Idaho Form Help

The following information has been provided to assist in the preparation of Idaho state tax returns.

 

Form 40

 

File Form 40 if any of the following apply:

The taxpayer:

 1. Is a full year Idaho resident

 2. Has Idaho income tax withheld from wages

 3. Is filing as single and has gross income in excess of $10,100, $11,700  if age 65 or over

 4. Is filing as married filing joint and both spouses have gross income in excess of $20,300 plus $1,200 for each person age 65 or over

 5. Is a minor that has gross income in excess of the personal exemption plus the standard deduction based on the filing status

 6. Is a resident of Idaho employed out of state

 7. Is a resident of Idaho employed in a foreign country on a temporary or transitory basis

 8. Is a survivor or representative of a deceased taxpayer

 

Residency:

1. Resident:

   An individual:

   - Who thinks of Idaho as his/her permanent home

   - Whose center of financial, social, and family life is Idaho

   - Who intends to come back to Idaho when away

2. Part-Year Resident:

   An individual who:

   - Moved into Idaho during the year to maintain residence from another state or country

   - Moved out of Idaho during the year to maintain residence in another state or country

3. Non-Resident:

   An individual:

   - Whose permanent home is outside of Idaho all year

 

Armed forces taxpayers:

File as a non-resident if all of the following apply:

 - The taxpayer joined the armed forces while a resident of Idaho and Idaho is your military home of record

 - The taxpayer was on full-time active duty stationed outside of Idaho for all or a portion of the year.

   Full-time active duty must be continuous and uninterrupted for at least 120 consecutive days. Only

   the portion of military wages received while stationed in Idaho is subject to Idaho tax.

 

   NOTE: If the taxpayer does not meet all of the above requirements, file as a resident. All of the military wages are subject to Idaho tax.

 

Special-case Idaho residents:

The taxpayer is considered a nonresident if all of the following are true:

 - The individual is an Idaho resident who lived outside of Idaho for at least 445 days in a 15-month period

 - After satisfying the 15-month period, the individual spent less than 60 days in Idaho during the year

 - The individual did not have a personal residence in Idaho, for self or family during any part of the tax year

 - The individual did not claim Idaho as his federal tax home

 - The individual was not employed on the staff of a U.S. senator or representative

 - The individual did not hold an elective or appointive office of the U.S. Government other than the armed forces or a career appointment in the U.S. Foreign Service

 

Line 53 Penalty

To avoid paying penalty and interest:

 - Pay by the original due date at least 80% of the tax due on the return or 100% of the total tax reported last year, and

 - File the return and pay the tax due by the extended due date

 

Late Payment Penalty

If any state taxes due are paid after the original due date, the taxpayer will owe an additional amount for a late payment penalty from the due date to the date of payment. The penalty rate is 0.5% per month or fraction of a month to a maximum of 25%.

 

Late Filing Penalty:

If the Idaho individual income tax return is not filed by the extended due date, the taxpayer will owe an additional amount for a late filing penalty. The penalty rate is 2% per month or fraction of a month for failure to meet the extension criteria (the return and taxes must be paid by the extended due date) as well as a 5% per month or fraction of a month to a maximum of 25% for failure to file the return timely.

 

Other Penalities:

There is a 5% penalty for negligence or disregard of the rules, a 10% penalty will be charged for substantial understatement of tax, and a 50% penalty will be charged for filing a false or fraudulent return.

 

   NOTE: The minimum penalty is $10

 

Line 53 Interest

 

Interest:

Interest applies on delinquent tax from the original due date of the return until the tax is paid at the rate of 4% per year (for 2015).

