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Vermont property taxes

Varies

Are Property Taxes Deductible in Vermont?

Short answer: Yes on your federal return if you itemize, within the $40,400 SALT cap. Vermont adds its own break: Property Tax Credit up to $5,600 (education) plus $2,400 (municipal) for homesteads with 2025 household income up to $115,400.

Also: Refundable Renter Credit based on 10% of local fair market rent, with county income limits. Homestead: No dollar exemption; filing a Homestead Declaration gets you the lower homestead education tax rate. Vermont homeowners must file a Homestead Declaration every year to qualify for the property tax credit.

Records to keep: Keep receipts, statements, and a note of what each cost was for. Compare itemizing to the 2026 standard deduction ($16,100 single / $32,200 joint) before you claim.