SEFRO/tax

Vermont Sales Tax: Rates, Rules, and How to Calculate It (2026)

Vermont's 6% state rate is among the nation's lowest, making it attractive for retailers and consumers alike. The combined rate rarely exceeds 7.36% even with local additions. Groceries and clothing get a break—both are exempt from tax across the state.

Key takeaways — Vermont sales tax
Statewide base rate6%
Typical combined rate6%–7.36%
Are groceries taxed?Exempt
Economic nexus threshold≈$100,000/yr (verify)
Taxing jurisdictions tracked316
Get the exact rateLook up any Vermont ZIP or address instantly

How much is sales tax in Vermont?

Vermont starts with a 6% base rate statewide. When you factor in local rates, the combined range spans from 6% to 7.36%, averaging 6.39% across the state's 316 taxing jurisdictions. Montpelier pushes toward the high end at 7.36%.

You can't assume a ZIP code's rate because local rates vary by jurisdiction. Even neighboring towns may have different combined rates. That's why checking your specific address through an API like Sefro's is the only way to know what you'll actually owe.

What's taxed and what's exempt in Vermont

Groceries are exempt in Vermont, and so is clothing—rare perks that make the state friendly to shoppers buying essentials. These exemptions hold statewide, so you won't see groceries or clothing taxed regardless of where in Vermont you're shopping.

SaaS and digital software are taxable in Vermont, so that software subscription is subject to tax. Prescription medicines are exempt. Restaurant and prepared food? They're taxable—eating out carries the full local sales tax, but buying ingredients at the store does not.

Do you have to collect Vermont sales tax? (Economic nexus)

Like most states after the 2018 Wayfair decision, Vermont requires out-of-state sellers to register and collect once their sales into the state cross an economic-nexus threshold. That line is commonly around $100,000 of sales into Vermont per year, and some states also count a number of separate transactions — but the exact figure, and whether the transaction count still applies, change from time to time. Confirm Vermont's current threshold before you rely on it.

If you sell into Vermont from out of state, the practical question is whether you've crossed that line. Watching your sales into each state is how you know when you're on the hook — and it's the kind of thing that's easy to miss until a notice shows up.

Nexus rules change often and vary by state (reviewed 2026-01-01). This is general information, not tax advice — confirm your obligations with the Vermont Department of Revenue or a tax professional.

How to calculate Vermont sales tax

The math itself is simple: multiply the taxable price by the combined rate for the buyer's location. A $100 order at 6.388% means about $6.39 in tax. The hard part is getting the right rate for every address, keeping it current as rates change, and doing it fast enough to run inside a checkout.

That's what Sefro does. One API call returns the combined state, county, city, and special-district rate for any US address, sourced from state Departments of Revenue and refreshed weekly. You can also calculate the full tax on an order, validate addresses, and pull return-ready reports. See how the data is sourced or pricing to start.

Look up the Vermont sales tax rate for any ZIP

Enter a Vermont ZIP code to see the live combined rate from the Sefro API.

Frequently asked questions

What is the sales tax rate in Vermont?

What is the sales tax rate in Vermont? Vermont's state rate is 6%, but local rates push the combined rate anywhere from 6% up to 7.36%, depending on your location. Montpelier has one of the highest combined rates in the state.

Are groceries taxed in Vermont?

Are groceries taxed in Vermont? No, groceries are exempt throughout Vermont. Clothing is also exempt, which is another consumer-friendly policy.

Do I have to collect Vermont sales tax if I sell online?

Once your sales into Vermont cross its economic-nexus threshold — commonly around $100,000 a year, sometimes with a transaction count — you generally must register and collect. Because states adjust these rules, check Vermont's current figure before relying on it.

How do I find the exact rate for a Vermont address?

How do I find the exact rate for a Vermont address? Enter your specific address or ZIP code into a lookup tool. Sefro's API will return the exact combined rate for any Vermont address, accounting for all state and local taxes.

Is SaaS or digital software taxable in Vermont?

Is SaaS or digital software taxable in Vermont? Yes, SaaS is taxable in Vermont. If you're billing customers in the state for software services, you'll need to charge and remit sales tax.

Does Vermont have local sales taxes on top of the state rate?

Does Vermont have local sales taxes on top of the state rate? Yes, Vermont has local sales taxes. The state rate of 6% is just the starting point—local jurisdictions add their own rates, resulting in combined rates up to 7.36% depending on the municipality.

Handle Vermont sales tax with one API call

Skip the rate tables and district lookups. Sefro returns the exact combined rate for any Vermont address in one request — start with a free trial.

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Rates and rules on this page are provided for general information only and are not tax or legal advice. Rates change; confirm the current rate and your filing obligations with the Vermont Department of Revenue or a qualified professional. See our Terms.