Idaho

The One Big Beautiful Bill Act (OBBBA) made major changes to public programs and the federal tax code. It included about $4.5 trillion in tax cuts, with most of the benefits going to higher-income households. To help pay for those tax cuts, the law also reduced funding for health care and food assistance and shifted some federal costs onto the states.

Below is a list of tax expenditure reports published in the states.

Since 2018, however, Idaho households have received $4.5 billion in state and federal income tax cuts—an amount that exceeds current state investments in health and education combined.

ITEP tracks tax discussions in legislatures across the country and uses our unique data capacity to analyze the revenue, distributional, and racial and ethnic impacts of many of these proposals. State Tax Watch offers the latest news and movement from each state.

In Washington, Gov. Bob Ferguson and lawmakers decided to stop fooling around with one of the nation’s most upside-down tax codes and finally brought to life a new millionaires’ tax, the first new income tax created in a state since 1991.

As states lawmakers continue to weigh their linkages to the federal tax code in light of the recent federal tax law, New Mexico provides a blueprint for limiting multinational corporate tax avoidance.

Washington is on its way to making history after the legislature approved the “millionaires’ tax,” a 9.9 percent tax on income over $1 million. The bill, which is expected to raise more than $3 billion a year, making significant investments in public education and childcare, will also expand the Working Families Tax Credit – the […]

As many state legislative sessions near or cross the halfway point, lawmakers are facing tough choices.

State lawmakers are grappling with a range of challenges as their fiscal outlooks deteriorate, federal tax enforcement wanes (after the Trump administration cut the IRS workforce by 25 percent), and a rewritten federal tax code sends states scrambling to decide what changes they might want to make in their own codes.

While some may be excited for a romantic Valentine’s Day this weekend, many state lawmakers are breaking up and decoupling from recent federal tax changes that are poised to leave states with revenue shortfalls – much like a bad date who forgets their wallet and asks you to pick up the tab.

Despite wintry conditions across much of the country, that hasn’t stopped state lawmakers from debating major tax policy changes.

As state legislative sessions ramp up across the country, property taxes are one of many issues dominating tax policy conversations in statehouses.

2025 saw an intensification of state and local tax fights across the country, as well as growing experimentation with local-option taxes, levies, fees, and tourism taxes aimed at keeping budgets afloat while also navigating political constraints imposed by state legislatures.

State governors are beginning to lay out their top priorities as legislatures reconvene in statehouses around the country.

With a little over a week left, some states are solidifying their spots on the tax policy “naughty or nice” list.

State deductions for tips and overtime are not only ineffective at supporting working-class people, it will come at a substantial cost to state budgets.

Lawmakers in two more states have wisely said “no thank you” to federal tax cuts that would have flowed through to their state tax codes and undermined funding for their priorities

To prioritize Idaho businesses and protect revenue for public services, the Center recommends remaining decoupled from (1) bonus depreciation, and decoupling from (2) qualified production property deduction, (3) research and experimentation (R&E) cost recovery, (4) relaxed interest deductibility cap, and (5) deduction of foreign derived intangible income. Read more.

Despite being an off-year election, voters made a call for shared public investments at the polls.

States across the nation are debating how best to respond to costly new federal tax cuts.

Some states continue to hand out huge tax cuts to millionaires. The five largest tax cuts this year will cost states a total of $2.2 billion per year once fully implemented.

Local governments have a critical role to play in reducing child poverty. Local Child Tax Credits could provide large tax cuts to families at the bottom of the income scale, lessening the overall regressivity of state and local tax systems.

Some states are trying to avoid revenue loss while others are welcoming it and doubling down.

Child Tax Credits (CTCs) are effective tools to bolster the economic security of low- and middle-income families and position the next generation for success.