Montana HB132 proposes to exempt a portion of interest earnings from individual income tax.

Montana HB132 revises individual income taxation by providing a deduction for interest income. The bill specifies that interest income must be reported on Form 1099 and limits the deduction amount based on filing status. It also amends Section 15-30-2120, MCA, to include these changes. The bill is set to be effective January 1, 2026, and applies to income tax years beginning after December 31, 2025.

Montana HB132 proposes to exempt a portion of interest earnings from individual income tax.

Montana HB132 revises individual income taxation by providing a deduction for interest income. The bill specifies that interest income must be reported on Form 1099 and limits the deduction amount based on filing status. It also amends Section 15-30-2120, MCA, to include these changes. The bill is set to be effective January 1, 2026, and applies to income tax years beginning after December 31, 2025.