Skip to content

Taxes In Montana

Montana Tax Rates, Collections, and Burdens

How does Montana’s tax code compare? Montana has a graduated state individual income tax, with rates ranging from 4.70 percent to 5.90 percent. Montana has a 6.75 percent corporate income tax rate. Montana does not have a sales tax. Montana has a 0.69 percent effective property tax rate on owner-occupied housing value.

Montana does not have an estate tax or inheritance tax. Montana has a 33.75 cents per gallon gas tax rate and a $1.70 cigarette excise tax rate. The State of Montana collects $5,065 in state and local tax collections per capita. Montana has $5,185 in state and local debt per capita and has a 73 percent funded ratio of public pension plans. Overall, Montana’s tax system ranks 5th on our 2024 State Business Tax Climate Index.

Each state’s tax code is a multifaceted system with many moving parts, and Montana is no exception. The first step towards understanding Montana’s tax code is knowing the basics. How does Montana collect tax revenue? Click the tabs below to learn more! You can also explore our state tax maps, which are compiled from our annual publication, Facts & Figures 2024: How Does Your State Compare?

See Related Articles

Tax Data by State

Get facts about taxes in your state and around the U.S.

Explore Data

State Tax Data

Individual Taxes

Top Individual Income Tax Rate
5.90%See Full Study
State Local Individual Income Tax Collections per Capita
$1695Rank: 17
State and Local Tax Burden
10.5%Rank: 30See Full Study

Business Taxes

Top Corporate Income Tax Rate
6.75%See Full Study
State Business Tax Climate Index Ranking
5See Full Study

Sales Taxes

State Sales Tax Rate
Does Not Have State Sales Tax RateRank: See Full Study
State Gasoline Tax Rate (cents per gallon)
33.75¢Rank: 17
State Cigarette Tax Rate (dollars per 20-pack)
$1.70Rank: 26

Property Taxes

Property Taxes Paid as a Percentage of Owner-Occupied Housing Value
0.69%Rank: 33
State and Local Property Tax Collections Per Capita
$1827Rank: 20

All Related Articles

2023 state tax changes taking effect july 1

State Tax Changes Taking Effect July 1, 2023

At least 32 notable tax policy changes recently took effect across 18 states, including alterations to income taxes, payroll taxes, sales and use taxes, property taxes, and excise taxes. See if your state tax code changed.

15 min read
2023 beer taxes by state alcohol excise tax rates and beer excise tax rates

Beer Taxes by State, 2023

Taxes are the single most expensive ingredient in beer, costing more than the labor and raw materials combined.

3 min read
2023 state distilled spirits taxes on alcoholic beverages and compare liquor taxes and alcohol taxes across the country using DISCUS sdata

Distilled Spirits Taxes by State, 2023

Of all alcoholic beverages subject to taxation, stiff drinks—and all distilled spirits—face the stiffest tax rates. Like many excise taxes, the treatment of distilled spirits varies widely across the states.

4 min read
tobacco tax data cigarette tax data cigarette tax revenue tobacco tax revenue cigarette smuggling data

Compare Tobacco Tax Data in Your State

In the United States, tobacco is taxed at both the federal and state and sometimes even local levels. These layers of taxes often result in very high levels of taxation—the highest of any consumer item. The retail price of cigarettes, for instance, is more than 40 percent taxes on average. In some states, like Minnesota and New York, more than 50 percent of the price paid by consumers comes from taxes.

2 min read
State recreational marijuana taxes as of April 2023 state cannabis tax rates

Does Your State Tax Recreational Marijuana?

Recreational marijuana taxation is one of the hottest policy issues in the U.S. Currently, 21 states have implemented legislation to legalize and tax recreational marijuana sales.

5 min read