USA State Payroll Rates + Resources: State of Idaho: Filing State Income Taxes, W-2s, and 1099s
Purpose
The purpose of this documentation is to outline the processes and requirements associated with filing state income taxes, W2s, and 1099s, if needed, in the state of Idaho.
State Income Tax Withholding
To determine the amount of Idaho income tax you should be withholding, employees should complete an Idaho State Tax Commission Form ID W-4. Every employee, on or before the date of commencement of employment, shall furnish his or her employer with a signed Idaho Withholding Allowance Certificate relating to the withholding status, allowances, and/or additional withholding amount.
Employers are required to keep copies of completed state ID W-4 forms for their employees in their files. The forms serve as verification that the state income taxes are being withheld according to the employee’s instructions and needs to be available for inspection if the state requests it.
The Forms W-4 and ID W-4 generally are valid until the employee provides new ones. However, employees who claim exemption from withholding must renew the exemption annually by filing new Forms W-4 or ID W-4 by February 15 each year.
State Income Tax Withholding Reporting & Deposits
You can file either a paper Form 910 or online at Idaho TAP. If filing a paper return, always use the personalized form that's both:
Pre-printed with the correct period
Pre-printed with the correct employer name and account number
Good To Know!
Printable withholding forms aren't available on the Tax Commission's website because they're personalized.
For further details, see Idaho Withholding website.
W2's, 1099's, Form 967 - Annual Reconciliation
You submit a Form 967 (Annual Reconciliation) to the tax commission once a year (due on the last day of January following the end of the year). On it, you report the taxable wages and reconcile the total amount of Idaho taxes you withheld during the calendar year to the amount you paid us during the same year.
Use Form 967 to send the commission the state copies of the Form W-2s, Wage and Tax Statements, and any 1099s with Idaho income tax withheld.
You can do this either online using TAP or through the mail (The tax commission will send you a pre-printed Form 967).
Idaho requires you to file W-2s and Form 967 electronically if you're an employer who meets the IRS requirements to file W-2s electronically and you have 50 or more employees in Idaho.