Summit Aeronautics, located in Helena, recently hosted a press conference in support of HB529, Representative Lake's attempt to reduce the business equipment tax .  HB529 has been closely followed by the Chamber at their Montana Main Street blog.

H.B. 529, by Rep. Bob Lake, R-Hamilton, would exempt a business’s first $100,000 in equipment from the tax (versus a $20,000 threshold now, which is all taxable if the value of the equipment is above that level) and lower the rate from 3 percent to 2 percent.

Lake said businesses in Washington, Wyoming, North Dakota and South Dakota all pay no tax on their equipment, while in Idaho the rate is 1.75 percent.

“All of these states have an advantage on the state of Montana” when it comes to luring and retaining business, Lake said.

In the conference, Hoffman said Summit paid $200,000 in business equipment tax last year, and the anticipated addition of several more multi-million dollar milling machines would drive that figure significantly higher in the future.

HB529 is one of the major policy bills remaining during these final weeks of the session.  It deserves serious consideration.   On a side note, congratulations to Summit and the growing aeronautics sector, including Avmax, Cable Technologies, Sonju and the many other private companies calling Montana home.