Administrative Rules of Montana
Department 42 - REVENUE
Chapter 42.9 - PASS-THROUGH ENTITIES
Subchapter 42.9.1 - General
Rule 42.9.109 - PARTNERS, SHAREHOLDERS, MANAGERS, AND MEMBERS WHO ARE TAX-EXEMPT ENTITIES
Current through Register Vol. 6, March 22, 2024
(1) A pass-through entity is required to withhold tax on behalf of a partner, shareholder, manager, or member even if the partner, shareholder, manager, or member is not organized and operated for profit or is a stock bonus, pension, profit-sharing, or individual retirement plan. A partner, shareholder, manager, or member seeking the benefits of exemption from Montana filing and tax requirements must comply with all statutory requirements authorizing the classification claimed.
(2) In order to establish exemption status and thus be relieved of the duty of filing returns and paying tax based upon income received from a pass-through entity, each partner, shareholder, manager, or member claiming exemption must file an affidavit with the department showing:
(3) Incorporated not-for-profit entities must file the affidavit required in (2) and include:
(4) Other unincorporated stock bonus, pension, profit-sharing, or individual retirement plans must file the affidavit required in (2) and include:
(5) In addition, if the IRS has granted the partner, shareholder, manager, or member exemption from the federal income tax, a certified copy of the exemption certificate or letter must also be filed.
AUTH: 15-30-2620, 15-31-501, MCA; IMP: 15-30-3313, 15-30-2151, 15-31-101, 15-31-102, MCA