 

Form 43

 

File Form 43 if any of the following apply:

The taxpayer:

 1. Is a nonresident

 2. Is a part-year resident

 3. Is a resident in the military stationed outside Idaho for part or all of the year

 4. If a part-year resident, income from all sources while a resident and gross income from Idaho sources while a nonresident total more than $2,500

 5. If a nonresident, gross income from Idaho sources was more than $2,500

 6. If filed a joint federal return and one spouse is an Idaho resident and the other is not.

 

Residency:

1. Resident:

   An individual:

   - Who thinks of Idaho as his/her permanent home

   - Whose center of financial, social, and family life is in Idaho

   - Who intends to come back to Idaho when away

2. Part-Year Resident:

   An individual who:

   - Moved into Idaho during the year to maintain residence from another state or country

   - Moved out of Idaho during the year to maintain residence in another state or country

3. Non-Resident:

   An individual:

   - Whose permanent home is outside of Idaho all year

 

Armed forces taxpayers:

File as a non-resident if all of the following apply:

 - The taxpayer joined the armed forces while a resident of Idaho and Idaho is your military home of record

 - The taxpayer was on full-time active duty stationed outside of Idaho for all or a portion of the year.

   Full-time active duty must be continuous and uninterrupted for at least 120 consecutive days. Only

   the portion of military wages received while stationed in Idaho is subject to Idaho tax.

 

   NOTE: If the taxpayer does not meet all of the above requirements, file as a resident. All of the military wages are subject to Idaho tax

 

Special-case Idaho residents:

The taxpayer is considered a nonresident if all of the following

are true:

 - The individual is an Idaho resident who lived outside of Idaho for at least 445 days in a 15-month period

 - After satisfying the 15-month period, the individual spent less than 60 days in Idaho during the year

 - The individual did not have a personal residence in Idaho, for self or family during any part of the tax year

 - The individual did not claim Idaho as his federal tax home

 - The individual was not employed on the staff of a U.S. senator or representative

 - The individual did not hold an elective or appointive office of the U.S. Government other than the armed forces or a career appointment in the U.S. Foreign Service

 

Residency Status:

 

Check the box that applies to your residency status for the tax year.

 - If a full-year resident of Idaho, check box 1

 - If a member of the armed forces on active military duty outside Idaho and Idaho is your state of permanent residence, check box 2

 - If a nonresident, check box 3

 - If moved into or out of Idaho and were a resident for only part of the year, check box 4

 - If in Idaho on military orders but state of permanent residence is another state, check box 5

 

   NOTE: An Idaho resident on active military duty in Idaho for the entire year must file on Form 40 unless the spouse is a part-year or nonresident

 

Line 71 Penalty

 

To avoid paying penalty and interest:

 - Pay by the original due date at least 80% of the tax due on the return or 100% of the total tax reported last year, and

 - File the return and pay the tax due by the extended due date

 

Late Payment Penalty

If any state taxes due are paid after the original due date, the taxpayer will owe an additional amount for a late payment penalty from the due date to the date of payment. The penalty rate is 0.5% per month or fraction of a month to a maximum of 25%.

 

Late Filing Penalty:

If the Idaho individual income tax return is not filed by the extended due date, the taxpayer will owe an additional amount for a late filing penalty. The penalty rate is 2% per month or fraction of a month for failure to meet the extension criteria (the return and taxes must be paid by the extended due date) as well as a 5% per month or fraction of a month to a maximum of 25% for failure to file the return timely.

 

Other Penalties:

There is a 5% penalty for negligence or disregard of the rules, a 10% penalty will be charged for substantial understatement of tax, and a 50% penalty will be charged for filing a false or fraudulent return.

 

   NOTE: The minimum penalty is $10

 

Line 71 Interest

 

Interest:

Interest applies on delinquent tax from the original due date of the return until the tax is paid at the rate of 4% per year (for 2015).

 

ID Deductions Form 39R

 

 

Idaho College Savings Account Withdrawals

 

If you make a nonqualified withdrawal from an Idaho college savings account, enter the amount withdrawn less any amounts reported on your federal Form 1040.

 

Withdrawals from Idaho College Savings Programs that are transferred to a qualified program operated by another state must be included on line 4.

 

Bonus Depreciation:

 

If you are depreciating property for which you claimed the bonus depreciation for federal purposes from property placed in service before 2008 or after 2009:

• Complete a separate federal Form 4562 or detailed computation for Idaho depreciation purposes as if the special depreciation allowance had not been claimed.

• Compute the Idaho adjusted basis and any gains or losses from the sale or exchange of the property using the Idaho depreciation amounts.

• Enter the differences between the Idaho and federal depreciation amounts and gains and losses from sales or exchanges of the property on the bonus depreciation line on Form 39R or Form 39NR.; Otherwise enter the difference on Part B, line 21.

