Montana Governor Signs Law Extending, Expanding State Medical Savings Account Individual Income Tax Exemption

The Montana Governor May 19 signed a law extending and expanding the Montana Medical Savings Account (MSA) individual income tax exemption. The law includes measures: 1) extending the income exemption for deposits to MSAs; 2) allowing taxpayers to deduct qualified deposits to and income from MSAs from their federal taxable income when estimating their state taxable income starting with tax year 2024; 3) providing that the maximum each account holder can contribute to a qualified account is $4,500 in tax year 2024; 4) limiting the establishment of a Montana first-time homebuyer account to Jan. 1, 2024; and 5) clarifying the ...