Montana Property Tax Policy Dashboard

TY 2026 Β· 388,972 Records
Step 1 of 8

πŸ§ͺ What-If Policy Simulator Adjust controls on the left β†’ see real-time results on the right

βš™οΈ Scenario Controls

πŸ’° Tax Rate & Structure i
Sales Tax Rate i4.0%
0%4% Cap9.4% BE12%
Property Tax Retained i0%
0% Full Replace50% Hybrid100% No Change
πŸ›‘οΈ Standard Exemptions i
Grocery/Food iNo
Medicine/Rx iNo
Clothing iNo
Services iNo
✏️ Custom Carve-Outs & Exceptions i
🀝 Low-Income Protection i
Low-Income Rebate i$0
$0$1,500$3,000
πŸ“‰ Economic Conditions i
Economy iNormal
PandemicRecessionNormalGrowthBoom
Border Leakage i0%
βˆ’30% flee0%+5%
🏫 Funding Mandates i
K-12 Schools Floor iOff
County Services iOff

πŸ“Š Revenue Sources i

πŸ“‰ Revenue Gap Waterfall i

βš–οΈ Tax Burden by Income i

πŸ”οΈ Top 5 County Impact i

πŸ“ˆ Revenue Sensitivity i

🏫 Spending Allocation i

$1,288,192,434
Annual Revenue Gap at 4% Cap β€” 57.5% unfunded Β· Break-even 9.4%
Assessed Value i
$224.0B
388,972 properties
Prop Tax Rev i
$2.24B
Sales Tax (4%) i
$952M
57.5% short
Break-Even i
9.40%
OOS Props i
31,363
8.1% ct Β· 18.1% val
OOS at Risk i
$40.6B
OOS Premium i
2.52Γ—
P(Success) i
0.000136%

πŸ›οΈ Seven Pillars of Failure

#FindingKey Data
1Constitutional Gap4%: $952M of $2.24B β€” 57.5% unfunded
2OOS Base Vanishes$40.6B untaxable; $435M/yr lost
3ConcentrationTop 1%=15.1%; 49.7% OOS
4Regressive ShiftLow: 8-10%; High: 3-4%
5GeographicMadison: 80% OOS, 9.43Γ—
6Property Types18.8% condos OOS; Powell TH 91.6%
7No Scenario4%: $1.29B gap; 9.4%: highest in USA

πŸ‘₯ Burden Shift at 6%

StakeholderProperty TaxSales Tax (6%)Impact
31,363 OOS Owners$405.9M/yr$0ESCAPE
357,609 IS Owners$1.83B$1.43B + gapBURDENED
Low-Income (<$30K)Lower8-10% effREGRESSIVE
Per Householdβ€”+$1,889/yrOOS=$0
56/56
CountyParcelsOOS#OOS%Total ValOOS ValOOS%ValOOS AvgIS AvgPremRisk
Top 10% i
37.7%
$84.4B Β· OOS=36.8%
Top 1% i
15.1%
$33.9B Β· 49.7% OOS
Bottom 50% i
20.7%
Largest Prop i
$127.7M
Gallatin Β· OOS

πŸ‘‘ Top 1% OOS Dominance

CountyTop1%Share%OOSLargest
STATE3,89015.1%49.7%$127.7M
Madison5216.0%96.2%$93.7M
Powell2411.2%87.5%$7.5M
Gallatin34510.6%47.2%$127.7M
Flathead4559.2%49.9%$62.4M
OOS: Bottom Q i
5.6%
OOS: $3M-$10M i
36.4%
OOS: $10M+ i
55.0%
9.8Γ— gradient
IQR Ratio i
2.04Γ—

πŸ“Š Value Tier OOS Penetration

TierOOS#IS#OOS%OOS Avg
<$250K5,42091,5805.6%$148K
$250K-$500K9,840115,1607.9%$375K
$500K-$1M7,90092,1007.9%$720K
$1M-$3M5,20029,80014.9%$1.85M
$3M-$10M2,1503,75036.4%$5.2M
$10M+85369755.0%$18.5M

🌎 Top Origin States i

StatePropsValueAvg
California6,424$7.95B$1.24M
Texas2,161$3.53B$1.63M
Florida1,422$3.22B$2.27M
Washington3,488$3.11B$892K
New York397$1.54B$3.88M
Massachusetts229$1.04B$4.52M
Top 4
$17.8B
43.9% of OOS
Wealth Corridor
$4.4B
NY+IL+MA+GA Β· $2.94M avg

πŸ“„ "Dead on Arrival" β€” Key Findings

1. Constitutional Arithmetic

MT Constitution caps sales tax at 4%. At 4%: $952M. Need: $2.24B. Gap: $1.288B (57.5%). Full replacement: 9.4% β€” highest in America. Amending requires 2/3 legislature + voter majority. Voters rejected 70-75% (1971, 1993).

