Idaho State Licensing

Important Points:

  • A state business license is required only for certain types of business in Idaho.
    • You may need city and/or county business licenses

How to Get a Business License in Idaho:

  • If you plan to hire at least one employee, contact the Internal Revenue Service to get a Federal Employer’s Identification Number, and to request your w-4, SS-4, Circular E and Publication 334 forms.
  • Register your business entity with the Idaho Department of Commerce.
  • Use the Idaho Small Business Solutions Business Wizard to determine if your business needs a license and how to apply for one.
  • Contact your local clerk or recorder’s office to find out if you need local business license or permits. Find the contact information for local clerk’s office.
  • See if you need a professional license to operate your business.

Idaho State Sales Tax:

  • Idaho’s state sales tax is 6%.
    • Food sales are taxed.
    • Prescription drugs are not taxed.
    • Some Idaho resort cities, counties and districts have additional local option sales tax. Get more information here.
  • Idaho also has a use tax, which is at the same rate as the general sales tax.

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