All states › Idaho
Every step to open an LLC in Idaho and get ready to hire, in order, with the official state page for each one. Agencies you'll deal with: Secretary of State · State Tax Commission · Department of Labor · Industrial Commission.
This is the most common path: a new LLC, general business, paying W-2 employees and 1099 contractors. Adding a location, forming a corporation, or in a licensed industry? Customize it and check off steps as you go.
Customize this checklistPopular Idaho business types:
Do this first. The state tax and payroll accounts ask for your registration details.
Apply free on the IRS website and get the number immediately. You'll need it for the state tax registration, a business bank account, and payroll. Opening a new location? You already have one; the same EIN works in every state.
This internal document sets out who owns what, how decisions get made, and what happens if an owner leaves. It isn't filed with the state, but banks often ask for it, and it helps protect your liability shield. Single-owner LLCs need one too.
Bring your EIN letter, filed formation documents, and operating agreement or bylaws. Keeping business and personal money separate is one of the main things that protects your personal assets.
Many businesses need a license or permit before opening, separate from registering the company. Check three levels: the state licensing board for your field, your city or county, and any federal agency that regulates your industry.
If you want S corp taxation, file IRS Form 2553. The deadline is tight: generally within 2 months and 15 days after the start of the tax year you want it to apply. See Business basics for when it makes sense.
File Articles of Organization (or the state's equivalent) online through SOSBiz.
The agent must have a physical street address in Idaho; a PO box is not accepted.
Certificate of Assumed Business Name is filed with the Secretary of State. It cannot be expedited.
Paper filings add a $20 manual processing fee, so filing online through SOSBiz is cheaper. Foreign entities must include a certificate of existence from their home state.
Idaho charges a $20 manual processing fee on paper filings. Filing formation documents and assumed business names online through SOSBiz avoids it.
Get a federal EIN first, then register for a withholding account and a seller's permit with the Tax Commission through Idaho Business Registration. Manage accounts in the Taxpayer Access Point (TAP).
Some Idaho cities may levy local option sales taxes (see the Tax Commission's City Sales Taxes page). No local income or payroll taxes were found.
Almost everyone selling goods or taxable services in Idaho needs a seller's permit and must collect the 6% sales tax.
Applies if you sell products, or services this state taxes. Most medical care is exempt. See Business basics for sales tax.
Idaho calls it a Seller's Permit. Register with the Idaho State Tax Commission through Idaho Business Registration (IBR) before you make your first taxable sale in Idaho. You'll collect tax from customers and send it to the state.
Give your supplier Form ST-101, Sales Tax Resale or Exemption Certificate so you don't pay tax on inventory you'll resell. The buyer gives it to the seller and must enter an Idaho seller's permit number; the MTC multistate certificate is valid only if it meets Idaho Code 63-3622(c). Keep certificates your own customers give you, too.
Out-of-state sellers must register once sales into Idaho pass $100,000 (current or previous calendar year), even with no office here.
You must file even with no sales, and 12 straight $0 returns lead to the seller's permit being canceled.
Applies once you pay W-2 employees who work in this state.
Form I-9 is never mailed to the government. You keep it in your own files and show it only if ICE or the Department of Labor asks for an inspection.
Federal posters (minimum wage, EEO, FMLA if you have 50+ employees, and others) go alongside the state ones.
Register once you pay wages to employees working in Idaho. Reports and payments are usually quarterly.
Required at 1 or more employees (full-time, part-time, seasonal, or occasional). Coverage must be in place before an employee starts work. Buy from a private insurer or the Idaho State Insurance Fund; an assigned risk pool and self-insurance are also options. Uninsured employers face fines of $25 per day or $2 per employee per day (whichever is greater), personal liability for benefits plus 10%, and a misdemeanor.
Report all new hires and rehires who were gone at least 60 days. Report through the IDOL Employer Portal, by mail, or by fax.
Idaho's wage payment rules:
$7.25 an hour.
No state paid sick leave requirement.
No state retirement savings program mandate for private employers.
Idaho doesn't require harassment training for private employers. A written policy and a yearly refresher are still best practice.
Display the state's required labor law posters where employees can see them, along with the federal posters. Workers' comp notices come from your carrier.
Idaho requires workers' comp to be in effect before an employee starts. Fines run at least $25 per day while uninsured.
The W-9 gives you the contractor's legal name and tax ID for their 1099. Check the classification first: if you control how and when they work, they may legally be an employee.
File with the IRS and send the contractor a copy by January 31. For payments made in 2026 and later, the reporting threshold is $2,000 per contractor per year (it was $600 before).
Recurring deadlines. Put these on your calendar now.
FinCEN's final rule, effective August 14, 2026, permanently exempts companies formed in the U.S. from beneficial ownership reporting. Ignore letters or emails demanding a BOI filing fee; they're a common scam. Only companies formed outside the U.S. still file.
Keeps your business in good standing with the state. Missing it can lead to penalties or dissolution.
Corporations and LLCs taxed as corporations pay Idaho's flat income tax (5.3% under 2025 law).
File unemployment wage reports each quarter and state withholding returns on the schedule you're assigned (if the state has income tax), plus the annual W-2 reconciliation.
Most sellers file monthly, due the 20th of the next month; sellers owing under $750 per quarter file quarterly, and some wholesalers may file semiannually or annually. File a zero return if you had no sales; skipping it can bring penalties.
Recurring dates for Idaho and federal filings. A payroll service handles most payroll lines, but you should know they're happening.
| When | What | Filed with |
|---|---|---|
| End of formation month (yearly) | File free Annual Report on SOSBiz | Idaho |
| Within 20 days of hire | Report new hires to IDOL | Idaho |
| Jul 1 | Malpractice noneconomic damages cap adjusts | Idaho |
| Assigned schedule | Sales tax return (file a zero return if no sales) | Idaho |
| Jan 31 | W-2s to employees and SSA (with W-3); Form 940; 4th-quarter Form 941 | IRS / SSA |
| Jan 31 | 1099-NEC to contractors and IRS | IRS |
| 15th monthly | Federal payroll tax deposit (monthly depositors) | IRS |
| Apr 30 · Jul 31 · Oct 31 | Form 941 for the quarter | IRS |
| Jul 31 | Form 5500 or 5500-SF, if you sponsor a 401(k) (Oct 15 with Form 5558 extension) | DOL (EFAST2) |
Last verified: October 27, 2026
The Idaho state filing fee for an LLC is $100 online ($120 on paper). That's the fee to form your LLC with the state. Expect other costs too, such as a registered agent service if you use one, licenses, and annual filings. See the checklist above for each step.
You need to register to collect sales tax in Idaho if you sell taxable products or services there. The state rate is 6%, and local taxes may add to it. Registration cost: Free.
Out-of-state sellers must register once their sales into Idaho pass $100,000 a year. Having an employee or office in Idaho also creates nexus right away.
Recurring filings include: file the Annual Report; file quarterly unemployment reports and withholding returns; file sales tax returns on time. The deadline calendar above lists the dates.
This guide organizes official requirements. It isn't legal or tax advice. Fees, forms, and deadlines change, so confirm on each linked state page before you file, and talk to an attorney or CPA about your specific situation.
About · Privacy Policy · Referral Disclosure · Terms of Use · hello@openmybizbystate.com
© 2026 OpenMyBiz by State