Need help with Montana

[nwtaxlady]

My clients moved to Montana last April 1st. Can they deduct the car registration fees? If so, is it the whole amount or what?

2nd question, my program says that they may qualify for for the Montana Elderly Homeowners Credit Form 2EC what do I need to know about that? They are in their 60's. And bought a house in MT.

Thanks.

[TAXNJ]

Read

https://revenue.mt.gov/Portals/9/tax_professionals/software_vendors/2EC_Instructions.pdf

[Snaggletooth]

Mixed Response

My clients moved to Montana last April 1st. Can they deduct the car registration fees? If so, is it the whole amount or what? 2nd question, my program says that they may qualify for for the Montana Elderly Homeowners Credit Form 2EC what do I need to know about that? They are in their 60's. And bought a house in MT.
Thanks.

The car registration fees are a tax deduction on Sch A if the fee is based upon the value of the car. If not based on the value of the car, it is just another non-deductible fee.

Very few of us outside of Montana are going to know anything about Montana Elderly Homeowners Credit. If you know "Gretel" from this forum, you might ask her and send her a private message. Her practice is in Montana.

[Gretel]

Registration fees are deductibe BUT only the County tax for Federal. For MT County tax + Light Vehicle Registration Fee.

For the elderly Homeowner credit you best look at the instruction for form 2EC. In a nutshell one of them needs to be over 62 and income needs to be below, I believe, $45,000. It's a calculation between their income (all income, not just taxable income) and the taxes they pay. Another caveat is that you go by the amount billed for 2016 not paid.