TAXATION – Proposes an amendment to the state constitution to provide that the legislature may authorize cities and counties to adopt certain sales and use taxes.

HJR 5 proposes amending Idaho's constitution to allow cities and counties to adopt new sales and use taxes, subject to voter approval. It would require local governments to get majority voter consent at even-year general elections, with ballot measures specifying taxable products/services, revenue uses, a maximum 4-year term, and a 2% tax cap. Existing local taxes in place before January 1, 2027, would remain unaffected. This amendment, if approved by voters, would restrict new local sales taxes to a single type with strict limits, replacing prior local tax authority. The bill is a constitutional proposal, not a law, and requires voter ratification.