Idaho Income Tax Filing Delays Due to Recent Law Changes

We want to provide an important update regarding 2025 Idaho income tax filings.

Why Are Returns Delayed?

The Idaho State Tax Commission recently announced that Idaho has conformed to the One Big Beautiful Bill Act. Because this conformity legislation was enacted only a few weeks ago, the 2025 Idaho income tax forms are still being finalized.

In addition, professional tax software providers must program, test, and release updates reflecting the new law before returns can be accurately prepared and filed. Until those updates are complete, Idaho returns cannot be finalized.

For more information, see the Idaho State Tax Commission press release.

What This Means for You

For most taxpayers, these changes are favorable. Key provisions include:

• Increased standard deduction amounts
• An enhanced senior deduction
• A deduction for qualified tips from wages
• A deduction for certain car loan interest
• A deduction for qualified overtime compensation

These changes may reduce Idaho taxable income for many filers.

What We Are Doing

Our team is actively monitoring updates from the Idaho State Tax Commission and our software providers. As soon as finalized forms and system updates are available, we will move forward promptly with completing and filing returns.

We understand that delays can be frustrating, and we appreciate your patience as we work to ensure your return is prepared accurately and in full compliance with the updated law.

If you have questions about how these changes may affect your specific situation, please contact our office.