reglab/statecodes huggingface dataset:
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.2 - Montana Additions and Subtractions › Rule 42.15.217 - DISABILITY INCOME EXCLUSION

Current through Register Vol. 13, July 5, 2024
(1) A taxpayer
				qualifies for the disability income exclusion if they:
(a) are under age 65;
(b) are retired on disability;
(c) were permanently and totally disabled
				when they retired; and
(d) have
				not, for this or a prior tax year, treated their disability income as a pension
				or annuity.
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.2 - Montana Additions and Subtractions › Rule 42.15.218 - CAPITAL GAIN EXCLUSION FOR PRE-1987 SALES

Current through Register Vol. 13, July 5, 2024
(1)
				Adjusted gross income for tax years beginning after December 31, 1986, does not
				include 40% of the deferred capital gain on assets sold or exchanged on or
				before December 31, 1986.
(2) The
				capital gain exclusion applies only to the deferred gain on installment sales
				of items considered capital assets under Subchapter P, Parts I, II, III and IV
				of Chapter I of the IRC as it read on December 31, 1986.
(3) The capital gain from the sale or
				exchange of a capital asset is the sales price or fair market value less the
				taxpayer's adjusted basis in the asset as determined for federal purposes prior
				to December 31, 1986.
(4) The
				deferred capital gain exclusion applies only after the capital gain is netted
				against capital losses as set forth in Subchapter P of Chapter I of the IRC as
				of December 31, 1986.
(5) When the
				taxpayer has both pre-1987 deferred and other gains, the prorated share of net
				capital gain that is eligible for the exclusion is the installment sale
				deferred capital gain divided by the total capital gain times the net capital
				gain. For example, when there is $30,000 of deferred capital gain, $70,000 of
				other capital gain and $40,000 of capital losses the prorated share of the net
				capital gain is $18,000 ($30,000 divided by $100,000 times $60,000).
(6) The deferred capital gain is the total
				amount of principal payments received in one year times the gross profit
				percentage. The gross profit percentage is the sales price less the seller's
				adjusted basis of the capital asset divided by the contract price of the
				installment sale.
(7) When married
				filing separate returns, the deferred capital gain exclusion may be divided
				equally when there is jointly owned property involved. Otherwise, the exclusion
				must be taken by the person who owned the property.
15-30-2620, MCA; IMP,
					 15-30-2110,
					 15-30-2111,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.2 - Montana Additions and Subtractions › Rule 42.15.219 - PENSION AND ANNUITY INCOME EXCLUSION

Current through Register Vol. 13, July 5, 2024
(1)
				For tax years beginning January 1, 2016, the pension and annuity exclusion is
				limited to the lesser of the pension and annuity income received or $4,070 for
				a single person or married couple where only one person receives pension or
				annuity income.
(a) The exclusion is reduced
				$2 for every $1 of federal adjusted gross income in excess of $33,910 as shown
				on the taxpayer's return.
(b) By
				November 1 of each year, the department will multiply the exclusion amount and
				the federal adjusted gross income amount in (a) by the inflation figure for the
				taxable year as prescribed in
				15-30-2110,
				MCA.
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.2 - Montana Additions and Subtractions › Rule 42.15.220 - EXEMPTION OF CERTAIN INCOME OF ENROLLED TRIBAL MEMBERS

Current through Register Vol. 13, July 5, 2024
(1) Wages are exempt from individual income
				tax when:
(a) the individual is an enrolled
				tribal member of the governing tribe of the reservation on which the enrolled
				tribal member works and resides; and
(b) the wages are derived from reservation
				sources.
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.2 - Montana Additions and Subtractions › Rule 42.15.221 - DEPENDENT CHILD UNEARNED INCOME EXCLUSION

Current through Register Vol. 13, July 5, 2024
(1)
				The unearned income of a dependent child that is included in a parent's federal
				adjusted gross income pursuant to the IRC is exempt from taxation if for the
				tax year:
(a) the child is not required to
				file a Montana individual income tax return; or
(b) the child filed a Montana individual
				income tax return reporting the income.
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.2 - Montana Additions and Subtractions › Rule 42.15.222 - RAILROAD RETIREMENT AND SOCIAL SECURITY BENEFIT EXCLUSION

