House Bill No. [insert bill number] aims to provide tax incentives for the sale of food produced in Montana by amending existing tax laws. Specifically, it introduces a subtraction from both individual and corporate income taxes for 50% of the net income generated from the sale of Montana-produced food at the point of sale to the ultimate consumer. This change is reflected in the amendments to Sections 15-30-2120 and 15-31-113 of the Montana Code Annotated (MCA), where the new provisions are inserted to allow for this tax benefit. Additionally, the bill establishes a termination date for these provisions, set for December 31, 2031.

The bill also clarifies the definition of "Montana-produced food" to include items used by humans as food or drink, as well as components of such items that are cultivated, harvested, or processed within the state. It specifies that the tax incentives will apply to income tax years beginning after December 31, 2025, with an effective date of January 1, 2026. The legislation aims to support local agriculture and food production by providing financial relief to businesses involved in these sectors.

Statutes affected:
LC Text: 15-30-2120, 15-31-113
HB0440_1(1): 15-30-2120, 15-31-113
HB0440_1(2): 15-30-2120, 15-31-113
HB0440_1(3): 15-30-2120, 15-31-113
HB0440_1(4): 15-30-2120, 15-31-113
HB0440_1(5): 15-30-2120, 15-31-113
HB0440_1: 15-30-2120, 15-31-113
HB0440_2(1): 15-30-2120, 15-31-113
HB0440_2(2): 15-30-2120, 15-31-113
HB0440_2(3): 15-30-2120, 15-31-113
HB0440_2(4): 15-30-2120, 15-31-113
HB0440_2(5): 15-30-2120, 15-31-113
HB0440_2: 15-30-2120, 15-31-113