Idaho Lodging Taxes: State Travel and Convention Tax, Resort City Local Option Taxes and Auditorium Districts
Idaho Lodging Taxes: State Travel and Convention Tax, Resort City Local Option Taxes and Auditorium Districts
If you rent a room, cabin, or house to overnight guests in Idaho, you collect more than one lodging tax. The state adds a 2% travel and convention tax on top of the 6% state sales tax. Some resort cities and auditorium districts add their own lodging taxes on top of that. Which local taxes apply depends on the property's address, not on whether you list on a booking platform or run a traditional hotel. This guide covers the Idaho hotel tax, the Idaho lodging tax rate structure, and how short-term rental hosts should think about the idaho short term rental tax and the idaho airbnb tax.
Disclaimer: This article is informational content, not legal or tax advice. Rates, sunset dates and ballot results change. Confirm every figure with the agency named before you publish a rate or collect a dollar, and talk to a CPA or attorney if your situation is complex.
The Idaho Lodging Tax Stack at a Glance
Idaho has no single lodging tax rate that applies everywhere. Your total depends on three layers: the state taxes that apply statewide, a possible resort city tax, and a possible auditorium district tax. Use the table below as a map, then confirm your address with the city and the Idaho State Tax Commission.
| Tax | Rate | Who administers it | Where it applies |
|---|---|---|---|
| State sales tax | 6% | Idaho State Tax Commission | Statewide |
| State travel and convention tax | 2% of the lodging sale | Idaho State Tax Commission | Statewide, except written agreements for more than 30 days |
| Resort city local option tax | Set by voters in each city; varies | Confirm with the city and the Tax Commission | Only voter-approved resort cities |
| Auditorium district lodging tax | Set by each district; varies | Idaho State Tax Commission | Stays of 30 days or less, not campgrounds, inside listed districts |
Layers stack. A short-stay guest in a city with no local lodging tax faces 8% in combined state-level tax (the 2% plus the 6% sales tax), before any local add-on. A guest in a resort city or an auditorium district pays more. Look up your city and district before you set your nightly price.
State Travel and Convention Tax: 2% on Lodging
The state travel and convention tax is 2% of the sale of lodging. The Idaho State Tax Commission collects it. It applies on top of the 6% state sales tax. Confirm with the Tax Commission how the sales tax applies to your specific rental before you publish your rate sheet, especially if you offer bundled services or extra guest fees.
One exemption matters for longer stays. The 2% does not apply when the written agreement is for more than 30 days (Idaho Code 67-4718). That makes the written agreement the document that decides the question, so keep it on file, signed by both parties. A verbal monthly arrangement, or a booking that starts as a short stay and turns into a longer one, is a different situation. Settle it with the Tax Commission or a tax professional before you assume the exemption applies.
Resort City Local Option Taxes
Idaho lets certain resort cities ask voters for a local option tax under Idaho Code 50-1043 to 50-1047. The rules are strict. The measure needs a 60% vote. Only cities of 10,000 or fewer people, per the last census, qualify. The ordinance must state the rate, the purpose and the duration. The tax can reach lodging occupancy, liquor by the drink and some sales. Idaho has no local sales tax outside these voter-approved resort cities, so a resort city's rules can differ sharply from the town next door.
Rates and sunset dates vary by city. These examples reflect current published figures:
| City | Lodging tax status |
|---|---|
| Ketchum | 2% lodging tax in effect now, expiring 2027-12-31. A renewal that would raise the lodging rate to 4% has been proposed for the 2026-11-03 ballot. The vote has not happened as of this writing, so check the result with the City of Ketchum before you set rates after the election. |
| Sandpoint | 14% on stays of 30 days or less, in effect since 2023-01-01 and running through 2035. |
| Sun Valley, McCall, Driggs, Victor, Stanley | Resort city local option taxes are in place or have been used in these cities. Rates and sunset dates vary, so confirm each city directly. |
If your property sits near a city line, confirm which city's ordinance applies. The address on the deed and the address on the tax filing are not always the same question, so ask the city clerk to confirm in writing.
Auditorium District Lodging Taxes
Several auditorium districts levy a lodging tax on stays of 30 days or less. Campgrounds are excluded. The Idaho State Tax Commission administers these district taxes. The districts that apply in this category include:
- Greater Boise auditorium district
- Idaho Falls auditorium district
- Pocatello-Chubbuck auditorium district
- Nampa auditorium district, in effect since the April 2026 return
- Mountain Community Center District, a 5% tax covering Valley and Adams counties, starting in mid-2026
This guide does not list rates for the first four districts because they have not been confirmed. Ask the Tax Commission for the current rate and filing schedule for any district that covers your property. Districts are drawn by boundary, not by city limits, so a property just outside a city can still fall inside a district.
