ks38
Returning Member

Business & farm

I appreciate the reply. I have one other clarification regarding Montana source income, and this is where I've been stuck. It reads to me that MT taxes all income earned by residents, regardless of whether it is earned in MT. Here is where I'm reading this:

"Resident inviduals, estates, and trusts are taxed on their world-wide income. Therefore, they include a pass-through entities entire income as Montana source income."

https://mtrevenue.gov/taxes/pass-through-entities/montana-source-income/

 

I was under the impression that an LLC is considered a pass-through entity. Am I misunderstanding that?

 

IF this is the case, and MT taxes all income earned by residents, then I would exclude the months of earnings before we became MT residents. In this case, I would also apply the credit for taxes paid to ID.

 

Please let me know if I'm way off-base. I'm hopeful that I'm reading this all wrong, because that would certainly work in our favor! Thanks again for your help.