Montana Could Collect $1.31 Billion Under a 4% Sales Tax

Montana could generate more than half of the revenue currently collected under its income tax or its property tax by implementing a statewide sales tax, a new analysis presented to the state Legislature revealed.

Montana—one of only five states without a sales tax—could have generated roughly $1.31 billion during fiscal year 2024 under a hypothetical 4% sales tax. The state currently collects $2.24 billion in income taxes and $2.34 billion in property taxes. The analysis was presented by Montana’s Legislative Fiscal Commission, which developed a new dynamic revenue projection model.

“It’s a little bigger than half of our individual ...