Budget & Taxes

introduced · Montana · Legislature Mar 27, 2025

LC 1278: Providing for a refund of property taxes for failure to abate a public nuisance

This bill allows property owners to apply for a refund of their property taxes if their local government (city, county, or consolidated city-county) fails to enforce laws against specific public nuisances like illegal camping, public drinking, or panhandling, and the owner incurs documented costs to mitigate these issues on their property. The refund amount equals the documented mitigation expenses, but cannot exceed the owner’s prior year’s property tax payment to the local government. The state department of revenue processes applications, requiring local governments to accept or reject refunds within 30 days; rejections can be challenged in court, where the government bears the burden of proof. Refunds are paid from the state general fund and deducted from the local government’s future entitlement share payments.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill provides property tax refunds for owners mitigating public nuisances, directly addressing tax relief within Taxation--Property subject.85% confidence

Sub-Topics Property Tax State Budget

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introduced · Montana · Legislature Mar 27, 2025

LC 1364: Generally revise employee tax credit laws to include apprentices

This bill expands Montana's job growth tax credit to include construction industry apprentices as "qualifying new employees." It amends Section 39-11-404 to explicitly define apprentices as eligible for the credit, which previously required hiring full-time employees meeting specific wage and growth thresholds. Employers in the construction industry that hire apprentices will now qualify for the same annual tax credit as those hiring other new employees, subject to existing requirements (e.g., 10+ apprentices in the first year, 15+ annually after). The credit remains tied to net employee growth calculations and is administered by the Montana Department of Revenue. The policy change applies to credits claimed through 2028.

Topics ✓ Budget & TaxesSupports Budget & TaxesExpands tax credit for construction apprentices, providing tax relief to employers under revenue program, aligning with fiscal responsibility indicators.95% confidence ✓ Labor & EmploymentSupports Labor & EmploymentExpands tax credit eligibility for construction apprentices, incentivizing employer hiring and workforce development under Labor & Employment policy.90% confidence

Sub-Topics Business Taxes Tax Credits Apprenticeships

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introduced · Montana · Legislature Mar 28, 2025

LC 1261: Revise taxation of certain wind generation facilities

This bill reclassifies certain wind energy facilities from Property Tax Class Fourteen to Class Thirteen in Montana. Currently, wind facilities are excluded from Class Seven (taxed at 8%) but fall under a higher-tier classification; this change moves them to Class Thirteen, which is taxed at 6% of market value. The bill amends Montana Code Annotated sections 15-6-137 and 15-6-156 to explicitly include wind generation facilities under Class Thirteen’s tax rate. This directly affects wind energy facility owners by reducing their property tax burden from 8% to 6%. The change applies immediately and retroactively, affecting existing facilities without requiring new construction.

Topics ✓ Budget & TaxesSupports Budget & TaxesReduces tax rate for wind facilities from 8% to 6%, providing targeted tax relief under property tax classification.90% confidence ✓ EnergySupports EnergyLowers tax rate for wind facilities from 8% to 6%, reducing costs to encourage renewable energy development and aligns with pro-renewable energy tax incentives.90% confidence

Sub-Topics Business Taxes Wind

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introduced · Montana · Legislature Mar 28, 2025

LC 2944: Generally revise education tax credit laws

This bill creates a $250 annual tax credit for Montana parents or legal guardians of children attending nonpublic schools. It directly affects families with children aged 5-19 enrolled in qualifying nonpublic schools (as defined in Montana law). The credit, which cannot exceed a taxpayer's income tax liability, may be carried forward up to three years if not fully used in the current tax year. The bill also adds this new credit to Montana's scheduled tax credit review process, requiring its evaluation every eight years starting in 2025.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates $250 annual tax credit for nonpublic school parents, reducing taxable income and providing direct tax relief - advancing tax policy.90% confidence ✓ EducationSupports EducationCreates $250 annual tax credit for nonpublic school families, expanding educational access options for K-12 students through direct financial support.90% confidence

Sub-Topics Business Taxes Income Tax Tax Credits School Choice

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introduced · Montana · Legislature Mar 29, 2025

LC 1199: Generally revise state finance laws

This bill creates the Montana Growth and Opportunity Trust to manage volatile state tax revenue. It requires annual transfers of half of unpredictable tax revenue (like capital gains) into the trust starting in 2027. The trust’s interest earnings are split: half funds five specific state accounts (disaster relief, property tax relief, water development, bridge repairs, and early childhood programs), each receiving up to $15 million yearly, while the other half is reinvested into pension funds and housing infrastructure loans. The bill directly affects state budget operations and provides dedicated funding streams for local government services, housing, and early childhood programs.

