What is the property tax rate in Lake County?

The combined effective property tax rate in Lake County, Montana is approximately 0.74%.

Lake County Property Tax Calculator (2026) — Montana Property Tax Almanac

Property Tax in Lake County, 2026

A calculator and field guide for Polson-area homeowners — and for anyone considering a move to Lake County — including Montana's 2025 reform package HB 231 + SB 542 (graduated Class 4 homestead rates 0.76%-1.90% replacing the flat 1.35% rate, in response to the 22% statewide median value jump from the 2023 reappraisal), the 2026 Homestead Reduced Rate enrollment system (apply by Mar 20, 2026 at Homestead.MT.gov), the income-tested PTAP and Form 2EC senior credit (up to $1,150), and the FULL DAV Vet exemption (MT Code §15-6-211 — full taxable-value reduction at HHI ≤ $50,166 single / $60K joint, sliding 50%-80% at higher tiers up to $80K). Montana has NO state sales tax — one of only 5 such US states.

Lake County is part of Montana's structurally restructured property tax system, fundamentally rewritten for tax year 2026 by HB 231 + SB 542 of 2025 — the most significant changes to Montana property tax since 2009. Primary residences (owner-occupied 7+ months/year, enrolled at Homestead.MT.gov) receive a graduated Class 4 homestead rate: 0.76% on the portion up to the statewide median residential value (~$395,400), 0.9% on portion between median and 2× median, 1.10% on portion between 2× and 4× median, 1.90% above. Non-homestead second homes, short-term rentals, and non-enrolled properties pay a flat 1.90%. The Class 4 rate converts market value to TAXABLE VALUE; the combined mill levy (state K-12 95 + state university 6 + county/municipal/school local mills, typically 500-800 total) then applies to TV. Lake County's combined mill levy is approximately 720 mills, producing typical homestead effective rates around 0.74%.

How the bill is built

Montana property tax follows a 4-step calculation under the new TY2026 system. Step 1: Market value determination. The Montana Department of Revenue determines market value via the 2-year reappraisal cycle (2025-2026 cycle uses 2024 market data; next reappraisal 2027-2028). Step 2: Apply Class 4 rate to determine TAXABLE VALUE. For homesteads (enrolled): graduated rate 0.76%-1.90% by tier. For non-homestead: flat 1.90%. Step 3: Apply combined mill levy. Tax = TV × combined mill levy / 1000. The 95 K-12 + 6 university state mills are mandatory across all jurisdictions; local mills (county, city, school, special districts) vary substantially. Step 4: Apply applicable reductions. Disabled American Veteran (DAV) reduction (income-tested 50%-100% for 100% disabled vets), Property Tax Assistance Program (PTAP, income-tested AV reduction for low-income homeowners), Elderly Homeowner/Renter Credit (Form 2EC, refundable up to $1,150 for 62+). Bills are typically issued November (first half due Nov 30, second half due May 31).

The 2023 reappraisal cycle drove the 2025 reform. Median residential market value jumped 22% ($67,000) in one cycle, with bills rising 30-40% in many counties. HB 231 + SB 542 of 2025 restructured Class 4 residential into graduated homestead rates that intentionally shift burden from primary residences onto second homes and short-term rentals (which pay flat 1.90%).

MT joins the categorical full-vet-exemption states. The DAV program (MT Code §15-6-211) provides full taxable-value reduction for 100% disabled veterans at income ≤ $50,166 single / ~$60,000 joint, sliding down to 50% at $70K-$80K. Most qualify for full or near-full reduction. Stacks with the 2026 Homestead Reduced Rate.

2026 Lake County rate breakdown (combined mill levy (mills/1000 of taxable value); Class 4 graduated homestead rates 0.76%-1.90% per HB 231 of 2025, Polson district)

Taxing entity	Rate
Lake County combined mill levy (state K-12 95 + state university 6 + county/municipal/school local mills); Class 4 graduated homestead rates 0.76-1.90% per HB 231 of 2025	720.0000
Combined total	720.0000

As of April 27, 2026 · From Montana Department of Revenue — Lake County.

Note: Lake County contains the southern half of Flathead Lake — the largest natural freshwater lake west of the Mississippi River by surface area (197 square miles). Polson (~5,500), the county seat, sits at the lake’s south end where the Flathead River exits. The county is unusual in Montana: most of the county sits within the Flathead Indian Reservation (Confederated Salish and Kootenai Tribes), and the tribal government, US federal government (Bureau of Indian Affairs), and Montana state government share complex jurisdictional arrangements over land use, taxation, and law enforcement.

