Montana Income Tax Rates & Brackets — 2026
Montana has a graduated income tax with 2 brackets in 2026, running from 4.7% to 5.65%. A single filer on $100,000 owes about $4,289 — an effective rate of 4.29%.
The Montana tax gauge at $100,000
Montana
$100,000 · Single · TY2026Montana tax brackets for 2026
Every filing status, as published by Montana Department of Revenue. Rates apply to Montana taxable income — that is income after the deductions and exemptions shown on each card.
Single
Standard deduction $16,100| Taxable income | Marginal rate |
|---|---|
| $0 – $47,499 | 4.7% |
| $47,500 and above | 5.65% |
Married filing jointly
Standard deduction $32,200| Taxable income | Marginal rate |
|---|---|
| $0 – $94,999 | 4.7% |
| $95,000 and above | 5.65% |
Married filing separately
Standard deduction $16,100| Taxable income | Marginal rate |
|---|---|
| $0 – $47,499 | 4.7% |
| $47,500 and above | 5.65% |
Head of household
Standard deduction $24,150| Taxable income | Marginal rate |
|---|---|
| $0 – $71,249 | 4.7% |
| $71,250 and above | 5.65% |
How the maths actually works
Rates are marginal: the 5.65% top rate applies only to the dollars above the top threshold, never to your whole income. A single filer on $100,000 in Montana subtracts $16,100 of deductions and exemptions, then pays each bracket in turn on $83,900 of taxable income — $4,289 in all, or 4.29% of gross income. Marginal vs effective rate, explained.
What Montana costs at different incomes
Single filer, standard deduction, no dependents. Rank is out of 50 jurisdictions, lowest tax first.
| Gross income | Taxable income | State tax | Effective rate | Per month | National rank | vs median state |
|---|---|---|---|---|---|---|
| $50,000 | $33,900 | $1,593 | 3.19% | $133 | 31st of 50 | +$149 |
| $75,000 | $58,900 | $2,877 | 3.84% | $240 | 32nd of 50 | +$329 |
| $100,000 | $83,900 | $4,289 | 4.29% | $357 | 34th of 50 | +$562 |
| $150,000 | $133,900 | $7,114 | 4.74% | $593 | 35th of 50 | +$1,048 |
| $250,000 | $233,900 | $12,764 | 5.11% | $1,064 | 38th of 50 | +$2,006 |
| $500,000 | $483,900 | $26,889 | 5.38% | $2,241 | 37th of 50 | +$4,759 |
| $1,000,000 | $983,900 | $55,139 | 5.51% | $4,595 | 35th of 50 | +$10,373 |
Montana income tax calculator
Change the income, filing status and number of dependents to see the bracket-by-bracket breakdown.
- Income
- $100,000
- Standard deduction
- $16,100
- Exemptions
- $0
- Taxable income
- $83,900
Bracket by bracket
| Taxable income in bracket | Rate | Income taxed | Tax |
|---|---|---|---|
| $0 – $47,499 | 4.7% | $47,500 | $2,232.50 |
| $47,500 and above | 5.65% | $36,400 | $2,056.60 |
This estimates state income tax only, using the standard deduction and personal/dependent exemptions. It does not model itemised deductions, most credits, retirement-income exclusions, or local income taxes. Your actual bill will differ. See how we calculate this and Montana's full brackets and sources.
Montana versus its neighbours
State income tax owed by a single filer on $100,000 in 2026.
What changed since 2025
Montana's income tax changed between 2025 and 2026. A single filer on $100,000 owes $428 less than in 2025.
| 2025 | 2026 | |
|---|---|---|
| Top marginal rate | 5.9% | 5.65% |
| Structure | graduated | graduated |
| Standard deduction (single) | $15,750 | $16,100 |
| Tax on $100,000 (single) | $4,718 | $4,289 |
The 2025 rules are kept in full on the Montana 2025 tax year page, for amended returns and late filings.
Recent legislated changes
- CutEffective · H.B. 337 (2025)
H.B. 337 (2025) cut Montana's top individual income tax rate from 5.9% to 5.65% and widened the 4.7% bracket to $47,500 (single/MFS), $95,000 (MFJ) and $71,250 (head of household). A further cut to 5.4% takes effect in 2027.
