HB144-Small Sellers Exemption
As of yesterday, I visited the State of Idaho Tax Commission office in Twin Falls and learned the following. Gov Brad Little is signing into law effectively July 1, 2025 that small farmers market businesses cumulative gross receipts from sales not exceeding $5,000 in the current or previous calendar year do not have to collect or remit Idaho sales or use tax.
Because many markets are starting before that date, the tax change includes markets predating the July 1st date.
If annual sales exceed $3,000, sellers must keep sales records for at least 4 years.
Small sellers are still required to file individual Idaho income tax returns if they meet state filing requirements under Section 63-3030, Idaho Code.
Business entities: partnerships, corporations and limited liability companies (LLCs) do not qualify.
Exceeding the $5,000 Threshold: if gross receipts surpass $5,000:
• Apply for a temporary seller’s permit within 30 days or
• Become a registered retailer by obtaining an Idaho Seller’s Permit
• Begin collecting and remitting sales & use tax.
If you are above the limit and need to register with our farmers market, I have registered it with the state tax commission and you can go to tax.idaho.gov/gototap
to register and can call me at (208)731-8394 for the Event ID number. That needs to be done prior to the market opening date on June 7th. We look forward to seeing you and are pleased with this bit of help for our smaller vendors. Have a SUPER week! Kathy
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