You can subtract contributions that you made to one or more qualifying Achieving a Better Life Experience (ABLE) accounts during the tax year. (limit of $3,000 deduction) "Generally, qualified ABLE accounts are established to support another person’s qualified disability expenses and meet the requirements of 26 USC 529A." If you are married, you and your spouse can each exclude up to $3,000 for contributions that you made to one or more qualifying ABLE accounts.
Qualifications
For you to claim the deduction, you must be:
- the designated beneficiary,
- the spouse of the designated beneficiary, or
- a parent, grandparent, sibling or child related to the designated beneficiary by blood, marriage, or legal adoption.
Contributions are eligible for deduction regardless of:
- the designated beneficiary’s residency, or
- the state in which the account is held or administered.
- Business deduction when a federal credit is claimed - Beginning with Tax Year 2019, businesses that claim a federal credit are allowed business expenses as a deduction for Montana tax purposes when this deduction is disallowed for federal tax purposes.