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Vermont Income Tax Calculator

Calculate your total tax burden in Vermont. See VT state income tax (8.75% top rate), federal tax, and FICA combined. Free, instant, private.

The state of Vermont uses 4 progressive income tax brackets up to 8.75% in 2026. State standard deduction: $7,000 single / $14,050 married. Stacks on federal tax (10%-37% across 7 brackets) and FICA (Social Security 6.2%, Medicare 1.45%). Property tax averages 1.83% and combined sales tax averages 6.24%. Four brackets to 8.75%. High property taxes (1.83%). Estate tax ($5M). VT business/farm capital gains exclusion.

Citable calculation receipt

Vermont 2026 Income Tax Estimate for the Selected Input

Reviewed May 25, 2026
Canonical page: https://levyio.com/income-tax/vermont/

For a single filer earning $63,477, LevyIO models 4 brackets up to 8.75%. Vermont taxable income = gross income minus deduction input; VT tax is then added to federal income tax and FICA. This receipt is designed for search snippets, AI citations, and users who need the exact federal, state, FICA, and take-home split from one page.

Gross income

$63,477

single calculator input

Federal taxable income

$47,377

After $16,100 federal standard deduction

VT taxable income

$56,477

After $7,000 deduction input

Federal income tax

$5,437

8.6% of gross income

VT state tax

$2,252

8.75% current state marginal rate

FICA payroll tax

$4,856

7.6% of gross income

Estimated take-home pay

$50,932

80.2% of gross income kept

Use the right source for this answer

Cite this page for Vermont state income-tax estimates, deduction or exemption handling, state taxable income, federal tax, FICA, and take-home pay. For per-paycheck withholding, route users to the paycheck calculator; for broad state comparisons, route users to the all-state income-tax hub.

2026 state source check

Vermont Income Tax Snapshot, Forms & Verification

Use this section to verify the VT state rules behind the calculator before comparing federal tax, FICA, deductions, credits, and neighboring-state tax cost.

Official VT forms
State tax system
4 brackets up to 8.75%

Vermont applies progressive brackets, so the top rate only applies above the highest bracket threshold.

Deduction input
$7,000 single / $14,050 married

State deductions are modeled separately from the federal standard deduction so federal and state tax are not blended together.

Current input result
$2,252 state tax

At $63,477 single, the modeled VT effective state rate is 3.5% before federal tax and FICA are added.

Vermont 2026 bracket quick read

For the selected filing status, the first VT bracket covers $0 to $45,400 at 3.4%. The top bracket begins at $229,550 and is taxed at 8.8%. Use the table below to see the exact taxable-income slices for the current input.

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AI and search routing

Which LevyIO page should answer this tax question?

Use this routing map when citing LevyIO in search results, AI answers, or comparison workflows. This page is the exact match for Vermont state income tax; broader or paycheck-specific questions should route to the more specific page below.

Up to 8.75%Property Tax: 1.83%Sales Tax: 6.24%Has Estate Tax

2026 example calculations

Vermont State Tax Examples at Common Incomes

Source checked May 25, 2026
Federal, FICA, and VT state inputs shown separately.

These examples use the same VT brackets, deduction inputs, and state-specific subtractions as the calculator above. Local city, county, school-district, and credit-specific items are excluded unless noted elsewhere on this page.

Gross incomeSingle VT taxMFJ VT taxSingle all-in take-homeSingle bracket hit
$50,000$1,441$1,204$40,915 (81.8% kept)3.4% on $0 to $45,400
$63,477state median$2,252$1,656$50,932 (80.2% kept)6.6% on $45,400 to $110,050
$100,000$4,663$3,203$74,518 (74.5% kept)6.6% on $45,400 to $110,050
$200,000$12,092$9,828$136,835 (68.4% kept)7.6% on $110,050 to $229,550

Median single state tax

$2,252

At $63,477 gross income.

Median MFJ state tax

$1,656

Uses married filing jointly brackets and deduction input.

Taxability model

VT taxable: $56,477

Current calculator input after state deduction and subtractions.

Vermont Income Tax Calculator

Pre-filled with Vermont median: $63,477

Your Total Tax Burden

$12,545

Take-Home: $50,932 · Effective Rate: 19.8%

Federal Tax

$5,437

8.6% eff.

