Idaho has a flat state income tax rate of 5.8% on all taxable income. In 2023, Idaho transitioned from a progressive tax system to a flat tax, simplifying withholding calculations.
Idaho Flat Tax Rate
| Taxable Income | Tax Rate |
|---|---|
| All income | 5.8% |
Idaho's flat tax simplifies payroll calculations. Every dollar of taxable income is taxed at the same 5.8% rate, based on Idaho State Tax Commission guidelines.
What You'll See on Your Paystub
An Idaho worker's paystub includes both federal income tax withholding and state deductions:
| Deduction | Rate | Notes |
|---|---|---|
| Federal Income Tax | Varies | Based on W-4 and income |
| Social Security | 6.2% | Up to $181,200 wage base |
| Medicare | 1.45% | No wage limit |
| Idaho State Income Tax | 5.8% | Flat rate on all taxable income |
Idaho Standard Deduction
Idaho offers a standard deduction that reduces your taxable income:
| Filing Status | Standard Deduction (2026) |
|---|---|
| Single | $14,850 |
| Married Filing Jointly | $29,700 |
| Head of Household | $22,275 |
Idaho's standard deduction is tied to the federal standard deduction, making tax planning straightforward.
No Local Income Taxes
Idaho does not allow cities or counties to impose local income taxes. Your state withholding covers all Idaho income tax obligations.
Idaho vs. Neighboring States
| State | Tax Structure | Top Rate |
|---|---|---|
| Idaho | Flat | 5.8% |
| Montana | Progressive | 5.9% |
| Washington | None | 0% |
| Oregon | Progressive | 9.9% |
Comparing Take-Home Pay
Here's how a $75,000 annual salary in Idaho compares to other states:
| State | Effective Rate | Annual State Tax |
|---|---|---|
| Idaho | ~4.7% | ~$3,500 |
| Oregon | ~8% | ~$5,100 |
| Washington | 0% | $0 |