Administrative Rules of Montana
Department 42 - REVENUE
Chapter 42.19 - GENERAL PROPERTY TAX PROVISIONS
Subchapter 42.19.5 - Disabled Veterans Tax Exemption
Rule 42.19.506 - EXEMPTIONS INVOLVING A USE TEST
Current through Register Vol. 6, March 22, 2024
(1) For property tax exemptions which require a use test, the following criteria apply:
(2) The documentation shall be sufficient to demonstrate that the property is either currently in, or will be put to, the stated use within a reasonable time period.
(3) An example of the application of the use test in (1) is when 25 percent of a building was used for educational purposes in the current year and the remainder of the building was used for commercial purposes. The applicant owns the property on January 1 and applies for an exemption on March 1 of the current year. For the current year and until the use changes, the property receives a 25 percent exemption for the land and the building.
(4) If the use of a property that is exempt because it has met a prior use test changes during the year, the exemption for the property is reviewed and the exemption adjusted accordingly on January 1 of the tax year following the change in use.
(5) This rule applies to exemptions that require an application for exemption, which includes properties listed in 15-6-201, 15-6-203, and 15-6-209, MCA.
AUTH: 15-1-201, MCA; IMP: 15-6-201, 15-6-203, 15-6-209, 15-24-1208, MCA