Filing your Vermont sales tax return is simple with the state’s online system. You can file and pay directly through the MyVTax website, as long as your business is registered to collect and remit sales tax.
This guide will walk you through the step-by-step process of filing online so you can submit returns on time, avoid penalties, and stay compliant with Vermont’s sales tax rules.
What You Need Before Filing
Before filing your sales tax return, you must prepare specific records to ensure your report is accurate. Here are the standard documents required to file a sales tax return in Vermont:
- Vermont Business Tax Account (Sales Tax License) – You’re required to have a Vermont Business Tax Account to file your sales tax return.Once your registration with the Vermont Department of Taxes is approved, you should receive your MyVTax account login details via email. Upon logging in, you can view your sales tax license information online.After 7 to 14 business days, you should also receive a physical copy of your license at the address you provided during registration.
- MyVTax Account Log-in Details – The primary way to file your Vermont sales tax return online is by logging into your MyVTax account. To access the site, ensure you have your log-in credentials ready (e.g., your username and password, which you created during registration). You will also need the Access Code (PIN) you received in the mail to fully link and activate your account.
- Total Sales – Gather your total revenue during the filing period. This includes all sales, whether they’re taxable or not. Even if you currently have no sales records, the state still requires you to file a return.
- Taxable Sales – Compile the total taxable sales your business made within the filing period. You’ll need this data to determine how much sales tax you owe and must pay for the filing period.
- Taxable Purchases – Verify the total amount of taxable purchases your business spent within the filing period. This applies to both in-state and out-of-state transactions. Generally, businesses do this to report Use Tax, which is due when they did not pay sales tax at the time of purchase.
- Use Tax Liability – Be prepared to report any use tax owed. Businesses owe use tax on taxable items they purchased for business use where the seller did not collect sales tax.
- Local Sales Tax Report – Some municipalities in Vermont impose local option taxes (LOT). If your sales are subject to LOT, you must keep track of those sales to ensure your sales tax report is accurate.To simplify your process, your report must accurately account for and separately report all your sales in each city or local jurisdiction that imposes a Local Option Tax in Vermont.
- Bank Account and Routing Number – Select which bank account you want to use for paying the due taxes in your report. Prepare your bank details and routing number ahead of time.
- Filing Frequency Schedule – The Vermont Department of Taxes assigns a specific due date for every registered business. To find out your designated schedule, you can log in to your MyVTax account or check your Vermont Sales Tax License document.
Step-by-Step: How to File Vermont Sales Tax Online
Step 1. Go to the state sales tax portal website – MyVTax Step 2. Prepare your Ecommerce Sales Tax Data (e.g., Taxes Report from Shopify). Step 3. Enter your Account Credentials: Log in using your username and password. Check your shared email or phone number, and input the OTP when applicable.
Step 4: Under the Action Center tab, click File Return.
Step 5: Enter the total sales, including local sales based on your tax report, then click Next.
Step 6: Enter your bank information, then click Next.
Step 7: If applicable, enter the name and details of your business representative, then click Submit.
Step 8: Save the confirmation in your preferred location for recordkeeping purposes. Keeping online records using Google Drive is a common practice.
Helpful Tip: You can always click on “Save and Submit Later” to avoid losing your progress. This tip helps in case internet issues, website downtime, or other disruptions interrupt the filing process.
Due Dates
The Vermont Department of Taxes assigns the filing frequency for every taxpayer. Depending on the previous calendar year’s sales tax liability, you may be assigned a monthly, quarterly, or annual filing frequency.| FREQUENCY | REQUIREMENT | REPORTING PERIOD | DUE DATE |
| Monthly | Annual sales tax collection is $2,500 or more | Monthly | Due on the 25th day of the month following the reporting period |
| Quarterly | Annual sales tax collection is more than $500 but less than $2,500 |
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| Annually | Annual sales tax collection is $500 or less | Every 12 months | January 25 |
Timely Filing Discount
Some states give businesses a discount for collecting, filing, and remitting sales tax on time. However, Vermont currently does not offer any timely filing discount. Therefore, the state requires taxpayers to remit the full amount of sales tax collected.Filing Amended Returns
If you wish to correct a previously submitted return, you may do so by utilizing the amend feature in myVTax. Amended paper returns must be marked with the word “Amended” at the top of the form.Refunds
In case you overpaid your taxes on your previous sales tax return, the Vermont Department of Taxes allows you to request a refund. To request a sales tax refund after filing a return in Vermont, follow these steps:- Step 1: Amend your return – For quicker results, using the amend feature in myVTax is the standard method. If you filed by paper, you must mark the top of the form as “Amended” and wait for the department to receive your form.
- Step 2: Check the limitation period – Before amending your return, you must ensure that it’s still within the allowed statute of limitations. Generally, you can only amend and request a refund within 3 years of the date the original return was due.
- Step 3: Determine the Filing Method – Amending the return in MyVTax usually initiates the refund process automatically for overpayments. The separate Form REF-620, Application for Refund of Vermont Sales and Use Tax, is typically used for specific, non-return-related refund requests or by taxpayers without a MyVTax account.
- Step 4: Prepare supporting documents – Provide proof of the transaction you wish to request a refund for. In this case, you must show evidence that you have refunded the customer, including the sales tax that was paid.The state requires this proof for vendor refunds, and the department uses it to verify your eligibility for the claimed amount.
- Step 5: Wait for the refund result – Depending on your attached supporting documents, the state may or may not accept your request.Since sales tax follows a different verification process from other tax types, expect to wait a few business days up to a week before receiving the department’s decision.
Filing Zero Returns in Vermont
In Vermont, registered taxpayers are still required to file a return even if they have no sales to report. To file a zero return, you only have to write “0” (zero) in the appropriate fields of your sales tax return form.Other Filing Methods in Vermont
If you’re having difficulties filing your Vermont sales tax return online, you can try other options.- File with TaxHero – Let expert accountants in TaxHero prepare your sales tax returns for you. We’ll take everything off your hands so that you can spend your time more efficiently managing your business.
- File by Paper – If you only make sales in a single location in Vermont, you’re allowed to file returns by paper. However, if local option taxes (LOT) apply to your sales, the state requires you to file electronically.To file by paper, you must download and fill out the Form SUT-451 (Sales and Use Tax Return) from the Vermont Department of Taxes website. After filling out the document, mail it to the address provided on the form.For further guidance, you may read the state’s official instructions.