All Roll Calls
Yes: 270 • No: 26
MontanaHB 66569th Legislature, Regular Session (2025)HouseWALLET
Preclude non-profit officers from personal liability for unpaid tax withholding
Sponsored By: Stacy Zinn (Republican)
Became Law
Taxation (Generally)Taxation--Individual IncomeCorporations/Partnerships/AssociationsLiability
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Bill Overview
Analyzed Economic Effects
3 provisions identified: 1 benefits, 1 costs, 1 mixed.
Corporate officers face personal tax liability
If you are an officer who must collect, account for, and pay withholding and you fail, you are personally liable for the tax, penalties, and interest. You can also be liable if you had the duty to file and pay or directed filings or payments and used that authority in a way that caused the company not to file or pay. A corporate bankruptcy does not erase your personal liability, even if the company’s penalties and interest are discharged. The Department of Revenue may use any information to decide which officer is responsible.
Businesses and owners liable for withholdings
Your business is the taxpayer for state payroll withholding and required annual statements. You must deduct, file, and pay those amounts and any interest. Partners, LLC members (including single‑member owners), and managers of manager‑managed LLCs are jointly and severally liable with the business while they serve. If you failed to withhold but the employee’s tax was paid, the state may not collect the unwithheld amounts from you.
Liability shield for small nonprofit volunteers
Officers and directors of a qualifying small nonprofit are generally not personally liable for unpaid payroll withholdings. The shield does not apply if the officer is paid wages or other money for services; reasonable expense reimbursements do not count as pay. It also does not apply if the nonprofit stays out of compliance for over 12 months with unpaid taxes, penalties, and interest, or if there is fraud, embezzlement, or intentional misconduct. A small nonprofit follows the state’s nonprofit definition but cannot employ more than 10 paid employees at any time in the year.
Sponsors & Cosponsors
Sponsor
Stacy Zinn
Republican • House
Cosponsors
Vince Ricci
Republican • Senate
Roll Call Votes
House vote • 4/16/2025
Do Concur
Yes: 36 • No: 14
House vote • 4/15/2025
Do Concur
Yes: 37 • No: 12
House vote • 3/7/2025
Vote
Yes: 99 • No: 0
House vote • 3/5/2025
Do Pass
Yes: 98 • No: 0
Actions Timeline
Chapter Number Assigned
5/8/2025HouseSigned by Governor
5/5/2025HouseTransmitted to Governor
4/25/2025HouseSigned by President
4/25/2025SenateSigned by Speaker
4/24/2025HouseReturned from Enrolling
4/19/2025HouseSent to Enrolling
4/16/2025House3rd Reading Concurred
4/16/2025Senate2nd Reading Concurred
4/15/2025SenateCommittee Report--Bill Concurred
4/4/2025SenateCommittee Executive Action--Bill Concurred
4/4/2025SenateHearing
3/28/2025SenateReferred to Committee
3/17/2025SenateFirst Reading
3/14/2025SenateTransmitted to Senate
3/7/2025House3rd Reading Passed
3/7/2025House2nd Reading Passed
3/5/2025HouseCommittee Report--Bill Passed as Amended
3/1/2025HouseCommittee Executive Action--Bill Passed as Amended
3/1/2025HouseHearing
2/25/2025HouseFirst Reading
2/22/2025HouseReferred to Committee
2/22/2025HouseIntroduced
2/22/2025House
Bill Text
Enrolled
4/17/2025
As Amended (Version 2)
3/1/2025
Introduced
2/22/2025