Vermont Department of Taxes
January 24, 2023 | VTax Connect
2023 Tax Filing Season Opens
The 2023 tax season has officially started at both the federal and state levels. Our recent press release announcing income tax season includes:

  • Vermont credits, including the new Vermont Child Tax Credit
  • Tips for fast and easy filing

Vermonters who are not required to file a tax return because their income is below the filing requirement may want to consider filing if they qualify for a tax credit.
New Resources on the Website
New Guidance for Students
Our new guidance for students (tax.vermont.gov) covers Vermont’s treatment of forgiven federal student loan debt and the new Vermont student loan interest tax deduction and includes useful information and resources.
Maple Industry
New industry guidance for maple producers and maple product manufacturers (tax.vermont.gov) has been added to the website. It covers Sales Tax exemptions on machinery and supplies, quality control testing, and fuel. It also includes updates to the State’s Manufacturing Exemption.
New Local Option Tax Finder Tool
If you're a business making sales in, or into, a Vermont town, you may not know whether there is a 1% local option tax levied by that municipality. The new Local Option Tax Finder (tax.vermont.gov) makes it easy to find out. Just enter a municipality name or address into the search bar to find out which sales are subject to a local tax.
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Landlord Certificates/Lot Rent Landlord Certificate Bulk Upload
Landlords and owners of mobile home parks may complete their 2022 Landlord Certificates online at myVTax.vermont.gov. Property owners with any number of rental units may find the Landlord Certificate bulk upload method useful. Landlord Certificates must be submitted to the department by January 31, 2023. For LRC-147, Statement of Rent for Mobile Home Park Lot Rent, Co-ops, Trusts, provide a copy to lot tenants. Tenants do not need a copy of the LRC-140, Landlord Certificate.  

Vermont Withholding

Have you reviewed your Federal and Vermont income withholding recently? Vermonters who are eligible for the following State credits should consider whether they may want to have less Vermont tax than federal tax withheld: 


The Department suggests that anyone who is subject to Vermont withholding provide their employer with an updated Vermont Form W-4VT, along with federal Form W-4. Vermont withholding may be different than federal withholding. This helps ensure that your employer doesn’t withhold too much or too little Vermont tax. Note that changes made to withholding in January 2023 are effective going forward but will not impact refunds based on the 2022 tax year. 

We also urge employers to recommend to their employees that they complete Form W-4VT. 
Employee Retention Credit Relief
Following the IRS, the Vermont Department of Taxes is extending federal penalty relief (irs.gov) to employers claiming the federal Employee Retention Credit retroactively for tax years 2020 and 2021. Employers may contact the Department at (802) 828-2865 about having related Vermont penalties waived.
New in the Compliance Corner
Here are recent additions to the Tips & News section of the Compliance Corner: 

Tips & News:
  • Report Use tax for international purchases that have passed through US Customs
  • Estimated Tax Payments/Return Filing Requirement 
Contact Us
Taxes can be complex, and we are here to help. For questions about your return, myVTax account, or any other tax related matter, please call (802) 828-2655, or toll-free in Vermont, (866) 828-2865.

Our call center hours are Monday, Tuesday, Thursday, and Friday, 7:45 a.m. to 4:30 p.m. Eastern Time.
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