
What tax do you pay in Vermont?
Tax year 2026
On a seventy-five-thousand-dollar salary, state income tax in Vermont comes to about 3.79%. Shops charge 6.43% in sales tax as well, once state and local are added up.
Vermont levies an effective state income tax of 3.79% on a single filer at seventy-five thousand dollars. Combined state and local sales tax reaches 6.43% at the representative rate. ⚠️ Both figures are computed rather than quoted, and every input below carries its source and as-of date.
Income tax on $75,000
3.79%
rank 24 of 51
Combined sales tax
6.43%
rank 32 of 51
Vermont taxes income on a sliding scale. The more you earn, the higher the rate on that part of it — from about 3 cents of every dollar 3.35% up to about 9 cents of every dollar 8.75%.
Vermont applies a progressive bracket schedule for 2026, from about 3.35% to about 8.75%.
| 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% |
Shown for Single. Married filing jointly; Head of household; Married filing separately use a different schedule — see the calculator above for the exact figures.
Vermont also lets you subtract $7,650.00 before any of this applies.
Standard deduction (single): $7,650.
Taxable income basis: the state's own definition of taxable income (ownBase).
Sales tax
Vermont's state sales tax is 6%. Add local taxes on top and the real number moves. It ranges from 6.43% in Statewide average up to 7% in Chittenden County (Burlington).
State rate: about 6%. Combined with local add-ons, the range across loaded counties runs about 6.43% (Statewide average) to about 7% (Chittenden County (Burlington)).
| Category | Treatment |
|---|---|
| Groceries | Exempt (0% of the combined rate) |
| Prescription drugs | Exempt (0% of the combined rate) |
| Clothing | Exempt (0% of the combined rate) |
Property tax
Vermont taxes property heavily. The effective rate is 1.59% of what a home is worth, which ranks 5 nationally. Only a handful of states ask more.
Vermont's effective property tax rate is about 1.59% of market value, ranking 5 nationally — inside the top decile, against an unweighted mean across the fifty-one jurisdictions of about 0.94%.
A typical home here is worth $316,600.00, and the typical yearly bill is $5,039.00. Put the same $440,600.00 house here and it would cost $7,013 $7,012.59 a year to hold. That is money you pay every year you own it, not once.
Median owner-occupied home value is $316,600 with a median annual real estate tax of $5,039. Applying this state's effective rate to the site's reference price of $440,600 gives $7,013 a year — the two figures answer different questions, since the median bill blends the rate with local price levels while the reference bill isolates the jurisdiction. This is an effective rate, tax paid divided by market value, and not a nominal millage against an assessed value; the two are different quantities. A statewide ratio of medians also describes no particular address, so an individual county or property can sit well away from it.
US Census Bureau ACS 5-Year Estimates, tables B25103 (Median Real Estate Taxes Paid) and B25077 (Median Value, owner-occupied). ACS 5-year estimates covering 2020–2024, so the as-of date (2024-12-31) is the end of the estimation window rather than a measurement date. Last verified 2026-08-29.
Other costs to know about
Buying a home in Vermont means paying a real estate transfer tax. On a $440,600.00 home — the national median — that comes to about $4,537 $4,536.82.
Real estate transfer tax on a $440,600 home (NAR's June 2026 national median): $4,537 $4,536.82.
Source: 32 V.S.A. §9602, as amended by Act 181 (2024) — 0.5% on the first $200,000 of a principal residence + 1.47% above; genuinely blended at this price, not a high-tier surcharge, as of 2024-08-01.
Stay in a hotel in Vermont and the state adds about 9% to the room rate. Cities and counties add their own on top, and that part is often the bigger one.
State-level lodging tax: about 9%, combining the state lodging levy, sales tax where it reaches rooms, and any statewide assessment.
The state's own share only. Local occupancy taxes are set by cities and counties and are excluded here.
Every phone line in Vermont carries a $0.72 monthly charge for emergency services. It is a flat amount per line, so it costs a family with several phones more than the rate on the bill suggests.
State emergency-services surcharge: $0.72 per line per month, levied as a fixed charge rather than as a share of the bill.
Counties may levy their own emergency-services charge on top, and wireless bills carry further federal and state surcharges.
Leasing a car in Vermont is taxed up front on the whole value of the car, not month by month. That lands as a large bill at signing rather than a little each month.
Vehicle leases are taxed up front on the full value rather than on the payment stream, so the liability crystallises at inception.
No local rate applies to a lease here.
