Each state’s tax code in the United States is a complex structure with many moving parts, and Idaho is no exception. Understanding the fundamentals of Idaho’s tax system is the first step in comprehending its structure. The tax system of Idaho ranks seventeenth in terms of average tax per area. If you live in Idaho and want to compute your individual income tax, there is no need to do so because Idaho, United States, has a graduated income tax system. This means that higher incomes are taxed at a higher rate in Idaho. Here is everything about Idaho Income Tax Calculator.
Suppose you earn $70,000 a year and reside in the Idaho region of the United States. You will owe $12,366 in federal and state income taxes. This indicates that your annual net income will be $57,000. Your marginal tax rate is 22 percent, and your average tax rate is 11.98 percent. This marginal tax rate indicates that any additional income you earn will be taxed at this rate. For example, a $100 increase in your wage will result in a tax liability of $38.05. Consequently, your net pay will increase by only $61.95. This was a great example to calculate your Idaho income tax manually. But you can calculate your income tax using TaxUni’s Idaho Income Tax Calculator at the end of this article.
Before you use Idaho Income Tax Calculator, you need to know some variables that affect your income.
In Idaho, the graduated individual income tax rates range from 1.00 percent to 6.00 percent. In addition, the corporate income tax rate in Idaho is 6%. Idaho has a state sales tax rate of 6%, a maximum local sales tax rate of 3%, and an average state and local combined sales tax rate of 6.2%.
The taxes are usually collected in areas that concern corporations. We can list the major taxes collected in Idaho as follows:
Idaho Sales Tax
Idaho sales tax is a kind of tax that is currently around 6%.
Idaho Corporate Income Tax
Idaho Corporate Income tax is a tax that is assessed on all business activities. The corporate income tax rate ranges from 6,0 for insurance commission, 0.5% for wholesaling, manufacturing, producing, wholesale services, and use tax on imports for resale and all others.
Idaho State Tax
Idaho State Tax is a kind of tax that ranges from a 6,00 percent state sales tax rate to a 3.00 percent max local sales tax rate, and an average combined state and local sales tax rate of 6.02 percent.
Idaho Individual Tax
As we mentioned before, in Idaho, there has a graduated individual tax with rates ranging from 6% to 10,7% in the context of state and local tax burden.
Idaho Property Tax
Idaho has the lowest property tax rate in the nation at 0,70%. The Idaho annual property tax payment in the state is $1,101, including state and local property tax collections per capita.
Income Tax Calculator TaxUni
Below, you can easily calculate your income tax by using the following Idaho Income Tax Calculator. But don’t forget that the following calculator just gives you an idea, it may not give you the precise results. To learn your actual income tax, please get advice from professionals.