All Roll Calls
Yes: 288 • No: 7
MontanaSB 6069th Legislature, Regular Session (2025)SenateWALLET
Revise insurance premium taxes for certain captive insurers
Sponsored By: Mark Noland (Republican)
Became Law
InsuranceTaxation (Generally)Revenue, State
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Bill Overview
Analyzed Economic Effects
2 provisions identified: 0 benefits, 0 costs, 2 mixed.
Minimums, caps, and grouping for captives
Beginning Jan 1, 2026, if total premium and reinsurance taxes are under $5,000, a captive pays a $5,000 minimum. In the first authorized year the minimum is prorated by quarter: $5,000 (Q1), $3,750 (Q2), $2,500 (Q3), or $1,250 (Q4); in a surrender year it reverses: $1,250 (Q1), $2,500 (Q2), $3,750 (Q3), or $5,000 (Q4). Most captives have a $100,000 annual cap, but not protected cell captives or special purpose captive LLCs with series. Each protected cell is taxed separately, any non‑cell risks count toward the company’s total, and in series LLCs each series is separate but the $5,000 minimum applies across all series together. Captives under common ownership are taxed as one; common control means at least 80% of voting stock (stock) or 80% of surplus and voting power (mutual).
Premium tax rules for captive insurers
Beginning Jan 1, 2026, captive insurers pay tax on direct premiums at 0.4% on the first $20 million and 0.3% above that. They can deduct return premiums, including dividends on unabsorbed premiums or premium deposits credited to policyholders. They also pay tax on assumed reinsurance premiums at 0.225% on the first $20 million, 0.150% on the next $20 million, and 0.050% after that. No reinsurance tax applies to amounts already taxed directly, or to assumptions made in exchange for assets to wind down a related insurer while keeping the business with the captive. Taxes are figured each calendar year, multiyear premiums are prorated by year, and payment is due to the Commissioner by March 1 for the prior year.
Sponsors & Cosponsors
Sponsor
Mark Noland
Republican • Senate
Cosponsors
Ed Buttrey
Republican • House
Roll Call Votes
Senate vote • 4/9/2025
Do Concur
Yes: 95 • No: 2
Senate vote • 3/25/2025
Do Concur
Yes: 98 • No: 1
Senate vote • 2/14/2025
Do Pass
Yes: 50 • No: 0
Senate vote • 2/7/2025
Do Pass
Yes: 45 • No: 4
Actions Timeline
Chapter Number Assigned
5/13/2025SenateSigned by Governor
5/8/2025SenateTransmitted to Governor
4/30/2025SenateSigned by Speaker
4/29/2025HouseSigned by President
4/21/2025SenateReturned from Enrolling
4/11/2025SenateSent to Enrolling
4/9/2025Senate3rd Reading Concurred
4/9/2025HouseCommittee Report--Bill Concurred
4/8/2025HouseCommittee Executive Action--Bill Concurred
4/8/2025HouseHearing
3/25/2025HouseRereferred to Committee
3/25/2025House2nd Reading Concurred
3/25/2025HouseCommittee Report--Bill Concurred
3/21/2025HouseCommittee Executive Action--Bill Concurred
3/21/2025HouseHearing
3/6/2025HouseFirst Reading
2/17/2025HouseReferred to Committee
2/17/2025HouseTransmitted to House
2/14/2025Senate3rd Reading Passed
2/14/2025SenateCommittee Report--Bill Passed
2/12/2025SenateCommittee Executive Action--Bill Passed
2/11/2025SenateHearing
2/7/2025SenateRereferred to Committee
2/7/2025Senate2nd Reading Passed
2/7/2025Senate
Bill Text
Enrolled
4/15/2025
Introduced
12/16/2024