If you are a homeowner in this particular state, you could qualify for a real estate property taxes rebate. There are ways to take advantage of a new rebate program aimed at reducing property tax burdens. The Property Tax Rebate, which was recently signed into law as HB222, provides up to $500 per year in rebates on property taxes for homeowners in Montana who meet certain statements.
To qualify for the rebate, homeowners must have owned and lived in their Montana property as their principal residence for at least seven months of each year. Also, they must have paid property taxes on that residence in the relevant tax year(s).
Claiming Your Real Estate Property Taxes Rebate
The discount amount is the lesser of the actual amount of property tax paid for the principal residence or $500 per year. The 2022 rebate applies to 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 rebate applies to 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.
To claim the rebate, taxpayers may file online through Montana’s TransAction Portal or by paper form beginning August 15, 2023, for the 2022 rebate, and beginning August 15, 2024, for the 2023 rebate. The claim must be filed by October 1 of each year. The Property Tax Rebate is expected to provide significant relief for Montana homeowners struggling with high property taxes. It is also hoped that the program will incentivize homeownership and help to strengthen local communities.
Montana Also Approved an Individual Income Tax Rebate and Here’s How to Receive It
Montana’s residents who filed their 2020 and 2021 tax returns on time and were not claimed as dependents by another taxpayer for federal or Montana income tax purposes in tax year 2021 are eligible to receive an Individual Income Tax Rebate. The rebate is a refund of income taxes paid in 2021 and will be automatically sent to qualifying taxpayers.
The rebate amount will be the lesser of the income tax reported on line 20 of the 2021 Montana Form 2 or $1,250 for those who filed as single, head of household, or married filing separately, and $2,500 for those who filed as married filing jointly. The Department of Revenue will begin issuing rebates in July 2023 and all rebates must be issued by December 31, 2023. Taxpayers who selected direct deposit or direct debit on their most recently filed Montana income tax return will receive their rebate electronically. Those who elected to receive their refund by paper check or paid their tax bill by check will receive their rebate by mail.
Residents who were not residents of Montana for the entire 2021 tax year, did not file a 2020 Montana resident or part-year resident return, or did not file a 2021 Montana resident tax return are not eligible for the rebate. Find out more in the official Montana tax system website, clicking here.