2. The $40.6B OOS Problem

31,363 OOS owners: $40.6B (18.1%). Avg $1.29M vs $510K IS (2.52Γ—). ~$405.9M/yr property tax β†’ $0 under sales tax. Per property: $13,864β†’$4,974 (βˆ’$8,890/yr).

3. Revenue Concentration

Top 10% = 37.7%. Top 1% = 15.1%. 49.7% of top 1% is OOS. Largest property: $127.7M (Gallatin, OOS). 9/10 largest counties: OOS holds #1 property.

4. Madison County

80% of $16.4B is OOS. Avg OOS: $8.5M vs IS $902K (9.43Γ—). 96.2% of top 1% is OOS. 3,634 IS residents can't fund county alone.

5. Regressivity Inversion

Current MT ratio: 1.3Γ— (among fairest). Sales tax states: 5-17Γ—. Under swap: low-income 8-10% effective vs high-income 3-4%. Renters (36% HHs): 100% sales tax burden, 0% property tax benefit.

6. Property Type Blind Spot

18.8% condos OOS (25.2% by value). $38.2B improved OOS (94.1% of total). Powell: 91.6% townhouses OOS. OOS pays more for LAND across all types. Vacation properties: full prop tax, zero sales tax.

7. Monte Carlo: 0.000136%

500K PERT sims, 6 gates, R 4.3.3. 1 in 735,318. Zero sims >0.1%. Python+R converge. 8 statistical tests confirm (all p<2.2e-16, Cohen's d=3.44).

8. Zero Precedent

0/50 states ever replaced property tax with sales tax. MT: 0 for 8 over 58 years (1967-2025). Mathematical impossibility.

πŸ“Š Probability Models

ModelMethodResult
BayesianBeta(1,9)P(ΞΈ>10%)=38.74%
Monte Carlo PERT500K sims, 6 gates0.000136%
SensitivityTornadoMost: bipartisan 2/3
VoterBeta(136001,364001)P(Yes>50%)<10⁻²⁰
Revenue Bootstrap100K iterationsP(gap>$0)=100%

πŸŽ“ Interactive Tutorial

Learn how to use the What-If Simulator to test any policy proposal. Click below to start the guided walkthrough, or read the quick reference.

πŸ“‹ Quick Reference

πŸ’° Rate & Structure

Sales Tax Rate: Drag 0-12%. Red zone (>4%) = unconstitutional.
Property Tax Retained: 0%=full replacement, 50%=hybrid, 100%=no change. The key insight: even partial replacement loses OOS revenue proportionally.

πŸ›‘οΈ Exemptions

Standard: Toggle groceries (-18%), medicine (-4%), clothing (-8%), services (-12%).
Custom: Click "+ Add Custom Exemption" to model anything: farm equipment, utilities, vehicles, school supplies. Name it, set the % of base it removes.

πŸ“‰ Economy

Economy: Pandemic=-30%, Recession=-15%, Boom=+15%. Sales tax is pro-cyclical β€” revenue crashes in bad times. Property tax is stable.
Border Leakage: Shoppers flee to ID/WY. -10% to -30% realistic for border counties.

🏫 Mandates & Charts

K-12 Floor: Guarantees $1.34B for schools β€” exposes how much your scenario falls short.
Charts: 6 live charts update instantly. Donut=revenue sources. Waterfall=gap math. Burden=regressivity. Counties=vulnerability.

πŸ”¬ Try These Scenarios

ScenarioSettingsWhat You'll See
Default (4% cap)Rate 4%, 0% retained$1.29B gap, $2,996/HH, 57.5% unfunded
Kitchen Sink6% + all exemptionsGap GROWS β€” exemptions reduce base by 42%
Hybrid 50/504% rate, 50% retainedGap shrinks but still $650M+ short
Pandemic + Sales Tax4%, economy=PandemicRevenue drops 30% β€” catastrophic for schools
Maximum Effort12% rate, 0% retained, no exemptionsFinally closes gap β€” but rate is 3Γ— cap, unconstitutional, and highest in world
The Real QuestionAny rate, 100% retainedNo change needed. Current system works.