Mount Helena


Montana has no general sales tax but levies selective (excise) taxes on gasoline, alcohol, tobacco, hotel and lodgings, and other items. The combined impact of sales and excise taxes is among the lowest in the nation.

In 2005, Montana ranked 39th in the nation at a rate of 9.5% income tax rate. Montana limits the amount of Federal taxes which can be deducted to $10,000 for a married couple filing jointly, which results in an average 5.0%.

Montana’s taxes on commercial, residential and industrial property are lower than the U.S. average, but slightly higher than the regional average. Their effective property tax rates are 1.394%, or 30th in the nation (national average is 1.66%; regional average is 1.163%).

Total individual income taxes in Montana are below average on a per capita basis ($569) and average as a percentage of income (2.4%), ranking 28th in the nation.

Information provided by Montana Taxpayers Association, 1/06.