Budget & Taxes (Tax Incentives)

died · Montana · Legislature May 27, 2025

LC 3134: Establish agriculture tax credit

This bill (LC 3134) proposed creating a tax credit for agricultural businesses in the state. It would have directly affected farmers and agricultural operations by potentially reducing their state tax liability. The key provision would have been establishing a specific credit amount or percentage for qualifying agricultural income or expenses. However, the bill never advanced beyond the drafting stage, as its draft was placed on hold in February 2025 and ultimately died in process on May 27, 2025.

Topics ✓ Budget & TaxesSupports Budget & TaxesBill creates tax credit for agricultural businesses, reducing tax liability, aligning with tax relief indicators for support.90% confidence

Sub-Topics Business Taxes Tax Credits Tax Incentives Tags Agriculture

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died · Montana · House May 20, 2025

HB 874: Provide property tax rebate for entity that did not receive past rebates

HB 874 aimed to provide property tax rebates for certain residential properties owned by entities, such as trusts, that did not receive past rebates. The bill allowed these entities to claim up to $500 for property taxes paid in 2022 and up to $500 for property taxes paid in 2023. To qualify, the property must have been a principal residence, and claims needed to be submitted by October 1, 2025. The bill also extended the program's termination date to June 30, 2026.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides property tax rebates up to $500 annually for qualifying residential properties, reducing tax burden for eligible owners under Taxation--Property.95% confidence

Sub-Topics Business Taxes Property Tax Tax Incentives

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died · Montana · House May 20, 2025

HB 922: Generally revise education tax credit laws

HB 922 proposes to establish a new education tax credit for resident taxpayers who are parents or legal guardians of children attending nonpublic schools. This bill would allow a $250 credit per eligible student each year, applied against the taxpayer's income tax liability. Any unused credit could be carried forward for up to three years. The legislation also revises the review schedule for existing tax credits and aims to provide parity in aggregate limits for educational programs in public and nonpublic school settings.

Topics ✓ Budget & TaxesSupports Budget & TaxesEstablishes tax credit reducing income tax liability for education expenses, providing tax relief per bill's tax credit provisions.85% confidence ✓ EducationSupports EducationCreates $250 tax credit per nonpublic school student, expanding educational access and financial support for families using private schools.90% confidence

Sub-Topics Business Taxes Tax Credits Tax Incentives School Choice

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died · Montana · House May 20, 2025

HB 412: Provide exemption for certain modifications to residential property

HB 412 proposed a new property tax exemption for homeowners who modify their existing residential properties to add living space. This exemption would apply to the increase in market value due to the modification, up to a limit of 15% of the property's market value before the modification. However, it would not apply to modifications made within three years of new construction, and only one exemption could be granted every six years, terminating upon the sale of the property. The Department of Revenue would automatically grant this exemption, which was set to begin in tax years after December 31, 2025.

Topics ✓ Budget & TaxesSupports Budget & TaxesProvides property tax exemption for home modifications, reducing taxable value increase for homeowners, aligning with tax relief support.90% confidence

Sub-Topics Property Tax Sales Tax Tax Incentives

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signed · Montana · House Feb 27, 2025

HB 19: Require public hearing before certain tax increment financing bonding

HB 19 requires local governments (like cities or counties) to hold a public hearing before using tax revenue from a tax increment financing district to pay for bonds that would extend the district's life beyond 15 years. This applies when a local government wants to pledge future tax revenue to fund bonds for urban renewal or economic development projects. The bill mandates that the local government must notify the county and school district where the project is located and hold the hearing to determine if extending the district is necessary to fulfill its development plan. The law takes effect for bond pledges made after its enactment date.

Topics ✓ Budget & TaxesSupports Budget & TaxesAdds public hearing requirement for tax increment financing bonds, promoting fiscal transparency and accountability in local budget decisions.85% confidence

Sub-Topics Debt & Bonds Revenue Tax Incentives

died · Montana · Senate May 23, 2025

SB 540: Revise taxation of class 17 property

SB 540 revises Montana's property tax rules for "class 17 property," specifically targeting dedicated telecommunications infrastructure like fiber optic and coaxial cable. It provides a 5-year tax exemption for new fiber/coaxial cable installations placed in service after July 1, 2021, with the exemption phasing out over 10 years (20% annually). To maintain the exemption, owners must reinvest the tax savings into new Montana cable installations within 2 years without passing costs to consumers. Federal-funded projects (e.g., under the American Rescue Plan) are excluded from the exemption, and owners must keep records for state review. The bill directly affects telecom infrastructure owners and operators in Montana.

Topics ✗ Budget & TaxesOpposes Budget & TaxesCreates property tax exemption for telecom infrastructure, reducing state tax revenue. Targets specific industry with tax break, weakening fiscal management of state revenue.85% confidence ✓ TechnologySupports TechnologyTax exemption for fiber/coaxial infrastructure incentivizes broadband deployment, directly expanding internet access - a key support indicator for technology policy.95% confidence

Sub-Topics Business Taxes Property Tax Tax Incentives Broadband Access Telecommunications

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died · Montana · Senate May 23, 2025

SB 371: Generally revise agriculture laws - MT made products

SB 371 would create a tax incentive by allowing Montana taxpayers to subtract income from Montana-produced goods from their individual and corporate income tax calculations. It directly affects businesses and individuals selling goods manufactured or grown within Montana, reducing their taxable income for those specific sales. The bill amends Montana's tax code to define "Montana-produced goods" and establish this subtraction as a specific adjustment to federal taxable income. This policy change aims to support local producers by lowering their state tax burden on sales of locally made products.

Topics ✓ Budget & TaxesSupports Budget & TaxesCreates tax incentive by allowing subtraction of Montana-produced goods income from taxable income, reducing tax burden for local agriculture businesses.95% confidence

Sub-Topics Business Taxes Sales Tax Tax Incentives

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