whichever is less (Idaho Code 63-602G); ask your county assessor which exemptions you qualify for.