In November the Vermont Department of Taxes will be rolling out a new and improved myVTax. The site is streamlined to make finding the function you need easier than before. It offers several new features that are sure to make users happy.

Here is a sneak peek at the new myVTax home page. The new panels break out the most common areas of use and make navigating the site easier.

Soon we will send out more information about the new Accountant Center, the ability to add favorites, and other improvements that are ahead.

The amounts in the Estimated Use Tax Table have been reduced, effective beginning tax year 2020. The table is used when filing personal income tax. Furthermore, taxpayers with an AGI lower than $20,000 do not have to estimate use tax for purchases below $1000. The maximum amount a taxpayer may be required to pay for purchases below $1000 has been reduced from $500 to $150. The reductions reflect growing sales and use tax compliance among out of state and online retailers.

In addition to the costs of attending a postsecondary education institution, 529 Plan proceeds may be used for expenses associated with a registered apprenticeship program. Funds may also be disbursed should a beneficiary become disabled or pass away. In either situation, the Vermont tax credit does not have to be paid back. This change took effect on Oct. 8, 2020, for expenses occurring from that date forward.

The Renter Rebate has been changed to "Renter Credit." This change is effective Jan. 1, 2021, but applies to claims beginning in 2022. Along with the name change, the credit is designed to lessen the filing burden on both landlords and renters. Chiefly, the changes are:

a. Allowable rent amount will be based on the fair market rent for the renter's area, as

determined U.S. Department of Housing and Urban Development.

b. More than one renter per household will be allowed to claim a credit.

c. The claimant will no longer be required to obtain Form LC-142, Landlord Certificate.

The landlord will still be required to submit the Certificate to the Department, however.

You can see the all the changes to the Renter Rebate here.

The Department of Taxes and other State agencies were tasked by the General Assembly and the Governor with the distribution of several rounds of Economic Recovery Grants using money allocated to the State by the federal CARES Act.

The Department is very pleased to have been able to support the State's effort to assist Vermonters as they work to recover from the unprecedented challenges posed by the global health emergency.

As of Mon., Oct. 19, businesses that continue to have unmet needs due to COVID-19 related sales/revenue losses may apply for additional funding from one of two Expanded Economic Recovery Grant programs. Learn more about the expanded grants here.

The definition of a housesite as it relates to Current Use has been changed to include multiple dwellings on a two-acre parcel, provided they are contained in one two-acre area. This change takes effect Jan. 1, 2021.

Since late spring and into the fall the Compliance Division has done very limited auditing and active collections. Instead, Compliance staff went to help in other areas, including other divisions with the Department and at other State agencies, with a primary focus on administering grants, delivering assistance to Vermonters, and training. As the division begins to resume auditing and collection activities, we encourage taxpayers to let us know of any extenuating circumstances they are dealing with when communicating with staff.

A Power of Attorney (POA) designates a third-party preparer as the agent for a return. You cannot file on behalf of another person or corporate entity without it. The Department administers the POA program. See our POA page for more.

In the interim between publications of VTax Connect, you can stay ahead with our daily updates on Facebook and Twitter. Posts and tweets highlight changes to our website, new guides and fact sheets, useful tips to help individuals and businesses with state and federal taxes, financial safety alerts, and more. To get on board, visit our Facebook page and "Like" us or hit the "Follow" button on our Twitter feed.