Budget & Taxes (Property Tax)

introduced · Montana · Legislature Mar 26, 2025

LC 1737: Provide for class of property for manufacturing for property tax purposes

This bill creates a new property tax class (class nineteen) specifically for manufacturing properties in Montana. It defines qualifying manufacturing property as land and improvements used for transforming materials into new products or assembling components (excluding construction), and sets a lower tax rate of 1.47% on this class - significantly below standard rates. The law applies to property tax years starting January 1, 2026, directly affecting manufacturers whose property meets the defined criteria. It clarifies tax treatment for parcels with mixed uses by basing classification on the largest share of improvements.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates lower tax rate (1.47%) for manufacturing property, providing targeted tax relief under state property taxation policy.95% confidence

Sub-Topics Business Taxes Property Tax Tax Incentives

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introduced · Montana · Legislature Mar 26, 2025

LC 348: Provide property tax relief funded with lodging tax revenue

This bill redirects 60.2% of lodging tax revenue (from hotels, rentals, etc.) to fund property tax assistance for Montana primary residence owners. It amends existing tax distribution rules to allocate these funds specifically through the Department of Commerce for property tax relief programs. The measure directly affects homeowners who qualify for this assistance, using existing lodging tax revenue instead of new taxes. Other portions of the lodging tax fund tourism, historical preservation, and state parks, but this bill's core change is the dedicated property tax support.

Topics ✓ Budget & TaxesSupports Budget & TaxesRedirects existing lodging tax revenue to fund property tax relief for homeowners, providing direct tax relief without new taxes or budget increases.95% confidence

Sub-Topics Business Taxes Property Tax Revenue

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introduced · Montana · Legislature Mar 26, 2025

LC 1228: Revising property appraisal to use an average value

This bill changes how Montana property taxes are calculated by requiring appraisers to use a 10-year average of market values (excluding the highest and lowest years) instead of a single-year value. It directly affects all property taxpayers, including homeowners and businesses, as it alters the baseline for determining taxable property value. The key provision amends Montana law to establish this averaging method for most taxable property, aiming to create more stable and predictable annual tax assessments. This change applies broadly, with specific exceptions for agricultural equipment, condominiums, and commercial properties as outlined in the bill.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill stabilizes property tax calculations via 10-year average, promoting predictable fiscal management and reducing annual volatility for taxpayers.90% confidence

Sub-Topics Property Tax

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introduced · Montana · Legislature Mar 27, 2025

LC 4310: Provide property tax rebates for principal residences

Montana's House Bill 4310 provides a property tax rebate of up to $330 for homeowners who lived in their primary residence for at least 7 months during tax year 2024 and paid property taxes on it. The rebate is limited to the actual taxes paid but capped at $330, and homeowners must apply by October 1, 2025, with proof of residency, property ownership, and personal identification details. The bill amends Montana law to establish this rebate, including provisions for estates and revocable trusts to claim it on behalf of qualifying individuals. It directly affects Montana homeowners with a primary residence meeting the occupancy and tax payment requirements for 2024.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides property tax rebate ($330 cap) for primary residence homeowners, offering direct tax relief per bill's explicit language and Taxation--Property subject.95% confidence

Sub-Topics Property Tax

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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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died · Montana · Legislature May 20, 2025

LC 2231: Prohibit judicial rulings that impose a tax burden absent legislative approval

This bill requires Montana's legislature to approve any new property tax levy used to pay court judgments against local governments or school districts. It directly affects counties, cities, and school districts that might need to raise property taxes to cover court-ordered payments (e.g., after losing a lawsuit). The key provision states that such tax levies cannot be imposed without legislative action - either through an appropriation or specific legislation permitting the levy - unless payment is made via insurance or existing funds. The bill does not change how insurance or existing budgets cover judgments, only the process for new tax increases to satisfy court rulings.

Topics ✗ Budget & TaxesOpposes Budget & TaxesRestricts local governments from imposing property tax levies for court judgments without legislative approval, limiting unilateral tax actions under Budget & Taxes.95% confidence

Sub-Topics Appropriations Property Tax

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died · Montana · Legislature May 20, 2025

LC 4441: Generally revise allocations of coal tax interest to provide property tax assistance

This bill redirects interest earnings from Montana's coal severance tax permanent fund to the State Property Tax Assistance Account instead of current allocations. It changes the destination of the "remainder of interest earnings" (currently distributed to agriculture, commerce, and other programs) to provide direct property tax relief. The key mechanism is amending Section 15-35-108 to require the state treasurer to transfer these funds to the property tax assistance account starting July 1, 2027. This policy change directly affects homeowners and property owners who may receive tax assistance through this account. The bill does not alter the base coal severance tax collections or other existing allocations.

Topics ✓ Budget & TaxesSupports Budget & TaxesRedirects coal tax interest earnings to property tax assistance, providing direct tax relief per bill's explicit purpose to fund property tax relief.95% confidence

Sub-Topics Property Tax

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died · Montana · Legislature May 20, 2025

LC 2579: Provide for all ages homeowner and renter tax credit

This bill (LC 2579) expands Montana's residential property tax credit to include all homeowners and renters regardless of age, removing previous age restrictions. It increases the maximum credit amount and revises income thresholds where the credit begins to phase out. The changes apply immediately and retroactively to prior tax years. The bill amends Montana Code Annotated sections related to property tax credits to implement these updates.

Topics ✓ Budget & TaxesSupports Budget & TaxesExpands property tax credit to all ages/incomes, increasing relief for homeowners and renters per bill's removal of age restrictions and higher credit amounts.95% confidence ✓ HousingSupports HousingExpands tax credit to all renters/homeowners, removing age limits and increasing credit amounts to boost housing affordability directly.95% confidence

Sub-Topics Property Tax Homeownership Property Taxes Renters

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died · Montana · Senate May 23, 2025

SB 204: Sunset or reapprove existing voter approved property tax levies

SB 204 would have limited most voter-approved property tax levies (mill levies) to a 10-year duration without requiring reapproval by voters. It directly affects local governments - including school districts, cities, and counties - that collect property taxes, requiring them to seek voter reapproval before existing levies expire. Key provisions include setting termination dates for all levies after 10 years (unless exceptions apply) and listing specific exceptions for school levies, community colleges, law enforcement, fire protection, and emergency medical services. The bill aimed to ensure ongoing voter oversight of property tax rates while maintaining stability for essential public services. (Note: The bill died in process on May 23, 2025, and did not become law.)

Topics ✗ Budget & TaxesOpposes Budget & TaxesRequires voter reapproval of property tax levies after 10 years, restricting automatic renewal of existing levies without public consent.90% confidence

Sub-Topics Business Taxes Property Tax

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died · Montana · Legislature May 23, 2025

LC 990: Revise property tax levies to fixed dollar amount subject to voter re-approval

This bill would have changed how local property tax levies are calculated, shifting from annual percentage-based increases to fixed dollar amounts that require voter re-approval before any change. It would have directly affected homeowners and local governments by altering the process for adjusting property tax rates. The bill died in committee in May 2025 and did not become law.

Topics ✗ Budget & TaxesOpposes Budget & TaxesBill requires voter approval for property tax changes, restricting local governments' ability to adjust levies without consent, thus limiting fiscal management in taxation.90% confidence

Sub-Topics Business Taxes Property Tax

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