Drawing from Idaho’s $2 billion budget surplus, state lawmakers have approved more than $660 million in one-time and ongoing tax relief during a one-day special session Thursday in Boise.
The legislature also set aside $410 million in additional funding for K-12 and higher education.
The bill includes a one-time, $500 million income tax rebate equal to 10% of a taxpayer’s 2020 tax liability, or a minimum of $300 per single filer and $600 for joint filers, with rebate checks expected to go out as soon as this month.
The legislation also replaces Idaho’s current income tax brackets with a 5.8% flat tax. The first $4,478 in taxable income, or $8,956 for joint filers, will be exempt. That figure gets adjusted upward annually to account for inflation.
The legislation was delivered to, and signed by Governor Brad Little and is expected to be deliver it to the Secretary of State’s Office today (Fri).