• Include on this line your distributive share of bonus depreciation from Form ID K-1, Part B, line 2.

 

Alternative Energy Device Deduction

 

A portion of the amount paid or accrued for the installation of an alternative energy device in a residence may be deducted.

 

The year the device is placed in service, 40% of the cost to construct, reconstruct, remodel, install, or acquire the device may be deducted, but no more than $5,000.

 

The next three years after installation, 20% of the same costs listed above may be deducted per year.

 

   NOTE: Not more than $5,000 may be deducted in any year.

 

Qualified devices include:

 - a system using solar radiation, wind or geothermal resource primarily to provide heating or cooling, or produce electrical power, or any combination

 - a fluid-to-air heat pump operating on a fluid reservoir heated by solar radiation or geothermal resource but not an air-to-air heat pump unless it uses geothermal resources as part of the system

 - a natural gas or propane heating unit that replaces a noncertified wood stove

 - an Environmental Protection Agency (EPA) certified wood stove or pellet stove meeting the most current industry and state standards that replaces a noncertified wood stove

 

Retirement Benefits Deduction

 

Some of the retirement benefits and annuities received may be deducted, if the taxpayer:

 - Is age 65 or older

 - Is disabled and age 62 or older

 

   NOTE: This deduction is not available if filing status is married filing separate.

 

The following annuities and benefits may be deducted:

 - Civil Service Employees: Retirement annuities paid by the United States to a retired civil service employee or the unremarried widow of the employee. Enter code “G” in the 1099R State Use Field.

 - Idaho Firemen: Retirement benefits paid from the firemen's retirement fund of the state of Idaho to a retired fireman or the unmarried widow of a retired fireman. Enter code “F” in the 1099R State Use Field.

 - Policemen of an Idaho city: Retirement benefits paid from the policemen's retirement fund of a city within Idaho to a retired policeman or the unremarried widow of a retired policeman. Enter code “F” in the 1099R State Use Field.

 - Servicemen: Retirement benefits paid by the United States to a retired member of the U.S. military service or the unremarried widow of such member. Enter code “M” in the 1099R State Use Field.

 

   NOTE: The amount deducted must be reduced by retirement benefits paid under the Federal Social Security Act and the Federal Railroad Retirement Act

 

Maximum amounts that may be deducted for 2014:

 - Married filing jointly:   $47,556

 - Single                             $31,704

 

Idaho Medical Savings Account

 

You may contribute up to $10,000 ($20,000 if married) to an Idaho medical savings account and deduct the contribution. Deductible contributions do not include reimbursements that were redeposited into your Idaho medical savings account. Do not include amounts deducted on Federal Form 1040.

 

An Idaho medical savings account is generally established with a bank, savings and loan, or credit union. The account is established to pay eligible medical expenses of the account holder and the account holder's dependents.

 

Interest earned on the account is included on line 13, but only if included on line 13, but only if included on Form 40, line 7. Add your qualifying contributions to the interest earned on the account. Enter the name of the financial institution and your account number also.

 

Idaho College Savings Program

 

You may contribute up to $4,000 ($8,000 if married filing a joint return) per year to a qualified Idaho college savings program and deduct the contribution. The account must be established with Upromise Investments, Inc. The account owner and beneficiary will be designated at the time the account is established. The account owner will have the right to make withdrawals for payment of higher education expenses for the beneficiary. The person that withdraws the funds must report the withdrawal amounts as income in accordance with Internal Revenue Code Section 529.

 

Maintaining a Home for the Aged and/or Developmentally Disabled

 

A deduction of $1,000 is available for each family member who is age 65 or older and for whom the taxpayer maintains a household and provides more than one-half of the support for the year.

 

   NOTE:  The taxpayer and spouse are not included.

 

A deduction of $1,000 is available for each family member, including taxpayer and spouse, who is developmentally disabled and for who you maintain a household and provide more than one-half of the support for the year.

           

    NOTE: No more than three deductions of $1,000 are allowed. If you claim this deduction, you cannot claim the $100 credit in Part F.

