Idaho Resale Certificate Guide 2026: How to Get Yours

Idaho offers one of the simplest sales tax systems in the country. The state imposes a flat 6% sales tax with no local add-ons. No cities, counties, or special districts in Idaho levy additional sales taxes. This means one rate applies everywhere in the state, making compliance straightforward for businesses of all sizes. If you buy goods for resale in Idaho, you need Form ST-101, the Idaho Sales Tax Resale or Exemption Certificate. This guide covers the full process for 2026.

Idaho Sales Tax Basics

State Rate

The Idaho state sales tax rate is 6%. This rate is uniform statewide. Idaho does not permit local jurisdictions to impose their own sales taxes. Whether you operate in Boise, Idaho Falls, Coeur d'Alene, or a rural unincorporated area, the rate is always 6%.

Use Tax

Idaho imposes a 6% use tax on goods purchased from out-of-state vendors when the seller does not collect Idaho sales tax. The use tax matches the sales tax rate and ensures that out-of-state purchases are taxed equally. Items purchased for resale are exempt from use tax with proper documentation.

What Is Taxable in Idaho?

Idaho taxes most tangible personal property and certain services:

• Most physical goods are taxable
• Groceries (unprepared food) are taxable at the full 6% rate (Idaho is one of the few states that taxes groceries at the full rate)
• Prescription drugs are exempt
• Clothing is fully taxable
• Most services are not taxable, with exceptions for select services
• Hotel and short-term lodging is taxable at 6% plus a separate travel and convention tax of 2% in some areas
• Digital products are generally not taxable in Idaho

What Form Do You Need?

Idaho uses Form ST-101, the Sales Tax Resale or Exemption Certificate. This form is issued by the Idaho State Tax Commission.

About Form ST-101

Form ST-101 is a multi-purpose certificate used for both resale and other exemption claims. When claiming a resale exemption, the buyer checks the "Resale" box and provides their Idaho seller's permit number.

Key fields include:

• Purchaser's name, address, and phone number
• Idaho seller's permit number
• Type of exemption claimed (check "Resale")
• Description of property being purchased
• Purchaser's signature and date

Idaho also accepts the Multijurisdiction Uniform Sales and Use Tax Certificate (MTC) from the Multistate Tax Commission.

Where to Get the Form

Form ST-101 is available as a free PDF from the Idaho State Tax Commission website at tax.idaho.gov. You can also call the Tax Commission to request a copy by mail.

Who Needs an Idaho Resale Certificate?

Any business purchasing tangible personal property for resale needs an Idaho resale certificate. This includes:

Retailers buying inventory to sell in physical stores, online platforms, farmers markets, or craft fairs.

Wholesalers and distributors purchasing goods from manufacturers or importers for redistribution to retailers or other businesses.

Online sellers registered in Idaho who purchase inventory for resale through Amazon, eBay, Etsy, Shopify, or any other channel.

Agricultural businesses purchasing goods for resale such as seed, livestock, or feed that will be sold to end customers. Idaho has a significant agricultural economy, and businesses in this sector frequently use resale certificates.

Manufacturers purchasing raw materials and components that become part of a finished product manufactured for sale.

Who Does NOT Qualify

• Consumers buying for personal use
• Businesses purchasing supplies, tools, or equipment for internal use
• Contractors buying materials for installation into real property

How to Apply for an Idaho Resale Certificate

Step 1: Register for an Idaho Seller's Permit

You need an Idaho seller's permit before you can issue a valid Form ST-101. Registration is handled through the Idaho State Tax Commission.

What you need to register:

• Federal EIN or SSN
• Business legal name and DBA
• Business address
• Type of entity (sole proprietorship, LLC, corporation, etc.)
• Description of products or services sold
• Expected start date
• Estimated monthly taxable sales

Registration is free. Apply online through the Idaho State Tax Commission's website at tax.idaho.gov.

Processing time: Online applications are typically processed within 5 to 7 business days. You will receive your seller's permit number by mail or through your online account.

Step 2: Complete Form ST-101

Download the form and fill in your business details. Check "Resale" as the exemption type. Enter your Idaho seller's permit number and describe the products you will purchase for resale.

Step 3: Provide the Certificate to Your Suppliers

Give the completed Form ST-101 to each vendor you want to buy from tax-free. The vendor retains the certificate and does not charge sales tax on qualifying purchases.

Want help with the process? We handle everything from registration to certificate completion.

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Multi-State Considerations

Idaho's simple flat-rate system and acceptance of the MTC certificate make multi-state compliance relatively straightforward.

MTC Certificate Acceptance

Idaho accepts the Multijurisdiction Uniform Sales and Use Tax Certificate (MTC). If you already have an MTC certificate for use in other states, it is valid in Idaho as well. This reduces paperwork for businesses operating across multiple states.

SST Status

Idaho is not a member of the Streamlined Sales Tax (SST) agreement. However, Idaho's flat statewide rate and lack of local taxes already achieve much of what SST aims to simplify. The SST certificate is not the standard form in Idaho, but the MTC certificate provides similar multi-state functionality.