Current through Register Vol. 13, July 5, 2024
(1) Retirement benefits paid by the Railroad
				Retirement Board are exempt from Montana income tax.
(2) The taxable and excludable portions of
				social security benefits are determined in the same manner as determined for
				federal income tax purposes except that federal modified adjusted gross income
				must be modified as provided in (3) to determine Montana modified adjusted
				gross income, and Montana modified adjusted gross income must be used to
				determine the extent to which modified adjusted gross income exceeds the
				federal base and adjusted base amounts.
(3) Federal modified adjusted gross income,
				determined as provided in section 86 of the IRC, must be:
(a) increased by the additions to federal
				adjusted gross income provided in
				15-30-2110, MCA, and any other
				additions to Montana taxable income provided in Title 15, MCA; and
(b) decreased by the reductions to federal
				adjusted gross income provided in
				15-30-2110, MCA, other than
				tax-exempt interest on United States obligations or interest on any state or
				county municipal bonds. In determining the taxable and excludable portions of
				social security benefits, a married person filing separately who has filed a
				joint federal income tax return must use one-half of the federal base and
				adjusted base amounts.
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.301 - WHO MUST FILE RETURNS

Current through Register Vol. 13, July 5, 2024
(1) The following
				must file an individual income tax return:
(a) every resident who is a single person,
				and every resident who is a married person who does not elect or, as provided
				in ARM 42.15.321, is not allowed to
				elect, to file a joint return with a spouse, must file a return if the person's
				gross income from all sources for the taxable year is more than $4,370,
				adjusted as provided in (2);
(b)
				married persons, both of whom are residents, not filing separate returns must
				file a joint return if their combined gross income for the taxable year from
				all sources exceeds $8,740, adjusted as provided in (2);
(c) every nonresident who is a single person,
				and every nonresident who is a married person who does not elect or, as
				provided in ARM 42.15.321, is not allowed to elect, to file a joint return with
				a spouse, must file a return if the person has any Montana source income or
				loss and their gross income from all sources is more than $4,370, adjusted as
				provided in (2); and
(d) married
				persons, both of whom are full-year nonresidents, not filing separate returns,
				must file a joint return if either or both of them have any Montana source
				income or loss and their combined gross income for the taxable year from all
				sources exceeds $8,740, adjusted as provided in (2).
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.302 - FILING DATE ON HOLIDAY OR WEEKEND (REPEALED)

Current through Register Vol. 13, July 5, 2024
15-30-305, MCA; IMP,
					 15-30-144,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.303 - RETURNS FOR THOSE UNABLE TO MAKE OWN RETURN

Current through Register Vol. 13, July 5, 2024
(1) Any taxpayer who for any reason is unable
				to make a return may have the return made by a designated agent. In the case of
				a minor, the return may be made by the minor or by a guardian or other person
				charged with the minor's care or property. In the case of a taxpayer who is
				mentally or physically incapable of making a return, the return for such person
				shall be made by the guardian or other person charged with the care of the
				taxpayer's person or property.
(2)
				A return must be filed for a decedent covering the period from the beginning of
				the taxable year to the date of death. If the deceased taxpayer was married, a
				joint return may be filed to include the income of the decedent for the period
				the decedent was alive and the income of the surviving spouse for the entire
				taxable year. The executor or administrator of the decedent is responsible for
				making the decedent's return.
15-30-2620, MCA; IMP,
					 15-30-2602,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.304 - PARTNERSHIP RETURN (REPEALED)

Current through Register Vol. 13, July 5, 2024
15-30-305, MCA; IMP,
					 15-30-133,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.305 - TRUST AND ESTATE RETURNS (REPEALED)

Current through Register Vol. 13, July 5, 2024
15-30-305, MCA; IMP,
					 15-30-135,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.306 - SUB "S" CORPORATION AND PARTNERSHIP LOSSES (REPEALED)

Current through Register Vol. 13, July 5, 2024
15-30-305, MCA; IMP,
					 15-30-133 and
					 15-31-101,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.307 - SUBCHAPTER "S" ADDITION TO MONTANA ADJUSTED GROSS INCOME

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.9.402
15-30-305, MCA; IMP,
					 15-30-111,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.308 - MONTANA ADJUSTED GROSS INCOME

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.15.221
15-30-305, MCA; IMP,
					 15-30-111,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.309 - MONTANA MODIFIED ADJUSTED GROSS INCOME

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.15.222
15-30-305, MCA; IMP,
					 15-30-111,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.310 - DEFINITIONS

Current through Register Vol. 13, July 5, 2024
The following definitions apply to rules found in this
				  subchapter:
(1) "Injured spouse" means
				a taxpayer who does not owe a child support obligation, but who has reported
				income on a joint return with a taxpayer who does owe a past due child support
				obligation.
(2) "Innocent spouse
				relief applicant" means a taxpayer who has filed joint federal and Montana tax
				returns for the same tax year, has obtained relief from a joint and several
				federal tax liability under section 6015 of the IRC, and is requesting relief
				from a joint and several Montana income tax liability.
(3) "Obligated spouse" means a taxpayer who
				is liable for a past due child support obligation.
15-30-2104,
					 15-30-2620,
					 17-4-110, MCA; IMP,
					 15-30-2602,
					 17-4-105,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.311 - INFORMATION RETURN