Note: Lake County’s 0.74% effective rate reflects HB 231’s graduated homestead rates applied to median home values around $475,000. The first $395,400 is taxed at 0.76% and the remaining ~$80,000 at 0.90%. Combined mill levy ~720 mills produces typical bills of ~$3,113 on the median homestead. Lakefront and lakeview properties along Flathead Lake’s shoreline command substantial premiums (some lakefront lots have median values exceeding $2 million); these properties face higher effective rates as more value falls into the 1.10% bracket, and second homes face the flat 1.90% non-homestead rate.

Note: The Flathead Indian Reservation — established by the 1855 Hellgate Treaty — covers ~1.3 million acres including all of Lake County and portions of Sanders, Missoula, and Flathead counties. The Confederated Salish and Kootenai Tribes (CSKT) operate Kerr Dam (Salish Kootenai Dam since 2015 when CSKT purchased it from PPL Montana for $18.3M, the first US tribe to fully own a major hydroelectric dam) at the south end of Flathead Lake, generating ~194 MW. The 1855 treaty fishing and hunting rights remain active and have produced significant 21st-century litigation over water allocations, particularly the 2015 CSKT-Montana Compact (ratified 2020) which resolved tribal water rights.

Deductions and exemptions for 2026

Montana homeowner property tax relief operates through THREE primary mechanisms post-2025-reform. (1) The 2026 Homestead Reduced Rate (HB 231 of 2025) provides graduated Class 4 tax rates (0.76%-1.90% by tier) for primary residences vs. flat 1.90% for second homes / short-term rentals — applies to all primary-residence homeowners regardless of age. (2) The Disabled American Veteran (DAV) Property Tax Assistance Program (MT Code §15-6-211) provides 50%-100% taxable value reduction for 100% disabled veterans, income-tested. (3) The Property Tax Assistance Program (PTAP) + Elderly Homeowner/Renter Credit (Form 2EC) provide income-tested relief for low-income homeowners, particularly seniors. Montana has NO state senior valuation freeze. Montana also has NO state sales tax (one of only 5 such states), making property tax structurally important for local revenue.

2026 Homestead Reduced Rate (HB 231 of 2025, effective TY2026)

The Homestead Reduced Rate (HB 231 of 2025, signed by Governor Gianforte May 2025) provides graduated Class 4 tax rates for primary-residence homeowners: 0.76% on portion up to statewide median residential value (~$395,400 for 2025-2026 cycle), 0.90% on portion between median and 2× median (~$790,800), 1.10% on portion between 2× and 4× median (~$1,581,600), and 1.90% on portion at or above 4× median. Non-homestead second homes / short-term rentals / non-enrolled properties pay a flat 1.90%. Enroll at Homestead.MT.gov between December 1, 2025 and March 20, 2026 for tax year 2026. Eligibility: own AND occupy primary residence for 7+ months/year. Properties that received the 2025 property tax rebate (235,000+ Montana homeowners) automatically qualify if ownership has not changed and the property remains a primary residence. Long-term rentals (rented for 28+ days/period for at least 7 months/year, tenants use as residence) also qualify and apply during the same window. False attestation can result in loss of classification + significant legal/financial penalties.

Disabled American Veteran (DAV) Property Tax Assistance Program (MT Code §15-6-211)

The DAV Property Tax Assistance Program provides 50%-100% reduction in taxable value for veterans with 100% VA service-connected disability (P&T or IU rating). Income-tested with sliding scale: full reduction (100%) at income ≤ $50,166 single / ~$60,000 joint (2024 limits), 80% reduction at $50K-$60K income, 70% reduction at $60K-$70K, 50% reduction at $70K-$80K, ineligible above $80K. Apply with Montana Department of Revenue annually (income re-verified). Submit VA disability rating letter (must show 100% P&T or IU rating) + DD-214 + tax return showing prior year income. Surviving spouses may continue receiving the reduction until remarriage. MT joins the categorical full-vet-exemption states at the most-common-case income tier. Disabled veterans can stack the DAV reduction on top of the Homestead Reduced Rate for compounded benefit.

