How to Get a Dealer License in Idaho
In Idaho, dealer licensing runs through the Idaho Transportation Department (ITD), Division of Motor Vehicles — Dealer Services / Dealer Licensing Unit. To get a used car dealer license in Idaho you'll need a registered business, a compliant location, a $20,000 surety bond, and the fees below. Whether you're opening a car lot, going wholesale-only, or starting a buy-here-pay-here operation, this guide walks the Idaho auto dealer license requirements, real costs, and the exact steps — in plain English. Rules change, so verify everything against the Idaho Transportation Department (ITD), Division of Motor Vehicles — Dealer Services / Dealer Licensing Unit's current pages before you file.
- Surety bond
- $20,000
- License term
- Annual — renewed yearly with the renewal fee, the $300 ICAR fee (retail), and continuing education. New dealers first receive a 90-day temporary license; the permanent license issues after a successful 90-day follow-up audit.
- Sales threshold
- A license is required once a person sells 5 or more titled vehicles/vessels within a calendar year (Idaho Code Title 49, Chapter 16).
- Pre-licensing
- Required for new used-only and wholesale-only dealership owners (applications after Sept 1, 2022): an 8-hour pre-licensing class plus a passing written exam before applying. Franchised (new) dealers are exempt. Renewal requires roughly 4 hours of continuing education.
License types in Idaho
| License type | What it covers |
|---|---|
| Retail (Used) Vehicle/Vessel Dealer | Selling used vehicles/vessels to the public at a licensed lot with a display area for five or more vehicles. |
| Wholesale-Only Dealer | Dealer-to-dealer and auction sales only — no retail sales to the public; carries a higher bond but is exempt from the ICAR fund fee. |
| Franchised (New) Dealer | New vehicles/vessels under a manufacturer franchise; exempt from the used/wholesale pre-licensing education requirement. |
| Motorcycle / ATV / Utility / Snowmobile / Truck Camper Dealer | Recreational and small-vehicle categories at a lower bond tier. |
What it costs
| Item | Cost | Notes |
|---|---|---|
| Initial dealer license | ≈ $190 | Verify the current figure against the ITD 3170 fee schedule before relying on it |
| Renewal dealer license | ≈ $175 | Verify current amount with ITD |
| Idaho Consumer Asset Recovery (ICAR) Fund | $300 | Retail dealers only (wholesale exempt since 7/1/2015) — due at both initial issuance and renewal |
| Surety bond premium | Varies | Annual premium you pay is a fraction of the bond face amount, based on credit — not a state fee |
Step by step
- Verify the dealership business-name availability with the ITD Dealer Team.
- Obtain an Idaho seller's permit from the Idaho State Tax Commission.
- Secure the surety bond ($20k retail / $40k wholesale) and required liability insurance.
- Complete the 8-hour pre-licensing class and exam (used/wholesale owners), then submit the ITD 3170 application with notarized owner signatures plus a personal-history form (ITD 3171) for each individual.
- Pay the license, plate, and ICAR fees, secure zoning authorization, and pass the on-site inspection by a Motor Vehicle Investigator.
- Receive a 90-day temporary license; the permanent license is issued after a successful 90-day follow-up audit.
Premises & temp tags
Location: A permanent, commercial place of business in an area properly zoned for a vehicle dealership (zoning authorization signed and stamped), with an office containing a lockable records area, desk, filing cabinet, and phone; posted business hours with a licensed salesperson present; an exterior business sign; and, for retail dealers, a display lot capable of holding at least five vehicles. A Motor Vehicle Investigator physically inspects the location before licensing.
Temp tags / plates: Dealers issue ITD 30-day temporary registration permits (sold in books). Dealer plates may be used on a prospective buyer's test drive for up to 96 hours with a signed authorization letter.
Idaho-specific things to know
- New dealers get a 90-day temporary license first — permanent issuance is contingent on passing a 90-day follow-up audit, not automatic.
- The $300 ICAR (Consumer Asset Recovery) Fund payment recurs at every renewal for retail dealers; wholesale-only dealers are exempt.
- Wholesale-only dealers carry the higher $40,000 bond yet skip the $300 ICAR fee — a real structural quirk.
- The 8-hour class/exam mandate applies to applications filed after Sept 1, 2022 and is owner-specific; franchised new-car dealers are carved out.
Official Idaho resources
- ITD — Vehicle Dealers & Financial Institutions ↗
- ITD — Vehicle Titles (forms 3337 / 3368) ↗
- Idaho State Tax Commission — Sales/Use Tax Forms ↗
Idaho dealer license FAQ
How much does a dealer license cost in Idaho?+
Initial dealer license: ≈ $190; Renewal dealer license: ≈ $175; Idaho Consumer Asset Recovery (ICAR) Fund: $300; Surety bond premium: Varies. Plus the $20,000 surety bond (you pay a small annual premium on that, not the full amount).
How big is the dealer bond in Idaho?+
Idaho requires a $20,000 surety bond. $20,000 surety bond for retail dealers; $40,000 for wholesale-only dealers (effective July 1, 2015); $10,000 for motorcycle/ATV/utility/truck-camper/snowmobile dealers. The bond must come from a corporate surety licensed in Idaho, or be posted as cash/CD.
Do you need a physical lot to get a dealer license in Idaho?+
A permanent, commercial place of business in an area properly zoned for a vehicle dealership (zoning authorization signed and stamped), with an office containing a lockable records area, desk, filing cabinet, and phone; posted business hours with a licensed salesperson present; an exterior business sign; and, for retail dealers, a display lot capable of holding at least five vehicles. A Motor Vehicle Investigator physically inspects the location before licensing.
How many cars can you sell in Idaho without a dealer license?+
A license is required once a person sells 5 or more titled vehicles/vessels within a calendar year (Idaho Code Title 49, Chapter 16).
How long is a Idaho dealer license valid?+
Annual — renewed yearly with the renewal fee, the $300 ICAR fee (retail), and continuing education. New dealers first receive a 90-day temporary license; the permanent license issues after a successful 90-day follow-up audit.
Is dealer training or an exam required in Idaho?+
Required for new used-only and wholesale-only dealership owners (applications after Sept 1, 2022): an 8-hour pre-licensing class plus a passing written exam before applying. Franchised (new) dealers are exempt. Renewal requires roughly 4 hours of continuing education.
How do temporary tags work for Idaho dealers?+
Dealers issue ITD 30-day temporary registration permits (sold in books). Dealer plates may be used on a prospective buyer's test drive for up to 96 hours with a signed authorization letter.
Data verified 2026-07-17. Requirements change — confirm with the Idaho Transportation Department (ITD), Division of Motor Vehicles — Dealer Services / Dealer Licensing Unit before filing.
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