Nonprofits must reapply for tax exemptions

The Montana Department of Revenue is alerting nonprofit organizations and other tax-exempt property owners that they need to reapply for property tax exemptions by March 1, 2016.

A new state law requires owners of more than 10,000 tax-exempt properties in exempt status before 2014 to submit applications to retain their status.

The requirement includes property owned by most nonprofit organizations, private schools and colleges, churches, parsonages, low-income housing, veterans’ clubhouses, community service and fraternal organizations, cemeteries and land leased from a railroad by a nonprofit organization.

The department is mailing letters and applications this week to organizations with tax-exempt properties in the state system.

“It’s also important to get the word out to property owners who may qualify for tax exemption and may not be in our database,” Cynthia Monteau Moore, the department’s property assessment division administrator, said in a news release.

The application fee is $15 for vacant land parcels or $25 for land parcels with structures. Nonprofits with gross receipts less than $5,000 don’t have to pay a fee.

Organizations must submit an application and fee for each parcel the organization owns, but only one set of supporting documentation, including IRS Form 990, to confirm total gross receipts.

The application will list the other documentation required for specific exemptions, including a legal description of the property. For help finding the legal description, visit “My property” under “Property assessment” at revenue.mt.gov.

The application, Form AB-30R, can also be downloaded from the department’s website.

Applicants can mail the application, required documentation and application fee to: Montana Department of Revenue, PO Box 8018, Helena, MT 59624-8018.

For more information, call (866) 859-2254 or (406) 444-6900.