Idaho has a state sales tax of 6 percent, plus local taxes that vary by county and city

Idaho charges a 6 percent state sales tax on most retail purchases. On top of that, your county or city may add its own local sales tax, ranging from 0 to 3.125 percent depending on where you live. Your total sales tax bill is the combination of both — so if you buy something in Boise, you pay 6 percent state tax plus Boise's local rate.

The tax applies to physical goods you buy in stores and online, but not to groceries, prescription medications, or medical devices. Some services are taxed and some are not, which creates confusion at checkout. Understanding what is and is not taxed in Idaho can help you budget accurately and avoid surprises.

Key Takeaways

  • Idaho's state sales tax is 6 percent, and most counties and cities add between 0 and 3.125 percent on top of that.
  • Groceries and prescription medications are exempt from sales tax in Idaho, but prepared food and over-the-counter drugs are taxed.
  • Your local sales tax rate depends on your county and city, so the rate in Coeur d'Alene differs from the rate in Pocatello.
  • Online purchases from out-of-state sellers are subject to Idaho sales tax if the seller has a physical presence in the state or meets federal thresholds.

How local sales tax works in Idaho counties

Idaho does not have a single statewide local rate. Instead, each county and city sets its own local sales tax on top of the 6 percent state tax. Ada County (which includes Boise) adds 1.5 percent, making the total 7.5 percent. Canyon County adds 1 percent. Some smaller counties add nothing at all, so you pay only the 6 percent state rate.

To find your exact local rate, look up your city or county on the Idaho State Tax Commission website or call your local tax assessor's office. The rate can change if your city or county votes to adjust it, though this happens infrequently. If you live near a county border and shop in both places, you will notice the difference at the register.

What is and is not taxed in Idaho

Exempt from sales tax: Groceries (unprepared food you cook at home), prescription medications filled by a pharmacist, and medical devices prescribed by a doctor. Clothing is also exempt in Idaho, which is unusual — many states tax apparel.

Taxed: Prepared food (restaurant meals, deli items, hot food from a grocery store), over-the-counter drugs and vitamins, gasoline, alcohol, and most services including haircuts, repairs, and entertainment. Utilities are not subject to sales tax, but they are subject to other state taxes.

The line between "grocery" and "prepared food" matters. A rotisserie chicken from the grocery store deli is taxed. A raw chicken from the meat counter is not. If you are unsure whether something counts as a grocery or prepared food, ask the cashier — they deal with this distinction daily.

Sales tax on online and out-of-state purchases

If you order something online from a company with a warehouse or office in Idaho, you owe Idaho sales tax on that purchase. If the company has no physical presence in Idaho but meets the federal threshold for sales tax collection (generally $100,000 in sales or 200 transactions in the state per year), it must collect Idaho sales tax from you as well.

If a seller does not collect Idaho sales tax at checkout, you are technically responsible for paying it yourself through Idaho's use tax when you file your state income tax return. In practice, most individual shoppers do not report this, but businesses are expected to track and report use tax on large purchases.

The safest approach is to assume you owe tax on any online purchase of a taxable item, whether the seller collected it or not. If the seller did not charge tax, keep your receipt in case Idaho ever audits your return.

Sales tax on vehicles and large purchases

When you buy a car in Idaho, you pay sales tax on the purchase price. The rate is your local sales tax rate (state plus local combined). If you buy a used car from a private seller, you still owe sales tax when you register it with the Idaho Department of Motor Vehicles — the DMV collects it at that time.

Trade-ins reduce the taxable amount. If you buy a $20,000 car and trade in a $5,000 vehicle, you pay sales tax only on the $15,000 difference. This applies to cars, motorcycles, and other vehicles registered in Idaho.

For other large purchases like furniture or appliances, the same 6 percent state rate plus your local rate applies. There is no threshold — a $10,000 purchase is taxed the same way as a $100 purchase.

How to find your exact local sales tax rate

The Idaho State Tax Commission publishes a complete list of local sales tax rates by city and county on its website. You can search by your zip code or city name to see the exact rate you pay. The list is updated when cities or counties change their rates, though you should check it if you have moved or are shopping in an unfamiliar area.

If you cannot find your rate online, call your city or county assessor's office. They can tell you the exact rate and explain any recent changes. Many cities also post their rate on their official website or at the chamber of commerce.

Special cases and exemptions

Nonprofit organizations and government agencies do not pay sales tax on purchases made for their operations — they provide a tax-exempt certificate to the seller. If you work for a nonprofit, you cannot use that exemption for personal purchases.

Agricultural equipment used directly in farming may be exempt or taxed at a lower rate, depending on what it is. Seeds and fertilizer are generally taxed, but some farm machinery is not. If you farm in Idaho, ask the Idaho State Tax Commission about specific equipment before you buy.

Resale certificates allow businesses to buy goods without paying sales tax if they plan to resell those goods. This prevents double taxation — the tax is paid when the final customer buys the item, not when the business buys it from a wholesaler.

Frequently Asked Questions

Do I pay sales tax on groceries in Idaho?

No, unprepared groceries are exempt from sales tax in Idaho. This includes raw meat, produce, bread, milk, and other food you cook or prepare at home. Prepared food like restaurant meals, deli items, and hot food from a grocery store is taxed.

What is the sales tax rate in Boise?

Boise's combined sales tax rate is 7.5 percent — 6 percent state tax plus 1.5 percent local tax from Ada County. If you shop in a different city or county, your rate may be different.

Do I owe sales tax on clothes in Idaho?

No, clothing is exempt from sales tax in Idaho. This includes shoes, jackets, pants, and accessories. The exemption applies to most apparel, though some items like sports equipment may be taxed depending on how they are classified.

Do I have to pay sales tax on online purchases from out-of-state companies?

If the company has a physical presence in Idaho or meets federal sales thresholds, yes — they must collect Idaho sales tax. If they do not, you are technically responsible for reporting it as use tax on your state return, though most individual shoppers do not.

Is gasoline subject to sales tax in Idaho?

Yes, gasoline is subject to Idaho sales tax. You pay the 6 percent state rate plus your local rate at the pump. Idaho also charges a separate fuel tax per gallon, which is in addition to the sales tax.