(1) The owner or operator of an establishment in Montana that is licensed by the Montana Department of Public Health and Human Services (DPHHS) to provide lodging may claim the credit described in (2) against the taxes imposed in 15-30-103 or 15-31-101, MCA, for furnishing temporary lodging in Montana, at no cost, to an individual who has been referred by a DPHHS designated charitable organization because the individual is in temporary immediate danger from an assault or potential assault by a partner or family member. The list of organizations designated by DPHHS as authorized to make a referral is available at http://www.dphhs.mt.gov/PHSD/Food-consumer/emergency-lodging.shtml. Additional information regarding the program is also available at this web site.

(2) The amount of credit is $30 for each night, up to five, of gratis lodging provided to a referred individual during a calendar year. The credit must be claimed by the person that owns or operates the licensed establishment in the Montana tax return or report that includes the establishment's lodging receipts for the period during which the creditable lodging was provided. If the credit is claimed by an entity taxed as an S corporation or partnership, the credit must be attributed to shareholders or partners in the same proportion used to report the corporation's or partnership's income or loss for Montana income tax purposes. The credit is "refundable," and if the amount of the credit exceeds the taxpayer's liability, if any, under 15-30-103 or 15-31-101, MCA, for the period during which the creditable lodging was provided, the excess will be refunded to the taxpayer.

(3) The credit is $30 per night regardless of the number of individuals in the room. For example, if two people are provided lodging in the same room for three nights, the amount of the credit is $90 (three nights of lodging multiplied by $30 per night). If two or more referred individuals share a room for one night, each is treated as having been provided one night of lodging. An establishment may offer a referred individual more than five night's emergency lodging during a calendar year, but only the first five nights qualify for the credit.

(4) The room must be provided at no cost to either the individual or the referring organization.

(5) The credit must be claimed on Montana Form TELC.

(6) The taxpayer claiming the credit must retain a voucher, letter, or similar documentation from the referring organization as support for the calculation of the credit. The documentation must be retained as a tax record and provide the following information:

(a) name of the referring organization;

(b) a statement describing the reason for the lodging;

(c) number of individuals provided lodging;

(d) name and address of the establishment providing the lodging; and

(e) date(s) lodging was provided.

(7) An establishment that relies in good faith on information provided by a designated charitable organization is allowed the credit if it is subsequently determined that the reason for the referral was not valid.

(8) The owner or operator of an establishment may claim the credit even if they operated at a loss for the tax year during which the creditable lodging is provided and have no taxable income. The credit cannot be claimed by an organization that is not subject to tax, such as a nonprofit organization. A nonprofit organization can claim the credit if it is required to file a return and pay tax on unrelated business taxable income under the provisions of 15-31-102, MCA.