How taxes work in Montana
Sales tax. Montana levies no statewide sales tax. No sales tax in Montana (a few resort towns levy local resort taxes).
Property tax. At an average effective rate of about 0.83%, a $350,000 home in Montana carries roughly $2,905 a year in property tax before exemptions. That is near the middle of US states. Local assessors set actual bills, so verify with the county for any specific property.
Income tax. Progressive, top rate around 5.9%. Montana has NO statewide sales tax. If you are self-employed in Montana, you still owe federal self-employment tax plus quarterly state estimates where applicable.
Sales tax · average combined
Property tax · average effective
Chart: DailyFinance.tools · Rates are reviewed averages from our state tax dataset — your exact local rate may differ.
How Montana compares with similar states
The states closest to Montana on average combined sales tax. Property tax is the average effective rate; income tax shows the structure, not a single rate.
| State | Combined sales tax | Property tax | Income tax |
|---|---|---|---|
| Montana (this page) | 0% | 0.83% | Progressive |
| Alaska | 1.82% | 1.23% | None |
| Delaware | 0% | 0.61% | Progressive |
| New Hampshire | 0% | 1.77% | None |
| Oregon | 0% | 0.82% | Progressive |
| All-state average (51 entries) | 6.61% | 1.04% | — |
What this means for your money in Montana
Property tax in Montana sits near the middle nationally: an average effective rate of 0.83% (rank 30 of 51; all-state average 1.04%). On a $400,000 home that is about $3,320 a year, or $276.67 a month through escrow. No single tax dominates the picture here — the state's overall position is the sum of three middling taxes rather than one extreme one.
Read together: Montana combines an average combined sales tax of 0% (rank 49 of 51), an average effective property tax of 0.83% (rank 30 of 51) and progressive income tax brackets. A household comparing states should compare all three against its own pattern — a high earner who rents weighs the income tax most; a homeowner on a fixed income weighs the property tax most.
Major cities in Montana
Billings, Missoula, Great Falls, Bozeman, Butte. Combined sales-tax rates differ between these cities — sometimes by more than a full percentage point inside the same state — because county and city layers stack on the state base. The Montana sales tax guide breaks down the calculation and links the calculator where you can enter your exact local rate.
Calculators for Montana residents
- Montana Sales Tax Guide & Examples — what you actually pay, with worked amounts.
- Sales Tax & VAT Calculator — add or extract tax at any rate, including your exact Montana local rate.
- Mortgage Calculator — include Montana property tax in the monthly payment.
- Property Tax Calculator — estimate a specific property's bill.
- Self-Employment Tax Calculator — federal SE tax for Montana freelancers.