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Montana · How-To Guide

How do I get a business license?

Montana Secretary of State (entity formation) / Montana Department of Revenue (tax registration) / Local jurisdiction for local licenses
Step by Step

How to do it

  1. Determine your business structure: sole proprietor, LLC, corporation, partnership
  2. Register your business entity with the Montana Secretary of State (for LLCs and corporations) - file online at app.mt.gov/bes (Montana Business Entity Search and filing portal) or biz.mt.gov; Montana offers online filing
  3. Obtain an EIN (Employer Identification Number) from the IRS at irs.gov if forming an entity, hiring employees, or operating as a partnership
  4. Register with the Montana Department of Revenue for applicable state taxes through the TransAction Portal (TAP) at tap.dor.mt.gov:
  5. - Montana does NOT have a general sales tax - no sales tax registration needed for most businesses
  6. - Withholding Tax registration (if you have employees)
  7. - Other applicable Montana taxes (lodging/rental taxes in some areas)
  8. Apply for any local business licenses - Montana cities and counties independently decide licensing requirements; many cities require a local business license or occupation license; contact your city/town
  9. Check for industry-specific state licenses: contractors (Montana Department of Labor and Industry - dli.mt.gov for plumbers, electricians, HVAC, etc.); health professionals, real estate, cosmetologists through the Montana Department of Labor and Industry; general contractors may need to register at dli.mt.gov/bsd
  10. Renew entity annual report with Secretary of State; renew local licenses per city schedule; renew professional licenses per DLI board schedule
Details

What you need to know

Required Docs
  • Business name and type of activity
  • Montana business address and registered agent
  • Entity formation documents if LLC or corporation
  • EIN or Social Security number
  • Industry-specific certifications if applicable
Fee
LLC formation: $70 online (mid-range); corporation: $70 online; annual report: $15 (LLC and corporation - very affordable); most businesses: NO sales tax registration needed; local license: varies by city RENEWAL: Entity annual report due April 15 each year; failure to file results in administrative dissolution; local license: annual per city ONLINE OPTION: Yes - biz.mt.gov or app.mt.gov/bes (entity formation and annual reports); tap.dor.mt.gov (tax registration); dli.mt.gov (professional licensing) WHERE TO GO: Montana Secretary of State (entity formation); Montana DOR (tax - limited for most businesses); City/County (local license); DLI (professional/trade licenses)
Online Option
Yes - biz.mt.gov or app.mt.gov/bes (entity formation and annual reports); tap.dor.mt.gov (tax registration); dli.mt.gov (professional licensing)
Where to Go
Montana Secretary of State (entity formation); Montana DOR (tax - limited for most businesses); City/County (local license); DLI (professional/trade licenses)
County-specific variations apply

Montana cities independently administer local business licenses. Billings (Yellowstone County), Great Falls (Cascade County), Missoula (Missoula County), Bozeman (Gallatin County), and Helena (Lewis & Clark County) each have their own licensing requirements. Tourism-heavy cities (Whitefish, Bozeman, Missoula) may have additional requirements for vacation rentals and lodging. Rural Montana areas may have minimal local licensing requirements.

Montana Notes

Important state-specific details

  • Montana has NO STATE SALES TAX - simplifies business significantly; no sales tax license needed for most businesses; however, some local resort taxes apply in tourist areas (Whitefish, Big Sky, etc.)
  • LLC formation: $70 - reasonable; annual report $15 - very low.
  • Annual report due April 15 - same as income tax deadline.
  • Montana DLI (Department of Labor and Industry): licenses electricians, plumbers, HVAC contractors, general contractors (contractor registration), health professionals, real estate agents, cosmetologists, and many others - dli.mt.gov.
  • RESORT TAXES: Some Montana cities/resort areas (Whitefish, Big Sky, Red Lodge, Ennis) impose local sales-type taxes on retail sales, lodging, and food - check with your specific municipality.
  • Montana income tax: graduated for individuals (up to 6.75%); flat C-corporation rate (6.75%).
Official Source

State office contact

State Office
Montana Secretary of State, Business Services - sos.mt.gov or biz.mt.gov | (406) 444-3665; Montana DOR - revenue.mt.gov | (406) 444-6900; Montana DLI - dli.mt.gov | (406) 444-6543