_____________ bill NO. _____________

INTRODUCED BY _________________________________________________

By Request of the Revenue Interim Committee

A BILL FOR AN ACT ENTITLED: “AN ACT INCREASING THE MINIMUM CORPORATE INCOME TAX; AMENDING SECTION 15-31-121, MCA; and PROVIDING AN APPLICABILITY DATE.”

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MONTANA:

Section 1. Section 15-31-121, MCA, is amended to read:

"15-31-121. Rate of tax -- minimum tax -- distribution of revenue. (1) Except as provided in subsection (2), the percentage of net income to be paid under 15-31-101 is 6 3/4% of all net income for the tax period.

(2) For a taxpayer making a water's-edge election, the percentage of net income to be paid under 15-31-101 is 7% of all taxable net income for the tax period.

(3) Each corporation subject to taxation under this part shall pay a minimum tax of not less than $50 $200."

NEW SECTION. Section 2. Applicability. [This act] applies to income tax years beginning after December 31, 2021.