Tax reform week at the Montana Legislature

HELENA- This was “tax reform week” at the Montana Legislature. Many of Governor Gianforte’s Montana Comeback tax proposals had committee hearings this week with tremendous support. The House Taxation Committee heard two of these bills and the Senate Taxation Committee took up another three.

House Bill 303 is the Business Investment Grows Jobs or BIG Jobs Act. This bill’s main economic benefit is to increase the business equipment tax exemption from $100,000 to $200,000. It will allow small businesses to expand their operations and hire more workers leading to economic growth in the state.

House Bill 252 provides a tax credit for employer-paid education expenses associated with trade professions. The bill allows for flexible training and educational expenses including materials, supplies, equipment, tuition, books, and fees. This bill will help connect students with in-demand Montana jobs which will grow our economy and keep our young people in the state.

On the Senate side, Senate Bills (SBs) 181, 182, and 184 had hearings. SB 181 is the corporate tax modernization act which will move the state from using a three-factor test in determining taxes to one factor. The proposal would reduce burdens on local businesses. SB 182 provides a personal income tax reduction when the state experiences certain surpluses. SB 184 is an entrepreneur magnet act that provides a capital gains tax credit for companies that have employee stock incentives and other commitments to state residency which will encourage new business investment in Montana.

As Republican leaders, we are committed to reducing taxes on hardworking Montana families and small businesses. We will continue working to strengthen our state economy and reduce state spending this legislative session.

Wylie Galt (R-Martinsdale) is the Speaker of the Montana House of Representatives

Casey Knudsen (R-Malta) is the Speaker Pro Tempore of the Montana House of Representatives

Sue Vinton (R-Billings) is the Majority Leader of the Montana House of Representatives