BOISE, Idaho (AP) — An attorney representing several large businesses says if the Legislature passes a measure cutting the state's personal property tax Idaho "is going to get sued." Rick Smith told a House panel Tuesday that the plan backed by Idaho counties is unfair and unconstitutional because it excludes some state-assessed properties, while giving a break to locally-assessed competitors.

The Idaho attorney general's office, however, has concluded it wouldn't violate the Idaho Constitution's provisions on fair taxation. The tax committee chairman has delayed a vote on the measure until Thursday. The counties' plan would have the state tap into its general fund to replace $20 million in revenue that local governments stand to lose.

The Idaho Association of Commerce and Industry has put forward its own proposal, cutting $120 million in personal property taxes in phases through 2020.

 

 

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