Yard sales might qualify for sales tax exemption

BOISE, Idaho — July 19, 2023 — Yard sales (or garage sales) are a popular way to declutter and make extra money. Before you start selling unwanted belongings, find out if you’ll need to collect and pay Idaho sales tax.

Almost every seller in Idaho must have a seller’s permit, collect sales tax, and send in the tax. However, you don’t need to do that if you qualify for the occasional sales exemption.

You can use the exemption if you have no more than two yard sales in the calendar year and you aren’t in the business of selling (a retailer), which means you do any of the following:

• Run the sale for more than a few days
• Sell somewhere other than your own residence
• Buy items to resell
• Sell items for someone else (consignment)
• Sell items at the sale that you also sell at a business you own

Yard sales are typically a one-weekend event where you sell your own items at your own residence. Holding a yard sale with someone else – whether a family member, neighbor, or friend – counts as one sale for each of you.

Selling or rehoming a pet would also qualify as one sale under the occasional sales exemption if you aren’t in the business of breeding, raising, or selling animals. The sale price should be a modest fee to cover your costs. Selling or rehoming pets for a substantial fee probably wouldn’t count as an occasional sale.

You don’t need to fill out a form or submit any paperwork to the Tax Commission if you qualify for the occasional sales exemption.

Organized sales that charge admission or have two or more sellers who pay to sell at the event are promoter-sponsored events and don’t qualify for the sales tax exemption.

To learn more about promoter-sponsored events, watch the Tax Commission YouTube videos about registering for an event and filing sales taxes after the event.

For more help, call the Tax Commission at (208) 334-7660 in the Boise area or toll free at (800) 972-7660.