TAXATION – Amends existing law to update references to the current Internal Revenue Code and to revise certain tax credits related to capital investments and research activities.

H 519 updates Idaho's tax code to align with the current federal Internal Revenue Code (as of 2026) and revises tax credits for business capital investments and research activities. It sets a 3% annual cap on the capital investment tax credit based on qualifying property, including equipment eligible for federal tax credits and qualified broadband infrastructure. The bill also allows eligible businesses to opt for a two-year exemption from personal property taxes on qualifying investments instead of claiming the capital investment credit, subject to specific income and investment criteria. These changes primarily affect Idaho-based businesses making qualifying capital investments or conducting research within the state.