Idaho tax revenue reaches record $5 billion

Idaho collected a record $5 billion in general fund tax revenue in fiscal 2021, shattering the previous record of $4.03 billion set just a year ago.

The Idaho Division of Financial Management released the June revenue figures Tuesday.

During the fiscal year that ended June 30, the state collected $2.44 billion in individual income tax revenue, $2 billion in sales tax and $348.9 million in corporate income tax. All of those numbers were record highs.

When cigarette, liquor and other product and miscellaneous taxes are added in, the grand total surpassed $5.009 billion. That was up a record $977.5 million, or 24.2 percent, compared to fiscal 2020.

Gov. Brad Little wasted no time in crediting his administration and the Legislature with the results.

“Idaho’s economic numbers show even in the middle of a global pandemic, conservative governing works,” Little said in a news release. “We’ve worked hard to curb government spending, while providing tax relief and making investments where they count. We’re seeing the impact of those conservative principles in action.”

In addition to the record revenue performance, the Idaho Legislature this year approved the largest tax cut in state history, boosted transportation funding and authorized the governor’s $300 million “Building Idaho’s Future” infrastructure investment plan.

Critics suggest these policies have come at a cost to school districts and property owners around the state. Over the past decade, for example, local supplemental school levies have increased by about 55 percent, to nearly $220 million. During that same period, state funding for K-12 education increased by 62 percent, or $762 million.

Little said he’ll continue to advocate for more tax relief and investments in key areas, “with education topping the priority list.”

The June revenue report can be found on the Division of Financial Management website, at dfm.idaho.gov.