Live in Idaho, work in Montana
Without wage reciprocity, the work state may tax wages earned there. Your home state generally offers a limited credit for eligible tax paid on the same income. Filing requirements, credit limits and local taxes need a separate check.
Official tax guidance for both states
Check withholding, filing requirements and current forms with each state's tax agency.
Agency directory checked 2026-10-01 against the IRS state-government directory. This verifies the agency links, not an individual tax result. Use forms for the year you are filing.
Before you use this estimate
This model assumes a full-year resident of Idaho, ordinary employee wages and all workdays physically in Montana. Check exemption eligibility before treating a work-state amount of $0 as your own result. Withholding is a prepayment, not final tax liability. Other income, a move during the year, remote work and separate local taxes or credits can change the result.
State income tax: $4,289 a year
Modeled annual state income tax for living in Idaho and working in Montana: about $4,289 on $100,000 of wages, $97 more than if you worked in Idaho.
- Idaho's zero-rate band uses the published 2025 annual-schedule fallback; confirm the final 2026 annual schedule.
Without wage reciprocity, the work state may tax wages earned there. Your home state generally offers a limited credit for eligible tax paid on the same income. Filing requirements, credit limits and local taxes need a separate check.
Tax guide and official sources: live in Idaho, work in Montana
Official agency starting points: Idaho tax agency (opens in new tab) · Montana tax agency (opens in new tab). These directory links identify the selected states' agencies, not your filing obligations. Check their individual-tax guidance and forms for the year you are filing.
This is the usual filing pattern, not a determination that you must file. Filing thresholds, age or dependent status, other income and withholding refunds can change which returns you need.
How this $100,000 estimate adds up
These steps follow the selected home, work state, salary and filing status. They reconcile the model's annual liability, not the amounts withheld from your paycheck.
| Step | Montana work state | Idaho home state |
|---|---|---|
| Tax before the modeled other-state credit | $4,289 | $4,192 |
| Modeled other-state credit subtracted | $0 | $4,192 |
| Tax after that credit | $4,289 | $0 |
Total: $4,289 + $0 = $4,289 a year. Amounts are rounded for display. Work-state wage exemptions, when applicable, are already reflected in the first row; they are not an other-state credit.
The modeled credit is applied in Idaho, the home state. Actual eligibility and credit limits require the state instructions. Included county components stay in these amounts; excluded local taxes and credits stay excluded. Federal income tax, payroll programs and refund eligibility are outside this reconciliation.
State tax at different salaries
| Wages | To MT | To ID | Modeled total | If you worked in ID |
|---|---|---|---|---|
| $50,000 | $1,593 | $0 | $1,593 | $1,542 |
| $75,000 | $2,877 | $0 | $2,877 | $2,867 |
| $100,000 | $4,289 | $0 | $4,289 | $4,192 |
| $150,000 | $7,114 | $0 | $7,114 | $6,842 |
| $250,000 | $12,764 | $0 | $12,764 | $12,142 |
Single filer, all wages earned in Montana, 2026 state tax rules, standard deductions. Local income taxes not included.
What to do
- Ask your employer to withhold Montana tax. If Idaho's tax is higher, withhold the difference for Idaho too (or make estimated payments) to avoid an underpayment penalty.
- File the Montana nonresident return first, then claim the credit for taxes paid to another state on your Idaho resident return.
- Keep a record of the days you work in each state, especially if you sometimes work from home.
Frequently asked questions
Do I pay Montana income tax if I live in Idaho?
Yes. Montana taxes wages earned there by nonresidents. On $100,000 that's about $4,289.
Do I have to file taxes in both Idaho and Montana?
Usually yes: a nonresident return in Montana and a resident return in Idaho, where you claim a credit for the tax paid to Montana. File the Montana return first.
Will I be taxed twice?
The modeled state credit reduces overlap on eligible wages; separate local taxes or sourcing differences can still leave additional tax. Idaho credits the tax you pay Montana, so your total is about $4,289 on $100,000, compared with $4,192 if you also worked in Idaho. Local city or county taxes may still apply.
Related
- Live in Montana, work in Idaho
- Moving from Idaho to Montana
- Moving from Montana to Idaho
- Live in Idaho, work in Nevada
- Live in Idaho, work in Oregon
- Live in Idaho, work in Utah
- Live in Idaho, work in Washington
- Live in Idaho, work in Wyoming
Rules reviewed 2026-09-24 from state revenue departments and the Tax Foundation. Estimates only; confirm with each state's revenue department.