Vermont has five income brackets and its tax rates range from 3.6 percent to 9.5 percent. More on Vermont taxes can be found in the tabbed pages below.
For single taxpayers: -- 3.6 percent on the first $32,550 of taxable income -- 7.2 percent on taxable income between $32,551 and $78,850 -- 8.5 percent on taxable income between $78,851 and $164,550 -- 9 percent on taxable income between $164,551 and $357,700
-- 9.5 percent on taxable income
of $357,701 and above.
For married persons filing joint returns: -- 3.6 percent on the first $54,400 of taxable income
-- 7.2 percent on taxable income between $54,401 and $131,450 -- 8.5 percent on taxable income between $131,451 and $200,300 -- 9 percent on taxable income between $200,301 and $357,700 -- 9.5 percent on taxable income of $357,701 and above.
Vermont's
tax
returns are due
on April 15 or the
next business day
if that date falls
on a weekend or holiday.
Sales tax
Vermont's
general sales
tax rate is 6
percent. The tax is
imposed on sales of
tangible personal
property, amusement
charges, fabrication
charges, some public
utility charges and
some service contracts.
Effective
Jan. 1, 2007, tax
law changes mean
that the tax rate
to be applied for
local option purposes
is determined by the
delivery location
of the item purchased,
rather than the sale's
origin. For example,
a seller in Montpelier,
which has no local
option tax, would
be required to collect
the tax on a taxable
item shipped or delivered
to a buyer in Burlington.
A use tax is imposed on the buyer
at the same rate as the sales tax. The buyer pays the use tax
when the seller fails to collect the sales tax or the items
are purchased from a source where no tax is collected. The use
tax applies to items taxable under the sales tax rule.
Personal and real property taxes
Property
taxes are imposed for the
support of education and
municipal services. Vermont's
Department of Taxes offers
information on how rates
are set.
Additional
property tax forms can be
found on the agency's Web
site.
Inheritance and estate taxes
Vermont does not collect inheritance
taxes.
Vermont's estate tax is decoupled
from the federal estate tax laws and therefore still imposes
its own estate
tax.
Other Vermont tax facts
To
encourage investment in
Vermont businesses, the
state offers several economic
tax incentives.
Vermont taxpayers who file homestead declarations may designate all or part of a state income tax refund to pay their property tax bill. The State will include an additional 1 percent to the refund credited to your property taxes.