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.17.122
15-30-305, MCA; IMP,
					 15-30-301,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.312 - ACCEPTANCE OF REPRODUCED TAX FORMS

Current through Register Vol. 13, July 5, 2024
(1) Subject
				to the following conditions and except as provided in (2), the department will
				accept paper copies of official tax return forms and other supporting
				documents. These forms must be:
(a)
				facsimiles of the official form;
(b) produced on paper which may readily and
				permanently be written upon and stamped with ink; and
(c) of the same size as the official
				form.
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.313 - FEDERAL RETURNS (REPEALED)

Current through Register Vol. 13, July 5, 2024
15-30-305, MCA; IMP,
					 15-30-304,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.314 - CHANGES IN FEDERAL TAXABLE INCOME

Current through Register Vol. 13, July 5, 2024
(1)
				When a taxpayer's federal taxable income is changed or corrected by the IRS, or
				other authority, the taxpayer must file an amended return within 180 days after
				the final determination date.
(2)
				When a taxpayer changes his or her own federal taxable income by amending his
				or her federal income tax return, the taxpayer must file an amended return
				reporting these changes within 180 days after filing the federal amended tax
				return.
(3) Interest and penalty
				are assessed on any unpaid tax under the original return from the prescribed
				due date of the original return until the department receives
				payment.
AUTH:
					 15-30-2620,
					 15-30-3404, MCA; IMP:
					 15-1-216,
					 15-30-2605,
					 15-30-2606,
					 15-30-2619,
					 15-30-3403, MCA
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.315 - ORIGINAL AND AMENDED RETURNS

Current through Register Vol. 13, July 5, 2024
(1) An original
				return is considered to be the return that is due on the fifteenth day of the
				fourth month after the close of the taxpayer's tax year.
(2) Original returns are Montana Forms 2,
				2EZ, and FID-3 only. Montana Form 2M applies only to tax year 2014 and prior
				years.
(3) An amended return is not
				an original return but only a correction to an original return.
(4) An amended return will not be accepted
				without an original return being on file with the department.
(5) Late file and late pay penalties are
				assessed as required under
				15-1-216, MCA, on the correct
				amount due on the original return.
(6) The late file and late pay penalties will
				be adjusted based on the corrected amount of tax due, which results from an
				amended return, adjustment from an audit, or correction to the original
				return.
(7) If required by
				15-1-216, MCA, interest will be
				calculated on the original return. If an amendment is made to the original
				return, interest will be calculated as required under
				15-30-2609 or
				15-30-2602, MCA, as of the due
				date in (1).
(8) An extension of
				time to file an original return does not extend the time to pay. When an
				original return is filed before the extension date and payment is not made, the
				return is subject to late pay penalties.
(9) If an extension of time to file has been
				made and the original return was not filed before the extension deadline, the
				original return is subject to late file and late pay penalties.
(10) When an original return for tax years
				beginning on or after January 1, 2010, is filed after the extended due date,
				and the department does not issue the requested refund within 45 days of
				receiving the return, interest as allowed under
				15-30-2609, MCA, is payable from
				the date the return was filed. For example, an original return for tax year
				2016 requesting a refund is filed November 12, 2017, and the department does
				not issue the refund until January 30, 2018. Refund interest is payable from
				the date the return was filed (November 12, 2017) until the date the refund was
				issued (January 30, 2018).
(11) The
				appeal process, provided in ARM
				42.2.613 through
				42.2.621, will apply to
				adjustments and corrections made by the department to a filed amended
				return.
AUTH:
					 15-30-2620, MCA;IMP:
					 15-1-216,
					 15-30-2512,
					 15-30-2602,
					 15-30-2609,
					 MCA
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.316 - EXTENSIONS AND ESTIMATED PAYMENTS

Current through Register Vol. 13, July 5, 2024
(1) For tax years
				beginning after December 31, 2015, and before January 1, 2017, a six-month
				extension of time to file an individual income tax return is automatically
				allowed a taxpayer if the following conditions are met on or before the due
				date of the return:
(a) the taxpayer has
				applied for an extension of time to file their federal income tax return;
				and
(b) the taxpayer has paid
				either through withholding, estimated tax payments, or a combination of
				withholding and estimated payments, either of the following:
(i) 90 percent of their current year's income
				tax liability; or
(ii) 100 percent
				of their prior year's income tax liability.
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.317 - FILING DATE

