Montana is also known as the “Treasure State” and it is the fourth largest one in area among states in the USA. The tourism sector and the agriculture in Montana transformed the state into a favorable business climate which is why many foreign entrepreneurs choose this state for their operations. For information about how to do business in this state, we have prepared a general guide to company incorporation in Montana. We also mention that our company formation agents in USA are at your disposal with support and details if you want to open a company in Montana.

How to start an LLC in Montana

Starting a company in USA and having success will depend in the first instance on the type of business an entrepreneur wishes to form. A limited liability company can be easily set up in Montana, and the process starts with the business division of the Secretary of the State of Montana. After a name verification, the Articles of Association must be prepared and submitted to the registration office. The name of the company, the owners, the business address, the activities and the purposes of the company are information which must be comprised in the Articles of Association. Besides that, an LLC in Montana must have a registered agent with residency with a physical address in this state and he/she who will represent your business from a legal point of view. Entrepreneurs can choose to appoint another company as a registered agent if they want so. Our company incorporation specialists in Montana can also represent your business besides providing assistance at registration.

Other types of structures in Montana

Besides limited liability companies which are the most preferred business forms in Montana, entrepreneurs can set up partnerships, sole proprietorships or can direct their attention to corporations or associations. General partnerships are also on the list of entities in Montana and are subject to associations of individuals who share the liabilities in the business, but also the revenues and profits. If you want to open a company in USA, you should first observe the requirements for each type of business and then choose in accordance with your needs and type of activities.

Taxes in Montana

Montana is a preferred business destination for numerous investors from overseas not only for the possibilities they can discover here, but also for the favorable tax structure which sustains their activities. For example, the state of Montana does not impose a sales tax and there is no city sales tax. Even though there are no such taxes, it is good to know that a lodgings tax, a rental tax, and seller & consumer use fees need to be considered in Montana.

Employment in Montana

The labor market in Montana is highly appreciated as there are numerous skilled workers in fields like IT, engineering, tourism, agriculture, mining, manufacturing and many more. The government offers complete information about the available workforce in the state through the official website, but foreigners in search of skilled people for their business in USA can address to recruitment agencies which can offer support in this direction.

Accounting services for your company in Montana

Each type of company in Montana should ask for the services offered by an accounting firm which can observe all the financial operations of your business. Bookkeeping, payroll services, tax minimization methods, tax advice, financial planning or business consulting are among the necessary services an accounting firm in Montana can provide for your company.

Economy in Montana

The economy in Montana is diversified and sustained by important fields like mining, agriculture, manufacturing, and tourism, the latter one being subject to around ten million visitors each year who want to discover the well-known Yellowstone National Park. Helena is the capital of Montana and a business hub for both locals and foreigners who want to operate in the above-mentioned sectors, but not limited to this. Livingston, Billings, Bozeman, Great Falls or Kalispell are among cities which can be chosen for company formation and business development.

Montana can be a great place for doing business for those investors looking to make profits in this part of America. Having a correct idea about the tax regime before entering the market might be necessary for any kind of entrepreneur, in order to proceed with the legal requirements. With the help of our company formation agents in USA you can start a business in USA, including Montana, and you can solicit assistance at the time of business formation and for tax matters.

What is the sales tax rate in Montana?

One should know that Montana is among the American states in which there is no sales tax imposed. However, it is good to know that some municipalities in Montana can have resort taxes which are normally going to the city’s infrastructure. The “bed tax” of 4% is imposed on overnight lodging in Montana as part of the promotion strategies in this state.

Is there a privilege tax in Montana?

No, there is no privilege tax in Montana and no franchise tax, and foreign investors can benefit from such advantages when deciding for doing business in this American state.

What is the corporate income tax rate in Montana?

The flat rate for the corporate income tax imposed for businesses in Montana is 6.75%. Limited liability companies in Montana are seen as pass-through entities for which there is no corporate tax imposed, but only the personal income tax as seen in the table below:

Taxable Income & Tax Rate
From 0$ to $2,800: 1%
Between $2,801 and 5,000: 2%
Between $5,001 and $7,600: 3%
Between $7,601 and $10,300: 4%
Between $10,301 ad $13,300: 5%
Between $13,301 and $17,100: 6%
More than $17,000: 6.9%

We invite you to talk to our team of specialists in company formation in USA and ask questions about the taxes for each business structure in Montana or in any other state. Also, you are invited to read the general guide to company incorporation in Montana and find out information about how you can start a business in this state.

The capital gains tax rate in Montana

The capital gains are taxed in Montana at a rate of 4.9%. However, the state offers the possibility of compensating the costs with the help of a capital gain tax credit which is subject to a 2% rate of all net capital gains registered on the income tax return in Montana.