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Montana

Income Tax Rebates to Begin Hitting Taxpayers’ Bank Accounts Next Month

The rebates are equal to the amount of a taxpayer’s 2021 taxes up to $1,250

By Beacon Staff
The Montana State Capitol is illuminated at dusk. Beacon file photo

More than 530,000 Montanans who paid income taxes in 2021 are in line to receive rebates beginning next month and will either notice extra money in their bank accounts or should keep an eye out for a check in the mail.

The Montana Department of Revenue will begin issuing rebates to qualifying Montana taxpayers beginning July 3, according to a press release, and anticipates distributing most rebates by Aug. 31.

The income tax rebates will be issued automatically and there is no need to apply. They will be sent to taxpayers based on information provided on their most recently filed Montana Form 2 – either electronically via direct deposit, or by paper check to the address on the return.

“Montanans overpaid their taxes, and we’re giving it back,” Gov. Greg Gianforte said in a prepared statement. “I look forward to getting this money back into Montanans’ pockets where it belongs.”

To qualify for a rebate, eligible Montanans must have filed a 2021 resident tax return and 2020 resident or part-year resident tax return by Oct. 17, 2022. Also, taxpayers cannot be claimed as a dependent on another taxpayer’s tax return.

The rebates are equal to the amount of a taxpayer’s 2021 taxes up to $1,250 for single, married filing separately, and head of household filers and $2,500 for married filing jointly. Taxpayers can find the amount of their 2021 tax liability on line 20 of their Montana tax return.

“We have the important job of getting these rebates back to eligible Montana taxpayers as quickly and easily as possible,” Montana Department of Revenue Director Brendan Beatty said in a press release. “Remember to check your bank statement or the mail for your rebate.”

The Individual Income Tax Rebate is a result of the Legislature passing and the governor signing House Bill 192 during the 2023 Montana Legislative Session.

For additional information about the Individual Income Tax Rebate or to check on the status of a rebate, visit GetMyRebate.mt.gov. There, Montanans can also learn if they qualify for a property tax rebate, a separate bill passed by the Legislature earlier this year. Taxpayers can begin filing for property tax rebates on Aug. 15.