Voluntary Disclosure Program
The Montana Department of Revenue encourages businesses and individuals that are not in compliance with Montana tax laws to voluntarily come forward to register and pay prior tax obligations. The Department’s Voluntary Disclosure Program is designed to help resolve prior tax liabilities. This applies to any tax administered by the Department and to any type of domestic or foreign taxpayer who is subject to tax in Montana.
The Voluntary Disclosure Program allows qualified entities and individuals to disclose their tax liabilities voluntarily and settle their tax obligations in a Voluntary Disclosure Agreement (VDA). Qualified entities and individuals that choose to participate in the Voluntary Disclosure Program are required to disclose their Montana tax liabilities and file returns for the immediately preceding five taxable years.
Impacted taxpayers may contact the Montana Department of Revenue directly or use the services of the Multistate Tax Commission’s National Nexus Program. The Department encourages those entities engaged in multistate activities to use the services of the National Nexus Program to come into compliance in multiple jurisdictions in which returns should have been filed. The National Nexus Program offers a single point of contact and substantially uniform procedures. Information regarding the National Nexus Program can be found at www.mtc.gov.
- Interest will be assessed on the tax liability due for each period covered under the agreement.
- The Department will waive all penalties for periods covered under the agreement.
- The Department has a five year disclosure, or lookback, period to allow qualified entities and individuals to come into compliance with the State of Montana filing requirements.