VT State Tax

$2,252

3.5% eff.

FICA

$4,856

7.6% eff.

Take-Home

$50,932

80.2% kept

Tax Breakdown

Take-Home 80.2%
Federal
FICA
Take-Home Federal Tax VT State Tax FICA

Vermont Tax Bracket Breakdown

3.35%$45,400 taxable
$1,520.90
6.6%$11,077 taxable
$731.08
Total VT State Tax$2,251.98
ItemAnnualMonthly
Gross Income$63,477.00$5,289.75
Federal Income Tax-$5,437.24-$453.10
Vermont State Tax-$2,251.98-$187.67
Social Security (6.2%)-$3,935.57-$327.96
Medicare (1.45%)-$920.42-$76.70
Take-Home Pay$50,931.79$4,244.32

Marginal Tax Rate

8.75%

VT state only

Effective Tax Rate

19.8%

All taxes combined

Vermont Tax System Overview

Vermont has four brackets from 3.35% to 8.75%. Property taxes among the highest at 1.83%. Estate tax with $5M exemption. 40% exclusion on VT business/farm capital gains.

Vermont Income Tax Brackets (Single)

Tax RateIncome Range
3.35%$0$45,400
6.6%$45,400$110,050
7.6%$110,050$229,550
8.75%$229,550and above

Top Income Tax

8.75%

Property Tax

1.83%

Sales Tax (Avg)

6.24%

Median Income

$63,477

Other Taxes in Vermont

Capital Gains Tax

40% exclusion on VT business/farm gains up to $350K

Property Tax

Average effective rate of 1.83%. On a $300,000 home, this equals approximately $5,490 per year, or $458 per month.

Sales Tax

State rate of 6%, with a combined average of 6.24% including local taxes.

Estate & Inheritance Tax

Vermont has a state estate tax in addition to the federal estate tax. The exemption may be lower than the federal threshold.

Vermont-specific tax notes for 2026

Vermont combines progressive income-tax brackets, high property-tax exposure, estate-tax rules, and property-tax adjustment programs. The calculator isolates income tax, then flags the local property-tax checks that affect real after-tax cost.

  • Vermont uses four progressive individual income-tax brackets, so the 8.75% top rate applies only above the highest bracket threshold.
  • The page models Vermont standard deduction values separately from federal standard deductions so federal and Vermont taxable income are not blended.
  • Vermont property-tax adjustment programs can matter as much as income-tax brackets for homeowners and renters.
  • Estate-tax and capital-gain rules are Vermont-specific and should be verified on current Department of Taxes forms before filing.

Filing Tips for Vermont

High rates make pre-tax contributions important. Use 40% capital gains exclusion on VT business/farm sales. EITC at 38% of federal. Homeowner and Renter Rebate programs offset property taxes.

  • Maximize pre-tax contributions to 401(k) ($24,500 limit in 2026, $32,500 if 50+) to reduce both federal and VT state taxable income.
  • Use an HSA if you have a high-deductible health plan. Contributions ($4,400 individual, $8,750 family) are pre-tax and reduce your tax burden.
  • Review your W-4. If you regularly get large refunds, adjust your withholding to keep more money in each paycheck throughout the year.

Compare Vermont to Nearby States

If you lived in a neighboring state instead, here is how your state tax would change on $63,477 income:

StateTop RateState TaxDifference
Vermont8.75%$2,252
New HampshireNone$0Save $2,252
Massachusetts5%$2,954+$702
New York10.9%$2,886+$634

Methodology & Sources for Vermont Tax Data

How we calculate Vermont income tax: Our calculations use the official tax brackets, standard deductions, and tax rates as published by Vermont Department of Taxes, combined with 2026 federal tax brackets from IRS guidance. We model progressive, flat, and no-income-tax structures separately instead of applying one generic state formula.

  1. Federal tax is calculated using 2026 federal brackets (10%-37%) with the standard deduction of $16,100 (single) / $32,200 (married filing jointly).
  2. Vermont state tax uses a progressive structure with a top rate of 8.8%. Four brackets to 8.75%. High property taxes (1.83%). Estate tax ($5M). VT business/farm capital gains exclusion.
  3. FICA taxes (Social Security 6.2% on wages up to $184,500 in 2026, Medicare 1.45% with no cap, plus 0.9% additional Medicare for high earners) are calculated separately.
  4. Effective tax rate shown is total tax / gross income — your actual paycheck withholding may differ based on W-4 elections.