Current through Register Vol. 13, July 5, 2024
(1) In lieu of
				other evidence, a postmark issued by the United States Postal Service is
				considered the date of filing. To be timely, paper filings must be postmarked
				on or before the due date.
15-30-2620, MCA; IMP,
					 15-30-2504,
					 15-30-2507,
					 39-71-2503,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.318 - MONTANA NET OPERATING LOSSES

Current through Register Vol. 13, July 5, 2024
(1) Net
				operating losses must be determined as provided in section 172 of the IRC. A
				taxpayer has a Montana net operating loss if their Montana taxable income,
				recomputed with the adjustments provided in section 172(d) of the IRC, is less
				than zero. In recomputing Montana taxable income, the following must be added
				back:
(a) any net operating loss
				deduction;
(b) any deduction for
				personal and dependent exemptions if the taxpayer is an individual, and the
				exemption provided in
				15-30-2152,
				MCA, if the taxpayer is an estate or trust;
(c) any gain excluded from the sale or
				exchange of qualified small business stock pursuant to section 1202 of the IRC;
(d) the amount by which a
				deduction for losses from sales or exchanges of capital assets exceeds the
				amount includable for gains from sales or exchanges of capital assets; and
(e) the amount by which
				nonbusiness deductions exceed nonbusiness income.
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.319 - DATE AND PLACE OF FILING AND PAYMENT

Current through Register Vol. 13, July 5, 2024
(1) The
				due date for filing an individual income tax return and payment of the tax due
				is the 15th day of the 4th month following close of the tax year.
(2) A return may be filed by personal
				delivery, mail, and electronically.
(a) A
				return may be filed by personal delivery to:
Department of Revenue
3rd Floor, Sam W. Mitchell Building
125 North Roberts
Helena, Montana 59620
(b) A return may be filed by mailing it
				postage prepaid by U.S. Postal Service First-Class or Priority mail to:
DEPARTMENT OF Revenue
P.O. Box 5805
Helena, Montana 59604-5805
(i) If a return is mailed as provided in this
				section, on or before the due date, and received by the department, the return
				is considered filed on the date mailed. A taxpayer is responsible for
				establishing the date a return is mailed.
(c) The rules for filing a return
				electronically are located in ARM Title 42, chapter 5, subchapter 2.
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.320 - DEFICIENCY NOTICES AND PAYMENTS (Repealed)

Current through Register Vol. 13, July 5, 2024
AUTH:
					 15-30-2620, MCA IMP:
					 15-30-2602,
					 15-30-2604,
					 MCA
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.321 - JOINT RETURNS

Current through Register Vol. 13, July 5, 2024
(1) A joint return
				may be filed even though one of the spouses has no income or deductions.
				However, a joint return is not permitted if any of the following apply:
(a) the spouses have different taxable
				years;
(b) one is a resident and
				one is a nonresident; or
(c) either
				spouse is a part-year resident.
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.322 - SEPARATE RETURNS FOR MARRIED TAXPAYERS

Current through Register Vol. 13, July 5, 2024
(1) If husband and wife file separate
				returns, each must report their own adjusted gross income. Under no
				circumstances may income be arbitrarily assigned from one spouse to the
				other.
(2) Income from salaries,
				wages, bonuses, and commissions and other income derived from personal services
				rendered either as an employee or as an independent contractor, must be
				reported by the spouse who earned it.
(3) Income such as rents, royalties,
				dividends, and interest must be reported by the spouse who owns the property
				from which the income is derived. If such income is derived from property which
				is jointly owned by the spouses, the income must be split equally unless the
				taxpayers show a different proportional ownership.
(4) Income from pass-through entities must be
				reported by the spouse who is the partner, shareholder, member, or other owner
				of the interest in the pass-through entity to which the income is attributable.
				If such income is derived from the joint ownership of stock in a corporation,
				the income must be split equally unless the taxpayers show a different
				proportional ownership.
(5) The net
				income from any business conducted as a sole proprietorship or conducted by a
				disregarded entity that is treated as a sole proprietorship, must be reported
				in full by the spouse who is the individual proprietor. However, in the event
				the proprietor's spouse regularly and systematically renders substantive
				personal services in the operation of the business and with respect to which
				services he or she is not paid a salary or wages, the proprietor and the spouse
				may, at their option, agree that the spouse earned an amount equivalent to
				reasonable compensation for the services rendered, and such amount shall be
				deemed income taxable to that spouse as compensation for services rendered, and
				such amount shall reduce the proprietorship income taxable to the spouse who is
				the actual proprietor. Income deemed earned by the spouse for services rendered
				cannot be justified solely by a legal property-holding arrangement, but must be
				justified by showing a substantial contribution of personal services. The
				allocated amount cannot exceed the gross income derived from a sole
				proprietorship.
(6) This rule
				applies to income earned on or after January 1, 1973.
15-30-2620, MCA; IMP,
					 15-30-2110,
					 15-30-2602,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.323 - VOLUNTARY REFUND CHECKOFF FOR NONGAME WILDLIFE FUND (REPEALED)

