Publication 1 – Prepaying Income Tax in Montana

Publication 1 is a helpful guide for individuals, estates, and trusts who need to understand how Montana’s individual income tax system works. It explains which types of income are considered taxable or exempt under Montana law and outlines the different ways taxpayers can prepay their state income taxes.

This publication is especially useful for those who need to:

• Estimate their Montana income tax liability
• Determine whether they need to make estimated payments
• Understand Montana income tax withholding
• Avoid penalties for underpayment

The guide includes four worksheets to help calculate expected tax liability and plan payments for the upcoming tax year. It also explains which income types require withholding (like wages or retirement income) and how to adjust withholding or submit estimated tax payments directly.