The bill amends Section 15-30-2503 of the Montana Code Annotated to provide that certain volunteer officers of small nonprofit corporations are exempt from individual liability for the corporation's failure to withhold taxes and file required statements. This exemption is limited to a period of 12 months and does not apply if the officer or director receives monetary compensation for their services, if the nonprofit is out of compliance for more than 12 months with unpaid taxes, penalties, and interest, or if the officer or director is involved in fraudulent activities.

Additionally, the bill defines "small nonprofit corporation" as a nonprofit that does not employ more than 10 paid employees at any time during the calendar year. The new legal language inserted into the current law clarifies the conditions under which the exemption from individual liability applies and establishes a clear definition for small nonprofit corporations.

Statutes affected:
LC Text: 15-30-2503
HB0665_1(1): 15-30-2503
HB0665_1(2): 15-30-2503
HB0665_1(3): 15-30-2503
HB0665_1(4): 15-30-2503
HB0665_1(5): 15-30-2503
HB0665_1: 15-30-2503
HB0665_2(1): 15-30-2503
HB0665_2(10): 15-30-2503
HB0665_2(11): 15-30-2503
HB0665_2(2): 15-30-2503
HB0665_2(3): 15-30-2503
HB0665_2(4): 15-30-2503
HB0665_2(5): 15-30-2503
HB0665_2(6): 15-30-2503
HB0665_2(7): 15-30-2503
HB0665_2(8): 15-30-2503
HB0665_2(9): 15-30-2503
HB0665_2: 15-30-2503
HB0665_X(1): 15-30-2503
HB0665_X(10): 15-30-2503
HB0665_X(2): 15-30-2503
HB0665_X(3): 15-30-2503
HB0665_X(4): 15-30-2503
HB0665_X(5): 15-30-2503
HB0665_X(6): 15-30-2503
HB0665_X(7): 15-30-2503
HB0665_X(8): 15-30-2503
HB0665_X(9): 15-30-2503
HB0665_X: 15-30-2503