IDAPA 35.01.01.121 — ADJUSTMENTS TO TAXABLE INCOME -- SUBTRACTIONS AVAILABLE ONLY TO

INDIVIDUALS (RULE 121).
Section 63-3022, Idaho Code
01.
Income Not Taxable by Idaho. As provided in Section 63-3022(f), Idaho Code, subtract the
amount of income that is exempt from Idaho income tax if included in taxable income. Income exempt from taxation
by Idaho includes the following:
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a.
Certain income earned by American Indians.
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b.
Retirement payments received pursuant to the old Teachers' Retirement System. Prior to its repeal
on July 1, 1967, the old Teachers' Retirement System was codified at Title 33, Chapter 13, Idaho Code. Teachers who
were employed by the state of Idaho and who retired on or after January 1, 1966, generally do not qualify for this
exemption. Teachers who were not state employees and who retired on or after January 1, 1968, do not qualify.
Teachers receiving benefits pursuant to the Public Employees' Retirement System, Title 59, Chapter 13, Idaho Code,
do not qualify for the exemption. No exemption is provided for amounts received from other states, school districts
outside Idaho, or any other source if the proceeds do not relate to teaching performed in Idaho.
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IDAHO ADMINISTRATIVE CODE
IDAPA 35.01.01
Idaho State Tax Commission
Income Tax Administrative Rules
Section 122
Page 20
02.
Standard or Itemized Deduction. If itemized deductions are limited pursuant to Section 68,
Internal Revenue Code, the amount of state and local income or general sales taxes added back will be computed by
dividing the amount of itemized deductions that are allowed to the taxpayer after all federal limitations by total
itemized deductions before the Section 68 limitation.
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03.
Unused Net Operating Losses of Estates and Trusts. An unused net operating loss carryover
remaining on termination of an estate or trust is allowed to the beneficiaries succeeding to the property of the estate or
trust. The carryover amount is the same in the hands of the beneficiaries as in the hands of the estate or trust. The first
taxable year of the beneficiaries to which the net operating loss is to be carried is the taxable year of the beneficiary in
which the estate or trust terminates. No part of a net operating loss incurred by an estate or trust can be carried back
by a beneficiary, even if the estate or trust had no preceding taxable years eligible for a carryback. For purposes of
determining the number of years to which a loss may be carried over by a beneficiary, the last taxable year of the
estate or trust and the first taxable year of the beneficiary to which a loss is carried over each constitute a taxable year.
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