Quick answer: a flat 5.3% for 2026, but Idaho allows a deduction of up to 60% of the capital gain on qualifying Idaho property — and a stepped-up basis often leaves little gain to begin with. See the full cost picture in the Idaho probate real estate sale calculator.
No distinction between short-term, long-term, or ordinary income
A meaningful deduction for qualifying property
Idaho allows a deduction of up to 60% of the capital gain net income from the sale or exchange of qualifying Idaho property — worth checking with a tax professional whether an inherited house meets the specific holding-period and property-type requirements, since this can meaningfully reduce the effective rate below the flat 5.3%.
A stepped-up basis often does most of the work anyway
An inherited house usually receives a stepped-up cost basis to its value on the date of death under federal law, which often leaves little taxable gain if the house sells reasonably soon after — frequently a bigger factor than either the flat rate or the deduction.
No estate or inheritance tax layered on top
Idaho imposes neither a state estate tax nor an inheritance tax, so this income tax on the gain, potentially reduced by the 60% deduction, is the only state-level tax question the sale raises.
A local probate attorney can review your estate — many offer a free consultation.
The flat 5.3% rate and the capital gains deduction apply identically whether the sale closes in any of Idaho's counties.