Property Tax Assistance Program (PTAP) + Elderly Homeowner/Renter Credit (Form 2EC)

The Property Tax Assistance Program (PTAP) is an income-tested AV reduction for primary residence — applied via Montana Department of Revenue (income limits ~$26,500 single / ~$35,000 joint for 2024, indexed). The Elderly Homeowner/Renter Credit (Form 2EC) is a refundable Montana state income tax credit up to $1,150 for homeowners or renters age 62+ with household income under ~$45,000 (2024 limits). Claimed on Form 2EC with Montana income tax return; refundable regardless of state income tax owed. Both PTAP and the Elderly Credit are POST-BILL state-level mechanisms — they do not reduce the calculated property tax bill in this calculator but factor into total annual relief for low-income filers. AARP Tax-Aide and VITA provide free filing assistance.

Appealing your assessment

Montana property tax appeals follow a multi-tier process anchored in the 2-year reappraisal cycle (current cycle 2025-2026). Level 1: Informal Review with Montana DOR. Within 30 days of receiving the Notice of Classification and Appraisal (typically July of even years — cycle midpoint), file informal review request with local DOR field office. The DOR appraiser will review your file and may adjust. Level 2: County Tax Appeal Board. If unsatisfied with informal review, file formal appeal with the County Tax Appeal Board (CTAB) within 30 days of the informal review decision. The CTAB is a 3-member board appointed by the county. Level 3: Montana Tax Appeal Board (MTAB). Appeal CTAB decisions to the Montana Tax Appeal Board within 30 days. Level 4: Montana District Court. Final administrative remedy. Most appeals are resolved at Level 1 or 2. The 2023 reappraisal cycle generated unprecedented appeal volume across Montana — many counties saw 5x-10x increases in appeals filed.

Cities and towns in Lake County

Lake County contains 5 incorporated municipalities, ranging from Polson to the smallest village. Search volume for property tax is often city-specific, so here is the complete list — with population from the 2020 US Census, rounded to the nearest 100.

Data: US Census Bureau, 2020 Decennial Census. Populations rounded. Cities marked as "split" straddle a county border — the portion inside Lake County is subject to Lake County's tax rolls, while the portion outside is subject to the adjacent county's.

City or town	Type	Population (2020)
Polson County seat	city	5,500
Pablo	Census-designated place	2,200
Ronan	city	2,000
St. Ignatius	town	800
Big Arm	Census-designated place	200

About city-level property tax rates: The rate breakdown and calculator on this page reflect the Polson tax district. Other cities in Lake County may pay into different school districts, city rates, and special districts — so their combined rates can differ, sometimes substantially. Always verify the specific rates for your address with the Montana Department of Revenue — Lake County before relying on any estimate.

Frequently asked questions

When are Montana property taxes due?

Montana property tax bills are typically issued annually in October by the county treasurer. Most counties allow split-payment: first half due by November 30, second half due by May 31. Late payments accrue interest at 5/6 of 1% per month plus 2% penalty. After 3 years delinquent, the property may be sold at tax lien sale. Most homeowners pay through escrow via mortgage servicer. The 2026 Homestead Reduced Rate (HB 231 of 2025) requires enrollment at Homestead.MT.gov by March 20, 2026 to receive the lower graduated rates for 2026 — properties not enrolled by the deadline pay the flat 1.90% non-homestead rate (significantly higher) but can claim a refund between January 1, 2027 and May 31, 2027 if they enroll for 2027.

How do Montana's NEW 2026 graduated homestead rates work?

Montana's 2026 Homestead Reduced Rate (HB 231 of 2025) provides a graduated Class 4 tax rate based on home value tier — but each portion of value is taxed at its tier rate, NOT the entire value at the highest applicable tier. 0.76% applies to the portion up to the statewide median residential value (~$395,400 for 2025-2026). 0.90% applies to the portion between median and 2× median (~$790,800). 1.10% applies to the portion between 2× and 4× median (~$1,581,600). 1.90% applies to the portion at or above 4× median. Example: a $725,000 Bozeman homestead would have $395,400 taxed at 0.76% ($3,005 TV) + $329,600 taxed at 0.90% ($2,966 TV) = $5,971 total taxable value. Tax = $5,971 × ~750 mills / 1000 = ~$4,478. The "Class 4 rate" converts market value to TAXABLE VALUE; the combined mill levy (state + local) then applies to TV. Non-homestead second homes / short-term rentals pay flat 1.90% on entire value (NOT graduated).

How do I enroll for the Montana Homestead Reduced Rate?