 

Developmental disability means a chronic disability which:

1. Is attributable to an impairment such as:

   - Intellectual disability

   - Cerebral palsy

   - Epilepsy

   - Autism

   - Other condition found to be closely related to, or similar to, one of these impairments; and

2. Results in substantial functional limitation in three or more of the following areas of life activity:

   - Self-care

   - Receptive and expressive language

   - Learning

   - Mobility

   - Self-direction

   - Capacity for independent living

   - Economic self-sufficiency; and

3. Reflects the need for a combination and sequence of special, interdisciplinary or generic care, treatment or other services which are of lifelong or extended duration and individually planned and coordinated.

 

Health Insurance Premiums

 

Deduct premiums you paid for health insurance for yourself, your spouse, and your dependents if those premiums have not already been deducted or excluded from your income.

 

If you claimed a deduction for health insurance premiums on your federal Form 1040, Schedule A, calculate the health insurance premiums allowed as a deduction by using the worksheet in the instructions.

 

Idaho Medical Savings Account

If you take money out of your Idaho medical savings account to pay medical insurance premiums, no deduction is allowed. Since the health insurance costs are already deducted or accounted for, they cannot be deducted a second time.

 

Salary Reduction Plans

Premiums paid through a cafeteria plan or other salary-reduction arrangement cannot be included in the Idaho deduction for health insurance costs.

 

Business Deductions

Premiums deducted as a business expense cannot be included in the Idaho deduction for health insurance costs since these amounts are already deducted. This includes amounts deducted as self-employment health insurance premiums deducted in arriving at Federal AGI.

 

Social Security Medicare A and B

No deduction is allowed for the amount paid by employer-required Social Security Medicare A.

 If you voluntarily enroll in Medicare B or Medicare D or aren’t covered under Social Security and voluntarily enroll in Medicare A, the premiums may be deducted.

 

Idaho Standard Deduction

If you don’t itemize deductions for Idaho income tax purposes, but instead use the Idaho standard deduction, you don’t have to reduce your health insurance cost by any amount claimed as a Federal itemized deduction.

 

Federal Itemized Deduction Limitations

The amount of medical expenses allowed as a deduction on the Federal Form 1040, Schedule A, is required to be reduced by 10% of adjusted gross income for taxpayers under the age 65. If taxpayer or spouse is age 65 or older, the required reduction is 7.5% of adjusted gross income.

 

 

Long-term Care Insurance

 

You may deduct the amount you paid in premiums for long-term care insurance that are not otherwise deducted or accounted for.

 

If you claimed a deduction for long-term care insurance on your federal Form 1040, Schedule A, calculate the long-term care insurance allowed as a deduction by using the worksheet in the instructions.

 

Income Taxes Paid to Another State

 

When the same income is taxed by both Idaho and another state, the taxpayer may be entitled to a credit for taxes paid to another state.

 

 - A copy of the other state's income tax return must be attached to the tax return

 - Idaho Form 39R must be attached to the tax return

 - If an S corporation or partnership paid income tax to another state, attach a copy of the Schedule K-1 to the tax return

 - If the credit applies to more than one state, use a separate Form 39R for each state

 

Form CG

 

File Form CG, Capital Gains Deduction, to compute the Idaho capital gains deduction. The deduction is 60% of the net capital gain from the sale of Idaho property.

 

Only capital gains from the following Idaho property qualify:

 - Real property held for at least 12 months

 - Tangible personal property used in a revenue-producing enterprise and held for at least 12 months.

 - Cattle and horses held for at least 24 months, and other livestock used for breeding held for at least 12 months, if the owner received more than one-half of his gross income from farming or ranching in Idaho

 - Timber held for at least 24 months

 

A revenue-producing enterprise means:

 - Producing, assembling, fabricating, manufacturing or processing any agricultural, mineral or manufactured product

 - Storing, warehousing, distributing or selling at wholesale any products of agriculture, mining or manufacturing

 - Feeding livestock at a feedlot

 - Operating laboratories or other facilities for scientific, agricultural, animal husbandry or industrial research, development or testing

 

   NOTE: Gains from the sale of stocks and other intangibles do not qualify

 

Form 44

 

Idaho business income tax credits and credit recapture

 

Part I of Form 44 provides a listing of the Idaho business credits allowed and the credit carryover amounts.

