TAXATION – Amends, repeals, and adds to existing law to establish a state property tax and to provide certain exemptions to such tax.

This bill establishes a new state property tax in Idaho targeting non-primary residential properties, such as vacation homes and short-term rentals, to help fund emergency services and law enforcement. The tax applies a 2.5 mill levy on taxable property value but exempts primary homesteads, commercial properties, agricultural land, and long-term residential leases of at least seven months. Revenue collected from the tax is distributed to counties and local jurisdictions, with 50% specifically designated for law enforcement, fire protection, and emergency medical services. The legislation also repeals an existing restriction that prevented a state property tax when a sales tax is in force, allowing this new levy to operate alongside sales taxes.