Idaho 2026 Regular Session

Agenda Feb 3rd, 2026

House Revenue and Taxation Committee

Key Moments

  • Jon Weber — Referenced in the discussion of whether to hold the matter for more clarification.
  • Jon Weber — He was asked for his preference on whether the docket should be held indefinitely or to a date certain.
  • Jon Weber — He said sooner is better and indicated a time-certain hold would work.
  • Jon Weber — He indicated that holding the docket until the coming Monday would work.
  • Jon Weber — He was given the floor to discuss the next docket.
  • Jon Weber — He introduced Docket 35-0106-2501 and described it as the hotel, motel, and campground rules section.
  • Jon Weber — He was thanked and released from the podium after presenting the docket.
  • David Cannon — Addressed as Chairman during the exchange.
  • David Cannon — Allowed Representative Ehlers to continue with additional questions.
  • David Cannon — Allowed Representative Shepherd to proceed with his question.
  • David Cannon — The chair recognized Representative Shepard and Mr. Johnson responded to the question.
  • David Cannon — Mr. Johnson addressed the chair while explaining the tax treatment of contractor purchases.
  • David Cannon — Mr. Johnson addressed the chair in responding to Representative Shepard.
  • David Cannon — Mr. Johnson addressed the chair and Representative Monks in response.
  • David Cannon — The chair invited Mr. Yost to respond.
  • David Cannon — The chair resumed questions for Mr. Johnson and recognized Representative Barbieri.
  • David Cannon — Addressed in the exchange as the chair.
  • David Cannon — Explained that each agency has an eight-year schedule for reviewing sections of rules.
  • David Cannon — Was being questioned about the rule-change process.
  • David Cannon — Said he needed to review the Department of Financial Management and Division of Administrative Rules process more fully before answering.
  • David Cannon — Suggested Aaron Yost could clarify the issue and invited him to come back up.
  • David Cannon — Was returned to the discussion after Mr. Yost's testimony.
  • David Cannon — Was about to respond to Representative Birch's revenue question.
  • David Cannon — Said the proposed changes should not change revenue because Idaho Code controls over rules and duplicative rule text was removed.
  • David Cannon — Said the committee and public feedback indicated no revenue reduction and that the rules were made easier for taxpayers to understand.
  • David Cannon — Explained that examples were rewritten as statements to remain in the rule and that other examples would be posted on the State Tax Commission website.
  • David Cannon — Confirmed the intent was to avoid revenue changes and to rely more on Idaho Code rather than the rules.
  • David Cannon — Recognized Representative Birch for another question.
  • David Cannon — Was thanked for his input and released from the podium.
  • Richard Cheatum — Raised a question about the wording on page 12 regarding 'fixtures to reality.'
  • Richard Cheatum — Praised for catching the 'realty' error.
  • Richard Cheatum — He is identified as the sponsor of an RS and House Bill 551 for Thursday's agenda.
  • Jon Weber — Jon Weber was introduced as the vice chair who would present the rules dockets, then formally introduced Docket 3501-0-2-2501, a sales and use tax rule, and continued presenting the rule while responding to questions from committee members.
  • Jon Weber — Took the podium back and noted that yard sales may require clarification in light of recently passed legislation.
  • David Cannon — Addressed as Chairman during discussion of the motion.
  • David Cannon — He returned the floor for a motion and recognized Representative Birch.
  • David Cannon — He asked whether the hold would give enough time to gather revenue information and noted the Tax Commission representatives were nodding in agreement.
  • David Cannon — He called for discussion and conducted the vote on the motion.
  • David Cannon — He recognized Representative Weber and asked him to reintroduce himself for the record.
  • David Cannon — He called for the vote and announced the docket was approved.
  • Vito Barbieri — Asked for a more specific reference to the item being discussed.
  • Vito Barbieri — Representative Barbieri questioned Mr. Johnson and later Aaron Yost about the eight-year limitation and how rule changes work, including whether changes are blocked until the eight-year period ends and what qualifies as an emergency. After hearing the explanation, he said it did not match his understanding and indicated he would review the issue further.
  • Philip Johnson — Identified himself as a Sales and Use Tax Specialist at the Tax Commission and explained that the correct term is 'realty.'
  • Jeff Ehlers — Asked about the effect of striking the computer software definition and whether taxability changes.
  • Jeff Ehlers — Followed up on whether the change from 'computer software' to 'canned software' is only a renaming or includes other changes.
  • Jeff Ehlers — Asked whether canned software was the same as the prior term or whether there were other changes.
  • Jeff Ehlers — Continued questioning about the distinction between software types and introduced a question about the next page.
  • Jeff Ehlers — Asked whether adding cloud storage created a new taxable policy or merely clarified existing treatment.
  • Jeff Ehlers — Asked for further follow-up and then raised a question about short-term rentals on page 25.
  • Jeff Ehlers — Asked whether short-term rentals were already taxable or whether the rule created a new tax.