The Combined Rate accounts for Federal, State, and Local tax rate on capital gains income, the 3.8 percent Surtax on capital gains and the marginal effect of Pease Limitations (which results in a tax rate increase of 1.18 percent). Montana allows for a 2.0% credit in combined State and Local capital gains rates.
Montana allows for a deduction of all federal taxes actually paid in cash during the year. The deduction is equal to federal taxes withheld from your paycheck during the year, plus any estimated payments made during the year, plus any federal taxes paid with your prior year’s tax return during the year. Montana filers' standard deduction is 20 percent of AGI. For single taxpayers, the deduction must be between $2,090 and $4,710. For married taxpayers, the deduction must be between $4,180 and $9,420.
1031 Property Exchange, LLC is based in Bozeman, Montana, and specializes in 1031 exchanges. The company is currently led by Karen Martin and Tarie Asay, who took over from Rusty Squire in 2022. Rusty, who has experience completing exchanges in all 50 states, still contributes as a consultant. Karen and Tarie have diverse backgrounds in architecture, ranching, financial investment, property development, and property management. They have experience acting as Qualified Intermediaries in multiple states and aim to continue providing successful 1031 exchange services. The company can be contacted via phone or email for discussions on potential exchanges.
