Budget & Taxes (Income Tax)

HB 200 proposes to increase the total amount of film tax credits available annually under the Montana Economic Development Industry Advancement (MEDIA) Act. The bill would raise the yearly cap on these tax credits from $12 million to $350 million. This change directly affects film production companies and related businesses that qualify for and claim these tax credits in Montana. The Department of Commerce grants authorization for these credits, which are then claimed on a first-come, first-served basis. This increase would apply to income tax years starting after December 31, 2024.

HB 306 would have created an income tax credit for property owners, including individuals and corporations, who rent out dwellings in Montana for less than 110% of the fair market rent for their county. The credit amount would be $200 for each $100 difference between 110% of fair market rent and the actual monthly rent charged. To qualify, a dwelling would need a lease of at least one year and meet specific housing quality standards. This credit could be carried forward for up to three years if not fully utilized.

House Bill 132 aimed to revise individual income taxation by allowing taxpayers to deduct a portion of their interest earnings from their Montana taxable income. This proposed deduction would apply to interest income reported on a Form 1099. The bill specified that the amount of the deduction would be limited based on the individual's tax filing status. Essentially, it sought to reduce the state income tax burden for individuals receiving certain interest income.

HB 209 proposed creating a state income tax credit for taxpayers covering nonpublic school education expenses. This credit would apply to qualifying students attending private schools or being homeschooled. Eligible expenses include tuition, textbooks, extracurricular activities, and other specific educational costs like therapies or vocational programs. The credit amount would be limited to the lesser of the expenses paid or 44.7% of a set state rate, and it could not exceed the taxpayer's overall tax liability.