House Bill No. introduced by G. Nikolakakos and others aims to revise the elderly homeowner and renter income tax credit in Montana. Key changes include an increase in the maximum credit amount from $1,150 to $1,400, and a revision of the definition of "household income," which will now be calculated by subtracting $14,100 from gross household income instead of the previous $12,600. The bill also introduces an inflationary adjustment mechanism for both the maximum credit amount and the income thresholds at which the credit phases out, ensuring that these figures will be updated annually based on inflation.

Additionally, the bill amends the computation of the tax credit, adjusting the percentage of credit allowed for various income brackets, particularly for those with household incomes between $35,000 and $50,000. It repeals certain sections of previous legislation and establishes an immediate effective date, with retroactive applicability for income tax years beginning after December 31, 2024. These changes are designed to provide greater financial relief to elderly homeowners and renters in Montana, reflecting the rising cost of living and the need for updated tax relief measures.

Statutes affected:
LC Text: 15-30-2337, 15-30-2340
HB0831_1(1): 15-30-2337, 15-30-2340
HB0831_1(2): 15-30-2337, 15-30-2340
HB0831_1(3): 15-30-2337, 15-30-2340
HB0831_1(4): 15-30-2337, 15-30-2340
HB0831_1(5): 15-30-2337, 15-30-2340
HB0831_1(6): 15-30-2337, 15-30-2340
HB0831_1: 15-30-2337, 15-30-2340