At a $75,000 salary, Vermont's state income tax works out to an effective rate of about 3.79% — roughly $2,840 a year — which is close to the middle nationally (24th of 51) among all 51 jurisdictions we track (50 states plus DC). The combined state and local sales tax rate in Statewide average is 6.43%, close to the middle nationally (32nd of 51) — on a $40,000 car purchase, that's about $2,570 in sales tax alone, on top of whatever income tax was already paid to earn the money in the first place. Vermont draws on both income and sales tax, unlike the handful of states that forgo one or the other entirely — so both layers matter when pricing out a purchase here, and neither one alone tells the whole story. Every purchase priced out on this site for Vermont uses these same verified, cited, Vermont-specific figures for both layers — never a national average quietly standing in for the real number.
What lands in your account
A $75,000 salary
| Take-home, year | $58,753 |
|---|---|
| Tax, year | $16,247 |
| Share of pay taxed | 21.66% |
This is an average rate across all your pay — not the rate on your next dollar.
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 |
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.
Property tax on a home here
A $75,000 salary
| State effective rate | 1.59% |
|---|---|
| Median home in this state | $316,600 |
| Median tax actually paid | $5,039 |
| Rate rank, highest first | 5th of 51 |
| Pay needed to cover it | $7,904 |
A statewide average effective rate. Your town, county and school district set the real bill.
Explore more about pay, taxes and comparisons in Vermont
What changed in Vermont
A $75,000 salary
No tax law changes recorded for this state in this period.
Vermont against Texas
A $75,000 salary
| Measure | Vermont | Texas |
|---|---|---|
| Take-home pay | $58,753 | $61,593 |
| Worth after local prices | $60,799 | $63,383 |
| Share of pay taxed | 21.66% | 17.88% |
| State sales tax | 6% | 6.25% |
| Groceries exempt here | Yes | Yes |
| Clothing exempt at $100 | Yes | No |
| Property tax rate | 1.59% | 1.49% |
| Price level | 96.6 | 97.2 |
| Housing prices | 82 | 97.4 |
| Fuel tax | 12.1¢ | 20¢ |
| Tobacco tax | $3.08 | $1.41 |
City income tax excluded. Sales-tax row: state-only. Exemptions: Vermont, Statewide average; Texas, Harris County (Houston). Clothing: one $100 item; higher prices can change tax.
What you would need there
A $75,000 salary
| To match take-home only | $70,964 |
|---|---|
| You could take a cut of | −$3,570 |
| Prices in Texas | 97 vs 97 |
State taxes and state price levels only. No city tax, and no housing market.
Every state, at your income
A $75,000 salary
| Best to worst | $6,012 |
|---|---|
| Behind the best | $2,840 |
| Best at this income | South Dakota |
State income tax only. Each dot is one state's take-home on this salary.
The three taxes you meet
A $75,000 salary
- Income tax21.66%
- Sales tax$1,058
- Property tax$4,775
| Income tax paid | 21.66% |
|---|---|
| Sales tax, on that spending | $1,058 |
| Property tax, on that home | $4,775 |
Three different bases, so never summed. Assumes 30% of take-home spent taxably, on a $300,000 home.
Property tax, against the country
A $75,000 salary
| Lowest in the country | 0.27% |
|---|---|
| Highest | 2.11% |
A statewide average effective rate. Your town and school district set the real bill.
When you start earning for yourself
A $75,000 salary
- To income tax · 80 days
- Yours · 285 days
| Share of pay taxed | 21.66% |
|---|
Your income tax, restated as time. Not the national figure, which counts every other tax too.
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.
Price something out in Vermont
Adjust assumptions
to cover an air conditioner
$532 invested upfront, assuming 7% a year. Includes your starting money and its growth. An illustration, not a forecast; investment growth is separate from the purchase cost above.
- Income tax (federal, FICA, state)36%$303
- Sales tax4%$32
- Air conditioner60%$500
- Income tax (federal, FICA, state)
- Sales tax
- Air conditioner
Data for nerds — sources, confidence and assumptions
Data for nerdssources, confidence, assumptions
Where each number comes from
| Component | Amount | Confidence |
|---|---|---|
| Item price | $500.00 | Your figureHigh confidence. You supplied this, so it is exact by definition. |
| Sales tax | $32.15 | JurisdictionalMedium confidence. The right jurisdiction, but special districts within it can vary — bounded, and we know the range. |
| Income tax to earn it | $302.58 | StatutoryHigh confidence. This number is the law — federal, FICA and state tax rates are published rates, so the only real risk is staleness. |
Jurisdiction applied
- State:
VT - Sales tax county:
Statewide average - Local income tax: none selected
Assumptions
- We use the normal sales tax rate.
