Make Sure You Don’t Miss These Tax Credits

February 13, 2020

As Montana residents file their 2019 income tax returns, they should be aware of two key tax credits that could reduce their state income tax or bring a larger refund, even for those who owe no tax at all.

Montana Earned Income Tax Credit New This Year

For most Montanans, it’s worth 3 percent of the federal Earned Income Tax Credit, which about 75,000 Montanans already claim.

The Earned Income Tax Credit is aimed at low and middle-income workers, especially those with dependents. It’s refundable, which means that if the credit exceeds what’s owed in taxes, the difference is refunded to the taxpayer.

Learn more about the Montana Earned Income Tax Credit, or see the IRS EITC Assistant for more information about the federal EITC.

Montana Elderly Homeowner/Renter Credit

To qualify, the taxpayer must:

  • Have turned 62 or older in 2019;
  • Resided in Montana at least nine months of 2019.
  • Owned or rented their home for at least six months of 2019.
  • Have a total household income of $45,000 or less.

Learn more about the Montana Elderly Homeowner/Renter Credit.