What is Montana's income tax rate for self-employed workers in 2026?

Two brackets: 4.7% on lower taxable income and 5.65% above roughly $21,100 for single filers. Most full-time gig workers pay an effective Montana rate around 3.5% to 4.8%.

Do Billings or Missoula have a city income tax?

No. No Montana city levies an income tax. Resort-town taxes are sales taxes, not income taxes.

When are Montana estimated taxes due?

Form ESW payments are due April 15, June 15, September 15, 2026 and January 15, 2027 if you expect to owe $500 or more.

Does Montana use my federal deductions?

Yes. Montana now starts from federal taxable income, so the federal standard deduction and your Schedule C expenses carry over automatically.

How much should a Montana gig worker set aside?

About 25% to 30% of net profit covers the 15.3% SE tax, federal income tax and Montana's state tax.

Montana Self-Employed Tax Calculator

Federal income tax + 15.3% self-employment tax + Montana state tax (4.7% / 5.65% two brackets) on 2026 1099 income.

Montana went to two brackets and now borrows your federal taxable income as its starting point. Montana taxes self-employment profit through just two brackets for 2026: 4.7% on lower income and 5.65% above roughly $21,100 (single), after the 2025 rate cut. Montana's taxable income now starts from federal taxable income, and no Montana city levies an income tax.

Self-employed income & expenses

Estimate federal + SE + state tax for the 2026 tax year in one pass.

Annual 1099 income

Business miles driven

Other business expenses

Self-employed health insurance

Retirement contributions (SEP / Solo 401k)

W-2 income (if any)

Federal tax withheld

Filing status

State

Estimated total tax bill

$12,610

Refund / owed

-$12,610

Effective rate

21.0%

Detailed breakdown

Mileage deduction$6,080

Total business expenses$8,580

Net self-employment income$51,420

Self-employment tax (15.3%)$7,265

½ SE deduction (above-the-line)$3,633

Adjusted gross income$47,787

Taxable income$31,687

Federal income tax$3,554

State tax (est.)$1,790

Quarterly estimated payment$2,961

Marginal rate17.6%

Montana city tax rates for self-employed workers (2026)

Montana taxes self-employment profit through just two brackets for 2026: 4.7% on lower income and 5.65% above roughly $21,100 (single), after the 2025 rate cut. Montana's taxable income now starts from federal taxable income, and no Montana city levies an income tax.

Local and state tax rates for self-employed residents of major Montana cities in 2026
City	Local rate	State rate	What gig workers should know
Billings	No city income tax	Up to 5.65%	Largest city; state return only.
Missoula	No city income tax	Up to 5.65%	No local income levy; resort-tax towns tax sales, not income.
Bozeman	No city income tax	Up to 5.65%	State-only income filing.
Great Falls	No city income tax	Up to 5.65%	State-only income filing.
Helena	No city income tax	Up to 5.65%	State-only income filing.

Montana local and state filing deadlines

Q1 Form ESWApril 15, 2026
Montana requires estimates if you expect to owe $500 or more after withholding.
Q2 Form ESWJune 15, 2026
Second installment.
Q3 Form ESWSeptember 15, 2026
Third installment.
Q4 Form ESWJanuary 15, 2027
Final installment for 2026.
Montana Form 2 returnApril 15, 2027
Resident return; starts from federal taxable income.
Q1 federal 1040-ESApril 15, 2026
Covers income earned January 1 – March 31.
Q2 federal 1040-ESJune 15, 2026
Covers April 1 – May 31.
Q3 federal 1040-ESSeptember 15, 2026
Covers June 1 – August 31.
Q4 federal 1040-ESJanuary 15, 2027
Covers September 1 – December 31.

Since 2024 Montana starts from federal taxable income, so the standard deduction, mileage and other Schedule C expenses flow straight through to your state number.
Only two brackets apply for 2026 — 4.7% and 5.65% — so most full-time gig workers have some profit taxed at the top rate.
Resort taxes in Whitefish, Big Sky and West Yellowstone are sales taxes on visitors; they never appear on your income tax return.

See every Montana tax form you need to file — annual, quarterly, and local →

Frequently asked questions

What is Montana's income tax rate for self-employed workers in 2026?: Two brackets: 4.7% on lower taxable income and 5.65% above roughly $21,100 for single filers. Most full-time gig workers pay an effective Montana rate around 3.5% to 4.8%.
Do Billings or Missoula have a city income tax?: No. No Montana city levies an income tax. Resort-town taxes are sales taxes, not income taxes.
When are Montana estimated taxes due?: Form ESW payments are due April 15, June 15, September 15, 2026 and January 15, 2027 if you expect to owe $500 or more.
Does Montana use my federal deductions?: Yes. Montana now starts from federal taxable income, so the federal standard deduction and your Schedule C expenses carry over automatically.
How much should a Montana gig worker set aside?: About 25% to 30% of net profit covers the 15.3% SE tax, federal income tax and Montana's state tax.