Bill > SB173

This bill introduces several changes to property tax and income tax relief in Montana. It creates a new workforce renter's tax credit for individuals under 62 years old with gross household income less than $45,000 who pay significant rent relative to their earned income. The credit ranges from $1,200 to $1,750 depending on the percentage of earned income spent on rent, and is fully refundable even for those with no taxable income. The bill also increases the residential property tax credit for elderly residents, raising the maximum credit from $1,150 to $1,700 and adjusting income thresholds for partial credit eligibility. A special provision allows qualifying teachers to exclude certain income when calculating the tax credit, providing additional financial support for educators. The bill includes an annual inflation adjustment for income thresholds and adds the new workforce renter's credit to the list of tax credits subject to periodic legislative review. The changes will apply retroactively to income tax years beginning after December 31, 2024, providing immediate tax relief for eligible Montana residents, particularly renters and teachers struggling with housing costs.

Budget and Finance

https://bills.legmt.gov/#/laws/bill/2/LC4313