Senate Bill No. [insert bill number] proposes an income tax credit for primary and secondary education expenses incurred by parents, guardians, or teachers. The credit is set at the lesser of the actual education expenses paid or $1,250. Notably, the bill amends existing law to state that the credit cannot be refunded if the taxpayer's tax liability is less than the amount of the credit, contrasting with previous provisions that allowed refunds regardless of tax liability. The bill also expands the definition of "education expenses" to include a variety of costs such as tuition, fees, textbooks, and educational services, while removing the requirement that these expenses be exclusively for public school education.

Additionally, the bill amends Section 15-30-2303 of the Montana Code Annotated to include the new primary and secondary education expenses credit in the list of tax credits subject to review by the revenue interim committee. The act is set to apply to income tax years beginning on or after January 1, 2026, and includes provisions for codification within Title 15, chapter 30 of the Montana Code.

Statutes affected:
LC Text: 15-30-2303
SB0549_1(1): 15-30-2303
SB0549_1(2): 15-30-2303
SB0549_1(3): 15-30-2303
SB0549_1(4): 15-30-2303
SB0549_1(5): 15-30-2303
SB0549_1: 15-30-2303
SB0549_2(1): 15-30-2303
SB0549_2(2): 15-30-2303
SB0549_2(3): 15-30-2303
SB0549_2(4): 15-30-2303
SB0549_2(5): 15-30-2303
SB0549_2(6): 15-30-2303
SB0549_2(7): 15-30-2303
SB0549_2(8): 15-30-2303
SB0549_2(9): 15-30-2303
SB0549_2: 15-30-2303
SB0549_3(1): 15-30-2303
SB0549_3(2): 15-30-2303
SB0549_3(3): 15-30-2303
SB0549_3(4): 15-30-2303
SB0549_3(5): 15-30-2303
SB0549_3(6): 15-30-2303
SB0549_3(7): 15-30-2303
SB0549_3(8): 15-30-2303
SB0549_3: 15-30-2303