Topics ✓ Budget & TaxesSupports Budget & TaxesFunds property tax relief and essential programs (disaster, water, bridges) via tax revenue trust, promoting fiscal responsibility and public funding.95% confidence ✓ TransportationSupports TransportationBill allocates up to $15M annually for 'bridge repairs' under trust earnings, directly funding transportation infrastructure maintenance.85% confidence

Sub-Topics Business Taxes Revenue State Budget Bridges

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introduced · Montana · Legislature Mar 29, 2025

LC 1712: Revise tax rate for agricultural property owned by certain nonprofits

This bill revises Montana's tax rate for agricultural land owned by certain nonprofits. It changes the tax rate from 2.16% to 10 times the standard agricultural tax rate (21.6%) for nonprofit corporations that do not qualify as exempt categories like churches, schools, hospitals, or low-income housing providers. The policy directly affects agricultural property owned by nonprofits not listed in the exceptions (sections 15-6-133(1)(d)(i)-(viii)). This adjustment applies to land acquired after the bill's effective date, increasing tax liability for qualifying nonprofits under this specific provision.

Topics ✓ Budget & TaxesSupports Budget & TaxesIncreases tax rate for non-exempt nonprofit agricultural property from 2.16% to 21.6%, boosting state revenue without exemptions for qualifying nonprofits.92% confidence

Sub-Topics Business Taxes

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introduced · Montana · Legislature Mar 30, 2025

LC 3297: Provide a general statewide sales tax to replace school property taxes

This bill proposes replacing school property taxes with a statewide sales tax. It would create a general sales tax across Montana, with all revenue directed to the School Equalization and Property Tax Reduction Account to fund public schools. The bill repeals existing property tax mill levies for schools and allows certain sales tax exemptions while requiring out-of-state retailers to collect the tax. Homeowners would no longer pay school property taxes, and schools would receive funding through this new sales tax system instead of local property levies.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill replaces property taxes with statewide sales tax to fund schools via dedicated account, directly advancing school finance through tax structure reform and revenue redirection.95% confidence ✓ EducationSupports EducationBill redirects all sales tax revenue to fund public schools via School Equalization Account, replacing property taxes without reducing school funding, directly supporting education finance.95% confidence

Sub-Topics Business Taxes Sales Tax State Budget School Funding

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introduced · Montana · Legislature Mar 30, 2025

LC 4257: Revise selective sales taxes to provide ongoing property tax relief

This bill creates a $400 property tax credit for Montana homeowners who lived in their primary residence for at least 7 months in 2024, capped at the actual 2024 property taxes paid. The credit will be applied directly to the 2025 property tax bill as a reduction, funded by increased lodging and rental car taxes. Homeowners must apply electronically (July 15-August 15, 2025) or by mail with proof of ownership and residency, and the credit is limited to single-family homes, condos, or mobile homes within 1 acre of land. Counties will distribute the credit through property tax bills, with penalties for false applications.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides direct property tax relief to homeowners via $400 credit, funded by increased lodging/tax, advancing tax relief for middle-income residents.95% confidence

Sub-Topics Sales Tax

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introduced · Montana · Legislature Mar 30, 2025

LC 3865: Establish a child income tax credit

Montana's LC 3865 establishes a refundable child tax credit of $1,000 per qualifying child under age 5 for eligible residents. To claim it, taxpayers must have earned income, a valid Social Security number for each child, and meet income limits ($35,000 single/head of household, $65,000 married filing jointly). The credit is refundable - meaning families can receive cash even if they owe no state tax - and adjusts annually for inflation based on the Consumer Price Index. This policy directly affects Montana parents with young children who meet income and documentation requirements.

Topics ✓ Budget & TaxesSupports Budget & TaxesRefundable child tax credit provides direct tax relief to low-income families, aligning with support indicators for middle/lower income tax relief.90% confidence

Sub-Topics Business Taxes Income Tax Tax Credits

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introduced · Montana · Legislature Apr 14, 2025

LC 4273: House resolution for legislators to offset appropriations in introduced bills by identifying the programs from which funds are to be reallocated in the same bill

This resolution requires Montana legislators to identify specific existing programs whose funding will be reduced when introducing bills that include new spending. If a bill proposes new expenditures, it must specify which current programs will have funds reallocated to cover the cost, rather than adding new spending without offsetting cuts. The resolution is procedural - it doesn’t change actual budgets but sets a rule for how bills are drafted to promote fiscal accountability. It applies to all House bills containing new appropriations, aiming to ensure every new spending request includes a clear funding source within the same bill.

Topics ✓ Budget & TaxesSupports Budget & TaxesRequires offsetting new spending with specific program cuts to promote fiscal accountability, aligning with budget responsibility indicators.95% confidence

Sub-Topics Appropriations Audits & Accountability State Budget

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