Combined rate and how to defer it in Idaho.
Idaho's 5.80% income tax on capital gains lifts the combined rate for investment property to 29.6% (20% federal + 3.8% NIIT + 5.80% state), a level that makes deferral worth calculating before you close.
Idaho taxes capital gains as ordinary income at up to 5.80% at the state level. Combined with federal, the total is 29.6%. Estimate the full bill including depreciation recapture with the capital gains tax calculator.
A 1031 like-kind exchange can defer the full 29.6% combined rate. Model your exchange in the 1031 exchange calculator and check your 45-day and 180-day deadlines with the timeline calculator.