Part II of Form 44 provides a listing of the tax from recapture of income tax credits.

The total of the business income tax credits allowed and the tax from recapture of income tax credits will be carried to the Form 40 or Form 43. You must attach Form 44 to your return if you are claiming any business income tax credits or have any tax from recapture of income tax credits.

 

Form 49

 

File Form 49 to calculate the Idaho investment tax credit earned or allowed.

 

Carryover Periods

 - For property acquired after 1989 but prior to tax years beginning in 2000, the credit carryover is limited to seven tax years unless the credit has not been carried over seven tax years before 2000. If the credit has been carried forward less than seven tax years, and is eligible for carryover to tax years beginning on or after 2000, the carryover period is limited to 14 tax years.

 - For credit earned in tax years beginning on or after January 1, 2000, the credit carryover is limited to 14 tax years.

 

Limitation

The investment tax credit is limited to 50% of the tax liability.

 

The following credits must be applied to the tax before the investment tax credit:

 - Credit for tax paid other states, and

 - Credit for contributions to Idaho educational entities

 

Form 49R

 

Use Form 49R to compute the increase in tax and reduction to credit carryover for the recapture of investment tax credit.. You must recompute the credit if you earned it in an earlier year, but disposed of the property before the end of the five-year recapture period. You must also recompute the credit on any property ceasing to qualify as investment tax credit property. Property moved from Idaho ceases to qualify as investment tax credit property and is subject to recapture.

 

Form 56

 

A net operating loss incurred in tax years beginning on or after January 1, 2013 will be subtracted in the 20 succeeding years unless an amended return carrying the loss back is filed within one year of the end of the taxable year if the net operating loss that results in the carryback. If amended return is filed to carry the loss back, the loss is first applied to the second tax year proceeding the loss year. Any loss not fully subtracted or absorbed from Idaho income is next applied to the first preceding tax year. The loss carried back is limited to a total of $50,000 for an individual filing as married filing separately or $100,000 for individuals filing as married filing jointly. Any remaining loss may be carried forward until used up to 20 years. Losses carried forward are applied to each year in order until absorbed.

 

For tax years beginning on and after January 1, 2000, and prior to January 1, 2013, you must generally carry an NOL back to the two preceding tax years unless you a timely election to forgo the carryback period.. The loss carried back is limited to a maximum of $100,000. Any remaining loss may be carried forward until used, but not longer than twenty years.

 

For tax years beginning prior to January 1, 2000, you generally must carry an NOL back to the three preceding tax years unless you made a timely election to forego the carryback period. The carryback is limited to a maximum of $100,000. Any loss not absorbed in the carryback years and the loss in excess of $100,000 can be carried forward up to 15 years.

 

 

Form 75-IMV

 

This worksheet can be used to compute nontaxable gallons of tax-paid:

 

1.Gasoline drawn from a motor vehicle's main supply tank and used in the motor vehicle's auxiliary engine and/or

2.Special fuels (diesel, propane, and natural gas) drawn from a motor vehicle's main supply tank and used in the motor vehicle's auxiliary engine; used to operate the motor vehicle's power take-off unit; and used in a motor vehicle on nontaxable roads.

 

There are three options you can use to calculate your nontaxable gallons. Please review the explanation of each option before completing the worksheet.

 

Allowance only - You may use Option I if you are claiming an allowance but are not claiming nontaxable miles on the same motor vehicle.

 

Calculated MPG - You must use Option II if you are claiming both an allowance and nontaxable miles on the same motor vehicle. You may also use Option II if you are only claiming nontaxable miles and want to use the motor vehicle's actual MPG.

 

Standard MPG or Statutory MPG - Instead of using the two options above to calculate your nontaxable gallons, you may be able to use one of the fixed MPGs in Option III. When using Option III, you are computing your taxable gallons for the motor vehicle by dividing your taxable miles by a fixed MPG. Then you calculate the motor vehicle's nontaxable gallons by simply subtracting its taxable gallons from the tax-paid gallons placed into its supply tank.