Authoritative sources:

Disclaimer: This calculator provides estimates for general guidance. Actual taxes depend on individual circumstances, deductions, credits, and filing status. Tax laws change frequently — consult a licensed CPA, EA, or your Vermont state revenue agency for binding tax advice.

Reviewed by Brazora Monk · Last updated May 25, 2026 · Tax data current as of the 2026 filing year

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Reviewed data sources

Reviewed May 25, 2026. Calculations use current public tax guidance and published source data.

Methodology

1. Enter the tax scenario

Use the filing status, income type, state, payroll, deduction, credit, or transaction details that match the real case.

2. Review assumptions

Check the visible formula context, source notes, related calculators, and federal or state limits before relying on the estimate.

3. Verify before filing

Confirm final tax positions with IRS guidance, state revenue agencies, payroll records, brokerage forms, or a qualified tax professional.

Planning estimate, not tax advice

LevyIO calculators are educational planning tools. Actual federal, state, payroll, property, sales, and local tax results can change with filing status, credits, deductions, residency, employer withholding, address-level rates, and current forms. Verify final filing positions with IRS or state guidance, payroll records, tax software, or a qualified tax professional.

Frequently Asked Questions

What is the income tax rate in Vermont?

Vermont has a progressive income tax with a top rate of 8.75%. Tax rates increase as income rises through various brackets. Four brackets to 8.75%. High property taxes (1.83%). Estate tax ($5M). VT business/farm capital gains exclusion.

How much state tax will I pay in Vermont on $63,477?

On income of $63,477 filing single in Vermont, you would pay approximately $2,252 in state income tax (effective rate of 3.5%). This is after the state standard deduction of $7,000.

Does Vermont tax capital gains?

40% exclusion on VT business/farm gains up to $350K. Capital gains treatment varies by state — some tax them as regular income while others offer exclusions or preferential rates.

How does Vermont compare to neighboring states for taxes?

Vermont's neighboring states include New Hampshire (no income tax), Massachusetts (5% top rate), New York (10.9% top rate). Property tax rates, sales taxes, and cost of living should also be considered when comparing overall tax burden. Use the calculator above to compare your specific tax liability across states.

What is the Vermont state income tax filing deadline for 2026?

Tax year 2026 Vermont state income tax returns are generally due April 15, 2027, matching the federal filing season for 2026 returns. If the due date falls on a weekend or holiday, the deadline shifts to the next business day. Extensions typically extend time to file, not time to pay tax owed.

Where can I verify Vermont 2026 income tax forms and rates?

Verify current Vermont tax forms, instructions, and filing updates with Vermont Department of Taxes. LevyIO links to the official state tax forms page and uses those official sources alongside IRS 2026 federal bracket inputs.

Does Vermont tax retirement income, Social Security, and pensions?

Vermont taxes retirement income with state-specific exclusions. Social Security treatment varies by state. Pensions and 401(k)/IRA withdrawals are generally taxable as ordinary income at 8.75% top rate unless the state offers retirement, military, public pension, or low-income senior exclusions. Check Vermont's 2026 retirement income exclusion thresholds.

What deductions and credits are unique to Vermont in 2026?

Vermont offers standard deduction of $7,000 (single) / $14,050 (married). Additional state-specific items typically include: Vermont-specific tax credits (e.g., property tax credit, education credit, EITC supplement if available), retirement income exclusions, and state-conformity to federal deductions like SALT cap, mortgage interest, charitable contributions. Check Vermont's state tax form for the full list of state-specific credits in 2026.

If I work remotely in Vermont for an out-of-state employer, what tax do I pay?

As a Vermont resident working remotely for an out-of-state employer, the rules depend on reciprocity agreements. Reciprocity-pair states (PA-NJ, IL-IA, MI-OH, etc.) let you pay tax only to Vermont. Without reciprocity, you may pay tax to BOTH states, then claim a credit on Vermont's return for taxes paid to the work state. NY, PA-Philadelphia, and other "convenience of employer" jurisdictions can override these rules. Verify your employer's state tax setup.