Budget & Taxes

vetoed · Montana · Senate Jun 12, 2025

SB 536: Revise contractor gross receipts tax

SB 536 revises Montana's contractor gross receipts tax by creating an exemption for certain individuals and businesses in good standing, requiring them to apply for the exemption. It specifically allows employee stock ownership plan (ESOP) companies to claim a credit against real property taxes, extending the timeframe to claim this credit from 5 to 7 years. The bill also clarifies that this credit can offset property taxes paid in Montana for business-related property. These changes apply to contractors with public contracts exceeding $80,000 and take effect January 1, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax exemptions and extends property tax credit for ESOP companies, providing targeted tax relief to qualifying businesses under Revenue/Taxation subjects.92% confidence | Rep's Stance ✗ Voted No ✗ Opposes Budget & Taxes

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died · Montana · Senate May 23, 2025

SB 150: Generally revise alcohol and tobacco laws

SB 150 creates a new "cigar bar room" license endorsement for existing alcohol licensees that also hold gambling licenses (e.g., casinos or gaming venues). It allows premium cigar smoking only in a designated, enclosed area with strict requirements: cigars must meet specific handmade criteria (no filters, 100% tobacco), the venue must generate at least 10% of annual revenue from cigar sales, and no other tobacco/vaping products may be smoked or sold there. The designated area must have proper ventilation, be separate from nonsmoking zones, and exclude minors under 21. The bill also exempts these cigar rooms from standard clean indoor air laws and requires a 2026 study on Montana’s gaming industry.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates new license category requiring 10% revenue from cigars, generating additional tax income for state budget through licensing fees and sales tax.85% confidence | Rep's Stance ✗ Voted No ✗ Opposes Budget & Taxes

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died · Montana · Senate May 23, 2025

SB 551: Revise fantasy sports laws

SB 551 would establish a licensing system for online fantasy sports companies operating in Montana, requiring them to obtain approval from the Department of Justice. It defines "fantasy sports contests" as skill-based games where outcomes depend on player knowledge (not chance), mandates background checks for applicants, and sets fees for licensing and criminal background investigations. The bill also creates tax rules based on "internet fantasy sports contest adjusted revenues" and requires companies to maintain records for audits. This bill died in committee in May 2025 and did not become law.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax rules on fantasy sports revenues, generating new state budget income through licensing fees and tax calculations.95% confidence | Rep's Stance ✗ Voted No ✗ Opposes Budget & Taxes

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died · Montana · Senate May 23, 2025

SB 205: Revise laws related to voter approval for property tax levies and bonds

SB 205 would have revised Montana's voter approval requirements for local property tax levies and bond elections. It would have increased the minimum voter turnout threshold for county bond elections from 30% to 40% (requiring 50%+ of votes cast to approve), and raised the threshold for city/town bond elections from 40% to 50% turnout (also requiring 50%+ of votes cast). These changes directly affected counties and municipalities seeking voter approval for bond measures or mill levies. The bill died in process in May 2025 and did not become law.

Topics ✗ Budget & TaxesOpposes Budget & TaxesIncreases voter turnout thresholds for property tax levies/bonds, restricting local government ability to secure funding through these mechanisms.85% confidence | Rep's Stance ✓ Voted Yes ✗ Opposes Budget & Taxes

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died · Montana · Senate May 23, 2025

SB 32: Generally revise property taxes

SB 32 revises Montana's property tax structure by adjusting tax rates for multiple property classes. It lowers the tax rate for mining property (Class 2) from 3% to 1.65% of gross proceeds, sets agricultural land (Class 3) at 1.65% of productive value, and modifies residential/commercial rates (Class 4), including a reduced 1% rate for owner-occupied homes and a 1.4x multiplier for properties over $1.5 million. The bill also adds an inflation adjustment for local government tax levies and clarifies definitions for properties like nonproductive mining claims and owner-occupied residences. These changes directly affect property owners across Montana, particularly in agriculture, mining, and residential real estate.

Topics ✓ Budget & TaxesSupports Budget & TaxesLowers rates for mining (3%→1.65%), agriculture (1.65%), and owner-occupied homes (1%), providing tax relief.90% confidence | Rep's Stance ✗ Voted No ✗ Opposes Budget & Taxes

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died · Montana · Senate May 23, 2025

SB 351: Limit the state's ability to bank statewide mills

SB 351 limits Montana local governments' ability to save ("bank") property tax authority for certain state-mandated tax programs. It specifically amends property tax law to prevent local entities from carrying forward unused mill authority (tax rate allowances) for taxes imposed under statutes 20-9-331, 20-9-333, 20-9-360, and 20-25-439. This change directly affects counties, cities, and school districts that rely on these specific state tax programs, requiring them to use their full annual tax authority each year rather than saving it for future use. The bill’s key provision removes these programs from the existing rule that allows governments to carry forward unused tax authority to future years.

