What Is the Idaho Standard Deduction for 2023?
Learn how the 2023 Idaho standard deduction functions to lower your taxable income, a key step in accurately calculating your final state tax liability.
The Idaho standard deduction is a fixed-dollar amount that taxpayers can subtract from their adjusted gross income (AGI). It simplifies tax preparation for many individuals by eliminating the need to track and document a variety of specific expenses throughout the year. This deduction is an alternative to itemizing deductions, a process that involves listing out individual deductible expenses. The choice between these two methods depends on which one results in a lower tax bill for your specific financial situation.
Idaho Standard Deduction Amounts
For the 2024 tax year, Idaho’s standard deduction amounts mirror the federal figures. For those filing as Single or Married Filing Separately, the deduction is $14,600. The amount is $29,200 for Married Filing Jointly or Qualifying Surviving Spouse, and $21,900 for Head of Household filers. For the 2025 tax year, these amounts are projected to increase to $15,000, $30,000, and $22,500, respectively.
An additional standard deduction amount is available for taxpayers who are age 65 or older, or who are blind. For the 2024 tax year, this additional amount is $1,550 for those who are married or a qualifying surviving spouse and $1,950 for those who are single or head of household. For 2025, these amounts are expected to be $1,600 and $2,000, respectively. A taxpayer can claim an additional amount for each condition that applies.
Who Cannot Take the Standard Deduction
Certain rules prevent some taxpayers from claiming the Idaho standard deduction, regardless of whether it would be financially advantageous. A primary restriction applies to married individuals who choose to file separate tax returns. If one spouse decides to itemize their deductions on their Idaho return, the other spouse is not permitted to claim the standard deduction and must also itemize.
Other individuals who are ineligible to claim the standard deduction include nonresident aliens, unless they are married to a U.S. citizen or resident and elect to be treated as a resident for tax purposes. An individual filing a return for a period of less than 12 months because of a change in their annual accounting period is also precluded from taking the standard deduction.
Deciding Between Standard and Itemized Deductions
The decision to take the standard deduction or to itemize is a matter of comparing numbers to see which method provides a greater tax benefit. Itemized deductions are specific, eligible expenses that you can subtract from your adjusted gross income. To make an informed choice, you must calculate the total of your potential itemized deductions and compare it to the standard deduction amount for your filing status. If your total itemized deductions are greater than your standard deduction, itemizing will result in a lower taxable income.
Common itemized deductions in Idaho include:
- Significant medical and dental expenses that exceed a certain percentage of your AGI
- Certain state and local taxes paid (though not state income or sales taxes)
- Home mortgage interest
- Investment interest, subject to limitations
- Charitable contributions made to qualified organizations
You should gather records for all these potential expenses from the tax year to accurately sum your total.
For example, if you are a single filer preparing your 2024 tax return, your standard deduction is $14,600. You would need to have more than $14,600 in total qualifying itemized deductions to make itemizing worthwhile. This calculation requires careful record-keeping throughout the year for expenses like doctor’s bills, property taxes, and mortgage interest payments.
Claiming the Deduction on Your Idaho Tax Return
For full-year Idaho residents, the standard deduction amount is entered on Form 40, the Idaho Individual Income Tax Return. You will find the specific line for this entry clearly marked as the “Standard or Itemized Deductions” line.
If you are a nonresident or a part-year resident of Idaho, you will use Form 43, the Part-Year Resident & Nonresident Income Tax Return. It is important to use the correct form based on your residency status to ensure your return is processed correctly by the Idaho State Tax Commission.