Short-Term Rentals and the 2026 Change
If you searched for an idaho short term rental tax or an idaho airbnb tax, the answer has two parts. First, since 2026-07-01, no city or county may require a license, fee, permit or registration for a short-term rental under HB 583. Second, that change removed local permit and registration requirements. It did not remove taxes. State and local lodging taxes still apply to your stays.
Booking platforms sometimes collect certain lodging taxes on the host's behalf in some places. That depends on the platform, the city and the specific tax, so do not assume the platform handles everything. Check your platform's tax settings, then confirm with the Tax Commission and the city which taxes the platform collects and which fall to you. Where a platform does not collect a tax, that tax is generally yours to report and remit.
The HB 583 limit covers licenses, fees, permits and registrations. It does not answer every question about a rental property. This guide does not cover zoning, insurance, homeowners association rules or building requirements, so check those separately.
Common Questions
Is there one Idaho lodging tax rate?
No. The statewide layers are the 6% state sales tax and the 2% state travel and convention tax on short stays. Local resort city and auditorium district taxes vary by address, so the combined rate changes from property to property.
Do I owe the 2% on a 60-day rental?
Not if the written agreement is for more than 30 days (Idaho Code 67-4718). Keep the signed agreement. If terms change mid-stay or the agreement is unclear, confirm the treatment with the Tax Commission before you file.
Does an LLC avoid lodging tax?
No. An LLC does not change the lodging tax obligation. The tax follows the sale, not the ownership structure. An LLC can still make sense for liability and organization reasons, but you should not expect it to change your tax filings.
Does Idaho require a general business license for a rental?
Idaho has no state general business license. Registering an entity with the Secretary of State is a registration, not a license. Counties issue no general business license. Some cities require a general license or permit, and others license only specific activities, so the answer depends on your city. Ask the city clerk which applies to you.
Steps to Get Set Up
- Confirm your address. Ask the city clerk and the Tax Commission which resort city tax and auditorium district tax, if any, cover the property.
- Register for a sales tax permit. Start through the Idaho Business Registration page at tax.idaho.gov/ibr. Confirm with the Tax Commission that your rental activity requires it.
- Ask the city about business licenses. Find out whether your city requires a general license or permit, or licenses only certain activities.
- Decide whether to form an LLC. A certificate of organization costs $100 online or $120 on paper through the SOSBiz portal. If you operate the rental under a name other than your legal name, file an assumed business name (the Idaho DBA) with the Secretary of State, not the county. The fee is $25 online or $45 on paper.
- Calendar the annual report. An LLC must file an annual report every year. The report is due each year before the end of the month in which the certificate of organization became effective, starting one year after formation. The state lists the annual report fee as no fee.
Income Tax on Rental Income
Lodging tax is money you collect and remit for the state and local governments. The rent you keep is income. Idaho has a flat 5.3% income tax, and rental income belongs on your Idaho return like other income. A default LLC is a pass-through entity, so its income generally reports on the owner's personal return. An LLC that files a partnership or S corporation return owes the $10 permanent building fund tax. An LLC taxed as a C corporation pays the 5.3% business income tax plus that $10 fee.
Keep records that separate rental receipts, lodging tax collected, and lodging tax remitted. Those three figures rarely match a simple bank deposit, and they are what an auditor will ask for.
Where to Confirm the Numbers
- Idaho State Tax Commission: tax.idaho.gov, for the state travel and convention tax, sales tax, and auditorium district filings.
- Idaho Secretary of State: sos.idaho.gov, for LLC and DBA filings. Search existing names at sosbiz.idaho.gov/search/business before you file.
- Your city clerk: for resort city local option taxes, any city business license, and the city's position on short-term rentals.
- Business.Idaho.gov: business.idaho.gov, where the Business Wizard generates a checklist of the agencies and permits a specific activity needs.
Bottom Line
For most Idaho hosts, the lodging tax picture is a 2% state travel and convention tax on short stays, the 6% state sales tax where it applies, and whatever resort city or auditorium district tax covers your address. Get the Tax Commission and the city to confirm each layer in writing. Talk to a CPA or attorney if your property crosses city or district lines, you mix monthly and nightly stays, or you are choosing an entity structure.