ENCOURAGING BUSINESS INVESTMENT THROUGH TAX INCENTIVES.
Idaho offers tax incentives to help attract and support business investment that strengthens communities and creates jobs. These incentives are intended for qualifying projects that bring new capital investment, expand operations or support long-term growth in the state.
Through clearly defined, performance-based programs, Idaho Commerce works with businesses to evaluate eligibility and align incentives with project goals. Each incentive is subject to specific requirements and review to ensure responsible use and measurable outcomes.
Review available tax-incentive programs below.
Idaho Tax Reimbursement Incentive
The Tax Reimbursement Incentive (TRI) is a performance-based incentive featuring a tax credit of up to 30% for up to 15 years on new state tax revenues generated by companies seeking to expand in or relocate to Idaho by adding new, qualifying jobs.
Idaho Semiconductors for America Act
The Idaho Semiconductors for America Act provides qualifying Idaho semiconductor companies with a sales and use tax exemption on the purchase of qualifying construction and building materials.
Data Center Sales Tax Exemption
New data centers choosing to locate in Idaho will be eligible for sales tax exemption on server equipment as well as construction materials used in the construction of the data center facility.
Idaho College Savings Program Employer Tax Credit
Employers are eligible to receive a 20% tax credit for contributions made to an employee’s IDeal college savings account. The tax credit is capped at $500 per employee, per taxable year.
Idaho Opportunity Fund
Funds can be used for public infrastructure improvements to a new or existing facility. The fund is awarded at the discretion of the Director of Idaho Commerce.
Idaho Business Advantage
If your business invests at least $500,000 in new facilities and creates at least 10 jobs paying at least $40,000 a year with benefits, you may qualify for a wide package of incentives, including tax credits, sales tax rebates, and property tax exemptions.
Property Tax Exemption
Depending on the county, businesses investing at least $500,000 in new or existing non-retail, commercial or industrial facilities, may qualify for a full or partial property tax exemption for up to five years.
Additional Resources
For more details on these and other incentives, download our incentives one-sheet or incentive manual. Use the form below to contact us for a personalized and confidential review of how Idaho’s incentive programs can benefit your business.
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