The White House last month imposed a ban on the use of the Chinese video-sharing application TikTok in government institutions.
With the bill passed by the Montana State Legislature, the use of TikTok on personal phones is also prohibited.
The bill was passed by 54 votes to 43.
If Montana Governor Greg Gianforte signs the bill, Montana will become the first state to ban the Chinese social media platform.
The law covers the blocking of access to the application from virtual stores. It does not contain any information for existing applications.
Violators of the law can be fined up to $10,000.
If the bill is signed, it will be implemented from the beginning of the year.