Current through Register Vol. 13, July 5, 2024
15-30-305, MCA; IMP,
					 15-30-150,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.324 - HANDLING OF ELDERLY HOMEOWNER CREDIT RETURNS

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.4.303
15-30-305, MCA; IMP,
					 15-30-174,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.325 - FAILURE TO FURNISH REQUESTED INFORMATION OR FILE A DELINQUENT RETURN

Current through Register Vol. 13, July 5, 2024
(1) A taxpayer must provide information the
				department requests to ascertain the correctness of a return within 30 days
				after the date of the request or obtain the department's consent to provide the
				information at a later date. If the taxpayer does not provide this information
				within 30 days, or as agreed upon, the department will adjust or disallow any
				amount or item that remains unverified. If the request is in writing, the 30
				days are computed from the date of the written request.
(2) If a taxpayer does not file a delinquent
				return within 30 days after the date of a written request to file the return or
				obtain the department's consent to file the return at a later date, the
				department will estimate the taxpayer's taxable income.
(3) Failure to supply the information
				requested or to file a requested return will result in the assessment of tax
				and the assessment of interest and penalty as provided in
				15-1-216, MCA.
15-30-2620, MCA; IMP,
					 15-30-2605,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.326 - REQUEST FOR ADJUSTMENT OF JOINT RETURN

Current through Register Vol. 13, July 5, 2024
(1)
				A taxpayer may request the department to adjust a joint tax return that was
				filed in the circumstance where the refund is being offset by the department
				for a child support arrearage.
(2)
				The adjustment will reflect the dollar amount of the refund that is
				attributable to the "obligated spouse," and the part of the refund that is
				attributable to the "injured spouse." The amount attributable to the injured
				spouse will be deemed exempt from offset.
(3) This request must be made in writing, and
				must be made within 30 days after the Notice of Offset and Opportunity for
				Hearing is mailed to the taxpayer.
(4) The provisions of this rule do not apply
				to a taxpayer requesting innocent spouse relief as provided under
				15-30-2646, MCA. The rules for
				innocent spouse relief are located in ARM
				42.15.329.
15-1-201,
					 15-30-2620,
					 17-4-110, MCA; IMP,
					 15-1-211,
					 15-30-2602,
					 17-4-105,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.327 - STATEMENT REQUIRED FOR ADJUSTMENT OF JOINT RETURN

Current through Register Vol. 13, July 5, 2024
(1) The written request for an adjustment of
				the joint tax return referenced in ARM
				42.15.326, shall include a
				statement entitled "injured spouse statement." Before any adjustment can be
				considered, this statement must:
(a) contain
				the identical social security numbers of both spouses in the same order as they
				appear on the original joint tax return;
(b) clearly indicate how any income, itemized
				deductions, exemptions, credits, and tax payments (as originally claimed)
				should be divided between the spouses;
(c) be signed by both spouses; and
(d) be mailed to:
Department of Revenue
P.O. Box 5805
Helena, Montana 59604-5805.
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.328 - FORM OF CLAIM FOR REFUND

Current through Register Vol. 13, July 5, 2024
(1) A claim for
				refund may be in the form of an amended return, a formal claim, or any written
				instrument signed by the taxpayer, clearly stating the facts concerning payment
				of the tax and the grounds upon which the claim is based. If the claim is not
				made on an amended return form, it must be mailed to:
DEPARTMENT OF Revenue
P.O. Box 5805
Helena, MT 59604-5805.
15-30-2620, MCA; IMP,
					 15-30-2609,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.3 - Tax Returns › Rule 42.15.329 - APPROVAL OF INNOCENT SPOUSE RELIEF

Current through Register Vol. 13, July 5, 2024
(1)
				Reasonable grounds for granting innocent spouse relief must be demonstrated in
				writing.
(2) Relief may not be
				granted in excess of the relief granted by the IRS.
(3) The following requirements must be met,
				before the department may consider an application for innocent spouse relief:
(a) the innocent spouse relief applicant must
				make a written request stating the reasons and specific periods for which the
				relief is requested;
(b) the
				innocent spouse relief applicant must have received Innocent Spouse Relief
				under section 6015 of the IRC from the IRS to be eligible for consideration by
				Montana; and
(c) the innocent
				spouse relief applicant must provide the Department of Revenue with complete
				copies of all correspondence to and from the IRS, and documentation that relief
				has been granted by the IRS for those periods.
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.401 - DEFINITIONS