Retirement income
We do not publish Montana's treatment of Social Security, pensions and retirement account withdrawals, because we could not establish it from a primary source. Rather than estimate it, we withhold it — see retirement taxes by state for the jurisdictions we can publish.
Capital gains
How Montana taxes a capital gain in tax year 2025. This is verified separately from the rate schedule above and can be for a different tax year.
Montana is one of the few states that publishes a capital gains rate schedule of its own. For 2025 net long-term capital gains are taxed at 3.0% within the same threshold that bounds the 4.7% ordinary bracket, and 4.1% above it. Where ordinary income has already used up the threshold, every long-term gain is taxed at 4.1%. The thresholds are $21,100 single and married filing separately, $42,200 married filing jointly, $31,700 head of household.
The separate schedule is for net long-term capital gains. A short-term gain is ordinary income, taxed at 4.7% up to the threshold and 5.9% above it.
Montana computes Montana ordinary income and net long-term capital gains separately, then rates each on its own schedule — the gain does not simply ride the ordinary brackets.
The two schedules interact: ordinary income fills the lower band first, so a gain is taxed at 3.0% only to the extent the band is unused.
- Net long-term capital gains, lower rate — 3%. The first $21,100 (single and married filing separately), $42,200 (married filing jointly and qualifying surviving spouse) or $31,700 (head of household) of capital gains minus Montana ordinary income.
- Net long-term capital gains, upper rate — 4.1%. Net long-term capital gains above that threshold, and all long-term gains where Montana ordinary income already exceeds the threshold.
Source: Montana Department of Revenue — 2025 Montana Tax Tables and Deductions (retrieved 2026-09-19). Compare every state.
Local income taxes
No Montana city or county levies an individual income tax.
What else to know about Montana
- Montana restructured its individual income tax effective tax year 2024: seven brackets became two, and the state stopped computing its own deductions.
- Montana taxable income starts from federal adjusted gross income less the same standard or itemized deduction claimed federally, so the Montana standard deduction equals the federal standard deduction.
- Long-term capital gains are taxed on a separate, lower schedule (3.0 percent and 4.1 percent) rather than as ordinary income.
- Montana no longer allows a deduction for federal income taxes paid; the pre-2024 Montana itemized deduction system, including that deduction, was repealed.
- There are no personal or dependent exemptions and no local income taxes.
Capital gains
Montana taxes net long-term capital gains on a separate, lower two-rate schedule: 3.0% on gains within the same threshold that bounds the 4.7% ordinary bracket ($47,500 single and married filing separately, $95,000 married filing jointly, $71,250 head of household) and 4.1% above it. Where ordinary income already exceeds the threshold, all long-term gains are taxed at 4.1%. Short-term gains are taxed as ordinary income.
What our figures leave out
Sources
- 1.Montana Department of RevenueState revenue departmentHB 337 - Income Tax Rate and Bracket ChangesRetrieved · Tax year 2026: 4.7% on taxable income up to $95,000 (MFJ), $71,250 (HoH), $47,500 (single/MFS); 5.65% above. "The rates on long-term capital gains remain at 3.0% and 4.1%; however, the bill does adjust the brackets to match the new ranges for ordinary income."
- 2.Montana Department of RevenueState revenue department2025 Montana Tax Tables and DeductionsRetrieved · Ordinary income: first $21,100 (single/MFS), $42,200 (MFJ), $31,700 (HoH) at 4.7%; amounts above at 5.9%. Net long-term capital gains: 3.0% within the same threshold, 4.1% above. Deductions listed: 65-and-over exemption $5,660; MSA contribution $4,600.
- 3.Montana Department of RevenueState revenue department2025 Montana Form 2 Individual Income Tax Return InstructionsRetrieved · Line 1 starts from federal adjusted gross income; line 2 reports Form 1040 lines 12e and 13b. "Federal standard deduction or federal itemized deductions. You must use the same type of deduction taken on your federal return to determine Montana taxable income."
- 4.Internal Revenue ServiceIRSRev. Proc. 2025-32 (inflation-adjusted amounts for 2026; restates OBBBA standard deduction for 2025)Retrieved
Figures on this page were last checked against these sources on . Found something wrong? Report it.