Taxes in Billings, Montana
Complete tax guide for Billings, MT. State income tax up to 5.9%, 0.78% property tax, no sales tax. Calculate your total tax burden.
State Income Tax
5.9%
Montana
Property Tax
0.78%
Effective rate
Sales Tax
None
Combined rate
Tax Burden
Low
Billings, MT Tax Overview
No sales tax statewide; largest city in Montana
Population
119,116
Median Income
$59,218
Cost of Living
96.5 (100 = avg)
State Income Tax
5.9%
Median Home Price
$295,000
Billings Tax Calculator
Pre-filled with Billings median: $59,218
Total Tax Burden in Billings
$13,092
Take-Home: $46,126 · Effective Rate: 22.11%
Federal Tax
$5,068
8.56% eff.
MT State
$3,494
5.90% eff.
FICA
$4,530
7.65% eff.
Take-Home
$46,126
77.89% kept
Tax Breakdown
| Item | Annual | Monthly |
|---|---|---|
| Gross Income | $59,218.00 | $4,934.83 |
| Federal Income Tax | -$5,067.66 | -$422.31 |
| Montana State Tax | -$3,493.86 | -$291.16 |
| Social Security (6.2%) | -$3,671.52 | -$305.96 |
| Medicare (1.45%) | -$858.66 | -$71.56 |
| Take-Home Pay | $46,126.30 | $3,843.86 |
Property Tax in Billings
Median Home
$295,000
Annual Tax
$2,301
Monthly Tax
$192
Effective Rate
0.78%
Sales Tax in Billings
No Sales Tax
Montana does not impose a state or local sales tax.
Tax Burden Comparison
| Tax Type | Billings | Montana Avg | National Avg |
|---|---|---|---|
| Income Tax | 5.9% | 5.9% | 4.6% |
| Property Tax | 0.78% | ~0.78% | 1.1% |
| Sales Tax | None | None | 7.12% |
| Overall Burden | Low | — | Moderate |
Tax Saving Tips for Billings Residents
- Montana's income tax rate of 5.9% is above average. Maximize pre-tax retirement contributions (401k up to $23,500, IRA up to $7,000) to reduce both federal and state taxable income.
- Property tax in Billings (0.78%) is below the national average of 1.1%. This makes homeownership more affordable here relative to property tax burden.
- Billings has no sales tax, which can save thousands annually on everyday purchases and large-ticket items like electronics, furniture, and vehicles.
- Use a Health Savings Account (HSA) if eligible. Contributions are tax-deductible ($4,300 individual, $8,550 family), growth is tax-free, and withdrawals for medical expenses are tax-free.
Other Cities in Montana
Calculate Your Full Montana Tax Burden
See detailed state tax brackets, FICA breakdown, and compare to neighboring states.
Frequently Asked Questions
What are the tax rates in Billings, MT?
Billings, Montana has a state income tax rate up to 5.9%. The property tax rate is 0.78% and the combined sales tax rate is 0% (no sales tax). No sales tax statewide; largest city in Montana
How much is property tax in Billings?
The effective property tax rate in Billings is 0.78%. On the median home price of $295,000, this equals approximately $2,301 per year or $192 per month. This is below the national average of 1.1%.
What is the sales tax rate in Billings?
Billings has no sales tax. Montana is one of the few states that does not impose a state or local sales tax.
How does Billings's tax burden compare to other cities?
Billings has a low overall tax burden. The effective total tax rate for a median-income household is approximately 24.5%. The combination of 5.9% state income tax, 0.78% property tax, and 0% sales tax determines the total burden. Cost of living index is 96.5 (100 = national average).
Are there any local taxes in Billings?
Billings does not impose a separate local or city income tax. Residents pay the state income tax of 5.9%, federal income tax, and FICA (Social Security and Medicare). No sales tax statewide; largest city in Montana