The State of Montana is reminding people of a new tax credit that 75,000 Montanans qualify for this year.
Passed by the 2017 Legislature, The Montana Earned Income Tax Credit is worth 3 percent of the federal Earned Income Tax Credit, and refundable.
Governor Steve Bullock and Lt. Governor Mike Cooney spoke at the Capitol on Wednesday to encourage people to take advantage of the credit.
“Word of mouth in Montana is still a great way to get this news out,” said Cooney. “One of the great things about this tax credit is it’s refundable, which means you can still receive it even if you don’t owe taxes.”
Montanans who claimed the federal tax credit last year received an average credit of around $2,100.
Bullock said tax refunds can play a big role in helping families who are trying to escape poverty.
“Montanans can claim that state and federal tax credit to pay for essentials such as groceries, gas and housing,” said Bullock. “Or it could help families get caught up on a utility bill or pay for maintenance on their vehicle they rely on to get to their job each day or to get their kids to school. We know people who claim this credit, it’s not like they’re spending it on luxuries. Instead they have real dollars to invest in their communities and support local economies.”
People can find out if they’re eligible for the credit by visiting the Montana Department of Revenue’s website.
As of Feb. 12, nearly 20,000 Montanans have already filed for the credit.
Revenue also strongly encourages people to file their taxes electronically this year. Because of efforts to protect Montanans from fraud, filers should allow 90 days to receive their refunds.