Montana Tax Law Changes
for Businesses - Tax Year 2008
Montana Mineral Royalty Withholding
Effective January 1, 2008, royalty payments made to owners of Montana mineral rights are subject to state income tax withholding if certain thresholds are met. This amount should not be confused with the production taxes that are also subtracted from your royalty payments. If the mineral rights are held by a partnership, S corporation, estate or trust for which you have an ownership interest or from which you receive a distribution, report the amount reported to you as your share of the withholding. For more information, please visit the “Mineral Royalty Withholding” icon at revenue.mt.gov.
Temporary Emergency Lodging Credit
For tax years beginning on or after January 1, 2008, there is a refundable credit available for licensed establishments that provide short-term emergency lodging under the Temporary Emergency Lodging Program. The program helps provide lodging for individuals or families who have been displaced from their residence and have been referred to the establishment by a charitable organization approved by the Montana Department of Public Health and Human Services. Please visit their website at http://www.dphhs.mt.gov/PHSD/Food-consumer/emergency-lodging.shtml for additional information regarding participation in this program.
The credit is equal to $30 for each day of lodging provided in Montana and is limited to a maximum of five nights’ lodging for each individual.
