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North Dakotaworking inMontana
Reciprocity — home state withholds for you

Montana

Work State Tax Rate
Up to 5.9% (2025), 5.65% (2026)
Withholding Starts
After 30 days
Law Last Updated
Jan 1, 2026

Employee Obligations (Which Returns YOU Must File)

North Dakota has a reciprocity agreement with Montana. If your only income from Montana is wages, salary, tips, or commissions, file your North Dakota return only — no Montana return needed. Give your Montana employer your reciprocity form (NDW-R) each year.

Employer Obligations (What Your Employer Must Withhold & Remit)

Reciprocity applies. If the employee provides the reciprocity form (NDW-R), withhold North Dakota tax instead of Montana tax. Must still register for Montana unemployment insurance. Register for withholding and unemployment. Unemployment applies to the first $43,000 of wages.

Reciprocity Agreement — File Home State Only for Wages

North Dakota has a reciprocity agreement with Montana. For wage income, you only need to file your North Dakota return. Give your employer the reciprocity form (NDW-R) each year to avoid Montana withholding.

Row last reviewed: Apr 17, 2026Home state credit form: Schedule ND-1CR

This is general information, not tax or legal advice. Laws change frequently. Always consult a licensed CPA or tax attorney for your specific situation. All information researched as of March 21, 2026.