Tax & Accounting Blog

Montana Property Tax Reporting Changes

Blog, ONESOURCE, ONESOURCE Property Tax January 29, 2014

montana Montana Department of Revenue has incorporated thirty-two industry-specific trend and percent good tables from the Modified Accelerated Cost-Recovery System for manufacturing assets. This change affects taxpayers and industrial companies filing the CAB-10 Industrial Personal Property Reporting Form (due thirty days upon receipt). These trend and depreciation factors apply to assets used directly in the manufacturing process; all nonmanufacturing assets should still use the Montana state business personal property depreciation tables.

The return due date for the Business Personal Property Reporting Form and the Oil and Gas Personal Property Reporting Form has changed from 2/15 to 3/1. Effective January 1, 2014, the Business Equipment (Class 8) Tax Exemption was raised from $20,000 to $100,000. Although the threshold has changed, the requirements for determining if you qualify for the exemption remain the same. With the increase in the exemption amount, the remaining tax rates for class 8 property taxable market value have changed as follows:

  • 1st $100,000 of Statewide Aggregate Market Value = Exempt
  • $100,000 – $6,000,000 of Statewide Aggregate Market Value = 1.5%
  • $6,000,001 and greater of Statewide Aggregate Market Value = 3%