How Does the Idaho Economic Nexus Work?

November 20, 2020

Idaho is one of many states to impose collection requirements on sellers with economic nexus following the Wayfair decision.

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This blog was last updated on November 27, 2024

Idaho is one of many states to impose collection requirements on sellers with economic nexus following the South Dakota v. Wayfair, Inc. decision. The details of the Idaho economic nexus standard are found below.

Enforcement date:
June 1, 2019.

Sales/transactions threshold:
$100,000.

Measurement period:
Threshold applies to the previous or current calendar year.

Included transactions/sales:
Sales into Idaho.

When You Need to Register Once You Exceed the Threshold:
Next transaction.

Summary: According to state law, retailers without a physical presence in Idaho must collect state sales tax when their sales into Idaho exceed $100,000 in the current or previous year. Marketplace facilitators without a physical presence must collect Idaho sales tax when the combined total of their own sales in Idaho and their third-party sales in Idaho exceed $100,000 in the current or previous year. Marketplace facilitators must also have separate seller’s permits for their sales in Idaho and their third-party sales, according to the Idaho State Tax Commission.

Remote sellers and marketplace facilitators that have sales in Idaho should not fear collection requirements under economic nexus rules. Instead, working with a partner that is up to date on all regulations will help keep operations running smoothly.

Idaho Sales Tax Resources: For more information on Idaho economic nexus details, reach out to our team. Additionally, check out our real-time interactive sales tax nexus map for details on every state.

Sovos

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