Bill > H0733

This bill makes several changes to Idaho's tax laws concerning partnerships and other business entities. It revises the deadline for businesses to elect to be treated as an "affected business entity," which is a partnership or S corporation that chooses to pay income tax directly rather than having its income passed through to its owners. The bill also updates the timeframes for the state tax commission to issue notices of tax deficiencies and collect taxes, particularly when federal tax adjustments occur, defining "final determination date" and "final federal adjustment" more clearly. Additionally, it extends the notification period for taxpayers to inform the state tax commission about changes in their federal or other state tax liabilities, and it introduces new provisions for how partnerships and their partners should report and pay taxes when federal adjustments are made at the partnership level, including options for the partnership to pay the tax directly. Finally, the bill adjusts certain time limits for claiming tax credits or refunds, especially when federal adjustments impact prior tax years.

Budget and Finance

Revenue and Taxation Committee (House)

https://legislature.idaho.gov/sessioninfo/2026/legislation/H0733/