Montana · Jobs · MT-JOBS-001
Jobs Growth Incentive Tax Credit
Publication revised September 24, 2026. Sourcebook page 171.
Credit amount / calculation
50% of employer-paid Social Security and Medicare taxes for qualifying new employees; certification required; 10-year carryforward.
Business fit and eligible activity
Employers creating qualifying jobs can receive a credit based on employer payroll taxes through tax year 2028. Hiring, wages or qualifying training; where the program also requires investment, satisfy both tests.
Eligibility and practical use
This is a hiring credit, not an equipment credit. It becomes interesting only when the planned headcount clears the program threshold and the new jobs satisfy wage, hours, location, and retention rules. A logging contractor should confirm that its industry or work location is within the eligible class before counting the jobs. Hiring before the required certification or reservation can jeopardize the credit.
Illustrative business benefit
Assume eight qualifying new employees generate $30,600 in accepted employer Social Security and Medicare taxes. At 50%, the credit is $15,300 before tax-liability restrictions. Certification, wages and employee eligibility still control.
Timing / first action
Check application or certification requirements before incurring the qualifying expense or beginning the qualifying activity.
Official sources
- Montana Department of Revenue — Jobs Growth Incentive Credit (revenue.mt.gov)
Related programs
Apprenticeship Tax Credit
$750 per apprentice and $1
Registered apprentices can create modest credits for forest-products employers.
Historic Property Preservation Credit
25% of the federal rehabilitation credit attributable to
A qualifying historic industrial rehabilitation can generate a state credit.
Recycling Tax Credit
25% of the first $250
Potentially relevant to qualifying recycling equipment/property used by a wood-products business.
Clean Electricity Investment Credit (Internal Revenue Code §48E)
Generally
Potentially relevant when a forest-products facility owns qualifying zero-emission generation or energy-storage property.
Clean Electricity Production Credit (Internal Revenue Code §45Y)
Production-based
Alternative to the investment credit for owners/operators of qualifying clean-electricity facilities; potentially relevant to qualifying on-site generation.
Credit for Increasing Research Activities (Internal Revenue Code §41)
Regular research-credit method
A sawmill, secondary manufacturer or biomass business can qualify when it performs genuine technological experimentation to improve a product or process.