Fillable Montana Form Expt - Tax-Exempt Status Request Form (Page 2 of 2) in pdf

Form EXPT Instructions

Certain Religious Organizations

When a Tax-Exempt Entity Is Required To File a Tax Return

Religious organizations that do not have an IRS exemption

In some situations, an entity who has been granted tax-

letter, or that have applied for one and have not yet received

exempt status by the department may still be required to file

it, may still qualify as tax-exempt in Montana. These entities

a corporate income tax return. If a tax-exempt entity receives

need to state this fact in their application and should include

any unrelated business taxable income, as defined by

a copy of their federal Form 990 if they file one, in addition

section 512 of the Internal Revenue Code, 26 U.S.C. 512, as

to the items required on page 1. The department will then

amended, that results in a federal unrelated business income

determine whether they qualify for tax-exempt status.

tax liability of more than $100 in a particular tax period, that

entity is required to file Form CIT, Montana Corporate Income

Homeowners Associations (HOAs)

Tax Return, for that period and pay tax on that income. Refer

While Homeowners Associations are not considered tax-

MCA 15-31-102(3)

for more information.

exempt by the IRS, they are generally considered tax-exempt

Federal Employer Identification Numbers (FEINs)

in Montana. In addition to the items required on page 1, an

HOA must submit a copy of their federal Form 1120-H with

Generally, entities who incorporate receive an identification

this application. Note that an HOA that files federal Form

number from the IRS known as a Federal Employer

1120 instead of Form 1120-H may not qualify as tax-exempt

Identification Number (FEIN). However, this is not true in

in Montana. An HOA filing Form 1120 may still submit its

all cases. Entities who are tax-exempt but have not made

tax-exempt application with its Form 1120 attached, and the

a specific election with the IRS to be tax-exempt may not

department will determine whether it qualifies. Also note that

have an FEIN (for example, certain religious organizations

Commercial Homeowners Associations do not qualify as tax-

and exempt entities with gross receipts less than $5,000).

exempt.

Employee stock ownership plans are also not always required

to have an FEIN, or they may use the FEIN of the business

Certain Unincorporated Entities (ESOP/ESOTs, IRAs,

that owns the plan. If your entity does not have an FEIN, you

Pensions and Annuities)

may leave this field blank.

Some unincorporated entities such as employee stock

Secretary of State Identification Number

ownership plans, individual retirement accounts, pensions

and annuities may also qualify as tax-exempt in Montana.

Enter the corporation’s Montana Secretary of State

These entities are required to file the following information

Identification Number. This number is referred to as the

with their application in addition to items 1 and 4 from page 1.

Certified File Number or Filing Number on all correspondence

issued by the Secretary of State’s office and begins with a

1. Documents relevant to the adoption and administration

letter followed by six or seven digits. It was originally provided

of the plan.

with the certificate of authority to do business in Montana or

2. A copy of any form the unincorporated entity is

when the corporation was incorporated in Montana. Enter

required to file with the IRS (e.g., Form 5309 or

the corporation’s Montana Secretary of State Identification

Form 5500).

number. This number is referred to as the Certified File

Number or Filing Number on all correspondence issued

Other Entities That Are Organized for “Exempt Purposes”

by the Secretary of State’s office and begins with a letter

If your entity type does not fall under any of the above

followed by six to eight digits. It was originally provided with

categories, did not file an application with the IRS to be

the certificate of authority to do business in Montana or when

considered tax-exempt, does not file an annual federal

the corporation was incorporated in Montana. Enter the

tax return but is listed in

MCA 15-31-102

as an exempt

letter, followed by the next six to eight digits of the number.

organization, you may still apply for tax-exempt status

For example, if your Certified File Number is D-123456,

in Montana. Your entity must be organized for “exempt

enter D123456 in the spaces provided. Leave any extra

purposes” as defined in section 501(c)(3) of the Internal

boxes blank. A company’s Secretary of State Identification

Revenue Code, and must provide the items required on page

Number can also be found at

sos.mt.gov

by searching for the

1 with your application. If any of these items do not apply to

business’ name under the Business Services section.

you, provide an explanation.

Requirements for a Tax-Exempt Owner of a Pass-

IRS Exemption Certificate/Letter

Through Entity

If an entity makes a specific election with the IRS to be

A partnership with a tax-exempt owner is required to withhold

considered tax-exempt, they should receive a certificate

tax for that owner even if they have been approved for tax-

or letter from the IRS confirming the election. If you have

exempt status by the department. To waive the withholding

received such a letter, attach a copy to this application.

requirement, the tax-exempt entity needs to file a Montana

Please note that this letter is not the same as the letter

Form PT-AGR, Pass-Through Entity Owner Tax Agreement.

confirming your federal Employer Identification Number (EIN/

This form can be submitted online through our

TransAction

FEIN). If you have submitted your election to be considered

or with this form. Refer to the Form PT-AGR for

Portal (TAP)

tax-exempt with the IRS but have not yet received the

more information.

exemption certificate, indicate the date your election was

submitted and provide a copy of the exemption certificate

Questions?

upon receipt.

Call us toll-free at (866) 859-2254 (in Helena, 444-6900).

Montana Form Expt - Tax-Exempt Status Request Form Page 2

Related Articles

Related forms

Related Categories