Do Montana Residents Have to Pay Sales Tax in Other States?

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Montana Tax System Overview

  • Montana is one of five states with no general statewide sales tax: Alaska, Delaware, New Hampshire, and Oregon.
  • Some local governments in Montana can levy taxes on certain goods and services.

Montana State Taxes

  • Montana has an income tax ranging from 1% to 6.75%.
  • Businesses in Montana pay income taxes based on their IRS registration, along with withholding taxes and other taxes.
  • There is a property tax in Montana.
  • Montana collects taxes on natural resources harvested in the state.

Tax Assistance Programs

  • The Property Tax Assistance Program (PTAP) offers financial aid to Montana residents for property taxes if their federal AGI is at most $32,810 in 2023.

Tax Obligations for Montana Residents

  • Residents and businesses in Montana are required to pay state income tax on their earnings.
  • Federal tax obligations when residing in Montana may include taxes on online purchases from out-of-state sellers.

Additional Tax Information

  • Areas designated as resorts in Montana may charge up to 4% sales tax.

Tax Filing Requirement

  • According to Montana Instructions for Form 2, you must file a Montana Individual Income tax return if your federal gross income meets the threshold and you lived or earned income in Montana during the tax year.

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