« idk » is short for « I don't know ».
idk stands for « I don't know » — the first letter of each word, with the contraction counted as one.
It often softens a refusal rather than reporting ignorance: « idk, maybe » usually means « probably not ». The abbreviation carries that hedge; the full sentence does not.
Written out, it is « I don't know ». Two things the abbreviation hides: the capital I, which English capitalises everywhere, and the apostrophe in don't, standing for the missing o of not. In formal writing, drop the contraction entirely: I do not know.
Here is what CorrectSMS does with a message containing « idk ». The correction and the explanations are the app's own.
idk if im free thursday ill tell u tmrw
I don't know if I'm free Thursday. I'll tell you tomorrow.