Current through Register Vol. 13, July 5, 2024
The following definitions apply to rules found in this
				  subchapter:
(1) "Child" means a son,
				stepson, daughter, stepdaughter, or legally adopted son or daughter of the
				taxpayer. The term does not include the following persons who are within the
				definition of "child" for purposes of determining dependent exemptions for
				federal income tax purposes:
(a) a child who
				lived with the taxpayer in the taxpayer's home as a member of the taxpayer's
				family if placed with the taxpayer by an authorized placement agency for legal
				adoption; or
(b) a foster child
				(any child who lived with the taxpayer in the taxpayer's home as a member of
				the taxpayer's family for the entire year).
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.402 - PERSONAL EXEMPTIONS

Current through Register Vol. 13, July 5, 2024
(1) Each taxpayer
				is allowed one personal exemption for himself or herself. If the taxpayer is
				age 65 or older by the close of their tax year, they are entitled to an
				additional personal exemption. If the taxpayer is blind, as provided in
				15-30-2114, MCA, at the close of
				their tax year, they are entitled to an additional personal exemption. The
				additional exemptions are cumulative and a taxpayer who is at least 65 years
				old and blind by the close of the tax year is allowed three personal
				exemptions.
(2) The following
				provisions apply to the personal exemptions of married persons:
(a) a married taxpayer filing a separate
				return whose spouse, for the calendar year in which the tax year of the
				taxpayer begins, has no gross income and is not a dependent of another
				taxpayer, is allowed the following additional personal exemptions:
(i) one additional exemption for their
				spouse;
(ii) another additional
				exemption if their spouse is 65 years or older at the close of the taxpayer's
				tax year; and
(iii) another
				additional exemption if their spouse is blind at the close the taxpayer's tax
				year or, if the spouse dies before the end of the tax year, is blind at the
				spouse's date of death;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.403 - EXEMPTIONS FOR DEPENDENTS

Current through Register Vol. 13, July 5, 2024
(1) Except as
				provided in (2), a taxpayer is allowed a dependent exemption for each dependent
				who receives over half of his or her total support from the taxpayer. This
				support test must be implemented like the support test in 152(d)(1)(C) of the
				Internal Revenue Code (IRC), and all related U.S. Treasury Department
				regulations about qualifying relatives.
(2) A dependent exemption is not allowed for
				an individual described in (1):
(a) who,
				during the calendar year, has gross income of more than the exemption amount
				allowed under
				15-30-2114,
				MCA; unless the individual is the taxpayer's "qualifying child," as defined in
				section 152 of the IRC, and meets the support test for "qualifying child" under
				152(c)(1)(D), of the IRC;
(b) who
				makes a joint return with their spouse for the same tax year or for a tax year
				that begins in the calendar year in which the tax year of the taxpayer begins;
				or
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.404 - ADDITIONAL EXEMPTION FOR SENIOR CITIZENS (REPEALED)

Current through Register Vol. 13, July 5, 2024
Sec.
					 15-30-305, MCA; IMP, Sec.
					 15-30-112,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.405 - ADDITIONAL EXEMPTION FOR BLINDNESS (REPEALED)

Current through Register Vol. 13, July 5, 2024
Sec.
					 15-30-305, MCA; IMP, Sec.
					 15-30-112,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.406 - DEDUCTION FOR HEALTH INSURANCE PREMIUMS (REPEALED)

Current through Register Vol. 13, July 5, 2024
15-30-305, MCA; IMP,
					 15-30-121,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.407 - PERSONAL EXEMPTION FOR ESTATES AND TRUSTS (REPEALED)

Current through Register Vol. 13, July 5, 2024
AUTH:
					 15-30-2620, MCA; IMP:
					 15-30-2152,
					 MCA
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.411 - EXEMPTIONS FOR NONRESIDENTS (REPEALED)

Current through Register Vol. 13, July 5, 2024
Sec.
					 15-30-305, MCA; Sec.
					 15-30-112,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.412 - DEDUCTIONS FROM NET INCOME (REPEALED)

Current through Register Vol. 13, July 5, 2024
Sec.
					 15-30-305, MCA; IMP, Sec.
					 15-30-131,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.413 - NONRESIDENT AND PART YEAR RESIDENT DEDUCTIONS FOR KEOGH AND I.R.A. PLANS (REPEALED)