Topics ✗ Budget & TaxesOpposes Budget & TaxesRestricts local governments' ability to bank unused property tax authority, limiting fiscal flexibility under state tax programs per bill's amendment to property tax law.92% confidence ✗ EducationOpposes EducationRestricts school districts' ability to bank property tax authority, limiting their financial flexibility for education funding under state-mandated tax programs.92% confidence | Rep's Stance ✓ Voted Yes ✗ Opposes Budget & Taxes

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died · Montana · Senate May 23, 2025

SB 159: Establish subtrust within the coal trust to increase educational tax credits

SB 159 would create an "Educational Opportunity Fund" within Montana's coal severance tax trust. It increases the annual cap on educational tax credits from $2 million to $5 million starting in 2024, with automatic annual increases of 20% plus 50% of fund earnings. This bill directly affects taxpayers who donate to school districts for innovative programs or to scholarship organizations, allowing them to claim larger tax credits. It also removes the previous sunset provision, making the credit program permanent. The bill amends existing tax code sections to implement these changes to educational funding.

Topics ✓ Budget & TaxesSupports Budget & TaxesIncreases educational tax credit cap to $5M+ annually, providing tax relief for donors supporting schools and scholarships, directly advancing state education funding through tax incentives.95% confidence ✓ EducationSupports EducationIncreases tax credit cap for school donations/scholarships from $2M to $5M with automatic annual growth, directly expanding funding for educational programs and access.95% confidence | Rep's Stance ✗ Voted No ✗ Opposes Budget & Taxes

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died · Montana · Senate May 23, 2025

SB 323: Revise individual income tax rates and earned income credit

SB 323 would reduce Montana's top individual income tax rate from 5.9% to 4.9% for most taxpayers, including married couples filing jointly, heads of household, and single filers. It also increases the state's Earned Income Tax Credit, providing greater tax relief for low-to-moderate income workers. The bill amends Montana's tax code (sections 15-30-2103 and 15-30-2318) to adjust tax brackets and credit amounts, with changes applying to income above specific thresholds ($41,000 for joint filers, $30,750 for heads of household, and $20,500 for others). The bill was tabled in committee and died in process without becoming law.

Topics ✓ Budget & TaxesSupports Budget & TaxesReduces top tax rate and increases EITC for low-to-moderate income workers, providing targeted tax relief per bill summary.95% confidence | Rep's Stance ✗ Voted No ✗ Opposes Budget & Taxes

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died · Montana · Senate May 23, 2025

SB 2: Revise treatment of tax increment upon expiration of tax increment financing provision

SB 2 clarifies how local governments calculate property tax levies when a tax increment financing (TIF) district ends. It specifies that the value previously held in the TIF district (the "increment") must be treated as "newly taxable property" for tax calculations in the year of termination or the following year. This directly affects Montana local governments, as it ensures they can include this value when determining property tax revenues under existing levy formulas, without treating it as new construction or annexation. The bill amends Montana Code Annotated sections 15-10-420 and 20-9-336 to define these rules clearly.

Topics ✓ Budget & TaxesSupports Budget & TaxesClarifies tax calculation for TIF expiration, ensuring local governments include increment value in property tax levies, promoting fiscal accuracy and revenue stability for local budgets.95% confidence | Rep's Stance ✗ Voted No ✗ Opposes Budget & Taxes

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died · Montana · Senate May 23, 2025

SB 322: Increase business equipment tax exemption

SB 322 increases Montana's tax exemption for business equipment by setting a $500 threshold, meaning equipment costing under $500 would be automatically exempt from taxation. It also requires annual inflation adjustments to the exemption amount and modifies tax code sections to clarify definitions and eligibility. Local governments and tax increment financing districts would receive reimbursements for lost property tax revenue due to these changes. The bill directly affects Montana businesses purchasing equipment under $500 and local governments managing property tax revenue.

Topics ✓ Budget & TaxesSupports Budget & TaxesIncreases tax exemption for small business equipment ($500 threshold), providing tax relief while requiring reimbursements to offset local revenue loss.90% confidence | Rep's Stance ✗ Voted No ✗ Opposes Budget & Taxes

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