Idaho Idaho Annual Withholding Report Instructions

Idaho Annual Withholding Report Instructions 
Form 967 Instructions, Annual Withholding Report 2023
Form 967 — Instructions
Annual Withholding Report
General Instructions
Use Form 967, Idaho Annual Withholding Report – to
report the total taxable wages and reconcile the total
amount of Idaho taxes you withheld during the calendar
year to the amount you paid to the Idaho State Tax
Commission for the same calendar year. Also use
Form 967 to submit the state copy of the Forms W-2,
Wage and Tax Statements – and any Forms 1099 with
Idaho income tax withheld to the Tax Commission.
Who Must File. If you had an active Idaho withholding
account for any part of the year or withheld Idaho income
taxes during the year, you must file Form 967. You must
file Form 967 even if you withheld no income tax from
employees’ wages or if you cancelled your account
during the year.
When to File Form 967. Form 967 and W-2s are due on
or before the last day of January, whether you’re filing
electronically or by paper. The due date for filing 1099s is
on or before the last day of February.
You have two options to file your 1099s with Idaho
withholding:
1.	 Complete and submit them with Form 967
and W-2s by the last day of January. For
reconciliation purposes, this is the easiest option.
2.	 Wait until the last day of February to file them.
However, you must still complete and submit
Form 967 and any W-2s by the last day of
January. You must also include in the Form 967
totals the amounts from any 1099s with Idaho
withholding.
Ways to File. You can file electronically at
tax.idaho.gov/efile, or send the signed and completed
Form 967 with W-2s and/or 1099s to:
Idaho State Tax Commission
PO Box 76
Boise ID 83707-0076
Online
Idaho requires electronic filing of W-2 and 1099 forms
for employers who are required by the Internal Revenue
Service (IRS) to file electronically. If you are required by
the IRS but don’t file electronically with Idaho, we will not
process the return and we will charge you a penalty.
You can file the following online through our website at
tax.idaho.gov/efile:
W-2s with Form 967. You can file your W-2s
electronically by either entering the 967 and W-2 detail
online or uploading a file. If you choose a file upload, the
specifications are available at tax.idaho.gov/taxpros.
1099s and Information Returns. You can file your 1099
and information returns electronically by uploading a file
or by participating in the combined Federal/State Filing
Program. Specifications for filing 1099s electronically
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are available at tax.idaho.gov/taxpros. Report only the
withholding amounts from the 1099s included in the file on
the Form 967 (RV Record).
If you choose to file your 1099s by the last day of February,
you must still file a Form 967 by the last day of January.
If you e-file, don’t send paper returns, W-2s, or 1099s.
Paper
When you file your Form 967 by paper, you must include
paper W-2s and any 1099s with Idaho income tax withheld
to the form. Please make sure all copies of W-2s and 1099s
are legible, especially any carbon copies.
If you choose to wait until February to file your 1099s with
Idaho withholding, include a copy of the Form 967 filed in
January and write “Amended” across the top. Send it along
with your paper 1099s to the Tax Commission.
Combined Federal/State Filing Program for 1099s and
Information Returns
Idaho participates in and encourages the use of the 1099
Combined Federal/State Filing Program. If your information
returns have Idaho income tax withheld or you have an
active withholding account, you must complete Form 967.
Include all Idaho wages and withholding information from
1099s, and any W-2s. Check the combined federal/state
filing box on line 9. Send the Form 967, and any W-2s, to
the Tax Commission by the last day of January.
If you file your 1099s and other information returns through
the Combined/State Filing Program, don’t file them
electronically through our website and don’t submit paper
copies with your Form 967.
Rounding Amounts. Round down if under 50 cents,
round up if 50 cents or more.
Records and Forms Needed to Complete the
Reconciliation Process:
•	 Payroll records
•	 Completed W-2 forms and any 1099s with Idaho
income tax withheld
•	 Record of Idaho Withholding Payments
•	 Form 967, Idaho Annual Withholding Report
Required Information for State W-2s and 1099s:
•	 Employer’s name and address
•	 Employer’s EIN (federal Employer Identification
Number assigned to you by the IRS)
•	 Employer’s 9-digit Idaho withholding account number
from the top of Form 967 (don’t include the “–W”
or “–09” at the end of the number and don’t enter
“applied for”)
•	 Employee’s name and address
•	 Employee’s Social Security number
•	 State abbreviation (ID)
•	 Federal and state taxable wages
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Form 967 — Instructions
•	 Idaho income tax withheld
•	 Tax year

(continued)

the appropriate rate. To complete the computation, multiply
the tax due x the daily rate x the number of days late.
Example: Additional tax due of $250 is paid 100 days late.
$250 x .00016438 (2024 rate) x 100 days
$250 x .00016438 = .041095/day
X 100 days = $4.11 Interest

All copies of W-2s and 1099s must be legible and
unaltered.

