The Complete Guide to Idaho Business Licenses
Idaho does not have a state business license. Sellers get a free seller's permit, contractors register with the state, and cities license specific activities. This guide explains each step for a new Idaho business.
Step 1: Form the LLC
File a Certificate of Organization with the Idaho Secretary of State for $100 online. The annual report is free, due by the last day of your anniversary month. See the Idaho LLC guide for every formation step.
Step 2: Free seller's permit
Apply through Idaho Business Registration on the Tax Commission's TAP. Applying for a seller's permit is free, and a regular permit is valid until cancelled. The rate is 6%. Since July 1, 2025, Idaho-resident sole proprietors with total sales of $5,000 or less do not need a permit. The same registration sets up withholding and Department of Labor accounts.
Step 3: City licenses
Idaho cities license specific activities. Boise, for example, has no general business license; the City Clerk licenses activities such as food and beverage, massage and taxis.
Step 4: Contractor registration
Contractors register with the Division of Occupational and Professional Licenses (DOPL) for any job over $2,000 (labor and materials), renewed every year. DOPL also licenses many professions.
Assumed business names
An assumed business name is filed with the Idaho Secretary of State — $25 online.
Checklist
| Registration | Agency | Cost |
|---|---|---|
| Certificate of Organization | Secretary of State | $100 online; free annual report |
| Seller's permit | Idaho State Tax Commission | Free |
| Contractor registration | DOPL | Jobs over $2,000 |
| Assumed business name | Secretary of State | $25 online |
Frequently Asked Questions
Does Idaho require a business license?
No. Idaho does not have a state business license. Sellers need a free seller's permit, contractors register with DOPL, and cities license specific activities.
How much is a seller's permit in Idaho?
It is free, and a regular permit is valid until cancelled.
Do contractors need to register in Idaho?
Yes, for any job over $2,000 (labor and materials), with the Division of Occupational and Professional Licenses.
How much does it cost to form an LLC in Idaho?
The Certificate of Organization costs $100 online, and the annual report is free.
Do I need a business license in Boise?
Boise has no general business license; the City Clerk licenses specific activities such as food and beverage, massage and taxis.