Any business that sells goods or taxable services within the state of Idaho to customers located in Idaho is required to collect sales tax from that buyer. This will include all online businesses. Any seller which conducts business and has a major presence within the state must collect sales tax in Idaho must pay taxes to the state. Therefore, these sellers required to file for a Sales tax certificate. By not doing so the business may face sanctions or other types of penalties. Additionally, depending on the businesses location and tax jurisdiction, localities such as counties, cities, and other districts can also add additional sales and use taxes.
You may need a Sales Tax Certificate if any of the following apply your business:
The majority of service businesses are not taxable in Idaho. The exceptions would be service businesses that manufacture tangible parts or products. Additionally, transportation services are taxable.
As a wholesale company conducting business in the state of Idaho, you are required to have a sales tax certificate when purchasing items at wholesale prices, Therefore, suppliers must request a copy of your resale certificate before selling you items at wholesale prices.
If you list shipping charges separately on an invoice then you do not have to collect sales tax, but if you lump them in with the price of the merchandise sold then you would have to.
A drop shipment is where a seller (most times out of state) sells a product which is then delivered to a consumer by a third party shipper. In most instances, drop shipments in Idaho are required to have sales tax added
Certain prescription medicines, specific medical devices, raw materials, and custom downloadable software are tax exempt
Register for an Idaho sales/use tax number
Idaho state, county, city, & municipal tax rate table