State Income Tax
Vermont imposes a state income tax using a graduated tax structure with 4 brackets ranging from 3.35% to 8.75%. The filing deadline is 2026-04-15. Social Security benefits are subject to state income tax in Vermont. Retirement income is generally taxable. Social Security and retirement income exempt for low-to-middle income filers.
Retirement Income Details
Social Security and retirement income exempt for low-to-middle income filers.
Does Vermont have a state income tax?
Yes. Vermont has a state income tax with a graduated structure ranging from 3.35% to 8.75% across 4 brackets.
What is the Vermont income tax rate?
Vermont has a graduated income tax with 4 brackets. The lowest rate is 3.35% and the highest rate is 8.75%.
Is Social Security taxed in Vermont?
Yes. Vermont taxes Social Security benefits as part of state income. Retirees should factor this into their retirement income planning.
Is retirement income taxed in Vermont?
Yes. Vermont generally taxes retirement income. Social Security and retirement income exempt for low-to-middle income filers.
When is the Vermont income tax filing deadline?
The Vermont state income tax filing deadline is 2026-04-15. You can file and pay through the official Vermont Department of Revenue portal.
What is the standard deduction in Vermont?
Vermont's standard deduction is $6,000 for single filers and $12,000 for married filing jointly. A personal exemption of $4,850 (single) may also apply.
How does Vermont income tax compare to neighboring states?
Vermont's top rate of 8.75% is among the higher state income tax rates nationally. Use the comparison table above to see how neighboring states compare.
Official Payment Portal
Vermont Department of Revenue
Last verified: 2026-03-31 · Always consult a tax professional before making financial decisions.