The Idaho sales tax rate is 6%, applied across the state on retail sales and certain services. But some resort cities have an additional sales tax on top, which varies depending on what’s being sold.

Below, we cover how Idaho’s destination-based sales tax system works, where local rates apply, and how to calculate what you owe on any given transaction.

Highlights

• Idaho’s state sales tax rate is 6%, but combined rates can reach much higher in resort cities.

• Only certain resort cities in Idaho that meet strict criteria can levy local sales taxes.

• Idaho taxes tangible personal property by default, but it exempts many services.

What is the Idaho sales tax rate?

Idaho’s base sales tax rate is 6%. That single rate applies across the state on retail sales, including tangible personal property and a defined set of services.

Some local jurisdictions have an additional sales tax rate on top. This is often called a Local Option Tax or resort tax. It’s applicable only to qualifying resort cities in the state.

How does Idaho’s sales tax rate work?

Idaho runs a destination-based sales tax system. That means the sales tax rate that applies is determined by where the buyer receives the product, not where the seller is located.

Out-of-state businesses that exceed $100,000 in Idaho sales in a calendar year must register with the Idaho State Tax Commission and collect sales tax. Once you’re registered, you apply sales tax rates based on the delivery address. That means you need to know if a customer’s shipping address falls inside a resort city’s taxing jurisdiction.

What are the local sales tax rates in Idaho?

Idaho state law reserves sales tax authority, with the exception of Idaho’s resort city tax, which allows qualifying municipalities to impose additional local rates anywhere from 1% to 4%. These taxes are decided by the voters in the communities affected.

To qualify, a municipality must have a population under 10,000 and derive a major portion of its economic base from recreation and tourism.

These are some of the cities with local resort taxes as of 2026:

• Sun Valley

• Ketchum

• Driggs

• McCall

• Stanley

• Victor

Each city sets its own scope, and exemptions vary. In Ketchum, for example, certain essential services (such as groceries and vehicles) are excluded from the local rate. Always check the specific city’s rules if you’re selling there.

2026 Idaho sales tax range

What are Idaho’s sales tax rates by city?

Idaho’s sales tax rates by city are generally 6%, but resort towns’ rates can run higher. The table below shows the minimum combined sales tax rate (state plus any applicable local rate for general retail sales) for Idaho’s largest and commercially active cities. Be aware that the local rates for goods such as alcoholic beverages or event sales can be higher in some resort cities.

What are Idaho’s sales tax rates by county?

County governments in Idaho don’t have independent sales tax authority. Sales tax rates are set at the state and city level only. County-level combined rates reflect the state base of 6% unless a resort city within the county has enacted a local rate, in which case the elevated rate applies within those city limits only.

Blaine County contains Sun Valley and Ketchum. Valley County contains McCall. Teton County contains both Driggs and Victor. Transactions elsewhere in each county (outside those city limits) stay at 6%.

What products and services are subject to sales tax in Idaho?

Idaho taxes the retail sale of tangible personal property. If it’s physical and sold at retail, it’s taxable unless a specific exemption applies.

Taxable categories of goods and services in Idaho include:

• Tangible goods sold at retail (clothing, electronics, furniture, tools)

• Prepared food and beverages, including restaurant meals

• Admissions to events, amusements, and recreational facilities

• Hotel, motel, and short-term lodging (subject to additional travel and convention tax)

• Rental of tangible personal property

These goods and services are not subject to sales tax in Idaho:

• Prescription drugs and certain medical equipment

• Agricultural inputs such as seeds, fertilizer, and livestock feed

• Sales to qualifying nonprofit organizations

• Manufacturing equipment used directly in production

• Resale purchases

Digital goods (books, music, games, videos) bought with a permanent right to use are generally taxable in Idaho, but digital subscriptions, streamed content, and rentals are not. Software is taxable, regardless of whether it’s delivered digitally or physically, but software-as-a-service (SaaS) is generally not taxable in Idaho.

How do you calculate Idaho’s sales tax rate?

The formula itself is simple: taxable sale amount × applicable combined rate = sales tax due. The most important part is confirming the right tax rates before you run the formula.

Here is how to calculate Idaho sales tax:

1. Confirm product taxability: Is what you’re selling taxable in Idaho, or does an exemption apply?

2. Identify the destination: Idaho’s destination-based system means the ship-to address determines the sales tax rate.

3. Check for resort city tax: Is the delivery address in a resort city? If so, add the corresponding local tax (1%–4%) to the base rate.

4. Apply the rate: State rate (6%) plus any local resort tax (1%–4%) equals your sales tax combined rate.

Stripe Tax automates these calculations at the transaction level. And for one-off estimates, Stripe’s sales tax calculator gives you a quick combined rate by address without any account setup.

How Stripe Tax can help

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Stripe Tax can help you:

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