Bill introduced to close tax credit loophole
By Melissa Davlin, Idaho Reports
The House Revenue and Taxation Committee introduced a bill Tuesday that would close an income tax loophole for mobile property.
The legislation, introduced by Rep. Jeff Ehlers, R-Meridian, addresses mobile property owned by businesses that operate both in Idaho and in other states. Currently, that property – think construction equipment or a food truck – is eligible for a full income tax credit in Idaho, even if the property is in the state for just one day of the year.
Ehlers’ proposal would prorate that tax credit for the amount of time the property is in the state of Idaho for the first 90 days the equipment is in use.
The bill must still go before the committee for a public hearing before advancing.