Vermont income tax, by filing status
Tax year 2026
Tax on a $75,000 salary
$2,840
3.79% of pay, single filer
Against other states
24 of 51
1 takes the most
Top rate
8.75%
on the highest incomes only
Tax-free first
$7,650
of income, single filer
What filing status changes in Vermont
- The bands in Vermont do get wider for couples, just not evenly. With 4 bands and uneven widening, whether marrying costs you depends on how the two incomes compare.
- Vermont treats head of household as its own case, with its own bands. That is not universal — plenty of states just reuse the single table.
- Vermont lets a single filer keep $7,650 before tax starts, and doubles that to $15,300 for a couple. Straightforward, and not something every state does.
- Vermont widens joint brackets partially across its 4 bands, so the marriage effect is income-dependent rather than uniform. A couple with one earner generally benefits; two similar incomes generally do not, and the divergence widens approaching the about 8.75% top rate.
- Vermont maintains an independent head-of-household schedule. Roughly a third of income-taxing states do; the remainder apply the single schedule to head-of-household filers, so the two groups diverge in how much the status is actually worth.
- Vermont's standard deduction is $7,650 for single filers and exactly double at $15,300 for joint filers. Exact doubling makes the deduction marriage-neutral; states that widen it by less than double impose a penalty at the very bottom of the schedule, where it is least visible and proportionally largest.
Where the money goes
A $75,000 salary
- Federal income tax$7,670
- Social Security and Medicare$5,738
- State income tax$2,840
- Yours$58,753
| Federal income tax10.23% | $7,670 |
|---|---|
| Social Security and Medicare7.65% | $5,738 |
| State income tax3.79% | $2,840 |
| Yours78.34% | $58,753 |
Your next $1,000
A $75,000 salary
| Federal, on the next dollar | 22% |
|---|---|
| Social Security and Medicare | 7.65% |
| State, on the next dollar | 6.6% |
| Taken from the next $1,000 | $363 |
Rates shown are federal, Social Security and Medicare, and state. Any local tax is inside the kept amount.
How this state ranks, at this income
A $75,000 salary
| Take-home in Vermont | $58,753 |
|---|---|
| Rank once local prices are leveledBEA price parity | 29th of 51 |
| Most take-home at this income | South Dakota · $61,593 |
| Best once prices are leveled | South Dakota |
State income tax only — no city or county income tax is applied to any state here.
Your two tax rates
A $75,000 salary
- Next dollar36.25%
- All your pay21.66%
| On the next dollar | 36.25% |
|---|---|
| Across all your pay | 21.66% |
| The gap | 14.59% |
| Tax this year | $16,247 |
The outer ring shows tax on your next dollar. The inner ring shows tax as a share of all your pay.
Which rung you are on
A $75,000 salary
| This rung starts at | $66,500 |
|---|---|
| Next rung starts at | $121,800 |
| Room before it | $46,800 |
Federal only, measured on gross pay — so the first rung is what the standard deduction covers.
Vermont's ladder
A $75,000 salary
| Rungs in this state | 5 |
|---|---|
| Top rate begins | $257,350 |
Measured on gross pay, so any state standard deduction shows as a 0% first rung.
What filing status is worth
A $75,000 salary
| Single | $58,753 |
|---|---|
| Married filing jointly | $62,623 |
| Married filing separately | $58,488 |
| Head of household | $61,386 |
What each status computes to at this income. Which one you may use depends on your household.
The part never taxed
A $75,000 salary
- Never taxed$16,100
- Taxable$58,900
| Share of your pay | 21.47% |
|---|---|
| Taxable after it | $58,900 |
Federal income tax only. Social Security and Medicare start at the first dollar you earn.
The tax with a ceiling
A $75,000 salary
| Wage base | $184,500 |
|---|---|
| Social Security rate | 6.2% |
| Medicare surtax begins | $200,000 |
Social Security stops at the wage base. Medicare does not, and gains a surtax higher up.
