Senate Bill No. [insert bill number] aims to revise the taxation of homesites on certain agricultural properties in Montana. The bill stipulates that a 1-acre homesite on agricultural land will be valued at market value, subject to an exemption that equals the statewide average value of a 1-acre homesite on agricultural property. This change is reflected in the amendments to several sections of the Montana Code Annotated (MCA), including 15-6-134, which now specifies that the 1-acre homesite must be valued at market value and includes provisions for properties classified as nonqualified agricultural land. Additionally, the bill amends Section 15-6-229 to clarify the application process for exemptions related to land adjacent to transmission line right-of-way easements.

The bill also introduces changes to the definitions and classifications of agricultural land in Sections 15-6-240, 15-7-202, and 15-7-206, ensuring that land under agricultural improvements is included in the total area actively devoted to agricultural use. Notably, the bill establishes a delayed effective date of January 1, 2027, and applies to property tax years beginning after December 31, 2026. Overall, the legislation seeks to provide clearer guidelines for the valuation and taxation of homesites on agricultural land, thereby potentially benefiting property owners in Montana.

Statutes affected:
LC Text: 15-6-134, 15-6-229, 15-6-240, 15-7-202, 15-7-206
SB0004_1(1): 15-6-134, 15-6-229, 15-6-240, 15-7-202, 15-7-206
SB0004_1(2): 15-6-134, 15-6-229, 15-6-240, 15-7-202, 15-7-206
SB0004_1(3): 15-6-134, 15-6-229, 15-6-240, 15-7-202, 15-7-206
SB0004_1(4): 15-6-134, 15-6-229, 15-6-240, 15-7-202, 15-7-206
SB0004_1: 15-6-134, 15-6-229, 15-6-240, 15-7-202, 15-7-206