Idaho Enacts Portable Benefit Plan Act, Offering Tax Breaks for Contractors

The Idaho Governor signed a law that enacts the Portable Benefit Plan Act, adding Chapter 28 to Title 44 of the Idaho Code, which establishes a framework for portable benefit accounts that allow independent contractors to receive benefits without creating an employer-employee relationship. The law provides significant tax advantages, allowing hiring parties to deduct 100 percent of contributions as business expenses while independent contractors can exclude 100 percent of these contributions from taxable income. The law shall be in full force and effect on and after July 1. [H.B. 645, enacted 03/23/26]

This story was produced by Bloomberg Tax Automation, ...