Lower income taxes are coming to Montana
BISMARCK, N.D. (KFYR) - Montana Governor Greg Gianforte signed two bills into law on Thursday: one to cut the state’s income tax rate, another to simplify its tax code.
Montana has one of the highest income tax rates in the Rocky Mountain West, compromising its competitiveness in the region.
The Personal Income Tax Relief Act, Senate Bill 159, aims to fix that by reducing income tax to 6.75% beginning next year.
Meanwhile, Senate Bill 399 picks up where that one leaves off, reducing that rate even further to 6.5% by 2024. It also simplifies the state’s complex tax code by reducing the number of tax rates from seven to two.
“As we continue to lead the Montana comeback, we’re letting hardworking Montana families keep more of what they earn and reforming our tax system to make Montana more competitive,” Gianforte said. “These new laws will cut Montana’s income tax rate, simplify our complex tax code, and create more jobs and greater opportunities for Montanans.”
Gianforte signed the bills at Thompson Precision Manufacturing in Kalispell alongside bill sponsor Senator Greg Hertz (R-Polson) and Senate President Mark Blasdel (R-Kalispell).
The governor’s office says tax relief is central to the Republican governor’s Montana Comeback Plan.
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