News
VT Tax Commissioner Bolio's overview of the Governor's tax proposals
Jan 29, 2025 —Look for more information in our next Legislative Update, but here is an overview of the Governor's tax proposals that were contained in the budget from Commissioner Bolio. This will get substantial review in the Committee over the next few weeks. You can read more here.
Property Tax Stabilization
- $77M from GF in one-time buydown in FY26
- use GF surplus to fund education transformation in FY27
Personal Income Tax Credits
- Will impact between 25-30,000 VTers
Child Tax Credit
- VT has state level 1K fully refundable child tax credit up to age 5 - proposal is to raise to age 6
3600 filers and 4.5 million in credit - total to 31M
Expansion of EITC
- Increase to those without dependents from 38% to 100%
- Impact 13,600 filers and cost $3M
Social Security
- Proposal is to expand exemption from tax by increasing thresholds by $5,000
- Cost $2 M and impact 8300 filers
Military Pay and Survivors Benefits
Fully exempt from tax
4300 filers and costs $3.9M
Increase Downtown and Village Center Tax Credit from $3 to $5 million
Currently oversubscribed