Current through Register Vol. 13, July 5, 2024
Sec.
					 15-30-305, MCA; IMP, Sec.
					 15-30-131,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.414 - DEDUCTIONS FOR SMALL BUSINESS DONATIONS OF COMPUTER EQUIPMENT TO SCHOOLS

Current through Register Vol. 13, July 5, 2024
(1) A taxpayer, who is a shareholder of an
				electing small business corporation, claiming a deduction for gifts of computer
				equipment as provided for in
				15-31-172, MCA, must attach the
				following information to the tax return claiming the deduction:
(a) a complete description of all items
				donated;
(b) a statement of the
				fair market value of each item donated;
(c) the date of manufacture for each item
				donated;
(d) the date the software
				was developed; and
(e) a copy of
				the written statement from the donee in which the donee agrees to accept the
				property and represents that the property will not be transferred by the donee
				in exchange for money, other property, or services.
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.415 - DEDUCTIONS FOR SALE OF LAND TO A BEGINNING FARMER

Current through Register Vol. 13, July 5, 2024
(1) A deduction from adjusted gross income is
				allowed for each sale of 80 acres or more if approved by the agricultural loan
				authority. The deduction is the amount which would have to be included in
				adjusted gross income as ordinary income and the taxable portion of capital
				gains resulting from the sale, up to a maximum deduction of $50,000. The
				deduction will be taken each year a payment is received until the loan is
				repaid or the deductions for all years equal $50,000.
(2) The taxpayer may claim more than one
				deduction as a result of sales to beginning farmers provided each sale is
				approved by the agricultural loan authority.
(3) To the extent that a net operating loss
				is created as a result of this deduction, such loss shall not be available for
				carryover or carryback provisions.
(4) Individuals in a partnership that makes
				an approved sale are also allowed this deduction. The partners' distributive
				shares of profit may be reduced by the amount of the allowable deductions.
				However, in no case shall the total deduction for all partners exceed $50,000
				for each sale.
(5) Shareholders of
				an electing small business corporation are not allowed a deduction on their
				individual tax returns for approved sales made by the corporation. The
				deduction must be taken by the corporation.
(6) For tax deduction purposes, a copy of the
				approval of the transaction by the agricultural loan authority must be attached
				to the return claiming the deduction. The department may also require
				additional documentation on request to establish the eligibility of the
				transaction for a tax deduction.
Sec.
					 15-1-201, MCA; IMP, Sec.
					 80-12-211,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.416 - ADDITIONAL DEDUCTION FOR PURCHASE OF RECYCLED MATERIAL

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.4.2602
Sec.
					 15-32-611, MCA; IMP, Sec.
					 15-32-601 through
					 15-32-610,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.421 - STANDARD DEDUCTION

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.15.523
Sec.
					 15-30-305, MCA; IMP, Sec.
					 15-30-122,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.422 - TREATMENT OF INCOME TAXES PAID TO OTHER STATES OR COUNTRIES

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.4.404
Sec.
					 15-30-305, MCA; AMD, Sec.
					 15-30-124,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.423 - DEDUCTIONS WHEN MARRIED COUPLE FILE SEPARATELY

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.15.524
Sec.
					 15-30-305, MCA; IMP, Sec.
					 15-30-122,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.424 - DEDUCTIONS FOR EXPENSES TO ALLOW TAXPAYER TO BE EMPLOYED (REPEALED)

Current through Register Vol. 13, July 5, 2024
Sec.
					 15-30-305, MCA; IMP, Sec.
					 15-30-121,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.425 - CONFORMANCE TO FEDERAL FILING STATUS REQUIRED IN CERTAIN CASES (REPEALED)

Current through Register Vol. 13, July 5, 2024
Sec.
					 15-30-305, MCA; IMP, Sec.
					 15-30-111,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.426 - MONTANA ADJUSTED GROSS INCOME TO BE USED WHEN CALCULATING ITEMIZED DEDUCTIONS

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.15.525
Sec.
					 15-30-305, MCA; IMP, Sec.
					 15-30-121,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.427 - DEDUCTION FOR HOUSEHOLD AND DEPENDENT CARE EXPENSES

Current through Register Vol. 13, July 5, 2024
(1) For a married couple to claim a deduction
				for qualified employment related household and dependent care expenses, both
				spouses must be gainfully employed. For the purpose of his deduction gainful
				employment means:
(a) full-time, part-time or
				temporary employment where both of the spouses are employed at the same
				time.
(b) full-time, part-time or
				temporary employment where one of the spouses is employed and the other is
				unable to care for himself/herself because of physical or mental
				illness.
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.428 - PASSIVE ACTIVITY TREATMENT (REPEALED)

