Vermont Sales Tax

On this page you will find handy sales and use tax information about Vermont.

How to use this page:

We’ve pulled in the information from all our Charts for a consolidated view by state.  Here you can see the sales tax rates and if the state has remote seller nexus rules. You can also see any sales tax holidays or amnesty programs that may exist, though these do not apply to all states.

Below the chart you can find any News & Tip item we have published that relates to Vermont that you can filter by topic. This will help you get informed on current and past legislation that has passed in the state.

State Rate

6.000% The state has reduced rates for sales of certain types of items.

Range of Local Rates

0% – 1% Some local jurisdictions do not impose a sales tax.

Local Rates Apply to Use Tax

No

CLICK-THROUGH NEXUS

12/1/2015

REPORTING REQUIREMENTS

5/24/2011 and 7/1/2017

ECONOMIC NEXUS

7/1/2018 (following Wayfair decision) – see state notice

MARKETPLACE NEXUS

6/1/2019

Status

Inactive

Amnesty Filing Dates

August 1, 2013 - May 1, 2014

Go to Vermont Amnesty Page
AMNESTY INCLUSION PERIODS

Three year lookback period.

TAX TYPES AND CONDITIONS

Use Tax

AMNESTY BENEFITS

Waiver of penalties and 50% of interest due for the period reviewed. Reduced lookback period.

Administration Information
Streamlined Sales Tax Status

Full Member

NUMBER OF TAXING AUTHORITIES

15 Sales Tax Jurisdictions

HOME RULE AUTHORITIES

N/A

Sales Tax Sourcing (Intrastate)

Destination

Sales Tax Return Due Date

The 25th (23rd of February) of the month following the reporting period

Exemption Information
RESALE CERTIFICATE

Vermont Resale Certificate

TYPES OF EXEMPTIONS

Product types of exemptions: manufacturing, publishing, R&D, agricultural machinery and equipment, forestry and wood products machinery, equipment, and repair parts, manufacturing components & packaging, over-the-counter drugs, food sold by grocery stores for home consumption, clothing, medical equipment and supplies

 

Entity types of exemptions: federal government, State of Vermont, nonprofit organizations qualifying for exempt status under federal law at 26 U.S.C. § 501(c)(3), agricultural organizations qualifying under 26 U.S.C. § 501(c)(5) in some circumstances, volunteer fire departments, ambulance companies, and rescue squads

 

Vermont Exemption Certificate Forms

State Links
State Tax Web Page

Vermont Department of Taxes

Rate Look-Up Page

Vermont Sales Tax Rate Look-Up

Registration Link

Register for Vermont Sales Tax

History & Fun Facts
HISTORY

  • Vermont first imposed its sales and use tax in 1969.
  • Vermont amended its sales and use tax laws in 2003 to conform with the Streamlined Sales and Use Tax Agreement.

FUN FACTS
  • Vermont’s food and beverage sales tax exemption does not extend to soft drinks or sweetened beverages. Soft drinks, however, do not include milk or milk/milk substitute products or beverages that contain greater than 50% vegetable or fruit juice.

Economic Nexus State Guide

Key information such as effective dates, thresholds, and includable sales for out-of-state sellers making sales into states that have enacted economic nexus legislation both before and after the South Dakota v. Wayfair Supreme Court decision.

South Dakota v. Wayfair Analysis & Predictions: Sales Tax Experts Weigh-In

Sales tax experts lend their insight into and predictions for one of the most important U.S. Supreme Court decisions regarding sales tax in decades, South Dakota v. Wayfair.

State Notices & Resources for Remote Sellers

Use this state by state guide to find each state\’s initial guidance on how to proceed post-Wayfair, state resources such as FAQs, and any state activity such as going through a legislative process that impacts remote sellers.

Remote Seller Resources

Comprehensive list of resources for remote sellers following the South Dakota v. Wayfair Supreme Court decision – including state notices, videos, articles, training opportunities, and more.

Vermont Enacts Marketplace Nexus Legislation

Vermont has enacted new requirements for marketplace facilitators, effective June 1, 2019.

