A new investigation from Montana Free Press and High Country News found thousands of people who own luxury homes in Montana benefit from a tax break intended for agricultural producers.
The decades-old policy cuts property taxes for people on large land parcels or those who collect more than $1,500 in agricultural income per year. Montana Free Press deputy editor Eric Dietrich found that two homes of similar size and value could be paying very different amounts of property tax depending on whether or not they qualified as ag land.
“We looked at a bunch of situations like that involving, specifically, million-dollar homes — high value real estate. And, in those situations, it’s pretty common for people to be paying a couple thousands dollars per year less because of their [agricultural] status,” Dietrich said.
Among those paying less tax on the land beneath their home than most Montanans is Gov. Greg Gianforte. Montana Free Press found the governor’s 11-acre property in Gallatin County carried a smaller land tax bill in 2023 than 97% of homes in cities or towns statewide.
Lawmakers this year are likely to debate tightening the rules on who qualifies for the tax break, Dietrich says.
