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    How to Calculate 2018 Montana State Income Tax by Using State Income Tax Table

    1. Find your income exemptions

    2. Find your pretax deductions, including 401K, flexible account contributions ...

    3. Find your gross income

    4. Check the 2018 Montana state tax rate and the rules to calculate state income tax

    5. Calculate your state income tax step by step

    6. If you want to simplify payroll tax calculations, you can downloadezPaycheck payroll software, which can calculate federal tax, state tax, Medicare tax, Social Security Tax and other taxes for you automatically. You can try it free for 30 days, with no obligation and no credt card needed.

    Learn more about the computer icon in house payroll tax solution for Montana small businesses here.
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    Montana State Tax Tables


    Tax rate used in calculating Montana state tax for year 2018

    State Abbreviation:

    MT

    State Tax Withholding State Code:

    30

    Acceptable Exemption Form:

    W-4

    Basis For Withholding:

    State Exemptions

    Acceptable Exemption Data:

    S, M / Number of Exemptions

    TSP Deferred:

    Yes

    Special Coding:

    None

    Additional Information:

    None




    Withholding Formula (Montana Effective 2018)

    1. Subtract the nontaxable biweekly Thrift Savings Plan contribution from the gross biweekly wages.

    2. Subtract the nontaxable biweekly Federal Health Benefits Plan payment(s) (includes flexible spending account - health care and dependent care deductions) from the amount computed in step 1.

    3. Add the taxable biweekly fringe benefits (taxable life insurance, etc.) to the amount computed in step 2 to obtain the adjusted gross biweekly wages.

    4. Multiply the adjusted gross biweekly wages by 26 to obtain the annual wages.

    5. Determine the exemption allowance by applying the following guideline and subtracting this amount from the result of step 4 to compute the taxable income.

      Exemption Allowance = $1,900 x Number of Exemptions

    6. Apply the taxable income computed in step 5 to the following table to determine the annual Montana tax withholding.

    7. Tax Withholding Table

      If the Amount of
      Taxable Income Is:

      The Amount of Montana
      Tax Withholding Should Be:


      Over:

      But Not
      Over:

      Of Excess
      Over:

      $           0
      $   7,000
      $       0
      plus
      1.8%
      $         0
            7,000
         15,000
           126
      plus
      4.4%
          7,000
           15,000
       120,000
           478
      plus
      6.0%
        15,000
         120,000
        and over
        6,778
      plus
      6.6%
       120,000

    8. Divide the annual Montana tax withholding by 26 and round to the nearest dollar to obtain the biweekly Montana tax withholding.

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