BLS & Co. periodically revises the state incentive pages to ensure our firm is providing the most current information on legislative and regulatory developments affecting available programs. Updates will be posted in the near future. In the interim, please call BLS & Co. with any questions at 609.924.9775 or reach out via email at info@BLSstrategies.com.
New Industrial Property Tax Abatement: Manufacturing businesses that establish a new location in Montana are eligible to receive a reduced taxable valuation rate of 3% on real and personal property for a period of 3 years. Property dedicated to R&D is also eligible for the reduced taxable valuation rate of 3%.
Enterprise Data Center Class 17 Property Tax: Data centers at least 300,000 square feet and $150 million in total investment or 25,000 square feet of new or expanded area where the total cost of land, improvements, personal property and software is at least $50 million qualify for Class 17 incentives. Data centers’ property tax liability may be reduced by 75% or 50% of their taxable value in the first five years after a construction permit is issued and increased by equal percentages until the full taxable value is reached in the tenth year.
Grow Montana Jobs: Non-refundable annual job creation credit to apply against the state corporate or individual income tax for tax years 2022-2028. The credit is equal to 50% of Montana FICA taxes paid by an employer multiplied by the number of qualifying new employees certified each year. The credit can be claimed for up to 7 years and carried forward 10 years.
Reduced Rate for Remodeling of Building or Structures: Properties that are remodeled, reconstructed or expanded and result in an increase in taxable value of at least 5% are eligible for reduced property taxes. The project may receive a property tax exemption during the construction period for up to 12 months, and for up to five years following the completion of construction. The buildings and structures may also receive a property tax reduction for four years following the exemption period applied to the increase in taxable value.
Industrial Park Property Tax Exemption: If approved by the local governing body, an industrial park owned and operated by a local economic development organization or port authority is eligible for an exemption from local property taxes.
New or Expanded Industries Property Tax Abatement: A business that starts operations or invests a minimum of $125,000 worth of qualifying improvements or modernized processes may receive partial property tax abatement for up to 9 years based on an increase in taxable value caused by improvements. In the first five years after construction begins, qualifying improvements or modernized processes must be taxed at 25% or 50% of their taxable value. Each year after, the percentage must be increased by equal percentages until the full taxable value is attained in the 10th year.
Apprenticeship Tax Credit: Beginning in tax year 2018, Montana employers may apply for a tax credit of $750 for each new registered apprentice, or $1,500 for each new registered apprentice who is a veteran and offered on-the-job training through the Montana Registered Apprenticeship Unit. The tax credit is once the apprentice has completed the probationary period or after 6 months, whichever is earlier. The credit can be applied to each qualified apprentice’s training program for the length of the program, up to five years.
Last Updated: May 2023