STATEMENT OF PURPOSE
RS30084 / H0021
This bill relates to income taxes. It is the annual bill to update references to the Internal Revenue Code (IRC).
The bill conforms the Idaho income tax code to changes made to the IRC that affect the 2022 tax year. The
Idaho income tax code uses federal taxable income as a starting point for both businesses and individuals. Our
tax forms use federal adjusted gross income as a starting point. Idaho uses a static conformity to a specific date,
currently January 1, 2022. This bill updates Idaho Code section 63-3004, to January 1, 2023. Using federal
taxable income as a starting point saves a tremendous amount of duplicate work. The Idaho Legislature can still
decide to which items it will conform to. Not conforming at all would cause a lot of extra work and confusion
for individuals, businesses, and the tax preparation industry.
FISCAL NOTE
The fiscal impact is estimated to be neutral for the 2023 fiscal year. Subsequent years are small amounts of
increased revenue from more flexible withdrawal rules.
Contact:
Representative Jeff Ehlers, District 21B
(208) 332-1072
DISCLAIMER: This statement of purpose and fiscal note are a mere attachment to this bill and prepared by a proponent
of the bill. It is neither intended as an expression of legislative intent nor intended for any use outside of the legislative
process, including judicial review (Joint Rule 18).
Statement of Purpose / Fiscal Note Bill SOP/FN INTRODUCED: 01/23/2023, 10:29 AM


Statutes affected:
Bill Text: 63-3004