Montana Income Tax Calculator 2026
Estimate your 2026 Montana state and federal income tax. Includes Montana tax brackets, a worked dollar example, and filing tips.
Key Tax Facts: Montana
- No state sales tax — one of only five states without one
- Flat 5.9% rate starting 2024 (was graduated up to 6.75%)
- Pension income exemption up to $4,370 for eligible retirees
- Capital gains taxed at a reduced rate with 2% credit
Montana State Income Tax Overview
Montana imposes a graduated income tax with rates ranging from 1% to 6.75% for 2024, following a 2021 reform that simplified the previous seven-bracket system. Single filers reach the top 6.75% rate on income above $20,500. Montana provides a standard deduction of 20% of adjusted gross income, with a minimum of $4,930 and a maximum of $9,860 for single filers. Montana allows a credit for income taxes paid to other states and provides a capital gains credit equal to 2% of qualifying net long-term capital gains. The state does not tax Social Security income below certain thresholds.
Montana Income Tax Brackets (2026) projected
These are the Montana state income tax brackets for single filers, carried forward from 2025 pending official 2026 figures. Only the income within each bracket is taxed at that rate -- not your entire income.
| Taxable Income | Tax Rate |
|---|---|
| $0 - $3,600 | 1% |
| $3,600 - $6,300 | 2% |
| $6,300 - $9,700 | 3% |
| $9,700 - $13,000 | 4% |
| $13,000 - $16,800 | 5% |
| $16,800 - $20,500 | 6% |
| Over $20,500 | 6.75% |
Source: Montana Department of Revenue. Brackets shown are for single filers. Married filing jointly thresholds may differ.
What a Montana Resident Actually Pays: A Worked Example
Your effective tax rate is almost always lower than your top bracket. Here is how the math works for a single filer earning $65,000.
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Frequently Asked Questions -- Montana Income Tax
Does Montana have a state income tax?
Yes. Montana imposes a state income tax with a top marginal rate of 6.75%. This is separate from your federal income tax obligation.
What is the Montana income tax rate for 2026?
Montana uses a graduated income tax system with rates from 1% to 6.75%. Only the income within each bracket is taxed at that bracket's rate -- not your entire income.
Do I have to file a Montana state tax return?
Most full-year Montana residents with income above the state filing threshold must file a state return. Check the Montana Department of Revenue for current thresholds and requirements.
How accurate is this Montana state tax estimate?
This is a planning estimate. The state result uses Montana's published brackets but does not account for all state deductions, credits, exemptions, or local taxes. Verify with official Montana tax forms or a qualified tax professional.
Does this calculator include federal income tax?
Yes. The results show your estimated Montana state income tax and your federal income tax using 2026 federal brackets (projected until the IRS publishes official 2026 figures) -- your full combined picture in one place.
Where can I find official Montana tax forms?
Official forms, instructions, and filing guidance are available at the Montana Department of Revenue.
What is the sales tax rate in Montana?
Montana's combined state and average local sales tax rate is 0%. This is separate from income tax and applies to most retail purchases -- use our sales tax calculator to check a specific purchase.
When are Montana 2026 state taxes due?
2026 taxes are generally filed in 2027. The Montana filing deadline is April 15, 2027, the same as the federal deadline.
Understanding Your Montana Tax Estimate
Your results combine two separate bills: federal tax owed to the IRS, and Montana state tax owed to the Montana Department of Revenue. The state return is filed separately from your federal Form 1040, with a state filing deadline of April 15. For the mechanics of how bracket math actually works -- why your effective rate is almost always lower than your top bracket -- see our marginal vs. effective tax rate guide.
Lowering Your Montana Bill
Pre-tax retirement contributions reduce your federal and Montana taxable income in the same move -- see our 401(k) contribution limits and HSA limits guides for the current caps. Beyond that, Montana-specific credits and deductions that don't exist at the federal level are listed at the Montana Department of Revenue -- worth checking, since these are easy to miss if you only look at federal guidance.
Combined Sales + Income Tax Picture
Montana's combined state-plus-average-local sales tax rate is 0%. If you're self-employed, that's an added layer on top of income tax -- our self-employment tax calculator covers the SE-specific piece separately.
Disclaimer: Estimates for educational purposes only. State tax results are approximations based on published bracket data and do not account for all deductions, credits, exemptions, local taxes, or individual situations. Not tax, legal, or financial advice. Consult the Montana Department of Revenue or a qualified tax professional for guidance specific to your situation.