2023 Montana Tax Rebates

On March 13, 2023, House Bills 192 and 222 were signed into law by Governor Gianforte. These bills provide rebates to eligible Montana taxpayers for individual income taxes (HB192) and property taxes (HB222) paid.

We will update this page as new information becomes available.

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Individual Income Tax Rebate (HB192)

What is the Individual Income Tax Rebate?
The Individual Income Tax Rebate is a rebate of 2021 individual income taxes.
How much is the Individual Income Tax Rebate?
Your rebate amount will be the lesser of:
  • The amount of income tax reported on line 20 of your 2021 Montana Form 2, or
  • $1,250 if your 2021 Montana filing status was single, head of household, or married filing separately, and $2,500 if your 2021 Montana filing status was married filing jointly.
How do I qualify?
You qualify for the Individual Income Tax Rebate if:
  • You were a resident of Montana for the entire 2021 tax year beginning January 1, 2021;
  • You filed a 2020 Montana resident or part-year resident return;
  • You filed a 2021 Montana resident tax return;
  • You filed your 2020 and 2021 Montana tax returns by the due dates for tax year 2020 and tax year 2021 (including extensions);
  • You weren’t claimed as a dependent by another taxpayer for federal or Montana income tax purposes in tax year 2021; and
  • Line 20 of your 2021 Montana Form 2 has an amount greater than zero.
Do I need to do anything to claim an Individual Income Tax Rebate?
No. You don’t need to do anything to claim an Individual Income Tax Rebate. The department will send your rebate to you automatically if you qualify.
How will I receive my Individual Income Tax Rebate?
We will send your rebate to you either electronically or by mail, depending on how you requested your refund or paid your tax bill on your most recently filed Montana income tax return (Form 2). If you selected direct deposit to receive your refund or direct debit to pay your tax bill, we will send your rebate to the bank account information listed on your most-recently filed Montana Form 2. If you elected to receive your refund by a paper check or paid your tax bill by check, we will mail you your rebate using the address on your most-recently filed Montana Form 2.
When will I receive my rebate?
The Department of Revenue will begin issuing Individual Income Tax Rebates in July 2023. All Individual Income Tax Rebates must be issued by December 31, 2023.

Property Tax Rebate (HB222)

What is the Property Tax Rebate?
The Property Tax Rebate is a rebate of up to $500 a year of property taxes on a principal residence paid for 2022 and 2023.
How much is the Property Tax Rebate?
For each year, the rebate is the lesser of:
  • the actual amount of property tax you paid for your principal Montana residence, or
  • $500.
The 2022 Property Tax Rebate is a rebate of property taxes assessed and paid on the bill that had the first-half payment due in November 2022 and the second-half payment due in May 2023.
The 2023 Property Tax Rebate is a rebate of property taxes assessed and paid on the bill that had the first-half payment due in November 2023 and the second-half payment due in May 2024.
What are the qualifications?
You qualify for a Property Tax Rebate if you:
  • owned and lived in a Montana property as your principal residence for at least 7 months of each year, and
  • were assessed and paid property taxes on this residence in the relevant tax year(s).
How do I claim a rebate?
Taxpayers may claim the 2022 rebate online through our TransAction Portal or by paper form beginning August 15, 2023. The claim must be filed by October 1, 2023.
Taxpayers may claim the 2023 rebate online through our TransAction Portal or by paper form beginning August 15, 2024. The claim must be filed by October 1, 2024.

Frequently Asked Questions

When will I receive the rebates?

Individual Income Tax Rebates
We will begin issuing Individual Income Tax Rebates in July 2023. Individual Income Tax Rebates will be issued in the order that a 2021 tax return was filed.  All Individual Income Tax Rebates will be issued by December 31, 2023.
Property Tax Rebates
Taxpayers may begin submitting claims for a 2022 Property Tax Rebate on August 15, 2023. All claims for 2022 Property Tax Rebates must be submitted by October 15, 2023. We will issue Property Tax Rebates as claims are processed.

How will I receive my rebates?

Individual Income Tax Rebates
The Individual Income Tax Rebate will be issued according to the information provided on your most recently filed Montana Form 2—either electronically via direct deposit, or by paper check to the address on the return.
Property Tax Rebates
You can designate where you’d like your Property Tax Rebate to be sent when you file your claim.

Will my rebate be subject to offset?

Yes.

If you have an outstanding obligation with the state, your approved rebate amount will first be used to offset this obligation.

Any remaining rebate amount will be sent to you after the obligation is paid. For more information about your potential offset, please call (406) 444-6964.

Is my Individual Income Tax Rebate or my Property Tax Rebate subject to either Montana or federal income tax?

Neither rebate will be subject to Montana income tax.

For federal tax purposes, your rebate may be taxable if you itemized your deductions and claimed a deduction of state and local taxes. We will issue a statement (Form 1099-G) to you for tax filing purposes.