Senate passes property tax rebate as ‘Plan C’

Sixty-two days into the 2025 Montana Legislature, no bills aimed at offering property tax relief for Montanans have made it to the governor’s desk, despite his stated goal of signing one before the end of February. 

Competing bills introduced by Republican and Democrat legislators have swirled through both chambers, but lawmakers have had difficulty reaching a compromise or consensus on how best to deliver tax relief to Montanans, many who have seen significant increases in property values, and their tax bills, in recent years — a trend that is expected to continue unless the Legislature acts.

But on Monday, the Senate voted unanimously for a Sen. Wylie Galt’s “Plan C” bill, to deliver $400 rebates to primary property owners across the state, similar to rebates that went out in 2023.

“We’re getting close at the end of the session. We haven’t had any property tax across the finish line yet, so this is a backup plan,” said Galt, R-Martinsdale, on the Senate floor. “If nothing else comes, we at least have something that we can give out to the people of Montana until we keep trying to figure out the long term sustainable property tax cuts.”

Senate Bill 434  would allow homeowners to collect a one-time rebate of “$400 or the amount of total property taxes paid, whichever is less,” on a property they lived in for at least seven consecutive months in 2024. Eligible homeowners would be able to submit their claims between August 15 and Oct. 1 of 2025.

“Montanans have faced ever-increasing property taxes, and my bill will provide needed relief in the form of rebates as permanent, comprehensive solutions are discussed,” Galt said in a statement after the vote.

SB 434 will have a hearing before the Senate Finance and Claims Committee before receiving a final vote in the Senate, and moving on to the lower chamber.