BOISE, Idaho — The Idaho State Tax Commission is gearing up for a major shift that will require thousands of businesses to file their taxes online — a move officials say will save money, strengthen security, and help meet Gov. Brad Little's mandated 3% budget holdback.

The change stems from an executive order Little signed in August directing all taxpayer-funded state agencies to cut expenses for the 2026 fiscal year. Among the requirements: reducing general fund spending by 3%, consolidating services where possible, trimming unfilled positions, cutting costs in contracts and streamlining boards and commissions.

For the commission, one of the biggest opportunities for savings is eliminating paper tax returns.

“For each paper return that we send out, it costs approximately $1.25,” said

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