 

ID Deductions Form 39NR

 

Idaho College Savings Account Withdrawals

 

 

Column A: If you make a nonqualified withdrawal from an Idaho college savings account, enter the amount withdrawn less any amounts reported on your federal Form 1040. Withdrawals from Idaho College Savings Programs that are transferred to a qualified program operated by another state must be included on line 2, Columns A and B.

 

Column B: If you make a nonqualified withdrawal from an Idaho college savings account, enter the total amount withdrawn.

Idaho Medical Savings Account

 

Columns A and B: You may contribute up to $10,000 ($20,000 if married) to an Idaho medical savings account and deduct the contribution. Deductible contributions do not include reimbursements that were redeposited into your Idaho medical savings account. Do not include amounts deducted Federal Form 1040.

 

An Idaho medical savings account is generally established with a bank, savings and loan, or credit union. The account is established to pay eligible medical expenses of the account holder and the account holder’s dependents. Eligible medical expenses include medical, vision and dental care, medical insurance premiums and long-term care expenses.

 

Any interest earned on the account is included on line 8, but only if included on line 8 of Form 43. Add your qualifying contributions to the interest earned on the account, and enter the total on line 8.

 

Idaho College Savings Program

 

You may contribute up to $4,000 ($8,000 if married filing a joint return) per year to a qualified Idaho college savings program and deduct the contribution. The account must be established with Upromise Investements, Inc. The account owner and beneficiary will be designated at the time the account is established. The account owner will have the right to make withdrawals for payment of higher education expenses for the beneficiary. The person that withdraws the funds must report the withdrawal amounts as income in accordance with Internal Revenue Code Section 529.

 

Columns A and B: Maintaining a Home for the Aged and/or Developmentally Disabled A deduction of $1,000 is available for each family member who is age 65 or older and for whom the taxpayer maintains a household and provides more than one-half of the support for the year.

 

   NOTE:  The taxpayer and spouse are not included.

 

A deduction of $1,000 is available for each family member, including taxpayer and spouse, who is developmentally disabled and for who you maintain a household and provide more than one-half of the support for the year.

           

    NOTE: No more than three deductions of $1,000 are allowed.

 

Developmental disability means a chronic disability which:

1. Is attributable to an impairment such as:

   - Intellectual disability

   - Cerebral palsy

   - Epilepsy

   - Autism

   - Other condition found to be closely related to, or similar to, one of these impairments; and

2. Results in substantial functional limitation in three or more of the following areas of life activity:

   - Self-care

   - Receptive and expressive language

   - Learning

   - Mobility

   - Self-direction

   - Capacity for independent living

   - Economic self-sufficiency; and

3. Reflects the need for a combination and sequence of special, interdisciplinary or generic care, treatment or other services which are of lifelong or extended duration and individually planned and coordinated.

 

Health Insurance Premiums

 

Column A: Deduct premiums you paid for health insurance for yourself, your spouse, and your dependents if those premiums have not already been deducted or excluded from your income.

 

If you claimed a deduction for health insurance premiums on your federal Form 1040, Schedule A, calculate the health insurance premiums allowed as a deduction by using the worksheet in the instructions.

 

Idaho Medical Savings Account

If you take money out of your Idaho medical savings account to pay medical insurance premiums, no deduction is allowed. Since the health insurance costs are already deducted or accounted for, they cannot be deducted a second time.

 

Salary Reduction Plans

Premiums paid through a cafeteria plan or other salary-reduction arrangement cannot be included in the Idaho deduction for health insurance costs.

 

Business Deductions

Premiums deducted as a business expense cannot be included in the Idaho deduction for health insurance costs since these amounts are already deducted. This includes amounts deducted as self-employment health insurance premiums deducted in arriving at Federal AGI.

 

Social Security Medicare A and B

No deduction is allowed for the amount paid by employer-required Social Security Medicare A.

 If you voluntarily enroll in Medicare B or Medicare D or aren’t covered under Social Security and voluntarily enroll in Medicare A, the premiums may be deducted.

 

Idaho Standard Deduction

If you don’t itemize deductions for Idaho income tax purposes, but instead use the Idaho standard deduction, you don’t have to reduce your health insurance cost by any amount claimed as a Federal itemized deduction.

