What do I need to know about state withholding tax?
All wages, tips, and other compensation that employees earned or were paid for services performed in Idaho are subject to Idaho income tax withholding.
Idaho taxes all your income, including income from sources outside Idaho. You might be entitled to a credit for taxes paid to another state if some or all the income taxed by Idaho is also taxed by another state.
New employers are required to register for a withholding account. Click here to register.
What forms do employees need to set up state withholding?
ID W-4 – Employee’s withholding allowance certificate
Form ID-MS1 – Employee’s Idaho Military Spouse Withholding Exemption Certificate
What do I need to know about unemployment tax?
2023 Taxable Wage Base – $50,000
2023 New Employer UI Rate – 1.071% (including the workforce rate of 0.03%)
