Montana currently has 16 property classes. We value each class differently, but all property types within the class are valued the same.

The table below lists all 16 classes, the standard used to determine the value, and how often we determine the value.

Download the 2023 Property Class Codes Table (PDF, 351 KB)

Property Classes

Class	Classification Description*	Valuation Standard	Valuation Cycle
1	Net proceeds of mines	Net proceeds	Every year
2	Gross proceeds of metal mines	Gross proceeds	Every year
3	Agricultural land	Production value	Every 2 years
4	Residential, commercial, and industrial land and improvements	Market value	Every 2 years
5	Pollution control equipment Independent and rural electric and telephone cooperatives New and expanding industry Electrolytic reduction facilities Research and development firms Gasohol production property	Market value	Every year
7	Noncentrally assessed utilities	Market value	Every year
8	Business equipment	Market value	Every year
9	Pipelines and nonelectric generating property of electric utilities	Market value	Every year
10	Forest land	Production value	Every 6 years
12	Airlines and railroads	Market value	Every year
13	Telecommunication utilities and the electric generation property of electric utilities	Market value	Every year
14	Renewable energy production and transmission property	Market value	Every year
15	Carbon dioxide and liquid pipeline property	Market value	Every year
16	High voltage DC converter property	Market value	Every year
17	Qualified data centers	Market value	Every year
18	Green hydrogen facility, pipeline, or storage system	Market value	Every year

* Go to Title 15, Chapter 6, Part I, Classification, for detailed descriptions of all property classifications.

Additional Property Classification Information

Property owners seeking classification for Class 14, 15, 16, and 18 property or seeking a tax abatement under 18-2-414, MCA, during the construction phase of a facility.  

State Prevailing Wage Rates from the Montana Department of Labor and Industry

Responsibilities of the contracting agent include:

• requesting  the prevailing wage rate schedule from the Department of Labor and Industry;
• providing prevailing wage rate schedules in public works contracts let out to bid; and
• requiring the contractor to give preference to the employment of bona fide Montana residents.

Responsibilities of the contractor and subcontractor include:

• posting a prevailing wage rate schedule on the site of the project or work area;
• classifying workers in accordance with the craft or trade to be performed and paying the established prevailing wage rate;
• keeping a record of hours and wages paid to the workers;
• providing payroll records for inspection to the Department of Labor and Industry or the contracting agent upon request; and
• ensuring that at least 50% of the workers performing labor on the project are Montana residents, except where prohibited by federal law. (The employer must demonstrate they tried to hire Montana workers and none were available for the positions. This requires proof that an effort was made to recruit Montana workers.)

Responsibilities of the Department of Labor and Industry include:

• establishing prevailing wage rates for use on public works contracts;
• conducting surveys to determine the prevailing wage rate schedules;
• filing and issuing prevailing wage rates;
• inspecting and auditing payroll records of contractors; and
• investigating complaints of nonpayment of prevailing wage rates

Responsibilities of the Department of Revenue include:

• determining the market value of the property;
• classifying the property; and
• working with the Department of Labor and Industry to verify the standard prevailing rate of wages for heavy construction was paid during construction.

Qualified Data Center

Qualified data centers are classified as Class 17 property with a taxable valuation rate of 0.9% of market value.

The term "Qualified data center" means the land, improvements, and personal property of a facility composed of one or more buildings under single ownership on contiguous parcels of land that is designed or modified to house networked computers or equipment supporting computing, networking, or data storage and meets the requirements of 15-6-162, MCA.

Facilities must consist of at least 25,000 square feet of new or expanded area, where the total cost of the land, improvements, personal property, and software will have at least $50 million invested during a 48-month period with construction commencing after January 1, 2019.

Apply for Class 17 status using the Qualified Data Center Application.