Glucose Testing Meters, Test Strips, Lancing Devices and Lancets Exempt in Vermont

A retailer’s sale of glucose test strips, lancing devices, and lancets are exempt from Vermont sales and use tax since they were used in medical diagnosis or treatment.

House Introduces Online Sales Simplicity and Small Business Relief Act of 2018

On September 13, 2018, Rep. Jim Sensenbrenner (R-WI) and additional U.S. House members introduced the Online Sales Simplicity and Small Business Relief Act of 2018.

U.S. Supreme Court Issues Decision In South Dakota v. Wayfair

On June 21, 2018, the U.S. Supreme Court issued its decision in the South Dakota v. Wayfair case, ruling in favor of South Dakota and overturning Quill’s physical presence rule.

Multistate Tax Commission Updates Its Uniform Sales & Use Tax Exemption Certificate

The Multistate Tax Commission (MTC) revised its Multijurisdictional Uniform Sales & Use Tax Exemption/Resale Certificate on January 22, 2018 to reflect two state changes.

Record Number of Sellers Participate in 2017 MTC Amnesty Program

The volume of applicants for the 2017 online marketplace seller tax amnesty program overwhelmed the Multistate Tax Commission.

Vermont Amends Provision for Use Tax Reporting on Individual Income Tax Returns

Modified rule for use tax accruals in Vermont effective 01/01/17.

Multistate Tax Commission Announces Tax Amnesty Program for Online Sellers

The MTC organized a tax amnesty program for online sellers, running from August 17 to November 1, 2017. The voluntary disclosure program allowed sellers to start remitting sales tax on future sales without penalty or liability for unpaid, prior accumulated sales tax in 25 participating states.

No Regulation Without Representation Act of 2017 Introduced

Under the proposed House bill, a state may tax or regulate a person’s activity in interstate commerce only when the person is physically present in the state during the period in which the tax or regulation is imposed.

Vermont Enacts Additional Notice Requirement for Noncollecting Vendors

Effective July 1, 2017, Vermont enacted legislation for an additional notice requirement for non-collecting vendors making sales into Vermont to be filed with the Department of Taxes.

Congress Introduces Marketplace Fairness Act of 2017 and Remote Transactions Parity Act of 2017

Introduced on April 27, 2017, the Marketplace Fairness Act of 2017, if enacted, would authorize states meeting certain requirements to require remote sellers that do not meet a small seller exception to collect their state and local sales and use taxes.

Virginia Enacts Sales Tax Provisions for Accelerated Payments and Dealer Discounts

Virginia governor signed the state’s biennial budget bill containing retail sales and use tax provisions regarding accelerated sales tax payments and dealer discounts.

Airbnb Required to Collect Meals and Rooms Tax in Vermont

Beginning October 1, 2016, Airbnb will collect and remit meals and rooms tax on payments for lodging offered by its hosts located in Vermont. Airbnb hosts are not responsible for any back taxes they have failed to collect.

Online Sales Simplification Act of 2016 Discussion Draft is Introduced

The proposed legislation would implement a “hybrid origin” approach for remote sales. States could impose sales tax on remote sales if the origin state participates in a clearinghouse.

No Regulation Without Representation Act of 2016 Introduced

Taking the opposite approach of the Marketplace Fairness Act and Remote Transactions Parity Act, the proposed bill would limit the ability of states to require remote sellers to collect use tax. However, the bill failed to pass.

Vermont Enacts Notice & Reporting Requirements and Economic Nexus Legislation

Vermont enacted notice and reporting requirements and economic nexus legislation, effective 07/01/17 or later. More…

Congress Approves Permanent Extension of Internet Tax Freedom Act

Congress approved a permanent extension of the Internet Tax Freedom Act, signed into law by the President 02/24/16. More…

Internet Tax Freedom Act Extended Through October 1, 2016

The President signed an act to extend the Internet Tax Freedom Act through 10/01/16. More…

Vermont Click-Through Nexus Law Takes Effect

Vermont’s click-through nexus law takes effect 12/01/15. More…

Internet Tax Freedom Act Extended Until December 11, 2015

U.S. House of Representatives passed a provision to extend the Internet Tax Freedom Act until 12/11/15. More…