Montana Property Owners Face Increased Tax Bills Following Montana Supreme Court Ruling

A recent ruling by the Montana Supreme Court,¹ mandated the elimination of a previous reduction in the state’s portion of property taxes. This decision coincides with record-high reappraisal values and a decision by the Legislature to maintain the residential tax rate. This will lead to significantly higher tax bills for property owners. The additional taxes to be collected are estimated to be $81 million. Property owners are reminded that the second half of property taxes is due by May 31, with any additional charges appearing as standalone charges on amended bills.

For property owners who have already paid their second-half taxes, the additional amount will appear separately on the amended bill. Those paying through mortgage should ensure their lender handles the additional payment correctly. For those yet to pay, the amended bill will reflect the total amount owed, with software limitations showing $0.00 for the first half payment, though this does not signify payment. Property owners can verify payments and check for any delinquent taxes on each county’s website.

It is emphasized that property owners should review their amended bills carefully and make payments on time to comply with the Court’s ruling and facilitate additional tax revenue collection for the state’s school equalization budgetary needs.

The experts at Ryan will continue to monitor the impact of these increases and are available to answer questions.

¹ Mont. Ass’n of Cntys. (MACO) v. State, No. OP 23-0635, 2023 Mont. LEXIS 1076 (October 27, 2023).

TECHNICAL INFORMATION CONTACT:

Matt Poling
Principal
Ryan
720.524.0022
matt.poling@ryan.com

The material presented in this communication is intended to provide general information only and should solely be seen as broad guidance and not directed to the particular facts or circumstances of any individual who may read this publication. No liability is accepted for acts or omissions taken in reliance upon the content of this piece. Before taking (or not taking) any action, readers should seek professional advice specific to their situation from Ryan, LLC or other tax professionals. For additional information about this topic, please contact us at info@ryan.com.