Tax & Accounting Blog

Case Ruling in Favor of Exemption of Charitable Organizations in Montana

Blog, ONESOURCE, ONESOURCE Property Tax June 4, 2013

Family Promise of Great Helena v. Dept. of Rev., Dkt. No. SPT-2012-8, 05/23/2013.

A ruling by the Montana State Tax Appeal Board provides that a charitable organization was entitled to a property tax exemption in 2012 even though it did not file a timely exemption application. The organization was granted an exemption from the Department of Revenue for 2013 but denied the exemption for 2012 because the application had not been timely filed. The ruling found that the statute does not state a requirement for applying for the exemption and that the DOR’s assessment notice to the taxpayer did not let them know they were required to apply for an exemption. In conclusion, the Appeal Board stated that there was no public benefit from taxing an organization for one year when it explicitly met the exemption requirements.