1. (1) The following persons must file an individual income tax return:

   1. (a) every resident who is required to file a federal income tax return;

   2. (b) every nonresident with Montana source income, including net losses, who is:

      1. (i) not eligible for the nonresident exclusion for temporary workers provided in 15-30-2106, MCA; or
      2. (ii) from a pass-through entity and the nonresident's share of the income is not included in a return filed under either 15-30-3312 or 15-30-3326, MCA;
   3. (c) an individual claiming an adjustment to federal taxable income if it results in Montana taxable income, as provided in 15-30-2602(1)(b), MCA; or
   4. (d) a Montana medical savings account holder who is a resident and required to report under ARM 42.15.602(3).

2. (2) An individual not required to file a federal income tax return will still need to file a Montana individual income tax return in the following situations:

   1. (a) they are claiming a refundable tax credit such as the Montana earned income tax credit or adoption credit; or
   2. (b) they are requesting a withholding refund for overpaid withholding on Montana wages, withholding on wages earned by a nonresident military spouse, withholding on wages earned under the North Dakota reciprocity agreement, or mineral royalty withholding for an individual without a federal filing requirement.

3. (3) The following persons must file a fiduciary return:

   1. (a) the estate of a decedent who was a resident must file a return if its gross income for the year from all sources exceeds its federal exemption allowance;
   2. (b) the estate of a decedent who was a nonresident must file a return if its gross income from all sources exceeds its federal exemption allowance, and the estate has any Montana source income; and
   3. (c) a nonbusiness trust which is not a grantor trust and is subject to the Montana Trust Code, Title 72, chapter 33, MCA, must file a return if its gross income for the year from all sources exceeds its exemption allowance.
4. (4) A nonresident's distributive share of a pass-through entity's Montana source income is included in determining a nonresident's obligation to file a Montana individual income tax return. A nonresident whose only Montana source income for the tax year is from one or more partnerships or S corporations, each of which has elected to file a composite return and pay a composite tax on behalf of consenting participants, is not required to file an individual income tax return. A nonresident who has Montana source income from a partnership or S corporation who does not elect to file a composite return or who has any other Montana source income (for example, wages from employment in Montana or rental income from property located in Montana), is required to file a Montana individual income tax return if the gross income from all sources, adjusted as provided in this rule, exceeds the applicable limit.

Authorizing statute(s): 15-1-201, 15-30-2620, 15-31-501, MCA

Implementing statute(s): 15-30-2602, 15-30-2603, 15-30-3302, 15-30-3311, 15-30-3312, MCA

History: Eff. 12/31/72; AMD, Eff. 10/5/74; AMD, 1982 MAR p. 10, Eff. 1/15/82; AMD, 1996 MAR p. 2605, Eff. 10/4/96; AMD, 2002 MAR p. 3708, Eff. 12/27/02; AMD, 2004 MAR p. 3147, Eff. 12/17/04; AMD, 2010 MAR p. 1088, Eff. 4/30/10; AMD, 2014 MAR p. 2976, Eff. 12/12/14; AMD, 2016 MAR p. 22, Eff. 1/9/16; AMD, 2025 MAR, 42-1088, Eff. 1/25/25.