(1) A partnership, S corporation, and single-member LLC with one or more nonresident individual owners, during any part of a tax year for which an information return is required by this chapter, must for each nonresident individual:

(a) file a composite return as provided in ARM 42.9.202 and include the nonresident individual in the filing;

(b) obtain from the nonresident individual and file with its information return the pass-through entity owner tax agreement to timely file a Montana individual income tax return, to timely pay tax due, and to be subject to the state's tax collection jurisdiction on Form PT-AGR (Montana Pass-through Entity Owner Agreement) ; or

(c) remit an amount on the individual's account, determined as provided in (3) , with the Pass-through Entity Information Return, Forms CLT-4S, PR-1, or DER-1; and

(d) provide Form PT-WH to the nonresident individual setting forth the amount of withholding remitted to the department of revenue which can be used as an estimated payment against the tax liability of the nonresident individual upon filing a Montana income tax return Form 2.

(2) The pass-through entity is not required to attach new agreements each year, but must attach a currently effective agreement for each new nonresident individual owner.

(3) The amount that must be remitted by the due date described in (4) is the highest marginal rate in effect under 15-30-103 , MCA, multiplied by the share OF MONTANA source income of the nonresident individual reflected on the pass-through entity's information return.

(4) The due date for the remittance described in (1) (c) is different for tax years beginning before January 1, 2003, than it is for later tax years.

(a) For an entity's tax year beginning before January 1, 2003, the due date is the later of 180 days after the due date (including extensions) for filing its information return or the date the department sends it notice of the requirement to withhold and liability for penalties for not remitting the withholding amount.

(b) For tax years beginning after December 31, 2002, the due date is the due date of the entity's information return.