Montana Capital Gains Tax 2026: 2% credit on net capital gains.

Montana capital gains are modeled as 2% credit on net capital gains.. Use this free calculator to estimate capital gains tax in Montana, including federal rates, NIIT when applicable, and Montana's state treatment (2% credit on net capital gains.).

State treatment: 2% credit on net capital gains.·Official source ↗

Rates last verified: August 2026

Capital Gains Calculator

Federal · NIIT · All 50 states

2026 ratesIRS verified

Follow the three steps, save the sale, then calculate. Required fields are marked with *.

Your tax profile

These apply to every sale in this estimate.

Tax year

Filing status

State

Annual taxable income (before these gains)

Capital loss carried from prior years

What you sold

Prices and quantity for this lot. Give it a name if you will add more than one sale.

Asset type

Asset name

Buy price

Sell price

Quantity / units

Selling expenses

Repurchased within 30 days (wash-sale check)

When you bought and sold

The IRS uses these dates to decide short-term vs long-term rates.

Buy date

Sell date

Next: Save this sale to the order log, then click Calculate now. Tax results do not update until you calculate.

Order log

Sales included in this tax estimate.

Please fill in the details to see your results. Follow the three steps on the left, then save a sale here.

Montana capital gains tax overview

Montana capital gains tax planning starts with the federal rules, then layers on Montana's own treatment (2% credit on net capital gains.). This calculator estimates both so you can see a combined effective rate before you sell stocks, crypto, real estate, or other capital assets.

Federally, short-term gains (held one year or less) are taxed as ordinary income, while long-term gains generally use 0%, 15%, or 20% preferential rates for tax years 2025 and 2026. High earners may also owe the 3.8% Net Investment Income Tax when MAGI exceeds the IRS threshold for their filing status.

Montana uses a special capital gains rule: 2% credit on net capital gains. Our engine encodes that rule so your estimate reflects Montana-specific treatment rather than a generic flat percentage.

Montana figures in this model are drawn from the official source we cite for the state: https://mtrevenue.gov/. Confirm the current-year statute or agency page before you file — rates and special rules can change.

This model taxes capital gain at a 5.9% top rate and then subtracts a 2% credit on the gain. The illustrated state tax is gain times 0.059 minus gain times 0.02.

Montana’s 2026 withholding publication uses ordinary rates of 4.7% and 5.65%, and long-term gains at 3% and 4.1%, not a 2% credit on a 5.9% rate. This page is not stamped as verified. The table follows the engine.

Official source: https://mtrevenue.gov/.

Use the calculator above with filing status and income to stack federal long-term or short-term tax, NIIT, and Montana state tax. Compare nearby states from the links below, review our methodology for data sources (including Montana's official reference), and consult a CPA before filing. This page is educational and not tax advice.

Special Montana rule

2% credit on net capital gains.

Montana rate snapshot

Category	special
Summary	2% credit on net capital gains.
Abbreviation	MT
Top / modeled rate	5.90%

Illustrated tax on a long-term gain

Long-term stock gain while living in Montana. Federal and NIIT use the same income on every state page. The Montana column is the only state tax that changes.

Gain	Federal	NIIT	Montana	Texas state tax
$50,000.00	$7,500.00	$0.00	$1,950.00	$0.00
$100,000.00	$15,000.00	$0.00	$3,900.00	$0.00
$250,000.00	$37,500.00	$4,940.00	$9,750.00	$0.00

Single filer, tax year 2026, $80,000.00 of other taxable income. Texas is the no-tax comparison. Illustration only, not your return.

Always verify rates with theMontana revenue agencyand review ourmethodology. Not tax advice.

FAQ

Montana FAQs

What is unique about Montana capital gains tax?

2% credit on net capital gains. Summary: 2% credit on net capital gains..

Does Montana still stack on top of federal tax?

Yes. This page estimates federal tax and NIIT, then adds the Montana special-rule layer. Federal short-term and long-term capital gains tax, and the 3.8% Net Investment Income Tax when MAGI exceeds the IRS threshold, can still apply.

Where can I verify Montana rules?

See the official source we cite: https://mtrevenue.gov/. Special-rule states change more often than flat-rate states — confirm current-year thresholds before you sell.

Do Montana's special capital gains rules apply if I am a part-year resident?

Part-year and nonresident sourcing can change whether Montana's special rule (2% credit on net capital gains.) applies to a given sale. This calculator models a full-year Montana resident at the encoded rule. Thresholds, exclusions, and residency tests belong on the official Montana return.

What Montana capital-gains credit does this calculator apply?

A 2% credit against tax computed at a 5.9% top rate. That is the encoded model, not Montana’s 2026 long-term rate schedule.

Does the Montana table use the 2026 4.1% long-term rate?

No. The engine does not apply 3% and 4.1% long-term rates. It uses 5.9% minus a 2% credit, and the page says so.

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