Starting a business in Idaho is an exciting venture, but it’s crucial to understand the legal requirements that come with it. A common area of confusion for many new business owners is understanding the need for an Idaho seller’s permit, also known as a sales tax permit. This permit allows you to collect sales tax on taxable products and services from customers in Idaho and remit it to the state.
This blog will guide you through each step of applying for a sales tax permit, with clear instructions to help you and your business begin collecting sales tax effortlessly.
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Who Needs a Seller’s Permit in Idaho?
A business must register for a sales tax permit in Idaho if:- you meet physical or economic nexus within the state and
- you are selling taxable products or providing taxable services to customers in Idaho
How to Register for a Seller’s Permit in Idaho?
When applying for an Idaho Seller’s Permit, you can use the online application process on the Idaho Business Registration System website to complete your sales tax registration.1. Where to Apply for a Seller’s Permit in Idaho?
The first step is to register your business at the Idaho Business Registration System by clicking the title “Create a new account.” under the Begin New Registration section. You will first create an online user profile with a username and password. Once your logon is created, you can register for a seller’s permit in Idaho. You will then follow through the prompts that walk you through your registration process and provide the necessary information. You will want to make sure you select “No” for physical presence in the Sales and Use Tax Section if you are a remote/out-of-state seller.2. What Information Do You Need to Get a Seller’s Permit in Idaho
To successfully acquire a seller’s permit in Idaho, it’s important to prepare and provide specific information and documents. The following is a list of the necessary information and documents required to register a sales tax permit in Idaho:- Business Identification Information: Legal Business Name, Physical Address, Mailing address
- Business Entity Structure (i.e., Sole Proprietorship, Partnership, Subchapter S Corp., Sorporation, LLC, etc.)
- Federal Employer Identification Number (EIN or FEIN)
- Name, Address, and SSN of Owners, Partners, or Officers
- Business Activity Details: Date & State of Incorporation, Start Date with the State of Idaho (nexus start date), Estimated Monthly Taxable Sales in Idaho
- NAICS Code
3. How Much are the Fees for Applying for and Renewing a Seller’s Permit in Idaho?
Registering for a sales tax permit in Idaho is free, and you won’t need to provide payment details to acquire your permit. Idaho sales tax permit does not need to be renewed and remains valid for as long as the business exists without any changes in ownership or structure.4. What are Other Ways to Register for a Seller’s Permit in Idaho?
- Use TaxHero. Registering for a seller’s permit, mainly when it involves multiple permits, can be a tedious and time-consuming task requiring much effort. Let the experts at TaxHero save you from this hassle, and let us handle the registration process in all states where you have nexus as part of our all-inclusive sales tax service.
- Paper Application. You must fill out Form IBR-1, attach the necessary documents, and mail it to the address provided in the form.