Specific Instructions

Wages and Withholding
Complete the Record of Idaho Withholding Payments
Worksheet before completing Form 967. You don’t
need to mail it to the Tax Commission. You can find the
worksheet at tax.idaho.gov (click on Withholding Forms
under Forms/Guides).

Line 7. Enter the total of lines 4, 5, and 6.
Statements Submitted
Line 8. Enter the number of W-2s attached to the Form 967.

Form 967 Instructions

Line 9. Enter the number of 1099s with Idaho income tax
withheld attached to the Form 967 or submitted with the
Combined Federal/State Filing Program.

Line 1. Enter the total Idaho taxable wages shown on the
W-2s.

Check the box if you filed 1099s using the Combined
Federal/State Filing Program.

Line 2. Enter the total Idaho tax withheld included on
your W-2s (Box 17) and 1099s.

Line 10. Add lines 8 and 9. Enter the total number of
statements submitted.

Line 3. Enter the total of Idaho income tax withholding
payments you made during the calendar year.

Line 11. The penalty for late filing of W-2s and 1099s is
$2 per month (or part of a month) for each W-2 and 1099
(minimum $10 – maximum $2,000). Penalty is due if W-2s
aren’t received by the last day of January and if the 1099s
aren’t received by the last day of February.

Line 4. Subtract line 3 from line 2. This is your remaining
tax due (or overpayment).
If line 2 is larger than line 3, you have underpaid your
Idaho withholding and will owe additional tax. If line 3 is
larger than line 2, you have overpaid your withholding
and may be entitled to a refund.
Line 5. Enter the penalty on the balance due. If line 4 is
zero or a credit, enter 0.
If you file your Form 967 late, a penalty will be calculated
on any unpaid withholding tax due at five percent (5%)
per month after the due date of the return.
If you file your Form 967 on time, but don’t pay all or part
of any unpaid withholding tax due, a penalty of one-half
percent (0.5% or .005) per month will be charged until
paid in full.
The minimum penalty is $10. The maximum penalty is
25% of the tax due.
Line 6. Enter the interest on the balance due. If line 4 is
zero or a credit, enter 0.
Interest accrues on the unpaid tax balance from the due
date of the Form 967 to the date paid. Interest rates are:
01/01/2024 – 12/31/2024, 6% per year .00016438 daily
01/01/2023 – 12/31/2023, 5% per year .00013699 daily
01/01/2022 – 12/31/2022, 3% per year .00008219 daily
01/01/2021 – 12/31/2021, 2% per year .00005479 daily
If payment of the tax is received after the due date of the
Form 967, interest will be computed on the balance due at

Line 12. Add lines 7 and 11. Enter the tax due on line 12a
or the refund amount on line 12b. Don’t enter information on
both lines.
You must sign your return to make it valid. Unsigned returns
may result in the delay or denial of credits or refunds.
If you had an active withholding account for any part of the
year, you must file Form 967 even if you had no employees,
paid zero wages, or withhold zero tax.

Amending the Form 967 and Correcting W-2s
Amended 967s and corrected W-2s can’t be filed electronically.
Amending the Form 967:
•	 Complete a new Form 967 using the correct amounts.
If you don’t have a copy of your Form 967, please call
the Tax Commission to request one.
•	 Check the “Amended” box.
Correcting Form W-2s:
If you issued an incorrect W-2, you must issue the employee
a correct W-2 using federal Form W2c, and send all copies
to all required government agencies.
Send the amended Form 967 and correct W-2s to:
Idaho State Tax Commission
PO Box 76
Boise, ID 83707-0076

Contact us:

In the Boise area: (208) 334-7660 | Toll free: (800) 972-7660
Hearing impaired (TDD) (800) 377-3529
tax.idaho.gov/contact
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