Any business that sells goods or taxable services within the state of Vermont to customers located in Vermont is required to collect sales tax from that buyer.
Do you need to get a Sales Tax certificate in Vermont?
You may need a Sales Tax Certificate if any of the following apply your business:
- You have a physical office or place you conduct
- You sell or ship products to a buyer in Vermont
- Your business sells tangible goods and products to an end user
What constitutes taxable services in Vermont?
The majority of service businesses are not taxable in Vermont. The exceptions would be if your business offers public utility services dealing with gas and electricity and telecommunication services
Why do I need a Sales Tax Certificate to purchase wholesale items for Resale in the State of Vermont?
As a wholesale company conducting business in the state of Vermont, you are required to have a sales tax certificate when purchasing items at wholesale prices, Therefore, suppliers must request a copy of your resale certificate before selling you items at wholesale prices.
Do you need to collect sales tax on shipping and handling of merchandise?
Shipping and handling charges are generally not taxable if you separate it from the purchase price of the item being sold on the invoice.
Is there sales tax on drop shipments in the state of Vermont?
A drop shipment is where a seller (most times out of state) sells a product which is then delivered to a consumer by a third-party shipper. In most instances, drop shipments in Vermont are required to have sales tax added
Are there any exemptions to taxable items sold?
Sales tax exemptions would be groceries, clothing, leases or rentals of motor vehicles, medical devices, prescription medicine, pollution control equipment and raw materials used in manufacturing and machinery
Register for a Vermont sales/use tax number
Vermont state, county, city, & municipal tax rate table