Enroll at Homestead.MT.gov between December 1, 2025 and March 20, 2026 for tax year 2026. Eligibility: own AND occupy primary residence for 7+ months/year. Properties that received the 2025 property tax rebate (235,000+ Montana homeowners — must have owned + lived in residence for 7+ months in 2024) automatically qualify if ownership has not changed and the property remains a primary residence. Long-term rentals (rented for 28+ days/period for at least 7 months/year, tenants use as residence) also qualify and apply during the same window. False attestation can result in loss of classification + significant legal/financial penalties. The DOR Call Center (406-444-6900) can assist with documentation or eligibility questions.

How does Montana's Disabled American Veteran (DAV) Property Tax Assistance Program work?

The DAV Property Tax Assistance Program (MT Code §15-6-211) provides 50%-100% reduction in taxable value for veterans with 100% VA service-connected disability (P&T or IU rating). Income-tested with sliding scale: full reduction (100%) at income ≤ $50,166 single / ~$60,000 joint (2024 limits, indexed annually), 80% reduction at $50K-$60K income, 70% reduction at $60K-$70K, 50% reduction at $70K-$80K, ineligible above $80K. Apply with Montana Department of Revenue annually. Submit VA disability rating letter (must show 100% P&T or IU rating) + DD-214 + tax return showing prior year income. Surviving spouses may continue receiving the reduction until remarriage. MT joins the categorical full-vet-exemption states at the most-common-case income tier (WI, MI, IA, MN, NJ, PA, VA, MD, SC, AL, LA, MS, AR, OK, NM, WV, MT). Disabled veterans can stack the DAV reduction on top of the 2026 Homestead Reduced Rate for compounded benefit.

Why does Montana have no state sales tax?

Montana is one of only 5 US states without a state sales tax (along with Alaska, Delaware, New Hampshire, Oregon). Montana voters have repeatedly rejected sales tax proposals (most recently in 1971 and 1993, both rejected by ~70-30 margins). The constitutional structure does not prohibit sales tax — Montana could legally adopt one — but voters have remained consistently opposed. The result is a revenue mix unusual for US states: property tax + state income tax (graduated, 4.7% to 5.65% for 2026, dropping to 5.4% for 2027 per HB 337 of 2025) carry the substantial revenue load that property + sales + income tax carry in most other states. Approximately 80% of property tax revenue from residential homeowners flows to local jurisdictions; the remaining 20% goes to the State of Montana, which returns the amount in full to fund K-12 public schools (the 95 K-12 state mills). The 2025 reform legislation (HB 231 + SB 542) was intentionally redistributive WITHIN the property tax — not a structural change away from property tax reliance.

About Lake County

Beyond the property tax — a few things you might not know about the place.

Weird fact

The Mission Mountains east of Polson rise abruptly from valley floor (~3,000 feet) to summits over 9,000 feet — a vertical relief of 6,000+ feet — creating one of the most dramatic mountain skylines in Montana. The Mission Mountains Tribal Wilderness (89,500 acres, established 1982) was the first tribally-designated wilderness area in the United States, predating most federal Wilderness Act designations. The wilderness is closed to non-tribal members during the summer "spiritual time" (usually July 15 - October 1) — among the only US wilderness areas with seasonal access restrictions tied to indigenous spiritual practice.

Hometown hero

David Letterman (Flathead Lake summer home)

The American comedian and television host David Letterman (born 1947 in Indianapolis) maintains a Flathead Lake-area summer home in Lake County and has visited the region for decades, occasionally featuring Montana ranching content on his Late Show with David Letterman (1993-2015) and Netflix series My Next Guest Needs No Introduction (2018-). The Flathead Lake / Big Sky region has attracted substantial 21st-century celebrity and high-net-worth migration; other prominent residents in the broader region include Jim Carrey, Justin Timberlake (Yellowstone Club / Big Sky), and Mark Wahlberg.

Biggest annual event

Standing Arrow Powwow

Held annually in mid-July at Elmo on Flathead Lake’s western shore, the Standing Arrow Powwow is one of the largest annual indigenous gatherings in Montana — drawing dancers, drummers, and visitors from across the western United States and Canada. The event has run continuously since the 1950s and includes Salish, Kootenai, Pend d’Oreille, Crow, Blackfeet, and other tribal traditions. Polson also hosts the Polson Cherry Festival (mid-July, celebrating the Flathead Lake cherry harvest) and the Standing Arrow Powwow regularly attracts national media attention as one of the celebrated Plateau cultural events.

Property Tax in Lake County, 2026