TITLE 63

REVENUE AND TAXATION

CHAPTER 30

INCOME TAX

63-3024A.  Food tax credits and refunds. (1) Any resident individual who is required to file and who has filed an Idaho income tax return shall be allowed a credit against taxes due under the Idaho income tax act for the taxpayer, the taxpayer’s spouse, and each dependent, as defined in section 152 of the Internal Revenue Code, claimed on the taxpayer’s Idaho income tax return and awarded by the court under section 32-706, Idaho Code, if applicable. For tax year 2022, the credit is one hundred dollars ($100). For tax years 2023 and 2024, the credit is one hundred twenty dollars ($120). For tax year 2025 and each year thereafter, the credit is one hundred fifty-five dollars ($155). If taxes due are less than the total credit allowed, the taxpayer shall be paid a refund equal to the balance of the unused credit.

(2)  A resident individual who is not required to file an Idaho income tax return and for whom no credit or refund is allowed under any other subsection of this section shall, subject to the limitations of subsections (3), (4), (5), (6), and (7) of this section, be entitled to a refund in the amount provided in subsection (1) of this section.

(3)  Except as provided in subsection (8) of this section, a credit or refund under this section is available only if the individual for whom a personal exemption is claimed is a resident of the state of Idaho.

(4)  In no event shall more than one (1) taxpayer be allowed a credit or refund for the same personal exemption or under more than one (1) subsection of this section.

(5)  In the event that a credit or refund is attributable to any individual for whom assistance under the federal food stamp program was received for any month or part of a month during the taxable year for which the credit or refund is claimed, the credit or refund allowed under this section shall be in proportion to the number of months of the year in which no assistance was received.

(6)  In the event that a credit or refund is attributable to any individual who has been incarcerated for any month or part of a month during the taxable year for which the credit or refund is claimed, the credit or refund allowed under this section shall be in proportion to the number of months of the year in which the individual was not incarcerated.

(7)  No credit or refund shall be paid that is attributable to an individual residing illegally in the United States.

(8)  Any part-year resident entitled to a credit under this section shall receive a proportionate credit reflecting the part of the year in which he was domiciled in this state.

(9)  In lieu of the flat tax credit amounts provided in subsection (1) of this section, a resident taxpayer may elect for the taxpayer, the taxpayer’s spouse, and each dependent, as defined in section 152 of the Internal Revenue Code, claimed on such taxpayer’s Idaho income tax return, the actual amount of sales tax paid by such persons on food purchases that took place in Idaho during the taxable year, up to a maximum of two hundred fifty dollars ($250) per person. To make this election, the taxpayer shall indicate this choice on the taxpayer’s tax return or application and submit scanned copies of sales tax receipts of qualifying food purchases along with the tax return or application. If taxes due are less than the total credit allowed, the taxpayer shall be paid a refund equal to the balance of the unused credit. The provisions of section 63-3042A, Idaho Code, shall not apply to the credit provided in this section. If a taxpayer meets the qualifications under the provisions of subsection (5) of this section, such taxpayer shall not be eligible for the credit under this subsection. If a taxpayer misrepresents the amount of sales tax paid on food purchases on such taxpayer’s tax return or application, the amounts that were improperly claimed shall be subject to recovery by the state tax commission pursuant to section 63-3045, Idaho Code, and the taxpayer shall be subject to the penalties provided in sections 63-3046 and 63-3075(b), Idaho Code.

(a)  For the purposes of this subsection, "food" means the sale of food sold for human consumption and shall have the same definition as provided in 7 U.S.C. 2012 as that section existed on January 1, 2025. The types and kinds of food products on which sales tax qualifies as credit by this section shall be the same types and kinds of food products that are eligible for purchase with benefits provided under the federal supplemental nutrition assistance program and shall not include candy, soda, restaurant sales of food, food sold in a heated state or heated by a retail seller, two (2) or more food ingredients mixed or combined by a retail seller for a single sale, or food sold with an eating utensil provided by the retail seller such as a plate, knife, fork, spoon, glass, cup, napkin, or straw.

(b)  For the purposes of paragraph (a) of this subsection:

(i)   "Candy" means a preparation of sugar, honey, or other natural or artificial sweeteners combined with chocolate, fruits, nuts, or other ingredients or flavorings in the form of confections, bars, drops, or pieces. "Candy" does not include any item that contains more than ten percent (10%) flour by weight or requires refrigeration.

(ii)  "Soda" means any nonalcoholic beverage that contains natural or artificial sweeteners. "Soda" does not include beverages that contain milk or milk substitutes, greater than fifty percent (50%) of vegetable or fruit juice by volume, or that require preparation before consumption, such as powders or concentrates.

(10) Any refund shall be paid to such individual only upon his making application therefor, at such time and in such manner as may be prescribed by the state tax commission. The state tax commission shall prescribe the method by which the refund is to be made to the taxpayer. The refunds authorized by this section shall be paid from the state refund fund in the same manner as the refunds authorized by section 63-3067, Idaho Code.

(11) An application for any refund that is due and payable under the provisions of this section must be filed with the state tax commission within three (3) years of:

(a)  The due date, including extensions, of the return required under section 63-3030, Idaho Code, if the applicant is required to file a return; or

(b)  The fifteenth day of April of the year following the year to which the application relates, if the applicant is not required to file a return.

(12) The state tax commission shall provide income tax payers with the irrevocable option of donating credited funds accruing pursuant to this section. Any funds so donated shall be remitted from the refund fund to the cooperative welfare fund, created pursuant to section 56-401, Idaho Code, and shall be used solely for the purpose of providing low-income Idahoans with assistance in paying home energy costs.

History:

[63-3024A, added 2008, ch. 316, sec. 2, p. 876; am. 2017, ch. 16, sec. 1, p. 27; am. 2019, ch. 13, sec. 1, p. 15; am. 2020, ch. 271, sec. 2, p. 793; am. 2022, ch. 268, sec. 1, p. 858; am. 2025, ch. 56, sec. 1, p. 267.]