Economic Nexus

Idaho's economic nexus threshold is $100,000 in sales to Idaho customers in the current or prior calendar year. There is no transaction count threshold. Out-of-state sellers exceeding this amount must register, collect, and remit Idaho sales tax.

Marketplace Facilitator Rules

Idaho requires marketplace facilitators (Amazon, eBay, Walmart, Etsy) to collect and remit sales tax on behalf of third-party sellers. If you sell exclusively through a marketplace, the marketplace handles your Idaho sales tax obligations. If you also sell directly, you need your own seller's permit.

Border State Considerations

Idaho borders Washington, Oregon (no sales tax), Montana (no sales tax), Wyoming, Utah, and Nevada. Businesses near the Oregon or Montana borders should note that purchasing inventory in those states avoids sales tax at the point of purchase, but Idaho use tax still applies if the goods are brought into Idaho for use rather than resale.

For more on multi-state compliance, see our multi-state resale certificate guide.

Common Mistakes with Idaho Resale Certificates

Mistake 1: Using the Certificate for Non-Resale Purchases

Buying office supplies, personal items, or business equipment with a resale certificate is the most common violation. Idaho auditors review purchase records and compare them against reported resale inventory. Items that do not match raise flags.

Mistake 2: Assuming Groceries Are Exempt

Idaho is one of the few states that taxes groceries at the full 6% rate. If you sell food items, you still collect sales tax on unprepared food. Do not confuse Idaho's rules with neighboring states that exempt groceries.

Mistake 3: Ignoring Use Tax on Out-of-State Purchases

If you buy inventory from vendors in Oregon, Montana, or other states where no sales tax was collected, you owe Idaho use tax on those purchases unless they qualify for the resale exemption. Many businesses overlook this obligation.

Mistake 4: Not Updating Certificates When Business Information Changes

If your business name, address, or seller's permit number changes, you should provide updated certificates to your vendors. Outdated information can create issues during an audit.

Idaho-Specific Rules You Should Know

Groceries Taxed at Full Rate

Idaho taxes groceries at the full 6% rate. This is notable because most states either exempt groceries entirely or tax them at a reduced rate. If you operate a grocery store, convenience store, or food business in Idaho, you collect 6% on all food sales, whether prepared or unprepared.

The state does provide a grocery tax credit on individual income tax returns to offset the impact, but this does not affect business sales tax obligations.

Agricultural Exemptions

Idaho has specific exemptions for agricultural production. Purchases of farm equipment, irrigation equipment, and supplies used directly in agricultural production may qualify for exemption. These are separate from the resale exemption and are claimed using different sections of Form ST-101.

Production Exemption

Idaho offers a production exemption for equipment, chemicals, and supplies used directly in manufacturing, fabricating, or processing tangible personal property for sale. If your business manufactures goods for resale, you may qualify for both the production exemption and the resale exemption on different types of purchases.

No Local Taxes

Idaho's lack of local sales taxes is one of its biggest advantages for businesses. You never need to worry about tracking different rates for different jurisdictions within the state. This simplifies compliance, record-keeping, and pricing.

Audit Practices

The Idaho State Tax Commission conducts audits on a cyclical basis. Having properly documented Form ST-101 certificates on file for every tax-exempt purchase is essential. The commission typically reviews 3 years of records during an audit.

How Much Can You Save?

Idaho's flat 6% rate makes savings simple to calculate.

Use our savings calculator to calculate your exact savings.

Idaho Resale Certificate FAQs

Q: Does the Idaho resale certificate expire? A: Idaho does not print an expiration date on Form ST-101. The certificate is valid as long as the buyer's seller's permit is active. Vendors may request updated certificates periodically.

Q: Can I use the MTC certificate in Idaho? A: Yes. Idaho accepts the Multijurisdiction Uniform Sales and Use Tax Certificate (MTC). Either the MTC form or Idaho's Form ST-101 is valid.

Q: Is there a fee for an Idaho seller's permit? A: No. Idaho does not charge a fee for sales tax registration.

Q: Are there local sales taxes in Idaho? A: No. Idaho has no local sales taxes. The rate is a flat 6% statewide, making it one of the simplest states for sales tax compliance.

Q: Does Idaho tax groceries? A: Yes. Idaho taxes groceries at the full 6% rate. This applies to both prepared and unprepared food.

Get Started with Your Idaho Resale Certificate

Idaho's flat 6% rate and lack of local taxes make the resale certificate process one of the most straightforward in the country. Get your seller's permit, complete your Form ST-101, and start saving on every inventory purchase.

• Expert registration guidance
• Help completing Form ST-101 or MTC certificate
• Ongoing compliance support

Get Your Resale Certificate -->

For more details on Idaho's requirements, visit our Idaho state page.

Idaho's simplicity is its strength. One rate, no local taxes, and a standard exemption certificate. Register, document your resale purchases, and keep your records organized for audit readiness.

Related Articles

• What Is a Resale Certificate? - New to resale certificates? Start with the fundamentals.
• Resale Certificate for Amazon Sellers - Idaho sellers on Amazon have specific considerations.
• Understanding Sales Tax Nexus - Learn when you are required to register in Idaho and other states.