If the 2018 Idaho Legislature chooses to fully conform, residents will pay an additional $118.8 million in taxes to the state, while businesses will see a reduction of $21.4 million in taxes, according to the Idaho State Tax Commission. The state’s estimated $97.4 million net increase in 2018 revenue could finance tax credits to offset the tax increases for families. Beyond a tax offset, the credits are linked with additional positive impacts when properly designed, a lesson learned from experiences with the Earned Income Tax Credit (EITC) and Child Tax Credit (CTC), two federal Working Family Tax Credits. States have the option of mirroring federal Working Family Tax Credits in their own tax code and Utah, along with others, are taking up the issue this year.
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The Idaho Legislature’s 2025 Income Tax Relief Package Left Middle-Income Families Behind
- The Idaho Legislature is responsible for allocating millions of tax dollars each year to support Idaho’s families, businesses, schools, and communities. Over the last
