The following definitions apply to this subchapter:
- (1) “Commercial rate” means the same as the commercial property tax rate provided in 15-6-134(3)(d), MCA.
- (2) “ETR,” for the purposes of administering the reduced tax rates, means the effective tax rate for a qualifying property which the department determines through the process described in ARM 42.19.206.
- (3) “Homestead rate” means the same as the homestead reduced tax rate provided in 15-6-402, MCA.
- (4) “Multifamily dwelling unit,” for the purposes of administering the rental rate for qualifying multifamily dwelling units provided in 15-6-134(3)(b)(ii), MCA, means two or more separate living spaces within a single building or group of buildings located on the same parcel and under one ownership; and includes the value of both the land and improvements. The term does not include separate living spaces within the same building or group of buildings when the separate living spaces are owned by separate individuals.
- (5) “Normal rate” means the same as the class four residential property tax rate provided in 15-6-134(3)(a), MCA.
- (6) “Owner” means the same as the term provided in 15-6-402, MCA.
- (7) “Reduced tax rates” means the homestead rate and rental rate which are collectively referenced for brevity in these rules.
(8) “Rental rate” means the same as the rental property reduced tax rate provided in 15-6-402, MCA. Rental rate may also be used, where applicable, to describe either:
- (a) the multifamily dwelling unit rental rate provided in 15-6-134(3)(b)(ii), MCA (“multifamily rental rate”); or
- (b) the single-family dwelling rental rate described in 15-6-134(3)(b)(i), MCA (“single-family rental rate”).
- (9) “Secondary dwelling unit,” for the purposes of administering the reduced tax rates, means a single-family residential dwelling unit that is not a principal residence of the owner but is located on the same parcel of land as a principal residence. A secondary dwelling unit includes accessory dwelling units (ADUs) and may include other non-principal dwelling units, as determined by the department, regardless of its name or description.
Authorizing statute(s): 15-1-201, 15-6-425, MCA
Implementing statute(s): 15-1-201, 15-6-134, 15-6-402, 15-6-405, 15-6-411, MCA
History: NEW, 2026 MAR, Notice No. 2025-430, Eff. 1/10/26.