MONTANA CAPITAL GAINS TAX · TAX YEAR 2026
Montana capital gains tax calculator
Montana taxes net long-term capital gains at 3% and 4.1% instead of its ordinary 4.7% and 5.65% rates; short-term gains are ordinary income. On a $50,000 long-term gain with $75,000 of wages, a single filer owes $2,050 of Montana tax and $7,500 of federal income tax, $9,550 in all, and keeps $40,450.
Tax on your gain
- Total tax on the gain
- $9,550.00
- Federal income tax
- $7,500.00
- Net investment income tax
- $0.00
- Montana tax
- $2,050.00
- After-tax gain
- $40,450.00
- Effective rate
- 19.10%
Montana tax by size of gain
What a single filer with $75,000 of wages owes on a long-term gain, and the state tax if the same gain were short-term. Federal tax includes the net investment income tax.
| Gain | Federal tax | State tax | State tax if short-term |
|---|---|---|---|
| $10,000 | $1,500 | $410 | $565 |
| $50,000 | $7,500 | $2,050 | $2,825 |
| $100,000 | $15,000 | $4,100 | $5,650 |
| $250,000 | $42,250 | $10,250 | $14,125 |
| $1,000,000 | $208,920 | $41,000 | $56,500 |
Montana capital gains tax questions
Does Montana tax capital gains?
Yes. Montana taxes net long-term capital gains at 3% and 4.1% instead of its ordinary 4.7% and 5.65% rates; short-term gains are ordinary income.
How much Montana tax is due on a capital gain?
A single filer with $75,000 of wages owes $2,050 of Montana tax on a $50,000 long-term gain, 4.1% of the gain, and $10,250, 4.1%, on a $250,000 gain. Federal tax on the same gains is $7,500 and $42,250.
Does Montana tax short-term capital gains differently?
Yes. A $10,000 short-term gain owes $565 of Montana tax, against $410 on a long-term gain. Federal tax on it is $2,200, against $1,500.
Which Montana capital gains rate applies, 3% or 4.1%?
It depends on ordinary income. The 3% rate covers only the part of the gain that fits under the top of Montana's first income bracket after ordinary income; the rest is taxed at 4.1%. A single filer with $75,000 of wages has already filled that bracket, so a $50,000 gain owes $2,050, all at 4.1%.
What the calculator leaves out
Federal tax stacks the gain on wages after the 2026 standard deduction, taxes a long-term gain at the long-term capital gains rates and a short-term gain at the ordinary brackets, and adds the net investment income tax. The gain is the only investment income. Capital losses and carryovers, qualified dividends, the collectibles and section 1250 rates, the alternative minimum tax and credits are left out; enter a home sale's gain after any federal exclusion.