EARNED INCOME TAX CREDIT (EITC)
Idaho does not currently offer a state-level EITC.
CHILD TAX CREDIT (CTC)
Rate (Nonrefundable): $205 per qualifying child.
Latest Legislative Action:
- On March 12, 2018, Governor Butch Otter signed legislation to enact a state-level Child Tax Credit worth $130 per child as part of a larger income tax cut package. The overall package received criticism for not doing enough to help lower-income families in the state, and immediately after its enactment, House Majority Leader Mike Moyle proposed legislation to expand Idaho’s new Child Tax Credit to $205 per child. The bill passed the full legislature and was signed into law by Governor Otter on March 28, 2018.
CHILD AND DEPENDENT CARE TAX CREDIT (CDCTC)
Idaho does not currently offer a state-level CDCTC.
- Although Idaho does not offer a child and dependent care credit, it does allow filers to deduct child care expenses from their income. Idaho uses the same criteria as the federal government to determine which expenses are eligible for deduction. Filers can claim the deduction using the form 39R section B Line 6, and must submit a copy of their federal Form 2441 along with their Idaho return.
- As of April 2023, HB288 increased the expense deduction to $12,000 annually. The Act is retroactive to January 1, 2023.