Montana Business Compliance Checklist

Montana is one of only 5 states with no sales tax and one of only 4 without at-will employment as the default. This page covers everything from filing fees to sales tax to hiring laws.

LLC Filing

$35

Annual Report

$20

Every year

Sales Tax

None

Franchise Tax

No

1. Entity Formation

LLC filing fee (Articles of Organization)$35
Corp filing fee (Articles of Incorporation)$70
Registered agent requiredYes — must have a physical address in the state
Publication requirementNo
Processing time~7 business days (expedited available for extra fee)

2. Annual Maintenance

Annual/periodic reportEvery year — fee $20
Franchise taxNone

3. Sales Tax

Montana has no state sales tax. You still need to check for local option taxes and any use-tax obligations.

Need to check nexus across multiple states? Use our Sales Tax Nexus Checker.

4. Employer Requirements

Minimum wage$10.55/hr (2025)
Paid sick leave lawNone (federal only)
Non-compete enforceabilityRestricted — enforceable only with narrow scope + duration
Contractor classification testCommon-law (IRS) test

Full employment law breakdown: Montana Hiring Laws.

5. Workers' Compensation

Montana allows private-market workers' comp insurance (competitive market). Coverage is required starting with your first employee.

Estimate your premium with our Workers' Comp Calculator.

6. State Income Tax

Progressive brackets — top marginal rate is 5.9%.

Compliance by Business Structure

Pick your structure to see structure-specific compliance items.

What Makes Montana Distinctive

Compliance quirks and rules that separate Montana from other states — worth understanding before you file.

  • Montana charges only $35 for LLC formation — one of the cheapest in the U.S.
  • Montana's annual report is $20.
  • Montana's Secretary of State online portal (sosmt.gov) is efficient for entity filings.

This is a reference, not legal advice.

State fees and rules change. Verify current values with the Montana Secretary of State, Department of Revenue, and Department of Labor before filing. For complex situations, consult a licensed CPA or attorney.