Montana Department of Revenue

Past Due 2018 Montana Forms MW-3

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Taxes and Fees

Past Due 2018 Montana Forms MW-3

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The department recently sent out non-filer notices to businesses that did not file their Montana Annual W-2 1099 Withholding Tax Reconciliation (Form MW-3), along with their Forms W-2 and 1099 with withholding, for Tax Year 2018. This information was due January 31.

Helpful hints for filing the Montana Form MW-3

File Annually
A complete Montana Form MW-3 must be filed with the department each year. The department does not accept the federal Form W-3.
Provide Forms W-2 and Forms 1099 with Montana Withholding
Each employer is also required to provide the department with a Form W-2 for each employee as prescribed by the IRS. Whenever Montana wages are paid, you must prepare a Form W-2 for each employee regardless of whether any tax was withheld. Forms 1099 with Montana state withholding must also be be submitted to the department with the Form MW-3.
Double-check for Correct Information
  • Complete all required fields.
  • Include the correct Employer Identification Number (EIN).
    Be sure to use the EIN that the IRS issued you or your clients (if you are a payroll service provider).
  • Include the correct state account number.
    For Montana, this is the 13-digit alphanumeric ID that the Department of Revenue issued you when you or your client registered.
  • If you file your Forms W-2 electronically, don’t send duplicate paper copies.
  • If filing by paper, make sure all Forms W-2 and 1099 copies are legible, and numbers are not truncated or masked.
  • File the correct Forms W-2 and 1099 for the reporting year.
  • File the Montana Form MW-3 with your Forms W-2 – not the federal Form W-3.

Closing your Montana Wage Withholding Account

If you are no longer in business or no longer paying employees, your Montana Wage Withholding account should be ceased. The account can be reopened if required for future withholding. To cease the account one of the following methods should be used.

  • Send an email to MTDORWithholding@mt.gov.
  • From your TAP account, send an electronic message.
  • Send a written request to PO Box 5835, Helena, MT 59604.
  • File Form MW-3 stating the date the payroll ceased.

Learn more about Wage Withholding.

Payment Plan Requests

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If a taxpayer has filed their return and cannot pay their tax bill in full, they can request to pay in installments.

To request a payment plan:

  • Log into the TransAction Portal (TAP).
  • Select the Request a Payment Plan option.
  • Complete the requested information and submit.

We confirm most requests within 24 business hours.

Penalty and interest continue to be assessed on any unpaid balance until you pay the debt in full.

If a taxpayer has not filed their Montana return and expects to have a balance due, they cannot request a payment plan until the return is submitted and posted on the taxpayer’s account. Payments were due April 15. However, payments can still be submitted.

If you are having issues requesting a payment plan or have additional questions, please contact us at (406) 444-6900.

Please Note:

Penalty and interest will be calculated at the time the return is submitted and will continue to accrue until the balance is paid in full.

Payment options:

  • Make a payment on our Transaction Portal (TAP).
    • E-checks can be submitted without logging in. (no processing fee)
    • Credit or Debit Card payments can be submitted by logging in. (processing fee added)
  • Send a check. Don’t forget to include the voucher that identifies who the payment is for. Find the payment vouchers in My Revenue.

Learn more about using the TransAction Portal.

TransAction Portal

Co-tenants and the Elderly Homeowner/Renter Credit

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We’ve been asked if individuals renting an apartment or a house as co-tenants are considered a single household or two households for the Elderly Homeowner/Renter Credit. The department recognizes the need for guidance for such arrangements.

The department will not approve the existence of two separate households when family members share a dwelling, regardless of how they share expenses or if they have separate contracts.

15-30-2115, MCA describes family members and includes:

  • Ascendants
  • Descendants
  • Aunts
  • Uncles
  • Nieces
  • Nephews
  • Step-mothers
  • Step-fathers
  • In-laws
  • Former spouses

Statute already excludes tenants or roomers when they have separate contracts.

When two or more tenants do not have separate contracts, we will approve separate households if the unrelated tenants can show:

  • They each appear on the lease or rental agreement;
  • They have equal responsibility with regards to essential utilities: water, power, heat (cost of non-essential utilities such as phone or cable may be borne by one of the tenants);
  • They do not share any other essential expenses such as medical, education, travel; and
  • They do not own interest in the same business venture except for investments in traded securities.

Learn more about the Montana Elderly Homeowner/Renter Credit.

Five elderly women sitting on a park bench outside of a building.

First Estimated Tax Payments Due April 15

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All individual taxpayers, except farmers and ranchers, must make estimated income tax payments if their estimated tax liability for 2019 after withholding and credits is more than $500.

Taxpayers receiving income from a source other than wages must use the Individual Estimated Income Tax Worksheet (ESW) to determine if they need to make estimated tax payments and to calculate their quarterly payments.

The ESW worksheet for the 2019 tax year is located in Publication 1: Prepaying Income Tax available in My Revenue.

The pre-payment must equal either:

  • 100% of the preceding tax year (safe harbor) if the individual filed a Montana individual income tax return for 12 months, or
  • 90% of the tax for 2019 tax year.

If your income decreases in 2019 for reasons unforeseen, or your activity is seasonal, use the annualization worksheet, which allows you to adjust your quarterly payments accordingly.

The annualization worksheet is also available in Publication 1.

You can make estimated individual income tax payments by:

The word "Tax" handwritten on a checkbook register

Wage Withholding – Time to Register for the ABC Clinic Near You

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The Montana Department of Revenue will again partner with the Montana Department of Labor & Industry for the 2019 Assistance for Business Clinics (ABC) across the state.

The clinics provide updated information to new and established businesses, accountants, bookkeepers, human resource professionals and attorneys.

The clinics will address electronic filing options and the new Montana Employee’s Withholding Allowance and Exemption (Form MW-4).

Download the schedule and registration form from the Department of Labor and Industry’s Assistance for Business Clinics website.

We look forward to seeing you at the clinic nearest you.

2019 ABC Clinic Registration Table Preview

Assistance for Business Clinics Schedule and Registration Information

How to Make Voluntary Contributions on Your Tax Return

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You can use your tax return to donate to four programs:

Nongame Wildlife Program
Your contributions ensure the well-being of Montana’s watchable wildlife species.
Child Abuse Prevention
Your contributions fund services and activities related to the prevention of child abuse and neglect.
Agriculture Literacy in Montana Schools
Your contributions ensure Montana’s young people have a better understanding of agriculture in our state.
Montana Military Family Relief Fund
Your contributions provide funding for grants that aid Montana families when a wage earner has been called to active military duty.

To donate, mark one of the boxes on the Contributions, Penalties and Interest Schedule on page 10 of the Montana Individual Income Tax Return (Form 2).

You may decide to donate $5, $10, $20, or any other amount you choose.

Your contribution will reduce the amount of refund or increase your tax due.

Taxpayers filing separately on the same form can now each donate separately to the program of their choice.

Six hands holding up letter shaped balloons spelling out the word "DONATE"