Idaho · Economic Development · ID-TRI-001
Tax Reimbursement Incentive
Publication revised September 24, 2026. Sourcebook page 97.
Credit amount / calculation
Up to 30% of new state tax revenues generated by the project for up to 15 years.
Business fit and eligible activity
Substantial expansions can negotiate a refundable credit based on new state tax revenues. Qualified investment or approved project activity; confirm eligible property, location and taxpayer type.
Eligibility and practical use
A forest-products owner should treat this as a project-specific opportunity and test the actual expenditure or activity against the program rules.
Illustrative business benefit
If the approved agreement awards 30% of $100,000 of qualifying new state tax revenues, the credit for that year is $30,000. The agreement, annual performance and approved term control; 30% is not applied to the equipment price.
Timing / first action
Seek approval before starting the overall project, including site work or construction. Contact the administering agency and secure the required approval before the project is publicly or contractually committed.
Official sources
- Idaho Department of Commerce — Tax Incentives (commerce.idaho.gov)
Related programs
Idaho Business Advantage Credits
generally
Qualifying expansions meeting investment, jobs, wage and benefit tests can receive enhanced tax credits.
Investment Tax Credit
3% of qualifying investment
Broad statutory credit for qualified Idaho investment, including many depreciable manufacturing assets.
Research Activities Credit
5% of qualifying Idaho research expenditures over the base
Qualifying Idaho research can generate a state credit.
Clean Electricity Investment Credit (Internal Revenue Code §48E)
Generally
Potentially relevant when a forest-products facility owns qualifying zero-emission generation or energy-storage property.
Clean Electricity Production Credit (Internal Revenue Code §45Y)
Production-based
Alternative to the investment credit for owners/operators of qualifying clean-electricity facilities; potentially relevant to qualifying on-site generation.
Clean Fuel Production Credit (Internal Revenue Code §45Z)
Per-gallon or gallon-equivalent credit based on the
Potentially relevant only if a forest-products business actually produces qualifying transportation fuel.