- The electricity to run it is left out. Over the life of the unit that usually costs more than the unit did.
- Sales tax applies at the standard rate.
- Electricity to run it is excluded and typically exceeds the purchase price over the unit's life.
Sources
Your position in the tax system
36.25% on the next dollarEvery extra dollar you earn is taxed at your marginal rate, not your average one — which is why a purchase costs more to fund than a paycheck stub suggests.
Marginal rates are read in gross-income terms: below the standard deduction an extra dollar of pay adds nothing to taxable income, so the true rate there is 0%, not the lowest bracket's. Excludes pre-tax deductions (401(k), HSA), which would lower all three.
Same purchase, different state
VT is #46 of 51The purchase inputs and income stay the same. Your row uses your calculator settings; other states use example counties and omit local income tax. Spread across all 51: $173, from New Hampshire to California.
- $711
- Vermontyou$835
- $884
Choose a state name to compare against somewhere else.
Where every dollar goes
36% never reaches youThe $834.73 you must earn, followed to where it lands. Select a band to isolate it.
- Federal income tax$183.64
- FICA (Social Security + Medicare)$63.85
- VT income tax$55.09
- Air conditioner$500.00
- Sales tax$32.15
Each tax layer is the extra tax this purchase causes — that layer's tax at your income subtracted from its tax at your income plus the gross-up — so bracket boundaries the purchase straddles are handled correctly rather than smoothed over with an average rate.
Is a raise actually a raise?
you keep 64%A raise arrives on top of everything you already earn, so it is taxed at your marginal rate — not the average rate on your whole salary.
Federal, FICA, state and any local income tax — no pre-tax deductions, benefit changes, or payroll withholding quirks, all of which move the real figure. Moving into a higher bracket never taxes the income below the threshold: only the dollars above it pay the higher rate.
Deep dives for Vermont
Every purchase we model
Browse all 91 purchase categories
Questions people ask
If I move into the next tax bracket, is all my money taxed at the higher rate?
A raise never re-taxes what you already earned. The dollars above the line take the new rate; the ones below it keep the old one. Vermont has 4 bands stacked in that order.
Is the top rate the rate I actually pay?
No. The top rate is what the last slice of your money pays. Spread across everything you earned, the share that actually leaves is about 3.79% rather than about 8.75%.
Is what comes out of my paycheck the same as what I owe?
Usually not. Your employer withholds an estimate based on a form you once filled in; the return settles the real number. That difference is the refund or the bill.
Why is the sales tax I pay higher than the state rate?
Because the state rate is only the first layer. Counties, cities and special districts add their own on top, so the about 6% on the statute becomes about 6.43% at the register — and it changes street by street.
My property tax is a rate on a value nobody asked me about. Where does that value come from?
The county assesses it; you never quote a price. That number times about 1.59% is the bill, and Vermont runs above the about 0.94% national mean, so reassessments matter more here.
Does crossing a bracket threshold apply the higher marginal rate to all income?
Marginal rates apply only to income within each bracket. Vermont operates 4 brackets for a single filer, topping out at about 8.75%; income below each threshold keeps the lower band's rate. The bracket change itself cannot reduce net income; credits and benefits follow separate rules.
How does the top marginal rate differ from the effective rate?
The statutory top marginal rate in Vermont is about 8.75%, applying only to income above the final threshold. The effective rate — total state liability divided by gross income — is about 3.79% at this project's representative income for a single filer.
Does state withholding equal actual state liability?
Withholding is a prepayment computed from the allowances declared on a withholding certificate, not a liability calculation. Actual liability is determined on the annual return; the difference is refunded or collected. Neither over- nor under-withholding changes the amount owed.
What composes a combined sales tax rate?
The combined rate is the sum of the state levy and every local levy sourced to the point of sale. In Vermont the state component is about 6% and the representative combined rate is about 6.43%; county, municipal and special-district add-ons vary within the state, so a single statewide figure is an approximation.
How is the assessed value underlying a property tax bill determined?
Liability is assessed value × the applicable millage. Assessment methodology, cycle and any ratio or cap are set by the taxing jurisdiction, not by transaction price. Vermont's statewide effective rate is about 1.59% against a national mean of about 0.94%, so reassessment has a larger absolute effect here than the rate comparison alone suggests.