What no income tax costs instead
A $75,000 salary
- Income
- Sales
- Property
| Income tax saved | $2,840 |
|---|---|
| Sales and property added | $0 |
| States with none | 9 |
Against the average of the states with no income tax. Stated assumptions: 30% spent taxably, a $300,000 home.
Tax brackets — Single
| Taxable income | Rate |
|---|---|
| Up to $49,400 | 3.35% |
| $49,400 – $119,700 | 6.6% |
| $119,700 – $249,700 | 7.6% |
| Over $249,700 | 8.75% |
Tax brackets — Married filing jointly
| Taxable income | Rate |
|---|---|
| Up to $82,500 | 3.35% |
| $82,500 – $199,450 | 6.6% |
| $199,450 – $304,000 | 7.6% |
| Over $304,000 | 8.75% |
Tax brackets — Head of household
| Taxable income | Rate |
|---|---|
| Up to $66,200 | 3.35% |
| $66,200 – $171,000 | 6.6% |
| $171,000 – $276,850 | 7.6% |
| Over $276,850 | 8.75% |
Tax brackets — Married filing separately
| Taxable income | Rate |
|---|---|
| Up to $41,250 | 3.35% |
| $41,250 – $99,725 | 6.6% |
| $99,725 – $152,000 | 7.6% |
| Over $152,000 | 8.75% |
What you'd actually owe, by filing status
Same gross income, four filing statuses. The gap between columns is entirely Vermont's own schedule and deduction — federal tax and FICA are not included here.
| Gross income | Single | Married filing jointly | Head of household | Married filing separately |
|---|---|---|---|---|
| $50,000 | $1,419 | $1,162 | $1,291 | $1,454 |
| $75,000 | $2,840 | $2,000 | $2,129 | $3,104 |
| $100,000 | $4,490 | $2,909 | $3,693 | $4,754 |
Questions people ask
If I earn more, does the higher rate apply to everything?
Only the money above each line takes the higher rate. Everything under it keeps the rate it had, which is why the real share is about 3.79% and not about 8.75%.
Is there an amount this state does not tax at all?
Yes. The first $7,650 of a single filer's income is out of reach — the standard deduction plus any opening band charged at nothing. Tax only starts above that line.
Can filing together cost us more than filing apart?
It can. The joint thresholds here widen, but not by double — so two similar incomes combined can reach a higher band sooner than they would have separately. The effect is small at modest incomes and grows with them.
Does the tax-free allowance double when we file together?
Two filers get two allowances. $7,650 becomes $15,300, an exact doubling, independently of what the bands do.
Is there a different schedule if I am not single or married?
There is. Vermont sets separate thresholds beyond single and joint, so the status you file under decides which bands you meet.
How do this state's marginal rates apply across income?
Vermont applies each marginal rate only to income within its bracket. The top marginal rate is about 8.75%; measured effective liability at this project's representative income is about 3.79%. Crossing a threshold cannot reduce net income.
Where does state income tax liability begin here?
Liability commences above $7,650 for a single filer, comprising the standard deduction and any zero-rate opening bracket. Filers below that threshold owe no state income tax, though a return may still be required.
Does this schedule create a marriage penalty?
Joint thresholds in Vermont exceed single thresholds but by less than a factor of two, producing a marriage penalty for couples with comparable incomes. The penalty is zero where one spouse has little income and rises with the symmetry of the two incomes.
How does the standard deduction scale for joint filers here?
The standard deduction doubles exactly for joint filers — $7,650 to $15,300 — so the deduction component is marriage-neutral. Bracket thresholds scale independently and may not be.
Which filing statuses carry their own schedule here?
Vermont publishes distinct bracket schedules for filing statuses beyond single and married-filing-jointly. Thresholds are set independently rather than derived by scaling, so status selection materially changes liability and cannot be approximated from the single schedule.