In the coming days, property owners in nearly all Montana counties will find increased property-tax bills in their mailboxes. Local governments were forced to send the adjusted bills after losing a dispute with state officials.
Over the last year, local governments, the state and the Supreme Court have weighed tax collections as property values around the state have spiked.
Addressing the dispute Friday, Butte-Silver Bow Chief Executive J.P. Gallagher said it was time to move on.
“We need to figure out property tax reform and we’ve got to quit pointing fingers and we need to work together on this,” Gallagher said.
When property tax bills first went out last fall, Butte-Silver Bow and 48 other Montana counties decided to collect less than the maximum amount stipulated by the state. The local governments said they were trying to ease the burden on residents after property appraisals created higher tax bills for many Montana homeowners.
But after the state sued, the Montana Supreme Court in November ordered counties to go back and collect the full amount, saying only the state Department of Revenue had the authority to determine how much tax was collected.
Shyra Scott, director of the Missoula County treasurer's office, said residential property taxpayers across the state could expect to see a bill increase of about $25 for every $100,000 of property value.
Gov. Greg Gianforte has echoed calls for long term property tax reform and convened a task force last month to recommend changes for the 2025 legislative session.
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Montana lawmakers have struck a deal to restructure property tax rates. The session-long debate resulted in a final product that combines several concepts from Republicans and Democrats. -
Montanans will pay less in income tax in coming years. Gov. Greg Gianforte signed a half a percent tax cut into law Monday. -
Competing proposals to mitigate property tax hikes are advancing through the Montana Legislature. Lawmakers must soon pick one winner. It’s likely too late to enact any major rate change for this year’s taxes. -
Some Montanans experienced sticker shock when they filed their taxes this year. That’s due to changes to state tax law. -
The governor’s top priority tax proposals have stalled out at the Montana Legislature.The so-called homestead exemption would lower levies for primary Montana residences and small businesses while raising taxes for second homes and short-term rentals. Lawmakers are considering other bills to lower income and property taxes.
