Vermont

VT2026 Tax Data
Income Tax
8.8%
Sales Tax
6.00%
Property Tax
1.62%

Vermont Income Tax Brackets (2026)

RateSingle Filers
3.35%$0 - $42,750
6.60%$42,750 - $103,575
7.60%$103,575 - $214,900
8.75%$214,900+

Vermont Tax Overview 2026

Vermont has a progressive income tax system with rates ranging from 3.35% to 8.75%. The state sales tax rate is 6.00% and property taxes average 1.62% of home value.

  • Sales Tax: Base rate 6.00%. Combined rate up to 7.00% with local taxes.
  • Groceries: Subject to full sales tax
  • Prescriptions: Exempt from sales tax
  • Clothing: Subject to sales tax
  • Property Tax: Effective rate of 1.62% on a median home value of $228,800

Vermont Tax FAQ

What is the income tax rate in Vermont for 2026?

Vermont's income tax rate ranges from 3.4% to 8.8% (progressive brackets). Use our Vermont income tax calculator above to estimate your specific tax.

What is the sales tax rate in Vermont?

The base state sales tax rate in Vermont is 6.00%. With local taxes, the combined rate can reach up to 7.00%. Groceries are generally subject to sales tax.

Does Vermont tax retirement income?

Vermont taxes retirement income such as pensions and 401(k) distributions as ordinary income. Check with a tax professional for specific retirement tax rules.

What is the standard deduction in Vermont for 2026?

The standard deduction for single filers in Vermont is $6,500 and $13,000 for married couples filing jointly.

How do Vermont tax rates compare to other states?

Vermont's top income tax rate of 8.8% is above the national average. Combined state and local sales tax rates in Vermont are 6.00%. Use our comparison tools to see how Vermont stacks up against neighboring states.