Montana 2023 Regular Session

Montana House Bill HB192

Introduced
1/5/23  
Refer
1/6/23  
Engrossed
2/2/23  
Refer
2/6/23  
Enrolled
3/9/23  

Caption

Use surplus revenue for income tax and property tax refunds and payment of bonds

Impact

The implementation of HB 192 would directly affect personal financial obligations for many Montanans. By providing rebates and property tax refunds, the bill is expected to alleviate some financial burdens on taxpayers, particularly amid cost-of-living increases. The appropriations outlined in the bill could also impact state budgeting for the coming years, as a substantial amount—$480 million—will be allocated from the general fund to support these rebates. This financial strategy may ensure a more equitable distribution of state resources but will demand careful monitoring of future budgetary implications.

Summary

House Bill 192 focuses on the distribution of surplus revenue to taxpayers in Montana. The bill mandates that individual taxpayers receive a one-time income tax rebate based on their 2021 income tax liability, emphasizing fairness in the distribution of surplus by providing more significant rebates to those with larger tax liabilities. Additionally, the bill includes provisions for property tax refunds for primary residences, aimed at helping homeowners manage their property tax expenses. The surplus funding for these rebates will be appropriated from the general fund, demonstrating an effort to use surplus state funds beneficially.

Sentiment

Overall, the sentiment surrounding HB 192 appears to be largely positive, particularly among proponents who see it as a necessary relief measure for residents struggling with rising expenses. Legislators pushing for the bill emphasize the importance of returning surplus funds to the taxpayers who contributed to them. However, there are concerns regarding the long-term economic sustainability of such rebates and whether they adequately address systemic issues in the state’s tax framework. Opposition may stem from individuals worried about the potential reduction of funds for other state services that could be affected by the extensive allocation to tax rebates.

Contention

Despite the largely favorable reception, notable points of contention arise particularly around the sustainability of recurring surplus distributions and the fairness of the rebate method. Critics argue that while immediate financial relief is beneficial, it could lead to unintended consequences if the surplus is not managed prudently or if future revenues do not match expectations. Questions regarding the potential impact on public services and infrastructure funding also linger, leading to a more nuanced debate about whether these financial strategies serve the best interests of all Montanans in the long run.

Companion Bills

No companion bills found.

Previously Filed As

MT SB514

Provide for individual income tax refunds of surplus revenue

MT HB816

Revise distribution of surplus revenue

MT HB222

Provide rebates of property taxes paid on a principal residence

MT HB280

Providing for circuit breaker income tax credit for property taxes paid

MT HF1653

Property tax refunds and individual income tax provisions modified, and renter's credit converted to refundable income tax credit.

MT HF2904

Property tax refund program converted to refundable income tax credit.

MT A5386

Allows gross income tax refunds to be credited against taxpayer's delinquent local property taxes.

MT S1394

Increases amount of rental payments defined as rent constituting property taxes for purposes of deduction from gross income for property tax payments; increases property tax credit option for certain individuals.

MT S829

Allows gross income tax refunds to be credited against taxpayer's delinquent local property taxes.

MT SB990

Relating to payment of surplus revenue refunds in form of check; prescribing an effective date.

Similar Bills

MT HB307

Provide for tax rebate

MT HB222

Provide rebates of property taxes paid on a principal residence

HI SB1250

Relating To The College Savings Program.

HI SB1250

Relating To The College Savings Program.

HI SB281

Relating To The College Savings Program.

HI SB358

Relating To The College Savings Program.

HI SB281

Relating To The College Savings Program.

MT SB93

Revise income taxes related to retired military members