Vermont Income Tax Rate 2024 - 2025
Vermont state income tax rate table for the 2024 - 2025 filing season has four income tax brackets with VT tax rates of 3.35%, 6.6%, 7.6%, and 8.75% for Single, Married Filing Jointly, Married Filing Separately, and Head of Household statuses. The Vermont tax rate is unchanged from last year, however, the income tax brackets increased due to the annual inflation adjustment.
Vermont income tax rate and tax brackets shown in the table below are based on income earned between January 1, 2024 through December 31, 2024. Outlook for the 2025 Vermont income tax rate is to remain unchanged with income tax brackets increasing due to the annual inflation adjustment. The Vermont legislature attempted to pass a 3% wealth tax in 2024 which would have increased the top tax rate from 8.75% to 11.75%. The wealth tax would have applied to incomes over $500,000.
| Income Tax Bracket | Tax Rate 2024 | ||
|---|---|---|---|
| $0 | to | $47,900 | 3.35% |
| $47,901 | to | $116,000 | 6.6% |
| $116,001 | to | $242,000 | 7.6% |
| $242,001 | to | ∞ | 8.75% |
| Income Tax Bracket | Tax Rate 2024 | ||
|---|---|---|---|
| $0 | to | $79,950 | 3.35% |
| $79,951 | to | $193,350 | 6.6% |
| $193,351 | to | $294,650 | 7.6% |
| $294,651 | to | ∞ | 8.75% |
| Income Tax Bracket | Tax Rate 2024 | ||
|---|---|---|---|
| $0 | to | $39,975 | 3.35% |
| $39,976 | to | $96,675 | 6.6% |
| $96,676 | to | $147,325 | 7.6% |
| $147,326 | to | ∞ | 8.75% |
| Income Tax Bracket | Tax Rate 2024 | ||
|---|---|---|---|
| $0 | to | $64,150 | 3.35% |
| $64,151 | to | $165,700 | 6.6% |
| $165,701 | to | $268,350 | 7.6% |
| $268,351 | to | ∞ | 8.75% |
Source: 2024 Preliminary Vermont Tax Rates, published by the Vermont Department of Taxes.
Please reference the Vermont tax forms and instructions booklet published by the Vermont Department of Taxes to determine if you owe state income tax or are due a state income tax refund. Vermont income tax forms are generally published at the end of each calendar year, which will include any last minute 2024 - 2025 legislative changes to the VT tax rate or tax brackets. The Vermont income tax rate tables and tax brackets shown on this web page are for illustration purposes only.
Vermont Tax Brackets 2024 - 2025
Looking at the tax rate and tax brackets shown in the tables above for Vermont, we can see that Vermont collects individual income taxes differently for Single versus Married filing statuses, for example. We can also see the progressive nature of Vermont state income tax rates from the lowest VT tax rate bracket of 3.35% to the highest VT tax rate bracket of 8.75%.
For single taxpayers living and working in the state of Vermont:
- Tax rate of 3.35% on the first $47,900 of taxable income.
- Tax rate of 6.6% on taxable income between $47,901 and $116,000.
- Tax rate of 7.6% on taxable income between $116,001 and $242,000.
- Tax rate of 8.75% on taxable income over $242,000.
For married taxpayers living and working in the state of Vermont:
- Tax rate of 3.35% on the first $79,950 of taxable income.
- Tax rate of 6.6% on taxable income between $79,951 and $193,350.
- Tax rate of 7.6% on taxable income between $193,351 and $294,650.
- Tax rate of 8.75% on taxable income over $294,650.
For the Single, Married Filing Jointly, Married Filing Separately, and Head of Household filing statuses, the VT tax rates and the number of tax brackets remain the same. Notice, however, the first Vermont income tax bracket for Married Filing Jointly increases from $47,900 to $79,950 at 3.35%, and later increases from $242,000 to $294,650 at 8.75% the highest tax bracket. Married Filing Separately income tax brackets are one half that of the Married Filing Jointly income tax brackets in the state of Vermont.
Last updated: December 8, 2024
References:
- Vermont Tax Rate Schedules. State of Vermont, Vermont Department of Taxes. Retrieved December 8, 2024.
- 2024 Preliminary Vermont Tax Rates (pdf). State of Vermont, Vermont Department of Taxes. Retrieved December 8, 2024.
- Chapter 151 Income Taxes. Vermont Legislature, State of Vermont. Retrieved December 8, 2024.
- House passes H.829, increasing taxes on Vermont's wealthiest. Vermont Biz, News. Retrieved December 8, 2024.
- A wealth-tax bill roared to victory in the House. Then it died in the Senate. What happened?. The Commons, Brattleboro, VT. Retrieved December 8, 2024.