The Idaho State Tax Commission (STC) has issued another updated version of its withholding guide. The guide includes a new Form W-4 worksheet for employees to use for Idaho income tax purposes [STC, Pub. EPB00006, A Guide to Idaho Income Tax Withholding, rev. 6-20-18].
Employees are instructed to use the new 2018 W-4 Worksheet for Idaho (rev. 6-15-18) to calculate the number of Idaho allowances and estimate any additional withholding that should be claimed on the federal Form W-4 for state purposes. Currently, Idaho does not have its own employee withholding allowance certificate.
The withholding guide was updated in May with revised wage-bracket and percentage method withholding tables, effective for wages paid on or after January 1, 2018.
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