Is Vermont a state where withholding is required?

<p>When federal withholding is required, you must withhold Vermont income tax on payments to Vermont residents. When the receiver elects optional federal withholding but does not expressly specify that the payment is exempt from Vermont withholding, Vermont withholding is also required.</p>

what is Vermont state withholding tax?

<p>A withholding tax is a tax that deducts a certain amount from an employee's salary and pays it to the government. The money is deducted from the employee's annual income tax. An employee will receive a tax refund if too much money is withheld; if not enough is withheld, an employee will receive an extra tax bill.</p>

Vermont Payroll Services

Vermont Payroll Tax And Labor Laws

Get your Vermont State Tax ID Number

Click Here to Obtain State Tax ID
Click Here to Obtain State Unemployment Tax ID

Did you know that nonresidents working in Vermont are subject to Vermont withholdings, which are calculated on their total wages and reduced by the amount withheld for services rendered in other states?

Vermont Wage and Hour Laws

Employers must pay at least $11.75 per hour to employees covered by Vermont’s minimum wage statute.

Except for the following personnel, who are not covered:

- Outside salespeople; workers in managerial, administrative, or professional positions;
- laborers in agriculture;
- taxicab drivers;
- During the school year or during vacations, pupils work.

Vermont Payroll for Employers

Employers subject to Vermont’s wage payment statute must pay wages weekly, bimonthly, or semimonthly provided employees are given written notice. Paydays cannot be more than six days after the end of a pay month, or more than 13 days if a collective bargaining agreement allows for it. Every employee is protected.

Vermont Unemployment:

Taxable Wage Base ($000s): 14,100

New Employer Rate (% Taxable Wages) 1.0 – 5.6*

Vermont Income Tax Withholding

Employers in Vermont are required to withhold state income tax from their workers’ paychecks and return the withheld amounts to the Vermont Department of Taxes.

Firms in Vermont, as well as out-of-state employers with employees in the state, are obligated to withhold Vermont income tax from Vermont citizens and out-of-state persons working in Vermont. Out-of-state businesses with no operations in Vermont may deduct Vermont income tax from their employees’ salaries earned outside of the state as a convenience to their Vermont employees.

Vermont Benefits

Vermont Voting Rights:

Employer Right to Schedule Voting Hours Not Specified

Pay Deduction for Voting Time Leave No

Employers must provide enough unpaid time off for employees to vote in yearly town hall meetings.

How do I report new hires to the state?

Register and report new hires online
Mail or Fax New Hire Reporting Form
VDOL – New Hire Reporting
5 Green Mountain Drive
P.O. Box 488
Montpelier, VT 05601-0488
Fax: (802) 828-4286
Phone: (802) 828-4344

How do I submit Child Support payments?

- Register and remit payments online
- Mail coupon and payment to:
  Office of Child Support
  PO Box 1310
  Williston, VT 05495-1310
- Phone: (800) 786-3214

Vermont Links

Vermont Department of Taxes >>

Vermont Laws >>

Vermont SUI Rate >>

Vermont Department of Labor >>

Vermont Rules >>

Question on FUTA (Federal Unemployment Tax Act)

See What is FUTA article

AccuServe Payroll disavows any responsibility or warranty for the information on these state payroll pages. The material provided is for informational purposes only and does not constitute tax or legal advice. Verify this information with professional tax, legal, or other experts to see if and how it applies to your specific circumstances.

This website provides articles that are intended to be informative and educational. AccuServe Payroll is not responsible for the accuracy of any of the information provided on these pages. AccuServe Payroll does not necessarily agree with or support any of the views stated in the materials. The information contained in these documents should not be construed as legal or accounting advice, nor should it be used to replace legal, accounting, or other professional advice where the facts and circumstances justify it. If you need legal or accounting advice or other professional assistance, to address your specific facts, circumstances, and business needs, you should always consult a licensed attorney, accountant, or other tax specialists.