Vermont State Tax Guide

State tax registration guide for Vermont

Need to register taxes in another state? Review the State Tax Guide section in our Tax Services Toolkit. 

REQUIRED REGISTRATIONS

• Unemployment Insurance: Vermont Department of Labor

• Income Tax Withholding: Vermont Department of Taxes

REQUIRED INFORMATION

• SIT ID # (format: WHTXXXXXXXX)

• SIT payment frequency

• SUI ID # (format: XXXXXXX)

• Current year SUI rate.

If Namely needs to backfile a missing original return, or file an amended return, completion of the VT SIT Agent authorization is required.   

REGISTERING FOR UNEMPLOYMENT INSURANCE

New employers in Vermont must register with the Vermont Department of Labor by completing the online registration here. 

Tip:

Future-date registration is possible for this state's unemployment insurance! 

Once registered, you'll receive an Unemployment Account Number (UI) and Unemployment Rate (%) which you'll need to enter into Namely Payroll under Company > Tax (UI tax). 

Employers who have run payroll in the past, can find their Withholding Account number on notices received from the Vermont Department of Labor such as the Contribution Rate Notice or Quarterly Wage & Contribution Report (Form C-101). 

Contact:

Call the agency at (802) 828-4344 if you need further assistance.

REGISTERING FOR INCOME TAX WITHHOLDING

If this is your first time running payroll in Vermont, you'll need to register with the Vermont Department of Taxes by completing the steps outlined in the Business Registration website. 

TIP:

Future-date registration is possible for this state's income tax withholding! 

Once registered, you'l receive a Withholding Tax Account Number (WH) which you will need to enter into Namely Payroll under Company > Tax (WH tax). 

If you've run payroll in Vermont previously, you can find your Withholding Account Number on notices received from the Vermont Department of Taxes.

Contact:

Call the agency at (802) 828-2551 if you need further assistance.

POWER OF ATTORNEY FORMS

Please note that Namely does not require Power of Attorney Forms to be submitted at this time.

STATE INCOME WITHHOLDING FORMS

Namely uploads Federal and State W-4 documents to your HRIS site for use during Onboarding, or if you need to send W-4s to employees who need to make withholding adjustments.

TIP:

The most up to date W-4 documents can be found in the Namely section of the Document dropdown menu in Onboarding and Manage eSignature.  

Form Name: W-4VT 

Accepts Fed W-4: See Comments 

Comments: All employees are recommended to file Form W-4VT, Employee's Withholding Allowance Certificate. The state recommended the use of Form W-4VT beginning in 2019 out of concern that employees' state tax may be under-withheld if the federal Form W-4 was used.
 
If an employee has not submitted Form W-4VT, the employer may withhold based on the filing status and withholding allowances shown on the federal W-4, but under-withholding may result. Effective January 1, 2019, if an additional amount of withholding per paycheck is shown on the federal Form W-4, 30% of this amount should be withheld as additional state withholding. 

PAYROLL + TAX FACTS

Refer to this document for more information:2022-2023 Federal and State: Payroll and Tax Fact Sheet.