 

Federal Itemized Deduction Limitations

The amount of medical expenses allowed as a deduction on the Federal Form 1040, Schedule A, is required to be reduced by 10% of adjusted gross income for taxpayers under the age 65. If taxpayer or spouse is age 65 or older, the required reduction is 7.5% of adjusted gross income.

 

 

Long-term Care Insurance

 

You may deduct the amount you paid in premiums for long-term care insurance that are not otherwise deducted or accounted for.

 

If you claimed a deduction for long-term care insurance on your federal Form 1040, Schedule A, calculate the long-term care insurance allowed as a deduction by using the worksheet in the instructions.

 

Alternative Energy Device Deduction

 

Columns A and B: A portion of the amount paid or accrued for the installation of an alternative energy device in a residence may be deducted.

 

The year the device is placed in service, 40% of the cost to construct, reconstruct, remodel, install, or acquire the device may be deducted.

 

The next three years after installation, 20% of the same costs listed above may be deducted per year.

 

   NOTE: Not more than $5,000 may be deducted in any year.

 

Qualified devices include:

 - a system using solar radiation, wind or geothermal resource primarily to provide heating or cooling, or produce electrical power, or any combination

 - a fluid-to-air heat pump operating on a fluid reservoir heated by solar radiation or geothermal resource but not an air-to-air heat pump unless it uses geothermal resources as part of the system

 - a natural gas or propane heating unit that replaces a noncertified wood stove

 - an Environmental Protection Agency (EPA) certified wood stove or pellet stove meeting the most current industry and state standards that replaces a noncertified wood stove

 

Retirement Benefits Deduction

 

Some of the retirement benefits and annuities received may be deducted, if the taxpayer:

 - Is age 65 or older

 - Is disabled and age 62 or older

 

   NOTE: This deduction is not available if filing status is married filing separate.

 

The following annuities and benefits may be deducted:

 - Civil Service Employees: Retirement annuities paid by the Civil Service Retirement System to a retired civil service employee or the unremarried widow of the employee. Enter code “G” in the 1099R State Use Field.

 - Idaho Firemen: Retirement benefits paid from the firemen's retirement fund of the state of Idaho to a retired fireman or the unmarried widow of a retired fireman. Enter code “F” in the 1099R State Use Field.

 - Policemen of an Idaho city: Retirement benefits paid from the policemen's retirement fund of a city within Idaho to a retired policeman or the unremarried widow of a retired policeman. Enter code “F” in the 1099R State Use Field.

 - Servicemen: Retirement benefits paid by the United States to a retired member of the U.S. military service or the unremarried widow of such member. Enter code “M” in the 1099R State Use Field.

 

   NOTE: The amount deducted must be reduced by retirement benefits paid under the Federal Social Security Act and the Federal Railroad Retirement Act

 

Maximum amounts that may be deducted for 2014:

 - Married filing jointly:  $47,556

 - Single                           $31,704

 

ID K-1

Allocation and Apportionment:

-         If entity is an estate or trust, skip Part A.

-         If the owner is an Idaho resident or an Idaho resident estate or trust, complete line 1. Leave remaining lines blank.

-         If the entity is a partnership, complete lines 3 through 7 for owners that aren’t individual, trust or estate.

-         If the owner is an Idaho nonresident or part-year resident, complete lines 1, 2, and 8 through 10, if applicable.

 

 

Total Income:

Owner’s distributive share of total income reported on Federal Form 1065, line 8 or Federal Form 1120S, line 6. This amount does not go on the owner’s Idaho return. It is used to calculate the interest expense offset related to tax-exempt interest. If the owner is not reporting a deduction for tax-exempt interest, the owner won’t use this information in preparing his Idaho return.

 

 

Form 51

File Form 51 to pay Idaho income tax liability not prepaid through withholding.

 

File Form 51 if the taxpayer does not have at least 80% of his/her annual Idaho income tax liability prepaid through withholding.

 

Interest:

Underestimating the required amount of tax or failure to file estimated tax returns and pay the tax within the time allowed will result in an assessment of interest. The interest rate is 5% per year(for 2014).

 

ID-8453

 

Form ID-8453 is used to trigger electronic filing for Idaho only. It will not print with the return and is not required to be mailed.