Current through Register Vol. 13, July 5, 2024
Sec.
					 15-30-305, MCA; IMP, Sec.
					 15-30-111,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.429 - RECOVERY OF A TAX CREDIT (REPEALED)

Current through Register Vol. 13, July 5, 2024
Sec.
					 15-30-305, MCA; IMP, Sec.
					 15-30-112 and
					 15-61-201,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.431 - CREDIT FOR INVESTMENT FOR ENERGY CONSERVATION

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.4.130
Sec.
					 15-32-105, MCA; IMP, Sec.
					 15-32-105,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.432 - DETERMINATION OF CAPITAL INVESTMENT FOR ENERGYCONSERVATION

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.4.131
Sec.
					 15-32-105, MCA; IMP, Sec.
					 15-32-105,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.433 - DEFINITIONS (REPEALED)

Current through Register Vol. 13, July 5, 2024
Sec.
					 15-33-105, MCA; IMP, Sec.
					 15-33-103,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.434 - CONDITIONS FOR EXEMPTION FOR DIVIDENDS (REPEALED)

Current through Register Vol. 13, July 5, 2024
Sec.
					 15-33-105, MCA; IMP, Sec.
					 15-33-102,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.435 - REPORTING REQUIREMENTS (REPEALED)

Current through Register Vol. 13, July 5, 2024
Sec.
					 15-33-105, MCA; IMP, Sec.
					 15-33-104,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.4 - Personal and Dependent Exemptions › Rule 42.15.436 - DETERMINATION OF QUALIFIED INVESTMENTS (REPEALED)

Current through Register Vol. 13, July 5, 2024
Sec.
					 15-33-105, MCA; IMP, Sec.
					 15-33-102,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.5 - Deductions › Rule 42.15.501 - CREDIT FOR INCOME TAXES PAID TO OTHER STATE ORCOUNTRY

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.4.402
Sec.
					 15-30-305, MCA; IMP, Sec.
					 15-30-124,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.5 - Deductions › Rule 42.15.502 - COMPUTATION OF CREDIT FOR TAX PAID OTHER STATEOR COUNTRY

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.4.403
Sec.
					 15-30-305, MCA; IMP, Sec.
					 15-30-124,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.5 - Deductions › Rule 42.15.503 - CREDIT FOR PUBLIC CONTRACTOR'S GROSS RECEIPTSTAX

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.4.3102
Sec.
					 15-50-103, MCA; IMP, Sec.
					 15-50-207,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.5 - Deductions › Rule 42.15.504 - INVESTMENT CREDIT (REPEALED)

Current through Register Vol. 13, July 5, 2024
Sec.
					 15-30-305, MCA; IMP, Sec.
					 15-30-162,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.5 - Deductions › Rule 42.15.506 - COMPUTATION OF RESIDENTIAL PROPERTY TAX CREDITFOR ELDERLY

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.4.302
Sec.
					 15-30-305, MCA; IMP, Sec.
					 15-30-176,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.5 - Deductions › Rule 42.15.507 - DEFINITIONS (REPEALED)

Current through Register Vol. 13, July 5, 2024
Sec.
					 15-30-305,
					 15-31-501, and
					 15-32-611, MCA; IMP, Sec.
					 15-30-165,
					 15-30-166,
					 15-30-167,
					 15-31-161,
					 15-31-162,
					 15-32-601,
					 15-32-602,
					 15-32-603,
					 15-32-604,
					 15-32-609, and
					 15-32-610,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.5 - Deductions › Rule 42.15.508 - CREDIT FOR INVESTMENTS IN DEPRECIABLE EQUIPMENT OR MACHINERY TO COLLECT, PROCESS OR MANUFACTURE A PRODUCT FROM RECLAIMED MATERIAL, OR PROCESS SOILS CONTAMINATED BY HAZARDOUS WASTES

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.4.2604
Sec.
					 15-32-611, MCA; IMP, Sec.
					 15-32-601 through
					 15-32-610,
					 MCA;
Administrative Rules of Montana › Department 42 - REVENUE › Chapter 42.15 - INCOME TAX › Subchapter 42.15.5 - Deductions › Rule 42.15.509 - PERIOD COVERED FOR THE RECLAMATION AND RECYCLING CREDIT

Current through Register Vol. 13, July 5, 2024
This Rule has been transferred to
				  42.4.2605
Sec.
					 15-32-611, MCA; IMP, Sec.
					 15-32-601 through
					 15-32-610,
					 MCA;