The Kiplinger Tax Map: Guide to State Income Taxes, State Sales Taxes, Gas Taxes, Sin Taxes
Tool | Updated October 2018

State-by-State Guide to Taxes

Compare state tax rates and rules — on income, ordinary purchases, gas, sin products, property, and more — across the U.S.


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The Bottom Line
Map of Vermont

Least Tax-Friendly

Just across the Connecticut River from low-tax New Hampshire, Vermont is a different place altogether, with income tax rates that reach 8.75%. It’s one of Kiplinger’s top ten least tax-friendly states

While sales taxes in the Green Mountain are modest, it’s an expensive place to own a home (as well as heat it). The median property tax on the state’s median home value of $218,900 is $3,893, the eighth-highest in the U.S. What’s more, changes the state made to its tax structure in the wake of the new federal tax law mean that all filers will now have to take Vermont’s standard deduction. If you have a big mortgage, for example, that might well work against you.

Sales Tax

6% state levy. Municipalities can add 1% to that, but the average combined rate is 6.18%. A wide range of clothing is exempt year round.

Income Tax Range

Low: 3.35% (on up to $38,700 of taxable income for singles and up to $64,600 for joint filers)

High: 8.75% (on taxable income over for $195,450 for singles and up to $237,950 for joint filers)

See’s Retiree Tax Map to learn how Vermont taxes Social Security income and other forms of retirement income.

Motor Fuel Taxes

Gasoline: $0.32 per gallon.
Diesel: $0.32 per gallon.

Property Taxes

The median property tax on Vermont’s median home value of $218,900 is $3,893.

See’s Retiree Tax Map for details on tax breaks for seniors in Vermont.

Vehicle Taxes

Sales tax due on purchases.

Sin Taxes

Cigarettes: $3.08 per pack
Snuff & other smokeless tobacco: $2.57 per ounce
Cigars: Variable by price; as high as $4 per cigar
Other tobacco products: 92% of wholesale price

Beer: $0.27 per gallon (6% alcohol and above, $0.55 per gallon)
Wine: $0.55 per gallon
Liquor: $7.72 per gallon.
Vermont directly controls the distribution and sale of alcohol. Liquor tax is an estimate by the Distilled Spirits Council of the United States and published by the Tax Foundation.

Travel Taxes

Hotel: Lodging tax is 9%, paid in lieu of sales tax. Many municipalities add 1%. The cities of Burlington and Rutland have their own lodging taxes.

Rental cars: 9%

Taxes On Wireless Service


Inheritance and Estate Taxes

Estate tax is imposed on estates exceeding $2.75 million. The rate is a flat 16%. There is no inheritance tax.

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